Evening star., 1911-05-30

pany to have violated the Sherman anti
trust law, the United States Supreme
Court yesterday. in an opinion handed
down by Chief Justice White, decreed as
follows:
First, that the combination in and Of
itself. as well as each and all Of the ele-
ments composing 1t, whether corporate or
individuals. whether considered collective
ly or separately, be decreed to be In re-
straint of trade and an attempt to mo-
nopolize and q 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. be directed to hear the
parties, by evidence or otherwise. as 1t
may be deemed proper. for the purpose
of ascertaining and determining upon
some plan or method of dissolving the
combtnation and of recreating out Of the
elements now composing 1T. new condi-
ton which shall be honestly In harmony
with, and not repugnant to. the law.
Third. that for the accomplishment
of these purposes. taking in vew the diff
fculty of the situation. period OF six
months Is allowed from the receipt OF
our mandate. with leave, however. in the
event, in the judgment Of the court be-
low, the necessities of the situation re-
quire to extend such period to a further
time not to exceed sixty days.
Provision for Receiver.
Fourth. that in the event before the
expiration Of the period thus fixed. q
condition Of disintegration in harmony
with the law is not brought out, either
as the consequence of the action Of the
court in determining an issue Of the sub
ject or in accepting a plan agreed upon,
it shalf be the duty Of the court, either
by way of an injunction restraining
the movement Of the products OF the COM
bination in the channels Of interstate or
foreign commerce. or by the appoint
ment OF a receiver to give effect to the
requirements Of the statute.
Pending the bringing about of the
result just stated. each and all Of the
defendants, individuals as well as cor
porations should be restrained from doing
any act which might further extend or
enlarge the power Of the combination by
any means or device whatsoever. In
view Of the consideration we have stated
We leave the matter to the court below
to work out compliance with the law
without unnecessary injury to the public
or the rights Of private property.
While IN many substantial respects
our conclusion Is in accord with that
reached by the court below, and while
also the relief which we think should
be awarded In some respects is coinci-
dent with that which the court granted,
In order to prevent any complication and
TO clearly define the situation, We think,
decree. in view of the broad nature of
our conclusions, should be one OF re-
versal and remanding. the costs In this
court to be borne by the defendants be-
to enter decree in conformity with this
opinion and to take such further steps as
may be necessary to fully carry out the
directions which we have given, and 1t
Is SO ordered
To New York Circuit Court.
The court alluded to. to which the case
is ordered remanded, is the circuit court
Of appeals for the southern district of
New York.
Justice Harlan wrote dissenting opin-
ion.
The effect of the decree is analyzed in
an official statement by Attorney General
Wickersham as follows:
The decision in the tobacco case in
manner sustains the position taken by
the government with respect to the de-
cree below. 1t reverses the action Of
the circuit court in dismissing from the
OH the individual defendants. the Brit
ish-American Tobacco Company, Limit
ed; the Imperial Tobacco Company, Linn
ited. and the United Cigar Stores Com
pany. holding that they are all parties
to the unlawful combination which is
condemned by the decree.
The court gives an Interpretation Of
its decision in the Standard Oil case,
saving that 1t was there held that in
view of the general language Of the
statute and the public policy which IL
manifested, there was no possibility OF
frustrating that policy by resorting to
any disguise or subterfuge Of form. since
resort to reason rendered IL impossible to
escape by any indirection the prohibi-
tons of the statute
Replete With Illegal Acts.
1T then holds that the history Of the
tobacco combination is 30 replete with the
doing Of acts which It was the obvious
purpose of the statute to forbid. so de-
monstrative of the existence from the be-
ginning of a purpose to acquire dominion
and control of the tobacco trade, not by
the mere exertion OF the ordinary right
to contract and to trade. but by methods
devised in order to monopolize the trade
by driving competitors out Of business,
which were ruthlessiy carried out upon
the assumption that to work upon the
fears or to play upon the cupidity OF
competitors would make success possible.
Holding. therefore. that the combina-
ton as whole and all its cooperating
and associate parts, In whatever form
clothed. constitutes restraint OF trade
within the first section " the Sherman
act. and an attempt to monopolize and a
monopolizaion within the second section,
the court remands the cause to the cir
cult court in New York for the purpose Of
working out some plan OF disintegration
OF the combination which will recreate "A
rev condition which shall be honestly in
harmony with and not repugnant to the
law
1T gives the defendants six months
within which to work out that result,
with the right in the circuit court to
extend that time two months II It shall
seem to be proper. II also provides that
during this period each and all OF the
defendants. individuals as well as COR
porations. shall be enjoined from doing
any act which might further extend or
enlarge the power of the combination by
any means or device whatsoever.
To Garry Out Statute.
IF at the end Of the time 50 allowed
such a condition Of disintegration In har-
mony with law is not brought about. II
shall be the duty Of the circuit court.
either by way of Injunction restraining
the movement in interstate or foreign
commerce OF the products Of the combi-
nation, or by the appointment OF Q re-
ceiver of the entire combination, to give
effect to the requirements Of the statute
1T Is scarcely to be conceived that
any more comprehensive and effective