be granted for a period of more than 30 days, but it may be renewed from time to time by the commission. The commission shall include in its annual report, and if thereto required by the Governor, in any special report, a statement of all temporary authorities granted or renewed. during the year or period specified by the Governor, together with a statement of the facts in each case because of which such authority was granted.

The acceptance or refusal by an eligible person of a temporary appointment shall not affect the standing on the register for permanent appointment.

APPROVED June 29th, 1915.

CORPORATIONS.

BUILDING AND LOAN ASSOCIATIONS-LOANS, SECURITY.

§ 1. Amends section 8, Act of 1879.

§ 8. As

amended, provides real estate security shall be accompanied by an abstract of title of the property, a guaranteed title or certificate under the Torrens system.

(SENATE BILL No. 374. APPROVED JUNE 25, 1915.)

AN ACT to amend section eight (8) of the Act entitled, "An Act to enable associations of persons to become a body corporate to raise funds to be loaned only among the members of such association," in force July 1, 1879, and Acts amendatory thereto.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: That section eight (8) of an Act entitled, "An Act to enable associations of persons to become a body corporate to raise funds to be loaned only among the members of such association," in force July 1, 1879, and Acts amendatory thereto, be and the same is hereby amended to read as follows:

§ 8. The board of directors shall hold such stated meetings not less frequently than once a month, as may be provided by the by-laws. At which meeting the money in the treasury shall be offered for loan in open meeting, and the shareholders who shall bid the highest premium for the preference or priority of loan, shall be entitled to receive a loan of one hundred dollars for each share of stock held by said shareholders; the said premium bid may be deducted from the loan in one amount, or may be paid in such proportionate amounts or installments, and at such times during the existence of the shares of stock borrowed upon, as may be designated by the by-laws, of the respective associations: Provided, that any such association may, by its by-laws, dispense with the offering of its money for bids in open meeting, and in lieu thereof loan its money at a rate of interest and premium fixed by its by-laws, and either with or without premium, deciding the preference or priority of loans by the priority of the applications for loans of its shareholders: And, provided, that no loan shall be made by said association except to its own members, nor in any sum in excess of the amount of stock held by such members borrowing, but such shareholders may borrow such fractional part of one hundred dollars as the by-laws may provide. Good and ample real estate security, unincumbered,

except by prior loans of such association, shall be given by the borrower to secure the payment of the loan: Provided, that such real estate security shall be accompanied by an abstract of the title of the property in question or a guaranteed title thereof or a certificate under the Torrens system: Provided, however, that the stock of such associations may be received as security, to the amount of the withdrawal value of such stock: And provided, that the board of directors may by a twothirds vote of all its members temporarily invest the funds of the association in the treasury in excess of the demands of the shareholders in other securities, but such investment shall not exceed twenty per centum of the assets of the association. Any mutual building, loan and home stead association, which may have heretofore been incorporated under the laws of the State of Illinois, may avail itself of all the power conferred by this Act.

APPROVED June 25th, 1915.

BUILDING AND LOAN ASSOCIATIONS-MEETINGS TO ORGANIZE.

§ 1. Amends section 2 of Act of 1879.

§ 2. As amended, increases the number of shares necessary to be subscribed before a meeting may be held to organize.

(HOUSE BILL NO. 254. APPROVED JUNE 29, 1915.)

AN ACT to amend section 2 of an Act entitled, "An Act to enable associations of persons to become a body corporate to raise funds to be loaned only among the members of such association," in force July 1, 1879.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: That section 2 of an Act entitled, "An Act to enable associations of persons to become a body corporate to raise funds to be loaned only among the members of such association," be and the same is hereby amended so as to read as follows:

§ 2. That whenever 200 shares or more of the capital stock shall be subscribed in cities, towns or villages of fewer than 5,000 inhabitants; and 500 shares or more in cities, towns or villages of 5,000 inhabitants or more, the commissioners shall convene a meeting of the subscribers for the purpose of electing at least seven subscribers as directors, adopting by-laws and the transaction of such other business as shall come before them. Notice thereof shall be given by depositing in the postoffice, properly addressed to each subscriber, at least ten days before the time fixed, a written or printed notice, stating the object, time and place of such meeting. Directors of such corporations organized under this Act shall be elected, classified and hold their office for such period of time as is provided by general law governing the election and classification of directors, trustees or managers of corporations.

APPROVED June 29th, 1915.

AN ACT to provide for the incorporation of co-operative associations for pecuniary profit.

SECTION 1. Be it enacted by the People of the State of Illinois represented in the General Assembly: That any five or more persons who may be desirous of uniting as mechanics, laborers, agriculturists, or in any other capacity in any co-operative association for the purpose of purchasing of or selling to all shareholders and others, all manner of groceries, provisions and any other articles of merchandise, for cash or otherwise at such reasonable prices over the cost thereof as will enable the members of such association to obtain or dispose of such commodities at the smallest practicable rate of cost and also, if desired, to manufacture any such articles of trade or merchandise such as flour, meal, boots, shoes, clothing, groceries and to vend same as aforesaid, or for the purpose of cultivating and raising vegetables, fruits or other products, or animals for food for said members or to vend same as aforesaid, or who may be desirous of engaging as shareholders in any association for the conducting of a general agricultural or horticultural business, or any combination of the two for the purpose of growing or producing general or special agricultural, horticultural, orchard, garden, nursery or dairy produce, or for the manufacture and sale, or the sale, or the purchasing of, or the dealing in any of the commodities in this section mentioned either at wholesale or retail, either for the use of such shareholders or for sale to other persons, or who may be desirous of becoming interested in other like associations-may become incorporated for that purpose by making a statement to that effect under their hands and seals duly acknowledged before some officer authorized to take acknowledgments, setting forth the name of the proposed association, its capital stock, its location, and duration of the association and the particular branches of business which it intends to prosecute, which statement shall be filed in the office of the Secretary of State.

The Secretary of State shall thereupon issue to such persons a license as commissioners to open books for subscription to the capital stock of such association at such time and place as they may determine.

§ 2. No person shall be permitted to subscribe for more than five shares of the capital stock of such association, nor shall any person be permitted to own or control more than five shares of the capital stock of such association. The shares of stock shall be not less than five dollars nor more than one hundred dollars a share, and subscriptions thereto shall be made payable to the association at such time or times and in such manner as shall be determined by the directors. No stock shall be issued except at its par value and no stock shall be issued in amount to exceed five hundred dollars to any one shareholder, except as hereinafter provided for in section 12 of this Act.

§ 3. Corporations organized under this Act may provide in their by-laws that when a shareholder is desirous of disposing of his stock, he shall first give the corporation an opportunity to purchase the same, after reasonable notice; and nothing in this Act shall be construed as prohibiting or preventing the making of an agreement between the subscribers or purchasers of such shares that they and each of the subscribers to the shares of capital stock of such corporation, and subsequent purchasers of shares shall, before disposing of their shares, give to the said corporation an opportunity to purchase the same, after reasonable notice, at the amount paid for said shares to said corporation and reasonable interest thereon. All shares purchased by the corporation under the provisions of this section shall be held only for sale to new shareholders.

§ 4. As soon as the capital stock shall be subscribed to the extent of fifty per cent of the authorized capital, and as soon as fifty per cent of the stock subscribed shall be paid in, the commissioners shall convene a meeting of the subscribers for the purpose of electing directors, adopting by-laws and transacting such other business as shall properly come before them. Notice thereof shall be given by depositing in the postoffice, properly addressed to each subscriber at the address given on the subscription list or subscription blank, at least ten days before the time fixed, a written or printed notice calling the first meeting of the shareholders. Such notice shall designate the time and place of such meeting.

§ 5. The commissioners shall make a full report of their proceedings including therein a copy of the notice provided for in the foregoing section, a copy of the subscription list, a copy of the by-laws adopted by the association and the names of the directors elected and their respective terms of office, which report shall be sworn to by at least a majority of the commissioners and shall be filed with the Secretary of State. The Secretary shall thereupon issue a certificate of the complete organization of the association, duly authenticated under his hand and seal of [the] State; and the said certificate shall be recorded in the office of the recorder of deeds in the county in which the principal office of such association is located. Upon the recording of said certificate, the association shall be deemed fully organized and may proceed to business.

Unless such association shall be organized and shall proceed to business within three years after the date of such license, the license to

form such association shall be deemed revoked and all proceedings thereunder shall be void.

§ 6. Associations formed under this Act shall be bodies corporate and politic for the period for which they are organized, may sue and be sued, may have a common seal, which they may alter or renew at pleasure, may own, possess and enjoy so much real and personal estate as shall be necessary for the transaction of their business, and may sell and dispose of the same when, in the opinion of the shareholders, it is not required for the use of the association.

§ 7. Every such association shall be managed by a board of not less than five directors. The directors shall be elected by and from the shareholders of the association at such time and for such term of office as the by-laws may prescribe and shall hold office for the time for which elected, and until their successors are elected, and shall enter upon the discharge of their duties; but a majority of the shareholders shall have the power at any regular or special shareholders' meeting, legally called, to remove any director or officer for cause and to fill the vacancy, and thereupon the director or officer so removed shall cease to be a director or officer of said association. The officers of every such association shall be a president, one or more vice presidents, a secretary and a treasurer, who shall be elected annually by the directors, and a manager who shall be under the control of the directors at all times, and each of said officers, except the manager, must be a director of the association. The office of the secretary and the treasurer can be combined, and when so combined the person holding the offices shall be the secretary-treasurer.

§ 8. The association may amend its articles of incorporation by a two-thirds vote of its shareholders at any regular shareholders' meeting called for that purpose, or at a special meeting on ten days' notice to the shareholders. In either case the power to amend the articles of incorporation shall include the power to increase or diminish the amount of capital stock and the number and par value of shares, the par value, however, not to be reduced below that provided for in this Act; Provided, however, that the amount of the capital stock shall not be diminished below the amount of paid up capital at the time the amendment is adopted, unless there be, at that time, in the treasury sufficient undivided profits over and above all legal debts or other like obligations to off-set the capital so returned to shareholders. Within thirty days. after the adoption of an amendment to its articles of incorporation the association shall cause a certified copy of such amendment to be recorded in the office of the Secretary of State and of the recorder of deeds in the county where the principal place of business is located.

§ 9. No shareholder in any association shall own more than five shares nor of a greater aggregate par value than five hundred dollars, except as hereinafter provided.

§ 10. At any regular meeting or any regularly called special meeting at which at least two-thirds of all its shareholders shall be present, or represented, an association organized under this Act may, by a twothirds vote of the shareholders present, or represented, subscribe for shares and invest its reserve or surplus fund to an amount not exceeding twenty-five per cent of its paid up capital in the capital stock of any other co-operative association; provided, however, that ten days' notice