The weekly clarion. [volume] (Jackson, Miss.) 1863-1882, 1879-03-19
AN IMPORTANT DECISION
Constituting the Insurance Laws of
this State.

this State.
In the Circuit Court Of the United States Tor
the Southern District Of Mississippi Novem-
Der Term, 1873.
The Firemon's Ins. CO.,
W l.. Hemingway, ct al.
Marcellus Green, Solicitor for complainants
George T. Harding OF counsel.
T. C. Catching=, Attorney General, Nugent
Il Neville, Pittmam q Pittman, Smith Il
Klein, .. b. SAMSON, Barrows x Smythe So
Iicitors for defendants.
Opinion OF Hon. r. A. HILL Judge.
This cause is submitted upon bill, amended
and supplemental bill, answers, exhibits and
proofs from which the following facts appear:
The Globe Insurance Company, chartered
and doing business under the laws Of Illinois,
desiring 10 tranact business as insurers against
los bv fire in this State through agencies
located in this State, in pursuance Of the
statutes Of this State, or about the 10Th day
Of April, 1879, complied with said statutes
under the requirements Of which said Compa-
NV deposited with the Treasurer Of this State
ihe sum Of fifteen thousand dollars in the
warrants Of this State drawn upon the Treasu-
rer who gave a certificate therefor, required
by law. drawing six per cent interest, the pay
ment Of which the statute guaranteed to who
ever might be determined entitled thereto as
provided by the statute.
Whereupon, said Company, throughits duly
appointed agents, Me-sr- Barrows Il Smythe,
and others, commenced taking risks and issu-
ing policies of insurance against loss by fire
within the State Of Mississippi; and So con
tinued until March !, 1876, when said business
ceased and after which time no further policies
were issued or business done in this State
through said agents. Soon thereafter the
Company notified the defendant Hemingway,
the then Treasurer of this State, Of her iuten-
ton 10 cease doing business in this State and
10 withdraw said deposit as provided by
statute. On the 9th day Of April, 1876, the
Globe Insurance Company, for certain consid-
,rations, transferred and assigned said certih-
cate Of deposit To the Union Insurance Com
panv, the name Of which afterwards
changed To the Fireman's Insurance Company
the present complainant \ part of the con
sideration OF such assignment that the
complainant should re-insure the policy hold
crs who had taken out policies through the
agents SO appointed in the State of Mississippi,
and doing business under the statutes of this
State, and which was accordingly done. said
assignment was made subject TO all the legal
claims and demands in said funds binding
thereon under the statutes OF this State. No
tice OF said assignment was given TO Heming-
way a. Treasurer, about the both of May,
1876
The State Treasurer, on the 5lst Of May, 1875
being satisfied that the Globe Insurance Com
pany, had become insolvent, in pursuance OF
the statutes of the State, as amended, in rela-
ton to such Insurance Companies, gave notice
by publication in THE CLARION, n newspaper
published in Jackson, to all persons having
claims upon said company, and founded upon
losses on policies issued and for unearned
premiums therein, to present them with the
proof therein, to the end that the same might
be allowed and paid out of said fund, as pro-
vided by law; and on August 4th 1876, said
Treasurer did allow and pay to claimants
upon said fund rs follows: To Sherman III.
Parisot, $1,000 sc; to VIM. Muller, Sl05,62
to Barrows and Smythe, S240,32; to Morris
Bros. agents. Sfj9,57 and to \. L. Davis
S27I9.
1t further appears that on or about the 9th
of May, 1876 petition was filed by creditors
OF the Globe Insurance Company, in the Dis
trict Court of the United States, Tor the North
ern District of Illinois, to have said Company
declared a bankrupt, and upon proceedings
had Hereunder said Company was adjudicated
bankrupt and Robert +. jenkins was duly
appointed assignee thereof. That litigation
was afterwards had between said Jenkins as
such assignee and said complainant in refer
ence to said fund in said District Court IN
which said adjudication was had, which result
ed in a conveyance Of all the interest which
said assignee took in said fund to the COM
plainant.
On May 22nd, 1876, Peyton 5. Davidson
Nicholas Springer and +. c. Carroll, and on
Nav 9th, 1876, VIM. F.. 4 w. B. Hamilton
and Jas, La Burge, Jr., respectively instituted
their several suits in the Circuit Court OF
Warren county in this State by original at
tachments against said Globe Insurance Com
pany. and said Hemingway as garnishee, and
to which said Globe Insurance Company, IN
terposed its plea of the general Issue, and SAID
Hemingway made answer as such Treasurer
that he had in his hands said fund. These
several suits were brought to recover the
amount of losses alleged to be due upon Ger
tain marine policies of insurance issued by
the Globe Insurance Company through Its
agents in the city of Chicago. On November
29th, 1876, judgments were rendered in said
suits and against Hemingway as garnlshee
in favor of La Burge for 1861 40 and costs; in
favor of W. E. & W. B. Hamilton, for S625, %
and costs, in favor of L C. Carroll, for 81, 1874,
35 and costs, in favor of Nicholas Springer, for
S6G2, "A and costs; in favor of said Davidson
for g, 1880 and costs.
On August 10th, 1876, complainant filed hel
bill in the Chancery Court OF Kinds county
against Hemingway, Treasurer, and other de
PENDANTS, with some others whose claims have
been compromised, and need not be furthea
noticed in the progress of this cause. The bill
charges combination between Hemingwa,
and his co-defendants to defraud complainant
out of her Just rights to said fund; charge
that Hemingway paid out the sums, on the 4tl
of August to those not entitled, and withou
proof of their being a lien upon the fund ant
in fraud of compliments rights, and seeks &
hold him personally liable therefor; charge
that the sums claimed under the attachmen
suits were not charges upon the fund In
bin prays for the amount OF injunction to re
strain said Hemingway such Treasure
from further proceeding to pay out sals
fund until the matters in relation theTet
should be heard and determined BY the court