New-York tribune., 1919-03-27
Organized Ball
A Monopoly, Is
Feds Contention
Otto knabe, Former Man
ager, and L. E. Goldman,
Testify in 100000 Suit

WASHINGTON. March 2s. = Testi-
mony apparently designed to prove or
ganized baseball monopoly within the
meaning Of the Sherman antitrust act
was introduced to-day in the trial in
the District of Columbia Supreme Court
OF the damage suit of the Baltimore
Federal League Club against the Ma
tlonal and American leagues and GER
tam officials OF the former Federal
League. The Baltimore club is seeking
to recover damages OF 100000.
Counsel for the Baltimore club called
two witnesses to-day-F. Otto Knabe.
assistant manager OF the Chicago club
OF the National League and formerly
manager of the Baltimore Federals, and
l.. Edwin Goldman, former director OF
the complainant club.
hnabe said he had signed numerous
players who came to the Baltimore
club, and that the club was compelled
to offer unusually large salaries. This
was due. ne said, to a realization by
the players that they we're going to a
new organization and fear that if any
thlng happened to the new venture they
might find it extremely difficult to re-
turn to the ranks of organized baseball,
and might even be out of employment
Tor the rest Of their professional lives
Both witnesses were asked MANY
questions regarding the reserve clause
in the contracts OF professional base
ball players. Goldman asserting that
it was through these clauses the or
ganiZatlon maintained control of play
ers from one season to another. For the
benefit of the jury the witness re-
viewed the formation OF the two older
professional baseball organizations and
their methods of operation, which he
claimed to be monopolistic
In response to questions regarding
the relative value OF baseball plavers.
Goldman gave it as his opinion that
actually there were not enough real
first class ball players in the country
to form one team. He explained the
system through which players are pur-
chased and drafted. and agreed. on
examination, that the Federal
League in paying big salaries to Ma
tlonal and American League stars who
jumped to the Federal did not have to
take into consideration the original
draft of the individuals.
I'VE would have been glad of the op-
portunlty to draft men, however" he
added. land would have paid for them
accordingly"
George Wharton Pepper counsel for
organized baseball interests. asked the
witness whether he considered that the
salary paid professional ball players
was given them in consideration of the
reservation the clubs held upon their
services for the next season.
Mr.. Goldman said it was not his un-
derstanding that the salary of ball
players was so divided into two parts.
He said the Federal League in its con-
tracts with players also inserted a res
ervation clause.
The examining attorney asked the
witness whether he considered that the
rules and regulations of organized
baseball regarding relations between
the various clubs did not in effect work
to prevent rich clubs from buying out
the poor ones.
In reply the witness said rich club
could get certain advantages by reason
of its wealth, but that it would not be
good business for one club to have
playing for it all the really first class
DlaVers