, 1868-11-27
OFFICIAL.,
LAWS OF THE UNITED STATES.
Passed at the Second SessioR Of the Fortietk Con.
qrsss
[PUBLIo-No. 9l-l

gress assembled, That John d. Defrees William
Z. Chandler, Samuel Wilkes0n, E. A. Rollins,
Nathan G. Stark weather, John A. Wills, Frank
Turk, Adam s. Prdt, Hepu G Swain, and all
the other persons who shall hereafter become
stockholders in the company Incorporated, are
hereby created a body pOliticsand corporate, BY
the name and style OF the National Life lnsu,
rance Company Of the United States OF America.
for the purpose of carrying on the business OF
insurance on lives, and TO make ell and every
Insurance. uppertaiuing thereto, or connected
herewith and to grant, purchase, aud dispose
OF annuities in the city of Washington, in the
District of Columbia, and elsewhere, and shall
and may have perpetual succession, and shall be
capable in law of contracting and being con-
tracted With, and of suing and being sued,
pleading aud being impieaded 10 the district and
circuit court of the United States, either in law
or equity 10 this District or elsewhere, and they
and their successors shall and may have cons
mon seal, and may change the same at their will
and pleasure, and. may also from time to time,
at any meeting of their directors, by a majority
of votes, as heranafter provided, ordain, estab-
lish, aud put in execution such by>iaws, ordin>
auces, rules, and regulations, thesame not being
contrary 10 this act OF the laws Of the United
States, as may appear to them necessary or
expedient for the management of said corpora
tion, its business and affairs, and may from time
to time alter or repeal the same or any of them.
SEC. 2. And be it further enacted, That the
capital stock Of said company shall consist of
ten thousand shares of stock Of the value of one
hundred dollars each, being one million Of dol
lars, with the privilege to increase the same from
time TO time by a yota of the stockholders at
any annual or special meeting, and the corpora
tors, majority Of them named in the first
section of this act, shall have power to receive
subscriptions to the stock of the company, at
such time aud places AS they may deem exped.
ieut, and when the whole amount of stock shall
have been subscribed, aud twenty per centum
thereon shall have been paid in (which pay
ment shall be required at the time of subscrib>
ing,) the stockholders shall elect twelve direc-
tors to serve until the next annual election, or
until their successors shall be duly elected and
qualified, and directors so elected of said com
pauy, when it shall have been organized, may,
and they are hereby authorized and empowered
to have aud to exercise in the name and behalf
of the company, all the rights, aud privileges
which are intended to be hereby given. Upon
commencing active business the directors shall
have power to require. payment of the amount
remaining unpaid on>the stock of the company,
at such time and in such proportions AS they
may think proper ProUided, That the whole
amount shall be required within two months
from the time of commencing active business,
and under the penalty, in case Of uon,payment
as required, of forfeiture TO the company of
such stock and all previous payments thereon
aud should the capital stock at any time be in,
creased, the stockholders at the time of such iu>
crease shall be entitled to a pro rata share of
such increase upon the payment ofthe par value
of the same.
SEC. 3. And be it further enacted, That any
ceFtifcate or obligation issued by the company,
agreeing to purchase one of its policies for
fixed sum during a stated period, when accom-
panied by the policy duly assigned or transfer
red, shal, be negotiable, and shall convey title
to the policy to the party to whom it may be so
assigned or transferred.
SEC. 4. Aad be IL further enacted, That any
policy taken out in favor of wife, child, rela>
tive or other person having beneficial interest
in the life Of the insured, shall not be liable ID
seizure by the creditors of the person so insured
PrOnidsd, That the policy does not exceed the
sum Of ten thousand dollars.
SEC. 5. ARd be il further enacted That it
shall be lawful for the said corporation to pur-
chase, bold and convey real estate as follows:
First. Such as shall be requisite for its i'm
mediate accommodation in the convenient trans
action of its business or,
Second. Such as shall have been mortgaged
to it in good faith by way of security for loans
previously contracted for moneys due or,
Third. Such shall have been conveyed to
it in satisfaction oftlebts previously contracted,
in the course of its dealings or,
Fourth. Such as shall have been purchased
at sales upon judgments, DEGREES, or mortgages
obtained or made tor such debts.
The said corporation shall not purchase, hold,
or convey real estate in any other case or for
any other purpose and all such real estate as
shall not be necessary for the accommodation of
said company, in the convenient transaction of
its business, shall be sold and disposed of with
in six years after the said company shall have
acquired title to the same and it shall not be
lawful for the said company to hold such real
estate for u longer period than that above
mensioued
SEC. 9. And be 1t further enacted That the
board of directors shall have power to invest the
capital stock and accumulated profits or surplus
funds Of the said company in such securities
and in such manner as they may elect, but the
stockholders of this campany shall not be liable
for any loss, damage, or responsibility beyond
the amount of stock subscribed by them respec.
lively, and any profits accrung therefrom and
undivided; and the premium reserve, or reinsus
rance fund, shall be invested in, or loaned upon
the following securities, and no other:
First. The real estate, as herein described.
Second. Bonds and mortgages on unencumber-
ed real estate, worth, in each case, at least
double the amount loaned.
Third. Stock of the United States of America.
Fourth. Stocks of the several States, and of
incorporated cities therein.
SEC. 7. And be it further enacted, That the
directors shall be elected annually by the stock.
holders on the second Tuesday of March, and
they shall elect from their number, at the first
meeting of the board after their election, a pres.
ident and a vice president, and shall have power
to appoint cashier and secretary, and such
other officers, clerks, and agents as the business
OF the company may require, and to fill vacan-
cies occasioned by death or resignation in said
board. All elections for directors shall be by
ballot and every stockholder shall be entitled
to one vote for each share of the stock held by
him, but no person shall be eligible as director
who is not a stockholder to the amount of
twenty shares.
SEC. 8. And Be il further enacted, That ten
days notice shall be given by publication in
two papers, published ID the city of Washing
ton, of the time and place Of the annual elec>
tiou, which election shall be conducted by three
stockholders, who shall be appointed for that
purpose by the board of directors at their pre-
vious stated meeting, one of whom shall act as
judge, and the other two as inspectors.
SEc. 9, And bet further enacted That the
directors shall have power to declare such divi-
dands of he af tha a..