The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1909-11-23
"Go ON JUST AS BEFORE.

The contempt into which the judg
ments Of the courts Of this country
have fallen could be no better illus
tratcd than in the comment Of Mr.
Mortimer +. Elliott. general counsel for
the Standard Oil Company. In DIS.
cussing the recent decision of the
United States Circuit Court at st. Paul,
which was supposed to be a dissolution
of the Standard Oil Company S busl-
ness. he explained that such is not the
case. The decision amounts 10 nothing
much, even il affirmed. But in the
meantime the case viii be appealed TO
tho United States Supreme Court,
where it may bc overrulcd.
So far from dissolying the Standard
OIL Company. however, the decision
does not affect the company at all so
far as its own existence and operations
arc concerned according to Mr.. Elliott.
The court merely orders the disrlbu-
ton among the company's stockholders
of its holdings in subsidiary companies.
This distribution would naturally be
effected on "A pro rata basis of appor-
tionment. The heaviest holders of the
Standard OIL company, therefore, would
receive the heavier allotments of the
subsidiary companies stock. This
however. would be a severe blow to the
operations of the Standard Oil Com
pany, which has so many subsidiary
companies for it's purposes and business
procedure in the different States. IT
is clear that if the ruling of the Circuit
Court in this should be affirmed, the
Standard Oil Company's manner of do
ing business would have. to be radically
changed.
This change. however, Mr.. Elliott
does not consider would be of any par
ticular Importance so far as the main
company is concerned, and he illustrates
this position in this way:
The case is similar to that of the coal
roads. which were forced TO separate
from their coal business and it is dinl-
cult to say even II the decision is up
held by the supreme court now the
government can prevent the control OF
Standard Oil properties. remaining In
the same hands. even If ii Is split up
into it's constituent properties. This mas
been the case in every suit In which the
government has compelled the disSolu-
zion OF combinations They have simply
been put into different shape and have
gone along more compacuy than ever
Undoubtedly Mr.. Elliott states the
precise fact in thus summing up the
case at its worst for his company. Even
though the decision should be sustained,
the subsidiary companies all wiped out,
and their stock distributed, the Stand
ard Oil itself would remain undls.
turbed; but il would have to change
| its methods. The stockholders in
Standard Oil would get their pro rata
share of the stock of the subsidiary
companies, whose existence would thus
be ended, and the business of the main
concern would simply ''be put into diff
fcrent shape and 90 along more com
| pactly than cver.'
Which is certainly n very lame and
| impotent conclusion to procedure
which threatened such a radical attack
upon the Standard Oil Company. This
| explanation, with the practical results
that have como from other court de
cisions apparently against the Standard
Oil Company and against other con-
Germs, as the Northern Pacific merger.
simply tend to reinforce the PROPOSE
ton that the courts are incompetent
under present laws to deal with these
huge interstate businesses; and that in
order to reach them Congress will have
to pass national Incorporation law
] under which charters Will be granted
! I IL. j
conditions that can easily he enforced