An Act

To Incorporate The Chester Insurance Company

Sec[Section] 1^st Be it Enacted by the people of the State of Illinois represented in the General Assembly, that there shall be and hereby is established in the town of Chester an Insurance Company with a capital stock of one Hundred Thousand Dollars to be divided into shares of Fifty Dollars each and subscribed and paid for by Individuals[,] companies or corporations in manner herein after specified which stock Holders and subscribers and their successors shall be and hereby are created a body politic and corporate with perpetual succession by the name and style of the Chester Insurance company for the period of Fifty Years from and after the passage of this Law and by that name shall be competent to contract and be contracted with[,] to be sue and be sued[,] plead and be impleaded[,] answer and be answered unto[,] defend and be defended in all courts and places and in all matters whatsoever with full power and authority to acquire[,] hold[,] posess[,] use[,] occupy and enjoy, and the same to sell[,] convey and dispose of all such real estate as shall be necessary ^22/^ and conveniant, [?] for the transaction of its business or which may be conveyed to said company for the security or in payment of any debt which may become due and oweing to the same or in satisfaction of any Judgment of any court of law or any order or decree of any court of equity in their favour and may have and use a common seal and the same alter[,] change[,] Break or renew at pleasure, and may also make[,] ordain[,] establish and put in execution such by-Laws[,] and ordinances[,] Rules and regulations as shall be necessary and propper for the good government of said Company and the prudent and efficent

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management of its affairs; provided that no by-Laws[,] ordinances[,] rules or regulations of said company shall in any wise be contrary to the constitution and laws of this state or of the United States

Sec 2^d. That said corporation shall have full power and Lawful authority to Insure all kinds of property against loss or damage by fire or any other cause or risk[,] to make all kinds of Insurance against loss or damage on goods[,] merchandize and produce in the course of transportation or otherwise whether on ^the^ Land or on the water and any vessels or Boats where ever they may be to make all kinds of Insurance on ^upon^ life or lives[,] to lend money on bottomry or respondentia[,] to cause themselves to be insured against any loss or risk they may have incured in the course of their business and against any maritime or other risk upon the interest they may have in any vessel[,] boat[,] goods[,] merchandize or other property by means of any loan or loans which they may make on Mortgage[,] bottomry and respondentia and generally to do an perform all other necessary matters and things connected with and proper to promote those objects.

Sec 3

That it shall be lawful for a majority of the directors chosen under this act at any time to increase the capitol stock to an amount not exceeding ^4^ Two Hundred Thousand Dollars (and) the same to invest on any part thereof in stocks or funded debts created or to be created by or under any law of the United states or of this or any other particular state or in the stock of any chartered Bank of this state or of the United states or any branch thereof and the same to sell and Transfer at pleasure and

again to invest the same or any part thereof in such stocks or funds whenever and as often as the exegences of said corporation or a due regard to the safety of its funds may require (or they may loan the same or any part thereof to Individuals or corporations or real estate or personal security for such periods of time and under such restrictions and limitations and upon such terms as the directors thereof for the time being shall deem prudent and best for the interest of said company) That the office of “the Chester Insurance company” be and the same is hereby autherized to deal in exchange and the discount of promissory Notes and to receive cash and the Bank bills of any incorporated Bank on deposit for such time and on such interest as may be agreed on and to discount or loan the same upon such terms and upon such rate of interest as may be agreed upon between said company and the person or persons[,] company or corporation discounting or borrowing the same provided however that all deposits made in this ^said^ office shall be refunded and paid by said corporation on demand in specia or its equivelent except where special deposits are made which shall be refunded ^30^ and paid as agreed upon And) provided also that it shall not be lawful for said corporation to is^s^ue or emit any bills payable to order or bearer as a circulating medium of trade or exchange nor in any manner engage in the business or operation of banking

Sec 4^th That in all cases where said company shall refuse to pay deposits made in said office on demand the amount of the same shall be recovered

by suit in any court of competent Jurisdiction ten days previous Notice of said suit if before the circuit court and Three days Notice if before a justice of the Peace having been given and upon judgments rendered therein and upon all other judgments against said corporation for deposits shall be allowed Twelve per cent damages and interest after after the rate of Ten per centum per anum from the date of such legal demands

Sec 5^th That it shall be sufficient service of process on the corporation hereby created to execute the ^3^ writ or Notice on the president or secretary (and a ^4^ majority of the directors for the time being), and such service shall authorize judgment on proceedings by default against the corporation in the same manner that judgments or proceedings are taken by default against individual persons on the execution of process

Sec 6^th That the real and personal estate[,] business[,] property[,] funds and prudential concerns of said corporation and the administration of its affairs shall be, under the management[,] direction and control of a board of five directors who shall be stock holders and citizens of the state of Illinois and after the first election they shall be elected by the stock holders on the first Monday in May annually at such time of day and at such place in the town of Chester as said directors for the time being shall direct; They shall hold their offices for the term of one year and untill their successors shall be chosen and notice of such election shall be advertised and published for Three weeks next preceding the same and such election shall be by ballot and a plurality of votes received and counted in public by and under the inspection of Three stock holders not directors at the time

to be previously appointed by the board of directors for that purpose and at every such election and all other meetings of the stock holders held under the provisions of this act each shall be entitled to one vote for each shair provided that no stock holder shall ^be^ entitled at any one time to more than Fifty votes and any stock-holders not personally attending such election or other regular meeting of the stock-holders and having a right to vote may vote by proxy such proxy being granted to a stock-holder present at such election or meeting and in case it should so happen that an election of directors should not be made on any days when by this act it ought to have been made it shall and may be Lawful for said company to Make an election for directors on any other day in such manner as may be provided for by the by-Laws and ordinances of said corporation

Sec. 7. That the directors duly chosen under this act the provisions of this act shall as soon as may be after the first and every annual ellection, elect from their own body. a president who shall preside in the board until the next annual election and in case of his death[,] resignation or absence the board shall appoint a president protempore They shall fill all the vacancies which may occur in their own body during the time for which they were elected and shall appoint a secretary ^and^ all subordinate officers[,] clerks[,] agents and servants of said corporation[,] fix their compensation[,] define their powers and prescribe their duties who shall hold their several offices during the pleasure of the board under such regulations[,] restrictions and limitations not inconsis-

tent with the provisions of this act and the by-Laws[,] rules and ordinances of said company as the directors for the time being shall prescribe they shall make such by-Laws[,] rules and regulations for their own Government and for the management and disposition of the stock[,] property[,] estate[,] funds and business of said company, and all matters referring thereto as shall be needful and propper not contrary to the provisions of this act and the by-Laws[,] rules[,] ordinances and regulations adopted at, any regular meeting or meetings of the stock-holders; they shall hold stated meetings agreeably to their own regulations and at such times as the president thereof for the time being shall order and direct and a majorrity of the whole number shall constitute a quorum and be competent to the transaction of business within the scope of their powers and connected with their dutyes and all questions before the board shall be decided viva voce by a Majority of the directors present any Two of whom may require the Yeas and nays to be taken on any proposition submitted and entered in the journal of their proceedings; and no vote shall be reconsidered by a less number than were present and voting when the original vote was taken. They shall in the first week in December and June annually make and declare such dividends of the profits resulting from their business as shall not impair or in anywise lessen the capital stock of the same to be paid to the several stock holders: provided that no such dividend shall be paid on any stock that has not been fully paid for but shall be passed to the credit of such stock as part payment thereof

Sec 8 That all policies of Insurance which may be made or entered into by said corporation shall be subscribed by the President or President protempore or by such other officer as shall be designated for that purpose by its by-Laws and attested by the secretary; and being so signed and attested, shall be binding and obligatory on the said corporation without the seal thereof according to the true intent and meaning thereof and all such Policies or contracts may be entered into and so signed and attested and the business of the Corporation may be carried on without the presence of the board of directors, by the President and secretary, subject nevertheless to the by-Laws[,] rules[,] ordinances and regulations established by the board of directors, it shall be the duty of the secretary at every annual election or other general meeting of the stockholders to Lay before them a correct and particular statement of the condition and [...?] affairs of said company

Sec 9 That the stock of said company shall be assignable and transferable on the books of the same or otherwise according to such rules and by-laws and subject to such restrictions and limitation s as may be established by the directors and all such stock shall be held and considered as personal property

Sec 10 That any number of stock-holders who shall at the time be the owners of one Tenth part of the stock sold, shall have power to call a general meeting of the stock-holders by giving two weeks Notice of the time and place of such meeting and the stock-holders in person or by Proxy at any such meeting shall

decide all questions proposed for consideration by a plurality of votes and may make and prescribe such by-laws[,] ordinances[,] rules and regulations as to them shall appear needful and proper in relation to the management of the affairs of [the] company or for the Government and direction of the officers thereof

Sec 11. That Books for the subscription to the capital stock of said company shall be opened in the town of Chester by and under the direction of Francis Swanwick, Gilbert Nettleton[,] William Rosborough[,] Francis S. Jones and Joseph B. Holmes who are hereby appointed commissioners for that purpose whose duty it shall be or any three of them to give notice of the time and place of opening books for subscriptions in some Newspaper published in this state and it shall be lawful for any individual, company, or body corporate to subscribe for any number of shares and such individuals, company or body corporate shall at the time of subscribing pay one Dollar on each share so subscribed (provided said commissioners require such payment) and it shall be the duty of the commissioners as soon as five Hundred shares are subscribed to give Two weeks notice in some Newspaper published in the state of the time and place for the stock holders to meet and elect the first Board of Five directors which election shall in all respects be governed by the provisions of this act for the election of directors and the board of directors thus elected shall constitute the first board and shall continue in office until the next annual Election

provided however that should the commissioners appointed under the provisions of this act or any three of them deem it expediant it shall be lawful for them or any three of them to change ^the^ manner and mode of receiving subscriptions for all or any part of said capital stock

Sec 12

That as soon as the board of directors are elected as aforesaid it shall be the duty of the Commissioners to pay over to the said board of directors all monies that may be in their hands belonging to said company and deliver over to them all books and papers belonging to the same and it shall be the duty of the directors before the proceed to make any policies of Insurance to demand and receive of each stock-holder the full amount of the stock by them respectively subscribed which payment be made either in cash or secured to be made by giving real or personal security to the satisfaction of the directors and if any stock holder shall fail to make such payment or give such security as aforesaid within thirty days after the election [...?] for directors such stock holder shall forfeit to the company the amt[amount] paid on such stock at the time of subscribing provided that the said corporation shall not commence business or grant any policies of Insurance untill Five Hundred shares are subscribed and paid for or secured to be paid as aforesaid it being one fourth of the capital stock all the remaining balance of the stock shall be offered for sale at such time and place and on such terms as the directors for the time

being may direct

Sec 13. That when said corporation shall have commenced business as aforesaid and shall grant any Policy or Policies of Insurance on any kind of Property real or personal, against loss or damage by fire or any other cause, or risk on any goods merchandize or produce whether on the land or on the water on any vessel or boats whatever and whereever they may be, on life or lives or shall lend any Money on bottomry and respondentia or shall become the Under-writer of any foreign or domestic bill of exchange[,] bond[,] note or obligation, it shall be lawful to charge such rate of premium or interest as maybe agreed upon by the parties

Sec 14 That whenever any property real or personal on which a policy may have been effected shall be sold during the existence of the policy it shall be lawful for the vendor or vendors to assign such policy to the vendee or vendees of such property and such assignee or assignees shall have the full benefit thereof: provided that before any loss happens notice shall be given said company of said assignment. and provided that said company when so notified shall be at liberty to return a rateable proportion of the premium, and thereupon be exonerated

Sec 15 That whenever said corporation shall be notified of any loss sustained or incurred on any policy of insurance granted or issued by the same it shall be the duty of said corporation to pay the amount so lost or incurred on such Policy within sixty days after being so notified provided there shall have been no violation of the condition of the Policy on the part of the Insured

and on all judgments obtained by said corporation either for Money loaned or for discounted promissory notes or for any other debts due them whatever there shall be the same stay of execution as is now or may be hereafter allowed by law in other cases

The stock holders may at any regular meeting increase the number of directors provided there never shall be more than nine

sec 16 That the Legislator of this state shall never pass any law retarding[,] obstructing[,] staying[,] protracting or in any wise suspending the collection of any debt or debts due the said corporation

Sec 17 This act shall be in force from and after its passage and shall be deemed and taken to be a public act and shall be construed favourably for every beneficial purpose