The sun., 1907-08-20

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| 40; but IL would doubtless be found In rc-
| spect TO most OF them that In spite OF over
capitalization and lack Of economy In con-
| struction. land for terminals and right Of
way and the cost Of construction have
Increased 90 enormously that the total of
their securities upon which they pay divi-
| dends and interest IL not much II any in ex-
cess OF present physical value. More than
| this. physical valuation, az the President
pointed out In his indianapolis speech.
and ns the Supreme Court had in effect
said before him, is only one Of a number
Of data to be considered In reaching what
ls fair profit upon the investment; and
in determining particular rate. the y roper
relation between that rate and the total
net profit OF operation IL 30 complicated
with an infinite variety Of other circum-
stances that II is most difficult In rate fixing
to use the latter TO affect the former. The
Importance of fixing rates. complained Of
as too great in and Of themselves. is much
is that on the whole, rates in this country,
especially as compared with those OF all
European railroads, many Of which are
owned and operated by the Government.
are low. The chief evil consists in unjust
discrimination in rates between individuals
and localities. do not object to valuation.
u thought relevant to any issue, but merely
deprecate the assumption that IL is to be the
chief means Of great reform in rates.
FRIoHrPUL LOSS OF LIFE AND LIMB AMONG
RAILWAY EMPLOYEES REQUIRES sTRIN-
GENT REGULATIONS.
The frightful loss OF life and limb among
the railway employees OF this country.
reaching more than 1000 killed and 65 900
injured in one year. has properly attracted
the attention OF Congress and the Legisla-
lures. IL makes apparent that service in
connection with trains OF a railway is an
call for Government supervision and ex-
ceptional rules to secure the safety OF the
passengers and reduce the danger to en-
ployees. Congress, years ago, passed
stringent laws for the adoption of safety
devices to protect both employee and pas
same purpose IL has recently limited the
hours OF continuous service for which EN-
ployees on such railways may be engaged.
STATUTORY RULE FOR LIABILITY OF INTER-
STATE RAILWAYS TO EMPLOYEES.
Finally, it has regulated the rules for the
liability Of an interstate railroad company
to an employee injured in it's service. This
is an important measure. for an unfor-
tunate lack Of uniformity has existed here
tofore in respect to the rules OF liability
In such cases. dependent on the court in
which the case has been tried: The new
statute makes everything uniform as to
interstate railroads. IL has introduced
into Federal law what is called the compare
tive negligence theory by which il an en-
ployee IL injured proof OF negligence on
his part does not forfeit his claim For dam
ages entirely unless the accident was due
solely to his negligence. II there was
negligence by the company. the jury il
authorized to appOrtion the negligence
and award compensation for the proper
part OF the damage to theSernployee. and
the question OF negligence Is always for the
jury.
ABOLITION OF FELLOW SERVANT RULE.
The most important provision Of this law.
however is that abolishing what is known
as the fellow servant rule. by which an en-
ployee injured cannot recover from his en-
ployer for injury sustained through the neg
hgence OF a coemployee. This rule was
Incorporated into the law by Chief Justice
SHAW Of Massachusetts, on the ground of
public policy. IL was acquiesced in by the
courts Of England and Of this country What
ever may have been the wisdom OF the rule
it's abrogation. Public policy can be changed
10y statute. 30 that this exemption from la
bihty is not secured by the Constitution 10
the railroad companies. The abolition OF
the exemption certainly furnishes a strong
motive TO the railroad companies for the
exercise OF greater care in the selection,
supervision and control of all OF their en-
plovees. which tends not only to the safety
81 their employees but also to the safety of
heir passengers.
NEW Law WILL LEAD TO SETTLEMENT OF
MOST CLAIMS WITHOUT SUIT.
With these changes all claim by en-
ployees against railroad companies except
in a few extreme cases will doubtless be
settled by the railway companies without
litigation, just as they now settle without
;uit substantially all claims for injuries 10
The validity Of this law is
lnder consideration by the Supreme Court
/ he only serious doubt in regard to its con- |
grows out OF some careless
ness OF language in limiting its application to !
Interstate railways. and therefore even il |
he present law should fall. there will be no |
iiffculty in reenacting it in proper form. |
TRUSTS
! pass now from railway regulation and |
he abuses arising in the discharge of n |
public function to the evils which have
,rown out OF the combinations existing in /
private business and 80 come to the subject !
Il trusts. The combination Of capital in
arge plants To manufacture goods with |
he greatest economy is just as necessary
- the assembling Of the parts of a machine
o the economical and more rapid manu-
acture Of what in old times was made by
and. The Government should not inter
ere with the one any more than the other !
'ublic will soon share with the manufac-
1rer the advantage in lowered prices
When. however, such combinations not only
over the cost to themselves but are able
aise the old prices. the public derives no
enefit and is helpless in the hands OF a
monopoly
ANTITRUST LAW.
Fear OF the existence Of such an abuse
ed to the passage OF the antitrust law in
500. IL recognizes two forms in which
his evil may be maintained. One is by
n agreement among a number of different
Of an article for the main
enance OF the price OF the article and the
Impression of competition. This is de-
ounced when the contract Is in restraint
interstate trade as a criminal offence
gainst the United States. punishable by
ne and imprisonment, and a conspiracy
hich may be restrained by injunction in a
vil suit. The other form is denounced !
ith similar remedies against it. as a mo-
opoly OF interstate trade and covers the |
Mon OF the conspiring companies into one
Dmrany which by owning all the plant
nearly all the plant en- ga ged in the manu- !
,cture Of the product and by use Of other
evices controls the prices. The Supreme |
ourt of the United States has not defined
hat a monopoly under this section Of the
1ti-trust law is.
DEFINITION or UNLAWFUL MONOPOLY
! conceive that il il not sufficiently de- |
ned by saying that il is the combination
a large part OF the plants in the country
lgaged in the manufacture OF particular
roduct in one corporation. There must
3 something more than the mere union of
y,ifol apd vla NJ hafOra ha In ,,soI.k-I Z