The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1906-03-06
TREASURER
WORSTED
Points Go Against Him
Corporation Fee
Contest.

Seattle Brewing & Mating Co. has
| won an important point in its suit
| against A. J. Campbell, Treasurer OF
/ the Territory, to recover back $500 IL
| cense fees for the two years beginning
July 1, 1903, and 1904. respectively and
| $3.50 penalty for previous nonpayment
| of the license fees, which sums were
| paid under protest by the plaintiff to
| the defendant on March %, 1905, upon
| the latter's demand for immediate pay
ment thereof. under Section 1925 of the
Revised Laws
The section just mentioned outlaws
any foreign corporation, other than in
surance, which does not invest and use
it's capital in the Territory, unless it
shall first have obtained from the
Treasurer an annual license to 10 bust
ness in the Territory, for which IL
cense it shall pay into the treasury
one-fourth Of a mill on each dollar of
its capital stock which it is authorized
to have. but not less than $3.50 in any
case. There is penalty of so per
centum for failure to pay the fee. Also
there is an exemption from the re-
quiz enlent of a license of any corpora
Ilon engaged in the business of foreign
or interstate commerce or employed by
the government of the United States.
The outlawing Of a delinquent cor
poration by the statute consists in for
bidding it to have an office in the Ter
ritory and shutting it out from all
benefits of the Territorial laws.
In this case Seattle Brewing & Malt
ing Co. alleged that it was d foreign
corporation organized under the laws
of West Virginia and that during the
period in question it invested and used
its capital in this Territory and was
engaged in the business of foreign and
interstate commerce. 1t also alleged
that it made the payment under pro-
test in writing, contending that it was
not liable because it was not one of
the foreign corporations to which the
statute was applicable, and was en-
gagged in the business of foreign and
interstate commerce. Further it de-
clared that, on making its protest, it
notified the defendant that it would
institute suit to recover the money so
paid under protest.
A demurrer was entered by the de-
PENDANT, contending that the action, if
it lay at all, should be brought against
the Territory and not against the
Treasurer and that in any event no
recovery could be had because the
payment was voluntary and not under
duress.
An interlocutory order was made by
the Circuit Judge overruling the de-
murrer and from that order exceptions
were taken to the Supreme Court. A
unanimous opinion of that body writ
los
ti:z. exceptions. A G. M Robertson
appeared for the plaintiff, and Depu-
ty Attorney General NJ. F. Prosser,
with Attorney General E. c. Peters
on the brief, for the defendant.
IF the defendant had paid the
money into the Territorial treasury"
the opinion saws with regard to the
Treasurer's liability, land was justi-
fed in doing SO and the action were
against him in his official capacity for
the purpose of reaching such money
in the treasury it would be a mere
ruse for an action against the Terri
tory, and, if it would lie at all against
him nominally. in order to reach the
Territory really, it would have TO be
brought in the Supreme Court like
other actions brought against the Ter
ritory by its consent, and payment of
the judgment II the action were SuS-
tanned would have to await an appro-.I
priation by the Legislature.''
Following Is the syllabus of the
courts opinion:
"An action may be maintained
against the Treasurer of the Territory
in his private capacity to recover
money illegally exacted by him under |
color of his Office and paid under duress |
and protest and with notice that ac-
ton would be brought against him |
for the money. In such case, in the |
absence of statute to the contrary, he |
may retain the money to await the |
result of the action. and if he pays |
it into the treasury he does so at his |
peril The provision of the audit law |
which requires public accountants to |
pay weekly into the treasury moneys |
by them does not require the |
Treasurer to pay into the treasury,
without awaiting the result of litiga- |
ton. moneys collected by him under |
the circumstances mentioned
Payment of a license fee by a for
eign corporation is made under duress
within the law of involuntary pay
ments when it is made under protest |
upon the demand of the appropriate
public officer under a statute which
denies a delinquent corporation the
benefit of the laws OF the Territory"