The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-05-30
Tobacco Trust Is DISSOLVED; Can ReOre


attempts 10 monopoliZc, or a. mo-
nopolization. the chief justice de-
clared that the relief must be wider
than that awarded by the lower
court,
The circuit court. he said. had
merely decided that certain OF the
corporate defendants constituted
combinations in violation OF tho FIRST
fact that they were formed by the
union Of previously competing con-
Germs.
In arriving at the proper relief The
court said II had been guided by
three dominant Influences, the first
Of these was described as the duty
of giving complete and cfiicacious
effect TO the prohibitions Of the stat
ute"
The second was described as -'thc
duty OF accomplishing this result with
as little Injury as possible To the
general public"
The third WAS spoken of as prop
or regard for the vast interests OF
tho private property which may have
become vested in many persons as n
result of the acquisition, either by
way of stock ownership or other
wise OF interests In The stocks or Sc
any guilty knowledge or intent In
any way To become actors or partici-
pants In the wrongs which we find
10 have Inspired and dominated tho
Lower Court Erred
Al the outset he said. the court
had concluded that tho lower court
clearly erred in dismissing the indi-
vidua defendants. the United Cigar
Stores company. the Imperial Tobac-
co company. the British American
Tobacco company and their 8ubsdl
AIRY corporations.
Hesitating ia pronounce the decree
difficulty greater than had been pre-
sentcd by any Sherman antitrust
case which had been before the court.
One reason why 1t was so difficult
TO find n remedy was because a mere
decree lorbidding stock ownership by
one part of the combination in an
other part would afford no adequate
measure OF relief, since different In
gradients of the combination would
remain unaffected. and. by the very
nature and character Of their organ
izaton. would be able 10 continue
the wrongful situation.
Another reason was because the
methods of apparent ownership. by
which the wrongful intent was, In
part. carried out, and the subtle de
vices resorted to for the purpose Of
accomplishing the wrong contem-
plated, were of such character that
store the prior lawful conditions.
a third reason was that the
methods devised by which the vari-
Gus essential elements TO the sue
cessful operation of the tobacco bus
mess from any particular aspect,
have been so separated under var-
Gus subordinate combinations, yet so
unified by ways of control worked
out by tile scheme here condemned.
and are so involved. that any spe-
ciIc form Of relief which we might
now order might operate really TO
injure the public, and it may be. to
perpetuate wrong.
Two General Remedies.
Two general remedies, Chief Jus
tice White said, might be resorted
10. The first OF these he described
a 5 the allowance Of a permanent in
junction restraining the combination
from continuing to engage In inter
state commerce until the illegal sit
uation be cured. The second ne had
In mind was the appointment Of
receiver. The chief justice said that
now direct The immediate applica-
ton OF either remedy.
I'VE so consider as 10 the first he
added because In view OF the e%-
tent OF the combination. the vast
ing character OF It's activities con-
corning tobacco and its products. 10
q once stay the movement in inter
state commerce OF the products
operating forces, produce or control!
might inf1ict INFINITE injury upon the
public by aiding 10 stoppags of
supply and a great enhancement OF
prices.
THE second because the extern
sive power which would result from
at once resorting 10 receivershlp
might not only do grievous injury TO
the public. but also cause widespread
and perhaps irreparable loss 10 many
inOoycDi ppOOln -
Decree of the Court.
AT last, he said that the decree
should be as follows:
"FirSt-That the comhna ton in it.
self, as we'll as each and all OF the
elements composing IL, whether cor
porate or individuals, whether con-
sidered collectively or separately, be
decreed to be in restraint OF trade,
and an attempt TO monopollze. and
a monopolization, within the first and
second sections OF the antitrust law.
''Second-That the court below, in
order TO give effective force to our
decree in this regard. he directed to
hear the parties, by evidence or 9TH
erwise. as IL may be deemed proper.
for the purpose Of asccrtaining and
determining upon some plan or
method of dissolving the combination
and recreating out of the elements
now composing II, "A new condition
which shall be honestly in harmony
with. and not renuSnant TO the law.
''Tbrd-That for the accomplish
ment of these purposes. taking; In
view the difficulty Of the situation.
a period OF six months is allowed
from the receipt of our mandate,
with leave however, in the event, In
the judgment of the court below. the
necessities OF the situation require.
10 extend such period TO n further
time -ot 10 exceed sixty days.
"Fourth-That in the event, be
fore the expiration of the period thus
fixed d condition OF disintegratio
in harmony with the law, is not
brought about. either as the conse-
uue.lce OF the action Of the court in
determining the issues, or in accept
ing a plan agreed upon. IL shall be
the duty OF the court. either by way
of injunction restraining the move
ment of the products OF The COM
bination III the cnaunelS OF inter
state or foreign commerce, or by the
appointment OF receiver. to give ef-
feet to the. requirement of the stat
ute.
Defendants Restrained.
Pending the bringing about of the
results Just stated. each and all OF
as corporations. should be restrained
further extend or enlarge the power
OF the combination. by any means or
device whatsoever. In view of the
considerations we have stated. we
leave the matter TO the court below
To work out compliance with the
law without unnecessary injury 10