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Show U. S. HAS GRIP ON STOCKYARDS Commission Men and Traders Lose By Decision of Supreme Court WASHINGTON M.ny 1 The packers pack-ers and stockyards act of 1921 was dr-clared dr-clared constitutional today by the supreme su-preme court. The court In disposing of cases brought by James K Burton, and others oth-ers representing Chicago traders and Stafford Brothers in behalf of tho Chicago Commission merchants, declared de-clared that commission merchants, traders and dealers, who buy and sell livestock after Its arrival at Chicago Chica-go stockyards, are. engaged In interstate inter-state commerce. Chief Justice Taft. in holding federal fed-eral control of the stockyards of the country as directed In the packers and stockyards act to be constitutional, declared the yards constituted a channel chan-nel through which interstate shlp- ments of livestock flowed and further were great national public utilities. Justice McReynolds dissented without delivering an opinion and Justice Day did not participate. HELD STR1CTDY 1AM ill Federal control oer tho stockyards of the country, as asserted by congress In the packers and stockyards act of till, was challenged by commission mcrchnnts and dealers at the Chicago stockyards who contended In suits separately instituted by them that their buflneos was s'rlcrly local as In terstate commerce ceaseu trnvu v livestock In which they deal w.i" delivered deliv-ered at the stockyards. The government govern-ment insisted, however, that the law was a legitimate exercise of the regulatory regu-latory powers of the federal government govern-ment over Interstate commerce. The two cases were brought In tho United State-s district court at Chicago by Stafford brothers and others for the commission merchants, und by James E. Burton and others for the tr&dere. Injunctions were sought to restrain the government from enforcing, enforc-ing, through the secretary of agriculture agricul-ture supervision over the stockyards on the ground that such federal Interference In-terference was unconstitutional. Th4 Injunctions were refused. BASIS OF PROTEST Both the commission merchants and the traders contended the law would be Irksome and would Impose upon them restrictions and publlcit which would matoriolly Interfere with the conduct of their l.us'.ne. The commission com-mission merchant explained that they were pold by the shippers of livestock a stipulated commission charge per head of livestock sold by them, that i heir compensation was not dependent upon the price at which the livestock was sold, and thot their compensation was In no way affected by the live stock being in whole or in part an interstate in-terstate or state shipment. The traders asserted that they were further removed from Interstate commerce com-merce than even the commission merchants, mer-chants, from who they made their pur-Chases pur-Chases Their huslnoss consisted, they ited holding for livestock in the liens of the OOmtSSion merchants at the stockyard-, or In the pen of other traders They claimed us "speculators" they generally bought for their own account, but at times they executed orders for others. The livestock when driven Into ths commission merchant's pen Is not graded, the court was advised, ad-vised, but when sold to the trader is transferred to pens where It Is graded , ih I i--. ,Iit'i oro fits ln.-ln'' dependent. I In part, upon a higher price he may obtain for the livestock made more altractKe hy grading. The trader nl-wavs nl-wavs operates. It was explainer!, upon a uulck turnover, seldom retaining the livestock more than a day or two FED KRAI. CONTENTION The goernmcnt, In Upholding the Constitutionality Of the net. contended ! the stockyards were the terminals of I the common carriers over which the livestock IS shipped to market, and thUS the livestock while passing through the stockyards is In interstate commerce over which congress has control. In regulating interstate commerce com-merce In llestock. It Is proper, the government Insisted, to regulate the terminal facilities of that commerce. The "continuity" of the flow from the grower to the packer who In most )n-tanCSS )n-tanCSS lias his slaughterhouses at the stockyards. Is unbroken the govern- I ment added. oo |