Power of supreme court not abridged. 27. None of the provisions of this act shall restrain or abridge the power and authority of the supreme court of the State over the persons and alleged property of the insane. § 28. This act shall take effect immediately. CHAP. 284. State Re formatory. New York AN ACT to amend chapter one hundred and seventy-three of the laws of eighteen hundred and seventy-seven, entitled "An act in relation to the imprisonment of convicts in the New York State Reformatory at Elmira, and the government and release of such convicts by the managers." Amending ch. 173, Laws 1877. Transfer of convicts from State PASSED May 15, 1879; three-fifths being present. The People of the State of New York, represented in Senate and Assembly, do enact as follows: SECTION 1. Section six of chapter one hundred and seventy-three of the laws of eighteen hundred and seventy-seven, entitled "An act in relation to the imprisonment of convicts in the New York State Reformatory at Elmira, and the government and release of such convicts by the managers, is hereby amended so as to read as follows: § 6. Whenever there is unoccupied room in the reformatory, the board of managers may make requisition upon the superintendent of prisons to. prisons, who shall select such number as is required by such requisition from among the youthful, well-behaved and most promising convicts in the State prisons and county penitentiaries convicted of felony, and transfer them to the reformatory for education and treatment under the rules and regulations thereof. And the board of managers are hereby authorized to receive and detain, during the term of their sentence to the State prison or penitentiary, such prisoners so transferred; and the laws applicable to convicts in the State prisons, so far as they relate to the commutation of imprisonment for good conduct, shall be applicable to said convicts when transferred under this section. § 2. This act shall take effect immediately. Ante, p. 394. CHAP. 287. Co-opera- AN ACT to provide for the formation of county and town cooperative insurance companies. tive insur ance com panies. Incorporation. PASSED May 15, 1879; three-fifths being present. The People of the State of New York, represented in Senate and Assembly, do enact as follows: SECTION 1. It shall be lawful for any number of persons, not less than twenty-five, residing in one or more adjoining towns or in any county in this State who collectively own property of not less than fifty thousand dollars in value, which they desire to have insured, to form themselves into an incorporated company for the purpose of cooperative insurance against loss or damage by fire or lightning, by mak. ing, signing and acknowledging before some officer by law authorized to take acknowledgments of conveyances of real estate a certificate of Certificate their intention to form such corporation stating the town or towns, or the county in which such company intends to do business, its corporate name which shall embrace the county in cases when the association includes a county, and the name of the town in cases of towns in which the business office of said company is located. Every person Memberinsured in said company shall sign an application for insurance as required by the articles of association and by-laws of the company, and thereby become a member thereof. Amended in 1880, ch. 397; post, p. 1005. ship. § 2. Every company formed according to the provisions of this act Directors. shall choose of their members not less than five directors in the case of town insurance companies nor less than one director for every town in the case of county insurance companies within the territorial limits of said company, whose duty it shall be to manage the business of the company, who shall hold their office one year or until others are elected and qualified, and said directors shall choose from the members of said company a president and a secretary, and such other officers as their by-laws shall prescribe. All officers to be elected by ballot. The business and corporate powers of the companies incorporated under this act, shall be exercised by said board of directors subject to the bylaws of the company. The by-laws shall prescribe the number of said directors necessary to constitute a quorum for the transaction of business, and may provide for an executive committee for such purposes as may be necssary, and may require officers to give such bonds as the interests of the company may require. Amended in 1880; post, p. 1005. to be made §3. It shall be the duty of the first directors of any company organized Statement under this act, before doing any business of insurance, to prepare a state- and filled. ment showing the name of the company, the names of the persons comprising the proposed company, with the amount of proposed insurance to each, the name of the association, a copy of the articles and by-laws of association, and the names of the county, town or towns comprising the territorial limits within which it is proposed to do business, the names of the directors and officers, with their post-office address, the place where the principal office for the transaction of business shall be located and the mode and manner in which the business of said company is to be conducted, and file a copy thereof, signed by said directors and officers, in each of the following offices, namely: in the office of the clerk of the county where the office of the company is located, and in case of town insurance companies in the office of the clerk of the town where the office of said company is located. may be menced. § 4. The persons so associating, after having filed the statement as when required by section three, may open books to receive propositions and business enter into agreements in a manner authorized by this act. But no comcompany organized under this act shall do any business or issue any policies until bona fide agreements have been entered into covering property to be insured to the amount of not less than one hundred thousand dollars in cases of county associations, and fifty thousand dollars in cases of town associations. § 5. The directors of every company formed under this act shall Records. procure proper books in which the secretary shall keep a perfect record of all the transactions of the company and of the board of directors, and shall show at all times fully and truly, the condition, affairs and business of said company, and shall be kept open for the inspection of Policies. Undertak ing of to pay losses. every member thereof from nine o'clock in the forenoon to four o'clock in the afternoon, Sundays and legal holidays excepted. § 6. The directors of any company formed under this act may issue policies of insurance, signed by their president and secretary, agreeing in the name of said company to pay all damages not exceeding the amount insured, done to farm buildings detached at least one hundred feet, and other buildings not more hazardous, and their contents and live stock owned on the premises, caused by fire or lightning during the time mentioned in the policy of the insured loser; said directors shall not issue policies for less than one year nor for more than five years, and they shall not insure more than three thousand dollars in any one risk in town associations, and five thousand dollars in any one risk in county associations. The directors may issue more than one policy to one person, firm or corporation, having separate or detached buildings detached not less than one hundred feet that this act or the by-laws of the company do not prohibit the said company from insuring. Said policy so issued shall have attached thereto a printed copy of the by-laws and regulations of the company. Amended 1880; post, p. 1006. 87. Every person, firm or corporation or trustees so insured shall members give his, her or their undertaking, binding him, her or them, their heirs and assigns, to pay their pro rata share to the company, of all losses or damages caused by fire or lightning which may be sustained by any member or members thereof; and every such undertaking shall be filed by the secretary of such company in the office of the company. He, she or they shall also pay such percentage in lawful money, and such reasonable sum for policies and expenses as may be required by the by-laws of said company. Proceedings in case of loss. Classification of risks. Assess ments on members. Notification of. Actions for assess ments. § 8. Every person holding a policy not expired or vitiated, who has sustained a loss by fire or lightning, shall immediately notify the president or secretary of the company of his loss, and it shall be the duty of the officers of the company to at once proceed to ascertain and adjust said loss in the manner provided by the charter and by-laws of said company, and by the provisions of this act. § 9. The companies formed under the provisions of this act may classify the property or buildings insured therein, at the time of insuring and issuing policies, under different rates, according to the risk from fire which may be attached to buildings insured. Whenever the amount of any loss is ascertained, which exceeds in amount the cash on hand of the company, the president or secretary, as shall be determined in the by-laws of the company, shall convene the directors or executive committee, who shall make an assessment upon all the property insured, pro rata, sufficient to pay what the cash in hand falls short of paying, or for the whole loss, as the directors or executive committee may decide is best for the interest of the company. § 10. It shall be the duty of the secretary, within ten days, to notify every person who belongs to this company, in writing, that an assessment has been made, and the amount due from him or them as their share of the loss, and the time when and to whom such amount must be paid; but no such time shall be less than thirty or more than ninety days from the time of such notice; the cost and expenses of collection to be regulated by the by-laws of the company. § 11. Suits at law may be brought against any member or members of any company, organized under the provisions of this act by the president thereof, in the name of the company, in any of the courts of this State, of competent jurisdiction, to recover all assessments that any member neglects or refuses to pay when made upon him or ing to pay. them under the provisions of this act or the by-laws of the company. Any member or members of any company formed under this act who Penalty refuses or neglects to pay his or their part of any assessment, or for for refus any other reason satisfactory to the directors, may be excluded by a majority of the directors of the company from the company, and when thus excluded, the president shall cancel or withdraw his or their policy or policies, which shall prevent him or them recovering for any loss after exclusion by the directors; but nothing herein contained shall prevent the collection of such assessment in any suit at law. The officers of any company formed under this act, who shall neglect Penalty or refuse to perform the duties imposed upon them by the provisions feet of of this act, shall be liable in their individual capacity for the amount duty by lost to the person or persons who lose by their refusal or neglect. lect officers. out of § 12. No company organized pursuant to the provisions of this act Insuring shall insure any buildings or property out of the limits of the terri- property tory comprised in the articles of association adopted in the formation territory. of the company, except where a person or member of the company, who has a farm extended beyond the line of the said limits in which he resides, has buildings on that part beyond, in which case such buildings and their contents may be insured, together with his what other buildings; nor shall any company insure any property other than property detached dwellings and their contents, farm buildings and their con- insured. tents, distant one hundred feet from any other building and live stock owned upon such property. Amended 1880; post, p. 1006. chosen. § 13. The directors of any company organized under the provisions Directors, of this act shall be chosen by ballot, at the annual meeting of the com- how pany which shall be held on the second Tuesday of January, unless some,other day be designated by the by-laws of any such company. At such meeting every person insured shall have one vote, and shall be votes. entitled to vote by proxy at such elections, unless prohibited by the by-laws of the company. Amended 1880; post, p. 1006. statement. § 14. It shall be the duty of the president and secretary of each and Annual every company formed under the provisions of this act, to make a statement under oath, showing the condition of such company on the day preceding the election of officers, which shall contain the amount and kind of property insured; the number of policies issued cach year from the time of the organization of such company up to the time of making such statement, and the names of the persons to whom issued during the year last passed, and the amount of such policy; the names of persons withdrawn or excluded from the company, with the amount of insurance of each; the whole amount of moneys received by such company during the year, together with an itemized account of the same and the source whence derived; the amount of disbursements, together with an itemized account of the same; including salaries of officers; all fees, commissions and all sums paid for any purpose, and all other matters of interest to the company or members thereof; which statement or a certified copy thereof shall be filed in the town clerk's Statement office of the town where the office of the company is located, in cases of town insurance companies, and in the office of the clerk of the county in cases of county insurance companies, within thirty days after the annual meeting in each year. And no company organized Other under the provisions of this act, nor their officers, shall be required to statemake any report or statement, or do any requirement not contained in required. the provisions of this act or in the by-laws of the company to which they belong. to be filed. ments not drawal of With- § 15. Any member of such company may withdraw therefrom at any members. time, by notice in writing to the president, or in his absence to the secretary, and paying his share of all claims existing against the comAdmission pany and surrendering his policy or policies. Members may be admitof mem- ted who reside within the territorial limits of the company, upon the bers. Limita tions on business. By-laws. Present may organize under the act. same terms and conditions as the original members, subject to the by-laws of the company organized under the provisions of this act. Non-residents who own property that may be insured in any such company may become members for the purpose of having their property insured, and shall enjoy all the rights and privileges of such company, and shall be accountable the same as other members, but shall not be eligible to hold office in said company. 16. No company formed under this act shall insure against losses otherwise than by fire or lightning, nor issue life insurance policies or policies on any other risk not mentioned in this act, nor shall they insure any buildings or property within the corporate limits of any city or village, situated less than one hundred feet distant from any other risk or structure. 17. Any company formed under the provisions of this act may make and enforce such by-laws for its regulation as two-thirds of all the directors may adopt, and any amendment may be adopted by being presented to the president at least three months previous to any regular meeting of said directors; but said proposed amendment shall be voted for at a regular meeting, and two-thirds of the votes of all the directors shall be required to adopt it. No by-laws shall be of any effect, if inconsistent with the provisions of this act or the laws of the State. The by-laws may provide for compensation of the officers of the company and the number and kind and the security proper to be given by any officer, and may designate the amount of money that may be kept on hand and the manner of disbursing the same, and make provision for books for records of the transactions of the company. § 18. Any company already doing a business of insurance upon the companies principles prescribed by this act, may become organized and possess all the powers and be subject to the restrictions and regulations required by this act upon filing a statement of their condition at the time, containing the requirements of section three in the offices required by said section. The said companies shall thereafter be subject to the provisions of this act, and the policies theretofore issued by them shall be as valid and the rights and powers of the officers and members of such companies shall be the same in all respects as if they had been originally organized under this act. § 19. This act shall take effect immediately. |