Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1905-07-14
JUST RETRIBUTIoN.
Cheek 60 Corporations Chartered In
one state Go Prey UpoR Others.
PHILADELPHIA Record.

Philadelphia Record.
Turn about IL fair play; and nobody whose
seif-interest does not dispose him 20 the
contrary will doubt the fairness OF the
retaliatory proceedings adopted by some Of
the states by wcy OF protecting them
selves against the corporate vultures
created under the laws OF New Jersey.
Delaware, South Dakota ana other states
and territories for the purpose OF preying
on the country at large The decision Of
the supreme court OF Kansas. rendered the
other day, whereby an interdict OF outlawry
was practically pronounced against the
Kansas Natural Gas company. a Delaware
corportion conducting operations in the
former state. viii be generally regarded as
an act Of Just retribution. The company
was debarred from carrying on business or
holding any property in Kansas and from
conducting operations Of any description
therein: and this despite the fact that it
had invested several millions OF dollars in
laying pipe lines in Kansas.
The business Of creating corporations
authorized to do in other commemorative
that which they are forbidden TO 90 In the
state under whose laws they were organ
lied Is likely to receive a serious setback
II this decision shall be sustained IN the
federal supreme court, to which an appeal
will doubtless be taken. The utter shame
lessness with which some Of the states ad-
yertise the degradation of their sovereign
powers to mercenary uses Il astounding.
From legal periodical OF recent date the
following delectable lads" have been culied
1t should be promised that Delaware and
West Virginia had underbid New Jersey
for business by absolving corporations from,
some Of the restrictions contained IN the
law Of the latter state; for instance, the
requirement that at least one Incorporation
ana one OF the directors should be a resi-
dent Of the state Of creation. But South
Dakota goes it's predecessors in business
one better, holding forth the following in
ducements:
Incorporate in South Dakota. Cheapest
cost, most liberal laws. No capitalization
tax no annual tax, no license fee Di-
rectors' and stockholders meetings not re-
CURED to be held in state. Personal liabiIi-
ity limited. All the privileges, advantages
and protection OF any state and at less
cost than others. Resident corporators
furnished and domiciliary ONCE maintained
at low rates"
But Arizona outdoes them all by the
announcement Of this attractive program:
incorporate under Arizona laws. Most
liberal corporation laws In the United
states. No franchise tax or exorbitant
ices. Private property exempt from all
corporate debts. Par OF stock made any
amount. No limit of capitalization. Stock
Is worcestershire for any purpose. No
amount OF stock required to be subscribed
NO state control No state examination OF
books. Legislature can't repeal our char
ter. Keep office and do business any
where"
If there be any lower depths 20 which
the legislative powers OF a sovereign COM
monwealth could be debased II would he
difi1cult to conceive the possibility tbereof
Here is community which offers to create
corporate pirates and set them loose on
other communities absolved from the
slightest legal restraints. These incornor-
ated pirates are not even under the con-
straint "a moose OF rope at the end of
yard ARM which the law OF nations nuts
upon the unincorporated pirates who sajI
the ocean under the Jolly Roger. Our up-
to-date Incorporated land buccaneers cIaIrn
immunity from the restraining laws Of tho
states whose hospitality they abuse nv
virtue OF the provisions of the federal con-
stitution which secure to the citizens az
each state all the privileges of citizens IN
the sister states. II remains TO he seen
however. whether the United States su-
preme court will hold that an incornoratad
citizen of Delaware may commit high
way robbery for instance in Kansas ana
go unpublished and unrestrained because the
laws OF the former state authorize its
creatures to commit robbery beyond its ovr,,
territorial limits. Surely this is NOT tn
intent or the interstate comfy and raci-
Procity clauses Of the federal constitution