New-York tribune., 1911-12-12
TO RUSH TRUST CASES
Full Circuit Court Considers
Sugar and Steamship DemurrerS.
FORMER MUST FILE ANSWER
Want of Equity Pleaded in Suit
to Break Agreement on
Transportation.

In order To expedite decisions in the gov
ernment actions for the dissolution Of the
Sugar Trust and the Transatlantic Confer
ence. pcpularlv called the Steamship Trust
Judges Lacombe, Coke, Noyes and Ward
constituting the fun United States Circuit
Court. heard argument Yesterday on the
domurrers interposed by the defendants in
both cases The hearing before the full
court will enable tho appellants in either
case 10 carry the matter directly before the
supreme Court without submitting it TO the
Circuit Court Of Appeals, which is com
posed Of the judges named above.
The demurrcrs Of the defendants in the
sugar Trust case were overrulcd by Judge
Iscombe on behalf Of the court and the de-
PENDANTS were directed TO file their answers
70 the governments complaint. Argument
on the demurrer in the Steamship Trust
case will he continued to-day.
The governments suit in equity for the
dissolution Of the Sugar Trust named AS
defendants twenty-nine corporations and
thlrty-seven individuals and all OF them
except the Cuban-American Sugar Refining
Company. the Colonial Sugar Refining Com
rany. Horace Havemeyer and the other
executors OF the will of II. O. Havemcyer
'demurred 10 the complaint The demurrers
were based on tho assertion that the de-
PENDANTS were named IN the action on sew
ersl distinct matters and causes which
ought not 10 have been Joined I'm the same
petition. but the principal demurrer was
that the controversy over tho validity OF
the common stock OF the National Sugar
Refining Company Of New Jersey be elimi
mated from tho complaint, As IL was sub
iect Of = distinct and separate suit nOv
pending before the Court Of Chancery al
Trenton, y. +.
Henry a Wise. United States Attorney
argued that the uncertainty as TO the own
ership Of the stock i'm question did not
make the governments petition under the
sherman act defective for want of equity
He consented. however. 10 amend the gov
ernrnent's pstttion by cutting out the word
acquired" where It applied To the $1,000 mn
Worth of stock Of the Natonal Sugar Re
fning Company.
James NJ. Beck. counsel for the American
Sugar Refining Company. said that he was
pleased with the decision Of the court. he
cause. in effect. the amendment Of the gov
ernnents petition would prevent # from
asking for decision I'm this suit ss 10 the
'NilhiNN " ''i- sNc'''ti0i y ''ll'i''i S''' ~
leaving that question 10 he decided by the
courts Of New Jersey
The governments suit I'm eautv against
the so-cslled Steamship Trust embracing
sll thA steamship lines rlvng between the
United States and European ports, was
brought for the purpose Of restraining
thtre lines from carving on their agree
r7ent covering the transportation Of steer
sEe passengers
NJ Wise told the court there could hs
M doubt that the defendants by means ~
the contract ~ February = 1908. providing
for division of traffic. the fixing NJ rates
s7d the imposition OF penalties for viola
ton of it- terms. intended ~ prevent com
Tetition I'm the TRANSPORTATION ~ steers &c
passengers hv substituting and enforcing 4
hNsd division Of that traffic on a percentags
hs-ie assures were taken, he said, 10
prevent Independents from sharing IN the
profitable Northern Europe steerage trsf1c.
Tn order 10 spplv N the work the com
tired strength Of the association he said.
.tha simple expedient was adopted of run
rinE 6shting steamer whenever an out
etder sppeared in the 1eld.'
~ senator Epooner appearing on behalf
~ tho defendants interposed demurrers
for All ~ them on the ground Of want of
equity. The argument will he continued to-
Czv