The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-08-03
National Fire Surrenders in
Insurance Trust Case.
COnfesses Judgement and Will
Quit Eldridge Rate Book.
THIS is FIRST MOVE.
Taken to Mean That Others
Will Follow Suit.
Injunction i'm District Court
Will Be Made Permanent.

Theodore Gardner, of Lawrence, state
agent for the National Fire Insurance
company of Hartford. Conn, came be-
fore the attorney general Friday after
noon and on behalf of his company,
Internationally surrendered in the in
surance trust suit started some days
ago against 70 of the leading insurance
companies of the United States.
Mr.. Gardner confessed judgment, and
a stipulation was entered into and filed
with the court as follows:
1T is hereby stipulated and agreed
between attorneys for the plaintiff, and
the National Fire Insurance company
OF Hartford. Conn, one of the defend
ants in the above entitled case, by
Theodore Gardner. its state agent for
the state of Kansas. that judgment
may be taken by plaintiff against this
defendant and that defendant shall pay
its proportionate share of the costs so
far incurred and the necessary costs
involved in recording this judgment"
In accordance with this stipulation,
the district court of Shawnee county
has allowed a permanent injunction
against the National Fire to forever
prevent its using the Eldridge rating
bureau of Topeka, which rating bureau
is supposed to control the size of
premiums to be charged by all the
insurance companies doing business in
Kansas.
1t is believed that this action on the
part of the National is an Indication
that all the other insurance companies
in the state against which suit has been
brought, are likely to come across"
and confess judgment. and agree to
refrain from using the Eldridge rat
ing system in the future.
This would put the Eldridge bureau in
a peculiar position, for Mr.. Eldridge has
secured an order from the district
court allowing him to intervene in the
case as one of the defendants to the
action. He was not included in the or
iginal action brought by the state. The
suit was simply to prevent insurance
companies from using his rating sys-
tenn. Mr. Eldridge, however, was the
real target of attack, and he was al
lowed to get into the case for the
purpose of defending his rating bureau,
which was threatened with destruction.
Now If all the insurance concerns come
in ard confess judgment, and allow in
junction to issue against them, as the
National Fire has done, it will leave
Mr. Eldridge out on a limb, with the
unpleasant prospect of having his own
battle to fight.
Mr.. Gardner, in his conference yes
terday with the attorney general and
insurance commissioner, did not speci-
fcally admit that his company was al
lowing the Eldridge rating bureau to
fix its rates for fire insurance, but he
came SO near it that the distinction was
difficult to make. He said that his
company patronized the rating bureau,
but did not always follow its rate rec
concentrations.
The National Fire Insurance company
IS one of the big concerns of the coun-
try. 1t has about $3.50. 100000 insurance
in force; it's assets are $7.5OO,00O, and
its capital stock 81. 100000 1t has a big
line of risks in Kansas. and is one of
the most important companies doing
business in the state.