New Britain herald., 1930-11-07
BOYCOTTING SUIT
 HIGHLY IMPORTANT
Cooperative Agencies Aligned
 Against Commission Firms

Washington, Nov. Upt - The governments suit against f7 st Louis commission firms for alleged boycott Of cooperative agencies is expected to have the most far-reacf- ing effect of any litigation under tho packers and stockvards act
 1t will determine definitely what Constitutes restraint Of trade in the stockyards
 Directly the case involves only the question of whether there has been a violation of the law. Indirectly. it will decide whether oldHnc commis- sion firms arc obliged 10 trade with cooperative livestock organizations.
 The farm board is not a party 10 the action and the government. so far aS legal aspects arc concerned. has no interest in the economic fight hot~eeu tho coopcratjgas and the comm tssion men
 However. tho boards rutjrr coop orauyo livestock marketing program will he affected by tho decision. whether it ha that specific failures ro deal with rno coopcrativos con- ,titurc q boycott, or have been no moro than legitimate competitive practice.
 If adiudgcd 4 boycott the re-
 ~ut Hill hc further to intrcnch
 cooperati,c~ ou every livestock
 market. If not. they face 4
 
 and iiLCl' the no~ition of out
 ~;dcrs" wherever commission
 firms domiratc the livestock
 tr"d".
 Th" casr reyolyos around the all legation that commission firms op- 0ra,1nc in 'hc national stockyards. S'. Louis market. refused 10 sell to thc national order buying com- pa0y. which IS part Of the national livestock marketing association set up under auspices of the farm board.
 If is also charged the firms cut off their relations with the old established producers livestock com- mission company, also a part Of the national organization, and the commission concern of kennett, Sparks and company. which con- tinued 10 deaf with tho tno coopera- rIves.
 investigations directed hy EIdon I. Marshall solicitor general Of the department Of agriculture, which has 10 do with administration Of the packers and stockyards act, re- suited in charges that the action vi- plated the provision that public srockyards he kept on an open, com potitiye basis entirely free Of any unfair. unustlv discriminatory or deceptive practice.
 Among reports leading 10 the in }-stigatou WAS one 10 thr effect that certain commission firms re- .Gsed Q show their stock to r. $. koner. manager Of tho National order buying company. and m other instances that his bid was refused even when 1t was the highest or that the price vas deliberately ad- varced above that which he was commissioned 10 pay by his clients.
 To protect the interest of the producer. the packers and etockyard act requires that
 stock be sold to tho highest
 bidder. On that premise and
 others Secretary Hyde cited I.
 commission firms to show cause why their licenses should not
 be revoked. X referee will be appointed to sit in East St Louis, H., November 10 take testimony for both the gov crnment and the defendants, Tran scrbed, 1t will be forwarded to the secretary who will conduct a public hearing on the evidence before de- cision IS rendered. If the judgment is appealed, it is possible 10 take the case eventually 10 the supreme court Of the United States. The governments trial attorney