The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-01-13
[OSTS NAY PAY MORE TAX|THE RIGHT TO EXPEL
Chamber Of Commerce Rule APP
proved by Judge Simpson.
AN IMPORTANT DECISION MADE
1t Settles the Case Of G. p. Evans and
May Apply i'm Other
Cases.

The right Of the Chamber of Commerce
] to expel members under certain circum-
stances has been sustained by. Judge Simp-
son in decision in the case of G. P.
Evans against the Chamber Of Commerce
handed down this afternoon. Judge Simp-
son finds that Evans was lawfully expelled
While deprived of trading in the asso-
| citation, his interest or right in the prop
erty Of the chamber has not been de-
vested.
Evans was expelled from the associa-
ton about year ago. Another member
| filed complaint in arbitration alleging
| that there was due from Evans $6,277. 63
Evans failed to answer within six days
| ignored the notice Of the secretary to ap-
pear and ignored the citation and all the
subsequent proceedings. After being ex-
PEELED, he brought suit to be re-instated
1t was expressly stipulated between the
parties that the only question at issue
in the action was the right and power Of
! the Chamber Of Commerce to expel Mr.
Evans for his refusal to comply with the
| rules of the association for submission tc
arbitration of any dispute between Its
members.
In lengthy memorandum Judge simp-
sons covers the case quite fully. Fol
| lowing is a brief summary of the mem
! Orandum:
Plaintiff contends that arbitration rules are
! invalid because the statute under which tn
defendant is organized does not authorize
| such a rule but by implication denies it.
| Sections 1882 and $685. general statutes Of
| 1884, cover the case. While the statute does
! not attempt to give the board of arbitration
| authority to make an award against one OF
its memoirs unless such member shall vol
| UNFAIRLY submit the controversy to such
board, nothing in the language of the statute
| that would by implication deny the right
! of an association organized under it's provi-
sions to make membership conditional upon
the voluntary submission of disputes to the
board of arbitration. ra
The association would have implied
power to prescribe reasonable rules as to
| membership and in this case express power
was given to the association to prescribe ''the
terms and conditions of its membership
| 1t adopted the arbitration rule, which was
not contrary to the statute
| The plaintiff further contends that the ar
| ticles of incorporation do not confer on the
association the power to establish or enforce
! the rules in question.
| Quoting the clause referring to the gen
| eral purpose of the association the court
| finds that they are broad enough to cover
| rules as adopted.
Further Judge Simpson is Of the opinion
that the rules are not opposed either to
! any principles of statutory or consti-
tutional law OF Of public policy. ="
| The right of parties to submit an existing
| dispute by arbitration has been frequently
| upheld by the courts and has usually been
| referred to as valuable and one likely to
obviate the expenses and delays incident to
! a resort to the courts. " f.
The rule is an important factor in the
I facilitating the buying and selling of products
as well as the speedy adjustment of bust
ness disputes. The plaintiff consented to tn;
| rule when he joined and he cannot now com
plain il under the rule his privilege Of trad
| ing within the association has been cut off.
! He is insisting that other members who
are presumably well. satisfied with this meth
| cd of settling disputes shall be forced into ar
| association without this provision.
There is rule forbidding transfer of mem
| bership under the present condition but il
| does not affect the arbitration rule.
If this rule is not valid then the plaintiff
remedy is by a proceeding to compel the
| board Of directors to permit the transfer anG
| not by this proceeding to reinstate him as
member. The plaintiff is not deprived of any
commercial value Of his membership by the
| expulsion. ...