The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1905-12-18
CHE SALT LAKE HERALD MONDAY DECEMBER Is, 1905

cises more fully it's power OF afirma-
tive action under the commerce clause
of the constitution. No fact OF indus
try is more obvious than that modern
business has outgrown and wholly dis
regards state lines, and that the juris-
dictiOns of single states. as applied 70
the operations of great interstate
business, are futile and even harmful.
A close study of the methods of or
ganization and operation of the
greater industrial corporations, their
/ relation TO transportation companies,
both rail and water, their methods OF
competition. the extension of their
business throughout many states, and
the sale OF their commodities through
out the world proves that they have
actually gone beyond the possibility
OF proper supervision or control by the
single state which gave them corpor-
ate existence Their relation TO the
transportation companies alone is a
sufficient reason for bringing them IN
der federal regulation.
Blame Is Divided.
1t is idle TO claim that the railroads
are wholly at fault for rebates. dis
ordinations, and other devices for
affording to one shipper improper adj
yantages over a competitor. II is i'm
possible TO prevent such abuses by
purely penal legislation. This does not
mean that the enforcement OF the
antitrust law has not been beneficial,
for il has. It's enforcement has COM
PEELED some respect for the law, which,
until recently, was wholly lacking.
But so far as effecting a permanent
change OF the conditions which that
law denOunces, but little has been
done. The imposition Of a penalty
/ upon q combination simply drives
the men in that combination 10 the
formation of another device for ac-
complishing the same purpose, and
this for the reason that combination
is an industrial necessity. and hence
will be engaged in despite penal legis~
/ lation.
By the exercise of the affirmative
power granted under the commerce
! clause congress can with safety pro-
vide a method by which reasonable
combination may be permitted. This
method must be founded upon an act
of the federal government, which
will give to corporations engaged in
4 interstate and foreign commerce
standing and recognition under a fed
4 eral act. 1t may be accomplished
/ either by license 10 engage in such
/ commerce or by a charter granted by
/ the federal government Under either
/ form congress should provide all re-
! quirements necessary 20 insure pub
/ licity anti honesty in promotion, or
! ganization, capitalization, and con-
] duct Of the corporation, reserving to
! the government the right of inspec-
/ tion of the books of such corporation
/ and the further right-the most i'm
/ portant of alto stop the operations
! of such corporation if it becomes a
1 ViOlatOr OF the federal statutes, at all
/ times preserving to the corporation
and its stockholders the right of judi
/ cial appeal agaist the improper exer-
/ else of executive authority.
The power Of congress to regulate
interstate commerce being plendTy.
| that body may determine 20 what
| extent il will first exercise its power.
! The transportation companies most
/ clearly should come within the terms
OF such a measure; and with them
should be joined the greater corpora
! lions engaged in the production, man.
/ ufacture, and distribution of those
/ staples which affect the lives of the
people of this country. and the mono
| polization of which will necessarily
result in hardship and injustice to the
! individual Such law is not an inva-
sion of individual liberty or right: is
not an effort To have the government
do that which the individual could
best do; and would not, in it's effect.
3 destroy individual enterprise nor the
/ possibility of individual success. II
would afford equality of opportunity,
not equality in results.
Should Be Open to All,
1t is universally recognized that the
. great highways of commerce should be
/ open 10 all upon equal terms. 1t is
, likewise true that the opportunities
/ for the individual 10 engage in indus
I trial enterprise should be equally free.
The individual is not strong enough
+ ordinarily 10 protect himself against a
/ great corporation. He can be secure
/ in his rights only under law which
( subjects the corporation TO regulation
by a government whose Jurisdiction is
| broad enough and whose power is
I great enough To compel obedience
Such a law would lessen the possibih-
/ ties OF unfair and dishonest competi-
A4iais li-A'4 oA4'4l Fl law Ailf tiuFEAittlT
/ OF the reasona bleness of combination,
! of cOnSpiracies in restraint of trade
or mOnOpOlistic control. would be left
as they should be, for the determine
ton of the courts; and the govern
[ ment would then nave, as il should
have, the opportunity at all times
10 know the detailed operations OF
I those corporations TO which IL has
granted great powers. upon which II
has imposed great responsibilities, and
over which it Will exercise a full meas
ure Of protection so long as they obey
the laws of the land.
1t is not necessary 10 repeat what
was stated in my last annual report
regarding the relative merits Of federal
license or Il national incorporation
law, IF the principle of federal regu-
latiOn be agreed upon, there will be
little difficulty in determining which
method should be adopted. Respect
FULLY.
JAMES RUDOLPH GARFIELD,
Commissioner Of Corporations.
The Secretary Of Commerce and
Labor
BAND CONCERT.
The Murray City band will give q
concert and ball in the Murray opera