The Topeka state journal., 1897-11-08
M'NALL is A WINNER.
Judge Hazen Decides That He
Cam Not Be EnjOined
From Excluding Companies
That Use the CIarksOn Book.
The Judge Points Out That the Clark
son Book is a Violation of the
Anti Trust Law.

Harrison Clarkson, the insurance
.czar of Kansas received a set back
from Judge Hazen in the district court
today.
Judge Hazen refused Mr.. Clarkson's
application for an injunction to prevent
Insurance Commissioner McNau from
revoking tn elicense of insurance
companies which use his rate sheet on
the grounds that Mr.. Clarkson's busi-
ness is in violation of the Kansas anti
trust law.
superintendent AfcNau issued an or
der calling upon the companies which
used the ClarkSOn rate sheet to quit US
ing it or he would revoke their licenses
to do business in Kansas. The COM
panieS Obeyed the order of the Superin-
tendent. Then Mr.. Clarkson appealed
to the court and asked that Mr. McNall
be enjOined from reVOking the licenses
Of the companies which use the rate
Sheet- Ihat is the case that was decided
this morning against ClarkSOn.
Mr.. CIarksOn'S rate sheet is a pecu-
liar document. While he seeks to give
all needed information about property
to be insured in Kansas ne also pub
fishes a rate which he calls advisory
as the premium which should be
charged on Kansas property. The in
Surance companies subscribe for this
rate sheet" and fix their rates in ac-
cOrdance with that recommended by
Mr. ClarksOn. He has conseuuentIy
been the insurance car of Kansas for
and 1t was this part of his business
that got him into trouble and which
caused Judge Hazen to declare that his
business is in violation of the antitrust
law or is in other words a trust
When Judge Hazen began to read
his decision it sounded as if Mr.. Clark
son would be sustained and his attor-
ney smiled and whispered something to
his client In fact until the last few
paragraphs We're reached it was
thought that the decision would be
against McNaH
Judge Hazen started out by review
ing the question of whether insurance
companies can appeal to the court
when their licenses have been revoked
He said there was no doubt
IN his mind that Judges Foster and
Williams of the federal court were
right in holding that they may appeal
to the court
Then he passed to the question of the
Garrison rate sheet. He said that the
had claimed that since Mr.
Ilarkson is not an insurance company,
ne mas no cause of action. The Judge |
said that in event that the act of the |
insurance commissioner being wrong |
-ul ne might go into court and ask for |
relief He said that it was well estab-
lshed that no person has a right to |
interfere with the bushes sof another |
and he therefore Overruled the demur |
4 McNalSs attorneys who claimed that |
Clarkson could not maintain an action |
n court against NIcNaII.
This far the decision had all been
1larksOn's way, but Judge Hazen then
cached the final part of his decision
The next question" said he is
whether the use of the rate book is a
of the antitrust law of the
state If it is a violation of the anti
rust law, then Mr.. McNaH has a right |
% exclude companies which use the
ate book. If it does not come under
he provisions of the law, he has no
1ght to exclude companies from the
tate because they use the book"
Judge Hazen took the ground that It
S not necessary to show a tacit agree
nent among the parties to prove the
Xistence of a trust. He said it was ev-
dent that there would be more comDe-
ltiOn if the adoption of the rate pub
ished by Clarkson did not fix the rate
Il insurance. He said that it had not
'een shown that the rates published in
he Clarkson book were too high. The
se of the book came within the pro-
-ision of the antitrust law. and the
notion for an injunction was accord
ngIy denied
Judge Hazen said that there was
ONE question about the legality of
he antitrust law of 1889, but he held
hat the law is valid