The sun., 1908-01-26
COERCION OF CORPORATIONS
BY LEGISLATION CALCULATED TO
RTIN THEN If THEY FIGHT 1T.
". ID. Guthrie Tells the state bar AssOclA-
tIOn That the Idea seems to Re to Out
law Corporations Unless They Abandon
Their Right 20 Have . Day In Court.


law Corporations Unless They Abandon
Their Right 20 Have . Day In Court.
William d. Guthrie in his paper upon
The Eleventh Article Of Amendment 20
the Constitution Of the United States
which he read before the meeting Of the
State Bar Association in the assembly
room of the Bar Association Of New York.
AZ West FOrty-fourth street, yesterday, said:
-In discussing the subject Of suits TO
restrain the enforcement OF statutes al
legged to he unconstitutional we must not
overlook or pass unnoticed the attempts
made in recent legislation regulating rail-
road rates to cOerce or intimidate the
railroads and other public service ,cor-
pOrations into immediate obedience and
abandonment Of their constitutional right
to appeal to the courts by imposing upon
them enormous and unreasonable penalties
or by threatening them with forfeiture
of the protection Of the Government, A
popular scheme at the present time 10 10
withdraw the subject altogether from
the domain of the civil courts and make
IL branch of the criminal law. leaving
the property owners no protection except
by way of defence on criminal rial before
a jury. The avowed or III concealed pur-
pose of these fines and penalties and Of the
resort to the criminal law is to rrNven; any
interference by the civil courts
The speaker cited as an example to illus
trate his point the fact that while the Fe1s-
raj employers liability act, recently de-
clared unconstitutional by the Supreme
Court, was under the adViSement Of that
court President Roosevelt ia his JamestOwn
speech criticised the railroads for having
contested its validity. The idea said
the speaker, advanced in many quarters
and under many DISCUSSES, seems to be
that corporations should be outlawed unless
they consent TO abandon their rights To
appeal to the courts for protection against
unconstitutional statutes and void and
oppressive enaCtments.
Public service corporation are entitled
to appeal to the courts to pass upon the
validity of any legislation which attempts
to compel them to render services at a
rate fixed by the Legislature II they con-
tend that such rate il unreasonable and
confiscatory. But instead OF granting a
hearing or providing for any judicial pro-
ceedinE in which the rcnSonA bleneSs OF
the statutory rates may he promptly in
vestigated the constant effort seems TO
he TO render resort to the courts so danger
ouS that property owners will abandon
their right to "A day in court rather than
take the risk involved in allowing penalties
to accrue and accumulate which might
subject their property to COnfscation."
The speaker cited the case Ai .ae Con-
solidated Gas Company ~ q, = - LoinJ.
He aaid that the penalties ihlpOsed ~ the
Legislature we're AZ the rate Cf tl.'b0fCr
each OverCharge according TO the ate sci
by law. As the gas company bad Hs0,F)
customers. an 1vET"haTee uE one months
bills, pending he compaays ATTEMPT 10
test the NaliCi:y Of the statute world
amount - S9G0 Gld.lOO in penalties. " I've
times the valHe Of the coInpAny's plant
If the New York statute continued the
speaker. "is not null'iet ny the Uni ed
States Supreme Courr. at least ia this re-
spact, the Consolidated tHA Cufnpany 'pPY
be az somtely ruined FOR having asserted
its legal right 20 a fur judiciaI investiga-
ton before being compelled TO accept what
il insisted land W AZ the court hRs so far
held) was a conGss atory and unreasonable
rate; that is to say, for daring 70 insist ON
its day in court.
Besides Mr.. Guthrie's paper cpe on Land
Title observation-disclosures and Other Sys-
tens, was read by Henry PegTan Of New
York, who is a member Of the Torrens CONF
mission on land title registration laws.
Mr. Pegram gave no hint Of what the report
Of his commission would be.
Francis Lynde Stetson was elected ppesi-
dent of the association with the following
vice-presidents: Paul Fuller, William G,
De Witt, Lewis F. Carr, Edward @. Whit
myer William Nottingham. Theodore r.
TIIthill, John NJ. Davy, Daniel j, Kenefck,
Buffalo was selected az the city where
the next annual meeting Of the association
will be held.
just before the meeting adjourned, when
resolutions of thanks TO the Union League,
Century and other clubs had been passed
Alexander d. Wales Of Broome county aross
and said
"ImOVe a resolutiOn Of thanks TO another
citizen and his club, namely President
Roosevelt, whenever Il is used in a good
work
Some one else moved to lay Mr. Wales's
resolution on the table. and everybody
voted aye except Mr.. Wales