Surrender of deposit. Appointment of receiver; his duty. istration. What may be claimed by parties insured in Ontario. quired under this section shall not be given until after the lapse of sixty days from the time when the claim becomes due. 50 V. c. 26, s. 48. 49. Before an application is made to a Court for the surrender of a company's deposit with the Government, at least ten days' notice of the intended application shall be served on the Treasurer or his deputy, and also upon the Inspector of Insurance; and the notice shall designate the Court to which application is proposed to be made, and shall state the day named for the hearing of the same. 50 V. c. 26, s. 49. 50.-(1) Upon granting an order for administration as aforesaid, the Court shall appoint a receiver, who may be an officer of the Court, who shall forthwith call upon the company to furnish a statement of all its outstanding contracts, being within sections 2 and 47, and upon all claimants under such Proceedings in contracts to file their claims; and upon the filing of the claims case of admin- before the receiver, the parties interested shall have the right of contestation thereof, and the right of appeal from the decision of the receiver to the Court as aforesaid, according to the practice of the Court; and in case of any such administration, the claimants aforesaid shall be entitled to claim for a part of the premiums paid proportionate to the unexpired period of their contracts respectively, and such unearned premiums shall rank with judgments obtained and claims accrued, in the Sale of securi- distribution of the assets; and upon the completion of the ties deposited. schedule to be prepared by the receiver of all judgments against the company upon the said outstanding contracts, and of all claims for unearned premiums or for surrender of policies the Court shall cause the securities held by the Treasurer for the company, or any part of them, to be sold in such manner and after such notice and formalities as the Court appoints; and the proceeds thereof, after paying expenses incurred, shall be distributed pro rata amongst the claimants according to the schedule, and the balance, if any, shall be surrendered to the company. But, if any claim arises within section 47 after the statement of the said outstanding contracts has been obtained cover claims. from the company, as hereinbefore provided, and before the final order of the Court for the distribution of the proceeds of the securities, or if the proceeds of the securities are not sufficient to cover in full all claims recorded in the schedule, such additional claimants shall not be barred from any recourse they may have against the company in respect of such deficiency. If further loss occurs and deposits do not Court may confer upon receiver the power of a Master. (2) The Court, by the order appointing a receiver, or by any subsequent order, may authorize the receiver to exercise in respect of the accounts of the company all or any of the powers which the Master in Ordinary would have if he were taking an account of the claims against the said deposit, and every receiver so authorized shall possess the said powers as well as the powers usually enjoyed by a receiver appointed under an order of the said Court. 50 V. c. 26, s. 50. business. 51. Where a company has ceased to transact business in Duty of ComOntario, and has given written notice to that effect to the pany ceasing Treasurer and to the Inspector, it shall re-insure all such outstanding contracts as are within section 47 in some company or companies licensed to do business in Ontario, or obtain a discharge of such contracts, and its securities shall not be delivered to the company until the same is done, to the satisfaction of the Treasurer. 50 V. c. 26, s. 51. 52. Upon making application for its securities, the company Conditions on which deposits shall file with the Inspector a list of all contracts within section may be 47 which have not been so re-insured or have not been dis- released. charged; and it shall at the same time publish in the Ontario Gazette a notice that it has applied to Government for the release of its securities on a certain day, not less than three months after the date of the notice, and calling upon all claimants, contingent or actual, opposing the release to file their opposition with the Inspector on or before the day so named; and after that day, if the Treasurer is satisfied that the company has ample assets to meet its liabilities. under section 47, all the securities may be released to the company by an order of the Lieutenant-Governor in Council, or a sufficient amount of them may be retained to cover the claims filed; and the remainder may be released, and thereafter from time to time as such opposing claims lapse, or proof is adduced that they have been satisfied, further releases may be made on the authority aforesaid. 50 V. c. 26, s. 52. LICENSE. filed before they must 53.—(1) Before the issue of a license to a company not Certain docuincorporated by Provincial authority, the company shall file ments to be in the office of the Inspector, a certified copy of the Act of license is incorporation, or other instrument of association of the com- granted; what pany, and also a power of attorney from the company to its shew. chief officer or agent in the Province, under the seal of the company, and signed by the president and secretary or other proper officer thereof, containing the matters hereinafter mentioned, verified by their oath, and further corroborated on oath by the said chief officer or agent in the Province, or by some person cognizant of the facts necessary to its verification, and also a statement of the condition and affairs of the company on the 31st day of December then next preceding, or up to the usual balancing day of the company (but such day shall not be more than twelve months before the filing of the statement), in such form as may be required by the Treasurer of Ontario, attorney. (2) The power of attorney shall declare at what place in the Contents of Province the chief agency of the company is, or is to be estab- power of lished, and shall expressly authorize the attorney to receive process in all actions and proceedings against the company in the Province for any liabilities incurred by the company If changes are made in chief agency document to be filed. Such documents to be filed in Court. Certain records to be kept in the Treasury therein, and shall declare that service of process for or in respect of such liabilities at the chief agency, or personally on the attorney, at the place where such chief agency is established, shall be legal and binding on the company to all intents and purposes. (3) Whenever a company licensed under this Act changes its chief agent or chief agency in Ontario, the company shall file a power of attorney as hereinbefore mentioned, specifying the change, and containing a similar declaration as to service of process as hereinbefore mentioned. (4) Duplicates of all such documents duly verified as aforesaid shall be filed at Toronto, in the office of the Clerk of the Process. (5) There shall be kept in the office of the Inspector a record of the several documents filed by every company under this section, and under the heading of the company shall be entered Department. the securities deposited on its account with the Provincial Terms where- Treasurer, naming in detail the several securities, their par on license may value, and value at which they are received as deposit; and be renewed. Process and action. Service other wise than as above. Companies required to be licensed. before the issue of a new license, or the renewal of a license to a company, the requirements of the law shall be complied with by the company, and the statement of its affairs inust shew that it is in a condition to meet its liabilities; and a record of the licenses as they are issued or renewed shall also be kept in the office of the Inspector. 50 V. c. 26, s. 53. 54. (1) After the certified copies referred to in the last preceding section and the power of attorney are filed as aforesaid, any process in any action or proceeding against the company, for liabilities incurred in the Province, may be served on the company at its chief agency, and all proceedings may be had thereupon to judgment and execution in the same manner and with the same force and effect as in the proceedings in a civil action in the Province. (2) Nothing herein contained shall render invalid service in any other mode in which the company may be lawfully served. 50 V. C. 26, s. 54. 55. Except companies licensed by the Treasurer, and companies specified in section 3, it shall not be lawful for a company to undertake or effect or solicit, or to agree or offer to undertake or effect, any contract within the intent of section 2, whether the contract be original or renewed; or to accept, or agree or negotiate for any premium or other consideration for the contract; or to prosecute or maintain any action or proceeding in respect of the contract, except such actions or proceedings as arise in winding up the affairs of the company under section 7. 50 V. c. 26, s. 55. business in 56. Any director, officer, agent, employee, or other person Penalty for who, in contravention of section 55 undertakes or effects, or transacting agrees or offers to undertake or effect, or solicits, any contract contravention or collects any premium in behalf of any company, without of this Act. the company being licensed under this Act, or if such license has been withdrawn, without the renewal thereof, or without filing the copy of the Act of incorporation, or other instrument of association of the company, and the power of attorney or any renewal thereof in the event of any change as hereinbefore provided, shall be liable to a penalty of $200 for every such How enforced contravention of this Act, which penalty may be sued for and and applied. recovered on information filed in the name of the AttorneyGeneral of Ontario; and one-half of the penalty, when recovered, shall be paid for the use of the Province, and the other half of the penalty to the informer; and in case of nonpayment of the penalty and costs within one month, after judgment, the person so offending shall be liable to imprisonment in any gaol or prison for a period not exceeding three months, in the discretion of the Court wherein he is convicted. 50 V. c. 26, s. 56. license. 57. The license shall be in such form as may be from time Form of to time determined by the Treasurer, and shall specify the business to be carried on by the company; and shall expire on the thirtieth day of June in each year, but shall be renewable from year to year. 50 V. c. 26, s. 57. 58. As soon as the company applying for a license has When license deposited with the Treasurer the securities herein before men- shall issue. tioned, and has otherwise conformed to the requirements of this Act, the Treasurer may issue the license. 50 V. c. 26, s. 58 license, 59. Every company obtaining a license shall forthwith give Companies to due notice thereof in the Ontario Gazette, and at least one give notice of newspaper in the county, city, or place where the head office or chief agency is established, and shall continue the publica tion thereof once each week for the space of four weeks; and and of ceasing like notice shall be given for the same period when the com- business. pany ceases, or notifies that it intends to cease, to carry on business in Ontario. 50 V. c. 26, s. 59. 60. (1) Where a company desires to extend its business to some other branch within the intent of this Act, and has complied with the law in respect of additional deposit and otherwise, the Treasurer may on the report of the Inspector issue to the company a supplementary license authorizing it to undertake such other branch of business. (2) When a supplementary license is granted, it shall be recorded in the books of the Inspector and filed in the same registry office as the original or prior license. Company ceasing busi cases to pay losses. (3) The provisions herein enacted as to the continuance, renewal, suspension, and cancellation of licenses, shall equally apply to supplementary licenses. 50 V. c. 26, s. 60. 61. After a company has ceased to transact business in ness in certain Ontario after the notice hereby required, and its license has in consequence been withdrawn, the company shall nevertheless pay the losses arising from policies not re-insured or surrendered, as if the license had not been withdrawn. 50 V. c. 26, s. 61. Statement to be published Treasurer. 62. The Provincial Treasurer shall cause to be published by Provincial half-yearly in the Ontario Guzette, a list of companies licensed under this Act, with the amount of the deposit made by each company; and upon a new company being licensed, or upon the license of a company being withdrawn in the interval between two such half-yearly statements, he shall publish a notice thereof in the Ontario Gazette for the space of two weeks. 50 V. c. 26, s. 62. FEES 63. Each company respectively shall pay to the Treasurer the following fees: 1 For recording and filing in the office of the Inspector the 2 For change of attorney under section 53.. $ 10 00 5 00 10 00 Application for change of name or of head office.. Restricted application. INTERNAL MANAGEMENT OF MUTUAL AND FIRE INSURANCE COMPANIES. 64. Sections 65 to 87 inclusive, shall apply only to mutual and cash-mutual fire insurance companies. 50 V. c. 26, s. 64. |