Detroit evening times. (Detroit, Mich) 1921-1958, 1943-07-29
Drivers Warned To Obey
New Auto Insurance Act
States Legal Aide
Says Order Will OnIy
Delay Enforcement

Detroit motorists must obey
the new automobile insurance law
despite a restraining order delay
ing its enforcement, Deputy At
torney General James F. Shepherd
said in Lansing today.
The restraining order was
granted yesterday by Circuit
Judge Richter on petition of At
torney Edward N. Barnard, rep
resenting seven clients.
Barnard is attorney for The
Checker Cab Co. and some OF his
clients for whom he requested
the order are garage owners who
do work for the cab company.
II have not yet seen a copy
Of the order" Shepherd said.
"but IL most certainly will not
excuse motorists from failure. To
comply with the act, which will
20 into effect tomorrow.
'If a driver has an accident
and cannot prove financial
responsibility after tomorrow,
state action may be delayed
but IL will eventually be taken
against him under the laws
terms.
THE order merely restraints
the secretary of state from en-
forcing Ii temporarily"
HEARING AUG. 8
Judge Richter set Aug. 9 for a
| hearing on the order At that
time, Secretary of State Dignan
must appear TO show cause why
the restraining order should not
| be made permanent.
The bill of complaint was filed
by Barnard on behalf Of Rupert
/ c. Pfeifler. Frank S. Rauth, John
E. Surtman, Manley M. and Mrs.
Helen Deneau and Charles and
Patricia Stielau.
WORK FOR CAB FIRM
Pfeiffer and Rauth admitted
doing work for the cab company
and said that Surtman and Stielau
did also.
In his bill of complaint Bar
nard charges that insurance COM
panies pushed the law through
and started publicity campaigns
to the effect that every motorist
must have the insurance.
THE BILL" the complaint
says, twas represented TO the
Legislature and TO the public
by these insurance companies
as designed to secure persons
using the highways from dam
ages resulting In death or per-
sonal injuries from motor ve-
hicle accidents and was pro-
mulgated by these insurance
companies as an act for the
great social and economic bene-
At Of the general public.
BENEFIT OF VERY FEW
I'm truth and i'm fact, IL is
not for the benefit of the gem
eral public but for the sole
benefit of these insurance COM
panies.
Its result IL TO compel, or
tend to compel, all motorists 10
purchase insurance policies and
thus operate for the benefit OF
very few at the expense of all
motorists, and IL therefore class
legislation.
Insurance company heads were
quick to LASH out at Barnard's
scharges. -. -
Its always easy:fo .nsae
lot OF statements" commented
William Z. Robb, president Of
the Citizens Automobile Insur-
ance Co. of Howell.
CAMOUFLAGED PURPOSE
II don't know exactly who
Barnard represents" said How
ard Brown, chief counsel for
the Michigan Automobile Club,
"but there can be no question
that the law Is In the public In
terest. His charges appear to
be made i'm n way to distract In
terest from his real purpose
with camouhage."
Barnard's assertion that the
new law has greatly increased
insurance business was denied by
A. A. Templeton, vice president
of the Michigan Mutual Liability
Co.
REPORT IN 10 DAYS
The chief points of the law
(which Barnard's action tempo
rarily blocked are:
. All accidents involving per-
sonal injuries must be reported
TO the department of state
within 10 days on blanks fur
nished by police.
If the motoriSt has a LA
bility insurance policy in force
at the time. his responsibility
ends there. Failure TO make the
report means automatic Suspen-
sion Of operators and weight
tax license.
IL the motOriSt makes a
report and does not have an in
Surance policy in effect, he cam
not drive again until he de-
poSits $1,000 IN cash with the
state, takes out policy or
files an $1,000 bond with tho
state.
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