Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1917-04-09

shall in every case appoint suitable
person to appear and act therein as the
next friend Of all minors, persons not as
certained, and persons not in being, who
are or may become interested in such
real estate; and the cost of the appear
ance and services of such next friend, in
Guiding the compensation of his counsel,
to be determined by the court, shall be
paid, as the court may order, either out
of the proceeds Of the sale or mortgage
or by the petitioner in which latter case
execution therefor may issue in the name
of the next friend '-(Approved March L,
1919
CHAPTER IL.
An Act to amend Section ffty-six of
Chapter ffty-three of the Revised
Statutes relating to retiring Of guar
anty capital Of mutual fire insurance
companies.
Section ffty-sx Of chapter fifty-three
of the Revised Statutes is hereby amend
ed to read as follows:
Section So. Such agreement shall set
forth the fact that the subscribers there
to associate themselves with the inten-
ton to constitute a corporation, the
name by which it shall be known. the
class or classes of insurance for the tran
saction of which it is to be constituted.
the plan or principle upon which it's bust
ness is to be conducted, the town or city
in which it is established or located. and
If a stock company the amount of its
capital STOCK, ana IL q mutual company
with a guaranty capital. the amount
thereof. The capital stock Of a stock
company orga nized for any of the pur-
poses hereinbefcre mentioned shall not
be less than one hundred thousand dol
lars: a mutual company incorporated to
transact any class or kind of insurance
other than fire, marine or plate glass
shall have guaranty capital as provided
in section fifty-seyen and holders of GER
tifcates of such guarantee capital shall
ilI in of
per cent in any one year. and in no case
unless such dividends a. re properly earne |
after determining all liability as required
by the insurance commissioner. Mutual
companies may be incorporated to tran
sact fire. marine and plate glass nsur-
anCe and may operate in accordance with
the provisions of section thirty-sx. an |
other provisions of the laws of this
State relating to such companies. PRO
vided. that they shall confine their bust
ness to not more than fen towns; mutual
companies which do not so limit their
business. may incorporate for any of the
foregoing purposes but before doing any
business they shall establish a guaranty
fund or capital of not less than ten
thousand dollars which may be divided
into shares of not less than one hundred
dollars and certificates issued therefor.
A dividend not exceeding seven per cent
in any one calendar year may be paid
from the net earnings of the company
after providing for all expenses, losses,
reserves and liabilities then incurred.
Such guaranty fund or capital shall be
invested as provided in section twenty
and shall be deposited with the treasurer
of State. When the cash and other
available assets of the company are ex-
hausted such part of said fund as may be
required shall. with the approval OF the
insurance commissioner, be drawn and
used to pay losses then due, When such
fund is so drawn upon the directors shall
make good the amount so drawn by as
SesSments upon the contingent funds or
notes of the company and unless such
fund is restored within six months from
date of withdra wal the shareholders
shall be assessed in proportion to the
amount of stock owned by them for the
purpose of restoring said capital. Share
holders and members of such com
panies shall be subject to the same pro-
visions of law relative to their right t.
vote as apply respectively to share
holders in stock companies and policy
holders in purely mutual companies: said
guaranty capital may be retired. by vote
of the policy-holders. when the surplus
funds of the company over and above all
liabilities, including guaranty capital
shall equal or exceed the amount of sucn
guaranty capital. or any part of said
guaranty capital may be retired; pro-
yided that the amount of net surplus and
guaranty fund shall not be less than ten
thousand dollars Said guaranty capital
shall be retired when the net cash as
the amount of guaranty capital. Any
mutual fire. marine or plate glass insur-
ance company which has established a
guaranty capital as provided herein an
has obtained applicat tons for insurance
as required by section ffty-eight. shall!
be authorized by the insurance commas
soner to write business and such com
pany may take premium note as pro-
vided in section thirty-siX, or In lieu
of said note it may charge and collect q
premium in cash and by its bylaws and
policies fix the contingent mutual liablli-
ty of it's members for the payment OF
losses and expenses not provided for by
it's cash funds; but such contingent LA
bility of a member shall not be less than
an amount equal to and in addition to
the cash premium written in his policy
and in no case less than one per cent OF
the maximum liability of the company
under id policy. The total amount OF
the liability of the policy holder shall be
plainly and legibly stated upon the fling
back of each policy. Whenever any re-
duction is made in the contingent liability
of members such reduction shall apply
proportionally to all policies i'll force. :
(Approved March ], 1910