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Sign up freeThe Bismarck Tribune
Bismarck, Mandan, Burleigh County, Morton County, North Dakota
What is this article about?
Judge Jansonius rules in favor of Insurance Commissioner Olsness' methods for handling excess insurance, dismissing injunction by local agents who claimed he exceeded authority by granting contracts directly to companies.
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manner through some other method.
the commissioner was vested with the
authority to determine the facts and
supply the method." the judge ruled
Injunction proceedings were brought
by a group of local insurance agents,
including D. W. Crabtree. H. T. Murphy.
Julius Baker. George H. Leick,
R. J. Doebler, Murphy Insurance
Agency. a corporation, on behalf of
themselves and of all others similarly
situated. They contended that Ols-
ness had exceeded his lawful author-
ity in granting contracts direct to the
companies, which were the Implement
Dealers Mutual Fire Insurance com-
pany. the Minnesota Fire Insurance
company. and the Russell Agency.
Fargo.
Arguments in the case were heard
here a month ago.
CONSTRUES INJUNCTION
During the arguments, the assistant
attorney general charged that "an in-
junction cannot be sustained to pre-
vent the execution of a public statute
by officers of the law for the public
benefit."
…this section of our code has been
construed several times by our su-
preme court," Judge Jansonius said.
"and in every instance it was held
that the question of whether an offi-
cer is exceeding powers conferred
upon him by law under which he is
authorized to act may be tested in
an action to enjoin him from the
commission of acts alleged to be with-
out authority. In other words, while
an officer may not be enjoined when
he acts lawfully. he may be enjoined
when he exceeds his authority."
"There is another reason which was
pointed out by attorneys in a very
helpful brief filed in this court." the
judge said. "They pointed out the
fact that the only agents that might
be affected by this method would be
the agents of the companies that
wrote the insurance, and they are not
complaining. The evidence discloses
the plaintiffs could not profit by this
lawsuit, as they represent companies
that are not among those receiving
the insurance. 'There is much merit
in the contention of counsel, as it is
elementary that one must have a
financial interest in the outcome of
a lawsuit such as this to entitle him
to maintain the action."
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Judge rules that Insurance Commissioner Olsness did not exceed authority in handling excess insurance by granting contracts directly to companies; injunction by local agents dismissed due to lack of financial interest.