The Dallas daily herald. [volume] (Dallas, Tex.) 1873-1887, 1875-03-13
AN ACTu
Regulating FIRE and Marine insornncc
Companies, ANA Providing Fines nnd
Penalties for its Enforcement.

NrguiaiiDg Fire ami Marine inaurnncc
Companies, ANA Providing Fines aud
Penalties Tor its Enforcement.
SECTION 1. M Cancid IN The Lr0islutirc ~
ne state ~ IrrdS, That horenrr when any
mum Dor of persons nNOuinlo themselves to-
gutlur for thV purpose oi forming IN lnNu-
rance company, tor amy other purpose Than
life insurance, they shall publish II notice Of
such intention onco IN cnch week, for Tour
weeks, In some public newspaper IN the
county IN which such Insurance company N
proposed 10 hr lOcntadi and they Ahnll also
mako u certificate under thoir hand, hpecl-
Tying the name assumed by such company
aud by which II shall be known, the object
for which said company shall DO formed, the
amount of its capital stock aud the place
whore the principal ollice CT nnid company
shall be- located, which ocrliiipnle shall be
acknowledged before and certified by some
notary public or clerk OF court OF record and
forwarded 10 the comptroller Of state, who
shall submit The same Ia the Rttornoy'gon-
ernl Of state for examination, ana II II Hhnll
DO found by tho attorney general oI state to
bo IN accordance with the provisions VI this
not, and not In conillci with the constitution
and laws of tho United States aud this state,
he shall name certificate OF the FACTS, and re-
turn II TO the comptroller of state, VINO shall
reject tho name on title applied for by any
company when ho shall deem the same too
similar 10 any one already appropriated by
any other company, or likely 10 mislend the
public.
See, y. When the said certificate OF the sn id
the attorney general OF state and CUnptrol-
lor of state, the said company shall cause the
same TO be recorded ~ now required by law
Tor recording articles OF incorporation; aud
said persons, when Incorporated and having
In all respects complied with the provisions
Of this act, are hereby authorized TO carry
ON the business of Insurance, M Enmod In
such certificate OF incorporation. ana by the
all HAL
be deemed body corpol ate with succession,
they and their associates, SUCCESSORS and Hs-
signs, and shall be capable OF suing and be-
Ing sued, and maintaining any action 10 H.
nal Judgment ana execution, aud shall In
law be capable OF purchasing, holding, I'M
proving and conveying any estate, real, per-
honal or mixed, for the use ofthe corporation,
IN hereinafter provided.
SEQ, 4. No Joint stock company shall be In
c0rpornted under the PROVISIONS of this act,
with u smaller capital than one hundred
thousand dollars, as may be specified In the
certificate of Incorporation, which stock
shall be divided into shares of one hundred
dollars each.
See. L. Having published the notice and
filed publishers affidavit of the publication
thereof with the comptroller OF state, to-
gether with the certificate, as required by the
FIRST section of this net, the persons named In
the certificate of incorporation, or n majority
of them, shall he commissioned to open
books for the subscription of stock to the
COMPANY At such timesand places Ms to them
may seem convenient and proper, and Shall
keep the same open until the full amount
specified In the certificate Is subscribed.
See. D. The affairs of any company organ
lied under the provisions of this act shall be
managed by not more than thirteen nor
fewer than seven directors, all of whom
shall be stockholders. Within thirty days
after the subscription books shall have been
filled, II majority of the subscribers shall hold
u meeting for the election OF directors each
share emitting the holder thereof to one
vote; and the directors there elected shall
continue in ONCE until their SUCCESSORS have
been duly chosen and have accepted the
trust
Sec. 8. 1t shall be lawful for any insurance
com pany organized under this act to invest
Its capital in bonds and mortgages ON unln-
numbered real estate, within the state of
Texas, worth double the sum loaned thereon,
exclusive of buildings, unless such buildings
are In ured In some responsible company or
companies, and the policy or policies trans
ferred to said company, and also In stocks of
tn state or stocks or treasury notes of the
United states, In the stocbs and bonds of any
county or incorporated city In this state,
which may have been heretofore authorized
TO he Issued by the legislature of this state,
and 10 lend the same, or any part thereof, ON
the security of such stock, or lands, or treas
ury notes, or upon bonds and mortgages aS
aforesaid, or upon bills of exchange, or other
commercial notes and bills, and not other
wise; and Ia change and relnvest the same
In like securities, as occasion may from time
to time require; but any surplus money over
and above the p0id-up capital stock of any
such company organized under this act or
Incorporated under any law of this state,
may be invested In or loaned upon the
pledge of public stocks of the United States,
or any OF the states, or stocks, bonds, or other
evidences of Indebtedness of any solvent,
dividend-Dayins institutions Incorporated
under the laws of this state or the United
States, and in bills of exchange, or other
.l.sl
stock; prorided, dilpIys that the current mar
ket value of such stock, bonds, or other evil
dences of Indebtedness shall be ut all times
during the continuance of such loans at least
twenty per cent more than the sum loaned
thereon.
Sec.7. Upon receiving otifcation that the
requirements OF the preceding sections have
been complied with, the comptroller of state
shall make an examination, or cause one To
be made by some disintereste ted person, Off
cially appointed by him for that purpose;
and II II shall be found that the capital here
In required by the company named, accord
Ing TO the nature OF the business proposed to
be transacted by such company, has been
paid In and possessed by IL In money, or In
such stocks, notes, bonds, or mortgages MS
are required by the third and sixth sections
OF this act, then he shall 40 certify; and IL
the examination be made by other than the
comptroller, then the finding shall be certi-
He'd under oath. The corporators or officers
OF any sueh company or pfOppsed company
contemplated by this act, shall DO required
TO certify, under oath, To the comptroller'Of
state, that the capital exhibited to the per-
son making the examination directed In ihis
section, was bona flde property OF the com
pany so examined: the certificates above
contemplated shall he Med In the office of
said comptroller, who shall thsreupou de-
liver 10 such company n certified copy Of the
same, with his written permission for them
10 commence business Ms proposed In their
written certificate of Incorporation, which
on beiag placed on record in the Office of the
recorder In the county In which the COM
pany Is TO be located, by the recorder, in n
book prepared by him for that purpose, shall
he their authority TO commence business
and issue policies; and such certified copy OF
said certificate may be used In evidence for
or against said company with the same effect
rs the originals.
Sec. 8. II shall be lawful for any company
organized under this act, or doing business
IN this state, tn insure houses, buildings and
all other kinds OF property, against loss or
damage by fire, aud TO make all kinds Of in
surance on goods, merchandise or other prop
erty. In the course OF transportation,w whether
on land or water. or any vessel afoat, where
ever the same may be; 70 lend money on bot
tomry or respondenfia, and 70 cause itself TO
\ n lt,a any lf,ca ffrt A NAV