Question

After Roosevelt broke up a number of trusts, the government finally went after Standard Oil. How did Rockefeller attempt to avoid being served a subpoena? How did they finally get him?

a) Rockefeller went into hiding and evaded the subpoena for years. He was eventually found and arrested.
b) Rockefeller hired a private security force to fend off the government's agents. He was eventually apprehended through legal means.
c) Rockefeller tried to negotiate with the government to avoid a subpoena. He was ultimately compelled to testify.
d) Rockefeller fled the country and lived in exile to escape the subpoena. He was eventually extradited.

Answer 1

John D. Rockefeller utilized trusts and holding company models to maintain control over the Standard Oil empire while circumventing antitrust laws. President Theodore Roosevelt's administration, enforcing the Sherman Antitrust Act, initiated proceedings that eventually led to the dissolution of Standard Oil due to its monopolistic practices.

Step-by-step explanation:

The history of Standard Oil and its founder John D. Rockefeller is a case study of early American business practices and the eventual governmental intervention in the form of antitrust regulation. President Theodore Roosevelt, known for his "trust-busting" efforts, used the Sherman Antitrust Act to challenge the problem of trusts and monopolies that were prevalent at the beginning of the 20th century.

During the antitrust proceedings, Rockefeller evaded service of a subpoena through the use of a variety of legal structures designed to sidestep direct ownership rules. These included the concept of a trust, where a board of trustees would hold and control stock "in trust" for the shareholders, giving them management and profit control without direct ownership. He later shifted to a holding company model, which gathered all the enterprises under singular control yet was technically not classified as a trust, skirting around the laws at the time. This obfuscation of ownership allowed Rockefeller to maintain a semblance of legality while consolidating his monopoly power.

Despite Rockefeller's efforts to legally maneuver through the antitrust laws of the era, his Standard Oil Company ultimately had to dissolve in accordance with federal rulings deeming it a monopoly. This action demonstrated the evolving political and legal landscape aimed at curbing corporate overreach and protecting consumers and competitors.