Evening star., 1944-05-02
Bidd|e Argues Seizure
OF Montgomery Ward
WAS President S Duty
BY the Associated Press.

BY the Associated Press.
CHICAGO, May President
Roosevelt's wartime authority to
place under Government control g
private business claiming nonwar
activity was the basis for further
arguments today as Montgomery
Ward G. Co. continued its couri
fight to regain possession of its fed.
orally seized properties.
Seizure of the big mail order
house, effected last week on Presi-
dent Roosevelt's order culminatine
labor dispute, was termed by At
torney General Biddle as coming
within the Presidents power.
Mr. Biddle, arguing in behalf of
the Governments petition for ar
injunction restraining Ward COM
pany officials from interfering with
Federal operation of the Chicago
properties, yesterday asserted the
President, as commander in chief
of the Army and Navy, has "a
great constitutional reserve of
power"
mo Business Is Immune"
He asserted that the President S
authority was sufficient to order the
facilities placed under Federal con-
troll and that mo business of any
kind is immune from that power p
Declaring it was the President S
| basic duty to prevent a spread
of labor trouble during the war;" the
Attorney General maintained there
was nothing in the War Labor Dis
putes Act to prevent the President
from taking action in ordering the
Government to take possession OF
the plant.
But Harold Smith, Ward attorney,
in his opening statements before
Federal Judge William H. Holly,
declared the seizure was illegal and
that the Attorney General hasn't
been able to put his finger on a
single statutory provision that justi-
fies the seizure"
Company Contends Power Limited.
Mr.. Smith contended the COM
pany's properties do not fall within
the definition of industries per-
mitted to be seized under the act
and argued that Congress intended
the seizure power to be restricted
to plants engaged in the rnanufac-
ture of war materials as specified
in the act. Mr.. Biddle had sub
mitted affidavits from Federal off,
cials in his effort to support his claim
that the company had a necessary
part in the general war program.
Asserting that "this is one Of the
most important cases to be decided
in this century," Mr.. Smith told
Judge Holly that "by no possible
construction can the War Labor
Disputes Act intend to cover prop
erty aligned with war plants"
Judge Holly, after the hearing re-
cessed yesterday, indicated he would
be unable to give decision in the
case later today, as he previously
had planned. He explained a delay
in the decision because he must
rule simultaneously on the Govern
ment's plea for permanent in
junction and the company's motion
for dissolution of the temporary
writ. The case probably will 60 to
the United States Supreme Court
for final decision, court observers
asserted.
Affidavits From High Officials.
The affidavits from Federal Of
ficials supported Mr.. Biddle'sa con-
tention that the company had q
necessary part in the whole war
picture. ASs 81 s1s
Marvin Jones, War Food Ad-
ministrator, said the firm handled
farm. supplies, and any reduction in
their distribution would impair the
war effort. Chairman William H
Davis of the WLB oplned there was
a real danger" that the labor dis
pute at Wards would reach into
other industries to the detriment of
the war endeavcr.
Mr.. Biddle stated the whole
basis" of the Presidents executive
order was the war emergency" and
that it did not have to be based on
the type of goods produced. The
company, he continued, handled
farm implements for millions of
farmers among its approximately
30 900 900 customers and that these
were needed for growing food for
the Army" and were essential to
the war" He said the firm had four
factories producing agricultural
equipment, lcarburetors and other
material.
Mr.. Smith argued that the Presi-
dents authority could not be ex-
tended by Hypothetical fears" of a
spread of labor trouble.
Would there be any reason to sup
pose, he asked, that a strike at a
Detroit department store would
branch out to plants of Chrysler and
General Motors?
A National Labor Relations Board
hearing. based on the question of
whether the CIO United Mail Or
der, Warehouse and Retail Employees
| S !l(.sZ5 Z '