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feared that its effect upon the expan- reaching yet started under the Shersion of legitimate business would be man Law, not so much on account of hampering. But the country had not the enormous capitalization of the recovered from its rather dazed con- Trust as its acknowledged freedom dition when, only two weeks later, the from some of the worst features that Supreme Court handed down a deci- had characterized other corporations. sion requiring the dissolution of the Two suits, civil and criminal, were also American Tobacco Company, suit begun against the Beef Trust, one reagainst which had been begun in the sult of which was that, in the summer circuit court for the southern district of 1912, the corporation was obliged to of New York in July of 1907. The publish its plan for dissolution. In higher court swept away the interpre- the latter year the Attorney-General tation of facts made by the circuit asked the Supreme Court to dissolve court, as well as the interpretation the merger of the Union Pacific and of law, and held the combination Southern railroads, and took decisive unlawful “ not only because of the measures against the Harvester Trust. dominion and control over the tobacco One of the most important events of trade which actually exists” but be- the second year of Mr. Taft's admin

the conclusion of wrongful istration was the satisfactory culminapurposes and illegal combination is tion of the century-long and someoverwhelmingly established by the un- times bellicose disputes between the disputed facts of the evidence." United States and Great Britain re

In June of 1911, the circuit court garding the North American fisheries. granted to the government contention These disputes had resolved thema decree of dissolution against the Du- selves into seven questions involving Pont Powder Company and, in Octo- the interpretation of the Anglo-Ameriber of the same year, decrees against can Treaty of 1818 and were referred the Southern Grocers Association to the Hague Tribunal for final settleand the Standard Sanitary Manu- ment. It was a triumph for the cause facturing Company, the latter com- of international arbitration that these monly known the “ Bathtub vexing and sometimes threatening Trust.It was in October also complications could be adjudicated so that suit was filed in the United smoothly and that the result should be States court at Trenton, New Jer- accepted with such entire acquiescence sey, against the United States Steel by the parties concerned. The deciCorporation and eighteen individuals, sion was rendered on September 7, seeking the dissolution not only of the 1910, and became irrevocable on Sepcorporation itself but of its constituent tember 12. During the five-day period companies as well. This prosecution allowed by law for protest, no protest is perhaps the most important and far- whatever, or even comment, was offici





ally offered by either the British or United States governments.

There were five arbitrators on the board of award, the United States being represented by the Hon. George Gray, of Delaware, of the United States Circuit Court of Appeals; the leading counsel for the United States was Senator Elihu Root.* Of the seven questions, the first and fifth were decided contrary to the claims of the United States, the others in her favor. The first question involved the point whether any

66 reasonable regulations made by Great Britain, Canada and Newfoundland in the form of municipal laws, ordinances or rules must be submitted to the consent of the United States." Its decision in the negative appears to impartial observers a reasonable one, as any other view would have been, seemingly, an unwarrantable cession of sovereignty on the part of those countries. The fifth question involved the “headland doctrine." The British had contended that “the three marine miles within which the United States agreed not to fish should be measured from an imaginary line drawn across the

mouth of the bay, no matter how wide, from headland to headland,” while America argued that the line should follow the coast's sinuosities. One of the judges, Dr. Drago, dissented from the majority opinion on this question

which some consolation to American pride.

The other five points, on which the United States won, established that hereafter the British cannot compel our fishermen to report to custom houses; they cannot impose on these fishermen light, harbor or other dues when entering bays or harbors for shelter or other necessities; we may employ men who are not inhabitants of the United States on our fishing vessels, and these vessels have the right to purchase supplies and to enjoy other commercial privileges. The award provided also --- and this was not the least of the benefits it wrought — that other disputed fishing regulations be submitted to a commission, the composition of which is stipulated, and recommended that a similar permanent commission be created for the settlement of future disputes.

One of the chief causes of the midadministration revolt, so likely to occur against the party in power, had its inception in the tariff, that ancient trouble-maker for more than one President. While the business world had a sincere purpose to regard the new schedules as a fixed fact for at least some years to come and so adjust itself to changed conditions, the country as a whole, including many leaders in

# The other members of the tribunal were; President of the Tribunal, Dr. Heinrich Lammasch, of Austria, professor in the University of Vienna and member of the upper house of the Austrian Parliament; His Excellency, A. F. de Savornin Lohman, former Minister of State of the Netherlands; Canada's special representative, Sir Charles Fitzpatrick, Chief Justice of the Dominion Supreme Court; and Dr. Luis Maria Drago, formerly Minister of Foreign Affairs in the Argentine Republic, probably the most eminent jurist of South America.


the Republican party, felt, and sup- at least, of undeniable increases in the pressed no qualms in saying, that rates of many important articles of the party had not redeemed the prom- general consumption. The President, ises made in the platform of 1908. however, asserted that the general avThe "

iniquitous Schedule K”- the erage duty was less : nder the Paynewoolen section — which, with the Aldrich Act than under those precedcotton schedule, was supposed to keep ing, as it embraced“ decreases on up high prices on clothing 654 items, involving a consumption both subjected to a galling fire; while value of $5,000,000,000.” There being as for the “ rubber robbery,” Senator this radical difference of opinion, all Bristow, a leading Insurgent, laid the parties agreed to Lave the tariff quesresponsibility for its extortionate tion in statu quo until the electorate rates directly at the door of Senator had expressed its opinion by the balAldrich himself. The opponents of

lot. Certain it was that the new custhe tariff charged that the 1909 tariff, toms duties produced a revenue of from which so much had been ex- $15,000,000 over that of 1909, and the pected, was simply a new and aggra- new corporation tax produced $25,vated example of log-rolling and in- 000,000 more, the latter item being a ter-bargaining of special interests. clear gain. Proclamations were issued Newspapers and magazines reiterated and the entire machinery of the“ maxthe question whether that could be imum and minimum” rate clause put considered a “ reasonable" profit to a

in operation, so that the entire import American industries which increased trade of the country was brought to the duties on cotton, for instance, by the basis of the minimum rates. amounts ranging from 40 to 85 per The tariff board, it may be rememcent. And Senator Dolliver, another bered, was created for the primary Insurgent, related how the Diamond

purpose of assisting to adjust the Rubber Company of Ohio had in ten "maximum and minimum” rates, but years declared stock dividends in the President, who had from the first creasing its capital from $50,000 to been alive to the advantages of an ex$10,000,000. Indeed this same Sen- pert tariff commission for wide reator declared, shortly before the fall searches on which to base future tariff elections, that “ the public has asked legislation, asked and obtained from and asked again, in vain, for some one Congress an appropriation of $250,to point out a single reduction on any 000 to continue the board for another article ready to enter into consump- year. The scope of its field was not tion which has a commercial signifi- officially enlarged, but there seemed to cance of any

This phase be an understanding that a general touched the public at a tender spot, quest for information should be carfor it seemed to indicate one source, ried on which should further the “ ad





ministration of the tariff law." The the startling result that the Commitnext year another appropriation, tee on Rules found itself a body of nearly as large, was voted, and Con- ten men, not including the Speaker, gress instructed the new board, now

whose selection was delegated to the increased to five members,* to report

House itself.* Mr. Cannon at once on the wool schedule by December 1, offered to resign the Speakership but The policy of a permanent

was not allowed to do so; it was contariff commission seemed thus to be

sidered sufficient that the protest practically established, and has raised against Cannonism, the system, not hopes in the public mind that tariff Cannon, the man, should be registered. revision may yet be based upon a non

Progressivism in the Senate, with

which the forces of Insurgency soon partisan, business-like, scientific investigation rather than being the play- united, found its special occasion for thing of selfish interests.

revolt in the tariff question. It was

not so much the tariff itself — whether The tariff agitation throughout the Taft Administration was a leading oc

the schedules had been pushed up

ward or downward - as the methods casion, though not the only one, of the remarkable, almost spontaneous, de

by which it had been constructed, the velopment of“ progressivism,” which Progressives believing that the Reearly manifested itself in a spirit of publican party was dominated by pri

vate interests. revolt against the rules under which

The Democrats, of the House of Representatives con

course, were not slow to take advanducted its business. There had long tage of this and other disaffection, been a Committee on Rules, consist

and added their weight to the unmising of four members appointed by the

takable swing of the pendulum, with

such effect that the previous RepubSpeaker who was, ex officio, the fifth member of the committee and its

lican majority of 40 in the House of chairman. This committee had entire Representatives was replaced by a charge of legislative procedure and

Democratic majority of 70 for the was well-nigh able to dictate the bills

Sixty-second Congress. Legislatures which should, or should not, come be

were also chosen that would send 8 fore the House for action. But one


* The Republicans selected as their quota on day in the early spring of 1910, twenty

the new Committee on Rules: Walter I. Smith,

of Iowa, John Dalzell, of Pennsylvania, George P. Republican Insurgents joined with the

Lawrence, of Massachusetts, J. Sloat Fassett, of Democrats in changing the rules, with New York, Sylvester C. Smith, of California, and

Henry S. Boutell, of Illinois. The Democrats as* The President appointed, as

signed as their choice: Champ Clark, of Missouri, members, Thomas W. Page, professor of eco- Oscar Underwood, of Alabama, Lincoln Dixon, of nomics at the University of Virginia, and Wil- Indiana, and John J. Fitzgerald, of New York. liam M. Howard, former Congressman

The committee itself elected John Dalzell as Georgia, both Democrats.


the two new


Democratic Senators to take the of protest, was furnished early in the places of as many Republicans, and 15 year by the formation of a National Democratic governors were elected, 7 Progressive Republican League for of them to succeed governors of the " the promotion of popular governopposing party.

ment and progressive legislation The elections of 1910, nevertheless, through five specific reforms. These widened the cleavage not so much be- were: Popular election of United tween the two great parties as be- States Senators; direct primaries for tween the reactionary and progressive all elective offices; Presidential prielements in the Republican party. In maries for choosing delegates to Nathe Democratic party a similar but tional conventions; amendments to far less apparent division of opinion State constitutions providing for the existed, which was destined to have initiative, referendum and recall; and its influence in shaping a course on an effective corrupt practices act. the tariff in channels quite divergent Nearly all the “Progressive ” Senfrom the party's traditional attitude. ators, now far outnumbering the origThe views of President Taft toward inal seven, and many well known leadthe new movement were also some- ers in the Republican party, were inwhat modified, at least to the extent cluded in the membership. They were of publicly announcing a restoration loyal party men who, nevertheless, deof the patronage perquisites which he manding that party pledges should be had formerly felt compelled to with- fulfilled, regarded a failure to do so draw from those who gave indica- suflicient reason for protest; while, as tions of deserting the “ Old Guard." for the advanced ground which they

The Progressives continued to gain took on new policies, their hope at strength throughout the year follow- this stage was to bring the party into ing the Congressional elections, win- alignment. This turning point was ning many adherents, especially in the President Taft's second great opporMiddle and Far West; while there tunity. How he met it in his third were not wanting signs that, more year remains to be seen. slowly to be sure, but none the less The general criticism of the Payneirresistibly, the revolt against former Aldrich bill was now being directed procedures in framing public policies against specific schedules, even the and against the control which special President admitting that some feaprivilege and interests were claimed tures of the wool schedule were “into be exercising over legislation, was defensible”; and, as an extra session extending to the more conservative of Congress had been called to deal East. Concrete evidence of this nu- with Canadian reciprocity, the Demomerical gain, as well as of the ever crats seized the opportunity to strike widening scope of the new movement at the root of reciprocity, the tariff.

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