In December of 1869 a state constitutional convention
rewrote the document that had served as the law of Illinois
since 1848. In part the convention responded to a wave of political
corruption. Every year an increasing number of private bills, devoted to promoting
specific individuals or local interests, swamped the legislature.
Determined "rings" of political insiders pillaged the state
treasury through contracts with the penitentiary and the new state
industrial university at Champaign, among others. Voters responded by
demanding a rewritten state constitution.1
The new document largely forbade such special laws. It
curbed the legislature's ability to override a governor's veto as well. The
constitution of 1870 also granted suffrage to African Americans in
Illinois, in keeping with the provisions of the Fifteenth Amendment. While
Union armies fought to return the Confederacy to the Union and, ultimately,
destroy the institution of slavery, African Americans in Illinois had not
enjoyed the franchise. Despite this constitution's provision, and the
legislature's rapid ratification of the Amendment, many Illinoisians
continued to resist any notion of black civil rights or social equality.
Democrats often continued to portray Republicans' drive for black equality
as a threat to white supremacy. And many Republicans themselves, while
supporting the abstract notion of black equality, balked at the prospect of
its realization. 2
In 1896 the United States Supreme Court validated the
southern states' attempts to circumvent the Fourteenth Amendment in the
case of Plessy v. Ferguson. In this decision, the Court upheld the
State of Louisiana's policy of segregating railroad cars. The cars,
Louisiana argued, were "separate but equal." While the decision
pertained solely to the southern states in the narrow sense, it ultimately
suggested that the Supreme Court did not intend to uphold the Fourteenth
Amendment at the risk of offending prevailed social mores. Justice Henry
Brown wrote: "The object of the [Fourteenth A]mendment was undoubtedly
to enforce the absolute equality of the two races before the law, but in
the nature of things it could not have been intended to abolish
distinctions based upon color, or to enforce social, as distinguished from
political equality, or a commingling of the two races upon terms
unsatisfactory to either." 3
Farmers' economic difficulties led them to organize and
lobby for new regulations of railroads and grain merchants. The state
responded by declaring that such businesses had received state franchises
or licenses in order to further the public interest, and included their
regulation in the state constitution of 1870. When one merchant was found
guilty of violating the new laws and challenged them, the case went all the
way to the United States Supreme Court. The Court's 1877 ruling in the case
of Munn v. Illinois established government regulation of business
clothed in the public interest. Illinois' and other states' regulatory laws
governed the railroad and grain businesses for a number of years, until the
founding of the federal government's Interstate Commerce Commission in
1887.4
Railroaders and other businessmen chafed under the rule of
state regulators that were often controlled by farmers and other shippers
until the rise of the federal commission. In 1890, the Sherman Anti-Trust
Act was passed by Congress and signed by President Benjamin Harrison. This
act, based upon Congress' constitutional power to regulate interstate
commerce, declared illegal every contract, combination (in the form of
trust or otherwise), or conspiracy in restraint of interstate and foreign
trade. In 1895 the United States Supreme Court undermined the law by
declaring in U.S. v. E. C. Knight Co., that the federal government
could not regulate the Knight sugar-refining monopoly because it was a
manufacturer, and manufacturing was not 'commerce.' This ruling delayed the
federal government's attempt to enforce the Sherman Act until after 1900. 5
The courts also played a large role in the regulation of
labor relations in the Gilded Age. As the period's strikes became violent,
businessmen and elected officials often called in the state militia and
National Guard to intimidate and disperse the strikers. But they also
turned to judges to issue injunctions prohibiting work stoppages, boycotts,
or other strike activities. The result often was to strengthen the hand of
employers and break strikes. In the case of the 1894 Pullman Strike, United
States Attorney General Richard Olney helped to break the job action by
securing an injunction against the activities of the American Railway
Union.
This Omnibus Indictment precluded Union leaders from
persuading or inducing their members, largely railroad employees, to set
aside their duties as part of a strike action. In practical terms, the
injunction forbade union officials to communicate with their membership. Federal
judges Peter Grosscup and William Woods based their injunction upon the
Sherman Anti-Trust Act and Interstate Commerce Act's understanding of
restraint of trade. Ironically, legislation framed in hopes of checking the
power of large corporations in the marketplace came to bear upon labor
organizations. Ultimately prosecutors convicted American Railway Union
leader Eugene Debs of violating this indictment, for which he served a term
in federal prison. 6
1. Cole, Arthur Charles. The Centennial History of Illinois: The Era of the Civil War, 1848-1870. Springfield, Illinois Centennial Commission, 1919.
2. See Cole.
3. Brown, Henry Billings. "Majority Opinion in Plessy v. Ferguson." Desegregation and the Supreme Court.
Ed. Benjamin Munn Ziegler. Boston: D.C. Heath and Company, 1958. 50-51.
4. Miller, George H. Railroads and the Granger Laws. Madison: University of Wisconsin Press, 1971.
5. McCurdy, Charles. "The Knight Sugar Decision of 1895
and the Modernization of American Corporation Law, 1869-1903." Business
History Review 53, no. 3 (1979): 304-343.
6. Papke, David Ray. The Pullman Case: The Clash of Labor
and Capital in Industrial America. Lawrence: University Press of Kansas, 1999.