shares in the equity to the property held by the trustees of the Distillers and Cattle Feeders' Trust, transferable only on the books of said trustees on surrender of this certificate. This certificate is issued upon condition that the holder or any transferee thereof shall be subject to all the provisions of the agreement creating said trust, and by the by-laws adopted in pursuance of said agreement as fully as if had signed the said trust agreement. Witness the hands of the president, secretary, and treasurer board of trustees, this

of the

A. D. 188-, at the

[Back]

day of

For value received

hereby sell and transfer to shares of the Distillers and Cattle Feeders' Trust, standing in my name on the books of said trust. And

attorney to make the

hereby irrevocably appoint necessary transfer upon the books of said trust in accordance with the regulations thereof, and upon the conditions expressed upon the face of this certificate.

CHAPTER III

LEGISLATIVE OPPOSITION TO THE TRUST

NOTE

THE development of the Trust type of combination aroused a storm of opposition. This was scarcely remarkable. The power, intangibility and secrecy of the organization, its extra-legal character and its lack of amenability to law all ran counter to American ideas of justice and legality. The opposition rapidly gathered strength. Under the pressure of public sentiment both the Republican and Democratic parties-although it was recognized that the campaign would be fought out on the tariff issue-inserted Anti-Trust planks in their respective Presidential platforms in the conventions of 1888. This action later bore fruit in the passage of the Sherman Anti-Trust Act of 1890. In the meantime, the State Legislatures had not been idle. The latter eighties and early nineties witnessed a flood of State Anti-Trust legislation, which swept the entire country. Kansas, Nebraska, Maine, Michigan, North Carolina, Iowa, Kentucky and Illinois were conspicuous leaders in the movement. By 1894, the statute books of about twenty States showed legislation of one kind or another looking toward the suppression of Trusts, Pools and other combinations. The exhibits in this chapter have been intended merely to give an idea of this legislation.-Ed.

An act to protect trade and commerce against unlawful restraints and monopolies.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

1 Act of July 2, 1890, 26 U. S. Stats. at Large, 51st Cong., 1st Sess., chap. 647, p. 209.

SEC. 1. Every contract, combination in the form of trust or otherwise, or conspiracy, in restraint of trade or commerce among the several States, or with foreign nations, is hereby declared to be illegal. Every person who shall make any such contract or engage in any such combination or conspiracy, shall be deemed guilty of a misdemeanor, and, on conviction thereof, shall be punished by fine not exceeding five thousand dollars, or by imprisonment not exceeding one year, or by both said punishments, in the discretion of the court. SEC. 2. Every person who shall monopolize, or attempt to monopolize, or combine or conspire with any other person or persons, to monopolize any part of the trade or commerce among the several States, or with foreign nations, shall be deemed guilty of a misdemeanor, and, on conviction thereof, shall be punished by fine not exceeding five thousand dollars, or by imprisonment not exceeding one year, or by both said punishments, in the discretion of the court.

SEC. 3. Every contract, combination in form of trust or otherwise, or conspiracy, in restraint of trade or commerce in any Territory of the United States or of the District of Columbia, or in restraint of trade or commerce between any such Territory and another, or between any such Territory or Territories and any State or States or the District of Columbia, or with foreign nations, or between the District of Columbia and any State or States or foreign nations, is hereby declared illegal. Every person who shall make any such contract or engage in any such combination or conspiracy, shall be deemed guilty of a misdemeanor, and, on conviction thereof, shall be punished by fine not exceeding five thousand dollars, or by imprisonment not exceeding one year, or by both said punishments, in the discretion of the court.

SEC. 4. The several circuit courts of the United States are hereby invested with jurisdiction to prevent and restrain violations of this act; and it shall be the duty of the several district attorneys of the United States, in their respective districts, under the direction of the Attorney-General, to institute proceedings in equity to prevent and restrain such violations. Such proceedings may be by way of petition setting forth the case and praying that such violation shall be enjoined or otherwise prohibited. When the parties complained of shall have been duly notified of such petition the court shall proceed, as soon as may be, to the hearing and determination of the case; and pending such petition and before final decree, the court may at any time make such temporary restraining order or prohibition as shall be deemed just in the premises.

SEC. 5. Whenever it shall appear to the court before which any proceeding under section four of this act may be pending, that the ends of justice require that other parties should be brought before the court, the court may cause them to be summoned, whether they reside in the district in which the court is held or not; and subpoenas to that end may be served in any district by the marshal thereof.

SEC. 6. Any property owned under any contract or by any combination, or pursuant to any conspiracy (and being the subject thereof) mentioned in section one of this act, and being in the course of transportation from one State to another, or to a foreign country, shall be forfeited to the United States, and may be seized and condemned by like proceedings as those provided by law for the forfeiture, seizure, and condemnation of property imported into the United States contrary to law.

SEC. 7. Any person who shall be injured in his business or property by any other person or corporation by reason of anything forbidden or declared to be unlawful by this act, may sue therefor in any circuit court of the United States in the district in which the defendant resides or is found, without respect to the amount in controversy, and shall recover three fold the damages by him sustained, and the costs of suit, including a reasonable attorney's fee. SEC. 8. That the word "person," or "persons," wherever used in this act shall be deemed to include corporations and associations existing under or authorized by the laws of either the United States, or the laws of any of the Territories, the laws of any State, or the laws of any foreign country.

Be it enacted by the Legislature of the State of Kansas:

SECTION 1. That all arrangements, contracts, agreements, trusts or combinations between persons or corporations made with a view or which tend to prevent full and free competition in the importation, transportation or sale of articles imported into this state or in the product, manufacture or sale of articles of domestic growth or product of domestic raw material, or in the loan or use of money, or to fix attorneys' or doctors' fees, and all

1State of Kansas, Session Laws of 1889, Chap. CCLVII, pp. 389 ff.

arrangements, contracts, agreements, trusts or combinations between persons or corporations designed or which tend to advance, reduce or control the price or the cost to the producer or to the consumer of any such products or articles, . . ., are hereby declared to be against public policy, unlawful and void.

SEC. 2. It shall not be lawful for any corporation to issue or to own trust certificates, other than the regular and lawfully authorized stock thereof, or for any corporation, agent, officer or employés, or the directors or stockholders of any corporation, to enter into any combination, contract or agreement with any person or persons, corporation or corporations, or with any stockholder or director thereof, the purpose and effect of which combination, contract or agreement, shall be to place the management or control of such combination or combinations, or the manufactured product thereof, in the hands of any trustee or trustees, with the intent to limit or fix the price or lessen the production and sale of any article of commerce, use, or consumption, or to prevent, restrict, or diminish the manufacture or output of any such article.

SEC. 3. That all persons entering into any such arrangement, contract, agreement, trust, or combination, or who shall, after the passage of this act, attempt to carry out or act under any such arrangement, contract, agreement, trust or combination described in sections one or two of this act, either on his own account or as agent or attorney for another, or as an officer, agent or stockholder of any corporation, or as a trustee, committee, or in any capacity whatever, shall be guilty of a misdemeanor, and on conviction thereof shall be subject to a fine of not less than one hundred dollars and not more than one thousand dollars, and to imprisonment not less than thirty days and not more than six months, or to both such fine and imprisonment, in the discretion of the court.

(Act May 20, 1890)

POOLS-TRUSTS CONSPIRACIES

$3915. Defined and prohibited. That if any corporation under the laws of Kentucky, or under the laws of any other State or

1 The Kentucky Statutes, 1894, Chap. 101, Secs. 3915-3919, pp. 1267-68.