The Indianapolis journal., 1899-07-02
SHUT OUT OF MISSOURI
SEVENTY THREE INSURANCE COM
PANIEs CANNOT DO BUSINESS.
Antf-rruss Law Declared Effective by
the supreme Court-Writ OF
Ouster Granted.

ST. LOUIS, July 1.-The Globe-Demo-
Gratis jefferson City (Mo) correspondent
says: In the State Supreme Court IN banc
on Tuesday, Judge Marshall handed down
a decision granting a writ OF custer against
the seventy-three fire insurance companies
doing business IN the city Of St Joseph
The suit was fled by Attorney General crow
in July, 1897, and charged the companies
with violating the provisions OF the anti
trust law Of 1897 by forming a trust and COM
bine to maintain rates in St. Joseph The
state was represented by General Crow and
his assistant, Sam y. Jeffries, and the com
panies were represented by Given Campbell.
The companies at first denied all OF the
facts, and attacked the constitutonality OF
the law. They had, through their agents at
ST. Joseph, after the antitrust laws OF
1857 had become operative, organized what
was called a social club at St Joseph.
It was claimed that the purpose Of this or
ganization was purely social. but 1t was
proven that it was close corporation and
maintained the insurance rates in that city
at a high figure
Judge Samuel c. Davis was appointed
commissioner by the Supreme Court with
special written Instructions TO take testi-
mony The commissioner and the counsel
In the case travelled over the greater part
Of the United States taking testimony OF
the home officials OF the companies inter-
ested. In March. 1899. the Supreme Court
ordered the taking OF testimony closed and
on April ., 1899. the case was argued and
submitted.
In the decision the antitrust law Of Mis-
souri, Is enforced and held TO be constitu-
uonal by the highest court Of the State.
Their decision involved all of the legal con-
stitutional questions that can be raised and
the court met each one squareiy, and sus-
tanned the law fully. The defendant cor
porations are ousted from the right 10 do
business In this State, and under the law OF
Missouri the license they have heretofore OBJ
tanned from the superintendent OF insurance
Is now revoked and seventy-three OF the
largest companies OF the world are now
barred from further business in this State.
Many attempts have been made 10 prove
first case in which it has been successfully
established and the law maintained ana en-
COMPANIES AFFECTED.
Following is a list of the insurance COM
panies affected by the decision:
FiFeman's Fund Insurance Company,
Home Mutual Insurance Company, Aetna
Insurance Company, Hartford Fire lnsur-
ance Company. National Fire Insurance
Company, NOrwalk Fire Insurance Com
pany. Phoenix Insurance Company, Orient
Insurance Company, British American AS
sUrance Company, Western Assurance Com
paDy, Atlas Insurance Company, CONNER
ciaI Union Assurance Company, London and
Lancashire Fire Insurance Company, Lion
Fire Insurance Company. Lancashire Insur-
ance Company, London Assurance Corpora
ton. Law, Union and Crown Fire and Life
and Globe INSURANCE Company. The Inn
perial Insurance Company (1imited), Man
chester Fire Assurance Company, Norwich
Union Fire Society, Northern Assurance
Company, North British and Mercantile In
surance Company, Phoenix Assurance Com
pany, Palatine Insurance Company, Royal
Union Assurance Society. Aachen and Mu-
mich Fire Insurance Company, Hamburg
Bremen Fire Insurance Company. Magde-
burg Fire Insurance Company North Ger
man Fire Insurance Company, Prussian
National Insurance Company, Transatlantic
Fire Insurance Company, Traders InSur
ance Company, Thuringia Insurance Com
pany German Insurance Company, Teutonia
Insurance Company. Springfield Fire and
Marine Insurance Company, Detroit Fire
and Marine Insurance Company Grand
Rapids Fire Insurance Company, Michigan
Fire and Marine Insurance Company, ST.
Paul Fire and Marine Insurance Company,
Merchants Insurance Company, Newark
Firo Insurance Company, Agricultural In
surance Company, American Fire 1nsur-
ance Company. Citizens Insurance Com
pany. Commercial Union Fire Insurance
Company, German-American Insurance
Company, German Alliance Insurance Com
pany Hanover Fire Insurance Company,
Home Insurance Company, Niagara Fire
Company. Queen Insurance Company.
Rochester German Insurance Company. Vic
tofla Fire Insurance Company, Westchester
Fire Insurance Company, Fire Association,
Glens Falls Insurance Company, Insurance
Company of North America, Insurance
Company OF the State of Pennsylvania,
Franklin Fire Insurance Company. Union
Insurance Company. Pennsylvania Fire In
surance Company, Equitable Fire and Ma
rfne Insurance Company. Merchants In
surance Company Providence Washington
Insurance Company, CaledOnian Insurance
Company, Scottish Union and National In
SHirance Company. COncorda Fire Insurance
Company. Milwaukee Mechanics Insurance
Company.
CAN'T and Robinson dissent from ousting
the Newark Fire Insurance Company, Nor
walk Fire Insurance Company. London AS
surance Cooperation, Citizens Insurance
Company OF New York. Union Insurance
Company of Philadelphia or Equitable Fire
and Marine Company OF Providence. on the
ground that these companies were not MEM
hers OF the St Joseph Social Club. The de-
cision holds them liable because they made
common cause in joint answer and plead
irgs.
ST. LOUIS AGENTS AT SEA
The agents here of the seventy-three COM
panies affected by the decision were COM
pletely taken by surprise and do not know
as yet what they will do 1t is doubtful if
any more business will be accepted for some
of the companies until their attorneys,
Messrs. Given Campbell, ]. r WaddilI and
James T. Hereford can be heard from. 1t
Is expected that a motion for new hear
ing will be made, and that, in the event
Of refusal OF II. an appeal Will be taken
to the United States Supreme Court two
or three federal questions being involved.
One OF these questions is the discrimination
made by the law against nOn-MisSOuri COM
panieS and foreign companies. One clause
In the law singles out the agents of such
companies. and declares that the fact OF
their membership in a board or other or
ganization 10 maintain insurance rates
shall be prima facie evidence that they are
acting under Instructions from their respec-
tive companies. This clause. say MeSsrs.
Campbell, Waddill and Hereford is In viola
tion of the first section of the fourteenth
amendment 10 the Constitution of the
United States, which says: No State shall
make or enforce any law which shall
abridge the privileges or immunities OF cit
liens of the United States. nor shall any
State deprive any person of life. liberty or
property without due process of law, nor
deny 10 any person within its jurisdiction
the equal protection of the law" The at
torneys also claim that the classification OF
Insurance as a commodity or article OF COM
merce Is I'm conflict with the decision of the
United States court in the case of Paul VS..
the State OF Virginia.
The seventy-three companies named, al
though less than half OF the fire companies
licensed TO do business in Missouri. the
whole number being l63 write probably 20
per cent. OF the States entire business.
Nearly all OF the giant fire companies are
in the list and II they were forced from the
State the big wholesale houses and manu-
featuring establishments Of St. Louis would
be left with comparatively little insurance.
IL Is also claimed by the agents OF these
otafo hat ~ ha oofa