Lower coast gazette., 1910-01-15
COMMERCE LAW
AND THE TRUSTS
TREATED BY TAFT
PRESIDENT HANDLES TWO M.
PoRTANT TOPICS IN HIS sPE.
CIAL MESSAGE TO CONGRESS.
WANTS NEW COURT CREATED
Tribunal Would Hear Cases ARISING
Undee the Interstate Law-chief
Exec We Also Urges Federal In.
corporation Statute to Suppress
Abuses and Not to Destroy Legiti.
mate Combinations of Capital.

Washington. Jan. 7.-Needed legislation
concerning the interstate law
and the control Of trusts formed the sub
ject of President Tafts special message
to congress. The president calls atten-
ton to the partial failure of the present
commerce law to get results because Of
the frequent appeals from its decisions
to federal courts and the slowness of the
supreme court in deciding these cases.
The message says:
IL would not be proper to attempt to
deprive any corporation of the right to
the review by a court of any order or de-
cree which, if undisturbed, would rob it
or a reasonable return upon it's invest
ment or would subject it to burdens
which would unjustly discriminate
against it and in favor Of other carriers
similarly situated. What is, however, Of
supreme Importance IS that the decision
or such questions shall be as speedy as
the nature Of the circumstances will ad-
init. and that a uniformity of decision be
secured 50 as to bring about an effeC-
tive, systematic and scientific enforce
ment of the comerce law, rather than
conflicting decisions and uncertainty of
final result.
Recommends "Court of Commerce."
For this purpose 1 recommend the es-
Establishment of Il court of the United
States composed of five judges desig-
mated for such purpose from among the
circuit judges Of the United States, to
be known as the United States court
OF commerce which court shall be
clothed with exclusive original jurisdic-
ton over the following classes of cases:
"CD All cases for the enforcement, 9TH
erWise than by ADJUDICATION and cOllec-
ton. of a forfeiture or penalty, or by in
fiction of criminal punishment, of any
order OF the Interstate COM
mission other than for the payment of
money.
"t0 All cases brought to enjoin. set
aside, annui or suspend any order or
requirement Of the interstate commerce
commission.
'"t3) All such cases as under section 8
OF the act of February 10. 1903, known
as the 'Elkins act are authorized to be
maintained in a circuit court of the Uni
ted States.
under the provisions Of section 20 or sec
ton % of the interstate law
are authorized to be maintained in a cir
cult court of the United States.
reasons precisely analogous to those
which induced the congress to create the
court OF customs appeals by the prOvi-
sions In the tariff act of August S, 1909,
may be urged in support Of the creation
of the court.
I'm order to provide a sufficient mum
Der OF judges to- enable this court to be
constituted 1t will be necessary to author
lie the appointment Of five additional
circuit judges, who. for the purposes of
appointment. might be distributed to
those circuits where there Is at the pres
ent time the largest volume of business
such as the second, third, fourth, seventh
and eighth circuits. The act should en-
power the chief justice at any time when
the business Of the court Of
does not require the services of all the
judges to reassign the judges designated
TO that court to the circuits to which
they respectively belong; and it should
also, provide for payment to such judges
while sitting by assignment in the court
of commerce Of such additional amount
as is necessary to bring their annual
compensation up to $4,000.
Only Second to Supreme Court.
THE regular sessions of such court
should be held at the capitol, but it
should be empowered to hold sessions in
different parts of the United States il
found desirable; and it's orders and iudg-
ments should be made final, subject only
to review by the supreme court of the
United States. with the provision that
the operation of the decree appealed from
shall not be stayed unless the supreme
court shall SO order. The commerce court
Should be empowered in it's discretion to
restrain or suspend the operation of an
order of the interstate cofnmis-
sion under review pending the final hear
ing and determination of the proceeding.
but no such restraining order should be
made except upon notice and afetr hear
ing, unless In cases where irreparable
damage would otherwise ensue to the pc
t%itioner. A judge of that court might
be empowered to allow a stay of the
commissions order for a period Of not
more than 60 days. but pending applica-
ton to the court of it's order or in;unc-
ton, then only where his order shall con-
tain q specific finding based upon evil
dence submitted to the judge making the
order and identified by reference thereto
that such ~irreparable damage would re-
suit to the petitioner. specifying tho ma
ture of the damage"
Under the existing law the Interstate
commerce commission itself initiates and
defends litigation in the courts for the
enforcement, or in the defense of its or
ders and DEGREES. and for this purpose 1t
employs attorneys, who, while subject to
the control of the attorney general, act
upon the initiative and under the instruc-
tons of the commission. This blending
OF administrative. legislative and judi
cial functions tends, in my opinion, to
impair the efficiency of the commission
by clothing 1t with partisan characteris-
tics and robbing 1t of the impartial judi
cial attitude 1t should occupy in pass
ing upon questions submitted to it. In
my opinion all litigation affecting the
government should be under the direct
control OF the department of Justice: and
! therefore recommend that all proceed
''N' iNNN' VhNNio oiiN vi lHO
interstate commission be
brought by or against the United States
go nomine. and be placed in charge Of an
assistant attorney general acting under
the direction OF the attorney general"
Would Permit Agreements.
Coming to the subject Of railroad pools
and traffic agreements, the president
says:
1.-THE Republican platform of 1908 ex-
pressed the belief that the interstate |
law should be further amend |
ed so as to give the railroads the right
to make any public traffic agreements |
subject to the approval of the commits |
sion. but maintaining always the pTin- |
ciple of competition between naturally
competing lines, and avoiding the com |
NOR control of such lines by any means
whatsoever.
I'm view of the complete control over