and in the course of such employment, he shall be entitled to compensation according to the law of this Territory even though such injury was received outside this Territory.

If a workman who has been hired outside of this Territory is injured while engaged in his employer's business, and is entitled to compensation for such injury under the law of the state or territory where he was hired, he shall be entitled to enforce against his employer his rights in this Territory if his rights are such that they can reasonably be determined and dealt with by the board and the court in this Territory.

V.

PREFERENCES AND ASSIGNMENTS.

PREFERENCES.

SECTION 44. All rights of compensation granted by this Act shall have the same preference or priority for the whole thereof against the assets of the employer as is allowed by law for any unpaid wages for labor.

SECTION 45. No claims for compensation under this Act shall be assignable, and all compensation and claims therefor shall be exempt from all claims of creditors. Claims of attorneys and of physicians for services under this Act shall be subject to the approval of the board.

VI.

SECURITY FOR COMPENSATION.

SECURITY FOR PAYMENT OF COMPENSATION.

SECTION 46. Employers, but not including the territorial or the municipal bodies mentioned in Section 2, shall secure compensation to their employees in one of the following ways:

(1) By insuring and keeping insured the payment of such compensation with any stock corporation or mutual association

authorized to transact the business of workmen's compensation insurance in this Territory, or

(2) By obtaining and keeping in force guarantee insurance with any company authorized to do such guarantee business within the Territory, or

(3) By depositing and maintaining with the territorial treasurer security satisfactory to the board securing the payment by said employer of compensation according to the terms of this Act.

(4) Upon furnishing satisfactory proof to the board of his solvency and financial ability to pay the compensation and benefits herein provided, no insurance or security shall be required, and the employer shall make such payments directly to his employees, as they may become entitled to receive the same under the terms and conditions of this Act.

Any person who wilfully misrepresents any fact in order to obtain the benefits of this section shall be guilty of a misde

meanor.

Any decision of the board rendered under the provisions of subdivisions 3 and 4 of this section with respect to the amount of security required or refusing to permit no security to be given shall be subject to review on appeal by the circuit court in like manner as appeals are permitted under Section 38 of this Act.

NOTICE OF INSURANCE.

SECTION 47. If the insurance so effected is not under subdivisions 3 or 4 of Section 46 the employer shall forthwith file with the territorial treasurer and with the board in form prescribed by the board a notice of his insurance, together with a copy of the contract or policy of insurance.

EFFECT OF FAILURE TO SECURE COMPENSATION.

SECTION 48. If an employer fails to comply with the provisions of Section 46 he shall be liable to a penalty for every day during which such failure continues, of one dollar ($1.00)

for every employee, to be recovered in an action brought by the chairman of the board in the name of the Territory, and the amounts so collected shall be paid into the territorial treasury and be a special fund for the use of the board. It shall be the duty of the county attorney of each county to prosecute such suits, if so requested by the board.

The board may, however, in its discretion, for good cause shown, remit any such penalty in whole or in part, provided the employer in default forthwith secures compensation as provided in Section 46.

Furthermore, if any employer shall be in default under Section 46, for a period of thirty days, he may be enjoined by the circuit court from carrying on his business while such default continues.

THE INSURANCE CONTRACT.

SECTION 49. Every policy of insurance and every guarantee contract covering the liability of the employer for compensation, whether issued by a stock company, or by a mutual association authorized to transact workmen's compensation or guarantee insurance in this Territory shall cover the entire liability of the employer to his employees covered by the policy or contract, and also shall contain a provision setting forth the right of the employees to enforce in their own names either by at any time filing a separate claim or by at any time making the insurance carrier a party to the original claim, the liability of the insurance carrier in whole or in part for the payment of such compensation; provided however that payment in whole or in part of such compensation by either the employer or the insurance carrier shall, to the extent thereof, be a bar to the recovery against the other of the amount so paid.

KNOWLEDGE OF EMPLOYER TO AFFECT INSURANCE CARRIER.

SECTION 50. Every such policy and contract shall contain a provision that, as between the employee and the insurance carrier, the notice to or knowledge of the occurrence of the in

C

jury on the part of the employer shall be deemed notice or knowledge, as the case may be, on the part of the insurance. carrier; that jurisdiction of the employer shall, for the purpose of this Act, be jurisdiction of the insurance carrier, and that the insurance carrier shall in all things be bound by and subject to the orders, findings, decisions, or awards rendered against the employer for the payment of compensation under the provisions of this Act.

INSOLVENCY OF EMPLOYER NOT TO RELEASE INSURANCE

CARRIER.

SECTION 51. Every such policy and contract shall contain a provision to the effect that the insolvency or bankruptcy of the employer and his discharge therein shall not relieve the insurance carrier from the payment of compensation for injuries or death sustained by an employee during the life of such policy or contract. ·

CANCELLATION OF INSURANCE CONTRACTS.

SECTION 52. No policy or contract of insurance or guaranty issued by a stock company or mutual association against liability arising under this Act shall be cancelled within the time limited in such contract for its expiration until at least ten days. after notice of intention to cancel such contract, on a date specified in such notice, shall have been filed in the office of the territorial treasurer and also served on the board and the employer.

INSURANCE BY THE TERRITORY, COUNTIES AND MUNICIPALITIES.

SECTION 53. The Territory, and each county, and any other political subdivision of the Territory, which is liable to its employees for compensation may insure with any authorized insurance carrier.

EMPLOYEES NOT TO PAY FOR INSURANCE.

SECTION 54. No agreement by an employee to pay any portion of the premium paid by his employer to contribute to a

benefit fund or department maintained by such employer, or to the cost of mutual or other insurance maintained for or carried for the purpose of securing compensation as herein required shall be valid; and any employer who makes a deduction for such purpose from the wages or salary of any employee entitled to the benefits of this Act shall be guilty of a misdemeanor, and on conviction thereof shall be punished by a fine not to exceed two hundred and fifty dollars ($250.00).

INSPECTIONS.

SECTION 55. The board shall have the right to inspect the plants and establishments of all employers in the Territory and the inspectors designated by the board shall have free access to such premises during regular working hours, and at other reasonable times.

VII.

REPORTS, DEFINITIONS, AND GENERAL
PROVISIONS.

REPORT OF ACCIDENTS BY EMPLOYERS.

SECTION 56. Every employer shall hereafter keep a record of all injuries, fatal or otherwise, received by his employees in the course of their employment, when known to him or brought to his attention. As soon as practicable after the occurrence of an injury causing absence from work for one day or more, a report thereof shall be made in writing by the employer to the board on blanks to be procured from the board for the purpose.

Upon the termination of the disability of the injured employee, the employer shall make a supplemental report upon blanks to be procured from the board for that purpose. If the disability extends beyond a period of sixty days, the employer shall report to the board at the end of such period that the injured employee is still disabled, and upon the termination of the disability shall file a final supplemental report as provided above.