Full text of Celler-Kefauver Anti-Merger Act

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64 STAT.]

1125

81ST CONG., 2o SESS.-CHS. 1183, 1184-DEC. 29, 1950

and operation and maintenance costs allocable to the same purposes,
shall be nonreimbursable.
(b) Actual construction of the project herein authorized shall not
be commenced, and no construction contract awarded therefor, until
(1) the Congress shall have consented to the interstate compact
between the States of New Mexico, Oklahoma, and Texas agreed upon
by the Canadian River Compact Commission at Santa Fe, New Mexico,
December 6, 1950, in conformity with Public Law 491, Eighty-first
Congress, and (2) repayment of that portion of the actual cost of
constructing the project which is allocated to municipal and industrial
water supply and of interest on the unamortized balance thereof at a
rate (which rate shall be certified by the Secretary of the Treasury)
equal to the average rate paid by the United States on its long-term
loans outstanding at the time the repayment contract is negotiated
minus the amount of such net revenues as may be derived from temporary water supply contracts or from other sources prior to the
close of the repayment period, shall have been assured by a contract
satisfactory to the Secretary, with one central repayment contract
organization, the term of which shall not exceed fifty years from the
date of completion of the municipal and industrial water supply
features of the project as determined by the Secretary.
(c) The repayment contract shall provide, among other things, (1)
that the holder thereof shall have a first right, to which right the
rights of the holders of any other type of contract shall be subordinate,
to a stated share or quantity of the project's available water supply
for use by its constituent industrial and municipal water users during
the repayment period and a permanent right to such share or quantity
thereafter subject to payment of such costs as may be incurred by the
United States in its operation and maintenance of any part of the
project works; (2) that, subject to such rules and regulations as the
Secretary may prescribe, the care, operation, and maintenance of such
portions of the pipeline and related facilities as are used solely for
delivering such water to the contract holder and its constituent organizations shall, as soon as is practicable after completion of the municipal
and industrial water supply features of the project, pass to the contract
holder or to an organization which is designated by it for that purpose
and which is satisfactory to the Secretary; and (3) that title to such
portions of the pipeline and related facilities shall in like manner pass
to the contract holder or its designee or designees upon payment to the
United States of all obligations arising under this Act or incurred in
connection with the project.
SEC. 3. There are hereby authorized to be appropriated, out of any
moneys in the Treasury not otherwise appropriated, such sums as may
be required to carry out the purposes of this Act.
Approved December 29, 1950.
[CHAPTER 1184]

AN ACT

To amend an Act entitled "An Act to supplement existing laws against unlawful
restraints and monopolies, and for other purposes," approved October 15, 1914
(38 Stat. 730), as amended.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, That sections 7 and
11 of an Act entitled "An Act to supplement existing laws against
unlawful restraints and monopolies, and for other purposes," approved
October 15, 1914, as amended (U. S. C., title 15, sees. 18 and 21), are
hereby amended to read as follows:
"SEC. 7. That no corporation engaged in commerce shall acquire,

directly or indirectly, the whole or any part of the stock or other

Restrictions.

Ante, p. 93.

Repayment
tract.

con-

Appropriation
thorized.

au-

Dc nlher 29, 1950
[H. R. 2734]
[Public Law 899]

Monopolies, etc.

38 Stat. 731, 734.

Restrictions on aoqulsition of certain
stock, etc.

1126

Eceptioam

49 Stat. 818.

1 U..8.C. §791.

Complianoe.
38 Stat. 730, 731, 732.
15 U. S. C. 113,14,
18. 19.
Aae, p. 1125.
I Stat. 379.
49U. 8. C. noteprec
I1; 8np.
IM,
II
ftE.

PUBLIC LAWS-CH. 1184-DEC. 29, 1950

[64 STAT.

share capital and no corporation subject to the jurisdiction of the
Federal Trade Commission shall acquire the whole or any part of the
assets of another corporation engaged also in commerce, where in any
line of commerce in any section of the country, the effect of such
acquisition may be substantially to lessen competition, or to tend to
create a monopoly.
"No corporation shall acquire, directly or indirectly, the whole or
any part of the stock or other share capital and no corporation subject
to the jurisdiction of the Federal Trade Commission shall acquire
the whole or any part of the assets of one or more corporations engaged
in commerce, where in any line of commerce in any section of the
country, the effect of such acquisition, of such stocks or assets, or of
the use of such stock by the voting or granting of proxies or otherwise,
may be substantially to lessen competition, or to tend to create a
monopoly.
"This section shall not apply to corporations purchasing such stock
solely for investment and not using the same by voting or otherwise
to bring about, or in attempting to bring about, the substantial lessening of competition. Nor shall anything contained in this section
prevent a corporation engaged in commerce from causing the formation of subsidiary corporations for the actual carrying on of their
immediate lawful business, or the natural and legitimate branches or
extensions thereof, or from owning and holding all or a part of the
stock of such subsidiary corporations, when the effect of such formation
is not to substantially lessen competition.
"Nor shall anything herein contained be construed to prohibit any
common carrier subject to the laws to regulate commerce from aiding
in the construction of branches or short lines so located as to become
feeders to the main line of the company so aiding in such construction
or from acquiring or owning all or any part of the stock of such branch
lines, nor to prevent any such common carrier from acquiring and
owning all or any part of the stock of a branch or short line constructed by an independent company where there is no substantial
competition between the company owning the branch line so constructed and the company owning the main line acquiring the property
or an interest therein, nor to prevent such common carrier from extending any of its lines through the medium of the acquisition of stock
or otherwise of any other common carrier where there is no substantial
competition between the company extending its lines and the company
whose stock, property, or an interest therein is so acquired.
"Nothing contained in this section shall be held to affect or impair
any right heretofore legally acquired: Provided,That nothing in this
section shall be held or construed to authorize or make lawful anything heretofore prohibited or made illegal by the antitrust laws, nor
to exempt any person from the penal provisions thereof or the civil
remedies therein provided.
"Nothing contained in this section shall apply to transactions duly
consummated pursuant to authority given by the Civil Aeronautics
Board, Federal Communications Commission, Federal Power Commission, Interstate Commerce Commission, the Securities and
Exchange Commission in the exercise of its jurisdiction under section
10 of the Public Utility Holding Company Act of 1935, the United
States Maritime Commission, or the Secretary of Agriculture under
any statutory provision vesting such power in such Commission,
Secretary, or Board.
"SEC. 11. That authority to enforce compliance with sections 2,
3, 7, and 8 of this Act by the persons respectively subject thereto is
hereby vested in the Interstate Commerce Commission where applicable to common carriers subject to the Interstate Commerce Act, as

64 STAT.1

1127

81ST OONG., 2D SESS.-CH. 1184-DEC. 29, 1950

amended; in the Federal Communications Commission where applicable to common carriers engaged in wire or radio communication or
radio transmission of energy; in the Civil Aeronautics Board where
applicable to air carriers and foreign air carriers subject to the Civil
Aeronautics Act of 1938; in the Federal Reserve Board where applicable to banks, banking associations, and trust companies; and in the
Federal Trade Commission where applicable to all other character
of commerce to be exercised as follows:
"Whenever the Commission or Board vested with jurisdiction thereof
shall have reason to believe that any person is violating or has violated
any of the provisions of sections 2, 3, 7, and 8 of this Act, it shall issue
and serve upon such person and the Attorney General a complaint
stating its charges in that respect, and containing a notice of a hearing
upon a day and at a place therein fixed at least thirty days after the
service of said complaint. The person so complained of shall have
the right to appear at the place and time so fixed and show cause why
an order should not be entered by the Commission or Board requiring such person to cease and desist from the violation of the law so
charged in said complaint. The Attorney General shall have the right
to intervene and appear in said proceeding and any person may make
application, and upon good cause shown may be allowed by the Commission or Board, to intervene and appear in said proceeding by
counsel or in person. The testimony in any such proceeding shall be
reduced to writing and filed in the office of the Commission or Board.
If upon such hearing the Commission or Board, as the case may be,
shall be of the opinion that any of the provisions of said sections have
been or are being violated, it shall make a report in writing, in which
it shall state its findings as to the facts, and shall issue and cause to be
served on such person an order requiring such person to cease and
desist from such violations, and divest itself of the stock, or other share
capital, or assets, held or rid itself of the directors chosen contrary to
the provisions of sections 7 and 8 of this Act. if any there be, in the manner and within the time fixed by said order. Until a transcript of the
record in such hearing shall have been filed in a United States court of
appeals, as hereinafter provided, the Commission or Board may at
any time, upon such notice, and in such manner as it shall deem proper,
modify or set aside, in whole or in part, any report or any order made
or issued by it under this section.
"If such person fails or neglects to obey such order of the Commission or Board while the same is in effect, the Commission or Board
may apply to the IUnited States court of appeals, within any circuit
where the violation complained of was or is being committed or where
such person resides or carries on business, for the enforcement of its
order, and shall certify and file with its application a transcript of
the entire record in the proceeding, including all the testimony taken
and the report and order of the Commission or Board. Upon such
filing of the application and transcript the court shall cause notice
thereof to be served upon such person, and thereupon shall have
jurisdiction of the proceeding and of the question determined therein,
and shall have power to make and enter upon the pleadings, testimony,
and proceedings set forth in such transcript a decree affirming, modifying, or setting aside the order of the Commission or Board. The
findings of the Commission or Board as to the facts, if supported by
substantial evidence, shall be conclusive. If either party shall apply
to the court for leave to adduce additional evidence, and shall show
to the satisfaction of the court that such additional evidence is material
and that there were reasonable grounds for the failure to adduce
such evidence in the proceeding before the Commission or Board, the
court may order such additional evidence to be taken before the

52 Stat. 973.
49 U. S. C. §§ 401682, Sup. III, § 401
t seq.
Ante, pp. 395, 417.

Complaint.
Notice of hearing.
38 Stat. 730, 731, 732.
15 U. . c.
C.
13,14,
18, 19.
Ante, p. 1125.

Testimony.

Issuance oforder.

Failure to

obey

order.

Jurisdiction of U. S.
court of appeals.

Additional
dence.

evi-

1128

62 Stat. 928.
28 U. S. C., Sup. III,

I 1254.

Review.

Precedence of proceedings.

Service of processes,
etc.

PUBLIC LAWS-CHS. 1184, 1185-DEC. 29, 1950

[64 STAT.

Commission or Board and to be adduced upon the hearing in such
manner and upon such terms and conditions as to the court may seem
proper. The Commission or Board may modify its findings as to the
facts, or make new findings, by reason of the additional evidence so
taken, and it shall file such modified or new findings, which, if supported by substantial evidence, shall be conclusive, and its recommendations, if any, for the modification or setting aside of its original
order, with the return of such additional evidence. The judgment
and decree of the court shall be final, except that the same shall be
subject to review by the Supreme Court upon certiorari as provided in
section 1254 of title 28, United States Code.
"Any party required by such order of the Commission or Board
to cease and desist from a violation charged may obtain a review of
such order in said United States court of appeals by filing in the court
a written petition praying that the order of the Commission or Board
be set aside. A copy of such petition shall be forthwith served upon
the Commission or Board, and thereupon the Commission or Board
forthwith shall certify and file in the court a transcript of the record
as hereinbefore provided. Upon the filing of the transcript the court
shall have the same jurisdiction to affirm, set aside, or modify the
order of the Commission or Board as in the case of an application by
the Commission or Board for the enforcement of its order, and the
findings of the Commission or Board as to the facts, if supported
by substantial evidence, shall in like manner be conclusive.
"The jurisdiction of the United States court of appeals to enforce,
set aside, or modify orders of the Commission or Board shall be
exclusive.
"Such proceedings in the United States court of appeals shall be
given precedence over cases pending therein, and shall be in every
way expedited. No order of the Commission or Board or the judgment of the court to enforce the same shall in anywise relieve or
absolve any person from any liability under the antitrust Acts.
"Complaints, orders, and other processes of the Commission or
Board under this section may be served by anyone duly authorized
by the Commission or Board, either (a) by delivering a copy thereof
to the person to be served, or to a member of the partnership to be
served, or to the president, secretary, or other executive officer or a
director of the corporation to be served; or (b) by leaving a copy
thereof at the principal office or place of business of such person; or
(c) by registering and mailing a copy thereof addressed to such
person at his principal office or place of business. The verified return
by the person so serving said complaint, order, or other process setting
forth the manner of said service shall be proof of the same, and the
return post-office receipt for said complaint, order, or other process
registered and mailed as aforesaid shall be proof of the service of
the same."
Approved December 29, 1950, 12:50 p. m.
[CHAPTER 1185]

December 29. 1950
[H. R. 4579]
[Public Law 900]

AN ACT
To amend section 333 of title 28 of the United States Code to provide for the
district
attendance at judicial conferences of their respective circuits of the Alaska.
judges in Puerto Rico, the Virgin Islands, the Canal Zone, Hawaii, and

Judicial conferences.
62 Stat. 90

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled. That the first paragraph of section 333 of title 28 of the United States Code is hereby
amended to read as follows:

28U.S. C., Sup.II,
1333