Friendly Societies Discharge Act, 1854

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FRIENDLY SOCIETIES DISCHARGE ACT 1854

CHAPTER LVI.

An Act to make further Provisions in relation to certain Friendly Societies.[¹] [31st July 1854.]

10 Geo. 4. c. 56.

4 & 5 Will. 4. c. 40.

WHEREAS certain friendly societies were established and enrolled under the Acts passed in the tenth year of his late Majesty King George the Fourth, chapter fifty-six, and the fourth and fifth years of his late Majesty King William the Fourth, chapter forty, relating to friendly societies, or under one of them: And whereas the scope and operation of friendly societies since the passing of the said Acts have been limited by law in respect to the amount for which policies of assurance payable on the death of members of such societies may be granted; but some of the said societies, established as aforesaid, and which grant or effect policies of assurance payable on death, have not been so limited, and such last-mentioned societies have therefore been excluded the benefit of certain provisions and privileges made for and granted to friendly societies in respect to exemption from stamp duties and otherwise; and it is desirable that there should be special provisions made with respect to such of the said societies so excepted and excluded as aforesaid:

This Act to apply only to certain societies; which shall cease to be friendly societies.

1. This Act shall relate to and include such of the said societies only as grant and effect policies of assurance payable at death exceeding the sum of one thousand pounds; and from and after the passing of this Act the said societies shall cease to be friendly societies, and shall not be affected by the provisions of any Act passed in the present or any future session of Parliament relating to friendly societies, unless therein expressly named.

Application to such societies of Acts now in force relating to friendly societies.

13 & 14 Vict. c. 115. ss. 37, 51.

2. The several provisions contained in the Acts relating to friendly societies which were wholly or in part in force on the first day of this present session of Parliament[²] with respect to the societies intended to be affected and provided for by this Act, save and except the thirty-seventh and fifty-first sections of the Act of the thirteenth and fourteenth years of her Majesty, chapter one hundred and fifteen, shall, so far as they now affect such societies, remain and be in force and unrepealed with respect to the said societies, except as is herein-after provided.

No exemption from stamp duties to extend to societies affected by this Act.

Such societies not to assure in favour of nominees of the assured.

3. No exemption from any of the duties granted by any Act or Acts relating to stamp duties shall from and after the passing of this Act extend or be construed to extend to any of the societies intended to be affected and provided for by this Act; and it shall not be lawful for such societies after the passing of this Act to assure the payment of any money on the death of any member or person whomsoever to any nominee of such member or person, but only to the person or persons effecting and contracting for any assurance with the said societies respectively, or to his, her, or their executors, administrators, or assigns.

Societies affected by this Act may transact the business allowed by their rules, and grant assurances on lives, &c., and make new rules, &c. without submitting the same to the Registrar of Friendly Societies.

4. The societies intended to be affected and provided for by this Act may carry on, transact, and effect all the business and purposes which have been from time to time and are duly specified in and allowed by the enrolled or certified rules of the said societies respectively, and also may grant, make, or effect all such assurances on lives, survivorships, contingencies, and events dependent on or connected with life or otherwise as may by law be made or effected, and may make such new rules or alterations in rules as shall not be repugnant to law, without being required to submit the same to the Registrar of Friendly Societies, and shall not be required to transmit to such registrar any statement or return of sickness or mortality, or of assets or liabilities.

Investment of the funds of societies affected by this Act.

5. The trustees of the several societies intended to be affected and provided for by this Act may from time to time lay out and invest the funds of such societies, as well in the manner, and upon the stocks, funds, and securities, which are now authorized by law with regard to such societies, as also in or upon Exchequer bonds and bills, and any stocks, funds, or securities guaranteed by the Government of Great Britain, and bonds of the City of London, or on mortgage, or in the purchase of any reversionary, contingent, or other estate or interest in any freehold, leasehold, or copyhold property in Great Britain or Ireland, or of any such estate or interest in any of the stocks, funds, or securities herein-before mentioned and referred to respectively, or of any such estate or interest in any sum or sums of money secured upon any such real and personal estate as aforesaid, or upon the security of any rates, tolls, duties, assessments, bonds, stocks, debentures, or other securities of any persons, body or company authorized by Act of Parliament, charter, or otherwise to be raised, levied, or mortgaged, and also upon security of any life policy or policies, although the amount of the loan may exceed the then present value thereof, provided the premiums on such policy or policies and the interest of the loan be collaterally secured by or upon some of the securities herein-before mentioned, and shall and may from time to time vary and transpose the said securities so purchased, and sell the same respectively.

Statutory provisions for enforcing attendance of witnesses before arbitrators, &c. shall apply to arbitrations under the rules of such societies.

6. All powers and provisions of any Act or Acts of Parliament for ordering and enforcing the attendance of witnesses before an arbitrator under any reference made a rule of court, and for punishing disobedience to any such order, shall apply to any arbitration of any difference or dispute under or pursuant to the rules of any of the societies intended to be affected and provided for by this Act, for which purpose a copy of the resolution of the board of directors, or committee, or board of management of any such society, authorizing such reference, signed by the chairman or any director or the secretary of such society, may be made a rule of any of her Majesty's courts at Westminster.

Trustees may purchase, &c. buildings for offices, &c.;

and mortgage or sell, &c. the same.

7. The trustees for the time being of any society intended to be affected and provided for by this Act may from time to time, with the consent of the board of directors or board or committee of management thereof, purchase, hire, or take upon lease, and adapt and furnish, any buildings for the purpose of holding the meetings and transacting the business of such society, and shall hold the same in trust for the use of such society, and may, with such consent as aforesaid, mortgage, sell, exchange, or let the same, or any part thereof; and the receipt in writing of such trustees shall be a valid and legal discharge for the money arising from any such mortgage, sale, exchange, or lease, and for any other moneys payable to them by virtue of this Act; and no purchaser, mortgagee, lessee, assignee, or other person shall be bound to ascertain or show whether any such consent shall have been given as aforesaid, or be answerable for the misapplication or nonapplication of the moneys in any such receipt expressed to be received, or be bound to see to the application thereof: Provided always, that any building which now belongs to any such society may be held and dealt with in the same manner as if it had been acquired under or by virtue of this Act.

Trustees not to invest funds in savings banks, or with the National Debt Commissioners.

8. It shall not be lawful for the trustees of any friendly society coming under the provisions of this Act to make any investment of the funds of such society either in a savings bank, or with the Commissioners for the Reduction of the National Debt: . . .

Short title.

9. In citing this Act in other Acts of Parliament, and in legal proceedings and instruments, it shall be sufficient to the use the expression “The Friendly Societies Discharge Act 1854.”

Extent of Act.

10. This Act shall extend to Great Britain and Ireland, and the Islands of Guernsey, Jersey, and Man.

[¹ Short title, “The Friendly Societies Discharge Act, 1854.” See s. 9.]

[² The 31st January 1854.]