# United States Statutes at Large/Volume 6/13th Congress/2nd Session/Chapter 24

Chap. XXIV.—An Act to incorporate a Fire Insurance Company in the Town of Alexandria, in the District of Columbia.
Company incorporated.Be it enacted, &c., That those who shall become subscribers to the company, their successors and assigns, shall be, and are hereby created, a body politic, by the name and style of the “Fire Insurance Company of Alexandria;” and shall by that name have succession, and shall be able to sue and be sued, implead and be impleaded, in all courts of law in the United States.
Books of subscription to be opened. Commissioners.Sec. 2. And be it further enacted, That a subscription be opened in the town of Alexandria, under the direction of James B. Nicholls, Cuthbert Powell, Jonah Thompson, Thomas Vowell, and James H. Hooe, George Taylor, John M’Kinney, Philip Triplett, Craven T. Peyton, and Nathaniel Wattles, or a majority of them, for raising a capital stock of two hundred and fifty thousand dollars, in shares of twenty-five dollars each; and that each person, upon subscribing, pay to the persons above-mentioned five dollars upon each share so subscribed for; and that the remainder of the said twenty-five dollars shall be secured by negotiable notes, signed and indorsed to the satisfaction of the aforesaid James B. Nicholls, Cuthbert Powell, Jonah Thompson, Thomas Vowell, and James H. Hooe, George Taylor, John M’Kinney, Philip Triplett, Craven T. Peyton, and Nathaniel Wattles, or a majority of them; and payment thereof may be thereafter demanded at such times, and in such proportions, as the president and directors hereafter mentioned shall judge advisable, giving six weeks’ notice in at least three of the gazettes printed in the district of Columbia.
Regulations in relation to votes,Sec. 3. And be it further enacted, That every subscriber shall be entitled to vote by himself, his agent, or proxy, appointed under his hand and seal, attested by two witnesses, at all elections made by virtue of this act, and shall have as many votes as he holds shares, as far as ten shares; and one for every thirty shares which he may hold over sixty shares.and to the transfer of shares. And every stockholder (not in debt to the company) may at pleasure, in person, or by power of attorney, assign and transfer his stock in the company, on the books of the same, or any part thereof not being less than a whole share; but no stockholder indebted to the company shall be permitted to make a transfer, or receive a dividend, until such debt is paid, or secured to the satisfaction of the president and directors.
Sec. 4. And be it further enacted, That as soon as five thousand shares shall be subscribed, the persons hereby authorized to receive subscriptions shall call a meeting of the subscribers, giving two weeks’ notice in three of the papers printed within the district;When the company is to be organized. and the subscribers who shall assemble in person, or by proxy, shall choose by ballot, from among the stockholders, by a majority of votes, twelve directors, who shall continue in office until the first Monday in ​November, in the year one thousand eight hundred and fourteen, on which Monday in November in every succeeding year thereafter, an election shall be held for twelve directors as aforesaid, who shall continue in office for one year from the time of their election, and until others be chosen in their stead.Proceedings at the elections. And the said directors, at their first meeting, shall choose amongst themselves, or the stockholders at large, a president, and allow him a reasonable compensation for his services; and in case of death, removal, resignation, or other disqualification of the president, or any of the directors, the remaining directors may elect others to supply their place during the remainder of the term for which they were chosen; and in every case where one of the directors shall be chosen president, the vacancy shall be supplied as in the case of death, removal, or resignation. That the persons hereby authorized to receive subscriptions, or any three of them, be a committee to superintend the first election of directors, and a committee of five stockholders, not being directors, be appointed by the directors to superintend every succeeding election.
President and directors may enact by-laws.Sec. 5. And be it further enacted, That the president and directors shall have authority to ordain and make such by-laws, ordinances, and regulations, as shall appear necessary for regulating and conducting the concerns of the company, not being contrary to this act, or the laws and constitution of the United States. And the funds of the company, as they shall arise, may be vested in the stock of any of the banks in the United States, such personal property or ground-rents as the president and directors shall judge most advantageous:Proviso. Provided always, and be it enacted, That the funds and property of this company, of whatever description, are declared to be liable to attachment and execution for debt, in like manner as personal property.
To what extent the members of the company liable for losses, &c., &c. Proviso.Sec. 6. And be it further enacted, That the members of the company shall not be liable for any loss, damage, or responsibility, other than the property they have in the capital and funds of the company, to the amount of the shares respectively held by them, and any profits arising therefrom not divided: Provided, That the said corporation shall, from time to time, apply all sums of money received by them for premiums to the payment of losses in the first instance, and to make up the amount of their original capital whenever it shall have suffered any diminution by losses, and that dividends shall be made of the net profits arising on the capital stock, at such periods as the president and directors may judge proper, not oftener than once in six months; and the same shall be paid to the stockholders, or their legal representatives; but if a dividend shall be at any time declared of a greater amount than the net proceeds of the said company at the time of making the same, each and every director that consented thereto shall, and is hereby declared to be liable for, in his individual capacity, and bound to contribute to make good the deficiency in the capital stock occasioned by such improper dividend.
President and directors have power to dispose of unsubscribed shares, &c., &c. Other powers given to them.Sec. 7. And be it further enacted, That the president and directors shall have the disposal, direction and management of those shares which may not be disposed of at the formation of the company, and power also to provide, by purchase or otherwise, a suitable place for an office; to make all rules and regulations for conducting the business of insurance and the concerns of the company, not provided for by this act; to appoint a secretary and such other officers as they may find necessary, and to make such compensation for their services as they may deem proper. That they shall have full power and authority to make insurances against fire, on any and every description of property: all policies of insurance and other contracts made by said company, signed by the president, and countersigned by the secretary, shall be obligatory on said company, and have the same effect as if the said policies and contracts had been attested by a corporate seal.
​By what rules losses arising on insurances are to be settled.Sec. 8. And be it further enacted, That all losses arising on any insurance, shall be adjusted by the president and directors agreeably to the terms of the policy, and paid out of the joint funds and property of the company. That the president and directors shall make a full and fair statement of the affairs of the company every six months, and a dividend of the profits.
What shall be deemed sufficient service of notice to make the company liable.Sec. 9. And be it further enacted, That in case any action shall be prosecuted on any insurance made by virtue of this act, it shall be deemed sufficient service of such process to leave a copy thereof with the president or secretary for the time being; and all recoveries had, in any such action or actions, shall be conclusive on the company, so far as to render the stock and property of the company liable, and no further.
Sec. 10. And be it further enacted, That this act shall be and continue in force for and during the term of twenty years from and after the passing thereof, and until the end of the next session of Congress.
Approved, March 9, 1814.