Evening star., 1933-12-03
j. s. JUDGE HOLDS
n. R. A. invalid AS
APPLIED TO STATES
Decision Rendered in Dry
Cleaning Case Limits Act
to Interstate Trade.
RULING HITS WEAKEST
PROVISION OF STATUTE
Contingency Long Contemplated
and Strong Fight for Re-
versal Is Foreseen.

While National Recovery Admins
traitor Hugh S. Johnson was threaten
ing to make an example of more than
100 dry cleaners alleged to be cutting
/ code prices, a Federal court in Tampa.
| Fla, yesterday held the national indus
| trial recovery act unconstitutional In
1 so far as it attempts to control local IN
5 dustry, the ruling coming in a dry
] cleaning industry case, according to the
: Associated Press.
The case in Florida involved one of
the dry cleaners cited by johnson to
attend hearing here Monday, Decem-
Der IL, to justify their actions.
The Florida opinion was handed
down by Judge Alexander Akerman i'll
the case of Samuel Bazemore of st.
Petersburg, operator Of three cleaning
and dyeing shops. st. Petersburg resi-
dents had sought to have Bazemore re-
strained from advertising prices said to
be lower than those in force for the
n. R. A. trade area, according to the
Associated Press.
The decision hits at what the franz
ers of the law always have considered
its weakest part.
No N. R. A. officials were available
here last night for comment on the
situation, but it is known they have
contemplated the possibility of such
decision and that the Government
probably will use every effort to have 1t
reversed.
Prosecution Threatened.
In citing the dry cleaners. Johnson
called for a hearing after which those
who failed to justify their actions would
have to deal with the Department Of
Justice He threatened prosecutions for
any unable to satisfy n R 4 as to
their motives in diSregarding utnlurn
prices fixed for their areas.
The Associated Press dispatch q I'D
Judge Akerman's decision held That
the act itself might have valid standing
in matters of interstate commerce, and
perhaps as a restricted emergency
measure, but the Federal Constitution,
he said, gives the National Government
no authority Ito invade the reserve
power Of the States" in regulation OF
a local industry. even in an emergency.
If the operator of a local cleaning
and dyeing establishment, or what Is
commonly called a pressing club the
court said. "iS to be construed as com.
ing within the purvieW of the act OF
Congress, commonly known as the ma
tional industrial recovery act, then L
am bound to hold that Congress has no
power under the Constitution to en-
act the national industrial recovery act
Il do not mean to hold that the
national industrial recovery act in its
entirely is without constitutional author
ity. but merely to hold that If it IS to
be construed as authorizing the regu-
lation of a local pressing club, then
there is no authority in the Constltu-
ton for the enactment OF the same.
Judge Akerman refused even a tenn
porary restraining order, however, on
the grounds that the bill of complaint
did not state a cause Of action within
the jurisdiction of the United States
District Court. He held that Congress
had no right to interfere with a local
business, and that the Federal court
had no such right.
Should such a ruling be sustained,
officials have been represented as be-
lieving codification of industry as a
whole would not be possible, and the
bulk of trade and service establish
ments whose business is limited to SIN
gle communities and small areas could
not be kept under Federal regulation
In framing the law it's authors
sought to meet this possibility by de-
claring in a preamble that the exist
ing national emergency and its wide
spread unemployment vas burden
upon interstate and foreign commerce.
Special Clause Inserted.
This was followed by: "It is hereby
declared to be the policy OF Congress TO
remove distractions to the free flow OF
Interstate and foreign commerce which
tend to diminish the amount thereof
and to provide for the general welfare
by promoting the organization OF lnous-
try for the purpose Of cooperative &C
ton among trade groups, 10 lnduce ana
maintain united action of labor and
management under adequate govern
mental sanctions and supervision. to
eliminate unfair competitive prac-
tices
Legal experts at N. R. A: repeatedly
have professed confidence that Tor the
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