The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1915-08-16
MPENSAT|ON
AC 7 WILL Be
CON TESTE D
COAL OPERATORS UNITING FOR
ATTACK UPON ITS CONSTlTU.
TIoNALiTY-FlGHT TO DECLARE
LAW VOID.

McAlester, Okla, Aug. 15.-Oklaho-
ma coal operators are going to unite
in an attack upon the constitutionality
! of the workmens compensation act
adopted by the Fifth legislature, ac-
cording to Presley r. Allen, acting
president of the Southwestern Coal Op-
orators association. since the death
of James F. Elliott, former president.
Attorneys have already been employed
to carry the fight to the courts. The
laws constitutionality will be assailed
in the state courts and an appeal will
be made to the federal courts upon the
grounds that practically all of the
mines in Oklahoma, being situated on
Indian leases, are without the jurisdic-
4 ton of state regulation.
1t was upon this latter claim that
the mining companies last winter won
case in the United States supreme
court, setting aside Oklahoma's gross
revenue law as applied to coal COM
panies.
ut will mean almost certain bank
ruptcy for coal companies to operate
under the existing laws" Mr.. Allen de-
clared. "Old line insurance companies,
in announcing their rate scale just
adopted by the Oklahoma insurance
board after a conference with the new
! ly created industrial commission, re-
fused to provide any insurance what
ever for coal mining companies. They
consider our risk so abnormal under
this new compensation act that insur-
| ing us is out of the question.
Even if they had made us a rate,
if it were in proportion to the rates
established for concerns engaged in
less hazardous work, it would un-
doubtedly have been prohibitive. The
rate for compress companies has been
doubled and that for oil mills almost
trebled, under the new schedule.
! Must Assume Own Risk
"As matters stand, each individual
coal operator must assume his own
risk. He must make financial show
ing and furnish a guaranty bond which
will meet with the industrial commits
sion's approval. Otherwise he will be
forced to close his mines or stand a
penalty which will bankrupt any min
ing company in Oklahoma in six
months. So far, we have been unable
to find a way to furnish the necessary
bond without tying up every piece
of property we own.
81 cannot see how the operator Of
limited investment can continue to do
business and meet the requirements of
the commission under existing condi-
tions in this state The Oklahoma coal
field is not only one of the most haz-
ardous, but it is also one of the most
expensive to operate. The work
mems compensation act, as it stands,
will add from II to IA cents a ton
to the cost of production the first year
and this expense will undoubtedly be
increased each succeeding year until
| it will practically amount to confisca-
tion of property.
"Our only hope seems to be that
the law will be held unconstitutional
by the courts. While we believe the
law to be discriminatory and unjustly
oppressive, myself and those directly
associated with me will do all in our
power to cooperate with the commits
sion in putting it into effect and we
Will endeavor at all times while it is
the law, to comply with its require
ments. In order to get the question
settled and to secure the necessary
| capital to develop the industry in the
state, we expect to appeal at once to
the courts and thereby thresh the mat
n ..1N II