The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1902-08-14

OIL the business upon winch the cOTpO-
ration entered at the beginning. The
complainant virtually contends that he
has a right to have this business car
ried on in a manner that will, in the
light of a very large experience, re-
suit in insolvency, in order that he
may take the desperate chance of dy-
ing before the insolvency actually oc-
cure The changes that were made
have been approved by an OverWhelm-
ing majority of the association. 1t
would be remarkable, to say the least,
if a minority of the members could
insist that either the enterprise should
be wholly abandoned, or that it should
be carried on in a manner which would
result in it's ultimate failure, and force
this course upon a majority of the
members who simply desired to make
such changes as in the light of very
large experience were necessary to
carry on the business of the company
permanently and accomplish the pur-
pose which every member had in view
at the time the association was form
ed. What has been said in regard to
the change that was made in 1898 is
applicable to the further change
that YVES made in 1901. The latter
change was simply carrying out to
completion of the first modification. 1t
was authorized by express provision of
the statute.
Company Follows the Law.
The course marked out by the stat
ute has been carefully pursued by the
company. Complaint is made that
proper notice of the meeting at which
the change was adopted was not given
to the members. The statute, however,
expressly provides that in case the
change was made at a special meeting
special notice should be given to the
r,1ka 10
to make the change at any regular or
annual meeting, and no requirement is
contained in the statute on the subject
of notice if the change was made at
such meeting. Upon general princi-
pies the company was authorized to do
at it's annual meeting, without special
notice, whatever it had power to do
under the law. The meeting was very.
largely attended, and the vote was al
most unanimous in favor of the
change, there being only a single vote
in opposition. The meeting was,
therefore, legally held, and it's action
was legal, unless it is open to objection
upon the second ground which I have
already mentioned.
This brings us to a consideration of
the question whether the changes
which were made in 1893 and in 1901
impaired the obligation of those con-
IL ats WA1O1 WSIS Iii 1OfC0 U0lOT6 the
changes were made. 1t is not claimed
that there has been any reputation of
those contracts, or that the company
was authorized by those changes to al
ter in any way the terms of the con-
tract then In force. Nor has the COM
pany attempted to make any such
change. On the contrary the evil
dence shows that it has carried out all
those contracts fully, in accordance
Wi Ioir I,0f 4 ~
loss has been promptly met. Complain
ants aver, however, that the amount of
assessments has been increased. This,
however, was exactly what was to be
anticipated from the very nature of
the association, and it cannot justly be
claimed that the increase in the as
sessments is attributable to the change
in the method of doing business At
the present time there is no complaint
that these assessments are unreasona-
BILE. On the contrary, the evidence
plainly shows that they are in them
selves insufficient to pay the cost of
the insurance granted under the old
contracts. Complainant, however, con-
tends that he was entitled to have the
company go forward soliciting mem
bers under the old plan OF assessment
insurance, and that it's failure to do
so is an impairment Of it's contract.
posed of. A member had no right to
insist that the association should con-
unue It's business upon a basis which
would in all probability result in bank
ruptcy. The officers of the company
assert that there is no intention Of
permitting the assessments upon the
old members to become unreasonable.
There is large fund on hand as a
security for the payment of those ear
ly members. If by reason Of lapses
the assessments should at any time in
the future become unreasonable, it will
then be time for the injured party to
complain. At the present time no such
injury has been suffered. No contract
has in fact been in any way impaired.
1t would be remarkable if the COM
plainant were entitled to have this as
ISOLATION wound up and its purposes
defeated by reason not of injuries suf-
fered, but Of injuries anticipated.
There is nothing whatever in this case
to bring it within the terms of the
constitutional provision which forbids
the passing of any law impairing the
obligation of contracts. Neither the
power nor the duty of the association
to perform its contracts has been in
any way lessened.
Behind the Litigation.
1 ought not to conclude what I have
to say in this case without making
some reference to the forces that were
behind this litigation at the time of
its institution. Before the suit was
brought it was promoted for months
by a man by the name of Carter. It
is not necessary to review here the
various incidents of his rascally perse-
cution of this defendant. Counsel for
the complainant says that he is a
crank. His conduct. however, cannot
be covered by any such charitable
mantle. He has not acted under delu-
sion. He is a dishonest rascal The
evidence leaves no doubt that his con-
duct in this whole matter has been
actuated by no delusion, but by what,
II 1T had been carried to it's ultimate
purpose, would have been fundamen--
tally criminal. He has not been seek
ing to rectify anybody's wrongs. His
purpose has been to line his own
pockets. The court cannot overlook
the fact that he was the person in the
outset who instigated this proceeding.
wish it understood, however, that
these remarks cast no reflection what
ever upon Mr.. Byers. / have been i'm
pressed throughout this trial by his
entire candor and fairness, and I be-
lieve that he has had no other pur-
pose than to assert a right in which
he had entire confidence. I think the
young attorneys, Messrs. Dillon and
Goetz, were imposed upon by this
man Carter. The case was one In
which such imposition could easily be
practiced. 1t was quite out of the or
binary line of experience. It was easy
for him to juggle with the affairs of
the company and present them in such
a way as would convince a person
that the company had been mismanag-
ed, and the frequent failures of as
sessment insurance companies would
give additional ground for confidence
in such charge. The utmost that can
be said about these young men, so
far as the record shows, is that they