Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1907-04-08

ncHs--n right Inherent 10 rhclr or
gnnlzatlSn. permitted by the law OF
their creation. and necessary TO the
protection OF the Interests they have
In charse---and condition which ex-
acts as tho price OF doing business q
surrender OF the tldence OF sound
Judgment and safe experience In Its
prosecution, under penalty Of for
fixture oE interests entitled. cann OF DO
regarded otherwise than bold un-
eaulvocal and nnmi1Egated deprivation
OF privileges and property without
chance for escqne.
Legislation Of this character Is 80
new and startling us 10 indicate dis.
position TO depart from all conserva-
tive and steady sentiment touching
state supervision and regulation OF life
insurance companies
He then quotes from several decisions
of the supreme court OF the United
States and says;
Measured by the standards fixed by
the adjudicatlons D. the highest lribun-
al OF the land ID seems quite certain
that the legislation we are considering
would amount 10 an unconstitutional
use of state Legislative authority II
cannot be claimed that 1t would pro-
mote either the health peace, morals
education and good order OF the PEOPLE
or increase the Industries OF the state
develop its resources and add to its
wealth and property" u does not
proceed within reasonable limits and
general usage, but goes far beyond all
former excuses Of state Legislation ans
results In clear and hostile discr,mna.
tion against particular persons and
classes Instead OF a fair. reasonable
and appropriate exercise OF the states
police power, II assumes the complexion
OF an unreasonable unnecessary and
arbitrary interference with the rights
or TO enter into those contracts IN re-
laticn To labor which may seem 10 him
appr pirate or necessary"
He then considers salaries paid to
presidents and first vice presidents 1s
n leadlnsa companies and adds;
From this examination II appears
that tho total premium receipts Of the
20 companies amounted 10 $3.50 6G5, $685.
that the percentage OF these receipts
paid to presidents and vice presidents
by all the companies was 2a-toO of
per cent; that the percentage ~ the
premium receipts SO expended by the
"a companies paying salaries less than
$4,000. was 5l.le0 OF per cent but that
the percentage OF premium receipts so
expended by she five companies pay
ing 10 their presidents and vice presi-
dents $4,000 per annum or upwards
amounted TO only 1900 of | per cent.
III View of the universally conceded
solvency and soundness OF all conf
panies paying these larger salaries, no
one can have the hardhood to claim
that the small percentage OF their pre-
MUM receipts thus expended could pos
sibIy impair the absolute security of
their pOlicyholders' contracts. which
phase OF the subject might properly he
considered Il legitimate subject Of state
solicitude. and these considerations of
solvenry and absolute security gain
conclusive force from the fact that the
admitted assets OF these five companies
amount TO more than s1,60o.OuO goo,
at seems quite plain, therefore from
a statement OF actual conditions, not
only the payment Of the salaries con-
demned by this threatened state leels-
lation does not In the least impair or
put In Jeopardy the security Of the
Insured. but that Its effect on their
right to premium dividends, or partic-
patton in accumulated assets. may well
be regarded In Individual cases negll-
BILE factor
After arguing that the doctrine of
comfy fOrbidS one state from seeking
to interfere with the internal affairs OF
citizens of other states except where
absolutely necessary for the protection
of it's own citizens he concludes;
THESE corporate citizens Of the Unit
ed States. having entered states other
than their own. exhibit In their Defense
the certificate Of fitness and approved
equipment granted them by their
states They ask such consideration az
these certificates as will save them
from Injurious limitations upon their
business operations and such treatment
as their home endors enlents and faith
IN the American standard OF fair play
have led then, 10 expect"