New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-10-13
Trust BROKEN
Continued from arst mage

a similar nature by which the prices 81
various electrical devices ard supplies
were Fixed and 70 which some If these
defendants were parties. But since the in
stitution Of this suit all these pools have
been voluntarily dissolved. The inves'i-
cation also disclosed general trade and
patent agreement between The General
Electric Company and tia WestinehcusA
Electric and manufacturing Company.
the two largest electrical concerns In the
country. covering substantially their
whole business. bur this agreement.
since the institution Of the governments
suit has expired b. limitation and has
not been and it iz believed. VIII not he
renewed.
BY this decree" the Attorney General
continued. the contracts and Ccmhira
tons entered into by all the defendants
are declared unlawful and they arc sew
orally enioined from entering into or FER
forming any agreements Or arrangements
Of any nature by which the prices of IN
cardescert electric lamps ~ any t"ra on
description, whether patented or impatient
Cd. are 10 r. fixed, either ~ Wholesale or
retail"
citing other important effects ~ tho de-
cree. the Attorney General SAID.
The National Lamp Company and 81 its
subsidiary companies are ordered 70 ne
dissolved. and the General Electric Com
pany is forbidden hereafter TO conduct any
business IN the manufacture oI SAFE ol
electric lamps except IN rs own name.
The method by which competition IN un-
patented articles has been suppressed
through the use Of patented aruciIs -
declared TO be unlawful, and Is torDldden
The manner in which this was done IS tnly
explained in the governments bill nut, IN
brief II may be said that the practlc" con
sisted in system Of contracts WIN aeal
ers iobbers and consumers by which they
were compelled 10 agree 20 purchase from
the defendants all their Supply OF carbon
lamps on which the patent had eZPlred az
condition 10 the right to purchase cNf-
tain lamps known 70 tho trade as tung-
stem tantdlum and metalized nlament
lamps. which are still claimed 70 ne pai
ented BY means of aggregating discounts
on lamps claimed 10 he patented with as
counts on lamps not patented. another
weapon was used 10 suppress competuoH
IN unpstented lamps. Both these pIa.-
DIV on an article long after the patent had
expired, by tying up its sale with a pat
onted article which the trade required.
Tho Genera Electric Company ana r1lu
and eli Of the defendants engaged in Tic
manufacture Of electric lamps are on
Joined from entering into or carrying ON
ccr+ain contracts which n has hocu the
rractice 10 make IN the past by which the
manufacturers Of bulbs tubng ana otnei
parts necessary 10 a completed lamp were
bound not 10 sell the article manufactured
nv them 10 anybody except the defendants,
save upon unequal conditions. The result
Of this part of the decree Is that ind"pen-
dent manufacturers Of electric lamps VIII
hereafter be enabled 10 secure the parts
necessary TO such manufacture without the
unfair and unnatural restraint which has
heretofore existed.
All PARTIES to tho combination arc on
Joined from hereafter seeking TO iniure the
fuslnees or sncure the trade of rival manu-
facturers h. offering and making terms or
prices for incandescent lamps TO the Gus
toners Of such rival manufacturers more
favorable than they make 70 their estab-
iisbed trade though nothing in the decree
is to he taken I'm any respect As restraint
upon fair. free and open competition.
Cleveland. oct. 12-Thc National Electric
Lamp Company is incorporated under the
laws of New Jersey. with headquarters at
East 18th street and Houzh avenue. this
citv IN suit flied here on March 3. 1911
The government charged that the National
Electric Lamp Company acted as holding
company for the General Electric Company
and about forty subsidiary concerns. and
that a conspiracy existed IN restraint OF
trade The petition asked that they be en-
irinod from entering into any agreement
fixing prices.
Among other allegations made bv the
government was that the so-cailcd Electrical
Triat controlled practically the entire trade
OF the country In carbon flament clectTi
lamps More than eighty million OF these
are sold every year.
L G Denman. United States Attorney.
said today that Judge Kllits's decree fol
lowed the announcement Of the defendants
that they were ready 10 plead guilty. ana
accent the mercy Of the court.