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Show S"1Ulb Univoroity of Utah Salt Lake City, Utah t .' v'; .' BQ2 o; o W SALT LAKE VOLUME 15. NUMBER' 141 In High Court: Supreme -Court Decision Wallace Would Sue Capsule - charitable and order federal income tax collections or organizations stopped in Alabama. Wallace sought to file a complaint on behalf of Alabama directly in the High Court. The Justices are now in summer recess and will not return until October. Eventually they must rule on whether to accept the complaint. The complaint said Alabama realizes the benefits afforded society by truly religious organizations and charitable agencies such as the Red Cross and the Salvation Army. But, it said, others have departed from the very basis on which the exemptions were granted in the first place and merely provide a tax shelter for the wealthy few. Wallace mentioned a lawsuit recently filed by Negro taxpayers which resulted in a ruling in federal District Court here that private schools which practice racial discrimination are not charitable and can not claim tax exempt status. Yet, he charged, private foundations use tax exempt income to espouse the cause of Communists in America, to promote revolution in the streets of our cities, . . . and bankroll the pro-ViCong American Friends Service Comet mittee. . . Wallace said such activity puts unconstitutional burdens on nonexempt taxpayers in effect subsidizes the organizations in question. Outgoing Nixon Aide Bullish WASHINGTON (UPI) - former of President Nixons .'Council of Economic Advisers has assured Sen. William Proxmire, a leading critic of President Nixons economic policy, that the economy was in a definite upturn. Hendrick S. Houthakker, now professor of economics at Harvard University, spent his last day on the council of economic advisers, July D-Wi- s., 16. Proximire chairman of the joint economic committee has asked Hendrick to come to Washington from a summer vacation in Vermont to testify on tax policy to stop pollution. Proxmire took advantage of the opportunity to ask Hendrick his views on the state of the economy. We are definitely in an upturn from the lows met in 1970, Houthakker said. He said we do need a greater growth rate than the present 3.6 percent in goods and services in order to lower the employment rate. The Bureau of Labor Statics reported Junes rate was 5.6 per cent. But one important indicator in the last six months has been that people are not saving as much, he said. There has been a vast growth in savings, he said and that could have a long range affect on providing Senate-Hous- e jobs and lowering the unemployment rate. We have not felt the full impact more of the growth, he said. WASHINGTON (UPI) Economist John Kenneth Galbraith has called for permanent government controls on the prices of the nations 2,000 largest corporations and on the wage demands of the biggest labor unions. Without such a controlled economy, Galbraith told the House-Senaeconomic committee, July 20, the nation will never crack the GENE AND ZELDA GERSTNER, Defendants, Third Party Plaintiffs and Appellants, v. MT. OLYMPUS REALTY, INC., Third Party Defendant Trial Court: Ordered defendants to perform the agreement entered into between the parties. Supreme Court: 1) Judgment of district court granting specific defendant real performance and third-part- y estate commission REVERSED. 2) Judgment directing verdicts against defendants on counterclaim and third-part- y claim te persistent inflation which has hampered the economy since 1968. Galbraith, a Harvard professor and liberal Democrat, said the AFFIRMED. Defendants never bound by terms of earnest money agreement . . . trial court erred in decreeing specific performance. Plaintiff Counsel: Cannon, Greene & Nebeker Gifford W. Price, 400 Kennecott Bldg. J. Thomas Greene Defendant Counsel: Alan H. Bishop, 353 E. 4th South James R. Cowley (for Mt. Olympus Realty) Robert D. Mack, 400 El Paso Bldg. JusticeE. R. Callister wrote the decision. See details page 5, 6 controls must be preceded by a 3) general, nationwide freeze WASHINGTON - The Law Center Georgetown University is establishing an institute that will feature intervention in the federal regulatory processes as a means of public interest beyond serving the courtroom. The project, to be known as the (ACCN) te Institute for Public Interest Representation (INSPIRE), was made possible by a two-ye$224,211 grant from the Ford Foundation. The grant was announced by the Ford Foundation and Adrian S. Fisher, dean of the center. There is a clear need for in-ar Belgrade Meet LONDON Chief Justice Warren E. Burger will preside over a unique mock trial to be held at the World Conference on World Peace Through Not Law this month in Belgrade, Yugoslavia. Chief justices from five countries will sit together to demonstrate how an international court might operate to resolve issues involving a combination of public and private rights. The meet in Belgrade, follows the American Bar Associations recent session in London by several days. International Serving on the of with Justice Court Justice Burger will be Chief Justices of India, Liberia, Norway and Yugoslavia. The case to be argued to the court involves an assumed crash of a NASA space vehicle on to the Bolshoi Theater in Moscow, causing the death of an Ethiopian diplomat, an injury to a Venezuelan businessman, and causing damage to the theater amounting to ap- proximately $500,000. Suits are assumed to be brought by the Union of Soviet Socialist Republics and by 0. g agencies themselves. Most public interest law groups today are geared toward the courts, Kramer said. We plan to focus on the agencies, combining intervention and advocacy with legal scholarship which will lead to on administrative reports problems. Assisting Kramer as deputy director will be Richard B. Wolf, 34, a Washington attorney, specializing in poverty law. He was formerly a managing attorney with the Districtd Neighborhood Legal Services program. Dean Fisher said that graduate fellows working under the directors supervision will bear major responsibility for fulfilling IN- SPIRED objectives. Five INSPIRE fellows will be funded during each of the institute's first two years in one-yeprograms leading to a master of laws degree. In addition, 30 or more third-yea- r law students will work in teams under the fellows, receiving up to half their years academic credit from INSPIRE-relate- d work. ar Overseeing the ex- fective. Washington law firm of Arnold and Porter from 1959-7He said he views INSPIRE first as an improvement in clinical legal education, and secondly, as a means of improving regulations by policy-makin- break the cycle of those employing corporations to be ef5,000 or more people antitrust attorney with the U.S. Department of Justice before becoming a partner in the the e the largest unions and the largest serting into the regulatory process more voices which are trained to represent the public with a new level of effectiveness and supported by resources of legal scholarship and manpower, Dean Fisher said. The director of the institute will be Victor H. Kramer, 58, who for the past year has been an attorney with the Center for Law and Social Policy, a public interest law firm based in Washington. Kramer spent 19 years as an examining to wage-pric- pectations of inflationary excesses. He said controls need only apply to Young Lawyers Man 'INSPIRE At Georgetown On Agenda of A CONTESTED v. Mock Trial On Economy member Galbraith Urges Controls For Big Business, Unions Millcreek Inn Real Estate Transaction ALAN D. FRANDSEN, Plaintiff Gov. (UPI) George C. Wallace asked the U.S. Supreme Court, July 20, either to outlaw the tax exempt status of superficially -- EARNEST MONEY AGREEMENT Organizations religious Says Keynes Obsolete: Verbal Statements Questioned Tax-Fre- e WASHINGTON FRIDAY, JULY 23, 1971 UTAH CITY, institutes board of operation will be an Dean trustees appointed by Fisher and the Rev. R. J. Henle, S. J., university president. Its chairman is Philip Elman, a 11-m- an the Ethiopian and Venezuelan citizens against the United States and against the Japanese and Italian companies which had manufactured parts of the vehicle. Difficult former Federal Trade Comquestions of private international missioner now in private practice law arising under the set of facts will and a professor at the Law Center. be argued to the court. - For Farms Thus, he said, he would exempt all farms, small manufacturers, retail stores and service industries from control. He said the controls could be administered by a force of only a few hundred government employes. Sen. Jacob K. Javits, endorsed Galbraiths proposal, but Rep. Benjamin B. Blackburn, objected. He said nations with controlled economies do not produce the affluence that American enjoys. You suggest we just cuss out big R-N.- R-G- a., business manipulation of the money supply and of its own spending levels could assure an even growth to a national economy. When consumer demand falls off, he said, the government should step in by manufacturing demand through deficit spending. Galbraith said Keynesians fail to realize how vastly the economy has changed. There has been a diminishing conflict between management and labor, an increasing tendency to resolve difficulties not by the traditional conflict but, after some ceremonial insult, for the corporation to concede the more urgent demands of the unions and pais the cost along, in higher prices, to the public. This development, he contended, make wage-pric- e controls for the most powerful unions and firms a necessity. and labor leaders whenever prices go up, he said. I dont think that will work in the long run. I find myself more willing to accept the occasional lumps and headaches that accompany a free economy because of the prosperity that has resulted, he said. Galbraith argued that because of the power now exercised by big business and big labor the theories of John Maynard Keynes no longer apply to the 20th century economy of the United States. Late Convert President Nixon, in advocating an unbalanced budget last winter, declared I am a Keynesian." Galbraith said it was sad that Mr. Nixon has proclaimed himself a Keynesian at the moment in history when Keynes has become obsolete. Keynes preached that government Higher Court 'School' at NYU Judges Attend NEW YORK (ACCN) - The 16th annual seminar for appellate judges the only one of its kind in the world is being held at the Law Center of New York University from July 19 to July 30. Jurists from Texas to Saskatchewan and Maine to Alaska are participating in the event. One of the sessions, devoted to appellate review in criminal cases, is looking into such matters as life and death sentences, insanity minimum defense, enforcing requirements of due process such as right to counsel, prompt arraignment, search and seizure, and appeals by persons with special problems such as alcoholics, drug acaddicts and sex offenders, cording to NYU Law Prof. Robert A. Leflar, director of the program. ATTORNEY GENERAI OPINION Cannot advise Utah State Board of Education any set deviation figure on reapportionment is Basic rule plan should provide every persons vote is equal. See Asst. Atty. General H. Wright Volkers letter to Utah State Board of Education PAGE TEN per-missabl- e. NONSUPPORT VIOLATORS Computerized Collection Deputy Attorney General Robert Hansen hailed the advent of the new computer program to be implemented in the Division of Family Services. Mr. Hansen said, Our office has studied computer application in other states and determined its feasibility in Utah. We have strongly advocated computerization since early 1969 and are gratified to see this program beginning locally, stated Mr. Hansen. In 1969, Mr. Hansen and Assistant Attorney General Fred Finlin-sotogether with officials of the State's computer and welfare departments, studied the computer operations of the district attorneys office in Sacramento, California. This impressed us, said Mr. Hansen, and we saw great possibilities for this tvpe of operation in Utah. According to Mr. Hansen, welfare arrearage collections in Utah have increased from $20,000 per month in 1969 to $68,000 monthly, which is the present figure. While this increase is due to increased joint efforts by the attorney general staff and Family Services Division, computerization in case work and collection activities should help even more, concluded Mr. Hansen, because it will enable both offices to zero in on the most flagrant violators of court support orders. This will also be a constant reminder to all fathers that they have a legal and moral obligation to support their children. Divorce terminates the legal relationship of the parents but does not terminate the relationship between the father and his children and he has no more right to deprive them of food, clothing and shelter because they necessarily live under separate roofs than he would if they were sitting across from him at the dinner table. Furthermore, the taxpayers are hard enough pressed to meet the cost of essential government services and should not be doubly burdened by caring for the children of such fathers as well as for their own children," said Mr. Hansen. B. n, |