State v. The Knights of The Ku Klux Klan

• Decision Date: 10 January 1925
• Docket Number: 24,729
• Citation: 232 P. 254,117 Kan. 564
• Parties: THE STATE OF KANSAS, on the relation of CHARLES B. GRIFFITH, Attorney-general, Plaintiff, v. THE KNIGHTS OF THE KU KLUX KLAN et al., Defendants
• Court: Kansas Supreme Court

232 P. 254

117 Kan. 564

THE STATE OF KANSAS, on the relation of CHARLES B. GRIFFITH, Attorney-general, Plaintiff, v. THE KNIGHTS OF THE KU KLUX KLAN et al., Defendants

No. 24,729

Supreme Court of Kansas

January 10, 1925

Decided January, 1925

Original proceeding in quo warranto.

SYLLABUS

SYLLABUS BY THE COURT.

1. QUO WARRANTO--Foreign Corporation "Doing Business" in this State Without Permission from the Kansas Charter Board so to Do. A foreign corporation may be ousted from doing business in this state where it has not obtained permission from the charter board so to do, except where its business is protected by the interstate-commerce clause of the constitution of the United States, or is exercised in behalf of the federal government.

2. SAME--A Foreign Corporation Performing in this State All the Functions it is Authorized to Do by Its Charter is "Doing Business" Within the Provisions of the Kansas Foreign Corporation Law. A corporation organized under the laws of another state, not for financial profit, which in this state performs all the functions it is authorized to do by its charter under the laws of the state of its organization, is doing business in this state within the meaning of the Kansas foreign corporation laws.

3. SAME--Certain Transactions of the Defendant Corporation Are Within the Interstate Commerce Clause of the Federal Constitution. Selling lodge paraphernalia, insignia and supplies by a corporation of one state to lodges and persons in another state, on orders from lodge officers in the latter state, is within the protection of the interstate-commerce clause of the constitution of the United States, although the selling corporation retains title to and control of the articles sold.

Charles B. Griffith, attorney-general, John F. Rhodes, and John G Egan, assistant attorneys-general, for the plaintiff.

John S. Dean, Harry W. Colmery, both of Topeka, and W. L. Wood, of Kansas City, for the defendants.

Marshall, J. Hopkins, J., not sitting. Burch, J. concurring specially.

OPINION

MARSHALL, J.:

The plaintiff commenced this action to oust the defendants from doing business in this state as a foreign corporation.

The charter of The Knights of the Ku Klux Klan recites that--

"The purpose and object of said corporation is to be purely benevolent and eleemosynary, and there shall be no capital stock or profit or gain to the members thereof."

The petition of the plaintiff contains two counts, the first of which alleges that--

"The defendant, The Knights of the Ku Klux Klan, is a corporation organized and existing under the laws of the state of Georgia, and its purported purposes, among other things, are partly benevolent and eleemosynary, and its purposes are, among other things, to organize subordinate branches of the corporation in the state of Georgia and other states of the United States and elsewhere, whenever the same shall be deemed desirable in the conduct of its business, and to confer an initiative and degree ritual, and fraternal and secret obligations, words, grips, signs and ceremonies, and to own and conduct the sale of paraphernalia, regalia, stationery and other materials needed by the subordinate branches of such organization for the conduct of their business; and to publish a fraternal magazine and such other written or printed matter as shall be needed in the conduct of the business of the order; and to buy, hold and sell real estate and personal property suitable to the purpose of the corporation, and to sell, exchange and sublease said real or personal property or any part thereof, and to mortgage or create liens thereon, and to borrow money and secure the payment thereof by mortgage or deed of trust, and to appoint trustees in connection therewith; and to execute promissory notes; and to have and to use a common seal; and to sue and be sued, to plead and be impleaded, and to do and perform all things and exercise all rights which, under the laws of Georgia, are conferred upon societies or orders of like character, and to have all the powers and privileges necessary to the extension of such corporation or to the conduct of the business and purpose of orders of like nature."

The second count alleges that in this state the defendants are engaged in propagating race and religious prejudices and animosities, and are using intimidations, threats and violence to compel others to agree with the defendants and obey their commands.

The answer denies many of the allegations of the petition, admits some of them, and sets out the purposes and objects of the organization known as The Knights of the Ku Klux Klan.

Honorable S. M. Brewster, of Topeka, was appointed commissioner to hear and record the evidence and to make findings of fact and conclusions of law. That has been done.

The findings of fact made by the commissioner include the following:

"I. The defendant, The Knights of the Ku Klux Klan, is a corporation organized and existing under the laws of the state of Georgia. It is incorporated under its charter as a patriotic, secret, social, benevolent order. Its purposes are stated to be purely benevolent and eleemosynary. The corporation has no capital stock. Its charter provides that there shall be no gain or profit to the members. Its principal place of business is Atlanta, Georgia.

"The charter gives the corporation power to issue decrees, edicts and certificates of organization to subordinate branches of the corporation in its home state and in the states of the United States and elsewhere, wherever the same shall be deemed desirable. It is given power to confer initiative degree ritualism, fraternal and secret obligations, words grips, signs, ceremonies; but only to white male persons of sound health, good morals and high character.

"IV. The charter provides that the corporation shall have the right to own and control the sale of all paraphernalia, regalia, stationery, jewelry, and such other material as is needed by the subordinate branches of the order for the proper conduct of their business. It also provides that the corporation shall publish a fraternal magazine and other literature needed in the conduct of the business of the order, and that the corporation shall buy, hold and sell real estate and personal property suitable to the purposes of the order; sell, exchange or lease the same; mortgage and create liens thereon; borrow money, execute promissory notes; have and use a common seal; and sue and be sued.

"V. The constitution adopted by the corporate organization declares that The Knights of the Ku Klux Klan, Incorporated, is the original klan organized in the year 1866 and active during the reconstruction period of American history, and 'by and under its corporate name is revived, remodeled and expanded into a ritualistic, fraternal and patriotic society of national scope.'

"The constitution further declares that the order takes to itself all of the prescript used as the governing law of the original klan, together with all official titles, mannerisms, usages and things therein prescribed, and these are declared to be held sacred as a precious heritage which the klan shall jealously preserve, forever maintain and valiantly protect from profanation.

"VI. The constitution states the object of the order is to unite white male persons, native born, gentile citizens of the United States of America, of good reputation and respectable vocation, exemplary habits, sound mind, under a common oath into a brotherhood to cultivate and promote patriotism toward the civil government, to practice an honorable clannishness toward each other, to practice a practical benevolence, and, among other things, to maintain white supremacy.

"XXII. The constitution of The Knights of the Ku Klux Klan provides for the payment of what is called a klectoken. This klectoken, or initiation fee, received prior to the issuance of a charter to the local klan by the Georgia corporation, is not less than ten dollars for each member admitted into a klan in process of organization, which klectoken is divided as follows: Four dollars goes to the organizer of the klan; one dollar to the Imperial Representative of the defendant corporation; and five dollars is sent direct to the defendant corporation at Atlanta, Georgia. This fee has been and is being collected by the defendant corporation in Kansas by and through its representatives from each member received into a provisional klan in the state of Kansas.

"XXXII. The constitution provides that each and every member naturalized into the order of The Knights of the Ku Klux Klan must supply himself with a robe and helmet by sending an order through his kligrapp, with the required fee for the same, to the defendant corporation at Atlanta, and the constitution further provides that this robe shall be his and his only just so long as he is a member of the order in good standing, and upon his quitting or being suspended or banished, he shall return the robe to the exalted cyclops.

"It further provided that all money such member has paid shall be forfeited by him when he quits or is expelled or suspended.

"XXXIII. Some of the paraphernalia, regalia, emblems, etc., are copyrighted and the copyright is held in the name of the defendant corporation. The title to all of the paraphernalia, regalia, etc., whether used by the local klan or not, is held in the parent corporation. In the event that a klan charter is revoked or relinquished for any cause all moneys and properties must be accounted for and returned to the defendant corporation, and this is true of all such property and moneys in Kansas held by the various klans.

"XXXIV. Members of the various klans in Kansas have procured robes helmets and other paraphernalia in the manner and...