The sun., 1899-05-07
UNDER AN ANTITRUST LAW
GREAT HARM ALREADY DONE IN
PROPERTY IN ARKANSAS.

Sufferers by Firo Unable to Collect Ip,,r
anoe-Many Policies Cancellod-Cottor
Trade Driven Out of tho state-Indir.c,
Damare-sentiments of an Attorncy.G.,.
eraI Who Appears in His shirtsleey.,.
MEMPHIS. Tenn. May 4.-when the Ar.
kansas Antitrust law was passed. the fear
was expressed by some people that. in case NJ
fire. adjusters OF insurance companies would
be afraid to come into the State to make a set,
tlement. This very thing has now happened
On the night OF April 10. the plants OF the Litt.
Rock OIL and DeintinR Com pany and the An
| rora Manufacturing Company were almost en-
tirely destroyed by fire The damage amounted
to 500, 900. OF which 100000 was covered hv
insurance taken out before the passage OF the
Anti Trust law. Adjusters for foreign insur.
ance companies are now holding up payment
on the policies on the ground that. under tho
Antitrust law. they are liable to criminal
prosecution II they settle the losses.
On April 16 the plant OF the Missouri Hoop
| Company at Helena. Ark. was burned, together
with several carloads OF manufactured stun.
| The plant and stock were valued at S15OOo
The plant had just been built. The proprietors
| we're negotiating with insurance agencies in
| Helena when the Antitrust law drove all o,
the insurance companies ou; OF the State The
| fire found the plant without dollar OF "insur.
| ance 80 the loss Is an absolute one
| At Pine Bluff. up to April 10. 213 policies.
| representing S224.300 OF insurance. had been
cancelled on account OF the Anti Trust law.
The driving out OF the insurance compa nies
| has seriously hampered the cotton businesn.
! At Helena there is a cotton compress. Hereto.
| fore merchants. planters and cotton brokers'
have had no difficulty in getting all the insur.
ance they wanted. Since the Antitrust law
| was passed man who has on hand a thousand
bales OF cotton is simply gambling with fate.
He cannot insure 1t. and II q fire should de-
stroy It he would in all probability he ruined.
In order to escape this danger merchants in
Helena are shipping cotton to other States for
storage and insurance. c. L. Moore h
Bros. the largest receivers OF cotton
In Helena. in one week shipped to Memphis in
Tennessee. more than thousand bales OF cot
ton simply because the insurance on it had e1.
pired and in Memphis they could take out new
policies. which they could not do In Arkansas.
stockholder in the Helena compress says tho
compress lost in alfew days $500 In compress
charges Oh the cotton that was shipped to
Memphis In order that 1t might be compressed
at place whore 1t could be insured.
P. A. Luke. cotton planter near Helena.
owed Memphis mortgage firm a sum Of
money which he was unable to pay, and his
farm was advertised for sale. He arranged for
q loan from a Helena real estate agent, the
agent specifying that Luke must give him a
policy OF insurance on the cotton gin and saw
mill on the farm. The Antitrust law inter-
vened. the gin and mill could not be insured.
the agent refused the loan. and Luke's farm
was sold
The homo OF Mrs. Mary Rogers. widow
living at Pine Bluf. Ark. was burned on
April IL. The insurance expired few days
after the Antitrust law was passed and could
not be renewed
One OF the leading wholesale grocers at Fort
Smith, Ark. who had placed his insurance
through New York brokers at little less than
tho companies in Arkansas charged. finds
himself without a dollar Of insurance, all his
policies having been cancelled.
The Massachusetts Mutual Life Insurance
Company has notified the general agent at
Fort Smith that. In cases where the company
has made loans on property and no insurance
can be secured. foreclosure suits must be
brought.
d. A. Fisher. Memphis insurance man, who
went to Arkansas to consult Attorney General
Jeh Davis on the new law. says he does not be-
lieve there Is an insurance company In the
United States that can legally do business in
Arkansas. and that he knows Of only ono
casualty company that can do business there.
There is provision In the law about which
little has been said so far. but which will in all
probability keep out OF Arkansas companies
not memb bers OF any com bination or association
Ihis provision relates to the securities in
which insurance companies may invest their
surplus. Mr.. Fisher says the Attorney Gem
sral OF Arkansas holds that stocks or bonds OF
such organizations as the Standard Oil Com
'any or the Sugar Trust are trust certin.
'ates." and therefore their holders. II they
happen to be insurance companies cannot do
business In Arkansas under the new law.
Many OF the insurance companies have in
tructed their agents in Memphis that no
Arkansas business can be accepted. An agent
or company In another State could write
Arkansas insurance. but In case OF loss tho
ompany could not send an adjuster there.
One Memphis agent who represents a COM
amy which is not a member OF any association
8 doing Arkansas business by mail. In case
4 a loss he proposes that the assured shall
ppoint ali adjuster. He thinks adjusters
ould be found not Objectionable to the COM
anies. but other agents say the ompanies
'ould be at the mercy OF the insured.
The Connecticut Fire Insurance Company
Id not stop doing business in Arkansas after
he passage OF the Antitrust law. and Attor.
ey-General Jefferson Davis has instituted
gainst 1t thirty. six suits for 5000 each,
harstnR 1t with being member OF a combl-
alton OF other corporations engaged in SINH
n business to regulate the premium to bs
aid for insurance. The suits cover each day
nee March g. when the Antitrust law be-.
,me effective. The aggregate amount sued
IT Is $lSO.OOO. The Connecticut Company
olds that 1t cannot be affected by the new
W 80 long as It is not a member Of q comb.
alton TO nK rates in Arkansas.
Attorneys for the Netherlands. Fire Insur-
zoe Company fled demurrers to the suits In.
ituted against that company. At the argu.
ent on the demurrers. Attorney General JET.
rson Davis. who addressed the court IN his
lirt sleeves. although many OF the persons In
e courtroom wore overcoats. said In conclud.
& his speech:
y Fire insurance business is an outlaw. and
conducted in the United States ought not to
allowed. Christ whipped Just such fellows
t OF the temple when they were selling
ves"
oURTESY OF TIE STRIPED BAsS