Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1910-01-13

trust law. It IN possible 40 to frame a
statute that. while II offers protection
to a federal company against harmful,
vcxntious ana unnecessary invasion by
the states, 1t shall subject II to reason
able taxation and control by the states
with respect to purely local business.
Many people conducting great bust
nesses have cherished hope and a
belief that In some way or other a line
may be drawn between good trusts"
md bad trusts" The public, and es.
pccinlly the business public. ought to
rid themselves Of the idea that such a
distinction 10 practically or can be IN.
troducsd into the statute. Certainly
under the present antitrust law no
such distinction exists. 1t has been
proposed. however. that the word 'rea
sOnable" should be made a part OF the
statute and then that II should be left
to the court to say what Is a reasona Bile
restraint Of trade. what Is a reasona bic
suppression Of competition, what Is a
reasonable monopoly. venture TO
think that this is to put into the hands
Of the court power impossible to exer
else on any consistent principle.
In considering violations Of the anti
trust law we ought. Of course, not to
forget that that law makes unIa wful
methods Of carrying on business which
before Its passage were regarded rs
evidence Of business sagacity and sue
cess and that they were denounced In
this act not because Of their intrinsic
immortality. but because Of the danger
Gus results toward which they tended.
the concentration Of industrial power
In the hands Of the few. leading to
oppression and injustice.
Through all our considera ton Of this
grave question. however. we must in
sist that the suppression Of competi-
ton. the controlling Of prices and the
monopoly or attempt to monopolize IN
interstate commerce and business are
not only unlawful. but contrary to the
public good. and that they must be re-
strained and punished until ended.
National Incorporation Law.
therefore recommend the enactment
by congress Of a general law providing
for the formation Of corporations to
engage in trade and commerce among
the states and with foreign nations
protecting them from undue interior
activities, so as to prevent the recur-
renee under national auspices Of those
abuses which have arisen under state
control. Such law should prov lde
for the issue OF stock Of such corpo-
rations to an amount equal only to the
cash paid In on the stock. and II tn
stock be issued for property then at
fair valuation, ascertained uIder ap-
proval and supervision Of federal au-
thority. after a full and complete dis
closure Of all the facts pertaining to
the value Of such property and the in
terest therein Of the persons to whom
1t Is proposed to issue stock in pay
ject the real and personal property only
Of such corporations to the same tax
alton as IS imposed by the states with
in which 1t may be situated upon other
similar property located therein. and
1t should require such corporations to
file full and complete reports Of their
opera lions with the department Of COM
merce and labor at regular Intervals.
Corporations organized under this act
should be prohibited from acquiring
and holding stock In other corporations
except for special reasons upon ap-
proval by the proper federal author
ity). thus avoiding the creation under
pany with subordinate corporations In
different states, which has been such
an effective agency in the creation Of
the great trusts and monopolies.
II the prohibition OF the antitrust
act against combinations in restraint
of trade is to be effectively enforced 1t
is essential thar the national govern
ment shall provide for the creation Of
natiOnal corporations to carry on
legitimate business throughout the
United States. The conflicting laws Of
the different states of the Union with
respect to foreign corporations make
II difficult II not impossible for one
corporation to comply with their re-
quirementS so as to carry on business
in a number Of different states.
To the suggestion that this proposal
OF federal incorporation for industrial
combinations is intended to furnish
them refuge III which to continue In
dustrial abuses under federal protec-
ton It should be said that the meas.
IRE contemplated does not repeal the
Sherman antitrust law and Is not to
he framed so as to permit the doing
OF the wrongs which it is the purpose
OF that low to prevent but only to fOs-
ter continuance and advance OF the
highest industrial efficiency without
permitting Industrial abuses
such 4 national Incorporation law
VIII be opposed. first, by those who he
heve that trusts should be completely
broken up and their property destroyed
II will be- opposed. second. by those
VINO doubt the cOnstitutiOnality Of such
FEDERAL Incorporation and. even II it is
valid object to 1t us too great fedora:
centralization. 1t will be opposed.
third. by those who will insist that a
mere voluntary incorporation like this
VIII not attract to its acceptance the
worst OF the offenders against the an
thrust statute aud who will therefore
propose instead OF it system OF com
pulsory licenses for all federal corpo-
rations engaged In interstate business.
Objections ForsstaIIed.
Let Us consider these objections in
thelr order. The government Is now