CHAPTER 139.

[H. B. No. 153-Olson.]

DOMESTIC MUTUAL INSURANCE COMPANIES.

An Act to Amend and Re-enact Section 4871 of the Compiled Laws of the State of North Dakota for the Year 1913, Relating to Membership, Notice of Meetings, Articles of Incorporation, Renewal of Term of Corporate Existence and By-Laws of Domestic Mutual Insurance Companies.

Be it Enacted by the Legislative Assembly of the State of North Dakota:

§ 1. AMENDMENT.] That Section 4871 of the Compiled Laws of the State of North Dakota for the year 1913 is hereby amended. and re-enacted so as to read as follows:

§ 4871. INSURED A MEMBER, NOTICE OF MEETINGS, ARTICLES OF INCORPORATION, RENEWAL OF TERM OF CORPORATE EXISTENCE, BY-LAWS.] Every person insured by a domestic mutual insurance company, other than life, shall be a member while his policy or policies are in force, entitled to one vote only, and shall be notified of the time and place of holding its meetings by a written notice or by an imprint on the back of each policy, receipt or certificate of renewal as follows, to-wit:

"The assured is hereby notified that by virtue of this policy he is a member of the

mutual insurance company, and that the annual meetings of such company are held at its home office on the..

in each year at...

day of

o'clock."

The blanks shall be duly filed and the same shall be deemed a sufficient notice.

Articles of incorporation may be amended, the term of corporate existence extended and by-laws adopted, amended or repealed at any annual meeting or at a special meeting called for that purpose, by a two-thirds vote of the members voting. The provisions of this section shall also apply to county mutual insurance companies. Approved March 10, 1917.

CHAPTER 140.

[H. B. No. 393-Geiger.]

ORGANIZATION OF INSURANCE CORPORATIONS.

An Act to Amend Section 4836 Revised Codes 1913, Relating to the Purposes for which Insurance Corporations May be Formed in North Dakota: Be it Enacted by the Legislative Assembly of the State of North Dakota:

.

§ 1.] That Section 4836 of the Revised Codes of 1913 be and the same is hereby amended and re-enacted to read as follows:

§ 4836.] Any number of persons, not less than seven, may form 2 corporation to carry on the business of insurance, either upon the

LAW LIFKARE

THEO. HAMG BREWING OF

ST. PAUL, MINN,

stock or mutual plan, against loss or damage by fire, lightning, cyclone, tornado, hail or theft, or the risks of inland navigation and transportation, or to make insurance upon the lives of persons and every insurance pertaining thereto, and against accidental injuries including the granting, purchasing and paying of annuities and indemnities and to transact fidelity insurance and corporate suretyship; also including insurance upon automobiles, covering in one policy or in separate policies fire, theft, property damaged, liability and collision insurance. An insurance company incorporated under the provisions of this chapter shall have power to make insurance of any of the kinds hereinbefore mentioned, which shall have been expressed in its articles of incorporation.

§ 2. All acts and parts of acts so far as they conflict with the provisions of this act are hereby repealed. Approved March 10, 1917.

CHAPTER 141.

[H. B. No. 154-Magnuson.]

PAYMENT OF DIVIDENDS BY DOMESTIC FIRE INSURANCE COMPANIES FROM SURPLUS PROFITS.

An Act to Amend and Re-enact Section 4844 of the Compiled Laws of North Dakota for the year 1913, Relating to the Payment of Dividends by Domestic Fire Insurance Companies from Surplus Profits.

Be it Enacted by the Legislative Assembly of the State of North Dakota:

§ 1. AMENDMENT.] That Section 4844 of the Compiled Laws of North Dakota for the year 1913, be and the same is hereby amended and re-enacted so as to read as follows:

§ 4844. DIVIDENDS ONLY FROM SURPLUS PROFITS. PROFITS, How ESTIMATED.] No domestic fire insurance company shall make any dividends except from the surplus profits arising from its business; and in estimating such profits there shall be reserved therefrom a sum equal to forty per cent of the amount of premiums on all unexpired risks and policies, which amount so reserved, is hereby declared to be unearned premiums; and there shall also be reserved all sums due the company on bonds, mortgages, stocks and book accounts of which no part of the principal or interest thereon has been paid during the year preceding such estimate of the profits, and upon which suit for foreclosure or collection has been commenced, or which after judgment has been obtained thereon shall have remained more than one year unsatisfied and on which interest shall not have been paid.

§ 2. REPEAL.] All acts and parts of acts in conflict with this act are hereby repealed.

Approved March 12, 1917.

CHAPTER 142.

[H. B. No. 45-Harris.]

PROHIBITING SALE OR NEGOTIATION OF A PROMISSORY NOTE TAKEN IN PAYMENT OF A FIRST PREMIUM OF A LIFE,

HEALTH OR ACCIDENT INSURANCE POLICY.

An Act to Prohibit the Sale or Negotiation of a Promissory Note Taken in Payment of a First Premium of a Life, Health or Accident Insurance Policy, until after the Applicant has been Examined or has received a Binding Receipt, and the Examination has been received by the Insuring Com

pany.

Be it Enacted by the Legislative Assembly of the State of North Dakota:

§ 1. No promissory note taken in settlement of the first premium on any life, health or accident insurance policy, shall be in any manner sold or negotiated prior to the applicant's medical examination, where one is required or unless a binding receipt for such premium signed by an authorized agent of such insurance company has been delivered to the applicant, nor until such application and medical examination has been received by such insurance company.

2. PENALTY.] Any person violating the provisions of this act shall be deemed guilty of a misdemeanor, and shall for the first offense be punished by a fine of not less than fifty dollars ($50.00) or by imprisonment in the County Jail for a period of not less than ten (10) days nor more than thirty (30) days, or by both fine and imprisonment, in the discretion of the Court, and for the second offense shall be punished by fine or imprisonment as proIvided in the case of the first offense.

Approved, February 20, 1917.

INSANE

CHAPTER 143.

[H. B. No. 244-Liederbach.]

COMMITMENT OF FEEBLE MINDED PERSONS.

An Act to Amend and Re-enact Section 1714 of the Compiled Laws of North Dakota for the year 1913, Relating to the Commitment of Feeble Minded Persons to the Institution for the Feeble Minded.

Be it Enacted by the Legislative Assembly of the State of North Dakota:

§ 1. AMENDMENT.] That Section 1714 of the Compiled Laws of the State of North Dakota for the year 1913 is hereby repealed and re-enacted so as to read as follows:

§ 1714. All feeble minded persons residents of this state, who,

in the opinion of the superintendent, are of suitable age and capacity to receive instruction in the institution for the feeble minded, and whose defects prevent them from receiving proper training in the public schools of the state and all idiotic and epileptic persons residents of this state shall receive the benefits of the institution subject to the payment of the sums hereinafter provided, and to such rules and regulations as may be made by the Board of Control; provided, however that any inmate of such institution shall not be removed therefrom except on written request of the parent, guardian or custodian of such inmate which said request must receive the approval of the Board of Control and superintendent before such inmate can be removed. Feeble minded persons shall be committed to the institution for the feeble minded in the same manner and on pursuing the same course of legal commitment as govern admission to the State Hospital for the Insane. Such commitment shall comply with such rules and regulations as may be made by the Board of Control, and shall be accompanied by the certificate of indigence as provided in Chapter 113 of the Session Laws of North Dakota for the year 1915. Approved March 12, 1917.

CHAPTER 144.

[H. B. No. 202-Committee on Appropriations.]

COST OF MAINTAINING PATIENTS IN HOSPITAL FOR INSANE. An Act to Amend and Re-enact Section 1762 of the Compiled Laws of North Dakota for the year 1913, Relating to the Cost of Maintaining Patients in the Hospital for the Insane.

Be it Enacted by the Legislative Assembly of the State of North Dakota:

§ 1. AMENDMENT.] That Section 1762 of the Compiled Laws of North Dakota for the year 1913 is hereby amended and reenacted so as to read as follows:

§ 1762. CoST OF TREATMENT. HOW DETERMINED.] The board of control of the state hospital for the insane shall from time to time fix the amount to be paid for the board, care and treatment of the patients, which shall not exceed the sum of eighteen dollars per month for residents of the state; provided, however that all nonresidents shall pay the actual cost of care and treatment, and the amounts so fixed shall be the sum the state hospital for the insane shall be entitled to demand for keeping any patient, and the certificate to that effect, subscribed and sworn to by the superintendent shall be evidence of the amount due as fixed.

Approved March 10, 1917.

CHAPTER 145.

[S. B. No. 202-Murphy.]

FEEBLE MINDED PERSONS.

An Act to Amend and Re-enact Section 1717 of the Compiled Laws of North Dakota for the year 1913, as Amended by Section 4 of Chapter 113 of the Session Laws of 1915, Relating to the Support of Feeble Minded Persons in the Institution for the Feeble Minded.

Be it Enacted by the Legislative Assembly of the State of North Dakota:

§ 1. AMENDMENT.] That Section 1717 of the Compiled Laws of North Dakota for the year 1913 as amended by Section 4 of Chapter 113 of the Session Laws of North Dakota for the year 1915 is hereby amended and re-enacted so as to read as follows:

§ 1717. The person legally responsible for the support of any person admitted to the Institution for the Feeble Minded shall pay the sum of fifteen dollars per month during all the time such defective person is an inmate of the Institution. This amount shall be paid to the County Treasurer monthly. If the person liable to pay this amount fails or neglects to make payment thereof upon demand by the Auditor, the Board of County Commissioners must direct the States Attorney to bring an action in the name of the state against such person for the recovery of such payments as are delinquent. This action shall be a civil action and shall be brought in the district court of the county responsible for the inmate in the institution for Feeble Minded. If the person liable for the support of such inmate be unable to pay such sum, for which inability the certificate of the county judge of the county from which such inmate was admitted shall be prima facie evidence, such sum shall be a charge upon the county and no action shall be brought or maintained against a person unable to pay for the support of such inmate after the county judge has issued the certificate herein provided. Provided, however, that before such certificate of inability to pay be issued by the county judge, full and correct answers must be given to a property statement, the form of which shall be prepared by the State Board of Control, in the same manner as prescribed for the admission of patients to the Hospital for the Insane by section 2560 of the Compiled Laws for the year 1913; and the correct postoffice address of the parent, parents, guardian or next of kin of such feeble minded person shall be given. A copy of such property statement and the address of the parent, parents, guardian or next of kin of such feeble minded person shall be attached to and made a part of the said certificate of the county judge.

Approved March 1, 1917