The article deals with conflicts in the Firtst Nail and Iron Crafts Cooperative [Prva žebljarska in železo – obrtna zadruga] in Kropa and Kamna Gorica through 1924 – 1927. The cooperative was initially organized as a typical stock company, but due to the lack of interest of local entrepreneurs before the First World War, it approached the principles of Krek's - Raiffeisen cooperative. The development of the company into a productive cooperative reached its peak in 1922, when all the members of the general assembly voted with one vote, regardless of the number of paid-up shares. The more democratic principle of the cooperative's operation has proven to be an obstacle in times of debt problems and market competition for the management, leading to many conflicts. In this respect, the purpose of the article is to draw attention to the ideological and practical problems of social Catholicism, especially its attempt to transcend capitalism