Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1911-05-16
Supreme Court of United States
Orders Dissolution Within Six
Months of Combination and
19 Subsidiary Corporations.
EPOCH MARKING DECISION
VICTORY FOR GOVERNMENT
Big Business Finds Ray of Hope
in Part Of Opinion Which Linn
its Sherman Law Application
Alone to "Undue" Restraint,
lpy Morolnr Journal Special Leased Wire,


lBy Morning Journal Special Leased wirel
Washington, May 15.--The Standard
OIL company of New Jersey and its
nineteen subsidiary corporations were
declared today bv the supreme court
of the United States to be a conspir-
acy and combination in restraint OF
trade. 1t also was held t. be monopo-
lizing Interstate commerce in viola
ton OF the sherman antitrust law
The dissolution Of the combination
was ordered to take place within six
months.
Thus ended the tremendous struggle
on the part of the government to put
down by authority of law combina-
ton which, 1t claimed, was a menace
to the Industrial and economic ad-
vancement of the entire country.
At the same time the court inter
preted the Sherman antitrust law so
as to limit its application to acts
of undue" restraint of trade and
not EVERY" restraint of trade. 1t
was on this point that the only dis
cordant note was heard in the court.
Justice HarlSn dissented. claiming
that cases already decided by the court
had determined, once for all, that
the word undue or "unreasonabl lie"
OF similar words We're not in the
statute.
He declared that the reasoning of
the coust in arriving "a its finding was
in effect legislation which belonged in
every instance to congress and not to
the courts.
Ever since the decree in this case
In the lower court the United States
circuit court for the eastern district
OF Missouri, was announced, hope has
been expressed by the business world
that the law would be modified so as
not TO interfere with what was des-
ignated honest business. Tonight
that section of the opinion calling for
the use of the rule of reason in ap-
plying the law is regarded in many
quarter as an answer to the prayers
Of the business world
The opinion of the court was an
nounceu by Chief Justice White. In
printed form il contained more than
20 900 words For nearly an hour
the chief Justice discussed the case
from the bench, going over most of
the points in the printed opinion, but
not once ieferring to it to refresh his
memory.
Before him sat an audience of the
most famous men of the country.
Senators and representatives left their
chapbers in the capitol to listen to
the epoch making decision of the
court. Most eager TO hear were At
torney- General Wickersham and
Frank b. Kellogg. special counsel for
the government, who had conducted
the great fight against the Standard
Oil
None of the brilliant array of eoun-
sci Tor the corporations or indiVldual
defendants was present during the
reading of the opinion,
To-day. as on previous. days for
months, rival broker agents with
messengers in line to the various tele-
phone and telegraph instruments
throughout the capital were on hand,
but to their dismay the announcement
of the decision was not begun until
an hour after the close of the stock
markets.
Many expected the decision in the
dissolution suit against the tobacco
corporation would be handed down
Immediately after the decision in the
Standard Oil case. This was not done;
however. but the decision Is expected
on May 20, the last decision day Oh the
court until next October.
The opinion of the court was CON
strued TO mean that the tobacco case
like every other case in when re-
siraints of trade are alleged, must DE
subjected to the new test OF reason
ableness of the restraint as ialo
down IN the Standard OIL decision.
BY far the greater portion OF the
opinion of the chief justice was de-
voted to the justification OF the eour.
in recurring that the rule of reason
bp o1nlied tn restraints of trade be-
fore they were held to be violations OF
the sherman antitrust law. The
court found this justification in the
common law of the forefathers anu
IN the general law of the country az
the time The sherman antitrust law
was passed.
In short. the court held that the
technical words of the statute were 10
kbe given the meaning which those
rvords had IN the common law ana II,
he law ~ the country at the time OF
vthe enactment. This meaning OF the
words. according to the court, called
for the exercise of reason in determin-
ing what restraints on trade were
prohibited
1t was 4 o'clock when Chief Justice
White began to deliver the opinion OF
the court.
'fha chief justice first went into an
extensive recital Of the facts in the
case and then held that the court hau
jurisdiction over the suit, which haa
been questioned by the Standard OH
He then declared that by the reor-
sanitation Of the Standard OIL com
pany OF New Jersey there was prlma
faele evidence that there was an en-
deavor toAcontrol and monopollze' that
further Investigation made this con-
elusive presumption of an intent TO
restrain trpde. - no