The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-06-25


10 the graduating class of the Yale Law
School this evening in Hendrie Hall be-
fore a big audience.
Senator Knox spoke on "The Develop
ment of the Central Power to Regulate
Commerce"
Senator Knox was the guest tonight at
dinner given i'm his honor by Chief JUS
tice Simon E. Baldwin. -of the Supreme
Court Of Connecticut Others were L. 5.
Senator Braudegee, Of New London, and
Prof Henry w Farnham, of the political
economy department Of Yale University.
In his address TO the law students Sen
ator Knox spoke i'm part as follows
Mr. President, Mr.. Dean, and Gentle
men Of the Yale Law School:
There are no questions before the
American people to-day of greater i'm
p0rtance than those relating TO the Fed
ecaI control over commerce.
Nothing, therefore. is of more conse-
qUence in our governmental affairs than
an accurate understanding Of the scope
Of the national ana State powers in re-
suect to commerce and the activities re-
lated to commerce. for no effective regu-
latiOn is possible i'm either sovereignty if
the power Of the one could he usurped or
INSTRUCTED by the other. This will be un-
derstood and conceded. except by those
Who appear 10 think the Federal gov
eminent can c0nstitutionally accomplish
everything that seems good for the peo-
PIE and are constantly raising eNpecta-
tons upon this line which cannot possibly
be fulfilled
While the constitutional powers Of the
nation and the reserved powers Of the
States remain ever the same. the question
as 90 when an act OF transaction is eX-
cusively a State affair. subject to State
control. or a national matter. subject TO
national control. is one of fact as well as
law. and it can be readily understood
that the facts differ AZ different periods
of our development and under different
circumstances relating 90 the subject.
Federal Power Clearly Defined.
The power 10 regulate this intercourse
OR commerce between the States. the right
20 engage in which the Constitution did
not create. but which existed at the time
Of its adoption was given to the Federal
government by the Constitution.
THE necessity to exercise the national
power over commerce arises largely out
Of the failure of the States to regulate
wisely great corporations created by and
under the dominion Of the States and
engaged i'm interstate commerce. That
failure has led 20 weIl-knovn abuses,
which affect interstate commerce. and
thereby created the necessity for the ex-
errise Of Federal regulation 10 prevent the
abuse
1.-THE necessity for the exercise Of Fed
egal raCU alton almost always springs
from causes the States could have pre-
vented
The national power of regulation
should only be- invoked when necessity
for regulation exists Abnormal condi-
tons in commercial intercourse caused
by mon1p5lies, preferential service, re-
bates and the Ike. destroy the normal
operations OF commerce and create the
demand Cor Federal regulation to restore
the rule of freedom and equality
"Tha pressure Of the accumulated evils
and abuses of many years of inadequately
regulated commerce in this country cul-
minated some few years ago in an inn
perative necessity for action TO test the
situation. and the enactment Of such adj
diuon3I ones as should prove % be nee
essar- 20 restore and preserve freedom
and equality I'm interstate and foreign
commerce.
"The public satisfaction resulting from
the enactment and the enforcement OF
statutes regulating commerce has induced
som. persons 20 contend that the Con
EressionaI power 10 regulate commerce is
0dnaCca for many other public evils
and it is proposed 70 utilize that power
10 accomplish ends not within the IA.
ti0ual Jurisdiction, and having no relation
10 the subject Of the power.
The power TO regulate is the power e
prescribe the rule by which commerce j.
10 be governed These are the words o
Chief Justice Marshall in Gibbons rs
ogden.
Prescribed by Rules.
This power Of prescribing the rule by
which commerce is 10 be conducted ex
tends 70 commerce itself and TO the in
strumentalities OF commerce.
THE power Of Congress may be exer
cisel by prohibition and by prescription
In nv Judgment. the power to regulat
commerce between the States does no
carry with 1t the power to prohibit com
rne-~e. unless the prohibition has for IL
purpose the fertilization, safety or pro
lection Of commercial intercourse. or tn
accomplishment Of some other natiOna
purpose.
The power to regulate interstate com
MERGE does not extend to the laying o
an arbitrary embargo upon the lawful,
produced. harmless products Of a State
nor 10 the right 20 defeat the policy o
d State as TO It's own internal affairs.
~ concede that the national power q
regulate interstate commerce carries witt
Il the right 20 prohibit commerce in Orde
TO secure equality Of commercial right
or 70 prevent restraint Of or interference
with commerce. but not 10 prohibit IN
shipment of the inn0cUous products o
producers within a State who are pursu
ing a course sanctioned by the laws o
the state and i'm no wise in itself inter
fering with interstate commerce.
prohibition Of interstate trade is withi
the arbitrary power Of Congress, Il nigh
be exercised 50 as to exclude she product
OF particular States Of sections Of tn
country Congress then might prohibi
the shipment Of cotton or wheat to pro
mote the interests OF wool or corn.
There is no authority for any sue
proposition
Right TO Close Channels.
'.The sum Of the matter is this: 70
the purpose OF protecting commerce, Cor
gress may close its channels 10 thos
who are iniuriously affecting it, but 70
the purpose Of enforcing more enlight
ened policy I'm respect 20 matters nC
within the jurisdiction Of Congress,
has no such power
In a word, ] do NOT take issue wit
the proposition that Congress may pre-
hibit transportation, but 1 say the pro
hibitlou must have for its end the regJ
lation Of interstate commerce and nc
something dchors the Federal power.
That the Congress Of the United State
has no general legislative powers but onl
such as are granted TO il by the Cor
e+f+,tfou Il NOT an old fashioned and eN