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IV.

The Safe Deposit Company Law.

Being

LAWS OF 1899, CHAPTER 175.

"AN ACT CONCERNING SAFE DEPOSIT COMPANIES (Revision of 1899)."

1. Formation and general provisions.

Five or more citizens of this state of full age may become a safe deposit company on the terms and conditions and subject to the liabilities prescribed in this act; the name of every such corporation formed under this act shall contain the words "safe deposit" but shall not be that of any other existing corporation of this state; the stock of any such safe deposit company shall be not less than twenty-five thousand dollars, divided into shares of one hundred dollars each, and the full amount of capital shall be paid in in cash before any safe deposit company shall be authorized to transact business other than such as relates to its formation and organization, and such payment shall be certified to the commissioner of banking and insurance under oath by the president and secretary or other officer of the safe deposit company; no corporation organized under the act shall create more than one class of stock; hereafter no corporation shall be organized for the purpose of carrying on a safe deposit business in the state of New Jersey except under this act, and no corporation hereafter organized under any other act shall use the words "safe deposit " as a part of its name; excepting always from these provisions corporations organized under "An act

concerning banks and banking" (Revision of 1899), or under "An act concerning trust companies" (Revision of 1899); nothing herein contained shall be deemed to impair the rights, privileges and powers of any corporation as contained in its charter or certificate of incorporation and vested rights shall not be divested or disturbed.

2. Certificate of incorporation.

The incorporators and subscribers to the capital stock shall, under their hands and seals, execute a certificate of incorporation, which shall specifically state:

I.--The name of the safe deposit company;

II. The place where the business is to be carried on;

III. The purposes and objects of the corporation;

IV.—The amount of the capital stock, all of which shall be subscribed in the certificate of incorporation;

V. The names and residences of the incorporators, and the number of shares subscribed by each of them;

VI.—The period, if any, limited for the duration of the company;

VII. The certificate of incorporation may also contain any provisions, not inconsistent with this act, which the incorporators may choose to insert for the regulation of the business, for the conduct of the affairs of the company, or for defining, limiting

and regulating the powers of the directors; provided, however, that no director shall be elected for a period longer than one year.

3. Authentication and record of certificate. Copy evidence.

The certificate of incorporation shall be proved or acknowledged as required for deeds of real estate, and recorded in a book to be kept for that purpose in the office of the clerk of the county where the principal office of the safe deposit company in this state shall be established, and after being so recorded, shall be filed in the department of banking and insurance; said certificate or a copy thereof, duly certified by the commissioner of banking and insurance, shall be evidence in all courts and places.

4. Powers.

In addition to the general powers conferred by the "Act concerning corporations" (Revision of 1896), so far as the same are not inconsistent with this act, every safe deposit company shall have power to take and receive upon deposit, as bailee, for safe keeping and storage, jewelry, plate, money, specie, bullion, stocks, bonds, securities, valuable papers of any kind, and any other personal property; to guarantee their safety, upon such terms and for such compensation as may be agreed upon by the company and the bailors; and to let out vaults, safes and other receptacles for the uses and purposes aforesaid; no such safe deposit company shall make any loans or advances upon any property left with it for storage or safe keeping; no safe deposit company shall have the power to transact the business of a bank or trust company.

5. Directors.

The affairs of every safe deposit company shall be managed by a board of not less than five directors, a majority of whom shall at all times be residents of the state of New Jersey, who shall be elected by the stockholders and hold office for one year and until their successors are elected and have qualified; a majority of the board of directors shall constitute a quorum for the transaction of business; provided, that when the number of directors shall exceed nine they may once in six months designate by resolution, nine members, any five of whom shall constitute a quorum; at a meeting of stockholders for the election of directors, each share shall entitle the owner to one vote for each director, and a stockholder may vote at any meeting of the corporation by a proxy in writing signed by him.

6. Restriction as to foreign corporations.

No foreign corporation shall transact a safe deposit business in this state.

7. Remedy for non-payment of rent for safe.

If the amount due for the use of any safe or box in the vaults of any such corporation shall not have been paid for three years, it may, at the expiration thereof, cause to be sent to the person in whose name such safe or box stands on its books, a notice in writing in a securely-closed postpaid registered letter, directed to such person at his post office address as recorded upon the books of the corporation, notifying such person that if the amount then due for the use of such safe or box is not paid within sixty days from the date of such notice, the corporation will then cause such safe or box to be opened in the presence of its president or secretary or treas

urer, and of a notary public not an officer or in the employ of the corporation, and the contents thereof, if any, to be sealed up by such notary public in a package, upon which such notary public shall distinctly mark the name and address of the person in whose name such safe or box stands upon the books of the corporation, and the estimated value thereof; and the package so sealed and addressed, when marked for identification by such notary public, will be placed by such notary public in one of the general safes or boxes of the corporation; upon the expiration of sixty days from the date of mailing such notice as aforesaid, and the failure of the person in whose name such safe or box stands on the books of the corporation, to pay the amount due for the use thereof in full up to the date of such notice, the corporation may, in the presence of a notary public and of its president or secretary or treasurer, cause such safe or box to be opened, and the contents thereof, if any, to be removed and sealed up by such notary public in a package upon which such notary public shall distinctly mark the name of the person in whose name such safe or box and its estimated value stood, on the books of the corporation, and when such package has been marked for identification by such notary public, it shall, in the presence of the president or secretary or treasurer of the corporation, be placed by such notary public in one of the general safes or boxes of the corporation, and the proceedings of such notary public shall be fully set out by him in his own. proper handwriting and under his official seal, in a book to be kept by the corporation for that purpose.

8. Fees.

On filing any certificate or other paper relative to safe deposit companies in the department of bank

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