The weekly chieftain. [volume] (Vinita, Craig County, Okla.) 1905-1913, 1911-01-06
BY Associated Press.

ara Oll and or the American Tobacco
organizations embodying the greatest
antitrust" fight of the generation.
will be taken up for the second time
by the supreme court of the United
States at the beginning fits work
for the New Year Continuing it's con
sideration of affairs of government,
the court will Immediately afterwards
give its attention to the constitution
ality of the corporation tax provisions
Of the Payne-Aldrich tariff act
All three cases attracted worldwide
attention when first presented to the
court about year ago With the OBJ
lject of procuring consideration by a
full bench, they were set for re-argu-
ment on January g. Intervening cases
will cause a delay until probably Jan
uary 5, when it is believed the argu-
ments in the tobacco case will begin.
The Standard Oil and the corporation
tax arguments will follow. About
three days will be required for each.
The Standard Oil and the tobacco
cases put the Sherman antitrust law
to the most Crucial test to which it has
been subjected during the twenty years
of its existence. The corporation tax
cases place on trial the power of the
federal government over corporations
The contention has been made that if
the Standard OH and the tobacco or
ganizations are dissolved the govern
ment will be forced to license corpora
tions in order to allow legitimate bus
mess to be carried on. The corpora
tion tax decision may define the power
of the federal government over cor
porations so as to guide this proposed
subsequent legislation. Incidentally,
about $25, 100000 annually in taxes de-
pend upon the decision.
Although the tobacco case is to be
argued first, the Standard Oil suit has
attracted more attention. Attorney
General Wickersham has referred to
the Standard Oil case as probably the
most important that ever came before
the court
The Standard Oil suit was instituted
in 1906 in the circuit court of the Unit
ed States for the eastern division of
the eastern judicial district of Mis-
souri,. The federal government was
the complaining party. 1t claimed that
the Standard Oil company of New Jer-
sey, as a holding company, acquired
since 1899 and held by direct stock
ownership, 65 companies. These 65, it
was alleged, owned the stock of 49
other companies, making a total of ia
The government asked
that this organization be dissolved UNI
der the Sherman antitrust law.
A year was taken by the four judges
in the circuit court to pass on the
case. BY unanimous agreement, a de-
cree was entered by the court dissolv-
ing the organization, both because it
was in restraint of Interstate com
merce" and because it was attempting
to monopolize." Before the decree be-
came effective an appeal carried the
case to the supreme court
The tobacco case was instituted in |
1907 in the circuit court of the United |
States for the southern district of New |
York. The government here, too, was |
the complaining party. Allies in the
various branches of the tobacco busi- |
ness, with combined assets of more |
than $400000,00O constituted the or
ganization which the government
sought to have the court dissolve.
The four judges each rendered sep
arate opinions in the tobacco case, but |
three of them united in a decree, hold
ng many of the corporations had en-
.ered into a combination "in restraint |
If trade" in violation of the first sec
ion of the Sherman antitrust act.
These three decreed the dissolution of |
his combination. Other corporations, !
including the United Cigar Stores
company, the Imperial Tobacco COM
)any, were found not to be in the com
'ination. None were held to be mon
'polizing" in violation of the second
section of the Sherman antitrust law.
The application of the Sherman anti
rust law to these two organizations,
involves not only an investigation into
he facts, but includes an interpreta-
ion of the law itself The principal
in regard to the law
'luster around three words in the
tatute These words form the basis
# three questions: What is "com-
nerce?" What is restraint" of trade
N commerce? and What is it to mon
polize?"
Around What is commerce?" the
fight in the tobacco case
is to be found The COM
nerce which the government claims is