The Washburn times. [volume] (Washburn, Wis.) 1896-1976, 1904-04-07
Does "May" Mean "Must?"


widdie's decision against the Equit-
able Life Insurance Company are not
al one way The suit was the out
GENE of Insurance Commissioners
Hosts novel construction of statute
which was enacted many years ago,
and which has never heretofore been
interpreted as be interprets it.
According to Commissioner Hosts
Interpretation the word "may"
means must" Judge Dun widdie
holds with the commissioner, but
his decision is not final, for the case
will be carried to the supreme court
The Philadelphia Inquirer makes the
decision the topic of an editorial in
the course of which it says:
Last week a Wisconsin judge de-
eided that under the law of the state
every mutual life insurance company
dong business therein must divide
up It's surplus among policyholders
At least once In five years or be de-
barred from doing business. 1t is
true that the statute in question says
may" but that is interpreted to be
a command. This decision will be
carried to higher court. and the
result will be awaited with interest.
Most persons can remember the holo-
caust Of insurance companies in the
panic Of 1873, when so many OF them
disappeared forever. Since then a
more conservative policy has been
pursued, and while it is true that
there is an immense surplus, in
nearly every case it IS the policy
holders who are receiving the bene-
FIT from it, They get the annual re-
ductiop in premium, they are pro-
tected against any sudden heavy
drain upon the company, they have
the insurance that their policies will
be paid at maturity and what is
more they are assured of the con-
tinuance of the company for an al
most indefinite number of years in
spite of the constantly declining
rates Of interest received from the
invested surplus. This is where the
policyholder benefits in mutual COM
panies. He gets it all even tually,
and to ask that profits be divided
once a year Or once in five years
would simply be to take from him
that which is his greatest invest
ment, that .Of absolute security for
his family at his death or for himself
when the endowment natures in
his life time. The growth of life in
sursnce in recent years has been
great and is certain to increase in
rapid ratio. Any attempt to upset
the conservative management of the
companies would be disastrous, and
there is no reason to believe that the
Wisconsin plar will prevail.
Wisconsin was not the first state to
enact a statute like that under which
the pending litigation has arisen.
Massachusetts has law from which
the Wisconsin law was copied, But
Massachusetts has not put the con
struction upon the law. that is at
tempted to be enforced in Wisconsin,
II the Badger legislators meant
must" why did they say ''may?"
There were dictionaries in the 70's,
when the law was passed, and the
dictionary definitions of ''may" and
''mugt" were the same then as now.
According to the dictionary Unjust"
is premptory and may is merely
permissive.
Policy holders as we'll as insurance
companies are interested in the out
come of the pending litigation, and
as the comment of the Philadelphia
Inquirer intimates, the interest of
the policy holders are by no means
consolidated on the side of the con-
troversy whose supporters contend
tha& may" means must" The
case will not be settled till the law
has been interpreted by the supreme
ourt-~Evening Wisconsin.
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