Labor Activities in Restraint of Trade: The Apex Case

Abstract

ON May 27, 1940, the Supreme Court handed down its opinion in Apex Hosiery Co. v. William Leader. This, a six to three decision, was the first important Sherman Act case involving labor activities to come squarely before the Court as now constituted. Moreover, as it had to do with the much condemned "sit-down" strike, with considerable attendant violence and property damage, and a complete stoppage of the employer's interstate commerce for some weeks, there was more than usual interest in seeing how the case would be handled. Not that the Sherman Act, about to celebrate its fiftieth birthday, had been rewritten by the present administration, for the contrary. was true. But, still, there was some question how the new Court would read the Act and the many decisions construing it. It was, of course, clear to anyone with a pro-labor slant that some means had to be found- particularly as the suit was the archaic one for triple damages- whereby to take the case out of the Act.