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Constitutional Law Keyed to Barnett
United States v. E.C. Knight Co.
Citation:
156 U.S. 1 (1895)Facts
In the late 1800s, a small number of companies controlled all the sugar manufacturing in the U.S. The American Sugar Refining Company controlled most of the sugar manufacturing, and four other smaller companies (including the E.C. Knight Company) controlled the rest. In 1892, the American Sugar Refining Company purchased the E.C. Knight Company and the other three sugar manufacturing companies. This purchase effectively gave the American Sugar Refining Company a monopoly over the U.S. sugar refining industry. The federal government sued E.C. Knight Company, arguing that the sale of the company to the American Sugar Refining Company violated the Sherman Antitrust Act. The government argued that people all across the country consume sugar, and since it must pass over state lines to reach them, distribution of sugar is interstate commerce under the commerce clause.
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