Oxford Democrat. [volume] (Paris, Me.) 1833-1933, 1877-03-06
Chapter los.
AN ACT T. provide for The organilation. and

AN ACT II provide for the organization and maa.
agemeni OF Loan and Building Associations.
be u enacted &c, as follows:
sEcr l. Loan aud Building Associations may be
organized In the manner provided by chapter nine.
ty-six of the public laws Of eighteen hundred aud
seyenty.six for the organization OF savings banks
trust and loan associations and upon filing OF any
certificate Of authorization OF loan and building
association with the Secretary OF State as provided
by that chapter the persons therein named, their
associates successors and assigns, shall, thereupon
and thereby. be duly and lawfully constituted
body corporate aud polite, and shall have the power
TO make and use n common seal, 20 hold. manage
and convey real aud personal property, TO sue and
be sued 70 prosecute and defend suits In law or In
equity TO have perpetual succession each by its cor
pora'e name and TO make and ordsn bylaws for
its government not repugnant to the constitution
aud laws of this State.
SECr Q. The certificate Of authorization issued
by the bank examiner shall provide the method OF
calling the first meeting OF the association. Each
association shall pay the bank examiner the sum OF
five dollars for his services in advance.
SEcT. 3. The capital stock OF each association
shall consist of not more than thirty-tvc hundred
shares b be issued in one or successive series az
shareholders may vote Each ssarehoider shall on
sum of one dollar on such day or days In each and
every month, and TO such officer, as the BYLAWS
shall require until the value of the whole fund OF
the series TO which such shares may belong shall be
sufficient 10 divide 10 each share OF that series the
sum of two hundred dollars. Every share shall be
subject TO lien for the payment OF any unpaid In.
stallments and other charges incurred thereon under
the provisions of this act and the bylaws, and the
bylaws may provide the method of enforcing such
Hen. New shares NAV be issued In the place Of
shares withdrawn, forfeited or redeemed.
SECT 4. Each shareholder, for each and every
share of stock held in any association, shall be en-.
titled TO receive loan not exceeding two hundred
dollars, such loan to be disposed ofby the directors,
stated monthly meetings, 70 tho shareholder who
shall bid the highest premium for the preference or
priority of the loan. Whenever shareholder shall
be entitled by such preference to loan, he shall
give such security for the repayment OF the same and
Interest the directors may deem sufficient, and In
addition thereto he shall assign to the association
one share OF stock for every sum OF two hundred
dollars or fraction thereof borrowed by him. which
stock so signed shall be held as collateral security
for the of such loan. In case such share
holder neglects TO offer security approved by the
directors, within such time as the bylaws provide,
he shall be charged with months interest on the
loan, together with expenses incurred, ana the
money may be loaned to the next highest bidder or
resOd at the next meeting. In case OF non.payment
of nstallments or interest, by borrowing sharehold-
ers for the space of six MONTHS payment OF prine-
pal and interest, without deduct ng premium paid,
may be enforced by proceeding on the securities
according to law Loans may be repaid nj any tiine
before due and, If before the expiration of eight
years from the commencement of the series To which
X belongs there shall be deducted from the same
one-eghth of the premium paid Sor each and every
year of said eight years then unexpired