Forty-first Annual Report.            13

deposited with the Dominion govern¬
ment as is necessary to make good the
claims of the Canadian policy-holders,
must be devoted to that purpose.

The Superior Court, before which the
question was first presented, decided,
that the claims of the Canadian policy¬
holders must first be satisfied out of
the sum deposited; and this decision
has recently been unanimously ratified
by the Chief Justice and the full Court
of Appeals.

The effect of this decision should be
to apprise policy-holders in United
States companies doing business
abroad, that whatever sum the law of a
foreign country may require to be de¬
posited, becomes subject to the con¬
trol of the courts of that country, and
is virtually an impairment, to the ex¬
tent of such amount as may be so
lodged, of the assets that the company
assumed to be devoted to the security
of the policy-holders at large.