The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1911-05-23
(By "A ssociated Press

(By Associated PresS.)
New York, May 19.-In the first
Federal antitrust proceedings brought
under the Sherman law, as interpreted
by the Standard Oil decision, the De-
partment of Justice filed suit in the
United States court here today against
various constituent organizations OF
what is popularity known as the "Lum-
Der Trust" alleging the existence OF
a widespread conspiracy, "~unreason-
ably to restrain the lumber trade in
this country. 1t is said that the suit
may be the first of a series planned
by Attorney General Wickersham look
ing to the breaking up of alleged
agreements among the retailers or
many Of the commodities Of life to
maintain high prices; to force all ul-
innate erS to buy from retailers
and to blacklist wholesalers who sell
to others than members of the retail
organizations in the various States and
cities.
Ten trade organizations and more
than 100 individuals are named as de-
PENDANTS in today's suit. 1t alleges
violation Of the Sherman Antitrust
law and seeks a permanent injunction
restraining the defendants from con-
tinuing the conspiracy charged.
The elaborate system of blacklisting
attributed to the alleged conspirators,
copies of circulars sen out by the
various organizations classifying con-
Sumers as proper and Improper
trade, extracts from reports threaten
ing snort shrift" to dealers daring
to violate the rules of the organiZa-
ions and branding such offenders as
'~poachers,' "scalpers," mavericks"
and "illegitimates," are fully set forth
in the governments petition.
It is alleged hat not only have
private been black-listed
but that many Of the great industrial
concerns of the country have been
put under the ban by the lumber deal
ers. The governments bill Is replete
with sensational allegations and in
teresting exhibits.
The suit is directed specifically
against retail organizations in the
Eastern States, but the trial unques-
tionably will embrace methods adopt
ed by retailers and wholesalers
throughout the United States. In
general, the cas- is regarded as At
torney-General Wickersham's Ions
planned test suit to have the courts
determine how far combinations in
restraint Of trade may go to prevent
the ultimate consumer from dealing
directly with the wholesaler or pro-
Queer.
The government takes the position
thai any agreements or acts which
prevent a from buying
where he choose or to his best ad-
vantage are in unreasonable re-
straint of trade M violate the Sher-
man law. No attack on the middle
man as such, is intended, the De-
partment of Justice holding that there
is legitimate business opportunity.
1t is known that While the Depart
ment has been making a nationwide
investigation Of the question as it re-
lates to lumber, it's agents lave. re-
ported that the case is nearly paral-
leled in the marketing Of many other
commodities in daily use. If the gov
ernment's contentious in this case are
sustained there is promise 0 IA sweep
ing attack upon similar alleged con-
Spiracies. The Department of Justice
regards the case as the most import
ant in principle of all the antitrust
suits undertaken. Attorney General
Wickersham personally directed the
gathering Of h evidence.
The principal defendants in the
suit are:
The Eastern States Retail Lumber
Dealers Association, a New York cor
poration. the central body of the nine
other organizations.
The New York Lumber Trade Asso-
citation Of New York City.
The Building Material Mems Asso-
citation of Westchester county, New
York.
The Lumber Dealers Association OF
Connecticut.
The Massachusetts, Retail Lumber