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Antitrust - Mail from Businessmen: Edward Schmults File (5)
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7634654
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Antitrust - Mail from Businessmen: Edward Schmults File (5)
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The original documents are located in Box 3, folder "Antitrust - Mail from Businessmen:
Edward Schmults File (5)" of the John Marsh Files at the Gerald R. Ford Presidential
Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald R. Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Digitized from Box 3 of the John Marsh Files at the Gerald R. Ford Presidential Library
MERRILL W. HOYT - JIM LARICKS
MILITARY
SALES MANAGEMENT SERVICE
1025 W. 8th Street
Kansas City, Missouri-64101
September 8, 1976
The President
The White House
Washington, D. C. 20500
SUBJECT: Parens Patriae Legislation
Dear Mr. President:
Having reviewed the "Parens Patriae Legislation" recently
passed by the Senate, I urge you to veto this legislation
when it reaches your desk.
Placing power in States Attorneys to hire private "plantiff"
lawyers with state funds, leaves all businesses, large and
small, at the mercy of any unscrupulous attorney and obtain
large public paid fees.
Large companies would probably "settle" class action suits,
though the action was unwarranted and could be termed "blackmail,"
rather than face trial costs and possible damages.
These costs and/or settlements would necessarily be passed
along to the public in higher prices.
Small companies facing the same situation would have no choice
but to defend themselves and, win or lose, would use funds
necessary to continue operations, increase productivity and
create more jobs. Some probably would find bankruptcy a
necessity.
In summary, if this legislation becomes law, with the exception
of "plantiff attorneys" every other American becomes a victim
of increased taxes, further inflated prices, reduced national
productivity, and possible loss of jobs.
I am confident from your past actions of vetoing proposed
legislation that would be contrary to the equitable benefit
to all Americans, you will continue to act accordingly.
Sincerely,
Jane Military JLarick Sales
FORD is LIBRA 07VR
Manager
JJL/plg
Mid-America Food Brokers, Inc.
September 8, 1976
20065 JAMES COUZENS HIGHWAY
DETROIT, MICHIGAN 48235
313 / 342-4080
The President
The White House
C
P
Washington, D.C. 20500
Mr. President:
Have been reading much of late concerning "parens patriae".
All of the information I have been able to gather has been
most frightening as a citizen and also as a small business-
man.
In an effort to avoid what many people feel to occur should
"parens patriae" be allowed in legislation, I respectfully
and strongly urge that you veto any bill with "parens
patriae" as part of it.
Yours truly,
MID-AMERICA FOOD BROKERS, INC.
Harris Crane
President
HC:is
cc: The Honorable Philip W. Buchen
The Honorable John 0. Marsh, Jr.
The Honorable John J. Rhodes
The Honorable Hugh Scott
FORD & LIBRARY 071
DETROIT GRAND RAPIDS SAGINAW TOLEDO
LAWRYS
OFFICE OF THE PRESIDENT
FOODS, INC.
September 8, 1976
The Honorable Gerald R. Ford
President of the United States
The White House
Washington, D. C. 20500
Dear Mr. President:
I am writing to you at this time to express my views and those of my
associates as to the various legislative proposals now being considered
which may reach your desk containing what is referred to as parens
patriae authority.
I know that the grave potential dangers of legislation of this sort has
been brought to your attention by Attorney General Levi.
While ours is not a large company, we do believe that legislation of
this sort is extremely undesirable and completely unnecessary.
We, therefore, respectfully urge that should any such legislation be
presented to you, that you exercise your veto powers with respect to
it. Your consideration of these views is sincerely appreciated.
Yours very truly,
Richard N. Frank
President
RNF:tm
cc:
The Honorable Philip W. Buchen
The Honorable John O. Marsh, Jr.
The Honorable John J. Rhodes
The Honorable Hugh Scott
FORD & LIBRAR at
568 SAN FERNANDO ROAD LOS ANGELES, CALIFORNIA 90065 (213) 225-2491 CABLE ADDRESS: LAWRYS
September 8, 1976
The President
The White House
Washington, D.C. 20500
Dear President Ford:
As Vice President-Grocery Products Group, National
Can Corporation and as a concerned citizen, I strongly
urge you to oppose the passage of Senate Bill 1284,
the Hart-Scott Antitrust Improvements Act, and
particularly Title IV of the Act, known as the Parens
Patriae Amendment. Title IV would authorize each
State Attorney General to bring treble damage suits
in Federal District Court in the name of his state,
and with the use of state funds, against defendants
who have allegedly violated the Sherman Act. This
legislation would also allow State Attorneys General
to hire private lawyers to bring such suits.
I am deeply concerned that this bill will encourage
frivolous class action suits by private attorneys
who do not have the best interests of the public at
heart as do elected officials. The cost of trying
these suits is so enormous that many defendants
will accept a settlement rather than go to trial,
even though they are certain of winning. Since the
various states would be paying the expenses of the
suit, plaintiffs' lawyers will not hesitate to go
to trial, even though they may be certain of losing.
The ultimate loser would be the American consumer/
taxpayer. Not only would his taxes be paying the
litigation expenses of the plaintiff, but he would
also be paying higher prices for goods and services
when the cost of defending these suits is ultimately
reflected in retail prices. The only winner in
suits such as these is the private attorney, whose
fee is extraordinarily high. The Tetracycline
FORD is LIBRARY
3/000818
The President
September 8, 1976
Page Two
class action cases, which have been cited by the
proponents of Title IV of 1284 as a model for the
fluid recovery mechanisms proposed in the Title,
instead demonstrate the terrible inequities which
can occur in such suits. The five defendants paid
out $213 million in settlements; of this amount,
$42 million, or 200, was allocated for plaintiffs'
attorney's fees, while only $28 million, or 138,
was actually paid to consumers.
Unless the State Attorneys General are restricted
from hiring private attorneys to prosecute these
suits, there can be no assurance that the best
interests of the public are being served. There
is a substantial danger that a flood of irrespon-
sible lawsuits against business firms will result,
causing higher prices for consumers, business
failures and further clogging of the already
congested federal court system.
I want to stress to you that as a businessman,
I favor responsible enforcement of the antitrust
laws, since this is ultimately good for business
and for the consumer. However, Title IV of S.1284
will engender irresponsible enforcement of the
antitrust laws and, in doing so, will be a severe
detriment to the very persons that it is supposed
to protect--the consumers. It is for this reason
that I feel that passage of S.1284 in its present
form would be a serious mistake and would be a
cruel hoax on the American consuming public.
I again appeal to you to oppose its passage.
Very truly yours,
NATIONAL CAN CORPORATION
Thomas F. Costello
TFC/cp
FORDO i LIBRARY 070830
3/000821
The President
September 8, 1976
Page Three
CC: The Honorable
Philip W. Buchen
Counsel to the President
The White House
Washington, D.C. 20500
The Honorable
John 0. Marsh, Jr.
Counsellor to the President
The White House
Washington, D.C. 20500
The Honorable
John J. Rhodes
Minority Leader
U.S. House of Representatives
Washington, D.C. 20515
The Honorable
Hugh Scott
Minority Leader
U.S. Senate
Washington, D.C. 20510
bcc: F. Considine
- EXEC
L. Everson
- B
W. Francois
If
1
R. Kabaker
=
-
R. Lederer
If
-
W. Wells
- B
3/001058
September 9
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O, MARGI
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
FORD i LIBRA RALE
THE WHITE HOUSE
WASHINGTON
September 9, 1976
Dear Mr. Laricks:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concern-
ing the antitrust legislation.
I have taken the liberty of sharing
your letter with those here at the
White House working on this issue.
Sincerely,
Mr. James J. Laricks
Military Sales Manager
Sales Management Service
1025 West 8th Street
Kansas City, Missouri 64101
FORD i LIBRARY
P.O. BOX C19019
N
SEATTLE, WASHINGTON 98119
JOHNSON LIEBER COMPANY
206-285-0910
6105 S.W. MACADAM
PORTLAND, OREGON 97201
503-245-3111
BROKERS
MANUFACTURERS AGENTS
1901
P.O. BOX 3567TA
SPOKANE, WASHINGTON 99220
509-624-1381
100 W. INTE RNATIONAL AIRPORT RD.
SUITE 101
ANCHORAGE, ALASKA 99502
907-277-2668
P.O. BOX 20126
BILLINGS, MONTANA 59104
406-245-6159
1775 W. 1500 SOUTH
SALT LAKE CITY, UTAH 84104
Portland, Oregon 97201
801-487-0611
September 3, 1976
The President
The White House
Washington, D. C. 20500
Mr. President:
We are deeply concerned over a parens patriae clause
included in an anti-trust bill recently passed by
the Senate.
we urge you to veto any bill which is submitted to you
with parens patriae as a part of it. Enactment of this
legislation would foment unjustified multi-million dollar
anti-trust suits.
Respectfully submitted,
James D. Doane
JDD:ls is
cc: The Honorable Philip W. Buchen
The Honorable John O. Marsh, Jr.
The Honorable John J. Rhodes
The Honorable Hugh Scott
817 GERALD ? FORD
Nestle
The Nestle Company, Inc. 100 Bloomingdale Road, White Plains, New York 10605 (914) 946-6400
September 9, 1976
The President
The White House
Washington, D.C. 20500
Re: Antitrust Legislation
Dear Mr. President:
We know of no State in the Union whose judicial
system can stand any significant increase in the volume
of work which it must process. The parens patriae of
the proposed legislation would make the already high volume
of the Courts' work chaotic.
Moreover, to provide the Attorneys General of our
various States and attorneys for private parties with
this bludgeon cruelly presses industry down at a time when
it and the country could use a lift.
Please, please reject such legislation when it
crosses your desk.
Very truly yours,
THE NESTLE COMPANY, INC.
G. A. Perlberg
Vice President - General Manager
CC: The Honorable Philip W. Buchen
The Honorable John O. Marsh, Jr.
The Honorable John J. Rhodes
The Honorable Hugh Scott
GAP:v
FORD i LIBRARY OF
1218
September 9. of
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MASSHAJR.
For Direc Reply
For Draft Response
XX For Your information
Please Advise
FORD is LIBRA GIVE
THE WHITE HOUSE
WASHINGTON
September 9, 1976
Dear Mr. Doane:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concern-
ing the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
John O. Marsh, Jr.
Counsellor to the President
Mr. James D. Doane
Johnson Lieber Company
at Johns Landing
6105 Southwest Macadam
Portland, Oregon 97201
FORD is LIBRARY
MERRILL W. HOYT - JIM LARICKS SEP 9 1976
MILITARY
SALES MANAGEMENT SERVICE
1025 W. 8th Street
Kansas City, Missouri-64101
September 8, 1976
The President
The White House
Washington, D. C. 20500
SUBJECT: Parens Patriae Legislation
Dear Mr. President:
Having reviewed the "Parens Patriae Legislation" recently
passed by the Senate, I urge you to veto this legislation
when it reaches your desk.
Placing power in States Attorneys to hire private "plantiff"
lawyers with state funds, leaves all businesses, large and
small, at the mercy of any unscrupulous attorney and obtain
large public paid fees.
Large companies would probably "settle" class action suits,
though the action was unwarranted and could be termed "blackmail,"
rather than face trial costs and possible damages.
These costs and/or settlements would necessarily be passed
along to the public in higher prices.
Small companies facing the same situation would have no choice
but to defend themselves and, win or lose, would use funds
necessary to continue operations, increase productivity and
create more jobs. Some probably would find bankruptcy a
necessity.
In summary, if this legislation becomes law, with the exception
of "plantiff attorneys" every other American becomes a victim
of increased taxes, further inflated prices, reduced national
productivity, and possible loss of jobs.
I am confident from your past actions of vetoing proposed
legislation that would be contrary to the equitable benefit
to all Americans, you will continue to act accordingly.
Sincerely,
FORD
Jane Military Jarih Sales
Manager
JJL/plg
MILITARY SALES MANAGEMENT SERVICE
1025 W. 8th Street
KANSAS CITY
U.S. POSTAGE
Kansas City, Missouri 64101
SEP-7'86
SSS
13
*****
MO
T-N METER 607393
The Honorable
John O. Marsh, Jr.
Counsellor to the President
The White House
Washington, D. C. 20500
Hawaii - Far East Brokerage
Post Office Box 1960 / Honolulu, Hawaii 96805 / Telephone 841-3731
September 10, 1976
The President
The White House
Washington, D. C. 20500
Dear President Ford:
I am writing you in reference to the parens patriae legislation. I plead
with you to veto any bill which comes to you with the parens patriae section
in it. The parens patriae legislation seems to me to be an open season for
Lawyers to bring suits against companies to gain settlements.
Yours sincerely,
HAWAII-FAR EAST BROKERAGE
Walter a.Kolayank
Walter A. Kobayashi
General Sales Manager
WAK:te
001 P. W. Buchen
J. O. Marsh, Jr.
J. J. Rhodes
H. Scott
FORD i LIBRARY SRALD
Food Brokers and Manufacturers' Representatives in Hawaii
September 10
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MARS
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
/ BALO R. FORD LIS
THE WHITE HOUSE
WASHINGTON
September 10, 1976
Dear Mr. Costello:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
Counsellor John O. Marsh, to Thank Jr. the President S.
Mr. Thomas P. Costello
National Can Corporation
8101 West Higgins Road
Chicago, Illinois 60631
FORD i LIBRARY PERALD
SEP 10 1976
September 8, 1976
The President
The White House
Washington, D.C. 20500
Dear President Ford:
As Vice President-Grocery Products Group, National
Can Corporation and as a concerned citizen, I strongly
urge you to oppose the passage of Senate Bill 1284,
the Hart-Scott Antitrust Improvements Act, and
particularly Title IV of the Act, known as the Parens
Patriae Amendment. Title IV would authorize each
State Attorney General to bring treble damage suits
in Federal District Court in the name of his state,
and with the use of state funds, against defendants
who have allegedly violated the Sherman Act. This
legislation would also allow State Attorneys General
to hire private lawyers to bring such suits.
I am deeply concerned that this bill will encourage
frivolous class action suits by private attorneys
who do not have the best interests of the public at
heart as do elected officials. The cost of trying
these suits is so enormous that many defendants
will accept a settlement rather than go to trial,
even though they are certain of winning. Since the
various states would be paying the expenses of the
suit, plaintiffs' lawyers will not hesitate to go
to trial, even though they may be certain of losing.
The ultimate loser would be the American consumer/
taxpayer. Not only would his taxes be paying the
litigation expenses of the plaintiff, but he would
also be paying higher prices for goods and services
when the cost of defending these suits is ultimately
reflected in retail prices. The only winner in
suits such as these is the private attorney, whose
fee is extraordinarily high. The Tetracycline
FORD i LIBRARY
3/000818
The President
September 8, 1976
Page Two
class action cases, which have been cited by the
proponents of Title IV of 1284 as a model for the
fluid recovery mechanisms proposed in the Title,
instead demonstrate the terrible inequities which
can occur in such suits. The five defendants paid
out $213 million in settlements; of this amount,
$42 million, or 20%, was allocated for plaintiffs'
attorney's fees, while only $28 million, or 13%,
was actually paid to consumers.
Unless the State Attorneys General are restricted
from hiring private attorneys to prosecute these
suits, there can be no assurance that the best
interests of the public are being served. There
is a substantial danger that a flood of irrespon-
sible lawsuits against business firms will result,
causing higher prices for consumers, business
failures and further clogging of the already
congested federal court system.
I want to stress to you that as a businessman,
I favor responsible enforcement of the antitrust
laws, since this is ultimately good for business
and for the consumer. However, Title IV of S.1284
will engender irresponsible enforcement of the
antitrust laws and, in doing so, will be a severe
detriment to the very persons that it is supposed
to protect--the consumers. It is for this reason
that I feel that passage of S.1284 in its present
form would be a serious mistake and would be a
cruel hoax on the American consuming public.
I again appeal to you to oppose its passage.
Very truly yours,
NATIONAL CAN CORPORATION
Thomas F. Costello
TFC/cp
FORD is LIBRARY
3/000821
The President
September 8, 1976
Page Three
CC: The Honorable
Philip W. Buchen
Counsel to the President
The White House
Washington, D.C. 20500
The Honorable
John 0. Marsh, Jr.
Counsellor to the President
The White House
Washington, D.C. 20500
The Honorable
John J. Rhodes
Minority Leader
U.S. House of Representatives
Washington, D.C. 20515
The Honorable
Hugh Scott
Minority Leader
U.S. Senate
Washington, D.C. 20510
bee: F. Considine - EXEC
#
L. Everson
-
W. Francois
R
-
R. Kabaker
- "
R. Lederer
- #
W. Wells
- 17
FORD i LIBRARY 8ALD
3/001058
September 11
THE WHITE HOUSE
washington
TO:
FROM:
For ED JOHN SCHMULTS Direct O, MARSI June Reply
For Draft Response
XX
For Your Information
Please Advise
FORD is LIBRARY 0788
THE WHITE HOUSE
WASHINGTON
September 10, 1976
Dear Mr. Crane:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
Jul Marsh,
John
Counsellor to the President
Mr. Harris Crane
President
Mid-America Food Brokers, Inc.
20065 James Couzens Highway
Detroit, Michigan 48235
FORD & LIBRARY GERALD
Mid-America Food Brokers, Inc.
September 8, 1976
20065 JAMES COUZENS HIGHWAY
DETROIT, MICHIGAN 48235
313/342-4080
The President
C
P
The White House
Washington, D.C. 20500
Mr. President:
Have been reading much of late concerning "parens patriae".
All of the information I have been able to gather has been
most frightening as a citizen and also as a small business-
man.
In an effort to avoid what many people feel to occur should
"parens patriae" be allowed in legislation, I respectfully
and strongly urge that you veto any bill with "parens
patriae" as part of it.
Yours truly,
MID-AMERICA FOOD BROKERS, INC.
Harris Crane
President
HC:is
cc: The Honorable Philip W. Buchen
The Honorable John 0. Marsh, Jr.
The Honorable John J. Rhodes
The Honorable Hugh Scott
FORD i LIBRARY
DETROIT GRAND RAPIDS SAGINAW TOLEDO
September 11
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MAKSMAR
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
FORD i LIBRARY SERALD
Captember 11, 1976
Dear Mr. Frank:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
John O. Marsh, Jr.
Counsellor to the President
Mr. Richard II. Frank
President
Lawry's Foods, Inc.
568 San Fernando Road
Los Angeles, California 90065
CC: Ed Schmults
dl
FORD i LIBRARY GERALD
LAWRYS
OFFICE OF THE PRESIDENT
FOODS, INC.
September 8, 1976
The Honorable Gerald R. Ford
President of the United States
The White House
Washington, D.C. 20500
Dear Mr. President:
I am writing to you at this time to express my views and those of my
associates as to the various legislative proposals now being considered
which may reach your desk containing what is referred to as parens
patriae authority.
I know that the grave potential dangers of legislation of this sort has
been brought to your attention by Attorney General Levi.
While ours is not a large company, we do believe that legislation of
this sort is extremely undesirable and completely unnecessary.
We, therefore, respectfully urge that should any such legislation be
presented to you, that you exercise your veto powers with respect to
it. Your consideration of these views is sincerely appreciated.
Yours very truly,
Richardn
Hank
Richard N. Frank
President
RNF:tm
cc:
The Honorable Philip W. Buchen
The Honorable John O. Marsh, Jr.
The Honorable John J. Rhodes
FORD i LIBRARY 028870
The Honorable Hugh Scott
568 SAN FERNANDO ROAD LOS ANGELES, CALIFORNIA 90065 (213) 225-2491 CABLE ADDRESS: LAWRYS
LAWRY'S FOODS, INC.
ANGE
LOS
U.S.POSTAGE
VISIT LAWRY'S
SEP-8'76
S
CALIFORNIA
13:
this CENTER
CALIF
P.B. 649296
METER
©
The Honorable John O. Marsh, Jr.
Counsellor to the President
The White House
Washington, D.C. 20500
568 SAN FERNANDO ROAD, LOS ANGELES, CALIFORNIA 90065
September 11
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MAR Jane
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
FORD & LIBRARY
September 11, 1976
Dear Mr. Davenport:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
John 0. Marsh, Jr.
Counsellor to the President
Mr. O. W. Davenport, Jr.
Chief Esecutive Officer
Professional Marketing Associates
401 Maryvale Drive
Buffalo, New York 14225
CC: Ed Schmults
dl
FORD i LIBRARY GERALD
401 Maryvale Drive
Buffalo, N.Y. 14225
(716) 892-3163
Professional Marketing Associates
Telex 91-572
Sept. 7, 1976
The President
The White House
Washington, D. C., 20500
Dear Mr. President:
We are aware of a portion of an anti-trust bill presently in joint
committee which apparently provides for the enactment of parens patriae
legislation.
We strongly urge a veto for any bill which comes to you with a
parens patriae section in it, as the obvious end result is a heavy
enrichment of the legal profession to the detriment of the consumer,
who will have to pay the price for that kind of legal action.
Thank you for your consideration in the above.
Sincerely,
PROFESSIONAL MARKETING
Associates, Inc.
0. W. Davenport, Jt.
OWDjr:tcw
Chief Executive Officer
cc: - The Honorable
CC: The Honorable
Philip W. Buchen
John J. Rhodes
Counsel to the President
Minority Leader
The White House
U. S. House of Representatives
Washington, D. C., 20500
Washington, D. C., 20515
The Honorable
The Honorable
John 0. Marsh, Jr.
Hugh Scott
Counsellor to the President
Minority Leader
The White House
U. S. Senate
Washington, D. C., 20500
Washington, D. C., 20510
CC: - Gordon T. Beaham, III
FORD & LIBRARY OTHUE
FOOD BROKERS
Albany Division
Syracuse Division
1215 Western Ave.
6033 Taft Road
ASSOCIATION.
Suite 202
P.O. Box 365
Albany. N.Y. 12203
N. Syracuse, N.Y. 13212
(518) 438-6671
(315) 458-6500
DRY GROCERY DIVISION
Telex 14-5332
Telex 93-7452
FROZEN FOOD DIVISION
September WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MARSH, TR.
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
FORD & LIBRARY RATE
September 13, 1976
Dear Mr. Elston:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue,
Sincerely,
John 0. Marsh, Jr.
Counsellor to the President
Mr. Lloyd W. Elston
President
Peter Paul, Inc.
Post Office Box 310
Naugatuck, Connecticut 06770
CC: Ed Schmults
dl
FORD & LIBRARY EERALD
AUG 19 1976
PETER PAUL, INC.
NAUGATUCK, CONNECTICUT
Lloyd W. Elston
President
August 17, 1976
The President
The White House
Washington, D.C. 20500
Dear Mr. President:
I write this letter to express my grave concern
over the parens patriae section of new antitrust
legislation coming to you for signature.
I followed the progress of this legislation through
the Congress and am appalled as well as surprised
that it has progressed this far.
In my opinion, this legislation has terrible faults
with the possibility for great injustice, increased
costs, and an invasion of areas in which new anti-
trust legislation is not needed.
As I understand the legislation, it would permit
State Attorneys General to hire private attorneys
to file antitrust claims on behalf of all state
residents. The payment of these lawyers would cer-
tainly add to the attraction to file these suits, and
would undoubtedly add to the cost of any settlement.
Based on the experience in our country now with out-
sized awards for insurance claims, I am certain that
the corporation faced with a suit of this sort, would
rather settle, in a sense react to blackmail, than
undergo the cost to fight the suit in court.
Undoubtedly in the case of a nationally distributed
product such as ours, if one Attorney General files
a suit, we can be fairly certain that 49 other suits
would be filed in the remaining states.
FORD i LIBRARY RRALD
The President
August 17, 1976 - Page 2.
The ultimate cost of legislation will be borne by
the taxpayer on the one side and the consumer on the
other. I think that no one will be served by this
but the legal fraternity.
I hope that you will use your power to veto because
this is a bad bill.
Thank you.
Very respectfully yours,
Lloyd W. Elston
President
LWE/cr
CC: The Honorable
The Honorable
Philip W. Buchen
John O. Marsh, Jr.
Counsel to the President
Counsellor to the President
The White House
The White House
Washington, D.C. 20500
Washington, D.C. 20500
The Honorable
The Honorable
John J. Rhodes
Hugh Scott
Minority Leader
Minority Leader
U.S. House of
U. S. Senate
Representatives
Washington, D.C. 20510
Washington, D.C. 20515
FORD & LIBRARY SERVID
ARUGATUS
7
N.A.
U.S.PUSTAGE
AUG1776
=
CONN
143513
The Honorable John O. Marsh, Jr.
Counsellor to the President
The White House
Washington, D.C. 20500
WHITEPTION HOUSE & SECURITY
AUG 19 1976
Processed by. 2
L.W. Elston
P. O. BOX 310
NAUGATUCK, CONNECTICUT
06770
I
September 13
THE WHITE HOUSE
washington
TO:
ED SCHMULT
FROM: JOHN O. MARSH, The
For Direct Reply
For Draft Response
XX For Your Information
Please Advise
RALD / H. FORD LIBRAGO
THE WHITE HOUSE
WASHINGTON
September 13, 1976
Dear Mr. Elston:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
Jahrel John O. Marsh, Jr.
Counsellor to the President
Mr. Lloyd W. Elston
President
Peter Paul, Inc.
Post Office Box 310
Naugatuck, Connecticut 06770
FORD & LIBRA 9ERALD
SEP 13 1976
Public Affairs Department
A. H. Robins Company
1407 Cummings Drive
Richmond, Virginia 23220
Telephone (804) 257-2120
A-H-ROBINS
The Honorable John O. Marsh
Special Counsel to the President
The White House
Washington, D.C. 20500
Dear Jack:
September 10, 1976
I am enclosing a copy of a telegram from members of the Virginia State
Chamber Special Task Force to our Virginia delegation in the House.
As you can see, we are concerned about this antitrust measure, especially
the controversial parens patriae section. We remain hopeful that the President
will decide not to sign this measure into law should it come out of Congress in
its present form. We realize that such a favorable veto decision would be
facilitated by having three bills, each judged on its merit, instead of parens
patriae lumped in with the less onerous sections.
We hope you will do what you can to help us in this effort.
Sincerely,
Aalm John D. Taylor
Director
JDT/mc
FORD is LIBRARY
western union
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Honorable T. N. Downing
Honorable G. W. Whitehurst
10 Book Messages
Honorable D. E. Satterfield, III
Honorable R. W. Daniel, Jr.
Separate copy to each
Honorable W. C. Daniel
addressee
Honorable M. Caldwell Butler
Honorable J. K. Robinson
Honorable H. E. Harris, II
Honorable W. C. Wampler
Honorable J. L. Fisher
House of Representatives
Washington, D. C. 20515
We anticipate that you will shortly be asked to approve H. R. 8532 as
amended by S 1284, a bill which claims to strengthen antitrust
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enforcement. Through an unprecedented manuever, its proponents hope
to avoid a House-Senate conference committee and force a vote without
a committee's guidance.
Amended H. R. 8532 contains radical changes from the House legisla-
tion and is, we feel, harsh and unwise. Two major House protections,
in particular, have been deleted from the bill's most controversial
section, the parens patriae provision to which the President has voiced
his clear opposition: under amended H. R. 8532 (1) price-fixing damages
will be trebled even though a defendant can show it acted in good faith
and (2) states can "deputize" private attorneys to pursue parens patriae
suits on a contingency fee basis.
We believe that this attempt to by-pass normal parliamentary procedures
should be rejected and the House's three bill format reinstated so that
SENDING BLANK
Sand the above message, subject to terms on back hereof, which are hereby agreed to
PLEASE TYPE OR WRITE PLAINLY WITHIN BORDER-DO NOT FOLD
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each section of this important legislation can be considered and judged
on the basis of individual merit by both the Congress and the President.
We therefore urge you to vote against concurring in H. R. 8532 as
amended by S 1284.
Special Task Force
Virginia State Chamber of Commerce
Frank Armstrong, III, President
David R. Waters, President
National Fruit Products Co.
Garfinclel, Brooks Brothers,
Miller & Rhoads, Inc.
Charles A. Ford, General Manager
General Electric Co., Waynesboro
W. L. Zimmer. III, President
A. H. Robins Company
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UNIVERSAL foods CORPORATION
KENNETH L. FRANK
SENIOR VICE PRESIDENT
September 13, 1976
The President
The White House
Washington, D.C. 20500
Dear President Ford:
It is our understanding that you will presently be considering a bill
enacting parens patriae legislation, and the purpose of this letter
is to urge you to veto any bill of that kind because it would place
an overwhelming amount of authority in the hands of all State Attorneys
General. Putting power into the State Attorneys General to bring treble
damage suits against companies on behalf of all state residents provides
an open field for the worst kind of law suits. Since it appears that
Congress is set on passing such legislation, the country's only hope
would be your veto.
Sincerely yours,
Kenneth L. Frank
KLF.mec
CC: The Honorable Philip W. Buchen
Counsel to the President
The White House
The Honorable John O. Marsh, Jr.
Counsellor to the President
The White House
The Honorable John J. Rhodes
Minority Leader
U.S. House of Representatives
The Honorable Hugh Scott
FORD & GERALD LIBRARY
Minority Leader
U.S. Senate
433 EAST MICHIGAN STREET MILWAUKEE. WISCONSIN 53201
(414) 271-6755
of
UNIVERSAL Food_ CORPORATION
KENNETH L. FRANK
SENIOR VICE PRESIDENT
September 13, 1976
The President
The White House
Washington, D.C. 20500
Dear President Ford:
It is our understanding that you will presently be considering a bill
enacting parens patriae legislation, and the purpose of this letter
is to urge you to veto any bill of that kind because it would place
an overwhelming amount of authority in the hands of all State Attorneys
General. Putting power into the State Attorneys General to bring treble
damage suits against companies on behalf of all state residents provides
an open field for the worst kind of law suits. Since it appears that
Congress is set on passing such legislation, the country's only hope
would be your veto.
Sincerely yours,
Kenneth L. Fronk
KLF.med
CC: The Honorable Philip W. Buchen
Counsel to the President
The White House
The Honorable John O. Marsh, Jr.
Counsellor to the President
The White House
The Honorable John J. Rhodes
Minority Leader
U.S. House of Representatives
The Honorable Hugh Scott
FORD & GERALD LIBRARY
Minority Leader
U.S. Senate
433 EAST MICHIGAN STREET MILWAUKEE. WISCONSIN 53201
(414) 271-6755
September 13
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULT
FROM: JOHN JR.
For Jan
For Draft Response
XX
For Your Information
Please Advise
RALD / K. R. Fundy LIBRARY
September 13, 1976
Dear Mr. Mac Beth:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
John O. Marsh, Jr.
Counsellor to the President
Mr. Lorne C. D. MacBeth
32 The Orchard
Salt Springs Road
Fayetteville, New York 13066
cc: Ed Schmults
dl
FORD i LIBRARY 078870
AUG 19 1976
32 The Orchard
Salt Springs Road
Fayetteville, New York 13066
August 17, 1976
The President
The White House
Washington, D. C. 20500
Mr. President:
I am writing to urge you to oppose in Congress and then veto so-called
parens patriae legislation should it be passed in the near future.
Although narrower in scope than original proposals, the legislation is
still unwise. The Senate substitute for H.R. 8532, which was passed
June 10, 1976, still permits state attorneys general to sue as parens
patriae for residents of the states seeking treble damages in cases
alleging price fixing or patent fraud. The method of damage calculation
would be unrelated to actual damages suffered by any individual and
would only serve to force companies to settle rather than face the
possibility of losing.
The antitrust laws should not be designed to make huge settlements or
possibly force companies out of existence. Substantial penalties are
called for if these laws are violated, but treble damages based on "fluid
recovery" are not appropriate.
Please use your influence with members of the House to kill this legis-
lation and veto the bill if passed.
Thank you.
Respectfully yours,
GERALD ? FORD
Lorne C. D. MacBeth
CC: Mr. John Marsh
Counselor to the President
SYRACU
PROCLAIM LIBERTY
32 The Orchard
USA13c
Salt Springs Road
Fayetteville, New York 13066
ILTHELAND
THE LAND
Mr. John Marsh
Counselor to the President
The White House
Washington, D. C. 20500
Baptember 13, 1976
Dear John:
Many thanks for your recent letter
together with a copy of the telegram
to the Virginia delegation concerning
the antitrust legislation.
I have taken the liberty of sharing
your letter with those here at the
White House working on this issue.
With kindest personal regards, I am
Sincerely,
John 0. Marsh, Jr.
Counsellor to the President
Hr. John D. Taylor
Director
A. H. Robins Company
1407 Cummings Drive
Richmond, Virginia 23220
CC: Ed Schmults
dl
FORD i LIBRARY BERALD
SEP 13 1976
Public Affairs Department
A. H. Robins Company
1407 Cummings Drive
Richmond, Virginia 23220
Telephone (804) 257-2120
A-H-ROBINS
The Honorable John O. Marsh
Special Counsel to the President
The White House
Washington, D.C. 20500
Dear Jack:
September 10, 1976
I am enclosing a copy of a telegram from members of the Virginia State
Chamber Special Task Force to our Virginia delegation in the House.
As you can see, we are concerned about this antitrust measure, especially
the controversial parens patriae section. We remain hopeful that the President
will decide not to sign this measure into law should it come out of Congress in
its present form. We realize that such a favorable veto decision would be
facilitated by having three bills, each judged on its merit, instead of parens
patriae lumped in with the less onerous sections.
We hope you will do what you can to help us in this effort.
Sincerely,
Jalm John D. Taylor
Director
JDT/mc
JERALD R. FORD LIBRARY
we anticipate that you Will shorty De asked LU approve n. K.
amended by S 1284, a bill which claims to strengthen antitrust
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enforcement. Through an unprecedented manuever, its proponents hope
to avoid a House-Senate conference committee and force a vote without
a committee's guidance.
Amended H. R. 8532 contains radical changes from the House legisla-
tion and is, we feel, harsh and unwise. Two major House protections,
in particular, have been deleted from the bill's most controversial
section, the parens patriae provision to which the President has voiced
his clear opposition: under amended H. R. 8532 (1) price-fixing damages
will be trebled even though a defendant can show it acted in good faith
and (2) states can "deputize" private attorneys to pursue parens patriae
suits on a contingency fee basis.
We believe that this attempt to by-pass normal parliamentary procedures
should be rejected and the House's three bill format reinstated so that
SENDING BLANK
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PLEASE TYPE OR WRITE PLAINLY WITHIN BORDER-DO NOT FOLD
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each section of this important legislation can be considered and judged
on the basis of individual merit by both the Congress and the President.
We therefore urge you to vote against concurring in H. R. 8532 as
amended by S 1284.
Special Task Force
Virginia State Chamber of Commerce
Frank Armstrong, III, President
David R. Waters, President
National Fruit Products Co.
Garfinclel, Brooks Brothers,
i
FORD
Miller & Rhoads, Inc.
Charles A. Ford, General Manager
General Electric Co., Waynesboro
W. L. Zimmer. III, President
LIBRARY
A. H. Robins Company
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western union
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Honorable T. N. Downing
Honorable G. W. Whitehurst
10 Book Messages
Honorable D. E. Satterfield, III
Honorable R. W. Daniel, Jr.
Separate copy to each
Honorable W. C. Daniel
addressee
Honorable M. Caldwell Butler
Honorable J. K. Robinson
Honorable H. E. Harris, II
Honorable W. C. Wampler
Honorable J. L. Fisher
House of Representatives
Washington, D. C. 20515
We anticipate that you will shortly be asked to approve H. R. 8532 as
amended by S 1284, a bill which claims to strengthen antitrust
SENDING BLANK
Send the above message, subject to terms on back hereof, which are hereby agreed to
PLEASE TYPE OR WRITE PLAINLY WITHIN BORDER-DO NOT FOLD
WU 1269 (R9/89)
western union
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CHARGE
LETTERS
FCB
TO
CWA 009737
enforcement. Through an unprecedented manuever, its proponents hope
to avoid a House-Senate conference committee and force a vote without
a committee's guidance.
Amended H. R. 8532 contains radical changes from the House legisla-
tion and is, we feel, harsh and unwise. Two major House protections,
in particular, have been deleted from the bill's most controversial
section, the parens patriae provision to which the President has voiced
his clear opposition: under amended H. R. 8532 (1) price-fixing damages
will be trebled even though a defendant can show it acted in good faith
and (2) states can "deputize" private attorneys to pursue parens patriae
suits on a contingency fee basis.
We believe that this attempt to by-pass normal parliamentary procedures
should be rejected and the House's three bill format reinstated so that
FORD
SENDING BLANK
Send the above message, subject to terms on back hereal, which are hereby agreed to
HALD
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each section of this important legislation can be considered and judged
September 13
THE WHITE HOUSE
washington
TO:
ED SCHMULTS
FROM: JOHN O. MARTHAUR,
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
FORD is LIBERTY \ LIBR ave
September 13, 1976
Dear Mr. Perlberg:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
John O. Marsh, Jr.
Counsellor to the President
Mr. G. A. Perlberg
Vice President - General
Manager
The Nestle Company, Inc.
100 Bloomingdale Road
White Plains, New York 10605
CC: Ed Schmults
dl
FORD i LIBRARY GERALD
Nestle
The Nestle Company, Inc. 100 Bloomingdale Road, White Plains, New York 10605 (914) 946-6400
September 9, 1976
The President
The White House
Washington, D.C. 20500
Re: Antitrust Legislation
Dear Mr. President:
We know of no State in the Union whose judicial
system can stand any significant increase in the volume
of work which it must process. The parens patriae of
the proposed legislation would make the already high volume
of the Courts' work chaotic.
Moreover, to provide the Attorneys General of our
various States and attorneys for private parties with
this bludgeon cruelly presses industry down at a time when
it and the country could use a lift.
Please, please reject such legislation when it
crosses your desk.
Very truly yours,
THE NESTLÉ COMPANY, INC
Vice President - General Manager
Halling G. A. Perlberg
CC: The Honorable Philip W. Buchen
The Honorable John O. Marsh. Jr
The Honorable John J. Rhodes
The Honorable Hugh Scott
GAP: V
GERALD FORD LIBRAS
1218
September 13
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MARCH TR.
For Direct/Reply
For Draft Response
XX
For Your Information
Please Advise
FORD
GERALD
September 13, 1976
Dear Mr. Kobayashi:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with others here at the
White House working on this issue.
Sincerely,
John O. Marsh, Jr.
Counsellor to the President
Mr. Walter A. Kobayashi
General Sales Manager
Hawaii - Far East Brokerage.
Post Office Box 1960
Honolulu, Hawaii 96805
CC: Ed Schmults
dl
SERALD FORD LIBRARY
Hawaii - Far East Brokerage
Post Office Box 1960 / Honolulu, Hawaii 96805 / Telephone 841-3731
September 10, 1976
The President
The White House
Washington, D. C. 20500
Dear President Ford:
I am writing you in reference to the parens patriae legislation. I plead
with you to veto any bill which comes to you with the parens patriae section
in it. The parens patriae legislation seems to me to be an open season for
Lawyers to bring suits against companies to gain settlements.
Yours sincerely,
HAWAII-FAR EAST BROKERAGE
Walter A. Kobayashi
General Sales Manager
WAK:to
001 P. W. Buchen
J. O. Marsh, Jr.
J.J. Rhodes
H. Scott
i
FORD
GERALD
Food Brokers and Manufacturers' Representatives in Hawaii
September 13
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MANSH
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
FORD is
September 13, 1976
Dear Mr. Ferguson:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust &egislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
John O. Marsh, Jr.
Counsellor to the President
Mr. Doug Ferguson
President
Laura Scudder's Snack
Foods Division
Pet Incorporated
1525 North Raymond Avenue
Anaheim, California 92805
CC: Ed Schmults
dl
&
FORD
GERALD
1817
SEP 12 1976
Laura Scudder's
SNACK FOODS DIVISION
PET
INCORPORATED
1525 north raymond avenue
Doug Ferguson
president
anaheim, california 92805
September 7, 1976
phones: (714) 772-5151
(213) 860-5564
The President
The White House
Washington, D.C. 20500
Dear President Ford:
It seems obvious that Congress will soon submit for your signature
significant antitrust legislation. We feel compelled to advise you
of our opposition to the legislation and to urge your veto.
There are many objectionable features of the antitrust bills recently
clearing both houses, but one is of particular importance. The Senate
omnibus bill, S. 1284, in Title IV, and House bill HR 8532, involve
parens patriae provisions giving attorneys general authority to bring
treble damage lawsuits on behalf of a state's citizenry. They, further,
authorize attorneys general to engage private counsel for such litigation.
Both of these provisions, it is expected, will be in the Conference
Committee bill.
The parens patriae provision will be a tool for financial and political
blackmail in the hands of lawyers and attorneys general. Enough of
such activity is already prevalent in the antitrust field as part of
class action suits. Just as class suits have not been a consumer boon,
there certainly will be no consumer benefit derived from parens patriae
induced complaints. As for defendant companies, the prospect of
financial devastation will be monumental.
We do not oppose antitrust laws and we favor responsible enforcement
from the public and private sectors. There has, however, been a lot of
abusive litigation in this field. To create more laws to encourage such
activity is reprehensible.
We do not perceive antitrust enforcement to be a lagging activity. If
there must be a different way to deal with antitrust problems, it must
be by a method more sensible than that which would be encouraged by the
proposed legislation and by a method which in itself does not induce
wholesale improper conduct.
Sincerely,
i
FORD
HERALD
DF/paw
PM CA
928
&NAHE
7 SEP
SEP-7'76"
1976
3
CALIF
PB 615819
METER
LauraScudder's
SNACK FOODS DIVISION
PET
The Honorable John 0. Marsh, Jr.
INCORPORATED
Counsellor to the President
The White House
1525 north raymond avenue
Washington, D. C. 20500
anaheim, california 92805
September 13
THE WHITE HOUSE
WASHINGTON
TO:
ED SCHMULTS
FROM: JOHN O. MARCHASK,
For Direct Reply
For Draft Response
XX
For Your Information
Please Advise
FORD of LIBRARD
September 13, 1976
Dear Mr. Hoerres:
Just a short note to thank you for
sending me a copy of your recent
letter to the President concerning
the antitrust legislation.
I have taken the liberty of sharing
this letter with those here at the
White House working on this issue.
Sincerely,
John O. Marsh, Jr.
Counsellor to the President
Mr. Gerald Hoerres
President
Enzo Jel Company
502 South 9th Street
Sheboygan, Wisconsin 53081
CC: Ed Schmults
dl
FORD is LIBRARY BERALD
AUG 19 1976
ENZO JEL COMPANY
Manufacturers of
QUALITY DESSERT PRODUCTS AND CONTRACT
PACKAGING OF ANY DRY MIX FOOD PRODUCT
502 SOUTH 9TH STREET
PHONE 457-7761
SHEBOYGAN, WISCONSIN 53081
August 17, 1976
President Ford
The White House
Washington, D.C. 20500
Dear President Ford:
I am writing you to ask you to please VETO any bill that comes to
your desk that has a PARENS PATRIAE section in it. I ask you this
as a concerned businessman, but more important than that, as a con-
cerned consumer, and with a family of eight I think I qualify as a
large consumer.
This type of bill will probably never directly effect me as a small
businessman, but it will effect the larger concerns I depend on for
my existence, and thereby indirectly effect me. It has been my ex-
perience that big business does an outstanding job in giving the best
possible price to people like me and, therefore, we can compete in
our economy. PARENS PATRIAE legislation could take the sharp edge
of competition and destroy it to a point where the small company could
no longer enjoy a piece of the action.
Our courts will become overrun with cases instigated by unscrupulous
and misinformed attorneys and 99% of these cases will be settled out
of court, which will amount to nothing more than a payoff.
In time, and history will back this up, the Government will have to
step in and create a bureau to control prices, which will result in
more taxes. The added cost to business in settlements and legal fees
will be added to the cost of products and ultimately the consumer
pays the whole bill.
This is why I ask for your veto as a consumer first, and a business-
man second.
Thank you for your time, Mr. President.
Sincerely,
LIBRARY GERALD FORD
ENZO JEL COMPANY
Gerald Hoerres:cb
President
STEWART Company OF ALASKA
BROKER / MANUFACTURERS REPRESENTATIVE
P.O. BOX 3-368
ANCHORAGE, ALASKA 99501
September 13, 1976
ANCHORAGE
907-277-4312
President Gerald R. Ford
White House
Washington, D.C. 20500
PARENS PATRIAE
Dear Mr. President:
I urge you to veto any bill passed by Congress that
contains a parens patriae clause. This is a monstrous thing,
and the enormous cost will be passed on to consumers. It will
only enrich attorneys.
I manufacture nothing. My life savings, however, are
invested in stocks and bonds, and these will become very risky
if this bill passes. I can assure you these investments will
be liquidated promptly if this bill passes, with or without
your signature. I frankly believe a lot of investors will sell
securities.
I am a conservative, balance the budget Republican.
If this legislation passes, and the stock market drops, you
could lose the election. I don't think the country can stand
a liberal, labor oriented president at this point.
Sincerely,
J. R. Stewart
JRS: bds
copy: The Honorable Philip W. Buchen
The Honorable John 0. Marsh, Jr.
The Honorable John J. Rhodes
The Honorable Hugh Scott
&
FORD & GERALD LIBRARY