Omaha daily bee., 1906-08-12
BROKERS OUT OF BUSINESS
Ticket soAlpsrs EnjOinsd from Dealing in
Railroad Transportation in Nebraska.
JUDGE GARLAND HANDS DOWN DECISION
fleet f. TO Put the Men who Deal
I'm Tickets Out of This
Line of Bread
winning.

Judge Garland handed down his decision
Saturday morning in the United states
circuit court granting a temporary in
Junction asked by the railroads against
the ticket brokers from in future buying,
selling. or in any way dealing in special
rate or nontransferable railway tickets
in this state. The effect of the decision
IS practically to throw the ticket brokers
out of business in Omaha
The suit was brought Jointly by the
Union Pacific, Illinois Central, Burling-
ton, Wabash, Great Western, Missouri
Pacific, Rock Island and Milwaukee rail-
roads against p. II. Philbin, J. ]. Philbin,
Ed ]. Murphy, Carl A. Larsen, David
johnson, Harry r. Macauley. ]. Edgar
Campbell, James c. Martin and Claude
Burnett, ticket brokers OF Omaha and
Lincoln and the several ticket brokers
associations doing business in Nebraska
The contention Of the ticket brokers was
that the sale ana purchase of tickets
was made with the full knowledge and
in some instances in collision with the
railroads and had been uninterruptedly
practiced in this state for thirty years
and that to enjon the brokers from the
further handling of the unused portions
of tickets meant a destruction of their
business.
Claim of the Railroads.
The railroads held, on the other hand. that
the ticket brokers were irresponsible, had
not a dollar invested in their business and
amply interfcred between the railroads and
their patrons, and that they were In the
habit of signing the names of other per-
sons than the original purchasers to tick
cts requiring signatures and which were
sold to the original purchaser with the dis
tinct contract that the ticket was not
transferable. Denial was also made that
the Western Traffic association was an or
ganization in violation of the Sherman anti
trust and the interstate commerce laws.
The further claim was made by the rail-
roads that the railroad companies had over
$40 ,0o0, 900 invested In their properties and
business and that the invasion of their
business by the ticket brokers was an UNI
lawful trespass.
Judge Garland delivered his decision from
notes and generally sustained the allega-
lions made in the bill of complaint by the
railroads He held that 1t was wholly i'm
material whether the Western Trafic as
ISOLATION was an illegal body or not that
the bill on the part of the railroads was q
good cause of action and that the case was
not being heard upon the afidavits sub
mitted by the defendants showing collision
at some former time by the railroads.
No Future Interference.
The decision prohibits the ticket brokers
from interfering in the future with the
business of the railroads A proviso is
made in the decision that the railroads
shall give bond to indemnify the brokers
for any loss they may sustain from tickets
that they may now have on hand that were
procured from the railroads or from any
other legitimate source.
While the exact amount Of the bond has
not yet been fixed. It is thought 1t will be
placed at $500 In each case which the
railroads agree to furnish at once.
This decision Is similar to like cases
recently decided in the federal courts in
Utah, Colorado. Louisiana, Texas and
many eastern states.
Just what action the attorneys for the
brokers will take is not yet definitely de-
cided upon. A similar case is now pending
IN the United States supreme court on np-
peal from the Fifth United States judicial
circuit and a decision is expected in that
case in December. 1t Is therefore possible
that no further action will be taken In
Omaha until the hearing on the application
for permanent injunction, which will
not be for several months, or until the
attorneys gather what testimony may be
necessary for the trial of the case.
Up Against IL Hard.
p. H. Philbin. the leading ticket broker
of Omaha, said:
I'VE are, of course, up against It hard,
just as we have been since the granting
of the restraining order June 10 We sim
ply will have TO quit business until the
matter Is settled on the hearing of the
l..4,.
money made in the sale of other than nom
transferable tickets and now all the rail-
roads will have TO do with all tickets will
be to simply stamp them nontransferable.
Our attorneys have not yet decided Just
what is to be done. and In the meanwhile
we will just have to shut up shop"