The News-Herald. [volume] (Hillsboro, Highland Co., Ohio) 1886-1973, 1908-06-04


tions by Many States.
Columbus, O.-(Special.) )-Ohio bus
iness men to great extent are much
Interested in the proposed enactment
OF national law to govern the cor.
porate orga nization of all companies
doing an Interstate business. In moth.
ing is the sagacity of President Roose
welt of seizing upon public questions
of great strategic importance more
manifest than in his earnest advocacy
of the enactment of a Federal statue
to govern the Incorporation of com.
binations of capital doing an inter
state business.
At present there is of course no ma.
tonal corporation law, and thus there
are 46 different codes of laws for the
incorporation and regulation of busi.
ness corporations. each state having
Its own laws on this subject and all Of
them greatly at variance. In some
states, $ la ohio a company can be
incoi porotcd 10, the performing Of but
one genera purpose. while in other
states tnC Laws are so liberal i'm re.
gdid to the incorporation of companies
that a charter will be issued for the
performing of a multitude of purposes.
not one of which may be related to
the other.
So long as these companies do not
violate the Federal statutes I'm regard
TO combinations in restraint of trade.
the giving or taking OF relates. etc.
they are answerable so far as their
charter is concerned only to the state
by which II is issued They may be
doing business which reaches every
state In the Union, but the Federal
laws are powerless unless. as said
they violate some of the Federal anti.
trust laws. and then they can only be
fined, as the general government has
no authority to oust them from their
corporate existence.
President Roosevelt has long seen
this weakness in the lack Of control
by the Federal power Of these corpora.
tions which transact an interstate
business. Almost since he first began
70 speak on public questions he has
favored a national incorporation law.
and the taking over by the general
government of the right to bring these
combinations of capital into corpo ate
existence. In his most forceable styfe
he brought this important subject to
the attention of the congress in his
message Of April 27, 1908. The presi.
dent in this message said that his per.
sonal belief is that ultimately we shall
have to adopt a national incorporation
law, even If such step is found i'm.
possible of carrying into effect at the
present time. The interstate com.
merce commission legislation, he said, |
has worked admirably, and has bene-
fited the public and the honestly man. !
aged and wisely conducted railroads |
as well.
The president further states that II
Is clear that the principles employed
to remedy the great evils in the bust.
ness world have worked well and may
now be employed to correct the evils
that further commercial growth has
brought so prominently to the surface
He asserts that II is clear that unless
/ national incorporation law can forth.
with be enacted, some body or bodies
IN the executive service should be Civ.
en power 10 pass upon any combina.
lion or agreement In relation TO inter
state commerce, and every such com.
oination or agreement not thus ap.
proved should be treated as ir viola
ion OF law and be prosecuted accord
ngly. He asserted that the issuance
'f the securities Of any combination
ioing an interstate business should be
lnder the supervisions OF the national
One OF the great captains OF indus
ry Of the country, in a statement
made before the industrial commits.
lion in 1899. said that in his opinion
he legislation which would most i'm.
prove the condition of the country
would be in the direction OF national
'r Federal incorporation. He declared
hat If such corporations should be
made possible under such fair restric
ions and provisions as should right.
ully attach to them, any branch of
business could be freely entered upon
md the talk of monopoly would be
,one forever.
The present system of state corpor-
.tions, almost as varied in its provi.
ions as the number OF states. is vexa.
ious alike TO the business community
md to the authorities of the several
tates. The Federal law need not take
way from the states the right of tax.
tion or police regulation, but II would
make 1t possible for business Organ.
cations to know the general terms on
which they could conduct their busi-
ess In the country at large. The lack
I uniformity in the laws of the vari-
us states, as affecting business cor.
orations. is one of the most vexatious
saturss attending the business life of
ny OF the great corporations of the
ountry today, and all OF them would
earthly welcome the enactment Of a
ederal corporation law.
In some states II is possible to in.
orporate a company for practically
ny purpose, and not tar thereby