The Manitowoc pilot. [volume] (Manitowoc, Wis.) 1859-1932, 1911-04-06
COAL ROADS LOSE
. IN SUPREME COURT
Lehigh Valley Case Won by the
Government.
COAL LANDS MUST BE SOLD
Attempt to Put Ban on "Cut Rates" in
Proprietary Medicines Is Dis
approved by High Tri-
bunal.

Washington, April 4.-The anthra-
cite coal roads suffered defeat in the
United States Supreme court when
that tribunal handed down decision
in the case of the government against
the Lehigh Valley Railroad company
The effect of the ruling will be that
Lehigh and other anthracite roads
must sell their coal lands
The immediate outcome of the deci-
sion will be that the government will
be given another opportunity TO enioin
the Lehigh from carrying coal from its
own mines in alleged violation of the
commodities clause" of the Hepburn
rate law
Device to Evade Law.
Justice White, in announcing the
decision, held that the lower court had
Jailed TO carry out the decree of the
supreme court rendered more than a
year ago in not allowing the govern
ment to amend its original bin so as
to show that the coal company in
question was mere device of the rail-.
road to evade the law.
Justice White held that the court
was right III refusing to dismiss with
out prejudice the suits against the
other railroads.
The commodities" clause made II
unlawful for a railroad to transport
IN interstate commerce any commodi-
" produced by it, or in which it might
own or have any interest, with certain
exceptions.
Cut Rate Drugs Upheld.
The attempt to put the ban on "cut
rates in proprietary medicines In this
country received the unqualified dis
approval of the Supreme court.
That tribunal declined, in an opinion
by Justice Hughes, to give its aid to
such an attempt on the ground that it
would afford the manufacturers of
medicine an unlawful monopoly.
The question of the right of a manu-
facturer to control the price of his ar
ticle to the consumer arose in suit
begun by the DR.. Miles Medical com
pany of Elkhart, Ind, against a whole
sale dealer in medicines in Cincin-
natl, Ohio, John d. Park & Sons com
pany.
Courts Cannot Insure Monopoly.
The manufacturer sought to enjon
the Cincinnati firm from inducing
dealers, who had procured medicines
from the manufacturer, to sell it in
violation of contract with the manu-
facturer and from selling medicines
procured In this way at cut rates"
Justice Lurton, then a Judge in the
circuit court, announced the opinion OF
the circuit court Of appeals Of the
Sixth district denying the injunctions
sought. He said that while the manu-
facturer of medicines under secret
formula had a right to a monopoly Of
manufacture until the formula was
discovered by fair means. yet the
courts could not insure him the "un-
necessary monosoly" of controlling
the price to the consumer
Justice Hughes quoted approvingly
from Judge Lurton's opinion and
stated that the medical company had
made the mistake Of considering its
monopoly of manufacture to be
monopoly of sale.
Justice Holmes, in dissenting
opinion, said that he believed in the
policy of letting people manage their
own business in their own way as
much as possible. Furthermore. he
stated that he believed there was
tendency to overvalue the benefits of
competition to the public. The popu-
larity of that belief, he said, led him
to express dissent.