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292 PART XIII.
The defendants were various lumber associations, composed largely of retail lumber dealers located in many States. It was held that the systematic circulation among the members of the associations of official reports calling the attention of the members— retail dealers — to actions of specified wholesalers in selling direct to consumers tended to prevent members of the associations from dealing with the wholesalers named in the reports and to directly and unreasonably restrain trade by preventing trade with such wholesalers. Mr. Justice Day said :
(608) True it is that there is no agreement among the retailers to refrain from dealing with listed wholesalers, nor is there any penalty annexed for the failure so to do, but he is blind indeed who does not see the purpose in the predetermined and periodical circulation of this report to put the ban upon wholesale dealers whose names appear in the list of unfair dealers trying by methods obnoxious to the retail dealers to supply the trade which they regard as their own.
Referring to the Sherman Act, he said :
(609) It broadly condemns all combinations and conspiracies which restrain the free and natural flow of trade in the channels of interstate commerce.
And after citing all the recent cases:
(611) These principles are applicable to this situation. Here are wholesale dealers in large nimiber engaged in interstate trade upon whom it is proposed to impose as a condition of carrying on that trade that they