Again, Wood

"The liberty and property of the citizen shall be protected by the rudimentary requirements of fair play."

Last week the foregoing declaration by the Supreme Court of the U. S., and the judicial action based upon that rudimentary statement of public ethics, seriously disturbed the National Labor Relations Board, potentially affected the Interstate Commerce Commission, the Federal Trade Commission, the Bituminous Coal Commission, many another quasi-judicial Federal agency.

The Court's lesson in sporting simplicities was included in a finding that the Secretary of Agriculture had arbitrarily and improperly fixed maximum rates to be charged by the Fred 0. Morgan Sheep Commission Co., of Kansas City. Mo. Attorney for Fred O. Morgan was persuasive Frederick Hill Wood of the potent Manhattan firm of Cravath, de Gersdorff, Swaine & Wood, who argued down NRA and the first Guffey Coal Control Act. Arguing for Fred 0. Morgan, Mr. Wood contended that the Secretary had issued his order without a complete knowledge of the facts gathered by subordinates, had erred in denying the company a chance to view and contest the order before it was finally issued. Last week six Justices (Justice Black dissenting, two absent) upheld Mr. Wood, commented caustically upon the Secretary's attenuated review of the evidence, said: "The right to a hearing embraces not only the opportunity to present evidence but also a reasonable opportunity to know the claims [of the Government] and to meet them. . . . Those who are brought into contest with the Government ... are entitled to be fairly advised of what the Government proposes . . . before it issues its final command."

Soon developed was the fact that in some of its vital cases NLRB had withheld a right which was now declared to be essential. NLRB Counsel Charles Fahy asked the Third Circuit Court of Appeals for time to correct the Board's procedure and recent order against Republic Steel Corp. Active Mr. Wood, who also represents Ford Motor Co., another NLRB defendant, asked the Sixth Circuit Court of Appeals to require testimony whether the three NLRB members had themselves read and digested the 2,000,000 words of Ford testimony taken by subordinates; whether, before the finding was issued, the Board or its officers had consulted Labor Leaders John L. Lewis and Homer Martin, New Dealers Thomas Corcoran and Benjamin Victor Cohen. Unhappy Mr. Fahy quickly asked leave to withdraw the Ford order, whereupon the board would issue a "preliminary" finding, make it available to Mr. Wood for argument, and again request the Circuit Court to enforce the amended order without reopening the entire case. While less than 2% of NLRB cases appeared to be affected by the decision, an important legal principle had been uncovered by astute Mr. Wood, one which could cause the New Deal much irritation.

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