The San Francisco call., 1907-02-09
FAIR OUTLOOK FOR
LOSERS BY THE
BIG FIRE
Agreements With Two For
eign Concerns and Per
mission to Sue Others
ATTORNEYS GIVE
OUT STATEMENT

OUI STATEMENT
According to statement given out
Yesterday by Oscar Sutro. the results
OF the labors of the San Francisco COM
mittee that went abroad to see what
could be done to collect SAP Francisco
fre losses from the German and Aus
trian companies that refused payment
ana absolutely denied liability in San
francisco are encouraging Agree
rnents were secured with the Trans
atlantic, Rhine and Mosselle North
German of Hamburg and Austrian
Phoenix companies
In Germany the companies insisted at
nrst, as their Representatives had al
ready done in San Francisco, that they
We're not liable. for the alleged reason
that the San Francisco losses were not
f1re losses, but earthquake losses, and
that the fire damage was q part of the
earthquake damage. the earthquake
having caused the fire.
The committee was introduced by the
German imperial board of control,
which has the management of insur-
ance matters in that country Many
hearings, especially with the Trans
atlantic Company of1icials took place
The negotiations with the Rhine and
days. Terms of financial settlement in
detail were agreed upon by the Trans
atlantic Company and with the Rhine
and Moselle and North German. Stipu-
latfons We're made regarding the bring
ing of suits. With the Austrian
Phoenix an agreement was made for
the setting aside of fixed sum for
the payment. of San Francisco claims
after adjustment. the adjustments to
be made by an adjuster selected by the
San Francisco commission.
The agreements are not binding on
any policy-holders. with the exception
of two persons holding policies of the
Transatlantic Company.
TRANSATLANTIC SETTLEMENT
The full text of Sutro's statement of
what has been accomplished in Ger
many and Austria follows:
An agreement was made on the 10th day of
January, 1907, with Messrs. Dohrmann, Thomas.
Sutro and Gutsch. The agreement does not
bind any policy h0ldsrs s except two whSse hose
payment of 20 per cent Of the adjusted claims.
tribution to claimants of 10 per cent of the net
assets, after certain reserves have been made
and the pension fund for employees of the COM
The agreement only becomes binding If 90
per cent of all claimants sign 1t prior to April
%. 1907. The company returns to those who,
prior to the 10th day of January 1907. gave
powers Of attorney to any of the above named
four. / per cent of their claims, being the
amount advanced to defray the expenses of the
negotiation The stockholders notes owing to
the company to be called in: Settlements
with reinsured, we'll with reinsurers,
to be made, subject to the approval Of the
committee representing the policy holders.
company going into bankruptcy, or from a
failure of nine-tenths or all policy holders to
to g. un m
within which to present their claims or sue upon
the
The agreement VIII be ready for the signature
of all policy holders within week or ten days,
and announcements with reference to the same
will then be made.
RHINE AND MOSELLE
This company has made stipulation that all
ap r. sass in nsof S
Germany ut any time before April II, 1900.
without subJeeting themselves to the bar Of the
limitation clause In the policy. The committee
representing policy holdesr has arranged with
eminent German counsel to try such
may be selected for test eases in Germany. 1t
is proposed that the actions In California shall
remain suspended, awaiting the determination of
the IN tie test eases .,;, In German Upon the return
plan will be submitted to all Rhine and Mosele
policy holders for the handling of their claims
both in California and In Germany.
NORTH GERMAN OF HAMBURG
An agreement has been made by which all
claims against this company may be tried in
Germany at a minimum expense and without
the requirement of security for costs which ur-
der the law the defendant rs entitled TO exact
and which In the ease of a foreigner plaintiff,
are exceedingly burdensome. Able counsel have
been retained in Hamburg. and arrangements
cation.
Forms and method Of procedure for carrying
ont the same viii be Furnished for the use of
all claimants.
Announcements with regard to this matter will
be made In ample time.
AUSTRIAN PHOENIX
An agreement has been made with this COM
pany, bindiagnfhe company and the committee,
but no policy Nolders Under the agreement the
kronen for the payment Of San Francisco claims
after adjustment. Adjustments will be made by
those who at the date of the signing Of the
agreement, to wit, on the 18th day of January,
1907. We're represented by the committee, th<
OF the claims advanced to defray the expenses
Of the settlement.
committee at the time Of the signing Of the
agreement II dissatisfied with the adjustment'
agreement and sue. The time for all claimants
who were represented by the committee on the
18th day OF January. 1907. to sue upon their
day OF April, 1907
The company guarantees 20 ali policy holders
committee on the 18th day of january. 1907,
fixed percentage the result of the distribution
Francisco claims II IS per M cent Of ali O. claim
ants sign the agreement the guaranty applies
also to those signing the agreement who were
IL. 1907 provided that the total amount which
the company will pay unCer this guaranty viii
The agreement will be ready for signature as
soon as the committee is reunited in San Fran
cisco In the meanwhile claimants represented
by the committee have their time extended for
two months, while those not represented by the