The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1876-05-20
PUBLIC GENERAL LAWS
PASSED BY
The General Assembly Of Maryland,
At the January Session, 1876.
pUBLIsnED BY AUTHORITY.
CHAPTER 242.
Regulation Of Incorporated Companies.

N1@AA t<Ah ~H@s
Regulation Of Incorporated Companies.
AN ACT
To repeal chapter four hundred and seventy.
six Of the Acts of eighteen hundred and
seventy, entitled ''an Act to provide foi
the creation and regulation Of Incorporated
Companies in the State Of Maryland, and
to enact substitute therefor,
Section !. Be it enacted by the General
Assembly Of Maryland, That chapter four
hundred and seventy.six Of the Acts of cigh.
teen hundred and seventy, entitled Fan Act
TO provide for the creation and regulation OF
incorporated companies in the State of Ma.
rylandn be, and the same is hereby repealed,
and the following enacted in lieu thereof:
See. .. And be it enacted, That any mum
ber of natural persons. not less than five,
three of whom shall be citizens of Maryland,
may become body corporate, with all the
rights, privileges and powers conferred by,
and subject TO all the restrictions of this Act.
Sec. 8. And be it enacted, That any mum.
1 Der of persons as aforesaid, associating to
. form company for the purpose of construct.
\ ing or operating a railroad shall, under their
hands and seals, make certificate which
shall specify as follows first, the name as.
sumed by such company, and by which it
shall be known; second, the name of the pla-
ces of the termini of said road, and the coun.
. ty or counties, city or cities through which
such road shall pass; third, the amount of
capital stock necessary to construct sach road;
such certificate shall be acknowledged before
Justice Of the Peace, and certified by the
Clerk of the Circuit Court of any county
Through which the road passes, and when said
q. a..a.,,tnA abo1l h., Ia. &
] the persons executing the same to submit il
to one of the Judges of the Judicial Circuit
within which the county where it was ac.
.knowleged may lie, or ~ one of the Judges
of the Supreme Bench Of Baltimore city, if
acknowledged in said city in order that the said
Judge may determine whether said certificate
! is in conformity with the law and IL the said
Judge shall so determine he shall certify his
said determination upon the said certificate
which shall be forwarded to the Secretary Of
State who shall record and carefully preserve
& the same in his Office and copy thereof duly
certified by the Secretary Of State under the
+ Great Seal of the State Of Maryland shall be
H evidence of the existence of such company.
4 Sec. 4. And be it enacted, That when the
4 foregoing provisions have been complied with
H the persons named as corporators in said Ger.
f tifcate are hereby authorized to carry into
effect the objects named in said certificate, in
accordance with the provisions Of this Act,
and they and their associates, successors and
assigns by the name and style provided in
. said certificate shall thereafter be deemed a
body corporate with succession, with power
. TO sue and be sued, plead and be impleaded,
1 defend and be defended, contract and be con.
i tracted with, acquire and convey at pleasure
+ oil such real and personal estate as may be
necessary and convenient to carry into effect
d the objects of the incorporation, to make and
4 use common seal, and the same to alter at
pleasure, and do all needful acts to carry into
f effect the objects for which it was created;
and snch company shall possess all the pow.
ers and be subject to all rules and restrictions
provided by this Act,
Sec. 8. And be il enacted, That said cor.
4 porations shall be authorized to construct and
4 maintain railroad with single or double
track, with such side tracks, turn outs, offices
and depots as they may deem necessary be.
tween the points named in the certificate,
4 commencing at or within and extending to or
. into any town, city or village named as the
place OF the termini of such road, and con.
struct branches from the main line TO other
towns or places within the limits of any coun.
4 ,y through which said road may pass.
Sec. 9. And be it enacted, That the capital
stock Of such company shall be divided in to
shares Of fifty dollars each and consist OF such
sum as may be named in the certificates; such
. shares shall be regarded as personal proper.
. ty, shall be subject to execution at law, and
to taxation as other personal property.
Sec. Z. And be it enacted, That an install
ment OF five dollars in actual cash on each
share of stock shall be payable at the time OF
making the subscription and the residue
thereof shall be paid in such instalments and
at such times and places and to such persons
as may be required by the directors Of such
company.
Sec. s. And be it enacted, That il any in
. stalment of stock shall remain unpaid for
sixty days after the time it may be required,
whether such stock is held by any assignee,
transferree or the original subscriber, the
same may be collected by action of debt or
the directors may sell the stock so unpaid at
public auction for the instalment then due
thereon, first giving thirty days public notice
of the time and place Of sale in some news
paper in general circulation in the county
where such delinquent stock holders reside;
at the time Of making such subscription or
becoming such assignee or transferree, or of
\ his actual residence at the time of said sale,
such publication shall be made in the county
where the principal Office of the company is
located, and if any residue Of money shall re.
main after paying the amount due ON said
stock, the same shall, on demand, be paid
|'oyer to the owner; il the whole of said install
ment be not paid by such sale the remainder
shall be recoverable by an action OF debt
against the subscriber, assignee or transferee.
Sec. o. And be 1t enacted, That whenever
any railroad company heretofore incorporated
or created and Incorporated under the proyi'
sons Of this Act shall, in the opinion Of the
directors therof, require an increased amount
. OF capital stock, they shall, ii authorized by
the holders of three.fourths Of all Of the stock
file with the Comptroller Of the State certi.
hcate setting forth the amount of such desired
increase and thereafter such company shnl
be entitled to have such increased capital as
Is liked by said certificate.
Sec. 10. And be it enacted, That the per
. sons named in said certificate of the corpora
ton or any three of them shall be authorized
4 TO order books to be opened for receiving
subscriptions TO the capital stock of said com
pany at such time or times and at such place
or places as they may deem expedient, aftel
having given at least thirty days notice in d
newspaper published or generally circulated
IN one or more counties where books Of sub
seription are to be opened, of the time and
place OF opening books, and SO soon Us ter
per centum on the capital stock shall be sub
seribed they may give like notice for the stock
holders TO meet at such time and place as they
may designate, for the purpose Of choosing
seven directors who shall continue in Office
until the time fixed for the annual election
and until their successors are chosen and
qualified, at the time and place appointed
directors shall be chosen by ballot by such oil
. the stock holders as shall attend for that pur
pose either in person or by lawful proxies
each share shall entitle the owner to one vote
and plurality Of votes shall be necessary foi
choice, but after the first election Of direc
tors no person shall vote on any share on
which any instalment is due and unpaid, the
persons named in such certificate, or such oi
them as may be present shall be inspectors
OF such election and shall certify what per
sons are elected directors and appoint tn,
time and place for holding their FIRST meeting
majority OF said directors shall form boarC
and be competent TO fill vacancies in theii
board, make by laws and transact NIL business
OF the corporation; new election shall b.
annually held for directors at such time and
place as the stock holders, at their first meet
ing, shall determine, or as the bylaws Of tn,
corporation may require; and the directors
chosen at any election shall, so soon there