Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-08-12
STORES ON SHARES,
The Law on the Subject of Cooper
ative Associations and Their
Rights at Present.
S0ME0F THEM NOW FL0URISHING.
One That Has Far 0utgrown the Limits of
the Building Leased for Its
Accommodation.
SOMEOF THEM NOW FLOURIsHING.
LEGISLATION ON THE INSTITUTIONS.
Some Stiff Penalties Provided for CrOOkedneSs in
Their Management

truth, that the cause is that modern econo-
mical environment offers so many induce
ments, either for investment in something
tangible that will earn money, or to put
surplush cash into savings banks, or to spec
ulate sometimes gamble), that only fool
or farmer of the olden kind will lock his
money in an iron box and run the risk of
being tortured and murdered for it.
The judge runs over several columns
in telling people of small means how
they may invest safely in Govern
ment State, railway and county bonds,
railway stocks, mortgages, etc., and
especially copmendS savings banks.
This is all well enough in its way, but he
does not reach class to whom saving is i'm
portant, and who can do little or nothing in
any of the different kinds of investments of
which he explains the working, and the
Anti Poverty Society has. so far, either not
put forth any tangible plan of operation, or
people who need help do not take kindly to
it. Doubtless the poor will always be with
US, but among them is large class that
would like to reap something more than the
scant result of unintermittent toll.
ADVANTAGES OF SAVINGS BANKS.
Savings banks are good institutions for
those who have stamina sufficient to allow
deposits to remain until they form a sum
sufficient for investment or active business,
but many people are lacking IN this quail
itv. The Legislature of this State has pro-
vided plan whereby people of small means
may start cooperative stores, and though
some OF them, perhaps the majority, may fall
by the wayside, did the one started
by colored people on Wylie avenue a
year or two ago, yet the leaven is
working, and in time the masses may
learn the value of combination as well as the
people OF large means who not only CO.
operate, but as the people know by sad ex-
perience, carry it so far by means of mo-
nOpolisric trusts and combines as to make it
an engine OF tyranny. Corporations are
necessity nowadays for without the accumu-
1atiOnS OF the wealthy we should not only be
required. as of old, to pay eNorDitant prices
Tor the necessaries OF life, but would be with
ont railways, telegraphs, telephones, ETC.,
and even monopoly frequently without in
tending il tends to the cheapening of articles |
Of necessity The trouble is that most peo-
pie are so harassed in the struggle for exist |
encC that they do not acquire sufficient in |
uelligence to control monopoly without |
strangling enterprise 1t is admitted that
even those political ''bosses,'' Tweed and /
Sheppard were blessings in dis |
guise. They have made the peo- |
pie of New York and Washington |
Though, If the people of those cities had CO. |
operated and done the work themselves, |
they could have achieved the same results
at much less cost.
a REQUEST FOR INFORMATION.
A sample of frequent inquiries comes from
Phillipston, Clarion county:
please answer, to settle a dispute and en-
tighten many of your readers, whether CO.
operative stores can legally sell goods on |
credit, or be sued at law for collect ion of 1
bills"
case. 1t was stated that the Legislature last |
winter had enacted some further legislation /
on the subject, and Representative d. r. |
Jones was said to be the man who could tell |
all about it, but Mr.. Jones said it did not |
concern the act OF 1871. That act is entitled /
one to encourage and authorize the forma- |
tion Of cooperative associations, productive |
and dlstributive, and under ii any five or |
more farmers, mechanics, laborers or |
other persons may associate themselves |
for the purpose Of carrying on any agricul- |
TuTal, horticultural mining. Quarrying, |
building, mechanical, manufac cturing or |
commercial business. or for the purpose of |
manufacturing, cultivating, raising, trading |
on dealing in all kinds Of goods, wares, mer-
chandise, chattels, grain, vegetables, roots, |
fruits and other produce, or animals for sale, 1
food or other purposes, or for the purpose |
Of buying, selling, holding leasing or i'm J
proving lands, tencments or buildings, and |
may adopt any corporate name indicating |
their cooperative character, and which has |
corporation formed under this act, provid- |
ed that the last two words OF such name |
shall be cooperative associa ton" 1t is |
not lawful to use in such name either the |
words society" or company" and any vi |
olatiOn OF this proviso by any corporation |
formed under this act renders each member |
thereof personally liable for all its debts.
As the act covers II pages in the pamphlet |
laws Of that session, those who feel like as
sociating must examine its multifarious pro-
visions for themselves. They will find them |
Aifaf.a
ection bearing on the inquiry, however, is |
here quoted. 1t is the eighth:
RESTRICTIoNS OF THE LAW.
That any such association may buy from,
sell 20, and trade or deal with any of its |
members, or other persons, partnerships or
corporations, but all transactions shall be /
fOr cash, and no credit shall be given or
taken, except that such association may con- |
trHct for and pay the wages and salaries Of |
its employees once in each week, in cash, and |
except that such association may sell real |
estate, improved or otherwise, in such |
the agreed price shall be paid /
in cash at the time of SALE and that not more |
than three-fOurths of the agreed price, to-
gcther with interest on the amount of
principal, interest and charges owing, from
time to time, at q rate not exceeding . per
cent per annum, may be secured by bond
and mortgage, or by promissory notes and
mortgages; and may be made payable by
liked and equal periodical installments:
Provided, however. that such association
may take or grant leases of real estate for
such terms as may be agreed upon, but no
such lease for any time exceeding one year, |
or creating a credit or liability for any sum
exceeding $500, shall be lawful or valid until
the same shall be approved by vote
Of the members at any regular quar-
terly meeting thereof: And provided |
further, that any credit given to any such
association in violation OF the provisions of |
this act shall cause forfeiture of any credit |
thus illegally given, and that a notice to
such effect shall be published by such asso-
citation on its letter and bill heads, adver-
tisements, and other publications."
Section 9 provides that members are in
dividually liable for debts of the associa tion
lawfully incurred to the amount of their I'M
paid stock capital, and no more, but this
must be after judgment has been obtained
AGAINST the association and execution
thereon returned unsatisfed in whole
or part, and in case q member is made /
TO pay beyond his pro rata liability he may
sue the rest Jointly or severally, and recover
the Tatable amount due from each member.
The stock capital TO the extent of SIS be- 1
longing to member, who is n householder
and has family, Is not subject to attach
ment or execution, OF liable in garnishment
for his individual debIs.
HE PENALTY FOR CRooKEDNESs.
Among other provisions the minutes of |
the secretary are evidence of what is done
at meetings. such associations must hold
quarterly meetings in January, April, July |
and October, at which reports of the asso-
ciation's transactions must be made, and
any officer knowingly consenting to any
false statement in a report is to be deemed
guilty of a misdemeanor, and on conviction
may be fined not more than s, ,0G0, and i'm
prisoned in the penitentiary for not more
Than one wear, or both, in the discretion of
the Court. Profits must be applied, first
to the reduction of the value of fixed |
stock and plant OF The associa-