The Express.
London, England, 1867-10-08 00:00:00

FRIENDLI' SOCIETIES.

The report of Mr. Tidd Pratt, registrar of
friendly societies in England, for the year 1.66, has just
been published. It occupies with the appendix Z. 32 pages
and contains a great body of information with respect to
the savings banks, loan sods ies, and co-operative societies
of England and the continent, as well as full details re-
spectiug the institutions to which it more directly refers.
Wr• nppenri the folic:lain; ezt•acte from the rep-rt :

During the year 1866 the registrar has examined and
certified the rules of 1,176 friendly societies, and also the
alterations of the rules of 1,487 societies ; making a total
of 2,663 certificates. Forty-three societies have deposited
their roles with the registrar under 18 and 19 Vic. a. 63,
a. 44. Notices of dissolution have been received from 130 1
friendly societies, of which number 83 were advertised in
the London Gaulle. pursuant to Zi and 24 Vie. c. 58, a. 3.
During the year 1866 the sum of 9071. 16s. in the Bank of
England has been transferred by the registrar into the
names of trustees appointed by friendly societies, in the
place of others removed, absent, &c., pursuant to 18 and
19 Vic. c. 63, a. 36.
Among the rules in the custody of the registrar are
those of the Grinders' Society, held at the Ball, Campo.
lane, Sheffield ; this society was enrolled at the quarter
sessions in 1805. The first role provides, that if any
member of this society, after he bath been six months
therein, be afflicted with sickness, or lameness, so as to
render him incapable of working, on notice being given to
the master, before six o'clock in the evening, be shall re-
ceive, when be shall have been seven days incapable of
working, se. per week for four weeks of his affliction con-
tinuing so long, but to receive no more than 20s. ; and every
member shall pay 3d. each the third meeting night
after for the same ; but if any member fall trick or lame,
having been one year in the society, and notice being given
as above, he shall receive 10a. per week for twelve weeks if
necessary, and if his illness still continues be shall then
receive 4s. per week so long as he continues en object of
such relief. N.B. If any member bath received one or
more week s pay, and shall give notice again before be bath
been one whole year from under pay, that which he bath
received shall be amounted part of the twelve weeks' full
pay ; but if any member doth bring any disorder upon
himself by any vicious or disorderly way of living, he
shall not receive any benefit at all from the society. The
notice shall be given in writing to the muter, with their
' name and place of abode, or no notice will be taken.
The last rule is, that every member of this society shall
endeavour, as well by example as precept, to suppress
vice and profaneness, to promote the faith and practice of
the religion of Jesus Christ, and improve the peace and
happiness of this society to the honour of the town of
Sheffield. The registrar is informed that this society
ceased to act as a friendly society more than twenty
yeah -

The first legal provisions for the encouragement and
relief of friendly societies will be found in the 33 Geo. 111.
c. passed on the 21st June, 1793, which states that,
whereas the protection and encouragement of friendly
societies in this kingdom, for raising, by voluntary sub-
scriptions of the members thereof, separate funds, for the
mutual relief and maintenance of the said members in
sickness, old age, and infirmity, is likely to be attended
with very beneficial effects, by promoting the happiness
of individuals, and at the same time diinunshing
the public burthens, and enacts that any number
of persons may form themselves into • society, and raise
among themselves, by subscriptions of the several members
of every such society, or by voluntary contributions, a
stock or fund for the mutual relief and maintenance of
the members thereof in old age, sickness, and infirmity,
or for the relief of the widows and children of deceased
members, and for the several members or such of them as
shall be nominated • committee for that purpose, to as-
semble together and to make such proper and wholesome
rules as shall seem meet. In cases of dispute reference
was to be made either to justices or to arbitration.
When this act was paned the legislature evidently had
in view that sort of club, or society, which exists at the
present day, and is known under the general term of
friendly society." This society is local in its operations;
the members (as a rule) know each other, and personally
assist in its management ; none of the officers are paid,
except • trifling acknowledgment to the secretary for his
services. No agents or collectors are employed. The affair
is mutual and not speculative. The whole is circum-
scribed by the limits of the town, or parish, where it is
established. Such is the normal friendly society, and 99
out of 100 friendly societies are of this class. After
some years this original ides of • friendly society was
departed from ; societies were formed and registered
under the act for supplying coals to the members ;
others for providing relief to poor persons in the winter ;
others (such as the Clergy Mutual and the Provident
Clerks' Society) were formed for carrying on the business
of an insurance company. To meet these alterations of
eircurnstenees the legislature provided exceptional legisla-
sion. Thus the act 16 end 17 Vitt. c. 123, was passed
simply with • view to affect • few societies, such as the
Clergy Mutual Assurance, the Provideat Clerks, and
others, which were, in fact, assurance oompenies and not
friendly societies. This act left the main body of
friendly societies untouched. The legislature has also
pursued the same course of exceptional legislation, in
certain cases, in the present act, 18 and 19 Viet. c. 63.
The two instances referred to afford conclusive evidence
that parliament has made exceptional laws, to meet the
case of societies which, in any important degree, depart
from the original idea, or model friendly society. The
time has arrived now for the discussion of another ques-
tion, namely, whether the further development of, and
departure from, the original idea of • friendly society, in
such cases as the Royal Liver, and other similar
societies, which furnish death insurances on an
extensive scale all over the country, does not call
for further exceptional legislation with respect to them ?
It is notorious that great hardships are suffered by the
persons who join them, that the members are generally
poor, that they are spread ell over thekingdom, frequently
hundreds of miles from the office of the society; they never
participate in the management of the society, and the
whole business is managed by a few collectors and a central
and irresponsible board, over which the secretary usually
reigns supreme; and, frequently being the triunes or
treasurer also, not the slightest cheek is, or can be, ob-
tained over him. To meet the eases of such societies, it
is suggested that the precedent of exceptional legis-
lation already laid down should be adopted by pro-
visions in any act which may be posed relating to fnendly
societies, to apply to societies which grant assurances for •
sum at death of 10L, and under, without any other assur-
ance connected with it. It is also proposed that, as arbi-
tration has been proved to be • sham and • mockery in
many of these societies, all disputes should be referred to
justices. Secondly : Agents of such society should be
liable to be summoned. Thirdly : If agent of society take
money on account of insurance before delivery of policy
and copy of rules, to be liable to • penalty of 20s. In
these societies, in case of death, it frequently occurs
that • dispute is originated as to whether the member
was, or was not, within benefit (as it is termed) at the
time of his death ' • but as in this dispute on the one side
are the society and the secretary, with its large funds and
irresponsible manager, and on the other people of the
class who literally live " from hand to mouth," it is quite
clear that the weaker party generally has to give way, and
any idea of obtaining redress by legal means at present
eluting is quite out of the question. To meet this evil it
is suggested theta clause of the following eharecterbe
passed No policy to cease being operative without notice
being sent by • registered letter through the post, or a
written notice delivered to the insurer, or at his last
known place of abode, in the presence of our witness. The
policy to be indisputable, except on these terms. Whether
them, propositions, or others to the like effect, are adopted
or not, the time cannot be far distant when parliament
will be compelled, by the enormities of the system of
these societies, to regulate them by the only means by
which they can be regulated, viz., by exceptional legisla-
tion. To connect these societies with the friendly society
proper in any legislation on the subject will be only to
assist in procuring a continuance of those evils which the
poor at present suffer in connexion with them, and which
are not only a scandal to the character of friendly societies
but to the nation at large.
It appears to the registrar that it would be highly bene-
ficial to the working classes if the governmeat muumuus
on death granted by the post offices were reduced to 5L or
101. instead of 201., the lowest sum which can now be in-
sured. An act was passed on the 20th August, 1867, inti-
"An Act to enable Assignees of Policies of Life
Assurance to sue thereon in their own names." The eighth
section of which, however, expressly provides, "That it
shall not apply to any engagement for payment on death
by any fnendly society," and therefore any policy,
or engagement for payment on death by a
friendly society cannot legally be assigned so
as to give any interest therein to the assignee.

The registrar has hail numerous cotes of misapplication
of the funds of a friendly society brought before him, in
several of which the money has been replaced. The fol-
lowing is one of them :—A society called the Farriers'
Horseshoe Fund was established in 1847, and in that year
the rules were duly certified ; they were revised in August
1862, and again certified. The society is now held at the
Fountain, New-street, Golden-square, and consists, from
the report of 1866, of nearly 300 members. The objects
of the society, as stated in the rules, are to
afford relief to the members when sick, suffering from
infirmity, and old age, and also for the burial of the mem-
bers and their tries, and the tables of contributions and
benefits were originally certified by an actuary. It would
appear from the annual acoounta that, in addition to a
friendly society, it had become a trade society, sr pky-
meta' were made to members out of work, although the
rules contained no provision for such payments. In
November, 1866, there was a special general meeting of the
society to receive a report with reference to an intended
reform demonstration, and it was resolved that the
members of this society should join such demonstration.
On the 3rd of December the reform demonstration took
place, which was attended by several member., and the
appearance of the mounted farriers was specially alluded
to in 'be newspapers. On the Bth of February last two
members of this society called upon the registrar respect-
ing the misapplication of the funds, which had been ap-
plied to defray the expenses attending the reform domes-
titration, and requesting him to take proceedings against
the officers under the 73 and 24 of Viet., c. 18, e. 9, which
authocises the registrar "to proceed summarily, if say
officer, member, or other person misapplies the funds, or
wilfully applies any part of the same to purposes other
than those expressed or directed in the rules of the