Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1878-04-25
Published April 6, 1871
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Published April 6, 1871
CHAPTER $50.
AN ACT to authorize the formation of manu-
facturers' and milers' mutual insurance COM
panies.
The people of the state of Wisconsin repre-
sented in senate and assembly do enact as
follows:
Section l. Any number of persons, not
less than nine, actual residents in the state,
and who are engaged in the milling or manu>
featuring business within this state and who
collectively owD property not less in value
than one hundred thousand dollars may form
an Incorporated mutual insurance company for
the purpose of insuring mills ana manufactu,
ries against loss or damage BY fire.
Section g. The incorporators Of any COM
pany organized under this act shall be direct
ors of such company until the first annual
meeting.
Section 8. No policy shall be issued by
any company organized under the provisions
of this act until at least twenty-five applicants
for insurance of one thousand dollars each are
obtained. If, at any time after such company
is organized and doing business, and the mum,
Der of policies in force should become less
than twenty-five of one thousand dollars each,
it shall be the duty of the officers of such COM
pany to notify the secretary of state, who
shall proceed to wind up the affairs of said
company.
Section 4. Such persons shall file in the
office of the secretary of state declaration of
their intention to form a company for the pur-
pose expressed in the preceding sections, which
declaration shall be signed by all the corpora
tors, and shall contain copy of the charter
proposed to be adopted by them. Such char
ter shall set forth the name of the corporation
proposed 20 be formed. the object and inten,
ton of the company, the city, town or village
in which the business Office of said company is
to be located, the intended duration of said
company, and If the said proposed charter is
found to be conformabe to the laws and con-
stitution of this state, the secretary of state
shall thereupon deliver to such persons cer>
titled copy OF the charter, which, on being filed
in the Office of the county clerk of the county
where the Office of such company is to be 10,
Gated, shall be their authority to organize and
commence business; provided, that such
charter so obtained shall be subject to the
control of and modification by the legislature.
Section 5. The number of directors shall
be nine, five OF whom shall constitute o QUO
rum to do business They shall be elected bv
ballot and hold their offices for three wears
and until their successors are elected and
qualified. At the first election of the board
of directors, three directors shall be elected
for one year, three for two years, and three
for three years. At the annual elections there
after, three directors shall be elected for the
full term of three years. Vacancies in the
board OF directors, occurring during the year,
can be filled by the directors, but such ap.
pointments shall be subject to confirmation by
the company at the annual meeting The an
nual meeting shall be held once in each year,
at time agreed upon by the directors.
Every person insured shall be entitled to one
vote for each five hundred dollars that he may
be insured in the company, and may cast the
same in person or by proxy.
Section 6. The directors shall elect from
their number president and treasurer and
shall also elect secretary who may or may
not be member of the company, all OF whom
shall hold their Office for one year, and until
their successors are elected and qualified.
Section Z. The secretary and treasurer shall
each give bonds to the company for the faith
full performance of their duties in such amounts
as shall be prescribed by the board of directors
Section s. Such corporation and its board
of directors shall possess the usual powers and
be subject to all the usual duties of corpora,
tons and directors thereof, and make such by
laws, rot inconsistent with the constitution or
laws of this state, as may be deemed neces-
sary for the management of its affairs in ac-
cordance with the provisions of this act also
to prescribe the duties of its officers and fix
their compensation, and to alter and amend
its bylaws, when necessary.
Section 9. Such company may issue poll
cies on mills, manufactures and the property
contained in and about such mills and manus
factories for any time not exceeding five years,
and not to extend beyond the time limited du~
ration OF the charter, and for an amount not
to exceed ten thousand dollars on any one
risk. All persons so insured shall give their
obligation to the company, binding themselves
their heirs and assigns to pay their pro rata to
the company of the necessary expenses any
losses by fire which may be sustained by and
member thereof during the time for which
their respective policies are written, and they
shall also at the time of effecting the insurance,
pay such per centage in cash. and such other
charges as may be required by the bylaws OF
the company.
Section 10. Any such company may clas-
sify the property insured therein at the time
of issuing policies thereon under different
rates, corresponding as nearly as may be to
the greater or less risk from fire and losses
which may attach to each of the several build
ings insured.
Section IL. Every member Of such com,
pany who may sustain loss by fire, shall imme-
diately notify the secretary, who shall proceed
at once to determine the amount of loss or
damage, and, if possible, make settlement.
If the party sustaining loss shall not acquiesce
in the decision, the claim shall be submitted to
referees, mutually agreed upon, whose award
shall be final. If the amount awarded by the
referees shall be greater than the amount
awarded by the company, the company shall
bear the expense of the reference, if less, the
party procuring the reference shall bear the
expense.
Section H. Whenever the amount of any
loss has been ascertained, which requires an
assessment to be made, then the president
and the officers of the company shall make an
assessment upon all the property insured, to
the amount for which each several piece of
property isinsured, taken in consideration with
the rate of premiums under which it may have
been classified.
Section 49, 1t shall be the duty of the Sec
retary whenever any such assessment shall
have been completed, to Immediately notify
every person composing such company, by let,
ter sent to his usual postofice address, of the
fact of loss, the amount of such, and the sum
due from him as his share thereof and Of the
time when and to whom such payment is to be
made, but such time of payment shall not be
less than thirty, nor more than sixty days from
the date of such notice.
Section IA If the assured neglect payment
of any assessments within sixty days from date
of notice, then his policy shall be null and void
until said assessment is paid and also the assess
meats which may be levied during the suspen-
sion of the policy on account of the nonpayment
of previous assessment
Section Is. Suits at law may be brought
against any member Of such company who