Art. 9 Town and County Co-operative Insurance Corporations. §§ 274-277

to make any report or statement, nor perform any requirement not contained in this article or in the by-laws of the corporation.

Formerly L. 1892, ch. 690, § 273.

§ 274. Withdrawal of members; new members. Any member of any such corporat on may withdraw therefrom at any time by ten days' notice in writing to the secretary and paying his share of all claims existing against the corporation, and surrendering his policy or policies. Members may be admitted who reside or own property within the territorial limits of the corporation, upon the same terms and conditions as the original members, subject to the by-laws of the corporation. Nonresidents. who own property which may be insured in any such corporation may become members for the purpose of having such property insured, and shall have all the rights and privileges of the corporation and be accountable as other members, but shall not be eligible to hold office in the corporation.

Formerly L. 1892, ch. 690, § 274.

No corporation

275. Restrictions as to business. shall be formed under this article for the purpose of transacting the business of insurance not specified in either subdivision one or two of section two hundred and sixty-one, and no such corporation shall be formed for the purpose of transacting the business specified in both subdivisions or partly in both, and no such corporation shall insure against any losses except such as are specified in the subdivision under which it is incorporated for the purpose of making insurances.

Formerly L. 1892, ch. 690, § 275.

§ 276. By-laws. Every such corporation may make and enforce such by-laws not inconsistent with law for its regulation as may be prescribed by a vote of two-thirds of its directors at any meeting thereof. Amendments may be made to such by-laws by a like vote of the directors at any regular meeting thereof, if presented to the president at least three months previous to the meeting. The by-laws may also provide for the number, kind and compensation of its officers and the security to be given by any officer, and may designate the amount of money that may be kept on hand, the manner of disbursing the same, and make provisions for books of record of the transactions of the corporation.

Formerly L. 1892, ch. 690, 276.

§ 277. Reorganization of existing corporations. Any corporation already doing a business of insurance upon the principles prescribed in this article may become organized here

§ 278 Town and County Co-operative Insurance Corporations. Art. 9

under and possess all its powers and be subject to the restrictions and regulations required herein upon filing a statement of its condition at the time containing the requirements of section two hundred and sixty-three, in the offices specified in such section. Thereafter such corporation shall be subject to the provisions of this article, and the policies theretofore issued by it shall be as valid, and the rights and powers of the officers and members shall be the same in all respects as if it had been originally organized under this article.

Formerly L. 1892, ch. 690, § 277.

§ 278. Limitation of business; extension of territorial limits. Except as hereinafter provided no corporation formed under the provisions of this article, or any such corporation formed under any similar act repealed by this chapter, shall transact business in more than five counties, which shall be designated in the certificate of incorporation. But any corporation organized and doing business under the provisions of any act repealed by this chapter, or which may be hereafter organized and do business under the provisions of this article, in one county, or two or more adjoining counties, may extend its business into any number of adjoining counties, not exceeding five in all, by filing in the office of the clerk of such county or counties a duly certified copy of the certificate and statement filed in the office of the secretary of state under the provisions of section two hundred and sixty-three, and filing in the office of the secretary of state and of the county clerk of each county comprised in its territorial limits, a certificate signed by at least two-thirds of its directors, stating the counties in which such corporation proposes to do business; and upon filing such certificates and certified copies herein provided, and also filing therewith a statement verified by its president and secretary of its outstanding insurance, showing that it has bona fide insurance in force exceeding three hundred thousand dollars for each and all the counties in which it does and intends to do business, any such corporation shall possess all the business and corporate powers, rights and privileges in the counties named in such certificate, not exceeding five, and be subject to the same liabilities as if originally organized under a certificate specifying the same counties as the territorial limits of such corporation. Any corporation doing business in five counties may extend its business into as many adjoining counties including such original counties as shall not exceed one county for each one million dollars of its insured property in force at the time of any such extension, except that companies organized exclusively for the purpose of in

Art. 9 Town and County Co-operative Insurance Corporations. §§ 279, 280 suring cheese factories and creameries and their contents may extend to any number of counties, not exceeding one county for each full one hundred thousand dollars of insurance in force, otherwise, such extension or extensions shall be made in all respects in the manner herein provided.

Formerly L. 1892, ch. 690, § 278, as am'd by L. 1893, ch. 687, § 4; L. 1896, ch. 907, § 1; L. 1898, ch. 654, § 1, and L. 1905, ch. 217, § 5. § 279. Existing town corporation may extend itself to entire county. Any such corporation already organized as a town corporation and doing a business of insurance upon the principles prescribed in this article in one or more towns in any county, may extend its business to the entire county, by filing in the office of the clerk of such county a duly certified copy of the certificate and statement filed in the office of the secretary of state under the provisions of section two hundred and sixty-three of this article, and also filing in the office of the secretary of state a certificate signed by at least two-thirds of the directors of the corporation, stating the county in which such corporation intends to do business, and the name of such corporation which shall include the name of such county; and upon filing such certificate and certified copies as herein provided, any such corporation shall possess all the business and corporate powers, rights and privileges in the county named in the certificate and be subject to the same liabilities as if originally organized under a certificate specifying such county as its territorial limits. Policies theretofore issued by any such town corporation, shall be deemed to have been issued by such corporation as reorganized, and shall be valid and enforced in the same manner in all respects as if they had been originally issued by such town corporation, and the board of directors of such town corporation in office at the time of the reorganization of such corporation as herein provided, shall be the directors of such corporation until the second Tuesday of January next after such reorganization, at which time a new board of directors shall be chosen as provided in this article.

Formerly L. 1892, ch. 690, § 279.

§ 280. Extension of corporate existence. Any corporation or association formed under chapter two hundred and eighty-seven of the laws of eighteen hundred and seventynine, and the acts amendatory thereof, or under the provisions of this article, at any time within three years before the expiration thereof may extend the term of its existence beyond the time specified in its original certificate of incorporation, or in any certificate of extension, or by-law, by the consent of two-thirds of

$ 280

Town Insurance Companies, Laws 1857, Chap. 739. Arts. 9, 10

its directors, in and by a certificate signed and acknowledged by them, and filed in the offices in which the original certificates of its incorporation were filed, if at all, and, if not, then in the offices where certificates of incorporation are now required by law to be filed, which certificate shall be executed pursuant to a resolution passed by a majority vote of the members of such association or corporation present at any annual or special meeting thereof duly called, notice of the purpose of which meeting shall be duly given, and such resolution shall state the term for which extension shall be made. A copy of such resolution verified by the affidavit of the president or secretary of such association or corporation, and stating that the same has been duly passed as aforesaid, shall be filed at the same time, and at the same place and places as said certificate, and the officers with whom such certificate and affidavit may be filed shall thereupon make a memorandum of such filing in the margin of the original certificate in such book, if any, and thereupon the time of existence of such association or corporation shall be extended as designated in such certificate for a term not exceeding the time for which it was incorporated in the first instance.

Formerly L. 1892, ch. 690, § 280 part, as added by L. 1901, ch. 142, § 1, and am'd by L. 1904, ch. 551, § 1.

ARTICLE 10

Town Insurance Companies Organized and Existing Under and Pursuant to Laws 1857, Chapter 739

Section 330. Article limited to town insurance companies organized under L. 1857, Ch. 739.

331. General powers and duties.

332. Directors and officers.

233. Directors to keep records.

334. May issue policies against fire or lightning.

335. Policyholder to give undertaking.

336. Procedure in case of loss.

337. May classify risks, fix rates and make assessments.

238. May notify policyholders of losses.

339. Actions to be brought against policyholders.

340. Location and character of insurance limited.

341. Members may withdraw.

342. Nonresidents as members.

343. May adopt by-laws and regulations.

Art. 10 Town Insurance Companies, Laws 1857, Chap. 739. §§ 330-333 Section 344. Directors how and when elected; secretary to report. 345. Time of existence of companies extended.

346. Manner of extension of corporate existence.

§ 330. Article limited to town insurance companies organized under L. 1857, Ch. 739. This article relates exclusively to town insurance corporations organized and existing under and pursuant to the provisions of laws eighteen hundred and fifty-seven, chapter seven hundred and thirty-nine, entitled "An act to authorize the formation of town insurance companies," passed April seventeenth, eighteen hundred and fiftyseven, and the acts amendatory thereof and supplemental thereto. Nothing herein contained however shall be held or construed to revive said act, or to authorize the formation of other companies under what were the provisions thereof before the same was repealed by laws eighteen hundred and sixty-two, chapter three hundred and forty-seven.

New.

§ 331. General powers and duties. A town insurance corporation organized and existing under and pursuant to the provisions of the act mentioned in section three hundred and thirty shall possess the usual powers, and be subject to the usual duties of corporations.

Formerly L. 1857, ch. 739, § 1, as am'd by L. 1858, ch. 285, § 1.

§ 332. Directors and officers. Any town insurance company organized and carrying on business pursuant to the provisons of the act mentioned in section three hundred and thirty, and chapter one hundred and forty-six of the laws of nineteen hundred and four, is hereby authorized to choose of their number not less than five or more than nine directors to manage the affairs of such company. Such directors shall be elected annually and hold office for one year, or such directors may be divided into classes and a portion only elected each year, and hold their office for such term not exceeding three years, as said company shall determine in its by-laws. Such directors shall choose one of their number president and one secretary and shall hold office until their successors are chosen.

Formerly L. 1886, ch. 566, § 1.

§ 333. Directors to keep records. The directors of such company shall keep a record of their proceedings in a book to be kept for that purpose, together with the names of all persons insured, and the amount each person is insured, which record shall be open for the inspection of all the members of such