Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1911-12-05
MESSAGE OF TIE President

MESSAGE Of TIE PRESIDENT
Continued from page IL
demned under the statute which is not
brought within it's terms as thus con-
strued
The suggestion is also made that the
supreme court by its decision In the
last two cases has committed to the
court the underlined and unlimited dis
erection to determine whether a case OF
restraint of trade is within the terms
Of the statute. This is wholly untrue.
A reasonable restraint Of trade at CON-
mon law Is well understood and is
clearly defined. It does not rest In the
discretion of the court. It must be
limited to accomplish the purpose Of
lawful main contract to which in order
that It shall be enforceable at all it
must be incidental. II it exceed the
needs Of that contract it is void.
The test Of reasonableness was never
applied by the court at comman law
to contracts or combinations or con-
spiracies in restraint Of trade whose
purpose was or whose necessary effect
would be to stide competition. to con-
troll prices or establish monopolies
The courts never assumed power to
say that such contracts or combina-
lions or conspiracies might be lawful
II the parties to them were only mod
crate in the use Of the power thus Sc
cured and did not exact from the pub
lie too great and exorbitant prices. It
is true that many theorists and others
engaged in business violating the stat
ute have hoped that some such line
could be drawn by courts, but no court
Of authority has ever attempted it
Certainly there Is nothing In the deci-
sions Of the latest two cases from
which such dangerous theory Of ju.
dicial discretion In enforcing this stat.
ute can derive the slightest sanction.
Force and Effectiveness Of Statute q
Matter Of Growth.
We have been twenty-one years MAX
ing this statute effective for the pur'
poses for which it was enacted. The
knight case was discouraging and
seemed to remit to the states the whole
available power to attack and suppress
the evils of the trusts. Slowly. howev'
er. the error Of that judgment was cor
rected, and only in the last three or
four years has the heavy hand Of the
law been laid upon the great illegal
combinations that have exercised such
an absolute dominion over many Of our
industries. Criminal prosecutions have
been brought, and number are pend
ing, but juries have felt averse to con-
victing for jail sentences and Judges
have been most reluctant to impose
such sentences on men of respectable
standing in society whose ofense has
been regarded as merely statutory.
Still, as the offense becomes better un-
derstood and the committing Of It par
takes more Of studied and deliberate
defiance of the law we can be conf
dent that juries will convict indivfdu.
ais and that Jail sentences will be i'm
posed.
The Remedy In Equity by Dissolution.
In the Standard Oil case the supreme
and circuit courts found the combina- |
ton to be monopoly Of the interstate
business Of refining. transporting and
marketing petroleum and its products.
effected and maintained through thir'
ty-seven different corporations. the
stock of which was held by New Jer-
sey company. It in effect commanded
the dissolution of this combination, d. |
rected the transfer and pro rata distrf- |
button by the New Jersey company of
the stock held by it in the thirty seven
corporations to and among its stock |
holders, and the corporations and indi-
vidual defendants were enjoined from
or combining to restore
such monopoly. and all agreements be-
tween the subsidiary corporations tend
ing to produce or bring about further !
violations of the act were enjoined-
In the tobacco case the court found !
that the individual defendants. TWEEN.
LYNNE in number, had been engaged
In a successful effort to acquire com.
plete dominion over the manufacture.
Bale and distribution Of tobacco in this
country and abroad and that this had
been done by combinations made with
4 purpose and effect to stifle competi.
hon. control prices and establish
not only in the manufacture
Of tobacco. but also Of tin foil and hc-
price used In its manufacture and of
|ts products Of cigars. cigarettes and
NUTS. The tobacco suit presented
lar more complicated and difficult case
han the Standard Oh suit for decree
which would e6ectuate the will Of the
court and end the violation of the stat
ute. There was here no single hold
ng company. as in the case Of the