The Fargo forum and daily republican., 1918-12-30

the public in carrying out its program.
soon after the movement was started
those who were opposed to II charged
that all persons who Joined 1t became
Jintly and severally liable as general
partners for all it's debts ana lfabili--
ties. These charges were supported
by the opinions of eminent lawyers.
They caused serious alarm among re-
sponsible farmers had had already
joined the league, and threatened the
life of the movement as deterrent
to others from joining. 1t is also true
that the Nonpartisan league was in
large measure the outgroWth OF an
earlier movement known as the Equl-
ty Society and Equity Exchange, IN
der the leadership of man by the
were Incorporated. They were SUB
jected to a great amount of litigation
which dissatisfied stockholders were
seduced into instituting by enemies Oh
the movement and paid for oy such
enemies. To meet both of these dan
gers the Nonpartisan league adopted
the device of placing It's publlshlng
business in the name of two truste1
organizers by the name or FOX and
Wood, acting under the firm name Oh
The Nonpartisan Publishing Co. MT.
Wood contributed nothing to the part
nership, and the evidence is open to
doubt as to whether Mr.. Fox contrib
uted anything. The testimony is plain
that by far the greater part OF the
funds used belonged to the Nonpar-
tisan league. Neither Fox nor Wood
knew anything about the publishing
business, and they have really not
exercised a dominant control over the
business which has been conducted IN
their names. Mr.. Townley ana the
other officers, sometimes as the result
OF consultations with the members or
the firm, and sometimes without sucn
consultation, have selected the editors
and managers who have carried on
the publishing business, and have die
tated the editorial and news policy OF
the papers. The business of the pub
fishing company has not been con-
Quoted for profit, and has not resulted
in profit. Mr.. Wood testified on the
stand that If there were any prohts ne
consented that they be used to pro
mote the work of the league, and the
evidence leaves no doubt that the
publishing enterprises carried on py
The Nonpartisan publishing Co. ana
the properties acquired in its name
have all been merely agencies for pro
noting the political movement OF the
league. The business arrangement
worked well at the time it was instl-
tuted TO accomplih the immediate pur-
pose. The Nonpartisan league was
then in it's infancy, and 1t was uncer-
tain whether it would succeed or 1all.
1t had small membership, and It's
only assets consisted Of a 'baskettul
of post-dated checks, as Mr.. Townley
testified. 1t has succeeded, and the
arrangements originally adopted have
been continued. Messrs. Fox ana
Wood, and most of the other persons
connected with the movement, are
without large experience in business
forms. They have been mainly con-
cerned with the political program.
This is also true of the bankrupt, a:
G. Townley. With the question Wheth--
er the organization has been wise or
foolish in its buSinesSl forms or ptfi-
cial condolences this court OF BANK
ruptcy has no concern. Both are SUD
iect to change by the membership OF
the league through its conventions.
Responsibility in those matters ruRs
not to the creditors of Mr.. Townley
but to the membership of the league.
The publishing business carried on ny
The Nonpartisan Publishing Co. am
The Courier-News Co. are each re.
their expenses, and, second, for the
payment of any debts incurred IN
their names. If the court had to de-
eide where the residuary estate, after
such payments, rests. as between the
Nonpartisan Publishing Co ana the
Nonpartisan league, it might require
a more careful examination of the
evidence and investigation of the law.
Ny impression is that the legal tlt!e
stands in the name of The Nonparti-
san Publishing Co. simply as hold
ing company, but upon trust for the
benefit of the league. That question,
however, is not before the court; The
question here is whether the bank
rupt A. c. Townley, is the owner OF
these properties, either directly or IN
directly. The evidence upon that SUD
ject, it seems to me, is too plain for
has no interest, either direct or indl-
rect in any Of the properties"