108 DEPARTMENT OF AGRICULTURE

sociations were not protected from the anti-trust laws.
Thus they were placed at a disadvantage in the use of
one of the most efficient methods of financing known.
In order to meet this need, the more comprehensive
Capper-Volstead Act became a law, February 18, 1922.
 The Capper-Volstead Act granted to associations,
corporate or otherwise, with or without capital stock,
protection from the anti-trust laws, provided that such
associations are operated for the mutual benefit of the
members, and conform to one or both of the following
requirements:
 "First. That no member of the association is allowed
more than one vote because of the amount of stock or
membership capital he may own therein, or,
 "Second. That the association does not pay dividends
on stock or membership capital in excess of eight per
centum per annum."
 It will be noted that the association may comply with
either, or with both, of the above provisions. But regard-
less of which, or if both of the above provisions are com-
plied with, the following requirement must in all cases
be met:
 "Third. That the association shall not deal in the
products of non-members to an amount greater in value
than such as are handled by it for members."
 This Act specifically states that associations which
meet its provisions may be organized either with or with-
out capital stock, and may make all necessary contracts
and agreements It does not affect consumers' coopera-
tives m any way. The text of the Act is given in the
appendix.
 The Cooperative Marketing Act of 1926 removed all
remaining doubt as to the practices of cooperatives which
should be recognized as legitimate. It also makes it clear
that there can be certain types of joint action among co-