United States Steel: A Corporation with a SoulCotter, Arundel
History
United States Steel: A Corporation with a Soul
Cotter, Arundel
United States Steel Corporation
On the question of the close division of the Court it might be pointed
out that, of eleven (excluding Justices McReynolds and Brandeis who
took no part in the matter) judges who sat on the case, four in the
District Court and seven in the Supreme Court, a total of eight were in
favor of the Corporation.
Compared to the opinion of the lower court that of the Supreme Court,
considered either as a literary effort or a comprehensive summing up of
the issues involved, is somewhat disappointing. A few pertinent facts
were emphasized by Judge McKenna, however, and these are well worth
alluding to.
Referring to unanimous testimony of both competitors and customers that
the Corporation’s trade methods had been not only legal but essentially
fair and, if the word may be used, sportsmanlike, as contrasted with
the Government’s claim that competitors were oppressed, Justice McKenna
said:
“The situation is indeed singular, and we may wonder at it, wonder
that the despotism of the Corporation, so baneful to the world in the
representation of the Government, did not produce protesting victims.”
So obviously beneficial to American industry had been the Corporation’s
activities in the export trade that even the Government’s attorneys did
not attack it on this score, in fact, they suggested that the export
organization should be preserved. On this point the Supreme Court
majority opinion said:
We do not see how the Steel Corporation can be such a beneficial
instrumentality in the trade of the world and its beneficence
preserved, and yet be such an evil instrumentality in the trade of
the United States that it must be destroyed.
And in concluding the opinion:
We are unable to see that the public interest will be served
by yielding to the contention of the Government respecting the
dissolution of the company or the separation from it of some of
its subsidiaries; and we do see in a contrary conclusion a risk of
injury to the public interest, including a material disturbance
of, and, it may be serious detriment to, the foreign trade. And in
submission to the policy of the law and its fortifying prohibitions
the public interest is of paramount importance.
In the final paragraph we have the nub of the whole matter. The
dissolution of the Corporation would have been contrary to the public
interest. Its preservation distinctly was in the public interest not
only from a foreign trade or other economic standpoint but on purely
sociological grounds.
Not satisfied with the decision the Government’s attorneys shortly
afterward moved for the reopening and rehearing of the case, but
this appeal was promptly and unequivocally denied by the Court, thus
definitely and finally settling the matter.
Public-domain text, read in full here on John Shaqi.
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