The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1909-09-29
Bank Guaranty Attacked by At
torneys i'm Federal Court.
Administration Attorneys File
Their Demurrer.
ENEMIES CLAIM LEAD
COnstitutionaIity Of Guaranty
Law AsSailed Today.
Fate of Law Rasts With Pollock
Pending Appeal.

When Judge Pollock called the con-
tinuation of the bank guaranty IN
junction hearing at 10 o'clock this
morning, he found the attorneys for
the state and those representing the
National banks, in a controversy over
the procedure of the day. When the
case opened yesterday, it was an
nounced in open court that the state
would file the Dolley-TuIley demurrer
today, and that it had been agreed
that the case should proceed as argu-
ment on the demurrer, in other words,
that the demurrer should be "consid-
cred as fled
With this understanding, the attor-
neys for the national banks opened the
case by arguing the demurrer. A half
a day was consumed along these lines,
and on this agreement that the de-
murrer was filed for practical pur-
poses. Attorneys Gleed and Waggen-
er therefore confined their argument
to an attack on the validity of the
guaranty law. and made considerable
headway. By the time the attorneys
arrived this morning, it appeared that
the attorneys for the state were not
very we'll pleased with their bargain,
and We're in favor of backing out and
refusing to file the demurrer.
Hitch Over Filing Demurrer.
When Judge Pollock called court,
Attorney General Jackson, for the
state, announced that the attorneys
had not yet reached an agreement as
to the filing of demurrer or the filing
of addition features to the bill by the
plaintiffs.
Attorney Waggener cut in with the
remark that since half a day had been
spent arguing the case on demurrer,
by the states admission of yesterday,
the plaintiffs were not inclined to per-
init a change of front, and necessitate
the renewal of the case on other con-
ditiOnS- Judge Pollock settled the
question beyond any doubt by observ-
ing that if any doubts were entertain
ed concerning what the defendants
would put in their demurrer, 1t would
be we'll to actually file the demurrer
before further proceeding. He then
adjourned court to permit Attorney
General Jackson to file the demurrer.
The demurrer filed is of the gen
eral denial" type. 1t covers little
more than one sheet of paper and
: cites that plaintiffs have not shown
by their bill that they have any right
or interest in the subject under con-
troversy, that enough does not appear
on the face of the bill to show the
courts jurisdiction, as it does not show
that an amount of $4,000 is in contro-
versy, and that plaintiffs are not en-
titled to any reliefs mentioned in the
bill.
BY filing a demurrer to the bill of
complaint, the state has taken off the
1id," permitting the attorneys for the
plaintiffs to argue fully all the facts
alleged. This they proceeded to do with
vigor. and their presentation was 81
strong that this morning the attorney
general wanted to change part, and get
out of his admission. The attorneys
for the complairants seem confident of
their position, and intimate that they
l., i T-r
Banks Attorneys Claim Advantage.
Senator Waggener, one of the attor-
reyS for the plaintiffs, said: ''Their de-
murrer gives US a certain advantage by
permitting us te dig into the merits
or the bank guaranty law. and argue
the question of its constitutionality. The
hitch in the hearing this morning was
due to Attorney General Jackscn's dis
satisfaction over the latitude which
his demurrer allowed u.s."
1t was nearly noon when the argu-
rlent between the attorneys was COM
pleted. and the demurrer actually filed
with the court. A compromise was eff
fected by the plaintiffs modifying an
additional feature which they added to
the bill of complaint. The case was
resumed this afternoon. along the same
lines pursued yesterday-but now there
Is no question as to the mode of pro-
cedure, the demurrer being actually on
file.
The situation is this: The case now
covers Doth ends, and Judge Pollock
can close it abruptly by either sus-
tanning the demurrer, in which case the
national banks will Immediately ap-
peal to the supreme court of the Uni
ted States, or by declaring the state
guaranty law unconstitutional, thereby
throwing the burden of appeaI-if they
care to take it-on the states attor-
neys. Should the demurrer be sustain
&c II,
the law until the United States court
decides the appeal On the other hand,
the bank guaranteeing business in this
state will come to a sudden stopping
place. if Judge Pollock declares the law
unconstitutional
As the supreme court of the United
States is about a year and half be-
hnd with its docket, a Kansas legisIa-
ture might in the meantime concoct
some similar law which would meet the
requirements of the national govern
ment, and thereby secure the dismissal
of the case.
VIII come to close today. as the at
torneys for the state are expected to
argue the defense at length
Mondays Proceeding.
The attorneys for the national banks
opened yesterday with an arraignment
of the state bank guraanty law. ].
Wills Gieed. for the nationals opened,
ana was followed by Bale Wageener.
1t Is understood that John L. Web
ster, the Omaha attorney, will be re-
served for the closing argument today
In their arguments yesterday, Mr. Gleed
gave his attentions to pointing out the
evil effects of the state guaranty law,
its Inconsistencies and vagaries. Bale
Waggener devoted his time to showing
that the law was null and void because
or its conflict with the intent of the
national bank act and the fedora con-
s6tution. Boiled down. Mr.. Gleed's ar