The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-02-03
INSURANCE N { N
WIN 0 N APPEAL
Lower Court Reversed in Harris
Case, Which Came Up From
|. Newport News.
NO CRIMINAL CONSPIRACY
Absence of Specific Law on Sub
ject May Hasten Action by
Legislature.
NO CRIMINAL CONSPIRACY

In an opinion handed down ester
day by Judge John y Buchanan, in
the Virginia Supreme Court of APP
peals. the Judgment of the Corporation
Court of Newport News is reversed
in the test case made out against fire
insurance companies charged with
having formed conspiracy or asso-
citation to maintain rates. The case
is known in the record as Harris and
others against the Commonwealth, on
appeal from the Corporation Court of
Newport News, which sustained the
decision of magistrate. who Imposed
fine OF $500 each against six agents
IN making the test case, Diminishing
the proceedings against about twenty
others pending settlement of the case
at bar
Judge Buchanan holds that since
the prosecution is :or an alleged Grim
mai conspiracy. and since there Is no
statute agninRt the specific orense
alleged, that the action of the lower
court In oYerruling the demurrer en-
tered was in error. But the opinion
OF the court, Judge Buchanan Is care
iul to- state, Is based on the strict
letter OF the present law, and is rem
dered without the expression OF any
opinion by the court as to whether or
not such combination to fix rates Is
or is not prejudicial to the public, or
not require such legislation as Will
limit or suppress such combinations.
Legislation Now Pending.
The opinion will have a strong bear
ING on the bill now pending before
the General Assembly on the same sub
| ject. designed to prevent the opera
tons in this State of the Southeast
ern Tariff Association. The bill. known
as the Wharton law, Is now before the
senate Committee on Banking.
The original warrants charge that
on May Il, 1910, and previously for
several years. II number If insurance
companies doing business in Newport
News conspired together "muliciously
immorally. corruptly. wantonly, fraud
uiantly, unlawfully and wickcdly,'
with the intent to fiv certain arbitr.
airy rates on fire insurance policies
with an intent TO stiflc and destroy
competition In this line OF business
TO all OF this charge SET forth in a
most voluminous Indictment tho de
PENDANTS demurred on the ground tina,
there Is no statute of this State pro.
hibitinS such n combination as was
charged, the contention If the counse
for the commonwealth being that such
an alleged conspiracy is crime a;
common law. Judge Buchanan held
that insurance is not an article OF
merchandise or manufacture, or one
OF tho "necessaries of ute" In tht
usual meaning Of that term. or OF
prime necessity within the meaning OF
spirit of statutes designed TO prohibit
| corners" or arbitrary raising OF
| prices on the necessities of lie, the
most that can be said being that such
an alleged agreement was "corpbi.
nation in restraint OF trade" The
judgment of the trial court is revers
ed, and the Supreme Court, sustaining
the demurrer, enters the final iudg-
ment such as the trial court ought t
! have entered.
Court -adjourDs for Term.
! This was the only opinion handed
down yesterday.
| Cases We're argued as fellows. after
! which the court adjourned TO AIarcf
! 8:
| Real Estate Trust and Insurance
Company VS.. Gwyn's administering e.
ais: Courtney Realty Corporation vs.
Gwyn's ADMINISTRATIVE, ct ais. Argu
ed by Judge Willcov ana Mr.. Hughes
| for appellants. and by ". r. +. Well.
| for appelees, and submitted.
Pettus AMI Howard VS.. Hendricks, e
ais. Argued by ". W. Crump, Ord
way Fuller and Robert NJ. Jefirics 70,
appellants, and by Rrockcnborougl
Lamb for appellees and submitted.