Norwich bulletin., 1917-06-22
DECISION FOR THE
 ASSOCIATED PRESS
(continued from Page one)

CD procuring any agent or ennploye of plaintiff or any of it's members, to give. or permit defendant to take for consideration or otherwise any news received from or gathered for plaintiff and from using selling any news so obtained. The injunction as granted also CD enjoins defendant from procuring any newspaper repre- sented by member of plaintiff. from violating any agreement established by the charter or by laws of plaintiff. Defendant alleges as error the is- suance of the writ above outlined
 Plaintiffs Motion For Relief.
 ''Plaintifrs motion for relief asked for what the court below grZNted. and further that defendant be entoined from copying, transmitting, selling, using os causing to be copied, etc, any of the news furnished by plaintiff:' tiff or it's members by the unfair meth ods set forth in the bill. Injunction in substantially this form having been refused. plaintiffs appeal assigns such refusal for error.
 Membership Corporation.
 "Plaintiff is chartered by New York, under general statute known as the membership corporation, an act used for the organization of clubs and the like. It has no capital stock. it's membership Is selective, Its business is the gathering of news all over the world, and the very great expenses. of such acquisition and transmission of information is borne by rateable levy or assessment upon its members Such members are practically about $50 newspaper owners distributed over the United StatSs, but since such own CTS are frequently corpora tions, each corporate contributor must furnish a natural person to act as the legal Such natural person is commonly call ed the 'representative' of whatever newspaper he serves.
 Defendant Seeks a Profit.
 Defendant is a business corporation of New Jersey. has capital stock, is engaged as rival in the same bust ness as plaintiff, and seeks a profit by selling the news or information 1t acquires. to customers usually news paper publishers.
 Some publications are members of The Associated Press and also custom CTS of the International, but such rouble service is unusual. The par ties hereto are undoubtedly in keen competition, as are usually the jour nals served by one or the other in any given city.
 How News is Disseminated.
 News received at a principal office of plaintiff Is disseminated by tele- graph or telephone to members at a distance and Gin the largest cities at all events) the offices of journals talk
 
 Press service contain a machine (fur- nished by plaintiff) of the printing tel egraph type, whereon the incoming news is shown automatically.
 Every newspaper has of course a staff for the investigation of local hap penings; if such paper is a member of plaintiff, it may be required 10 furnish to other members, and through plain tiff the news Of its locality. This is an important part of The Associated Press scheme of news acquisition, viz: the cooperative feature. ".+,"
 Finding of Lower Court.
 "The principal facts upon which the court below based the first head of injunction are, that in Cleveland, O., Is published a newspaper which has for considerable time in its employ a telegraph editor" who would natur- ally receive incoming Associated Press items. This man Gin accordance with mission to plaintiff of Cleveland news possessed of more than local interest. and (properIy) received pay from the plaintiff for so doing.
 Defendant corrupted this editor to apprise it's agents of what he thus learned. and disseminated such news as the result of its own legitimate la bor.
 The second head of injunction is based on the fact that there is in New l UT CltN d newspaper WHICH mas the Of both plaintiff and defendants In it's publication office There is one 0f the printing telegraph machines aforesaid, and the managers of said newspaper were induced to permit agents of defendant to enter their of Zee. read what was coming in on the machine and use the information thus acquired as the basis for telegraphic l and other items, represented as the gatherings of it's own employees from original sources; or at least they were rot otherwise marked or described.
 The material facts on which plain l tiff moved for such injuctive relief as was refused below, are undisputed and | IS follows:
 The natural place for receiving | news from Europe (and indeed beyond) | $ the Atlantic sea board, and especial ! y New York. Bulletins and early | editions put out by members of plain | tiff in the seaboard cities are read by | gents of defendant, and the sub | stance thereof transmitted by wire | westward, sold to defendants custom ITS and by them printed, perhaps without any knowledge on their part | hat the origin of, and sole basis for defendants despatch is (e. g) a. bulle- in posted in New York by member 'f plaintiff.
 That this practice obtains, the an 'wer admits, and justif1es the same as natter of law. while alleging Gin sub 'tance) that it is no more than part If legitimate outgrowth of the news oa per habit of utilizing tips.
 E'This word signifies a bare intinna- ion that something has happened. When such tips have been verified by investigation on the part if the person receiving it, the facts nay be and are disseminated as dis covered by the journal or news agency ,etting the tip This practice may, | We believe, be regarded as universal II news gathering circles.
 The district judge did not consider he utilization of tips as having any necessary bearing on the bodily ap ,ropriation and sale of news from |