The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1911-12-06

WASHINGTON. Dec. 5.-Sounding
the administration campaign slogan,
President Taft today presented to con-
gress his first message devoted en-
t,rely TO trusts Rallying to defense
OF the supreme court in the oil and
tobacco trust decisions. President Taft
urges voluntary federal incorporation
OF interstate corporations and amend
ment OF the Sherman antitrust law.
decrying the clamor for It's repeal
The intention Of the administration
TO continue prosecution Of trusts and
demand Jail sentences for big BUSH
ness men is outlined.
"Juries have felt averse to convict
Ing and judges to sentencing men OF
respectable standing in society for an
osfense regarded as statutory" says
the PRESIDENT. "Stiil. as the offense
becomes better understood and the
committing OF II partakes more or
studied and deliberate defiance OF the
law, we can be confident that juries
will convict individuals and that jail
sentences will be imposed"
An amendment 10 the antitrust stat
ute. to define and denounce specifcal-
IS unfair competition Is urged by the
president. federal corporation COM
mission to supervise companies given
federal charters is advocated.
The presidents message follows:
To the Senate and House OF Represen-
tatives:
This message Is the first Of several
which shall send 10 congress during
the interval between the opening OF It's
regular session and it's adjournment
for the Christmas holidays The
amount OF information TO be com
inundated as TO the operations or the
government. the number OF important
subjects calling for comment by the
executive ard the transmission 10
congress OF exhaustive reports or spe-
clal commissions. make II impossinle
10 include In one message OF a reNfon-
ablc length n discussion III the topics
that ought TO he brought 10 the atten-
ton OF the national legislature at It's
first regular session.
In May last the supreme court
handed down decisions In the suits In
equity brought by the United states
10 enioir the further maintenance or
the standard oil Trust and or the
American Tobacco Trust, and 20 secure
their dissolution The decisions are
epcch making and serve 10 advise the
business world authoritattvely OF the
scope ard operation or the anu-trust
act of 1890 The decisions do not de-
part In any substantial way from the
previous decisions of the court In con-
STRUNG and applying this important
ctsions by further defining the ALREADY
admitted exceptions to the literal con-
struction of the act. By the DEGREES
they furnish useful precedent as 10
the nroper method Of dealing with the
capital and property of illegal trusts.
These decisions suggest the need ana
wisdom OF additional or supplemental
legislation to make IL easier Tor the
entire business community 20 square
with the rule 81 action and legality
thus tlnaIly established and to pre-
serve the benefit. freedom. and spur
OF reasonable competition without loss
OF real efficiency or progress
No Change In the Rule of Decision
Merely In Its Form OF Expression.
The statute in its frst section de-
clares TO be Illegal every contract
combination In the rorm OF trust OF
otherwise, or conspiraCy. In restraint
OF trade or commerce among the Sow
erat states or with Foreign nations,
and in the second, declares guilty Of q
mtsdenteanor every person. who shall
nonopolize or attsmot TO monopolize
or combine or Conspire with any Other
person TO mon )polize any part OF the
trade or commerce OF the several states
or with foreign nations.
I'm two carly cases. where the sta
tute was invoked to cnjoin a trans
portatiun rate agreement between I'M
terstate railroad companies, II was
held that IL was no defense 10 show
that the agreement az TO rates COM
ulained Cf was reasonable at common
iaw because IL was said that the stat
lite was directed against all contracts
ami combinations In restraint OF trade
whether reasonable At common law or
not IL was plain from the record.
how ever. that the contracts complained
Of in those cases would not have been
dperhed reasonable at common law I'm
subseuuent cases the court said That
the statute should be given a reason =
able construction and refused TO Inc
ctude within Us inhibition, certain
contractuaI restraints OF trade which
a denominated as incidental or as in
direct.
These cases OF restraint OF trade that
the court excepted from the operation
Of the statute were instances which.
az common law. would have been
called reasonable In the Standard OH
and Tobacco cases. therefore, the, court
merely adopted the tests OF the COM
mon faw,-aF,tl- iH-llefintng- exceptions
TO the 1T. raj application OF the sta :
tute, only substituted for the test OF
being Incidental or indirect. that oi
being reasonable. and this without
varying In the slightest the actual
scope and effect of the statute. In
other words. all the cases under the
statute which have now been decided
would have been decided the same way
Il the court had originally accepted In