The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1909-05-04
WIN
VICTORY BEFORE
SUPREME court
Commodities Clause" Is De-
Clared Constitutional, but
Scope Is Limited.
GOVERNMENT LOSES
MOST OF ITS POINTS
nrcisION AFFECTS ALL OF THE
ANTHRACITE COAL CAR
RYtNG LINES.

.AA4%%A%%% - - - %~~%%%@
uf-fzfrrg Nav 3-Within an hour =
after the news Of the supreme court y
. farfsiou I'M regard tC the Hepburn y
r7wmod ties clause was received here
+-Tav. deaf was cOnSummated by =
which the Gould interests will engage y
I'm the coal business i'm this district. y
sr~-rEamelts have been made al y
ready. d. is said, to produce between =
. rn1 ORB and 2,500c00 tons a year. The y
mines will be operated by the Pitts y
= burg Terminal & Coal company. and y
. the coal will be sold through a New y
= York concern.
+. was iutimated that the decision =
-#rrr mean the teTmiua ton of the y
. --Haivership of the Western Mary =
. land and other Gould roads. and the y
6ava -0pment OF the holding of the =
1 title kauaWba system. purchased y
4r-r+r- biz the Pennsylvania. Balti- y
4 more & Ohio and the New York Cen y
! rial railroad for about S6.O00.O00.
t+++~<e@+%%$> S@T%~%$
Washington. May st has been
usrv day since a decision of the
United states supreme court has been
received with as much interest as was
--7rffasted today in the reversal of the
circuit courts Commodities clause de-
.fyfor affecting the anthracite cOal-Car-
wing railroads.
These cases had been decided by the
circuit court favora bly, to the railroads
s- that the clause of the Hepburn rate
law which prohibits interstate railroads
from carrying commodities mauufact-
arsd mined or produced directly or in
directly by the roads. was declared I'M
institutional.
The general impression had been that
that deceased would be affirmed by the
supreme court. When. therefore, there
was reversal instead Of an affiTma-
t1u The interest was much magnified.
When agam it was found that the re-
Hersal was based on technical grounds
and that the effect was really favorab bic
30 the railroads, sentiment took another
uuu and those who had been anxiOusly
awaiting the announcement were much
puzzled.
The decision was announced by JUS
lice White who declined to give out
more than a summary. showing the net
result of the courts finding. Because
o. the courts delay in announcing its
Conclusion. il was generally supposed
that the court would be found TO be
much divided. Only one dissenting Opin-
jon was announced. Justice Harlan
stated that he did not follow the con-
C.usi0u iu the point that the law does
Tot prohibit the railroad ownership Of
stock u commodities producing COM
pa-ir-
Scope is Limited.
AraIyzed. Justice Whites decision is
that congress did not transcend its con-
su-u-0uaI authority in enacting the
commodities provision. but it was held
that the government construction Of the
provision had been entirely too compre-
de1Ere. AS construed by the court, the
sole H1ieet Of the clause Is TO prevent
carriers from being associated in inter
-Sr with the commodities transported at
--a time of transportation.
Summed up, the act only compels
companies to- associate themselves
from the products they carry and the
government contention that the law ap-
les GO the ownership of stock and pro-
.1'rS the transportation of CommOdi-
ties simply because rley have been pro-
gl.e- tv "a railroad company is unten-
able.
The effect of the decision is favorable
q. the railroads and the government lost
ODD practically all points except in the
sustaining of the principle involved. I'm
holding that congress had not gone be
.a-r -r- authority in enacting the law
Inc court comedies the right to iegislate
and is believed that if so disposed
congress might enlarge and extend the
scope H. the provision. The decision
sustained the provision of the law ex-
s"F..- timber from the operations Of
Cd. w0lities clause.
.. Exemption was used as basis
alta ny the railroads on the law as
u-r0ry. but Justice White re-
.-sf. accept that view. As enacted
%. "l not apply 10 the transporta-
Ton timber and it is of course, I'm
touched by the decision.
Continued on Page 2.