The Parma herald. (Parma, Idaho) 1903-1917, 1911-12-14

inevitable working OF the decree and
understand little the personal danger
OF attempting to evade or set at naught
the solemn injunction OF court whose
object Is made plain by tho decree and
whose inhibtione are set forth with a
detail and comprehensiveness unexam-
pied In the history OF equity jurispru-
dance.
The effect OF these two decisions has
led to DEGREES dissolvinK the combina-
ton OF manufacturers Of electric lamps.
Southern Wholesale grocers' aseocia-
ton. an introductory decree against
the Powder Trust with directions by
the Circuit Court compelling dissolu-
tion. and other combinations OF sim
liar history. are now negotiating with
the Department OF Justice looking to
a disintegration by decree and reor-
ganfzntion IN accordance with law. 1t
seems possible TO bring about these
recommendations without general BUSH
ness disturbance.
Movement for Repeal.
But now that the antitrust act Is
seen TO be effective for the accom-
piishment Of the purpose OF its enact
mcnt. we are met by cry from many
different quarters for its repeal. II Is
said to be obstructive OF business prog
resa, TO be an attempt to restore old
fashioned methods OF destructive com
petition between small units. and to
make impossible those useful combi-
nations OF capital and the reduction
OF the cost OF production that are es-
sential 10 continued prosperity and
/ normal growth
Court makes clear that there Is nothing
In the statute which condemns combi-
nations OF capital or mere bigness OF
plant organized to secure economy In
production and a reduction of its cost
IL Is only when the purposes or neces-
IHU - Of .tF he.
maintenance OF the combination or ag-
gregation OF immense size are the stiff
ling OF competition, actual and poten-
tal, and the enhancing OF prices and
establishing monopoly, that the stat
ute Is violated. Mere size Is no sin
against the law. The merging OF two
or moro business plants necessarily
eliminates competition between the
units thus combined. but this elimi-
nation is In contravention OF the
statute only when the combination
Is made for she purpose OF emo.
order to secure control OF, and
enhance. prices and create a monopoly
The complaint Is made OF the statute
that IL is not sufficiently definite in it,
description OF that which is forbidden
to enable business men to avoid its vio-
lation. The suggestion Is. that we ma,
have a combination OF two corpora.
lions, which may run on for years, and
that subsequently the Attorney Genera
may conclude that 1t WIS violation Of
the statute, and that which was sup.
posed by the combiners to be innocen
then turns out to be a combination II
violation CT the statute. The answer L
this hypothetical case is that when mel
attempt to amass such stupendous cap
ital as viii enable them to suppress
competition, control prices and estab
llsh a monopoly. they know the pur
nf arfa 40 do 81
a thing without having it clearly II
! mind. II what they do Is merely To-
the purpose OF reducing the cost OF pro
duction without the thought OF sup
pressing competition by use OF the big
J ness Of the plant they are creating, thei
they cannot be convicted at the tim
the union Is made. nor can they be con
, victed later. unless Il happen that late
on they conclude to suppress competl
; ton and take the usual methods TO
doing So and thus establish for them
selves a monopoly. They can, in sucl
: case. hardly complain IL the motiv,
which subsequently Is disclosed Is at
tributed by the court to the origIna
J combination.
New Remedies Suggested.
Much is said OF the repeal OF thi
statute and OF constructive Legislation
intended to accomplish the purpose an,
, blaze a clear path for honest merchant
y
! be that such a plan Will be evolved, bu
submit that the discussions whicl
have beon brought out in recent day
, by the fear OF the continued execution
of tho antitrust law have produces
. nothing but glttering generallties an
. have offered no line OF distinction o
. rule OF action as definite and as clea
as that which the Supreme Court itsel
lays down In enforcing the statute.
see no objection-and indeed l ca
see decided adyantages--in the enact
. ment OF a law which shall describe an
denounce methods of competition whic
are unfair and are badges OF the un
lawful purpose denounced in the anti
! trust law. The attempt and purpose I
suppress a competitor by undersellin
J him at a price so Improbable as I
drive him out OF business. or the max
Ing OF exclusive contracts with custom
ers under which they are required I
give up association with other manu-
. lecturers, and numerous kindred meth
obs for sitting competition and effect
: Ing monopoly. should be described wit
, sufficient accuracy in a criminal stat
/, ute on the one hand to enable the Gov
. eminent to shorten its task by prose
! cutting single misdemeanors instead o
. an entire conspiracy. and on the othe
hand. to serve the purpose of pointing
out more In detail to tho business com
munity what must be avoided.
, Tho President recommends Fedora
} Incorporation. and refers TO his spe
cial message to Congress on January I
1910. when he pointed out the disturb
ance to business that would prob
I ably attend the dissolution OF offendin
I trusts, saying:
} II tho prohibition of the anti-trus
act against combinations in restraint o
! trade Is to be effectively enforced.
IL essential that the National Gov
, eminent shall provide for the creation
: OF National corporations to carry on
! legitimate business throughout tn
United states The conflicting laws O
, the different states OF the Union wit
: respect to foreign corporations max
l IL difficult IL not impossible. for on
corporation TO comply with their re
quirements so as to carry on bushes
. In number OF different states.
ronew the recommendation OF tn
enactment OF a general law providini
4 for the voluntary formation OF corpora
4 tons TO engage in trade and commerc
, among the states and with foreign ma
lions. Every argument which was the
, advanced for such law. and every ex
PLANTATION which was at that time OF
Tered to possible objections. have beei
. confirmed by our experience since tn
enforcement of the antitrust statut
y has resulted In the actual dissolution
!, OF active commercial organizations.
Becresttve Laws Urged.
: II Is even more manifest now than
was then that the denunciation OF con
: lspiracies in restraint OF trade shout
not and does not mean the denial o
organizations large enough to be In
9 trusted with our interstate and for
hoo