Show TELEPHONE COMPANY ATTACKS REFERENDUM Portland Ore Sept 15 I Suit recently instituted by the state of or Oregon against the Pacific Telephone company compan to com corn compel compel pel the company to pay a state tax ot of 2 per cent on Its gross earnings for the year ear 1906 Is resisted by the company in an ana answer a filed yesterday the grounds be being beIng being ing that the Initiative and referendum law by means of which the tax law was put Into existence is unconstitutional The company contends briefly that under the initiative and referendum jaw the elec electors tors toms of the state are enabled to usurp the legislative functions of the state and na mm national national government In direct violation of the federal and state constitutions which provide that the congress and the legis legislature legislature lature lattire shall be the sole legislative bodies |