The Oskaloosa herald. (Oskaloosa, Mahaska County, Iowa) 1885-1919, 1909-11-25
ORDERS OIL TRUST
TO Be DISSOLVED
Court Makes Sweeping Decision
Against Standard Company.
VICTORY FOR GOVERNMENT
Big Corporation IS Is Declared illegal
and Its Dissolution Demanded
Defendants Attorneys Will APP
peal to Supreme Tribunal.


st. Paul, Mimi, Nov 22-The gov
eminent won sweeping victory over
the Standard Oil corporation. In an
opinion written by Judge Walter H..
Sanborn of ST. Paul and concurred in
by Judges Handkerchief, Hook and
Adams, with special concurring opin-
ion by Judge Hook, the United States
circuit court for the eastern district
of Missouri handed down an opinion
declaring the Standard Oil Company
of New Jersey an Illegal combination,
operating in restraint of trade, and or
dered its dissolution.
The opinion of the court and the or
der of dissolution we're filed simultane-
ously in st. Paul and st. Louis. The
decree takes effect 30 days from the
date of its filing, unless suspended by
an appeal to the supreme court. At
that time an injunction will be is
sued restraining the Standard Oil
Company from a further continuance
Of it's business under its present for
nation.
Thirty-three of the seventy-odd con.
Germs in the Standard corporation are
excepted from the order of dissolution
and the bill is dismissed as against
them. "
Combination Sure to Be illegal.
1t appears from the concurring opin-
ion written by Judge Hook that the
company cannot do business under
any form with the object of sitting
competition, for he says that with the
end of the combination the monopoly
will naturally disappear, but should it
not do so, and the members of the
combination retire from it, except one
who might perpetuate the monopoly
by the aggregation of the physical
properties and instrumentalities, it
would constitute violation of the de-
=. cree of the court.
The suit terminated by the decision
was begun by direction of the attor,
ney general of the United States in
st. Louis on November Is, 1906
Frank B. Kellogg of st. Paul WAS ap'
pointed special prosecutor, assisted
by Charles B. Morrison of Chicago
Frank H. Poole and ]. H. Graves OF
the department of justice and w. H
Higgins of Minneapolis and Cordenic
A. Severance of St. Paul.
The Standard Oil Company pre-
scented formidable array of legal tai
eRt led by John G. Milburn Of New
York The defense was that the pres
ent organization of the Standard Oil
corporation was the result of the nat
ural growth of great industry and
that no statute had been violated.
Gist of Decision.
The gist of the decision of the court
lies in the syllabus, which declares
that the test of the legality of corpo
rations under the antitrust act is tc
be found in the necessary effect the
combination or corporation has upor
competition in commerce among the
states and with other nations. This
Is, the court believes, a simple test tt
apply and one which is easy of appli
cation. In judging the legality Of &
corporation or combination in the fu
-. ture, the courts. will if the decision
be followed. ascertain whether or no
the restraint of trade. if there be any
is incidental or necessary. That is Il
3 say, that If by combination of CAPT
tai and effort made solely with view
to legitimately increasing the business
of corporation there be resultan
restraint of trade which is purely Incl
dental then such corporation is no
within the puryiew of the anti-trus
act. If, on the other hand. combina
that, by the very nature of its organi
cation and its methods it results in re
straint of trade, then it is illegal ant
should be discontinued.
OILS Plea Is Rejected.
In the trial the point was mad,
that the Standard Oil Company was ;
beneficent corporation, in that it, b!
reason of economy in operation, re
duced the price of its product. This
Judge Hook says, can have no weight
Attorneys for the Standard Oil Com
pany, in talking Of the decision. de
clare that it will of necessity caus,
a change in the form OF, organization
DuI lldl lur ouuSldhNC VI thV va VI ub
will be left in another form Attor
neys for the government gdo not be
lieve that such result is possible un
der the decision of the court, which il
specific and sweeping in its character
The decree of the court is sufficient.
broad and explicit to cover any sub
terfuge as to the form of organization
which might be effected in the futur'
with view of circumyenting the evi
dent purpose of the decision, which 1
to make it impossible for any comb
nation Of companies and of capital t,
secure monopoly of trade and thu
to stifie competition.
Wall Paper Sc per roll and up al