THE

LAW OF FRIENDLY SOCIETIES, ETC.

PART I.

ORIGIN OF ASSOCIATIONS.

MAN, conscious of his infirmities, has ever been inclined to associate with his fellow-creatures for the purposes of mutual comfort and protection. This social feeling is firmly rooted in the human heart by nature, and confirmed by an enjoyment of the blessings it imparts. To this sentiment communities or assemblages of men owe their origin.

The progressive increase of mankind, and the diversified extent of the mental feelings and capacities of men, have rendered the forms of association numerous and complicated.

The associations treated of in the following pages may be termed, generally, "Benefit Societies"-societies established in this kingdom for raising by voluntary subscriptions of the members thereof, separate funds for their mutual relief; and thus, by the contribution of the savings of many persons to one common fund, to make effectual provision for the casualties affecting all the contributors.

B

As the protection and encouragement of these societies were likely to be attended with beneficial effects by promoting the happiness of individuals, and at the same time diminishing the public burthen, they have been thought worthy of the attention of the legislature, and many Acts have been passed making it lawful for any number of persons in Great Britain, to form themselves into, and establish, one or more society or societies of good fellowship-for the purpose of raising from time to time, by subscriptions of the several members of every such society, by voluntary contributions, a stock or fund for the relief or maintenance of the members, their husbands, wives, children, brothers or sisters, nephews or nieces, in old age, sickness, or widowhood; for the endowment of members or nominees of members at any age, or any other natural state or contingency whereof the occurrence is susceptible of calculation by way of average; for the frugal investment of the savings of the members; for the purchase or erection of dwellinghouses; for facilitating the acquisition of land; for insuring a sum of money to be paid on the birth of a member's child, or on the death of a member, or the funeral expenses of the wife or child of the member; for insuring live or dead stock, goods, stock-in-trade, tools or implements, loss by fire, flood, or shipwreck, and for other purposes.

Further, that it should be lawful for the several members of each such society, or such number of them as should be nominated a committee for that purpose, from time to time, to assemble together to make, ordain, and constitute proper and wholesome Rules, orders, and regulations, for the better government and guidance of the same, so as such Rules should

not be repugnant to the laws of the realm, nor any of the express provisions of the said Acts; to inflict reasonable fines and forfeitures upon the members who should offend against such Rules, orders, or regulations, and to alter and amend such Rules under certain restrictions.

These Acts also contain provisions for the guidance, protection, and security of such societies from fraud and miscalculation, which had arisen from the irregular principles on which many of them had been conducted.

Consequently, upon the passing of these Acts, those societies to which the provisions of the said Acts are applicable, are now generally registered thereunder, on account of the many exemptions and privileges conferred on such societies.

The laws relating to Friendly Societies were consolidated by the Act 13 & 14 Vic. c. 115; and were afterwards amended by the Acts 15 & 16 Vic. c. 65, 16 & 17 Vic. c. 123, and 17 & 18 Vic. c. 101.

By the Act 18 & 19 Vic. c. 63, these laws were again amended and consolidated, and the new provisions took effect from the 1st day of August, 1855.

The following Acts which relate to Friendly Societies were thereby repealed:-33 Geo. III. c. 54; 35 Geo. III. c. 111; 36 Geo. III. c. 68; 43 Geo. III. c. 111; 49 Geo. III. c. 58; 49 Geo. III. c. 125; 59 Geo. III. c. 128; 6 Geo. IV. c. 74, s. 11; 10 Geo. IV. c. 56; 2 Wm. IV. c. 37; 4 & 5 Wm. IV. c. 40; 3 & 4 Vic. c. 73; 9 & 10, Vic. c. 27; 13 & 14 Vic. c. 115; 15 & 16 Vic. c. 65; 16 & 17 Vic. c. 123; 17 & 18 Vic. c. 50, s. 2; and 17 & 18 Vic. c. 101.

The Act (18 & 19 Vic. c. 63) was subsequently amended by the Acts 21 & 22 Vic. 101; and 23 & 24 Vic. c. 58.

Friendly Societies are now, therefore, except as hereinafter noticed, entirely governed by the said Acts, 18 & 19 Vic. c. 63, 21 & 22 Vic. c. 101, and 23 & 24 Vic. c. 58, which Acts apply to all societies established under any of the Friendly Societies' Acts formerly in force.

For the purposes of the said Acts, it is enacted that there shall be three Registrars of Friendly Societies, one for England, one for Scotland, and one for Ireland, who hold their offices during the pleasure of the Commissioners for the Reduction of the National Debt. Their salaries are paid by the Commissioners of Her Majesty's Treasury.

The Acts extend to Great Britain and Ireland, the Channel Islands, and the Isle of Man.

PART II.

FRIENDLY SOCIETIES, HOW FORMED.

By the Act 18 & 19 Vic. c. 63, s. 9, it is enacted— That it shall be lawful for any number of persons to form and establish a Friendly Society, under the provisions of this Act, for the purpose of raising by voluntary subscriptions of the members thereof, with or without the aid of donations, a fund for any of the following objects, that is to say :

1. For insuring a sum of money to be paid on the

birth of a member's child, or on the death of a member, or for the funeral expenses of the wife or child of a member.*

2. For the relief or maintenance of the members, their husbands, wives, children, brothers or sisters, nephews or nieces, in old age, sickness,† or widowhood; or the endowment of members or nominees of members at any age.

3. For any purpose which shall be authorised by one

* As to the amount to be insured for the funeral expenses of a child, see infra, p. 37.

Upon the construction of this word it has been held that lunacy was not in any case to be regarded as sickness, R. v. Manchester, 5 Weekly Rep. 20; 6 E. and B. 919; and that pregnancy also was not sickness, and that by sickness is meant a state of bodily disease, being a derangement of the functions of the body, R. v. Huddersfield, 5 Weekly Rep. 629; 21 Jur. 718.