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                    <text>Special file No. 184

J!orkmen • a Compensation

Individual cases involv:i.ng -

Mezeath Coal Company_

1933 -

�August 19 9 1938
I

Rouoro.blo B.

1 •

Ch ri str.!S.o

EGm,.lo "C • 9 ., yor,rir1

l!B:

'l'H.C .';Om{1.2J\N h

In tl-10 llitter of the CluiE of Reno Eo retti 11
iliployee of The Union Facific Coal Company 0
11 11
B lli.ne 9 Sup0rior 11 Gyorning 0 r:-:ade under the
--:'o rkmen 9 s COic,Pe11sation Lan.

!JOT b Rl.!MJE~TLY TuTuLLY DIS-'.3LED.

PorL.- nent totul diGo.bility is definitely fi,wd by tho statute, to-ui.t:

Section 124-120 (B).
uPora:::ment tota l disabilit y" mcuns t ho lo~ ::, of both legs or oot l: c.rr:.s 11
iotol loso of eyesight, purnl • sis or- otho r co:1d itions per o,unently incapacitatin._: the 'u"Orkr::!m fro rJ perforcinr, uny c:ork ut any r;uiuful occup:.tiou."
( Underscoring supplied)
'l'hc '.:.iO?l.u:.:c.n's nur , con-Dr. R. H. :2e:.nders- t1ho vo.s ol£o the °'·;orlman'a
oitne::io , G.!'1 i 1e only nit1:1om:i, except t l:c cla.i ~e:nt himself, t estif'ic;o. on
his direct cxoo: nation tta t t ~e DCTk, n na o not "perc.snently tote..l ly disabled ". The r,ork:-i:an hi1us0lf' testified t _;::.t Le: J-:e.tl Gought el:;lployncnt since
the o.ccidon'i, e.nd ubout a· conth or t -1ro 0 ueeks e.r:o, fro o the Union Pacific
C~o.l Conp::my . Since the n orlur:an throu6 h his ovn surg eon, us his o,m
oitnoso, cntl i'rozi hio oun lip:, disclains that h e is p err;:c.nently totally
dicubl~ll this phnoo of tho cc se r.:c.y b e disfilisscd from furt .ilex- considera tioap
e.nd 'JC n:ust vie·a t hi o r:.att er cs a pcrsoual injui'y, rceul t ing in "permanent
partial dioubi - ity,." and that o.lone.

!Joo i n 11 pern.unent partial disability", \7.bicb Dr. Sc.nders testified to
Your Honor .:Jt.S in fact the pbysicc.l condition of the ,1or;,.~&amp;n, tb~ question
urises, io there any statute, or e.ny lo.u, "Judo;e c.ude", or ctheroise 9 u:.ich
directs t he employer of extra hazardous labor to pay u uorlrn:en , .-bo ,J cH.J ·:. om
blind in one eye, or uho uas born o-it b e;o ,._ e other deformity, or v},o in
pursuit of hio 0\1?1 pleasure, . ith gun or rod, and rr.a.ims hi mself, to pay for
auch d efonnty or ptysical lose?
It seemo to the auttor of this letter that not only uould th e affirmative be illogical and unrca :;onable, but thet tl:e stutute le.\, and the court
decisions ansoer tne query in the ne~ative.
fJ'hat is "periwnent partial disability", as defined by the statute?

�£QEr

Section 124=106=7
(L~

Tho words "injurioo sustainsd in extra-hazardous employment" 11
na usGd in. this chupter, shc.ll include * -:t- ·:i- injuries to employo03, e s o. reoult of their eroplo:yernent and ·ahile ut vork
in O? about the promises occu) ied, used or controlled by the
cmployo&amp;9'.:- ~,- -;; o

Tbo n orlrni.an tocti fi ed t hat the los s of hie right urm above the elbou
dia not oc cuX':) "as 0 r ooul t o f bis employment und r,bile at ,., ork in or about
t he pr emi..,es occupied, uocd o r controlled b·, the employer," end therefore
neither dirG:ctly o. indirectly ee n the loss of the ri ght erm be impugned
to th0 er plc yer 11 nny _ore t hm-i it could be im ugned that in "perCJ£.nen"t
parti al disa bility" that t h e employer is responsible to an employee 9 \, ho
·llas born bli!'.ld in one eye. r'ercanent parti a ldisability covers no s uch
physicc l deficiency. Th0 ctatute says:

Section 124-12~ (~)
11

.Ferrw.nent pa rtia l di:;.;nbi l ity" ::rirnno t h e l os s of citi.1 e r one foot 9 one
leg , one b '.u'ld 9 0.-10 a r m, on e c:vc, or th e si s)1t of one eye, o, e or n:;or-o
fin1- oi's 11 one or rr.ore toeo, o.nd disloco.tion w'.· cr-0 the ligpMents are
severed, or nay other inj ur y kno'l:m to 01.A:'£ 0ry t o be perrr.cment partial
disability . ·:Em

Sche::dules for t h0 los nco of s evera l f ingers, pa lm, hand, ariiJ, foot~
und e:,+ e 9 or s ight t hereof O n. re t hen set forth v.nd then tho stetute conti21-uos:

For c..ny "otl~o r inj ury'' kno un to our[;e.FJ to bo per:,:enoni partial dis=
a bility ~ t ~e :o rirr:an sha ll rec ei vE: e. sue in t e o.rr.Ou!lt pro po:rt ional
to t h e ext .:-.!'.lt o f rm.ch pcrmS'..nent p:;1. r t i e l d i ::0.bility b~o€d as near uo

may be upen tbe forogoiug schedule .. "
It oe 2Qo to t he uriter of' tbio lc.tter thc.t t 2:o things t-;.re quite appr3.:r=
cn.t~ fro m the last quoted excerpt o.f the statute. To-nit:
0

Fi.rot:

The ''injury" can mean no other injury than the injury recehed by
the vork£ano In the language of the statute, to-uit:
Sustuined in extra-hazardouo e@ploymeni 11 "uhile at 11ork in
or about the premiseo occupicd 9 used or controlled by the

enployer."

Second:

The "injury" so received cannot be conjoined in "permanent partial
disa bility 12 , ..:;ith some physicul defect con[:; enitul in the -:;orkman
or received by him uhen engaged in ''his 0\711 sports end plea.sures"o

To construe the statute in e: n:;r such ,·an!lcr ,:ould be equivalent to mleint tl:ot every emplo:;cr of extr'"'•ta:,, a!'dous labor is un insurer of his cm-ployoes a r;oinst accidento, &lt;7hich is contra ry to tbe very funda.:nentul theory
of ell ~orkmen's Compensation Acts, rmd ~ould probably render every net both
of State and Federal Co•1ern~ento unconstitutional end void us divesting

�QQIT
..:

,I

l-

the employer of bis proporty vithout compensation. Jin ornployeir can con~titut io nully be rr.ad e to insure a n employee u-=-ainst a ccidents occurring
in and upon the employers pr0rai ~eG 9 and in t he employers occupation, just
e;,xa ctly O.G a hct0l keeper or a ctore keeper may b e comp0lled t o inSi.'. re
the se.f et y c f a. [ Uest or v. cust o!:er 1:Jbile in the hotel or store, ,,ut neit her :::rr.~ loyer, or hot el ke -c,_per or store keeper cc.n be compelled t o ins . re
those ·J aO ·•re not o..t tho iimc employees or guests or cutoc ers.
Ho1; he claill:!lnt, nhile in the employment snd upon the prcrni ses of
The L'tli o;;i F cific Cowl CO!:ip3Uy O Wl s " p e 1·.:mr1e11tly pnriia;lly: diso.bled " 7 rmd
uotr..ing r;;ore . 'i.'} ero i s no ot her evi dence before th e Court\) end there io
no othel'" evide ~e in the record o f this cc. s e\) a s · t ~l: en by t e reporter 9
thun tl': e.t of the clui :n2.nto surgeon, iJro R. H. Sanders , n ho both upon
direct u.nd cross o;.:um. nation, st c-.t ed pooiti,rely, c e rt e inl y, ~nd ·.?ithout
quc.li£icc.ticm., thv.t U,e ap plicent Y/Cl S not "per:-·£-r. cr.:t l :1 t ·llt lly disc. led" o
This boin~ t. hc truth, the \,ho le trut h , e nd t1 thing but t he truth, the
Court is ':':ithout ri ght to con sider t h- r i ._lht ar□ 9 YJ iich t he cldrn3nt
testified he lost n hen not in th e e!!lplo y o ;~ ? he Uni on fo.cifi c Co:;;l Co!'.:pany,
but ,:hem ~ na. s out hi.mting , cn:_: ng cd in t i s Oun s port s c.ncl plm.1. s ureso
0

Tl c u riter of tti o leti or i s n t unBindful o f t h~ i'uct that considero.blo ·.-;&gt;uo ~a id to the Court on !\u p 10t 18 ut this hco.riue ~ by Er. G.t? licich und
the s;-;rit m· about "por n:Sl!lcnt t otal d isc.bi . :.ity" . Some o f t h2 r etc.c. rks nros€:l
b0ct.:.uo0 or ol&gt; j ection s t:n c :&lt;. cc. tions. r·ore r ef erence ,r s ,r.ad e t o "poxrr:;.::.ncnt .1- t :.:..l d i a::lbilit y ", nhc the filing of b riefs e nd t he citat ion of
n utl::ori ~i oo i n support o f tl~ o briefs 9 :;o.s ' r.ing d iscussed.
r.f-t c_ .furth er consi deTaticn of --:. ,... t est i r..1 ony and the stc.tutes~ the
vrit0x&gt; of.' t his lotter l:ae cor.1e t o the concluoion the.t it 7.'0 uld te "ultruYi I"e s'' for hlr,1 to discus s , ·ith tee Cour-t 9 a s e.t f irst he hnd thou cht t o
do 9 t.!ly uection mwep1. tho.t ·,;bich -::;·~e c0,id ence -ohovis to be the issue 9 to-oit~
"Perr.:crn.ont pari:fol disability;:
becauoo the evidence s t .. \,s ..:e ncl us.:. vely , 2nd 1.7i thout contridiction 9 t hat
"peri.:-..c.ncut pur-'i:.iul disability" 5..s the onl:: is sue in the case. If there
had been conflictins evidence or ev::.dence lees positive and dired sub
mi tt ed b y t se clo.in;riint 11 l:i ms 0lf II o different situation rn:Lght arise in the
mind of the s- ritero
0

The vrite:r subcits tl',et the only is , ue before the Court is im emard
£or the injury ouf'fer e-&lt;.i b y the s.:~plicant ,,l.i lc oagagcd in extra-hazardous
uork for Tne Union Pacific Coal Co~po.oy, that the injury uas to the fingeYG
and palm of the applicants left hand, is uncontradicted and undisputE:do

The stetuta provides a schedulep the conclusion io for the court, and
the ccurt aloneo
B0i'ore submitting the n;utter 9 \?e feel that i -': ..rould be only foir to

�i$.!1

.,1J
~-✓

,,/

t he C~u:tD to cull e;t t ent i on "iio In Ro Ko proi:,ski 11 (r!y.o:') 46 Pe.c (2nd.)
85° ihilo t ,o nritcr bcms i i.'l Gubmissi on t o t he ruling of the Supreme
Cou?t in th0 Kopirou01d cas8 ~ h e i s fu r .from being' convinced with the logic
and ! ' thoj osgw:ic.m'i
cf
i c do ci oion . If l'oprov s,,,._~f lmd injuries
as sug~ested
•
.
~
11
b Y -~r_, _u.• oor t o hin
okull 11 ? or to his 11 bruin " or to his "spine", v,hich uere
o f n _o. rtiu l JPO!?'i'"•" 1iJ0nt nature 9 the e"i;ntut e·'' in exnress terms reauired the
Court t b ... oe ' ucb i ju!'y O or ouch i ni ur.i"es 0
•
0

t,; / /

f s

€tu·

s n;e.y b

upon tho norogoing oched ule.

not upon o.n ana.rd ( no scbGdulo ut all) fi xc.=:d t her ecftcr1&gt; and dec ling ,;;i th an
euth~el y di ffere,rt rr;attor o 'l'h ere is c e rtc ~.nly no lo gica l rea son u hy an
inj ury to the "skull " ~ to t he "br ui n" or to t he " 02)i n0u , or to a ll of them9could ot c b sed upon t t at which the statute fi xes as t he "forcwoing
ochc~ule 9 " vr.ct hoi' i t be 25'/, or 751-, or 1 25~ O i' 200~ 9 of t he high est fi gure
i n the ochcdulo 0 s vel l as 25~ of an a r;;ount 0 aot ''h0r0tofore" but t h erea fter
montioncd und er an o:atirel y diff erent pa:r-ag:raph .
1i0 n re not sugr_ osti ng to t hin Court by the obo erv,,tion to depart from
a rulins k i d dom1 by the .:upre::uo. Court in the Kopronsld ca se. The ,1:dter
n ill l'. l i,;ni n n r c;uo t hG propo sition 9 if e.r. opportuni iy ever ufforos its elf.

ut !) what th0 i:1rit 0r insists upon i s t ha t t his Court give full f orce
nml effect to the Supre□e Court. n s ru1:'..t1£ in t h e Kopro·,rnki ca.sell 1:1hi ch says:
.,.t7e thi nl~ it d sducibl e fro□ th£ _'languo.ge of section 124-120, supra»
tckou as a uhole 9 tlm t nhen £!. ,10 ·ltr: an su f ers on injury kno,,n to
om'gory a s p0r rr.enent p:ar-tie. l di sabil ity ond ';, hich is not listed in
the s chedule of ihe statut e, e.nd i t i s of s uch a character a s not
t o be proporc.ionally r cf e:r.;;.tle to any i njuries s pecifically named
t herein, the district court is aut horiz€d 9 upon substantial evidence 9
t o do a u 1.'10.s done i n t he ca s e a t ba r 9 ioe. ~ to allocr ~ proportional
uc m.u1t of t he statut or y sun f or a tota l perwflne nt disability anard."
Uor,1 in t he case c.t bar t h e fe.cte a re in ox.act juzta=position to tl:ose
that the Court 9 by the above excerpt authoriz ed in the case then before it.
Respectfully submitted .
THE UNION PACIFIC CO.I\L COL~P_l\l1Y
By (scd) T. S. Ta liaferro, Jr.

Its attorney

TST;vk

�'l _1 ATiENT\ON MR. BAYLESS

r3r. T.

s. Taliafe:rro, Jr. :
I tho.nk yo u vory U i. ch for youi' l otter of April 27th, i1~tl ic ating

that Ju.tl[;O 'i:'idbnl l h"' o deaicd per r;inmnt di o::i.bili'i:,y t o Jllbort I&lt;opronski.

Buck injurio£J cro cooin~ to b0 a. 0odous queotion ,:,i·th all coal
op 0rr:rto?o in thiG fiel d , 2.0 D:ro. LG.uzer and 3D.nciors havo r;one to extremes,

I -think , ::.n di 05no si nJ th ose • 2c.: i n jurio;:; .

I no.s vory cl ad i ndeed to ·

see tl:'.1t Jud~o 'i'idbull hM rulGc.1 o. ' v ors ol y in this case, oci it ulll have
u sor:::o•.,'1~t oo.lutory of _oct.

Ol"\itlnr.l SiP.oed.:

GEORGE B. PRYDE

V

�tHOMAS 5EODON TALIAF'ERRO,JR .
ATTORNEY AND Cc:;&gt;UNSELOR AT LAW

ROCK SPRINGS , WYOMING

April 27th, 19330

Mr. Georg e H. Pryde
City
Dea? Sir:
You will be inter est ed to know that Judge •ridball has
denied permanent ciisability to . Albert Koprowski, employee of
Meg e ~~~ ~_9al Company.
Of course&gt; ii" it should be demonstrated at any time in
the future that Koprowski was actual ly permanently injured
while working for the Megeath L:oa.l Company.s, the Megeath Coal
Company itself will be first to ask the court for reconsideration.

I think this de cision shows great care and judicial
equipoise on t he part of Judge •r idball.
You will recall that the amenclment made by the last
Legislature iimits the unconscionable cost entailed upon the
employer in the Koprov1ski case. 'rhe court .s&gt; under the amendment J&gt; now has control oi" the number of' witnesses that the
Prosecuting .Attorney can subpoena at the cost of the employer.
Yours truly,

i ·

TS'f :ga

�i

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liook SpriDJs - Jc.nut~ 27, 1933

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                <text>Workmans Compensation Megeath Coal Company 1933</text>
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                <text>Letters documenting Workman's Compensation involving the Megeath Coal Company in 1933. Papers are held together by a brass pin.</text>
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                <text>T.S. Taliaferro Jr., George B. Pryde</text>
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                <text>The Union Pacific Coal Co.</text>
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                    <text>r

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I

I
i

oo muc!J urn:oco::rneli:'y t :ccwoL i nJ by comrc.:,,- offico:t'c.i,

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�FOit..'\I 2103

, THE UNRON IPACllFRC COAL
,,,
OFFICE OF

Attorney

Rock Spring s, Wyoming.
December 26th, 1931.

IN REPLY PLEASE REFER TO

NO.

Mr. George B. Pryde
city
Dear Sir,
I inclose you a letter t h at I have written lvlr. w. A. Muir.
This may seem a small t hing , but the reason taxe s are so high is
because we have not watch ed s mall t hi ng s, whi ch through the years
have developed into large t h ing s. The conting ent exp enses of
County orf icers and St a te Ori icers have soared since 1912. We are
paying monthly salar i es to Consta ble s, who have never done one lick
of work in consia er a tion of th eir s al ari es. The Coroner's office is
a needless expense, and t h e work couj_d be a s TTell and better performed by J~stices of t he Peac e .
If the custom should be t hat County and Prosecuting Attorneys
can be pai d. out of public i"unds, i'or making inve stigations, in compensation cases, they woulQ be taking t heir s easonable vacations
f rom t he Atlanti c to t h e Pa ci f ic, inspir ed e§=:::::;:::s,e, in the hope to
establish meritorious claims tor- compensation, Hth e curtailment of
public expens e s sh ould. not be consia eredt1 •
But little consideration is now exercised because the
expens es oi· investigations are saddled onto the employer, and what
public oi'i'icer cares as long as a coal company or an oil company is
chargeable with the expenses?
In a recent case, the County and Prosecuting Attorney of this
county brought an osteopath to Green Riv er, and he was allowed
expert witness fees oi· $10.00 a day, ana. his mileage. This was done
while I was away in Denver, but it seems to make no dii"f erence to .
public oi'i"icials what the expenses are as long as they are chargeable
to private enterprise. The dii'ficulty is not 1·undamentally that
public officers do _not care. I am not charging that. But, the
public o1Ticer is generally nothing more than a man· in the street,
and he cioes not recognize or know t.he awful struggle that the
business man has to make in order to meet his payroll, and to keep
the wheels of industry turning. 'l'ne man in the street, who is out
01· a job, sympathizes with himself,. but put him to v,ork tomorrow,
he would not speed up his own motions, or his own activity a hair's
breadth because in so doing, he could help his employer. It is but
the old classic saying that:
"The hog never looks up to him who thrashes down the acorns 11 •
Yours

i'ST :ga

�_--,--.

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01-IJ!'lnul Sig-nod:

GEOBGE 8. PRYDE

�Uovemb0r 14:th, 1931 ..

I.Jr.. William Redshav,, Superintendent

Megeath Coal Company

Rock Springs, Vlyomi~ig

Dear Sir,
The above is a case that needs solilu e.xplw.1.atio11,o anu I

think

it might be well that· our Omaha oi'ficials should be made f amiliar
with the facts.
'!he ,'. Ol'kman v,2.s unu.oubi:;-e Uy_ ::,uf':fering from lumbago and
arthritis, which caused pa1.n in his back. Ile Vient to Doctor Arbogast
on -the 4th of F~bruary, 19~.;1 i'o1• treatruent., but said nothing to
Doctor Arbogast about being injured in the llline. On the 15th or 16th
of Feb:euary, Arbogast discharged him a s convalesce:nt. This was done
at the 1"'equ0st of the workman, thG ·;,orl~,a.u claiming tho.t he desired to
go to t'Joi-1-i: in an automobile repair shop .
The portion of the mine shere Jche workman was employed was
sllut dow.ci oz., the Gth of Ft';bl'Uary, 1931., and the tmrkman informed that

there was no further viork 1n the mine for him at present.
• Still suffering from arthritis, the y-;or1crnan went to an
ostdopath (E. :a. Sturges), who cla:.i.m~ci an injury· to his hip below the
point that Doctor Al•bogast found affected vrlth lumbago. The osteopath
appears to hu.ve burnE:Jd hilil severely v,i th an electric appliance, and to
have gotten from him,. •as fees, .ull of his money.
It seems that he then went to the Veterans' Hospital at Denver

(fitzsimons), huving been s0nt there by the American Legion, he bei11g

a11 ex-soldier , Upon his 'd ischar·ge from Fi tzoimons, he became a
patient of Doctors Lauze1~ and Sanders oi' Rock Springs. I do not no\'l
recall i',heth\C,1· Doctor LauzBr hatl seen him before h~ ,wnt to F'i tzsimons
Hospital, or not, but it is iilll!laterial.

Doctor Lauzer :reported that he had his back .fractured at or
about th8 twe_lfth dorstl verteb:r:3, and took i:;everaJ. X-ray pictures
of the wol"kman.
The osteopath, Sturges, claimed he uad some injury to his thigh,

or his spine, below the place of fracture, as reported by Doctor Lauzar.

The result VIas that Doctor Arbogast had X-ray nict.u:res tru~en
at the Uyoming General Hospital at Rock Sprir-4gs, and coulu discover no

injury or fracture whatsoever.

�During this time., t~1e 1;orkman had talked to one Dan Pallie.,
uho undertakes to make investigations for the mine workers, and to
advise them in their compensation claims, mid Pallie told the workman

that he had a crac~ed bone in his back,9 which it appears caused the

ir10rkman to consult Doctor Lauzero

The dispute b0tv1e1;m Doctor .Arbogast,9 who could find no injury,

and the os-teop~th., \,ho found a hip brokan., and Docto:r Lauzer., who found

n spine fr~otu r e, and some chips of spine bones ·flonting e..round in the
workman's nnatoray, created a contro~rersy, tjhich caused Mr&lt;? W. A. Muir,

the -County ~.nd Prosecuting .Att orney, without notice, or consult~tion
YJi th tha company, or Vii th tho writ o:r, to bri~ a sul t f m.~ the workman
in -the District Court, a:..u. to have a partial hearing when the writer

v1~s out of the State. At that hearing held on October 15th., 1931,"
Doctor Lauzer stateo. that th e :i.ujury to the workman t'Ya s equivalent to
one half of permanont totcl disability, r.:hich r;ould involve some
(~2500. 00 in an ffVJF.:1?d.

In or•dt:1· i.,o :S."~co:ncilE: this dispute between the doctors, I paid

the expen$eS _of the uorkmnn going to Salt Leke City, where he was
excmined b y five doctors, ~d ne~ X-ray pictures teken, all of which

shor1ed :no f!'a,cture, no injury, c'.nci. the c:octor s who mrnmined him all
J/1:I report
that there ~as, and is no injury, as claimed by Doctor Lauzer,

.

1

I i and the osteopath, Stu:rges.
i

i1.nother he,; tr.i.h g ·;:;J,':").S had before Judge Tidba ll on the 9tp. of

November, ana it ~~pGa~s from the attitude of the County Attorney, and

his ad.visers, v:ihich .include Doctor L2.uzer, th2.t ~- dep~rtur-e is to be
made froti their former position, and that now they are going to claim
that the r-.rthritis r:cs nfired u;:n and broueht ou in its sflvei--ity, by
the v.-orlcrna.n straining his back on the 3rd of February, 1931, i:1hile
rolling D rock out of' the \"!u.Y in the :."'oom in \1hich he was working in the
mine.

There aro many reason why this case must bJcontested to its very

limit; among the chief' res.sons is thct s. p1·ecedent lt.1ill be set if the
employer lays down., introduci11g into our com;::-~nsation system z-esponsibili ty
on our pert for "diseczes", ,,;hich may be ag[;l'avated or ."fired up", as the
doctors call it, beccuse of some pretended mu$cula:r- strain.
You v1ill appreciate how far this riou1d go if the 1.·,orlcmrm, in

dull times, such a~ rre are now having, should be alloF.ed to claim that
every ill that the body has is the result of some :ln~ury.
This also \1ould make a !air field for osteopaths, and chiropractors,.

and other GUack peddlers, to oper~te in.

I received this morning ~n ordar from the Judge of the District

Court, requiring tbe surgeons of tho Fitzsimons Hos,itnl to stcte in a
deposi t1on whe.t they found to be the matter with the ·workman, atter which
I will talce the depositions of the five doctors 1n· Salt Lake c:tty, goin~
both to Denver and to Salt Lal-:::e City for this purpose.

�It is true the ~itness fees for these doctors, and the expenses
of tc;Jdng these dcpositi.on s , together vdth expenses already paid by me,

~111 ~mount to several hundred dollars, but it · is one of these cases
that must ·be cl0r-..n0d up, or un.les8 it is cleaned up, will grow into a
real caucer, for vihich the:-ce will probably be no healing.
That this case should be defended to its full conclusion, is
to themt€rest of every employ0r of labor in the State of Tiyoming.

The 'ti1·iter f0cls t11~t t he si tuation should be mD:cle kr.ow11 to our
Oma...'1.a o_f ficitil. s as tho fa.ctn :.ctnally cxi s·t.

Your~ t.ruly,

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                  <text>This collection is made possible in part by a generous grant from Wyoming Humanities. All materials are the property of Union Pacific Coal Company, on long-term loan at Western Wyoming Community College. For usage inquiries, contact the &lt;a href="https://www.uprrmuseum.org"&gt;Union Pacific Museum&lt;/a&gt;</text>
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                <text>T.S. Taliaferro, George B. Pryde, Eugene McAuliffe, </text>
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                <text>1-0202</text>
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                <text>The Union Pacific Coal Co.</text>
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                    <text>THE UPC OOMPANY li'ILE NO. 184

f

I

AGREill.1EUT

between

\

.

T!ll•; STEARNS..:iWGER .MANUFACTURING co. '
and
Dr. E.

s. "'La.u zer

Also AGRr~r:1\f~!rJT

bet ween
TB:E ST~1UUJS- ROGER ?w\l'l1ff'AC:L'URING CO.

---~-- - - and

p

T, S, Taliaferro, Jr.

l
t

'\

Ir ~

j

BOTH REL.4TDTE TO HANDL ING ACCIDENT chsES
O~CURUJG IN CONNECTION WITH ,
•
C O'NSTRUOTION
.fl!
EXTENSION TO POWER ~ . J .
!10~_S.f_R_INGS

�ijo ck Springe - May 9, 1936

-~- . Euzene

: ..:J.ul.i ffe:

ilic .&gt;teai-ns-Roger people o.re co?.!l.plying v71 th t;tie

contract . ith Dr . Lauzer ,
for hi.;. services .

ayinG the s ti ulated amount montbly

�COPY

Mar • 2? , 19 36 •

CLERK OF THE DISTRICT COURT,

Green River, Wy oming.

Dear Sir:Should any State Compensation matters
arise, after we have completed the work which we
are doing for The Union Pacific Coal Company, at
Rock Springs, Wyoming, - we would appreciate it
if you would refer such ma t t ers to
MR. T. S . TALIAFERRO, Jr., a t Rock Springs.
Very truly y ours,
THE STEARNS ROGER ?i1FG . CO.,

By

H.C . MOREY : AH
CC - MGB

Assistant Treasurer

�Rock Springs - March 23rd, 1936.

Mr. George B. Pryde:
Herewith copy of letter received from Mr. Morey,
with reference to the matter of Mr. Taliaferro acting as
our agent.

Herewith, also, copy of letter written to the

State Treasurer on this subjeot.

~0/~,~~
A. M. &lt;l .
MAR 24: 1936

�C OP Y

THE STEARNS-ROGER MFG. CO.
Interoffice Correspondence

March 21, 1936.

Mr. F. T. Lacy,
The Stearns Roger Mfg. Co.,
Park Hotel, Rook Springs, Wy o.
Dear Sir:
We are writing the State T-reasurer xegatding using
Taliaferro as our Agent after we leave the job. This is the
understanding we had with Mr. MoAuliffe and we see no reason
why there should be any other arrangement at this time.
We are returning copies of paP3rs in regard to this,

and keeping the originals for our files.

Yours truly,
( H. c. Morey)
HOM: JC

Enolos.

�COP Y

M.aroh 21, 1936 •

State of Wyoming,
Treasurer's Office,
Cheyenne, Wyoming
Gentlemen:
We have a contract for the Union Paci.fii. c
Coal Company at Rock Springs, Wyoming," and while we
have no accident cases at present, should aIW develop
which would drag on after we leave Rook Springs, we
would appreciate it if you would consider Mr. T~ s.
Taliaferro, Jr. as our agent of record at Rock Springs
for compensation oases.
Very truly yours,
THE STEARNS ROGER MFG. CO.
HCM: JC
H. C.

MOREY

CC: FT Laoy

A. M. 0,
MAR 2t 1936

�Ro ck Springs - Ltarch 20, 1936
'

I

]

/' .
Mr . Eugene McAuli :ff'e:
Referring to yours of liarch 1_3 th, 434-2:

Here,d th copy of letter from Mr . Taliaferro to Hr.
Ilorey i o :f the Stearns-Roger llenuf'ac.tur~ng Company, on the

subject.

A. M. 0.
MAR 21 ·1935

�RE CEI VED
MAR~ 0 1936
GENERAL MANAGER

Ua . ch U), 19.:i6

?be St earns- R er uanufacturing lA&gt; .
Venvc::r,
L;Olo :rado .

Gon:tl 0:.1 en:

Your l ott~r of . larch 16 has b een recei VE::d.
I sh· l be

-

l ad to attend f o r any
uatt~r
. •

1ntlico.ts:cl in your l etter ana. in the corl espondence whi ch
I have received froco Cr. l!:ugene t! cAulif

I

President, and

!lr. Geor· e B. Pry&lt;le, V1ce-Pr~s1&lt;..ont., Tho Union r-ac1fi c
l,;o al

l

lj():: p any .

Yours truly,

A. M. 0.
MAR 21· Ht36

�Ro ch: Springe - !Jaroh l 'l , 1936

Mr • ll . G. Br enna.11 :
I hand you hereiii th two signed oo:pic a of ugr ccm.ent
be~ween your Co1n1-1ar

ruid Dr .

:m. s. Lauzer, cover n

medical

care of your e.m.ployes .
I . a.i also attachi ng oovY or letter from ~r . hlcAuliffe
to me regar in,; 11:" . Ta1in:fcrro 'r; looking after your accident
caoes, tot;;ether with cop

of my letter to ::ir . Tal:i.afer:ro .

I would suggest that , V1hen you have an oppo rtuni cysome time, you. call upon !Ir . Tc1.lia.ferro and ciis.}ues this matter
with him , but there i e no q ueotion re arding his acting ~s lir .

]1cAuli ffe di aoussed this with Ur . 'i'a.liaferro \ilen he was here

l aet

eek.

However, I think it woul d ba well for you to at

least contact :.:_. Taliaf'erro, so that , 111 the event any accident occur s , you

111 feel :f'ree to call upon him as indicated

by Ur . llo ulirfe's letter.
I pr,eau::ne that you have already G1 ven the State
Treasurer notification that you c.re working u der the Compen ua~ion Law.
OrlKinal ~l!."nl'W\ :

J

GEORGE B. PRYDl

'\

\
\

A, M.u.
MAR' 1~ 1936

�Rock Sprillge - lAarmi 17 . 1936

Ur. T. s. Taliaf'orro, J'r.:

nueui th copy o t letter from llr. McAUli fte regarding
your acting as the Joint agent of the Coal Com11nny nnd the

Dtearn Bo ,- _ ·: _: acturina Company in eonncction w1 th any coml)anoatiou 'enees that may cone up in the oonotruation of the ad•
uition to our vo er AJlent.

A;lso attached 1a copy of at;reement

between the Dteo.m 11-ri.0t;er Com,1&gt;nny nucl Dr. Le.uzel" .

As tu-.

MCAulitte advised you, the ~tee.rne-Roser lJOOPle \'Jill re1:iort·

_,.

thei:- o~n aooidenta. but wo will have to pf4Y the comp.enaation~

Orlginr.l ~lvnl'd:

GEORl..it b. PRYDl

�.

Ro ck Springs - March 17 , . 19 36

.,

.:Ir • •Eugene llo.Auli ff e:

You~ s o! ilarch 13th, 434-2:
1he ag;reement he.a been· aigned QY D.r. Lauzer, and the

.

m.c.tte:r taken Uj,l witb.llr . Tali

erro as indicate~ in your letter,

'21: . Talia!' rrois being furnished with a copy of the agreement .

Oriiclni.l !i I&gt;; ur.e:

GEORGE B, PRYOl
,...

I .t
.,I

I

A. M. 0.
MAR 18 1936

�Omaha, March 13,

I

I

· Mr. G. B. Pryde:
Nil'. Taliaferro

I

is entirely a~eeable to looking afte

the Stearns Roger Company•s accident cases insofar as hisservices may be required under his general arrangement with The
Union Pacific Coal Compa...11.y.

As soon as Dr. La.u.zer•s contract

is signed, please advise Mr. Taliaferro that Stearns-Rogers and
our company desire him to act as ov~ representative, and if any
advice is to be given the state Treasurer, have Stearns Roger
arrange for that also.

-

)i

�THE STE.ARNS-ROGER M.ANlJFAC'lUBING CO.

Established 1885
.
Engineers, Contractors &amp; Manufacturers
Denver
At Rock Springs, Wyoming
:March 11, 1936
Dr. E. s. Lauzer
Elks Building
Ro ck Springs, Wyoming
Dear Sir:
Confirming our verbal agreement date, tlli s 1 etter will
serve as a contract covering the surgical care only of the men
employed in extra-hazardous occupations as defined by the Workmen's
Compensation Law of the State of Wyoming, and receiving injuries
wbil e in our employ and working in connection with the extension
of the Ro ck Springs Power Plant, the property of The Union Facif ic
Coal Company, located at Rock Springs, Wyoming.
Certain items shall be covered by this agreement as follows:
1. Agreement to take effect as of March l, 1936, and
continuing until July 31, 1936, and thereafter, commencing August
1, 1936, and continuing until the work is completed. Estimated
date of completion and testing, AUgust 15, 1936.

2. The agreement will cover surgical care either on the
premises of The Union Pacific Coal Company or in the Doctor's office,
and includes necessary drugs, medicines, bandages, etc., used either
on The Union Pacific Coal Company's premises or in the Doctor's
o ffioe.
3. In the event that an employe, or employee, are inJured to such an extent as to require hospitalization, the responsibility of the Doctor will extend only to medical and surgical care
while in the hospital.; all other hoapi tal expenses, including
medicines, bandages, appliances, etc., will be absorbed by this

Company.

4. This Company will aubmi t to the Doctor immediately
a list with the names of all employee entitled to surgical care,
and will, through subsequent lists furnished the Doctor semi-monthly,
show all additions and subtractions of names of employee set forth
on the initial list.
5. For medical services rendered by Dr. E. S. Lauzer under
the pn&gt;visions of the foregoing paragraphs Nos. 1 to 4, inclusive,

�2

-

this Company will pay to Dr. E. s. Lauzer the sum of $1.00 per
month for each employe engaged in the construction of the extension
to the Power Plant firet referred to, such payments to be baaed on
the total number of men em;ployed during the month, whether for
one or mo re days during the month. In the event that the number
of employee' names returned to said Dr. Lauzer do es not equal or
exceed forty during each of the mon tha March to August, incluai.ve,
19 36, a minimum payment of. $40 .00 will be paid for each of said
months.
6. The compensation paid by this Company to Dr. E. S.
Lauzer shall be considered as :payment in full for the services
rendered, and no additional bills will be rendered by said Dr.
Lauzer either again st this Company, The Union Pacific Coal Company,
or the Workmen's Compensation Fund of the State of Vlyoming for
the men employed by thi.s Compacy during the period covered by
this agreement .
THE STE:.ARNS-ROGER M.AlmFACTURING CO.

By

( sgd)

H. C. Morey

Secy.
I

Accepted thi a _1__6_t__h___ day of March, 1936.

Dr. E. s. Lauzer.
Dr. E. s. Lauzer.

Csgd)

COPY

.1

�Rook Springe - March 12, 1936

Yr . I . N. Bayl ess :
I hand you herewith four copies oi' letter ag:reement
between the Stea.me-Roger Manufacturing Company and Dr . E .___§_.
Lauzer, ooTering med!ca.1. caz·e of employee on· the new power
l an t addition.

Will you please arr&amp;nga for the execution of this
agreement by Dr . Lauzer , filling in the date of acceptance,
leaving one copy with Dr . Le.u~ r , retaining one copy for your
oun f ile a , and returning the o tb.er two oop1 es to me for furtb.81;'
handling .

,/

Ol-l g1nal ~ll!"!!N':

GEORG£ B, PRYOl

J
A. M. 0.
MAR 13 1936

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                  <text>This collection is made possible in part by a generous grant from Wyoming Humanities. All materials are the property of Union Pacific Coal Company, on long-term loan at Western Wyoming Community College. For usage inquiries, contact the &lt;a href="https://www.uprrmuseum.org"&gt;Union Pacific Museum&lt;/a&gt;</text>
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                <text>March 11th 1936</text>
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                <text>Agreement, The Sterns-Roger Manufacturing Co., March, 1936</text>
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                <text>T.S. Taliaferro, George B. Pryde, F.T. Lacy, H.C. Morey, Eugene McAgliffe, Dr. E.S. Lauzer</text>
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                <text>The Union Pacific Coal Co.</text>
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                    <text>Special File No. 184

WORKMEN'S COMPENSATICtf

Individual cases involving -

Rook Springs Electric Qgmpany

~loyee - Malcolm T. JohDaton

1936

�,
• Rock Springs Miner
Nov. 27, 1936

•/

( ~

Court Uph~lds Prior:::;.
Compensation Award
To Mac T. Johnston

#

- t-- ~ . _ 4

-

-;--1_ _ _"""-"'o.:

The district court has affirmed the l
prl-or award of $7-50 compensation
to Malcolm T. Johnston of Rock I
Springs. The decision was announced ,
by Judge V. J. Tidball early this
week.
The district court formerly order- '
ed the state treasurer to pay Johnton ·compensation for injuries in- '
curred to his f.o ot while In the employ of the Rock Springs Electric. J.
Kirk ·B aldwin, state treasurer, contested the payment and petitioned
the court to reopen the case which
Judge Tidball did. Baldwin contested the case on its constitutionality.
In compliance with the decision
of the district court, Johnston has
received the amount of the reward.
Ienn G. Stanton represented Johnson.
- - ___ ___ __ --·~·:::~~
~

-

...

~

/

�I

Rocle Springs I;ti.rier

6-19-36

Briefs Required In

1
•

~~!?i~e!s,~~i~?i,9~s!
I
! A

Johnston compensation case was
- -· heardin district court at Green River yesterday. Lawyers for Johnsto~
and the compensatiqn department -0f,
the ,state that is fighting the case after the court- previously awarded the'
compensation presented arguments
with the result that Judge V. J. Tid'ball ordered both sides to present'
written briefs.
Johnston was awarded $750 for
• injuries he incurred while in the employ -0f the Rock Springs Electric.
The compensation was allowed after
three Rock !Springs doctors made a
second e.xamination of Johnston and
reported that his Injuries justified
I the claim.
J. Kirk Baldwin, state treasurer,
Is attempting to have the section of
the state compensation law under
which the claim was made declared
unconstitutional.

�Rock Springs Rocket
Julle 10,
0

I

I

1936

ohns @m1 w~rr~·
for Co I{De
to

r

~ftn@fill

eRehear~ @@fill
.----

Treasurer's Office Tells
Reasons for Making
Protests
"It is the duty of the Workmen's Compensation Department
to protect the interest of the fund"
Is the comment made by J . Kirk
Bald,vin, state· tr'~asurer, in support of the department's reopening of the case of Malcolm T.
Johnston of this city.
.
Johnston was on Feb. 21, 1936,
granted an order of award of $750
for permanent partial disability
covering an injury sustained on
the 15th day of July, 1931, while
in the employ of the Roel~' Springs
Electric company. The compensation department, under the direction of P . J. Coady, manager, has
filed an appeal in the district
court at Green River in an effort
to set aside the order of award on
the grounds that ''The Rock
Springs Electric company is no
longer in existence and, of course,
has no interest in the Workmen's
Compensation Fund when . Johncconunued on pai;e !our)

Workmen's Compensation fund
an~ the State Workmen's Compens~t1on Department was not notified of the hearing, we felt it the
further duty of this department
as custodian of the fund to mak~
a full investigation of the case 1
~eri:fore, felt it the duty and ~bllgatio~ of the Workmen's Compensation Department to appeal
the order of award passed by the
court.
.
"I would, therefore, say that a.f.
tel: a complete investigation of
this case that r do not question •
the n~atter of disability. However
I ~o feel there is a very important
point of law involved, concerning
the amount of time an injured employe has to make final claim in
case of injury.
•
"I feel that in view of it being
ah_nos t five years from the time
th1s emp~oye was injured until he
I
·· - - v - • made claim _fo_r permanent partial
-JOHNSTON A W A R D
award that 1t 1s questionable as to .
~he!her or not his present disabilcconunued rrom pni;e one&gt;
1ty IS the result of a direct outston made his final claim for tern- growth of the injury sustained on
porary total disability on Oct. 23 July 15, 1931. In having this case
1931."
' :eopened and set down for rehearIn defense of the department's mg by the court, which has been
action requesting that the order granted, I feel that we can have
, of award be set aside, Coady of- th e question of law involved
, fers the followinO':
cleared up in an equitable manner
"On Feb. 24, 1936, this depart- bo~ to the injured workman's
ment received the $750 order of claim and to the industrial acciaward in favor of Johnston and' _ent fund."
.
upon referring to the Workmen's _The case has been set by Judge
Compensation file in the case we Tidball for rehearing during the
found that Johnston had made his week of June 18.
final claims for temporary total
- - - - ~ -- -- d~bility on Oct. 23, 1931. The
claim at that time stated that the
workman had fully recovered.
Naturally, we thought it a case
that warranted our full investigation and finding the above related
facts and particularly keeping in
mind that in October, 1931, the
claim recited that he had fully recovered and then approximately
five years after Ip.a.king further
claims that he was permanently
p_artially disabled and compensation award claimed to the amount
of $750.
"It was also determined that
when the district court had a
hearing on the case on the 21st
day of February, 1936, that the
employer, the Rock Springs Electric company, had ceased to do
business and had no particular interest in the claims and particularly no financial interest in the

�Ro ck Springe Miner
Jtme 5,

1936

l

.(

I

Compensation Case
Of Mac Johnston Is
Set JFor Re-Hearing,
.,

1

_..i,....:_

There will ~e a rehearing of the
Malcolm T. Johnston compensation
case Thursday, 'June 18, ·before Judge
V. J. Tidball in Green River. 'S:tate
Treasurer J. Kirk Baldwin, who is
contesting the case, petitioned the
court for tlie rehearing.
Judge Tidball heard the first arguments in the case in April w•h en he
took th·..!m under advisement. It ls
understood that attorneys for J,ohnston will introduce additional evidence at the rehearing, which is regarded as favorable to his contentions.
Johnston was awarded $750, compensation in district court in Februs
ary for Injuries incurred In 1931
while in the em1&gt;loy of the Rock
•Springs Electric.
Baldwin, custodian of compensation funds by vll-tue of his state of.flee. failed to comply with the court's
',)rder and Instead asked the ·d istrict
•court to reopen the case. This was
done after three Rock Springs p-hysiclans, Doctors Lauzer, Chambers and
McCrann, at the request of Baldwin,
rirexamined Johnston and reported
that "he (J•o hnston) Is entitled to a
permanent partial d,isa'bi!ity of 50
percent of the loss of the leg below
the knee."
:Baldwin is attempttng to prove
that the ,s ection of the state's com:.
pensation -laws which entitles John- '
ston to -the award is unconstitu- .
tionail. This particular • section was
pa,s sed by the last legislature and i
was considered by the 193,5 leglsla-,
tors as especially beneficial t!o Wyo-·
m,lng workm·en.

'--I)
i)

�Rock Springe M;iner

4-24-36

State Treasurer
:···eontests Legality
Of Compensation
Arter tihe ,c~~sa~ion cl.epartment of Wyoming was- successful in
reope_n!ng the compensation case of
_M~ lcolm T. Johnston, of Rock ,
Springs, attorneys for both the state .
and J•o hnston appeared before Judge
V. J. Tidiball in dstirict C0u\rt a.t
Green River Wednesday to argue th'e
case. Judge Tidball took the case
under adv:isement.
A compensation1 award of $750
was granted Johnston !n district
-court !Feb. 25, 1936, and the state
.ordered to pay him for injuries incurred in 1931 while In the employ
of the Rock Springs Electric.
Instead of complying w:ith the
court's order J . Kirk Baldwin, state
treasurer wlio by virtue of his office,
is In C'harge of compensation funds,
filed a petition in dh1trlct court to
re-open the case on grounds .tha,t section 124-113 of the Wyoming Compensation law is unconstitu,tionnl.
This · particular section was passed
by the last legislature a.ncl was considered by, the 1935 legislators as
important i lld b~nefl&lt;'al;to w::omiug
workmen.
•
While legality of the entire sec- ,
tion is to be t ested the following ,
portion pa1•ticularly is ,to come to th·e.·
attention of the judiciary of Wyo-ming:
..,.
"Where an award of compensa-·
tion has been made in favor of ~
Injured employe, an application
may ·be made to the court by either ,p arty any time after one year
from -da,te of award, for a modification of the amount of the award
on groun,d of Increase or decrease
ot Incapacity due solely to the injury or- upon the ground of m1stake or fraud.''
Arter the compensation department was successful In reopening the
ca.se It commissioned three Rock
Springs- doctors, Dr. E. S. Lauzer, I
Dr. Oliver Cliambers and Dr. P. M . .
McCrann, to make a. thorough ex- I
aminatlon! of Johnston's injuries and ·
report their findings to the department. Their report was:
"We feel that as a. result of the
injury received :Jie (Johnston) is en•t ltled to a permanent partial •df.s,.
abillty of fifty percent of the loss
of the leg below th'e knee." The
doctors designated Johnston',s injury
as a. Po_tt.s fracture 01 th~ right an~le.
1

•

1

Baldwin contends that:
.
1 The court was wi.thout jurisdiction and lbases claim of la&lt;:.k of
j i diction on the following.
ur(!) Section •. 124-113, Session
Laws of Wyoming, 1936, 1s unco:; .
stltutional in that the title to 1~0
a mended Act, .to-wit, ,chapter
•
Lo/ in-c omplete and makes no reference to amended Section 124-130,
'Wyoming Revised 1Statutes, 1931,
"'i h in effect ' said amendment
Wiu C ,
attempts to amend.
.
('b) The amendment 1n ques- '
tton ·which undertakes -to remove
the statute limitations on opening
up awi rds is not retroactive and
only applies to accidents happening subsequent to the passage of
sa'id amendment of 1936.
(c) Because the court did not
'X'equire any showdng on the part of
the em&lt;ployee of diUgence :before
,consentlng·fo open up the orlgina\
award.
·:·
•
·2. iBecause ,t he evidence fails to
show that the present alleged ag.g regate inj~ry was due to the accident.
1
WHEREFORE, petitioner prays
that the said awards may 'be stay- :
ed and that the matter 1be •set \
do~ for hearing upon due notice i
to the employer a.nd employee._ /j
£

·-.

- --

�Rock Sp.r.i.iJ

4-23-36 gs RocJcet

- v - - - - - -- -

J udge Considers
Motion to S'et Aside
~ohn~ton Award
A motion made in district court
yesterday to set aside an award 1
previously issued by the court in 1
the compensation case of Malcolm 1
T. Johnston, former employe of
the Rock Springs Electric company, was taken under advisement
by Judge V. J. Tidball.
Assistant
Attorney
General
Snow represented the state while ,
Glenn Stanton, Rock Springs attorney, represented the plaintiff.
During court yesterday a divorce was granted Zelda Roundy
from Ivor S. Roundy on the
grounds of non-support.

�I

/,

(
Rock springs Miner
!-'arch 27,

I

\ \; /

1936 •
Rehearing of Johnston
Compensation Case Is i
Set for A p r ii 2 2:
The compensation case of Malcolm T. Johnston was set for hearing ,
April 22 in district court by Judge•
V. J. Tidball, in a one-day session of
court held Thursday.
Johnston was previously awarded ·
permanent partially disability in district court and given an award of
$750 for injuries incurred while in
the employ of the Rock Springs
Electric.
The casl:l was considered settled
until J. Kirk Baldwin, state treasurer, objected to the ?,,S fijtd ··a nd called
for a rehearinR,.,~y.'l!'·
.

~

--

- -

--

/

I

-

\

l

�_h;_·(, r

----o---t~_,.. ,

Ro ck Springs Rocket

~~arch 24, 1936,

' Compensation to
Springs Man is •

Fought by State
The state compensation department is appealing an award recently allowed by the district
court to Malcolm Johnston for
permanent-· or ·pa.rttar-a!sabillty
suffered by Johnston while an etnploye of the Rock Springs Electric
company and is disputing the
award made to Dr. B. V. McDermott and Elizabeth Wendt in the
hearing.
The department objects to . the
claim previously filed by Johnston
approximately four years after the
injury. The state claims that the
court did not require any showing
on the part of the employe of diligence before consenting to open
up the original award.
.
The .c ompensation department
also claims that the evidence failed
to show that the present .alleged
aggravated injury was due to the •
accident.
The state · has asked that the
matter be set down for hearing at
the earliest possible ·.convenience
of the court.
•.
Johnston was awarded $750 by
the district court on Feb. 21. The
sum was based on 50 per cent of
the amount awarded for the loss
of a leg . below the knee.

�T. s. Taliafex&gt;ro, Jr.:
Thank you fo::r the copy of your letter to Mr. Balduin

of ~ebruary 26th.
I he.d noticed this compensation award by the papers,

and i JG is certainly strange that this boy has not :presented· llis
cla:lra in the five yearo he has been di.sabled.

/
I

/
_I

Orl " h • 1 &lt;' 1- , ~ :

GEUt1 uL o, fRY DE

A. M. 0 .
FEB 281936

�f&lt;ECEIVED
FEB 2 n1936
_ _g,NE"RJI.L r.MNAGER

:: -~coll:1 T. J o.1neon o :t· 1:o c1.: ) r:..11t~s ,;.;a"°' by t,;; c ~Oil!";;,
~r.-._:...·d,;a \,·l:.:o . oo ~ .i' ;,,W t.:.~,:.~ " ~zo on [; CCOtm t o f an i nj :i.r~· clr ir.1et1
b.,r hi •,1 i:.o : ~t\V b een r . . . c .,.: iv don July l &amp;, l v::.,1., t:fhlle i n th6
~;:i::,107 o :."' th.0 P.oc!\'. t.prings l.'.lectri c Co., a m:-m by t h ~ n a:n e of
J. t;. Eolt b eing i. t '· f)ro_,_ riotor.

::: ~;ow: -_r 1, ;_ yo 1 ~-.-_11 i11f or~1 : r_ i ,. :·.; alcoL:1 1-'. • Jo r.: .' 1son r . ~\Z
co:ud. :,•i~E.~·ny re)r .;~et?ted : or e~~tl''&lt;?.-h,3. ,;,-=:.atl ouz lunor upon th~ {JD:Y roll •· oi' : .:; .tLOc.~ iJ~·-: 'inc;::; ncct1•1c.; t;o. ·uri1.1..., t :~e year :.: 19..:1 c.ud ·
1.:;:_ .-:,, :...n..i I i;1s.1 you v:-o l d. l c:t ::w ..~o r. thG s t :a.tc;i of t h•.: . r..,,cccunt
o.::· -'-~ 1i S CO.JL:,.._~;;--J "

It z .: i:·;.1:~ :. l r.10...:t ·:.' &lt;- s~1.113 s"·rai.1._; e the-tt f or .1 0:i.'e than .t'i ve
y,_,firs t hi ~ _llcJ ·:, c; £.&gt; i;l.":J w."&gt;1.e..'1 t )urti a l ·,i sabili ty h9.s no t been
cl.::.dr2cd.

.: .

You.
tru1·.r
.. . "S
.,, !)
'
., r

'J

'·

_.,. . . . :. ;•
,.,.

i~t t Ol"r.! CY:,
OpE:!\,1 tor.::

... ~ ' ~

/. i ,:

~outhc-m tyod..:.:n~: »a1
As soci ·tt i on •

•
A. M. O.
FEB 261936

...

f

�'HE ROCK SPRINQS ROCKET, ROCK SPRINGS, WYOMING

SATURDAY, FEBRUARY 22, 1936

~-------------- -----Johnston Given
Compensation by
•
District Court
Malcolm T. Johnston of Rock
Springs, former employe of the
Rock Springs Electric company,
was awarded compensation. for injuries to his ankle equal to 50 per
cent of the loss of a leg below the
knee, in district court at Green
River yesterday by Judge V. J.
Tidball.
Johnston was injured July 15,
1931, while taking down an electric sign in Green River. A rod
holding the sign broke, causing
Johnston to fall to the sidewalk
breaking his right leg above the
ankle.
Compensation had been paid the
workman for temporary total dis- I
ability up to Sept. 10, 1931. Later I
his ankle became stiff as the re- 1
suit of the injury, causing a per- '
manent disability.
'
While there was no dispute on
the part of the company as to
• Johnston's claim for compensation,
it was necessary for the court to
determine whether he was now entitled to compensation under the
law, which does not provide directly for such cases.

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                  <text>This collection is made possible in part by a generous grant from Wyoming Humanities. All materials are the property of Union Pacific Coal Company, on long-term loan at Western Wyoming Community College. For usage inquiries, contact the &lt;a href="https://www.uprrmuseum.org"&gt;Union Pacific Museum&lt;/a&gt;</text>
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                <text>T.S. Taliaferro. Jr.</text>
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                <text>The Union Pacific Coal Co.</text>
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                    <text>Q,uestions and Answers
on

Deposit Insurance

The
Federal Deposit Insurance
Corporation

Circular No. I

August 1934

�FOREWORD
Since Federal deposit insurance became effective on January x, 1934, a great many questions
have been asked concerning what the FEDERAL
DEPOSIT INSURANCE CORPORATION is and what it
does. In the following pages these questions have
been answered in the light of the law under which
the insurance is afforded.
It is hoped that this pamphlet will give depositors, in particular, and the general public as
well, a clearer idea of what deposit insurance is
doing for them. In actual results the plan has been
eminently satisfactory. For example, insured deposits of four banks which have been closed since
the Corporation went into operation were being
paid on August I. It was estimated that 99 percent of their depositors would be paid in full.
The depositors of closed insured banks are assured of immediate payment. In the four suspensions cited above the Corporation has begun paying
depositors within ten days of the appointment of
a receiver.

Page2

�THE CORPORATION
1.

Q What is the FEDERAL DEPOSIT INSURANCE

CORPORATION and how was it established?

A. It is a Corporation created for the purpose of
insuring bank deposits. It was established by an
act of Congress approved June 16, 1933.
2. Q Who controls the Corporation?
A. A board of directors of three members. Two
are appointed by the President by and with the advice and consent of the Senate. The other member
is the Comptroller of the Currency, who serves ex
officio. Not more than two directors can be from
the same political party.

3. Q. Where are the offices of the Insurance Corporation?
A. The main office is in Washington, D.C., and
there are 15 district offices situated in various sections of the country. (A list of these district
offices, with the territories they serve, is to be
found on p. 10.)
THE INSURANCE

4. Q. What is deposit insurance?
A. The protection of depositors against loss of •
their deposits in the event of bank failure. At the
present time the maximum amount insured for
each depositor is $5,000.
5. Q. When did the FEDERAL DEPOSIT INSURANCE
CORPORATION begin insuring deposits?

A. January 1, 1934.
THE FUND
6. Q. What is the Temporary Federal Deposit Insurance Fund?
A. A fund created by payments from insured
banks.

Page3

�~

7. Q. How long will the temporary phase of deposit
insurance continue?
A. By act of Congress itis to continueuntilJuly 1,
193

5, when it will be replaced by the permanent plan.

8. Q . Is the FEDERAL DEPOSIT INSURANCE CORPORATION a permanent organization?

A. Yes.
g. Q. What is the source of the moneys of the Insurance
Corporation?
A. They come from three sources: A subscription
from the Treasury of the United States of $150,ooo,ooo, a subscription from the Federal Reserve
banks of about $140,000,000, and payments by
insured banks.
10. Q. How large is the Fund and how are its moneys
invested?
A. At the present time it amounts to $320,000,000 and is being held in cash or invested in United
States Government securities. The Corporation
may also issue its bonds to the Reconstruction
Finance Corporation to the amount of another
$250,000,000, although this has not been done as
yet.
ELIGIBLE BANKS

I I.

Q. Do all banks have deposit insurance?

A. All banks which are members of the Federal
Reserve System (which includes all national banks
in the United States and some State banks) were
required by law to join the Temporary Federal
Deposit Insurance Fund. State banks not members of the Federal Reserve System were free to
apply for insurance or not as they chose. The
great majority of them are now insured.

Q. How are insured banks to be distinguished?
A. After October 1, 1934, insured banks will
12.

carry the insignia of the F.D.l.C. at their receiving
windows. (A reproduction ofit is to be found on
p. I 1.) Further, they ha.,ve been supplied with a
certificate of membership which they will be glad
to show you.

Page4

�'

I 3.

Q. How many banks are members ef the fund?

A. On August 1, 1934, there were 14,054 of the
nation's banks in the fund. Of these, 963 were
State member banks of the Federal Reserve System, 5,438 were national banks, and 7,653 were
State nonmember banks.
14. Q. Can mutual savings banks become insured by
the Corporation?
A. Yes. The benefits of deposit insurance are
available to mutual savings banks.
15. Q. Can savings banks become members ef the
Temporary Federal Deposit Insurance Fund?
A. Yes; together with all banks doing a deposit
business they are free to apply for insurance.

16. Q. Among insured banks, wlzy has interest on
demand deposits been prohibited and a maximum interest
rate set for time and savings deposits?
A. Under the Banking Act of 1933, banks which
are members of the Federal Reserve System are
prohibited from paying any interest on demand
deposits and it is made the duty of the Federal Reserve Board to adopt regulations prescribing the
maximum rates of interest to be paid on time and
savings deposits. To carry out this policy and in
the interest of sound banking the Federal Reserve
Board set the maximum rate of interest at 3 percent
on time and savings deposits. The member banks
to which this regulations applied were required to
insure their deposits. Other banks were permitted
to insure their deposits upon voluntary application.
Congress declared that all banks should enjoy
equally the benefits of insurance. In order to
secure such equal enjoyment it was necessary for
the FEDERAL DEPOSIT INSURANCE CORPORATION,
by regulation, to prevent the banks which were not
members of the Federal Reserve System from paying any interest on demand deposits and from paying a higher rate of interest on time and savings
deposits than could be paid under the lawful regulations of the Federal Reserve Board. An important

Page5

�~

attribute of sound banking has thus been extended
to all insured banks.
CLOSED BANKS
17. Q. Wizen a bank is closed through inability to pay
its depositors, does the Insurance Corporation make the
insured portion of deposits immediate?J available?
A. Yes. Just as soon as a receiver or liquidator
has been put in charge the Insurance Corporation
proceeds to make the insured deposits available to
the depositors.
18. Q. What is the method for making available to
the depositors the insured amount of their deposits?
A. A new national bank is immediately set up
by the F.D.I.C. to pay the insured deposits of the
closed bank.
19. Q. Does the new national bank set up by the
F.D.1.C. pay interest on the insured accounts of the
closed institution?
A. No. Interest is not paid on the insured accounts of closed institutions.
20. Q. What happens to a closed bank after tlze Corporation has taken over the insured deposit liability?
A. A closed bank is placed in liquidation. If it
be a national bank the Comptroller of the Currency
appoints the Corporation as receiver. If it be a
State bank the Corporation may or may not be
appointed receiver, depending upon whether the
State law authorizes such appointment and upon
the discretion of the appointing power. To facilitate liquidation the Corporation may purch~e the
assets of the closed bank if it be a member of the
Federal Reserve System.
2 1. Q. Does the Corporation pay the insured deposits
regardless of the reason for failure of a closed bank?
A. Yes. The purpose of deposit insurance is to
prevent loss to depositors and hence the reason for
failure does not influence the Corporation's liability.

Page6

!

�DEPOSITS INSURED
22. Q. What is meant by the phrase "owner of a
claim arising out of a deposit liability" of a closed bank?
A. Any person holding evidence of a bank's
deposit obligation to him or evidence of some
debt arising from the bank's deposit obligations
is considered the owner of a claim against the
deposit liabilities of a closed bank.
23. Q. Are any deposits preferred under the scheme of
deposit insurance?
A. No. All share equally in the benefits of deposit
insurance.

24. Q. Do all types of deposits have the benefits of
insurance?
A. Yes. All types of personal and corporate
deposit obligations, deposits of public funds,
and deposits of other banks in insured banks
are included in the plan. Trust funds awaiting
investment are also included in this insurance.

25. Q. Must' a depositor have $5,000 in his account
before he can enjoy insurance benefits?
A. No. Five thousand dollars is the insured
limit for one depositor and all amounts up to and
including that are fully insured. Accounts larger
than that are insured up to $5,000. This does not
mean that a depositor with an account of $100
will be paid $5,000 in the event his bank closes,
but it does mean that he will get all of his $100.
26. Q. What proof of his claim is it necessary for a
depositor in a closed bank to present in order to bepaid his
insured deposit?
A. His pass book, certificates, or other evidence of the closed bank's deposit debt to him
and some means of personal identification are
sufficient proof of the depositor's claim.
2 7. Q. If a depositor has billsfalling due and his bank is
closed, can he check against the insuredportion ofhis account?
A. No. The closed bank will be in the hands of
the receiver. However, the new bank of the

Page 7

�&lt;:&gt;

Insurance Corporation will make immediately
available the insured amount due him so that he
will not be greatly inconvenienced.
28. Q. How does the Corporation pay the iT1Sured deposits?
A. As the claims of depositors are approved and
allowed, orders are issued which may be paid at
once or through the Federal Reserve bank of the
Reserve district where the closed bank is situated.
29. Q. May the depositor get the insured portion of
his account in cash?
A. Yes. The depositor may be paid in cash if
he so desires.

30. Q. If a bank customer has unused traveler's
checks in his possession at the time the issuing bank suspends, will they be accepted as claims against the insured
deposit liabiliry of the bank?
A. If the traveler's checks issued by the closed
bank are the outgrowth of the holder's deposits
they are acceptable to the limit of the insurance.
3 r. Q. If the books of a bank show that a husband
and wife each have an account in each of their names and,
in addition, have a jointly owned account, does each of
these accounts come under the benefits of the insurance
and are they considered separately in determining the
amount due under the insurance limit?
A. Yes; if the accounts are in fact owned as
shown on the bank records. In the case of the
jointly owned account, however, the right of
survivorship must have been provided.
32. Q. If an estate of $20,000 is being held in a
closed bank and there are four heirs to share equally in it,
is the account thus fully insured?
A. If the title of the · account states the names
of the four heirs and specifies that they are to share
equally, the account is separately owned in four
equal undivided parts and the individual owners
are fully protected. If the title is not so held the
account is considered as a unit and the amount
payable by the Insurance Corporation is limited
to the maximum of $5,000.

PageB

�---~

. Q. Wo~ld it be po~sible to take four equal
negotiable certificates of deposit for an account of $20,000
33

and thus procure full insurance?
A. No. This would cause their holder to be
an owner in the same right and in the same
capacity and, hence, his insurance claim would
be limited to $5,000. If after taking them out
the original owner subsequently transferred them
to four separate persons in the usual course of
business, each of those holders would, however,
have an insured claim.

Page9

�.sFEDERAL DEPOSIT INSURANCE
CORPORATION
DISTRICT OFFICES AND TERRITORIES SERVED

District No. r.-Boston, Mass.: Massachusetts
Maine, New Hampshire, Vermont, Rhode Island:
and Connecticut.
District No. 2.-New York Ciry: New York, New
Jersey, and Delaware.
District No. 3.-Columbus, Ohio: Ohio and Pennsylvania.
District No. 4.-Richmond, Va: District of Columbia, Maryland, North Carolina, South Carolina,
Virginia, and West Virginia.
District No. 5.-Atlanta, Ga.: Georgia, Alabama,
Florida, Mississippi, and Louisiana.
District No. 6.-Louisville, Ky.: Kentucky, Tennessee, and Indiana.
District No. 7.-Springfield, Mo.: Missouri and
Arkansas.
District No. 8.-Chicago, Ill.: Illinois and Iowa.
District No. 9.-Madison, Wis.: Wisconsin and
Michigan. •
District No. ro.-St. Paul, Minn.: Minnesota,
North Dakota, and South Dakota.
District No. II.-Kansas Ciry, Mo.: Kansas, ·
Nebraska, and Oklahoma.
District No. 12.-Dallas, Tex.: Texas and New
Mexico.
District No. 13.-Salt Lake Ciry, Utah: Montana,
Utah, Nevada, Wyoming, Colorado, and Idaho
(southern counties).
District No. 14.-Seattle, Wash.: Washington,
Oregon, and Idaho (northern counties).
District No. 15.-San Francisco, Calif.: California
and Arizona.

Page ro

�A
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A
A

A

(I OEPOSIT~v INSURED
The Federal Deposit Insurance Corporation
WASHINGTON, D. C.
MAXIMUM INSURANPE $5000
$5000 FOR
EACH DEPOSITOR

NoTE.-The above sign is .being displayed
• at the receiving windows of all insured
banks. effective October 1, 1934. Mutual
savings banks operate under a separate
fund and have the privilege of electing
$2,500 or $5,009 as the maximum
insurance

V

V

V

V

V
V

79527°-M

U, S, GOVERNMENT PRINTING OPflCE I IIU

�</text>
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            <name>Identifier</name>
            <description>An unambiguous reference to the resource within a given context</description>
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                <text>1-0105</text>
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            <name>Creator</name>
            <description>An entity primarily responsible for making the resource</description>
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                <text>The Union Pacific Coal Co</text>
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            <name>Title</name>
            <description>A name given to the resource</description>
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                <text>Districts - Hanna (Loader in Top Coal Plate)</text>
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          <element elementId="49">
            <name>Subject</name>
            <description>The topic of the resource</description>
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                <text>An interior shot of a Hanna mine featuring a loader in use.</text>
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            <name>Description</name>
            <description>An account of the resource</description>
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              <elementText elementTextId="2691">
                <text>9" x 12" folder holding a 10" x 8" pouch that contains a 8" x 10" photograph.</text>
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          <element elementId="45">
            <name>Publisher</name>
            <description>An entity responsible for making the resource available</description>
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                <text>The Union Pacific Coal Co</text>
              </elementText>
            </elementTextContainer>
          </element>
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            <name>Type</name>
            <description>The nature or genre of the resource</description>
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                <text>Image</text>
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            </elementTextContainer>
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          <element elementId="47">
            <name>Rights</name>
            <description>Information about rights held in and over the resource</description>
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              <elementText elementTextId="2694">
                <text>CC BY-NC-ND</text>
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          <element elementId="56">
            <name>Date Created</name>
            <description>Date of creation of the resource.</description>
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                <text>1952</text>
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