The Montgomery advertiser., 1908-06-30
Attenrex GenernI Smoke.


 Attorney General Garber. at the cons cusion of the presentation of the case by Mir. Selheimsr, spoke until after 6 o'clock along the same lines, elaborat- ing more fully. however.
 Attorney General Garber took up first the question of the law violating Sec tions 211 and 2f5. Mr. Garber argued that Sections 21t and 2fl were not vio- lated in that the sections mentioned applied to property tax and not to q franchise tax. As general proposi- ton the State had unbounded author fty, unless restricted by constitutional provisions, to tax all things, that the right to tax is the attribute to sover- eighty. That the power of the State to discriminate between her own do- nestle corporations and those of other States desirous of transacting business within her own Jurisdiction is clearly established by a long line of decisions of the Supreme Court of the United States. As to the nature or degree of the discrimination 1t belongs to the state to determine. subject to such Tim. itations on her sovereignty as may be found in the fundamental laws of the Union.
 That 1t was franchise tax and not Q property tax. Mir. Garber called att | tention to Section 233 of the Constitu. ton of Alabama under which the Leg isiature passed the act governing the question involved in the case. If Is clearly shown, Mir. Garber declared. that the tax Involved is a franchise tax, that is special tax for exercis- Ing the special privilege of carrying on business of a corporation and not a tax laid directly upon the property owned by the corporation.
 In the case of the Louisville and Nashville Railroad. Section 116s of the Coue showed that the foreign corpor- ation which purchased domestic corr porations under the section did moi mean that the purchasing foreign cor. poration should be entitled to the priv. neges of the domestic corporation. lnat it was governmental Iegislation enacted by general law and not con- structural legislation which held out covenant or contract to a foreign corporation purchasing the property of domestic corporation, and that tt waa | subject to amendment or revocation or alteration. A-close analysis showed mat It was not the foreign Corporation which should be subject to the Iaws 1 alaoaa eo nomine, but domestic l corporations so purchased.
 In the matter of the centr.i n, Georgia, Attorney General Garber ar. i gued' nrst the second section of ths | saio act was not in violation of aAr- lions l04. 1o5 and 106 of the Constf. luton in that said act is in effect a, i'd. caI law. second that the law was not a
 vloIaaon or the Fourteenth Amend. ment Tn that 1t requires a foreign cor. poration to pay county tax. which fs not imposed upon q domestic corpora. tion. Third. that the law was not in violation os Paragraph 2. Section or Ast l of the Constitution of the
 United states in that 1t is a burden upon interstate commerce.
 Mir. Garber. at s.30 o'clock. stated tc the court that he would not elaborate further as the hour was getting late and that speakers for the next ses- sion of the court had been agreed upon Court then adjourned until 10 o'clock this morning. when Attorneys Smith and Weakley will speak. It was sug- 1 gested to the court that the case be further argued at a night session last night. but as this was not dwelt upon | by either side, the court adjourned un- | til the following day. By agreement as l to speakers. 1t Is possible that the case will be taken under considera- ton by, Judge Sayre presiding after 1 this Afternoons session.
 The following counsel are present: | For the State: Attorney General Gar Der. associate attorneys H. C. Sell heimer of Birmingham. and Judge 8 D. Weakley of Birmingham. For the county; County Attorney W. M. Biakey, For the railroads: Louisville and Nash vile, Gregory L. Smith. Henry L. Stone. George W. Jones and J, Manly Foster; for the Seahoard: John P. Till- man; for the Central of Georgia: Law ton and Cunningham. Steiner CruD and well; for the Atlantic Coast Line F. H Arlington. Judge Alex ? Humphrey and James Weatherly. coun- sel for the Southern Railroad. are also present.