The Richmond Virginian. (Richmond, Va.) 1910-1920, 1910-06-20
EDITORIAL
THE RAILROAD BILL.

The railr I'D bill, as passed, does two nm
portant tnings.
Il gives the Interstate Commerce Commission
Jurisdiction Ia supervise increases III rates, ana
ii creates Court of Commerce, whose junction
will be primarily to pass upon the intricate CUES
tioas arising from the mass ot litigation incident
ia attempted government control of highly tech
nieal business.
We thiuk that these two provisions are worth
all the labor Of securing the law. There Is no
one thing in which the mass Of people are so
directly interested as the price nj which the
necessities Of life are transported Icy the ralI-
roads TIL railroads can only operate through a
grant 81 a portion Of he sovereignty IF the
people Their business Is therefore peculiarly
responsible to he people The law does not in
any sense 'rontscate" private property: II mere
IL safeguards the exercise OF power 10 the pec-
pies interest which the railroads, without the
surrender Of peculiar popular powers, could not
exercise III all. To give the government this
power ot supervision and the railroads III re-
source Of a specially qualified court Of revision
j. rho part of just and sane legislation
OF the two important recommendations of
the President which failed to pass that which
provided for government control of capitalize
ton appears on its face an encroachmcnt of
State rights, the defeat Of which is happy out
come. II is important that The practice OF
watering stocks be checked, but thc chief hurt
in this respect has already been done. and it is
questionable whether any good which might ac-
crue from government action would not he great
~ overbalanced by the injury done the States
in their power TO charter their own corporations
To say that, by reason of the commerce clause
of the Constitution, the regulation there pro
rided for extends to what is tantamonnt to tax
ing the right to charter interstate corporations
into government hands is stretching beyonc
reason of the authority to control interstate com
merce The power sought is. indeed in restrain
of trade, rather than in preservation of trade
between the States. The aim is not at com
merce", but at the agencies of commerce. What
over action is needed in the matter of capital
cation is action properly for the States that gran
the charters TO do business which, under the Ions
time construction of the Constitution. carry tn,
right to do business in all, as well as one of the
States.
The other recommendations which failed, by
which mergers and agreements now in violation
of the Sherman law would have been permitted
subject to governmental supervision, was prob
ably defeated on account of the fear on the par
mltted mistakes of that statute. As result
the railroads viii be forced by practical condi
lions to continue the violation of the law at tn,
license Of the government. This makes for
uncertainty in the conduct of railroads. for
continued industrial disorganization, for hurt
fnl spirit of law violation on the part of tn
railroads, as we'll the placing of dangcrou
power in the hands of government officials t.
hold club over the heads of the roads. !
makes for the dangerous equation of a law tina
will not be obeyed, and for partial enforcement
of the law for ends of political expediency, o
for revenge. As in the case of Roosevelt tn
Sherman law has inexpicable tradition o
virtue, 10 deny which is to court political dc
struction.
On the whole, however, the railroad bill is
step in the right direction-a step toward tn
solution Of problem upon which, in the large
view, industrial peace and prosperity depend
solution which viii, between railroads anc
people, fit the doctrine Of live and let live upon
ihe equitable adjustment of rights on the on
band and powers on tue othci.