, 1889-08-01
ON CORPORATIONS.
Report of the Committee on Cor
porations Other Than
Municipal.
No Discrimination in Charges for
Passengers or Freight to
be Allowed.
A Board of Railroad Commission
ers Appointed and Its
Duties Laid Down.
,spEcrAL rELEoRAM TO THE REvIEwl

Shh"TlA, July -D.-hI. hluIltuT DIt-
sented the following report Of the COM
mittee on corporations other than NUM-
cipal;
SKcrIoNl. Corporations may be formed
under the general laws but shall not be
created by special acts, All laws relating
TO corporations may be altered, amended
time and all corporations doing business
in this state may, as to such business,
be regulated, limited Or restrained by
law.
SEC. 2. All existing charters, franchis-
es, special or exclusive privileges under
which an actual and bona tide organiza-
ton shall not have taken place and busl-
ness have been commenced in good faith
at the time of the adoption of this con-
stitution, shall thereafter have no valid
ity.
SEC. 3. The legislature shall not ex-
tend any franchise or charter nor remit
the forfeiture of any franchise or charter
of any corporation now existing, or
which shall hereafter exist under the
laws of the state.
SEC. 4. All stockholders in all incor-
porated companies, except cor
rorations organized for banking
or insurance purposes, shall
be liable for the debts OF the CORPORA
ton to the amount of their unpaid
stock, ana no more.
SEc. s.. The term corporations as
used in this article shall be construed to
include all associations and joint stock
| companies having any of the powers
or privileges of corporations not pos
sessed by individuals or partnerships,
and all corporations shall have the right
to sue and shall be subject to be sued, in
all courts in like cases as natural per-
| sons.
So, rn.,n,,.;o,, .hati ,,ot ;so,,a
stock, except 10 bona tlde subscribers
| therefor or their assignees, nor shall any
corporation issue any bond, or other OBJ
| legation for the payment of money, ex-
| cept for money or property received or
labor done. The stock of corporations
shall not be increased except in pursu-
ance of the general law, nor shall any
law authorize the increase of stock with
out the consent of ssthei persons holding
the larger amount in Value of the stock,
nor without due notice of the proposed
increase having been previously given in
such manner as may be prescribed by
law. All ticticious increase in stock or
Indebtedness shall be void.
SEC. Z. No corporation shall engage
in any business other than that author
lied in its charter, or the law under
which 1t may have been or may here
after be organized.
SEC. s. No corporation organized out
side the limits of this state shall be al
lowed to transact business within the
state on more favorable conditions than
are prescribed by law to similar corpora
tions organized under the laws of this
| state.
SEC. o. Every corporation other than
religious, educational or benevolent, or
| ganlzed or doing business i'll this state,
shall have and maintain an office or
place in this state for the transaction of
its business, whore transfers of stock
shall be made and in which shall be
kept for inspection by every person hay-
ing an interest therein, including credit
ors, and legislative committees, books
/ in which shall be recorded the amount
| OF capital stock subscribed and by whom
the names of the owners of its stock and
/ the amounts owned by them respec-
/ lively, the amount of stock paid in and
i by whom, transfers of stock, the amount
OF its assets and liabilities, and the
names and place of residence of its
| officers.
| SEC. 10. A corporation or association
may be sued in a county where con-
tract is made or is to be performed or
where an obligation or liability arises or
| the breach occurs, or in the county
where the principal place of business of
such corporation is situated, subject to
| the power of the court TO change the
SIC. IL. The legislature shall not pass
any laws permitting the leasing or alien
alton of any franchise so as to relieve the
franchise or property held Hereunder
from liabilities of the lessor or granter,
lessee or grantee contracted or incurred
in the operation, use or enjoyment OF
such franchise or any of its privileges.
SEC. IL. The state shall not i'm any
manner loan its credit nor shall il sub
. | cnviha +, or ha it,tn .a1 In fl,a atSplf Nf
any company, association or corpora
ton.
SEC Is. The exercise of the right OF
eminent nomain never shall be so
abridged or construed as 10 prevent the
legislature from taking the property and
franchise OF incorporated companies,
and subjecting them TO public use, the
same as the property of individuals.
SEo ii. The legislature shall have no
power to pass any act granting any
charter for banking or insurance pur-
poses, but corporations or associations
may be formed for such purposes under
the general laws, No corporation, asso-
citation or individual shall issue, or put
i'm circulation as money, anything but
lawful money of the United States.
Each stockholder of any such corpora
tion or joint stock association shall be
individually and personally liable for
|
bilities contracted or incurred during the
time he was stookholder, as the
amount of stock or shares owned by him
bears to the whole of the subscribed cap
ital stock or shares of the corporation OF
association.
SEC. 10. 1t shall be crime, the nature
and punishment of which shall be pre-
scribed by law, for any president, direc.
tor, manager, cashier or other officer oi
any banking institution to receive or as
sent to the reception of deposits after he
shall have knowledge of the fact that
such banking institution is insolvent OF
in failing circumstances, and any such
officer, agent or manager shall be indi-
vidually responsible for such deposits SO
received.
SIC. 10. All railroad, canal and other
transportation companies are directed to
be common carriers and subject to legis-
lative control. Any association or cor
poration organized for the. pur'
pose under the laws of this
meet at the state line with railroads
ofother states. Every railroad company
shall have the right with its road,
whether same be now constructed OF
may hereafter be constructed, to in
tersect, cross or connect with any Other
railroad, and when such railroads are ol
the same or similar gauge they shall al
all crossings, and at all points, where o
railroad shall begin or terminate at OF
near any other railroad, form proper
connections, so that the cars OF such
railroad companies may be speedily
transferred from one railroad to another
All railroad companies shall receive and
transport each the others passengers,
tonpa ue and cars without DELAY or dis.