Revision of insurance laws. [No. 144.] AN ACT to authorize the Attorney General to prepare a bill for the revision, consolidation and classification of the laws of this State relating to insurance and to prescribe his duties in connection therewith. The People of the State of Michigan enact: SECTION 1. The Attorney General of this State shall, on or before the fifteenth day of January, nineteen hundred seventeen, report to the Legislature, a bill to revise, consolidate and classify the laws of this State relating to insurance, including those laws enacted at the legislative session of nineteen hundred fifteen. Approved May 7, 1915. Section amended. Action in chancery. [No. 145.] AN ACT to amend section twenty-six of act number three hundred of the Public Acts for the year nineteen hundred nine, entitled "An act to define and regulate common carriers and the receiving, transportation and delivery of persons and property, prevent the imposition of unreasonable rates, prevent unjust discrimination, insure, adequate service, create the Michigan Railroad Commission, define the powers and duties thereof, and to prescribe penalties for violations hereof." The People of the State of Michigan enact: SECTION 1. Section twenty-six of act number three hundred of the Public Acts for the year nineteen hundred nine, entitled "An act to define and regulate common carriers and the receiving, transportation and delivery of persons and property, prevent the imposition of unreasonable rates, prevent unjust discrimination, insure adequate service, create the Michigan Railroad Commission, define the powers and duties thereof, and to prescribe penalties for violations hereof," is hereby amended to read as follows: SEC. 26. (a) Any common carrier or other party in interest, being dissatisfied with any order of the commission fixing any rate or rates, fares, charges, classifications, joint rate or rates, or any order fixing any regulations, practices or services, may within thirty days from the issuance of such order and notice thereof commence an action in the circuit court in chancery for the county of Ingham, against the commission as defendant to vacate and set aside any such order on the ground that the rate or rates, fares, charges, classifications, joint rate or rates fixed are unlawful or unreasonable, or that any such regulation, practice or service fixed in such order is unreasonable; in which suit the commission shall be served with a subpoena and a copy of the complaint. The commission shall file its answer, and on leave of court any interested party may file an answer to said complaint. Upon the filing of the answer of the commission said action Issue and shall be at issue and stand ready for hearing upon ten days' hearing. notice by either party. All suits brought under this section Precedence. shall have precedence over any civil cause of a different nature pending in such court, and the said circuit court shall always be deemed open for the hearing thereof, and the same shall proceed, be tried and determined as other chancery suits. Any party to such suit may introduce original evidence Evidence. in addition to the transcript of evidence offered to said commission, and the said circuit court in chancery is hereby given jurisdiction of such suits and empowered to affirm, vacate or set aside the order of the commission in whole or in part, and to make such other order or decree as the court shall decide to be in accordance with the facts and the law; (b) No injunction shall issue suspending or staying any Injunction. order of the commission, except upon application to the said circuit court in chancery or to the judge thereof, notice to the commission having been given and hearing having been had thereon; evidence. (c) If, upon the trial of said action, evidence shall be Additional introduced by the complainant which is found by the court to be different from that offered upon the hearing before the commission, or additional thereto, the court, before proceeding to render judgment, unless the parties in such action stipulate in writing to the contrary, shall transmit a copy of such evidence to the commission, and shall stay further pro- Stay of proceedings. ceedings in said action for fifteen days from the date of such transmission. Upon receipt of such evidence the commission shall consider the same, and may alter, modify, amend or rescind its order relating to such rate or rates, fares, charges, classifications, joint rate or rates, regulations, practice or service complained of in said action, and shall report its action thereon to said court within ten days from the receipt of such evidence. If the commission shall rescind its order com- When action dismissed. plained of, the action shall be dismissed; if it shall alter, modify or amend the same, such altered, modified or amended order shall take the place of the original order complained of, and judgment shall be rendered thereon as though made by the commission in the first instance. If the original order shall not be rescinded or changed by the commission, judg ment shall be rendered upon such original order; (d) Either party to said action, within sixty days after Appeal. service of a copy of the order or judgment of the court, may appeal to the supreme court, which appeal shall be governed by the statutes governing chancery appeals. When the ap Precedence. Burden of proof. peal is taken the case shall, on the return of the papers to the supreme court, be immediately placed on the calendar of the then pending term, and shall be brought to a hearing in the same manner as other cases on the calendar, or if no term is then pending, shall take precedence of cases of a different nature except criminal cases at the next term of the supreme court; (e) In all actions under this section the burden of proof shall be upon the complainant to show by clear and satisfactory evidence that the order of the commission complained of is unlawful or unreasonable, as the case may be. Approved May 7, 1915. Section amended. Who may associate. Purposes. [No. 146.] AN ACT to amend section one of act number one hundred thirty-six of the Session Laws of eighteen hundred sixtynine, entitled "An act relative to the organization and powers of fire, marine and automobile insurance companies transacting business within this State," being compiler's section seven thousand two hundred twenty-four of the Compiled Laws of eighteen hundred ninety-seven, as last amended by act number fifteen of the Public Acts of nineteen hundred eleven. The People of the State of Michigan enact: SECTION 1. Section one of act number one hundred thirtysix of the Session Laws of eighteen hundred sixty-nine, entitled "An act relative to the organization and powers of fire, marine and automobile insurance companies transacting business within this State," being compiler's section seven thousand two hundred twenty-four of the Compiled Laws of eighteen hundred ninety-seven, as last amended by act number fifteen of the Public Acts of nineteen hundred eleven, is hereby amended to read as follows: SEC. 1. Any number of persons, not less than seven, may associate together and form an incorporated company for any or all of the following purposes, to-wit: First, To make insurance on dwelling houses, stores, and all kinds of buildings, and upon household furniture, goods, wares and merchandise, and any other property, against loss or damage by fire; Second, To make insurance as aforesaid upon vessels, freights, goods, wares, merchandise and other property, against the risks of inland navigation and transportation; Third, To make insurance upon automobiles, whether stationary or being operated under their own power, against any hazard;, Fourth, To make insurance upon vessels, freights, goods, wares, merchandise, specie, bullion, jewels, profits, commissions, bank notes, bills of exchange and other evidences of debt, bottomry and respondentia interests and every insurance appertaining to or connected with ocean marine risks: Pro- Proviso, vided, however, That any corporation including in its charter cash capital. a provision to assume any of the risks specified in this subdivision must have an unimpaired capital paid in in cash, of not less than four hundred thousand dollars. Approved May 7, 1915. [No. 147.] AN ACT relative to the manner in which fire insurance companies operating in this State shall conduct their business, and providing a penalty for its violation. The People of the State of Michigan enact: conducted. to appear on policy. SECTION 1. Every fire insurance company shall conduct its How business business in this State, in the name under which it is incorporated, and the policies issued by it shall be headed or entitled only by such name. There shall not appear on the What not face of the policy, or on its filing back, any thing that would indicate that it is the obligation of any other than the company responsible for the payment of losses under the policy, though it will be permissible to stamp or print on the bottom of the filing back the name or names of the department or general agency issuing the same. vertisements, SEC. 2. No insurance company or department or general False adagency of an insurance company, doing business in this State, etc. or its officers or agents, shall issue any false or misleading advertisement through newspapers or other periodicals, or any false or misleading representations by signs, cards, letterheads, etc., tending to conceal or misrepresent the true iden. tity of the issuer or insurance company which is carrying the liability under any policy issued in this State. sentation. SEC. 3. Nor shall any insurance company or department Misrepreor general agency of an insurance company, doing business in this State, issue any advertisement or representation of any character, giving the appearance of a separate or independent insuring organization on the part of any department or general agency, and the type or lettering used in any advertise- Type of ment or representation shall set forth the name of the com- advertisepany or organization assuming the risk more conspicuously than that of any department or general agency: Provided, Proviso. Nothing herein contained shall be construed as limiting the right of any representative of a fire insurance company to advertise his own individual business. ments. Penalty. SEC. 4. Any violation of this act shall be punished by a fine of not exceeding five hundred dollars. Approved May 7, 1915. Who may associate. What property to be insured. Members. Form of policy. Adoption of articles and by laws. Statement of purpose. What to comprise. Notice. Opening books. Proviso, commencing business. [No. 148.] AN ACT to authorize the incorporation of Michigan mercantile mutual fire insurance companies. The People of the State of Michigan enact: SECTION 1. Any number of owners or operators of banks or mercantile establishments, not less than ten, being residents of the State, may associate together and form an incorporated company for the purpose of mutual insurance of property against loss or damage by fire or lightning, which property, primarily to be insured, shall consist of merchandise, goods, chattels, wares, store and office fixtures, or secondarily may include store buildings, warehouses, stores, outbuildings and their contents, used and held in the ordinary conduct of banking and mercantile business of the country, and all holders of policies of such incorporated companies, whether residing within or without this State, are hereby members of the company issuing such policy, which policy need not be in the form of words prescribed under the act to establish a uniform policy of insurance but no company organized under the provisions of this act shall be entitled to the benefit of these amendments until articles of association and by-laws in accordance therewith have been adopted by a regular or special meeting of such company, due notice of which shall have been mailed to the members at least fifteen days before the date of such meeting. SEC. 2. Such persons so associating shall file in the office of the Commissioner of Insurance a statement, signed by all the corporators, stating their purpose of forming a company for the transaction of the business of insurance as expressed in the first section of this act; which statement shall also comprise a copy of the articles of association proposed to be adopted by them; and shall publish a notice of such, their intention, once in each week for at least five successive weeks, in a public newspaper published in the county in which the office of such company is proposed to be located. SEC. 3. The persons so associating, after having filed the statement and published the notice as aforesaid, may open books to receive propositions and enter into agreements in manner hereinafter specified and in accordance with the articles of association of said company: Provided, however, That insurance companies organized as aforesaid shall not |