The Topeka state journal., 1903-03-25
Kansas Mutual Contempt Pro-
ceedings Dismissed.
Missing Papers Are Returned
to Their Files.
ATTORNEYS WRANGLE.
Discuss Final Decree in Any
thing but Happy Mood.
Question About the Vote of
Policy Holders.

The developments in the case of Dug
gan vs. The Kansas Mutual Life Insur-
ance company and the Kansas Union
Life Insurance company in the United
States circuit court Tuesday afternoon
were not exciting. The contempt pro-
ceedings instituted for the purpose of
discovering how several packages of
cards containing the names of Kansas
Mutual policy holders came to be re-
moved from the possession of the trus-
tees of the company resulted in the
agreement of R. T. Herrick and H. G.
R. SchwarzkOpf to their return, and the
dismissal of the proceedings. The facts
in the incident were uncontensted.
Mr.. Schwarzkopf's affidavit stating
that he had ordered their removal from
the vault of the Kansas Mutual build
ing to a store room where he himself
took them into custody was read. There
was no contest about that part of it.
He and Mr. Herrick, the former Kansas
Mutual attorney, claimed they had a
right to the papers as the property of
the Kansas Union Life Insurance COM
pany. Mr.. Herrick claimed that he
himself wanted the cards in order that
he might correspond with the policy
holders, of whom he is one, in regard to
AltG LQlQiE COIQuCl OI lI1E company lOL
the simple purpose of conserving his
own rights as a policy holder In set
Ting the business Judge Hook init
mated that Mr.. Herrick showed a lack
of confidence in the courts ability to
take care of the interests of all the
policy holders.
There was wrangle of attorneys over
the decree which Judge Hook awarded
the plaintiff Monday The attorneys
for the defense virtually announced
their intention of appealing in case they
were not satisfied with the terms of the
settlement. After the contempt pro-
ceedings had closed Attorney Prussig
of Chicago, representing the National
Life Insurance company of the United
States, gained the ear of the court to
say that if they were not satisfied with
the finding of the court the defend
ants would appeal and the mani
tested a strong desire to back down
from their consent to abide by the
terms Of the decree which the defendant
attorneys asked the court to make
few davS since Attorney Prussia here
tiOnal Life of Chicago but appearing in
court as an attorney for the Kansas
Union, was the one who had given
Judge Hook to understand that the de-
fense desired a decree. He said that IN
his previous request for as decree he had
not wished to remove his own right to
appeal The acceptance of q decree of
a court by a defendant is usually re-
garded as an agreement not to carry the
case farther.
Prussig advanced a remarkable prop
osition for the settlement. 1t was that
when the policy holders of the Kansas
Mutual Life Insurance company were
called to vote upon propositions for re-
insurance, if they failed to give a two
thirds majority to any proposition be
fore them the court should itself order
the sale of the property of the Kansas
Mutual to the Kansas Union under the
terms of the agreement entered into on
December IS last. Judge Hook turned
this proposition down. He said it was
his intention of seeing the sale made
only by tWO-thirds majority. If the
first report of the trustees showed an
inability Of the policy holders to agree
upon one proposition he would elimi-
nate the offers of the companies which
received the smallest number of votes
and keep the policy holders voting upon
the remaining offers until they agreed.
Judge Hook informed the attorneys
further that he would make no effort
to secure a finding of facts in the trans
action between the Kansas Mutual and
the Kansas Union if the attorneys could
agree on a decree as outlined by him
Monday. He said:
I am going to make no finding of
exculpation which can be used in in
f1uencing the policy holders of the Kan
sas Mutual in favor of the proposition
of the Kansas Union or any other COM
pany. If the question of the legality of
the attempted transfer is brought up
shall get a finding of fact so that every
policy holder of the Kansas Mutual may
understand the legality of the transac-
ton of last December"
There followed a wordy combat be-
tween Colonel W. n. ROssington, one
of the attorneys for the plaintiff, and
Mr. Prussig. Rossington intimated
plainly TO Prussig that he considered
him an interlOper in the suit inasmuch
as he was in Topeka purely in the in
terest of the National Life Of Chicago,
Il 1fsnl-
session of the property of the Kansas
Mutual Prussig affirmed the propriety
of his appearance in the case and ac-
cused RosSington of refusing to meet
him fairly in a conference for the set
tlement of a decree. Rossington replied
that he had refused conferences with
him only upon the proposition advanced
that afternoon, to which he would never
agree It was proposed that the attor-
news meet last night to confer and draw
a decree which could be presented to
Judge Hook in Kansas City today.
Colonel Rossington said:
II will not meet you tonight. have
been i'll in bed for four days. I have
sought conferences with you until am
tired. I will not come to you tonight"
And he turned his back
The feeling is mutual assure you,
retorted Mr.. Prussig and the court room
emptied.
No settlement uDon the terms of the
decree awarded by the United States
circuit court to the plaintiff in the case
of Duggan against the Kansas Mutual
and the Kansas Union Life Insurance
companies, has been arrived al by the
attorneys on the two sides A meeung
was held Tuesday night between Cliff
ford Histed for the plaintiffs and Attor-
nev Prussig for the defendants but the
decree has not been fixed up At Tues
dav's session of the court the attorneys
agreed to appear before Judge Hook at
r., a ffdrnn0n tn conclude