Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1909-11-30

ment."
The nature of the case and the char
acter of the decision appear from the
syllabus of Judge Sanborn's opinion,
which reads as follows:
Congress has power under the COM
mercial clause of the constitution to
regulate and restrict the use of COM
merce among the several states and
with foreign nations of contracts, OF
the method of holding title to property
and of every other fundamentally en-
ployed in that commerce so far as it
may be necessary to do in order to
prevent the restraint thereof denounc-
ed by the antitrust act of July 2, 1890, |
26 stat. 200.
"The test of the legality of COM
bination under this act is it's necessary |
effect upon competition in commerce
among the states or with foreign ma
tons.
IF its necessary effect is only Incl
dentally or indirectly to restrict that
competition while it's chief result is to
foster the trade and increase the bust
ness of those who make and operate it,
1t does not violate that law.
But If it's necessary effect is to
stifie or directly and substantially to
restrict free competition in commerce
among the states or with foreign ma
tions it is illegal within the meaning
of that statute.
"The power to restrict competition
in commerce among the several states
or with foreign nations vested in a
80, y.
combination is indicative of the char
acter of the combination, because 1t Is
to the interests of parties that such
a power should be exercised and the
presumtion is that it will be.
1.-THE combination in single cor
; poration or person by an exchange Of
: stock Of the power of many stockhold-
> ers holding the same proportions re.
specuvely of the majority of the stock
/ of each of several corporations engag-
: ed in commerce in the same article
Y among the states, or with foreign ma
) tions, to restrict competition therein,
! renders the power thus vested In the
g former greater, more easily exercised,
r more durable and more effective than
/ that previously held by the stockhold-
q erS, and IL is Illegal.
n "In 1899 the stockholders Of the
n Standard Oil Company of New Jersey
o owned majority of the stock of 19
t other corporations in the same proper
t. tions that they owned the stock of the
t. Standard Company and those 20 cor
l. porations controlled by the ownership
e of the majority of their stock, or other
q wise many other corporations. Each
" of these corporations was engaged II
st some part OF the business of produc
ing buying, refining, transporting and
selling petroleum and it's products anG
- they were conducting about 80 pei
v. cent. Of the production of the crude
n. Oil and more than Is per cent of the
70 business Of purchasing, refining, trans
"a porting and selling petroleum and it!
w products in this country. Many O
~ them were engaged in commerce il
- these articles, among the severa
% states and with foreign nations, ant
20 were naturally competitive.
~ I'm the year 1899 the seven individ
J.. ual defendants and their associates
q. caused the majority Of the stock O.
;, the 10 corporations to be transferred
- to the Standard Oil Company of New
20 Jersey in exchange for its stock, 81
70 that the latter company thereby &C
- CURED the legal title to majority o
=, the stock Of each of the 10 companies
- the control Of these companies and 0
all the companies which they con
y trolled and the power to fix the rate
- Of transportation, the purchase ant
~ selling prices Of petroleum and 1t
- products, which all these corporation
- should pay and receive in the conduc
of their business in commerce anon
n the states and with foreign nations.
- "Since that exchange of stock tn
seven individual defendants have bee
and are stockholders and officers {
;. the Standard Company Of New Jerse,
-, -, which has exercised and is still usin
~ that power, and by it's use 1t has PR
- vented and is still preventing compel
-, ton in commerce among the state
- and with foreign nations among thes
-, corporations
~ ~ Held, the transaction constitute
to combination and conspiracy in n
-, straint of and to monopolize commerc
- among the states and with foreign nj
-, lions in violation of sections l ano
~ Of the antitrust act of July 2, 1879
49, 49, and the government is entitled to a
w. injunction against the further contin
20 ance and operation thereof"
~ The decree enjoins the seven inc
~ vidual defendants, the Standard o
~ Company and it's subsidiary corpor
III lions, from continuing or carrying l.
-, to effect the illegal combination the
~ have formed and from entering I'M
e. any like combination or conspirae
vi the effect of which will be to restra
iiu interstate commerce iii petroleum
o. it's products, or to prolong the unla,
gu full monopoly of such commerce o
ne tanned by the defendants as stated
w. the decree, and they are forbidde
from engaging or continuing in int
state commerce until they discontin1
ne their illegal combination. The deer
Or takes effect 80 days from the date
nal its filing unless suspended by an q
nd peal to the supreme court.
Ids
ust
&c.