Imperial Valley press., 1920-02-28

commercial business disguised as and
pretending to be "non-profit cooper
ative" concerns.
+ 1t is not the principle of co-opera
tion OF cooperative action that is at
tackled in these actions. 1t is the al
legged false and unlawful claim to
'non-prOfit cooperative character
which was and is in issue and will be
presented to the courts for determin-
alton.
No association or corporation form
ed under the "non- profit cooperative
provisions of the law and which truly
and without deception or camouflage
carries on it's operations as such need
be apprehensive on account of the
leave granted by me to sue the Asso-
ciated Dairymen of California and its
affiliated corporations. Non profit and
cooperative corporations may be or
ganized and operated under the law
and so long as they honestly retain
such character remain immune from
attack Such immunity, however,
should be gained and should be asked
only where honest observance of these
provisions of the law exists.
Neither the protection of the bust
ness and property Of the farmer, nor
the securing of reasonable and pro-
per profit upon effort and investment
is involved in these proceedings.
know, as well as; you, that the farmer
and the dairyman, as we'll as the man
engaged in any other walk of life, is
entitled to proper return upon in
vestment and effort, and to the laws
protection in securing it. If he de-
sires to pursue his business by and
through associating himself with
others none will say him nay. They
may secure this association in two
legal ways. They may incorporate
under the general corporation laws of
this state. subjecting their concerns to
the jurisdiction of the corporation de-
rartment and paying the dues exact
ed by the state therefor, operate with
capital stock and for a profit and
deal with their members and with
others. Or they NAV organize and
operate as "non-profit cooperative
corporations, and by so organizing
and conducting their business in ac-
cordance with the law governing such
organizations, thev may carry on their
business free from administrative or
judicial interference.
| note in this resolution that you
"take this opportunity of publicly
condemning the action of Attorney
General Webb in giving his consent to
such suit.
After fully investigating this mat
ter, as above stated, reached the con-
clusion that the proposed defendants
were violating the laws of this state,
and having reached such conclusion it
was plainly the duty of this office to
grant the leave applied for. The per-
formance of that duty, rs your resolu-
tion shows, has resulted in your con
demnation and yet feel sure that
your resolution was framed without an
understanding of this matter, for
the number of those who would con-
want to believe you are not among
denim a public official for the doing of
that which such official, after earnest
investigation, believed to be his Off
cial duty The performance of Off
cial duty often results in mourning the
displeasure of those who do not want
such duty to be performed, while
their applause is won by failure to
perform such duty. 1t is better to be
wrongfully, though publicly" con-
demned for right action than to be
rightly condemned for wrong action.
| am not unmindful that some sper-
sons interested in the corporations
which have been made the defendants
in these actions have been and are
now conducting very persistent cam
paign among various corporations un-
questionably operating within the law
to create the belief that such corpora
tions have the same interest IN the re-
suit of this proceeding as has the As
sociated Dairymen of California and
it's subsidiary corporations.
No concern in this state, whether CO.
operative or otherwise. conducting Its
business in accordance with the law
governing its particular form of or
ganization will be affected by these
In YOUR letter of transmittal you
express the wish that this matter
would be given my personal atten-
ton. | have to advise you that TINS
matter in all of its stages has had and
will continue to have my personal at
tention.
1t is the right of any citizen of this
state to apply to this office for per
mission to maintain SUIT in the name
of the state for the usurpation. m
trusion into, unlawful holding or un,,
lawful exercise of franchise, and
when the facts and the law show that
there is so presented proper question
to be referred to the courts 1t is the
right of such citizen to nave such per-
mission issue. -,
1t will be borne in mind that the
granting of the leave to MAINTAIN the
actions is not finally determnatlve OF
the issues involved. 1t but opens the
way for decision of the courts there
on, whereas denial OF the leave by
me would close the doors to any ju-
dicial inquiry as to those issues. Anc
in the courts full opportunity will be
given these defendants to meet These
l issues and TO present every fact II
their behalf, and, if upon such present
alton the court is of the view tha
their organization or operation are no
violative of the law, judgments II
their favor will follow
That you may have an opportunit,
to know exactly the conclusions reach
ed by this office in this matter | al