Evening Republican, Volume 23, Number 284, Rensselaer, Jasper County, 29 November 1920 — INDIANA COAL LAW IS HIT [ARTICLE]

INDIANA COAL LAW IS HIT

FEDERAL INJUNCTION IS ISSUED AGAINST THE STATE COAL COMMISSION

Indiana's new law for the regulation of the coal industry within the state received a severe blow Saturday afternoon from Judges Francis E. Baker and George T. Gage, of the United States Circuit Court of Appeals, at Chicago, and A. B. Anderson, of the United States District Court of Indians. Jointly they heard the petition of the Vandalia Coal Company and of the Vigo Coal Products Company, for a temporary order, enjoining the State Coal Commission from interfering with coal sold under contract prior to the issuance of the state schedule of prices, and also from interfering with coal intended for interstate business. They asked also for an order enjoining the commission from enforcing a general mandate, requiring the operators of Indiana to produce some 1,600,000 tons of coal a month and to ship it according to the commission’s direction. Legality Is Attacked. The plaintiffs attacked the constitutionality of the law, alleging that it is contrary to the Federal constitution. All of the commission's orders, affecting operators, including the fixing of prices for coal intended for use in this state, were attacked. • Judge Baker, speaking for the Court, directed the issuance of a temporary > order on the -’following commission’s order in effect interferes with coal produced by the complainants for interstate shipment. “'Hie action of the commission impairs contracts entered into prior to October 6 when the commission issued its orders establishing prices. “The commiminn has no authority to force operators to remove coal from the ground. “If the complainants have coal left after filling orders for contract coal, and filling interstate orders mi effort td force them to xhip this coal in car load lots is not justified because Indiana coal does not stock safely.’’ . „ , Overlook* Car Supply. In this connection it was ruled that neither the commission law nor its orders makes provision for supplying the complainants with cars so they could comply with the commission’s orders to ship coal as it The complainants have no protection in shipping coal as ordered by the commission because there is no guarantee of payment for the coal shipped to persona designated, it was ruled. Threats of the commission toexact penalties for alleged violation of the law is given as another reation of the constitutionality of the law in the Supreme Court. The Court conceded the rightof the state to enact laws from time to time for control of purely PJ I™*® 1 ™*® business where the <4 “J® public requires. As interpreted.the ruling did not go to the point holding the law unconstitutional, but it it taken to mean that the orders of the commission contract coal which' is prartically four-fifths of the output, and coal intended for interstate shipment does not come within the scope of the state law. A State’s Order Vacated. Furthermore, the effect of the decision is to vacate the commissions order compelling the operators provide certain amounts of coal as he commission designates. Tn other words, the commission "Moreover. the detieton h takento jell it in the freemarkets if they so de Doubt was expressed whether the decision will affect coal sold by the operators within the state, but the decision leaves the operators free to ship all of their coal outside the