Mund, Vernon A.

English

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Washington Law Review Volume 3 Number 2 5-1-1928 The Insurance Commissioner in the United States, by Edwin Wilhite Patterson (1927) Vernon A. Mund Follow this and additional works at: https://digitalcommons.law.uw.edu/wlr  Part of the Insurance Law Commons Recommended Citation Vernon A. Mund, Book Review, The Insurance Commissioner in the United States, by Edwin Wilhite Patterson (1927), 3 Wash. L. Rev. 105 (1928). Available at: https://digitalcommons.law.uw.edu/wlr/vol3/iss2/5 This Book Review is brought to you for free and open access by the Law Reviews and Journals at UW Law Digital Commons. It has been accepted for inclusion in Washington Law Review by an authorized editor of UW Law Digital Commons. For more information, please contact cnyberg@uw.edu. BOOK SECTION(1892). The election may consist of the retention of money where itspayment can only be referred to provisions of the will. Sherman v. Flack,283 Ill. 457, 119 N. E. 293, 5 A.L.R. 496 (1918) Martien v. Norris, 91 Mo.465, 3 S. W 849 (1887). Where the payment of money can be referred tosome other obligation It will not constitute an election under the wilLIn re Beck's Estate, 265 Pa. 51, 108 Ail. 261 (1919). If payment can bereferred to a gift it will not constitute an election. May v. Jones, 87 Iowa,188, 54 N. W 231 (1893). It is a general rule that if the legacy is equalto or greater than the debt it will be deemed to be in satisfaction of thedebt. Fetrow v. Krause, 61 Ill. App. 238 (1895) Buckner v. Martin, 158Ky. 522, 105 S. V. 665, L.R.A. 1915B, 1156 (1914), The general rule willnot be applied where the language of the will excludes the inference thatthe testator intended the legacy to g3 in satisfaction of the debt. Reynoldv. Robinson, 82 N. Y. 103 (1880). Where the legacy is smaller than theamount of the indebtedness there will be no presumption that the legacywas in payment of the debt. Fetrow v. Krause, supra, Rusling v. Rusling,42 N. J. Eq. 594, 8 At. 534 (1887) Matter of Sherman, 53 N.Y.S. 376(1898). The view adopted by the Washington court in the principal caseIs, therefore, in accord with the authorities. G. F.A.BOOK REVIEWST~z IisuRNxcE COmumISSIONER XX THE UNITED STATES. By Edwin WilhitePatterson. Cambridge: Harvard University Press, 1927. pp. xviii, 589.This book is the first of a series of Harvard Studies in AdministrativeLaw.In the introduction, Professor Frankfurter ably establishes a conceptof Administrative Law. He concludes that, "administrative law deals withthe field of legal control exercised by law-administrating agencies otherthan courts, and the field of control exercised by courts over suchagencies."The development of this field, Professor Patterson points out, Is per-haps the most conspicuous contemporary trend in the legal world. As theconcepts established in most fields depend upon the problem of the timeand place of the thinkers, it is probable that the development of adminis-trative law is the result of our machine processes, technical specialization,scientific prevention, and social responsibility. In the dynamic worldof today, judicial procedure was found to be too rigid and ritualistic, andso we have the development of such administrative agencies as the Inter-state Commerce Commission, the state public- service commissions, thestate insurance commissions, and the Federal Trade Commission-In this volume Professor Patterson presents a scientific analysis ofthe complicated system of administrative control of the business of insur-ance, through the office of the insurance commissioner. The way in whichthe author tells the story of the insurance commissioner is through anexhaustive analysis and summary of the activities of the Insurance depart-ments of the forty-eight states. He obtained his data from three sources:statutes and constitutions, judicial decisions, questionnaires and inter.views with the officials of the insurance departments.The results of his studies are grouped into six parts with a chapterdevoted to each.In Chapter I Professor Patterson gives a summary of his conclusions.He intends this summary to indicate what is on the menu, and also togive cafeteria service to those who have not the time or digestion for thelarger meal. In this chapter is also an able criticism of some of theactivities of the Insurance commissioner.Chapter II deals with the organization and personnel of insurancedepartments. In organization, most of the insurance departments resemblea cabinet department of the Federal Government. A single official is atthe head of the department, who In theory makes all decisions and controlsall official actions of the department. Beneath him are corps of examiners,WASHINGTON LAW REVIEWactuaries, deputies and clerks. The commissioner is usually an appointedofficial and is invariably chosen for political reasons. The chapter alsoincludes an interesting summary of the practices of the states in regardto the titles of the officials, methods of selection, qualifications, term, com-pensauon and subordinates.The next subject which Professor Patterson discusses is the insurancecommissioner's activities in the licensing of those engaged in the business,the control of the financial conditions of the insurers, the control of policyforms, the control of rates and premiums, the control over payment ofprivate contract claims, and the control over business-getting methods.This chapter would prove the most interesting and informative to a readerwith a limited amount of time.Then in Chapter IV the author gives a descriptive account of theinquisitorial and visitorial powers of the insurance commissioner, as legaldevices which he uses to attain his ends. The commissioner has a liberaluse of power in this capacity. He may lawfully demand of insurers vol-uminous reports of their financial standing, or he may enter the officeof a domestic company and examine whatever he may desire. Moreover,he has the power to collect from the insurers the expenses of such examina-tions.In Chapter V is an excellent discussion of the administrative proce-dure in regard to complaints, hearings and decisions. In general this pro-cedure is very informal, and depeuds usually upon the discretion of thecommissioner. The enforcement of the commissioner's decisions, rules andorders is accomplished through administrative and judicial action. Theauthor gives a complete discussion of these two methods from a legalstandpoint.In the last chapter the author tells of the control of administrativeaction from non-judicial and judicial sources. Under non-judicial controlis considered the influence of the public. As a rule, the commissioner isimmune from executive control. On the legislative side he is bound bydetailed regulations, although he generally helps to make them. Also,there is a control exercised by the commissioners themselves through theactivities of the National Conventions of Insurance Commissioners. Judi-cial control is the most direct and effective check on the insurance com-missioner. This control is in the nature of a brooding omnipresence,rather than a ubiquitous censor.The book has several interesting appendices. Appendix A contains ashort history of the administrative control -of the insurance business. InAppendix B is an interesting discussion of how the author obtained thematerial for the book. A complete table of cases is also Included.VERo-oN A. Mu"w.BOOKS RECEIVEDCASES ON FUTURE INTERESTS. By Richard R. Powell, assisted by Lewis MSimes. SL Paul: West Publishing Co., 1928. pp. xxviii, 968CASES OF THE LAW OF CAREas. By Frederick Green. Second edition. St.Paul: West Publishing Co., 1927. pp. xxv, 85LEQUITY JrspRuDENcE. By Sherman Steele. New York: Prentice-Hall,Inc., 1927. pp. xii. 897.HANDBOOK OF FEDERAL JURISDICTION AND PRocEDuRE. By Armistead LDobie. St. Paul: West Publishing Co., 1928. pp. xii, 1151.HUMAN JEI-rso-q: A SEA TALE FROM THE LAW. By Frederick C. Hicks. St.Paul: West Publishing Co., 1927. pp. xv, 414.LECTURES ON LEGAL Topics. Volume iv, 1922-23. By Simon Flieschmannand others. New York: The Macmillan Co., 1928. pp. viii, 393.REAL ESTATE TITLES AND CONVEYANCING. By N. L. North and DeWitt VanBuren. New York: Prentice-Hall, Inc., 1927. pp. x, 719.THE ART OF ARGUMENT. By Harold F Graves and Carle B. Spotts. NevYork: Prentice-Hall, Inc., 1927. pp. iv, 298.

\u3ci\u3eThe Insurance Commissioner in the United States\u3c/i\u3e, by Edwin Wilhite Patterson (1927)

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\u3ci\u3eThe Insurance Commissioner in the United States\u3c/i\u3e, by Edwin Wilhite Patterson (1927)

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