Norwich bulletin. [volume] (Norwich, Conn.) 1895-2011, 1915-06-04
u. S. Steel Wins
Government Sui
IN UNITED STATES DISTRICT
COURT FOR NEW JERSEY,
INJUNCTION IS PENIEl
Decision Holds That the Corporation
IN Acquiring Its Foreign and HON,
Trade Did Not Violate the Sherma,
Anti Act.

Trenton, N. J., June 3.-The United
states district court for New Jersey
To-Day handed down a Unanimous de-
clslon refusing the petition of the fed.
eral government to dissolve the United
states Steel corporation.
AS against the government the court
refused to dissolve the corporation
holQlng that in acquiring it's foreign
and home trade the concern did MOI
violate the Sherman anti trust act and
refused an the injunctions prayed fol
Dy the department of justice
No Occasion for Injunction.
AS against the steel corporation. the
court heId that the committee meet
lngs participated in by 80 per cent. of
the steel trade of the country, incIud-
ing the steel corporation, subsequent
to the famous Gary dinners of eight
or nine years ago, were unlawful COM
Dlnat1ons to control prices; but as
these meetings had stopped before the
government filed it's complaint in Oc-
tober, 1911, the judges held that there
was no occasion for an injunction.
The opinion of the court suggests
that such practices lie within the
province Of the new federal trade COM
mission, but adds that if their repeti-
ton is apprehended, the court will on
motion OF the government retain juris-
dtction of the case for that particular
purpose.
Case One of Business Facts.
A synopsis of the decision OF the
senior judge, Joseph J. Burlington,
prepared by direction of the court
states that the keynote of the entire
opinion is that this case, a proceeding
under the Sherman antitrust law, is
largely one of business facts"
In another part of the opinion the
monopoly is not the size of that which
is acquired, but the trade power Of
that which is not acquired" IF mere
size were the test of MONOPOLY and
trade restraint" the court further on
said, 1--WE have not one, but half a
dozen unlawful monopolies in the large
department stores of a single city,
Nothing Wrong in Tennessee c. & l..
| Deal.
The court found nothing wrong in
| the steel corporation acquiring the
Tennessee Coal and Iron company
| during the financial panic of 1907 and
| thus virtually approves the attitude
| of the Roosevelt administration in not
| interfering with that deal. In this
point the court held that the output
| of Tennessee at the time was only II
| per cent of the country's total out
put: that up to that time it had not
| been business success; that it's prin-
| cipal product. rails, was made at a
| loss; that it's ultimate success was
1
| of $25,000,000 and that the purchase
| Of the Tennessee property, as well as
| that of several other steel concerns
earlier in the history of the big cor
| pOration, was made in fair business
course and was the honest exertion
| of ones right to contract for ones
| benefit, unaccompanied by a wrongful
| motive to injure Others"
| Carnegie's Retirement All Straight.
| With regard to Andrew Carnegie
| who, the government charged, was a
party to the unlawful combination
| and took the bonds of the corpora
/ ton with all the inf1rmities attaching
| to such participation" the court found
| that there is no proof that he accept
| ed any other relation in the formation
| of the steel corporation than that of
seller of his stocks and bonds: and the
| court declared to be true that Car
negie's statement that he disposed of
| his interests in a desire to retire from
| the hazards and responsibility of ac-
| tive business.
Four judges, Burlington, Mcpherson,
Hunt and Woolley. sat in this case.
Government Probably Will Appeal.
| 'sWhile the suit was filed in the dis
| trict court it was heard on a writ of
expendition by the judges of the third
| judicial circuit who form the court of
appeals. The next step in the case
will be the filing of a formal decree
and the government will probably then
take an appeal to the supreme court.
The suit was instituted by the Taft
administration and was prosecuted for
the government by Jacob NJ. Dickin-
| son. former secretary of war, as chief
counsel