The Bon Homme County independent. [volume] (Tabor, S.D.) 1904-1913, 1911-12-07

OF attempting to evade Or set at naught
the solemn Injunction Of . court whose
S Ssss nhS S D. s ,H Ss S e as
In the history Of equity Jurisprudence.
Voluntary Organisations.
The effect Of these two decisions has led
to DEGREES dissolving the combination Of
n anufacturers OF electric lamps. south
terlocutory decree against the powder
trust with directions by the circuit court
compelling dissolution. and other combi-
tiating with the department of justice
looking to disintegration by decree and
In accordance with law. 1t
seems possible to bring about these reor-
CARNATIONS without general business dis
turbance.
The Cry for Repeal.
But now that the antitrust act Is seen
to be effective for the accomplishment of
the purpose OF Its enactment, We are met
~ by cry from many different quarters for
business progress, to be an attempt to
restore old fashioned methods Of destruct-
I've competition between small units, and
to make impossible those usful combina-
lions of capital and the reduction of the
cost or production that are essential to
continued prosperity and normal growth.
court makes clear that there is nothing
In the statute which condemns combina-
lions Of capital or mere bigness of plant
3 tian to secure economy In prodnSG
when the purpose or necessary effect OF
the organization and maintenance Of the
combination or the aggregation OF i'm
actual and potential, and the enhancing
OF prices and establishing monopoly,
that the statute is Violated; Mere size is
two or more business plants necessarily
eliminates competition between the units
thus combined, but this elimination Is in
contravention. Of the statute only when
ending this particular competition In or
der to secure control of. and enhance.
prices and create a monopoly.
Lack of Definiteness.
The complaint is made Of the statute
that II is not sufficiently definite In its
enable business men to avoid its viola
ton. The suggestion Is, that we may
have a combination Of two corporations,
which may run on for years. and that
conclude that 1t was a violation of the
statute, and that which was supposed by
the combiners to be innocent then turns
the statute. The answer to this hypo-
thetical case is that when men attempt to
amass such stupendous capital as will
tra them TO
know the purpose OF their acts. Men do
not do such q thing without having 1t
clearly In mind. II what they do Is mere
ly for the purpose Of reducing the cost of
production, without the thought of sup
pressing competition by use of the bigness
OF the plan they are creating, then they
union is made. nor can they be convicted
later. unless 1t happen that later on they
conclude to suppress composition and
thus establish for themselves q monopoly
They can, In such case. hardly complain
IL the motive which subsequently Is dis
closed Is attributed by the court to the
original combination.
New Remedies Suggested.
Much Is said Of the repeal OF thist stat
ute and of constructive legislation in
blaze clear path for honest merchants
and business men to follow. 1t may be
that such h plan win be evolved, but !
been brought out in recent days by the
fear of the continued execution OF the
antitrust law have produced nothing but
line OF distinction or rule of action as def
mite and as clear as that which the SUI
preme court itself lays down in enforcing
the statute.
Supplemental Legislation Needed.
I see no Lobjection-and indeed can see
decided advantages-in the enactment of
law which shall describe and denounce
methods OF competition which are unfair
and are badges Of the unlawful purpose
denounced in the antitrust law. The at
tempt and purpose to suppress O compel
itor by underselling him at O. price SO
Improbable as to drive him out of bust
ness, or the making Of exclusive con-
are required to give up association with
other manufacturers, and numerous kim
dred methods for sitting competition and
with sufficient accuracy in criminal
statute on the one hand to enable the
government to shorten Its task by prose-
cutting single misdemeanors instead of an
to serve the. purpose of pointing out
more In detail to the business commu-
nifty what must be avoided.
Federal incorporation.
In special message to congress on
January 7, 1910. ventured to point out the
disturbance to business that would prob
ably attend the dissolution Of these Of
Tending trusts. ] said:
"But such an investigation and possible
prosecution Of corporations whose pros
perity or destruction affects the comfort
not only Of stockholders but of millions
Of wage earners, employees, and associated
turb the confidence Of the business com
munity, to dry up the now flowing sources
of capital from its places of boarding, and
produce a halt In our present prosperity
that will cause suffering and strained cir.
cumstances among the innocent many foI
the faults Of the guilty few. The question
which I wish in this message to bring
clearly to the consideration and discussion
Of congress Is whether. in order to avoid
such a possible business danger. some.
thing cannot be done by which these bust.
ness combinations may be offered q
means. without great financial disturb
ance of changing the character, organ.
ization, and extent Of their business into
one within the lines of the law under fed.
eral control and supervision. securing
compliance with the antitrust statute.
Generally, In the Industrial combina-
tons called trusts. the principal business
Is the sale Of good In many states and In
foreign markets; in other words, the In
terstate and foreign business far exceeds
the business done in any one state. This
fact will Justify the federal government
in granting a federal charter to such 9
combination to make and sell In interstate
and foreign commerce the products OIL
useful manufacture under such imita'
tons as will secure compliance with the
antitrust law. 1t Is possible so to frame
| a statute that while It offers protection t.
| 1 federal company against harmful, vex
atious, and unnecessary invasion by thu
| states, II shall subject 1t to reasonabl.
| taxation and control by the states will
| respect to its purely local business.
Corporations organized under this &C
should be prohibited from acquiring ant
| holding stock In other corporations lex
| cept for special reasons, upon approval b!
| the proper federal authority, thus avoid
| ing the creation under national auspices
| of the holding. company with subordinat,,
| corporations In different states. which
| has been such an effective agency In thu
creation Of the great trusts and monopo
| lies.
'If the prohibition of the antitrust &C
| against combinations in restraint OF trad
is to be effectively enforced, 1t Is essen
tial that the national government shal
| provide for the creation of national cor