Albuquerque daily citizen. [volume] (Albuquerque, N.M.) 1895-1903, 1899-07-31
MUS PUT UP DEPOSIT.
Solicitor General Bartleussys No Dodging
VIII Be Allowed.
CAN'T USE BLANKET PERMITS.

Solicitor General II l.. Bartlett recent
ly has given an opinion TO Territorial
Auditor l.. NJ. Ortiz In reference to fire
Insurance companies. This opinion Is
that every company doing business in
the territory OF intending to do 70 must
make the deposit required by law. II has
been the custom for one company or one
lire writer's association to issue policies
Tor q number OF companies, and thus
eyade making u deposit for more than
one. The decision effects mainly the
Philadelphia and New York underw writ
ers' associations. The opinion reads a.
follows:
Your favor Of this date, inclosing let
ter from the London aud Lancashire In.
sursnce company. In which II states that
II cOntemplates Issuing in this territory
the English merican underwriters pol
icy OF the London and Lancashire fire
Insurance company, and asking II any
additional deposits will be necessary. a.
such policies are already being issued. and
asking my opinion upon the letter, IL re.
ceiyed. La reply, | would say, that the in
qulry In too vague to convey much infor-
nation; IL says this company (London and
Lancashire) has already made the de-
posit and qualified itself TO do business
IN the territory; that being 10. and hav.
ing its license, IL has a right TO issue
any kind OF q fire insurance policy. But
what the 'knglish. American Underwriters
policy IL, or what connection IL ha3
with the London and Lancashire com
pany. | Am not advised. IL the English
American under writers policy IL by a
different company from the London and
Lancashire, II must certainly make q de-
posit and obtain q license. But II II has
turned over Its business to the London
and Lancashire. which simply issues
policies and assumes the obligations OF
the other company, i do not consider any
additional deposit necessary, provided
that the business IL turned over In good
faith. and In the ordinary course OF busl-
ness, without any intent at or effort to
enable two companies to do business I'M
der n license"
The decision led to q letter being
addressed to Solicitor General Bartlett,
by s. Il. Lankard, the Santa Fe insurance
agent. AZ follows:
"Your opinion regarding the Ameri.
can underwriters policy has been for
warded TO me by the territorial auditor.
What the intent OF the auditor Is rela
tive TO this matter Ia not clear TO me at
this time. From the conversation had
with him | inferred that he was OF the
opinion that the under writer's agencies,
Intn. hnotnaaa la tbta earStsnSv x.tasa
liable to prosecution, ~ well IA the
agents writing policies for them. IL this
decision sent me IL designed TO cover
their ease ! cannot see where the case
involved applies 10 the underwriters
agencies now doing business. |. how
ever, do not wish 10 disObey the law
and would like very much to know
whether any prosecution OF agents and
companies is intended under the law. |
wish to keep absolutely within the law,
and II has been my understanding that
the companies which have made their
deposits and complied with the law
could issue these u~nderwriters' policies.
IL not. kindly advise me ~ to the state
ment made to me that the New York
underwriters have a right to do business
upon the deposit OF the Hartford Fire In
sursnce company. BY giving me the
necessary Information upon this point
you will set at rest the doubt raised by
your letter cent to me by the auditor OF
this territory"
In reply to this. solicitor General
Bartlett sent the following:
"i0ur favor OF yesterday In regard to
my opinion to the auditor regarding the
American under writer's policy. in which
you state you inferred that he WAS OF the
opinion that the underwriters agencies
doing business In this territory were
liable to prosecution. n well az the
agents writing policies for them, and II
this decision IL designed TO cover their
case, yOu cannot see where the case
involved applies 10 the underwriters
agencies now doing business. etc, II re.
ceived. and in reply | would say that do
not know anything about underwriters
agents or their policies by name. My
opinion was intended to express the
| idea which wish TO here reiter-
ate, that any fire insurance company.
under whatever name, doing bust
Ness In this territory must comply with
the territorial law In regard to deposits,
IA we'll ss in other respects. But for one
company TO assume 10 issue its own pol
icy, "a we'll IA policies for two or more
other companies. which other companies
have made the deposit and complied with
the law, Is an evasion, and a very clumsy
attempt to take an advantage which will
not be tolerated; II il not fair 10 the other
companies who do comply with the law,
nor Justice to the policy holders, and II
such "A case IL brought TO my official at,
tpntiOn shal enforce the law against
the offending company. II such a com
pany IL allowed 10 do business in tina,
way for two other companies. 1t might &C
do for all the companies authorized to dc
business In this territory"