The Logan Republican. [volume] (Logan, Utah) 1902-1924, 1912-05-11
The DISSOLUTION
OF TRUSTS
An Address Before the Staten
Island Club by Hon. George
w. Wickersham, Attorney
General Of The United
States, Thursday, April rs,
1912.

IN tne BeneTdl ulSCusbiOu ONtT tuo
Sherman antitrust law, until very
recent date, but little attention was
paid to the precise method which
should be adopted in dissolving the
so-called trusts formed for the pur-
pose of controlling industrial business
and great misapprehension even yet
seems to exist as to the precise ma
ture of the legislation which Con-
gress has already enacted, the ends
sought to be obtained, and the meth
DDS by which they are to be reached.
The Sherman law, in simple, compre-
hensive terms, condemns contracts,
combinations, and conspiracies which
restrain, and attempts to monopolize,
interstate trade and commerce. While
criminal penalties are imposed by the
act upon individuals who violate its
provisions, and property in the course
of transportation from one State 10
another under or pursuant to an "
legal combination or conspiracy OF
the character denounced by the act
Is made liable to seizure, the only pro
vision made to govern the disintegra.
ton of unlawful combinations is that
In section 4, which invests the circuit
(now district) courts Of the United
States with power, upon peution in
equity, to prevent and restrain viola-
tons Of the act
Substantially all Of the cases
which were brought under the Sher.
man Act prior to the Northern Securi.
ties case were either proceedings by
indictment against individuals or suits
in equity against combinations formed
by agreement between separate and
Independent individuals or corpora.
lions, in which a decree of Injunction
restraining the further continuance Of
the agreement was all that was ne
cessary to secure the relief sought.
The only effort made prior to 1905
to apply the law to one of the great
industrial combinations, whose exis-
tence was the principal evil which
brought about the legislation, was the
suit against the American Sugar Re-
filming company to prevent 1t from
holding four refineries in the city OF
Philadelphia, which, added to those
already possessed, gave 1t 9S per
cent of the refineries in the United
States. This is known as the Knight
case. 1t was decided by the Supreme
Court in January, 1895, and is report
ed in One hundred and fifty-sixth
United States Reports. The petition
in that case prayed that the con-
tracts of sale and purchase of those
four refineries be rescinded and that
they be restored to their several ven
Tors, and the American company, en-
joined from acquiring, holding, or op-
Grating them. Most unfortunately The
majority OF the Supreme Court took
narrow view in constructing The
dSl, hoiuine mat II "aS iheileSluaI "
reach such purchases, because manu-
facture was not commerce, and the
control of substantially all the manu-
factories of the United States was not
necessarily a monopolization of com
merce among the States in the prod.
ucts of their manufacture. AS the pc
tition was meager in it's allegations
and made no substantial charges OF
restraint on commerce, except those
resulting from an interference, natur-
al, to be sure, but not clearly assert
ed, that one who owned substantially
an the manufactures of given com.
modify must control the commerce in
t.; the undoubted principle that ma
tional legislation can not control
manufacture as such, but only in.
terstate and foreign commerce, was
held conclusive on the issues in.
volved; and the effectiveness of the
Sherman law to accomplish the main
purpose of its enactment was set back
l6 years.
The recognition of the vital posi-
bilities of the law really dates from
the decision of the Northern Securl-
ties case. The facts concerning that
momentous contest are of recent
knowledge, and yet it may not be
without interest 10 restgte them IN
connection with the subject we are
now considering.
I'm the spring of 1901 contest
arose between Mr.. Hartman and his
associates on the one hand and MIR.
Morgan, Mr.. Hill, and their associates
on the other for control OF the North.