The morning news. [volume] (Savannah, Ga.) 1887-1900, 1900-01-31
UPHELD BY SUPREME COURT.
PLANT SYSTEM RELIEF AND HOsPI-
TAI DEPARTMENT.

Contract of nm EmpIOye Is Binding.
In Lieu Of Claims for Damages-Em-
pIOye Cannot Claim Its Benefits
and sue for Damages. ToO-Ths
Department May Exist Illegally,
Hut That Is the states Lookout.
Decision In Petty's Case.
Atlanta, Jan. 30--The Supreme Court co.
day ruled that the contract OF an em-
ployo Of the Plant System of Railways
with that company TO receive the benefe
afforded by the relief and hospital de-
partment maintained by It, In lieu of any
claims for injuries sustained, is valid and
binding against the employe.
This relief department was established
July I. 1896. Each of the railways form-
ing the system was to contribute annual~
ly to fund of 600 to equip the same,
and like sum annually 10 maintain It,
The members joining the association wers
to receive certain sick, accident and death
claims in lieu of damages in cases OF
injuries. They contributed a certain
monthly stipend as part remuneration for
these benefits.
The company made It compulsory on alf
IN the service after July l, 1896. or pros
NOTED therein, as a condition of employ
ment or advancement to become fun mems
bers of the department, entitled to all the
benefits, before being permitted to go on
duty. Those in the service prior to that
date were left free to avail themselves oe
this privilege or not. The benefits were
payable only on condition that the bene-
flciaries should release the several COM
panes from all claims for damages for
any injury or death. These benefits were
to become forfeited in case of suit un>
less it was discontinued, and the costs
paid by the plaintiffs before any hearing
Petty brought suit.
Albert Petty. prior to July /, 1896, was In
the service OF the Brunswick and westerns
Railroad, a part of the Plant System, and
became a member of this relief depart
ment He was to get a $500 accident
death benefit II the injury occurred while
on duty, $3.50 II death resulted from nat
uralAauses while in the discharge of duty
and $3.50 In case of death from natural
causes or injury Off duty. Certain minor
sick benefits were to accrue 10 him also
Petty left the company Sept. 10. 1897,
and the following year brought suit for
| injuries sustained May 12, 1897 The
company pleaded Petty's contract with the
| relief department, from which he reeeiye,s
| benefits including various sums OF money
| as an estoppel to the suit Petty mot
| thss special defense by demurrer. basel
on the ground that the contract was void
| because It was contrary 10 public policy,
! as It attempted TO exempt the company
! from liability for negligence. The lower
court oyerruled Petty's demurrer. and ar
| ter hearing the evidence, directed a ver-
dict I'm favor of the railroad.
Lower Court Sustained.
| Petty appealed the case. and the Supreme
| Court affirmed the decision of the lower
court. In so doing the Supreme Court laid
down the proposition that n person when
injured whether it Is the result of his
own negligence or not. or when SICK and
Is to receive pecunary and other valua-
BILE benefits, his voluntary acceptance or
such Is not contrary to public policy nor
wanting in mutually, but constituted a
valuable consideration. The court held
that a contract will not be set aside on
the ground Of fraud at the instance of
one who has neither restored nor offered to-
| restore the fruits thereof
Commenting on the further charge that
the Plant System was running a mutual
benefit association business contrary to Its
express charter powers, the court says
that may possibly be true and that, too.
without the least shadow of right, bus
that IL q matter in which the state alone
| Is concerned.
Pettys attorneys laid great stress on the
| fact that the code makes void any con-
tract that relieves the employer from the
| legal consequences of negligence, but the
court decides that the Plant Systems re-
| lief department contract did not provide
that the company should be dissolved from
such consequences but merely gave an ad-
dhional remedy TO that provided In the
code, the empoye to elect between the two
and being bound by the election.