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Index-Digest

measured by his profits from their sale at prices fixed by the manufacturer under a previous contract which was unlawful. Victor Talking Machine Co. v. Kemeny, 271 F. 819. 242

DECREE. 7. Jurisdiction Retained by, Continues until Combination Dissolved. The jurisdiction retained by a decree ordering the dissolution of an alleged combination and monopoly, to make such further orders and decrees as might be necessary, held to continue until the combination and monopoly was completely dissolved, at least to the extent of authorizing an order requiring the sale of stocks and bonds in other companies owned by one of the defendants. U. S. v. L. S. & M. S. Ry Co., 281 F. 1011. 583

2. When Affirmed in Part and Reversed in Part, What May Be Considered on Second Appeal.-Where a decree of the District Court dismissing a bill was affirmed by the Circuit Court of Appeals as to part of the bill but as to the remainder was reversed upon the ground that, as to that part, the dismissal was erroneously based on a supposed defect of parties, held, that upon the return of the case, other objections to the remaining part which might have been, but were not, urged or considered on the appeal, could be considered by the District Court, and by the Circuit Court of Appeals on a second appeal. General Investment Co. v. Lake Shore & M. S. Ry. Co., 260 U. S. 285. 208

3. Rightly Denying Injunction, but Not Providing for Assessing Damages for Past Trespasses, Will Be Modified on Appeal.— A decree rightly denying an injunction, but inadvertently failing to provide for the assessment of damages for past trespasses by defendant's agents on plaintiff's rights, will be modified on appeal, so as to reserve plaintiff's right to apply for an assessment of damages. Journal of Commerce Pub. Co. v. Tribune Co., 286 F. 114. 819

4. Power of Court of Equity to Modify.-A court of equity, which entered a decree in a suit brought by the United States under Sherman Act, section 4, for dissolution of a combination as in restraint of trade, by which decree it authorized the creation of two new corporations to take over certain of the business of the combination to insure competition, making such corporations parties to the decree, and retaining jurisdiction "for the purpose of making such other and further orders and decrees as may become necessary for carrying out the plan herein set forth," held to have power to modify the decree on petition of one of such corporations as affecting that corporation, where no revision is made on the merits or with respect to any defendant concluded thereby, but where

Index-Digest

the modification is consistent with the purpose for which jurisdiction was reserved. U. S. v. Du Pont Co., 273 F. 873.

273

5. Same-Petition to Modify Decree Held Proper Procedure.-Where a decree dissolving a combination as in restraint of trade required the creation of two new corporations to take over and operate certain plants of the combination, to insure and maintain competition, making them parties to the decree, one of such corporations, desiring to purchase certain additional plants, held to have properly applied to the court for a construction of the decree or its modification, if necessary, to permit the purchase. Ib. 274 6. In Reading Railroad-Coal Combination, What It Should Provide. The decree should provide not only that all stockholders of the new coal company, upon receiving and registering their stock, shall make affidavits that they are not owners or the agents or representatives of owners of stock in the Reading Company, but also should require the merged Reading Company to adopt a by-law, effective until the further order of the court, permitting registration of transfers of its stocks only in the names of persons who make affidavit that they are not stockholders of the new or old coal companies and have not been and are not holders of proxies to vote shares therein. Continental Ins. Co. v. U. S. 259 U. S. 175 605 7. Should Sever Control by Southern Pacific of Central Pacific, by Stock Ownership, or Lease.-The decree to be entered should sever the control by the Southern Pacific of the Central Pacific by stock ownership or lease, protect, as far as compatible the mortgage of the Central Union Trust Co., and insure both railroads proper access to San Francisco Bay, over the several terminals, lines, and cut-offs leading thereto, constructed or acquired during the unified control of the two systems; and similar provision should be made respecting lines extending from San Francisco Bay to Sacramento and Portland, Oreg. U. S. v. Southern Pacific Co., 259 U. S. 241.

636 8. Same-In framing the decree, the District Court may bring in additional parties. Ib. 636

DIRECTED VERDICT.

1. When Party Requesting, May Reserve Right to Go to Jury.—A party who joins the opposing party in requesting the District Court to instruct peremptorily upon the ground that the evidence entitles him to a verdict as a matter of law, may reserve his right to go to the jury if the court should regard the facts as disputed; and where such reservation is properly made, the court can not ignore it and assume to find the

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facts from the evidence as though the case had been unconditionally submitted. Sampliner v. Motion Picture Patents Co., 254 U. S. 239.

DISTRICT COURT.

95

1. When Bill in, Should Not Be Dismissed for Lack of Jurisdiction. A bill in the District Court setting up a claim of Federal right should not be dismissed for lack of jurisdiction because the claim is wanting in merit, if it be not wholly frivolous. Hart v. Keith Vaudeville Exchange, 262 U. S. 273. 706

2. In View of Conformity Act, Did Not Abuse Discretion in Permitting Corporations To Be Joined as Plaintiffs.-In view of the conformity act and the law of Arkansas respecting consolidation of causes, held, that the District Court did not abuse its discretion in permitting several allied corporations to be joined as plaintiffs in an action prosecuted by their receiver to recover triple damages under section 7 of the Sherman Act for the destruction of their properties and business committed in an alleged conspiracy to restrain interstate commerce. United Mine Workers v. Coronado Coal Co., 259 U. S. 382. 676

3. Given Authority to Amend Plan of Dissolution of Railroad and Coal Combination.-Authority is given the District Court to amend the plan of dissolution for the purpose of leaving the Reading Company properly financed, and to make such detailed changes as, after full hearing of all the parties, it may find practically necessary in following the general outlines of the modifications here made. Continental Ins. Co. v. U. S., 259 U. S. 174. 605

4. Same To Determine Whether Reading Company May Continue to Own Stock in Reading Iron Company.-The District Court is given authority to determine whether, under commodities clause and constitution of Pennsylvania, Reading Company may continue to own stock in Reading Iron Company, and the plan of dissolution modified accordingly by that court. Ib. 612

DIVERSITY OF CITIZENSHIP.

1. When Defendant Corporation Should Be Aligned as Plaintiff to Give Court Jurisdiction Through Diverse Citizenship.-In a suit by a corporation, a citizen of one State, against another corporation, of another State, and its former employees and their labor unions, wherein the plaintiff, praying no relief against the defendant corporation, sought to enjoin the other defendants from molesting the workmen employed by that corporation and thereby delaying or preventing the perform

DURESS.

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ance of contracts with the Government for war supplies entered into by the plaintiff and by it turned over to the defendant corporation for manufacture and delivery, and wherein it appeared that the defendant corporation was subject to the control of the plaintiff through majority stock ownership and through the identity of some of their officers and directors, held: (1) That the plaintiff's right, if any, was a right to protect the contract between the defendant corporation and its workmen from the interference complained of; that the defendant corporation was an indispensable party to the controversy, and that, having no interest in conflict with the plaintiff's, it must be aligned as a plaintiff in determining whether the District Court had jurisdicton through divers citizenship (p. 80); (2) that certain allegations of the bill that the Government contracts had priority under the national defense act, and involved interstate commerce, were insufficient to render the suit one arising under the laws of the United States. Niles-Bement-Pond Co. v. Iron Molders' Union. 254 U. S. 82. 90

1. Before Action for Can Be Maintained, Must Be Rescission and Offer to Return Money.-Where a minority stockholder was compelled by duress of the controlling stockholders to sell his stock to the majority holders, rescission and offer to return the purchase money is necessary before he can sue for the duress. Sullivan v. Associated Bill Posters, 272 F. 330. 259

EMPLOYEES.

1. Standing of as, Terminated by Strike.-A strike, even though lawful, terminates an employment, consisting either in a definite contract or merely an existing arrangement, even though the strike is a strategic move to force at last a better employment. Birmingham Trust, etc. Co. v. Atlanta, etc., Ry. Co., 271 F. 745.

247

2. Same-By Striking, Forfeited Right to Former Pay and Hearing on Future Wages.-Where a railway receiver announced a wage reduction in pursuance of an order of court, which was invalid because made without hearing after 20 days' notice, as required by the Newlands Act, the employees could either continue to serve and assert right to pay at the former wage, or they could treat the announcement as a breach of the relation and terminate the service. Where they struck when the reduction was announced, they forfeited their standing as employees, and are not entitled as a matter of right to be heard at the hearing to fix the future wages. Ib. 247

EMPLOYER.

Index-Digest

1. Right of, that His Employees Have Free Access to His Place of Business. An employer has a right, incident to his property and business that his workmen have free access to the place where the busiess is conducted. American Steel Foundries v. Tri-City Trades Council, 257 U. S. 203.

"EMPLOYMENT.”

387

1. Defined. Aside from statutory uses, "employment" means the existence of the relation of master and servant, consisting either in a binding contract for service, or in actual service without a definite contract. Birmingham Trust, etc., Co. v. Atlanta, etc., Ry. Co., 271 F. 744. 246

ESTOPPEL.

1. Government Not Estopped to Prosecute by Reason of Settlement of Debts of Central Pacific Railway to United States.-Under the act of July 7, 1898 (30 Stat. 659), which constituted the Secretaries of the Treasury and Interior and the Attorney General a commission with full power to settle the debt of the Central Pacific Railroad Company to the Unite States, subject to the approval of the President and to terms laid down in the act, a plan was approved and reported to Congress whereby the company's notes were to be delivered to the Government and be secured by bonds to be issued under a first mortgage on all its lines. Execution of the plan upon the part of the railroad (then under lease to the Southern Pacific Company) accompanied a reorganization involving creation of the Central Pacific Railway Company, its succession to the property of the Central Pacific Railroad Company, issuance by the new company of mortgage bonds secured by the property and guaranteed by the Southern Pacific Company, part of which were delivered to the Government as the collateral called for by the settlement agreement, and acquisition by the Southern Pacific Company of a controlling part of the new company's stock. The guaranty, not mentioned in the settlement agreement, was referred to in the Attorney General's report of the settlement to Congress, and Congress later passed acts authorizing the Secretary of the Treasury to dispose of any notes in his possession touching the indebtedness of the Central Pacific Railroad Company and to settle claims of that road and of the Southern Pacific, for transportation services, by credits on the Central Pacific notes. The notes were paid primarily by checks of the Southern Pacific. Held, that the commission's acceptance of the guaranty was neither in intention nor in effect a condonation of the violation of the Sherman Act committed in

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