{ "id": 1326155, "name": "American Casualty Company v. Lea", "name_abbreviation": "American Casualty Co. v. Lea", "decision_date": "1892-10-29", "docket_number": "", "first_page": "539", "last_page": "543", "citations": [ { "type": "official", "cite": "56 Ark. 539" } ], "court": { "name_abbreviation": "Ark.", "id": 8808, "name": "Arkansas Supreme Court" }, "jurisdiction": { "id": 34, "name_long": "Arkansas", "name": "Ark." }, "cites_to": [ { "cite": "51 Mich. 5", "category": "reporters:state", "reporter": "Mich.", "case_ids": [ 8717210 ], "opinion_index": -1, "case_paths": [ "/mich/51/0005-01" ] }, { "cite": "22 Fed. Rep. 305", "category": "reporters:federal", "reporter": "F.", "case_ids": [ 6717094 ], "opinion_index": -1, "case_paths": [ "/f/22/0305-01" ] }, { "cite": "31 Fed. Rep. 294", "category": "reporters:federal", "reporter": "F.", "case_ids": [ 3763335 ], "opinion_index": -1, "case_paths": [ "/f/31/0294-01" ] }, { "cite": "12 Wall. 65", "category": "reporters:scotus_early", "reporter": "Wall.", "case_ids": [ 5654471 ], "opinion_index": -1, "case_paths": [ "/us/79/0065-01" ] }, { "cite": "96 U. S. 369", "category": "reporters:federal", "reporter": "U.S.", "case_ids": [ 3380615 ], "opinion_index": -1, "case_paths": [ "/us/96/0369-01" ] }, { "cite": "8 So. Rep. 84", "category": "reporters:state_regional", "reporter": "So.", "opinion_index": -1 }, { "cite": "32 Fed. Rep. 434", "category": "reporters:federal", "reporter": "F.", "case_ids": [ 6727594 ], "pin_cites": [ { "page": "802" } ], "opinion_index": -1, "case_paths": [ "/f/32/0434-01" ] }, { "cite": "113 U. S. 727", "category": "reporters:federal", "reporter": "U.S.", "case_ids": [ 3511806 ], "opinion_index": -1, "case_paths": [ "/us/113/0727-01" ] }, { "cite": "71 Ala. 60", "category": "reporters:state", "reporter": "Ala.", "case_ids": [ 11254149 ], "opinion_index": -1, "case_paths": [ "/ala/71/0060-01" ] }, { "cite": "50 N. W. Rep. 565", "category": "reporters:state_regional", "reporter": "N.W.", "opinion_index": -1 }, { "cite": "30 Fed. Rep. 350", "category": "reporters:federal", "reporter": "F.", "opinion_index": -1 }, { "cite": "17 N. W. Rep. 504", "category": "reporters:state_regional", "reporter": "N.W.", "opinion_index": -1 }, { "cite": "50 Fed. Rep. 683", "category": "reporters:federal", "reporter": "F.", "opinion_index": -1 }, { "cite": "22 Fed.. Rep. 275", "category": "reporters:federal", "reporter": "F.", "case_ids": [ 6716866 ], "opinion_index": -1, "case_paths": [ "/f/22/0275-01" ] }, { "cite": "106 U. S. 350", "category": "reporters:federal", "reporter": "U.S.", "case_ids": [ 3498601 ], "opinion_index": -1, "case_paths": [ "/us/106/0350-01" ] }, { "cite": "18 How. 404", "category": "reporters:scotus_early", "reporter": "How.", "case_ids": [ 3488196 ], "opinion_index": -1, "case_paths": [ "/us/59/0404-01" ] }, { "cite": "14 Atl. Rep. 689", "category": "reporters:state_regional", "reporter": "A.", "opinion_index": -1 }, { "cite": "40 N. J. L. 112", "category": "reporters:state", "reporter": "N.J.L.", "opinion_index": 0 }, { "cite": "106 U. S. 356", "category": "reporters:federal", "reporter": "U.S.", "opinion_index": 0 }, { "cite": "1 McCrary, 123", "category": "reporters:federal", "reporter": "McCrary's Cir. Ct. Rpts", "opinion_index": 0 }, { "cite": "106 U. S. 355", "category": "reporters:federal", "reporter": "U.S.", "opinion_index": 0 } ], "analysis": { "cardinality": 454, "char_count": 8833, "ocr_confidence": 0.532, "pagerank": { "raw": 2.61238278470812e-07, "percentile": 0.8205657936041831 }, "sha256": "a99bc9d115f4fe36d09ec714ddef3fec997d33eab2fa1c5a0850844493ea8c01", "simhash": "1:426d5ca897dede44", "word_count": 1555 }, "last_updated": "2023-07-14T19:23:39.429633+00:00", "provenance": { "date_added": "2019-08-29", "source": "Harvard", "batch": "2018" }, "casebody": { "judges": [], "parties": [ "American Casualty Company v. Lea." ], "opinions": [ { "text": "Hughes, J.\nThis is a petition by the insurance company praying for a writ to prohibit the circuit judge from proceeding in a cause pending before him, as judge of the Pulaski circuit court, which is a suit for libel by J. W. Callaway against the company and its agents; in which suit process was issued against the defendants, and served upon the Auditor of the State as the agent of the insurance company, which is a foreign corporation organized in the State of Maryland, and doing \u2018 \u2018 an accident, casualty, and employer\u2019s liability insurance business in this State, and no other business in this State,\u201d as stated in the petition for the writ of prohibition. The petition states that the company had complied with the insurance laws of the State, and had appointed the Auditor of the State to receive service of process for it; and the service in the said suit was upon the Auditor, by delivering to him a copy of the summons, as provided by the statute.\nThe company, by attorney, appeared specially only, and filed a motion to quash the return on the summons, on the ground that the court had no jurisdiction of either the company or the subject matter of the suit. The motion was denied. Hence the application for the writ of prohibition.\nThe complaint in the circuit court '(a copy of which is exhibited with the petition to this court) states that \u201cas an unlawful means of advertising its business,\u201d etc., the defendant company \u2018 \u2018 falsely and maliciously did publish, and cause to be published, libelous and defamatory matter about him, and accused him therein of having been guilty of embezzlement, which is a felony.\u201d\nNow, the contention of the insurance company is that it can be sued in this State only upon liabilities growing out of its insurance contracts, while it does no other than an insurance business in the State; and that it cannot, therefore, be held to answer upon this service in a suit for libel in this State.\nIt is well settled that a corporation may be guilty, of and can be sued and indicted for, libel. Odgers on Libel and Slander, 368 and 369; Townsend on Slander and Libel, sec. 261.\nWe are not prepared to accede to the proposition that a foreign insurance company, doing only an insuranee business in this State, can be sued only upon ities arising out of its insurance contracts made in this State. The cases cited in the brief of counsel to maintain this position go only to the extent of holding that the foreign corporation must be doing business in the State where it is sued, and that the cause of action upon which it is sued must have arisen in the State where the suit is brought.' We understand that when the foreign corporation agrees to \u201cbe found\u201d in the State, it may be sued as' a domestic corporation or a citizen of the State upon any liability upon a cause of action arising within the State. Foreign as well as domestic corporations transact their business by agents, and wherever the duly authorized agent of the corporation is found, transacting its business, the corporation itself is found. St. Clair v. Cox, 106 U. S. 355.\nSec. 11, art. 12, Const. of Ark., provides that \u201cforeign corporations'may be authorized to do business in this State under such limitations and restrictions as may be prescribed by law ; provided that no such corporation shall do business in this State except while it maintains therein one or more known places of business, and an authorized agent or agents in the same, upon whom process may be served ; and, as to contracts made or business done in this State, they shall be subject to the same regulations, limitations and liabilities as like corporations of this State; and shall exercise no other or greater powers, privileges or franchises than may be exercised by like corporations of this State; nor shall they have power to condemn or appropriate private property.'\u201d Section 3834 of Mansfield\u2019s Digest is as follows : \u201c No insurance company, not of this State, nor its agents, shall do business in this State, until it has filed with the Auditor of this State a written stipulation, duly authenticated by the company, agreeing that any legal process affecting the company, served on the Auditor or the party designated by him, or the agent specified by said company to receive service of process for the company, shall have the same effect as if served personally on the company within this State.\u201d \u201cWhether the-stipulation is filed or not, service on the Auditor is sufficient service on the company, the latter being estopped to deny that it had filed the required stipulation,\u201d when the company is doing business in the State, as it can do business in the State only upon compliance with the statute. Ehrman v. Teutonia Ins. Co. 1 McCrary, 123 ; St. Clair v. Cox, 106 U. S. 356.\nWhether the agents bind the corporation by their ac- . s. j tion, whether they act within the scope of their authority, express or implied, whether what they do grows out of or has any connection with the business of the corporation in this State, are questions not to be decided by this court in the first instance. They must be first tried by the circuit court upon the pleadings and the evidence. This corporation says, for instance, that it is not guilty of publishing the libel charge, and, therefore, denies its liability to suit in the courts of this State. This may be pleaded in bar and given in evidence, and, if true, will defeat the plaintiff\u2019s claim. It cannot, therefore, be properly a subject of plea to the jurisdiction. In this controversy we must take the plaintiff\u2019s cause of action to be such as he has alleged it to be in his complaint; otherwise we shall be trying the merits of the controversy for the purpose of determining whether we have power to try them. Nat'l Condensed Milk Co. v. Brandenburgh, 40 N. J. L. 112. The truth of the allegations of the complaint, as well as the sufficiency of them to constitute a cause of action, are not questions now before this court.\nThe only question now here is, whether the circuit court obtained jurisdiction of the corporation by the service of the summons upon the Auditor as its agent. If so, it can render a personal judgment against the corporation, if the pleadings and proof in the case warrant it. The service was in accordance with the statute.. The prayer of the petition is denied.", "type": "majority", "author": "Hughes, J." } ], "attorneys": [ "Robert J. Lea, Judge.", "Sandels & Hill for petitioner.", "Martin & Murphy and Dan W. Jones, for respondents." ], "corrections": "", "head_matter": "American Casualty Company v. Lea.\nOpinion delivered October 29, 1892.\n1. Corporation \u2014 Libel.\nA corporation may be guilty of, and can be sued for, a libel.\n2. Foreign insurance company \u2014 Liability to suit.\nUnder sec. 3834, Mansf. Dig., which provides that no foreign insurance company shall do business in this State until it has filed with the Auditor a stipulation \u201c that any process affecting the company served on the Auditor or the party designated by him or the agent specified by said company to receive service of process for the company, shall have the same effect as if served personally on the company within the State,\u201d held, a foreign insurance company which has appointed the Auditor as its agent to receive service of process may be sued, in the manner designated, upon any cause of action arising within the State, whether arising out of its insurance contracts or not.\n3. Writ of prohibition \u2014 Practice.\nUpon a petition to prohibit a circuit judge from proceeding to hear a cause pending in the circuit court, for want of jurisdiction of the person of the defendant, the Supreme Court will not consider the truth or sufficiency of the allegations of the complaint in such cause.\nPetition for Writ of Prohibition to Pulaski Circuit Court.\nRobert J. Lea, Judge.\nSandels & Hill for petitioner.\n1. A foreign insurance company can be sued in this State only upon liabilities growing out of its insurance contracts. Such is the intention of the legislature. Suth. Stat. Const- secs. 211, 218, 240, 241, 246, 284; 139 TJ. S. 223 ; 14 Atl. Rep. 689; 18 How. 404; 106 U. S. 350; Morawetz on Corp. sec. 980; 22 Fed.. Rep. 275 ; 29 id. 35; 44 Pa. Stat. 422 ; 50 Fed. Rep. 683; 17 N. W. Rep. 504; 16 id. 84; 30 Fed. Rep. 350; 50 N. W. Rep. 565; 25 N. F. Rep. 173; Reno, Non-Res. secs. 45-46.\n2. Soliciting subscriptions, advertising etc., is not \u2018 \u2018 doing business within the State, \u201d within the statutory intention. 71 Ala. 60; 8 Ani. &\"Fng. Fnc. Haw, p. 346 et seq.; 113 U. S. 727; Beach, Priv. Corp. sec. 416; 32 Fed. Rep. 434, 802; 8 So. Rep. 84.\nMartin & Murphy and Dan W. Jones, for respondents.\n1. A corporation is liable to action for damages for libel. 2 Waterman on Corp. p. 432, sec. 281, and cases cited.\n2. By sec. 11, art 12, Const, and Mansf. Dig. sec. 3834, foreign corporations are placed upon a level with domestic corporations, and \u201cany legal process\u201d may be served upon them through their agent. 96 U. S. 369 ; 12 Wall. 65; 31 Fed. Rep. 294; 22 Fed. Rep. 305; 51 Mich. 5." }, "file_name": "0539-01", "first_page_order": 561, "last_page_order": 565 }