UC-NRLF $B E3a D'^h FARMERSlA MINNESOTA mmn l;¥. mMCMtMMMnMMMMn MAIN LIBRA RY.AGRlCU*.iv.'^K ^K^-- Digitized by the Internet Arcinive in 2007 witii funding from IVIicrosoft Corporation iittpV/www.archive.org/detaiis/farmersiawminnesOOkoosrich Farmers' Law MINNESOTA EDITION LEONARD V. KOOS Superintendent of Schools, Glencoe. Author of "Farmers' Law for the Short Course" Copyright. 1913. By Webb Publishing Company W— 2 PREFATORY NOTE Two distinct needs have prompted the writing of this Httle book. The thinking farmers of the state have long been looking for a concise manual of such common and statute law as bears most closely upon them in their every- day affairs. They have desired a little volume that will set before them briefly what they cannot themselves find, having neither the leisure nor access to a legal library. Again, the schools of the state, now rapidly adding agri- culture to their curricula, have come to need a brief text in "Farm Law" which may be placed in the hands of the students in the long and short course classes. To more nearly meet these needs an effort has been made to couch the law, as far as possible, in layman's English, to omit all verbiage, and to present only the "bare essentials." Most of us, although frequently reminded that "every man is presumed to know the law," have despaired of any measure of comprehension of its intricacies. Because of the recep- tion given the author's earlier pamphlet on "Farmers' Law for the Short Course" in which the law was largely stripped of its technical terms, he feels that this little book will make the law understandable to those for whom these pages have been prepared. September 26, 1913. L. V. K. ^»8RARV.AGHlCUt:, u«C DE»-T, CONTENTS Chapter Page I. LAW IN GENERAL 7 What Law Is — Written and Unwritten Law — Constitutions — Statutes — Common Law. II. CONTRACTS 9 Definition of Contract — Oral and Written Contracts — Express and Implied Contracts — Consideration — Who May Make Con- tracts — Subject Matter of Contracts — The Statute of Frauds. III. ACQUIRING THE FARM 12 Title — Deed — Kinds of Deeds — Warranty Deed — The Cov- enants — Signature — Acceptance — Changes Made in Deeds — Right of Husband and Wife to Convey Real Estate — Home- stead — Quitclaim Deed — Installment Contracts. IV. MORTGAGES : 19 The Use of Farm Mortgages — What the Mortgage Contains — Signature, Acknowledgment, etc. — ^The Mortgage Registry Tax — Discharge of Record — Foreclosure — Chattel Mortgages — Foreclosure of Chattel Mortgages. V. LANDLORD AND TENANT 25 Definitions — Oral and Written Leases — Covenants of Land- lord and Tenant — ^Tenure of the Lease — Eviction — Right to Emblements — Crops on Shares — Right to Timber. VI. FARM LABORERS 31 The Parties — Oral and Written Agreements between Master and Servant — Amount of Wages When Not Previously Agreed Upon — Obligations of Employer and Employee — Payment of Wages to Minors — Responsibility of Employer for Acts of the Employee. VIL FARM PRODUCTS 33 Farm Crops Distinguished as Emblements or Real Property — ^The Bearing of the Distinction upon Contracts and upon Theft — Manure — Levy upon Grain — Damage to Crops — Seed Grain Contracts — Thresher's Lien — Dairy Products — Using Preservatives in Dairy Products — Adulterated Milk or Cream — Discrimination in Prices Paid for Milk, Cream, or Butter- fat — "65 Mile" Law. 4089r>3 4 CONTENTS Chapter Page VIII. NURSERY STOCK 38 Inspection of Nursery Stock — Infested Nursery Stock — Ship- ment Within the State — Nursery Stock from Outside the State. IX. THE SEED LAW 40 The Law in General — What Seeds the Law Includes — Label- ing — Exceptions as to Labeling — Penalties — ^Testing and In- specting Seed — The Rules of the Experiment Station. X. WEEDS 44 "Noxious" Weeds — The Farmer's Duty — The Method of Enforcing the Law. XI. FARM ANIMALS 46 Estrays — Distraining — Liability of Railroads — Damage Caused by Animals — Diseased Animals — Animals Brought Into the State — Hog Cholera Serum — Lien of Agisters — Lien for Shoeing — Lien for Service of Stallion, etc. — Cruelty to Animals — Dogs. XII. FARM BOUNDARIES, ROADS ABUTTING ON THE FARM, LINE AND LEGAL FENCES 54 Boundary Disputes — Roads Abutting on the Farm — Streams and Lakes as Boundaries — Trees On or Near Boundary Lines — Fires Spreading to a Neighbor's Land — Legal Fences — Line Fences. XIII. WATERS OF THE FARM 60 Riparian Rights — Surface Waters — Town, County, Judicial, and State Ditches — Procedure for County Ditches. XIV. ROADS— THEIR ESTABLISHMENT AND MAINTE- NANCE 64 Kinds of Roads — State Roads — Surveys, etc., for Same — State Aid for State Roads — How It is Paid — The Town Board and State Roads — County Roads — Establishing, Altering, or Vacating Roads in More Than One Town — Issuing Bonds for Permanent Road Improvement — Roads in Two or More Counties or on County Lines — Town Boards and Town Roads — The Town Road Overseer — Road Taxes in Towns — ^The Dragging Fund — Establishing, Altering, and Vacating Town Roads — Roads on Town Lines — Roads in New and Unorgan- ized Towns — Cartways — Dedication of Land for Roads — Extraordinary Improvement of Town Roads — Drainage of Town Roads — Appeals from County and Town Boards — Re- moval of Fences by Town or County Boards — Tunnels Under Roads — Dedication of Roads by Use — Old Roads Open Two Years — Bridges and Culverts. CONTENTS 5 Chapter Page XV. THE USE OF ROADS , 77 Meeting and Passing on Roads — ^At Corners or Cross- Roads — Who May Not Drive Motor Vehicles — In Case of Accident — Equipment of Motor Vehicles — Intemperate Drivers — Leav- ing Horses Unfastened — Traction Engines. XVI. TAXES 80 The Steps in the Taxing Process — Assessment — Moneys and Credits — Equalization — Levy — Extending the Taxes — Collec- tion — Delinquent Taxes — Distribution — Other Taxes. XVII. SCHOOLS 88 To Form a New District — Setting Ofif Land to an Adjoining District — Dissolving School Districts — The Annual School Meeting — Special School Meetings — Powers and Duties of the Board — Special State Aid to Rural Schools — Association — Consolidation — The Compulsory Education Law. XVIII. ELECTIONS— PRIMARY AND GENERAL 96 Who May Vote — The Elections — Presidential Preference Primary Election — The State-Wide Primary Election — The General Election — The Corrupt Practices Act — Constitutional Amendments — Further Rules as to Elections. XIX. WILLS AND ADMINISTRATION 103 Who May Make a Will — The Form of the Will — Competent Witnesses — Should One Draw His Own Will — How Wills are Revoked or Canceled — Steps in Administering an Estate Where a Will Has Been Made — Executor and Administrator — Notice to Creditors — Inventory and Appraisal of the Estate — Settlement — Administration Where the Deceased Has Left No Will — Descent of Property — The Homestead— Other Real Estate — Personal Property — Posthumous Children — Guar- dians. XX. CO-OPERATIVE ASSOCIATIONS Ill Co-operative Enterprises — Organization — Management — Profits — Report of Creameries — Recent Developments in Co-operation. XXI. PROPERTY INSURANCE —MINNESOTA STAND- ARD POLICY 114 Definitions — The Standard Policy— Obligations of the Insured — The Statement — Adjustment. XXII. FARMERS' MUTUAL INSURANCE COMPANIES.. 117 Town Mutual Insurance Companies — Certificate of Incor- poration — Kinds of Property Insured — How These Companies are Supported — Adjustment of Losses — Mutual Hail, Tor- nado and Cyclone Companies. 6 CONTENTS Chapter Paoe XXIII. LIFE INSURANCE 121 What It Is — Ordinary Life Insurance — Limited Payment Life Insurance — Term Insurance — Annuity Insurance — Insurable Interest — Applications for Insurance — Minnesota Policies — Other Important Life Insurance Regulations — Fraternal Insurance — Casualty Insurance. XXIV. NOTES, CHECKS, AND DRAFTS 130 Notes — Checks — Drafts — Negotiability — Indorsement — The Indorsers' Liability — Date of Maturity — Ambiguous Instru- ments — Forged Paper. XXV. COMMISSION MERCHANTS 138 The Function of the Commission Merchant — State Regula- tion — Complaints. XXVI. AUCTIONS AND AUCTIONEERS 140 Licensing of Auctioneers — Record of Sales Required — "Bid- ding in" at Auctions. XXVII. COMMON CARRIERS 142 Common Carrier Defined — Bill of Lading — Liability of Com- mon Carriers — Complaint to Railroad and Warehouse Com- mission — Cars — Shipping Live Stock. XXVIII. MISCELLANEOUS 145 Replevin — Attachment — Garnishment— Injunction— Libel and Slander. XXIX. THE FARMER AND THE LAWYER 148 INDEX 150 FARMERS' LAW Minnesota Edition CHAPTER I LAW IN GENERAL Law, in its widest sense, is a rule of conduct. For all practical purposes, it may be considered a body of rules of conduct laid down and enforced by the authority of a nation or state. For instance, when we say that it is a Law of Minnesota that "every child between eight and sixteen years of age must attend a public school, or a private school, in each year during the entire time the public schools of the district in which the child resides are in session," we mean that it is a rule of conduct for parents or guardians in Minnesota in the matter of sending such children to school. Law may be classified as written or unwritten law. Writ- ten law is found in our constitutions and in our statutes. The constitutions are called the "fundamental law of the body politic." This means that the constitution contains the laws of a community with which all other laws must agree and upon which all other laws must be built. The fundamental law for the United States is found in its Con- stitution, in force since 1789; and all the Acts passed by Congress and by the legislatures of the states must be in harmony with it or they are declared void. The funda- mental law for the State of Minnesota is its Constitution, and all the Statutes passed by the State Legislature must 8 FARMERS' LAW be in harmony with this Constitution. In this book the name "statute" will be given to those laws passed by the Legislature of the State of Minnesota. Unwritten law more often goes by the name of common law. In the absence of statute law common law prevails. In most cases it is simply common sense or "right reason" applied to cases not covered by statute law. It is an out- growth of long-continued custom as found in the decisions of the courts. Most of our law is based upon these unwrit- ten rules of conduct, the greatest part of which have come down to us from England, although changes have found a place from time to time in the courts in different communi- ties in this country. In our study of these rules of conduct for citizens in Minnesota, we shall naturally deal largely with common law and the Minnesota Statutes. CHAPTER II CONTRACTS DEFINITION Whenever a person buys or sells, whenever he makes any kind of bargain or agreement, he makes a contract. In brief, whenever for a sufficient consideration a person agrees to do or not to do some particular thing, he is said to make a contract. CLASSES OF CONTRACTS In entering into the agreement one may do so by word of mouth, when it is called an oral contract, or one may put it into writing or printing. In the latter case it is, of course, a written contract. Contracts are also express or implied. If all the terms of the contract are spoken or put in writing, it is an express contract. If some of the terms are not spoken or written but are understood from the circumstances, it is an implied contract. For instance, if I say to the grocer, "Deliver a hundred-pound sack of flour at my house and I will pay you three dollars for it tomorrow," I make an express con- tract. If, instead, I merely say to him, "Deliver a hundred- pound sack of flour at my house," it is implied that I will pay the market price for it and that it is to be merchantable flour. A large porportion of the smaller contracts in daily business activities are implied. CONSIDERATION To make a contract that may be enforced there must 10 FARMERS' LAW be a consideration, — the cause, price, or thing which induces the carrying out of the contract. An agreement to make outright gift is not a contract. The consideration is not always the transfer of money. It may be any benefit to the promisor or loss or detriment to the other party to the contract, or promisee. WHO MAY NOT MAKE CONTRACTS Minors are incompetent to make contracts except for necessities, such as food, clothing, medical attendance, etc. Contracts made by a minor are voidable by the minor when he reaches his majority. Idiots, lunatics, and drunken persons can not make valid contracts, except that a drunk- ard may ratify after he becomes sober a contract made while he was intoxicated. In Minnesota married women have the same right to make contracts as their husbands. SUBJECT MATTER OF CONTRACTS The subject matter of a contract may be anything law- ful. Any contract to do anything unlawful is illegal and void. For instance, contracts to bribe a jury, bets or wagers, or contracts in which fraud enters are illegal. STATUTE OF FRAUDS The following classes of contracts, according to the Stat- ute of Frauds, must be in writing: (1) Leases of land for a year or more. (2) Contracts for the sale of land for a year or more. This includes deeds, mortgages, etc. (3) Every agreement that by its terms is not to be performed within one year from the date of making it. (4) Promises to answer for the debt of another person. CONTRACTS 11 (5) Contracts for the sale of personal property where fifty dollars or more is involved. Where some part of the property is delivered, where some part of the purchase price is paid to "bind the bargain," or where goods are sold at an auction at which proper entry is made in the salesbook, contracts under the last class do not come under the Statute of Frauds and, therefore, need not be in writing. With either oral or written contracts it is essential that the intention of both parties be clear. Especially when one is making a contract in writing should the meaning be made clear, for, in the courts, one will not be permitted to change by oral testimony the terms of a written contract. CHAPTER III ACQUIRING THE FARM GENERAL When a person makes the purchase of any piece of real estate, such as a farm, he is said to acquire title to it. Title to a farm is evidence which that person has of the right to the possession of the farm. The conveyance of the title to the farm from the owner, or grantor, to the purchaser, or grantee, is made by an instrument called a deed. This deed, since it is concerned with the transfer of real estate and therefore comes under the Statute of Frauds, must be in writing. In Minnesota, deeds are required to be signed before two witnesses, acknowledged before an officer authorized to administer an oath, and recorded in the office of the register of deeds of the county in which the land is situated. KINDS OF DEEDS The three kinds of deeds of which a citizen of Minnesota should have knowledge are the warranty, the quitclaim, and the mortgage deeds. The last named will be dealt with in the separate chapter on mortgages. THE WARRANTY DEED The warranty deed is the common form for the convey- ance of real estate. In addition to granting the land, it con- tains warrants or covenants as to the title. The Minnesota Statute makes possible the use of the following form of ACQUIRING THE FARM 13 Warranty Deed A. B., grantor, of (here insert place of residence), for and in consideration of (here insert the consideration) conveys and warrants to C. D., grantee, of (here insert place of residence), the following described real estate in the county of in the State of Minnesota: (here insert the description of the premises). Dated this day of 19 Signature Attention is called to the words "conveys and warrants" in the above form. The description mentioned refers to surveys, maps, distances, or boundaries. THE COVENANTS The same statute provides that when this form is used it is to be understood that the grantor makes the following covenants with or promises to the grantee : Covenant (1) : "that he is lawfully seized of the premises in fee simple and has good right to convey same." This is called the covenant of seizin. It is simply a warranty that the owner has possession of the property described in the deed and that he has the, right to convey it. Covenant (2) : "that the premises are free from all incum- brances." This covenant pledges that there are no out- standing rights in other persons. This covenant is broken by outstanding mortgages, unpaid taxes, mechanics' liens, and judgments docketed in the office of the clerk of court of the county where the land is situated within ten years prior to the date of the conveyance. Covenant (3): "that he warrants to the grantee and his heirs and assigns the quiet and peaceable possession of the premises." The covenant of "quiet and peaceable posses- sion" is a promise that the grantee, his heirs, or others who 14 Pgrsons , uxiiaarrled FARMERS' LAW S^ That the Grantor.. OeOT^^^ HMiding u the..^^^y , .q/:,Sl9^9oe Coiuity of.^.9.h9.9^. and State o/,.MAnf'C30ta f^r and in consideration cfthe sum 0/ ./^rtoen jniQusand _ _ _ dollars. to.pL\Uf.rrrr:.in hand paid. doCS hereby Convey and Warrant to..«?Olin..T , TOnllnSOn . Of P.lnP.g.9.g..P.f...kL'e..gQ"nt,Y..of .McLeO(a..a^ a* Grantee the following described Real Estate, viz. ...Tile KorVhWCS t auarter M ^.Y.?r.ri?[L»0.k..??y.r^y.ey.i...<^.9.n t a In In lUuaU in the County o/..¥cLeOd and State of Minnesota. Dated a<..g.ij?.n.COe . . . thU. 2 Zj\j),^r-rrr.. day o/.SOji^eabgP A. D. 191 .3 Signed. Scaled and DcUverM in Presence of _Z^(fi2s^.e0.t>ejr -.^. D. 191 3., before me. a .y.9.t'.g.ry...PUbllC wUhin and for said County. persoiuUly appeared to me known to be the person described in and who executed the foregoing instrument, and acknowledged that k0 ax tet Ue d tite $am» 01..*}-?.- fit€ act and deed. Notary Public «y CoFjDls8l6n*'15xi)rrcs*'I9r5^ FIG. 1. WARRANTY DEED. (Short Form.) ACQUIRING THE FARM 15 claim title through him shall not be legally disturbed in their quiet and peaceable possession of the premises by the grantor or his heirs. Covenant (4) : that he will defend the title to the prop- erty "against all persons who may lawfully claim same." If any lawful claim is made by a third party as to the title of the grantee to the property, by the fourth covenant the grantor pledges compensation for the loss sustained by the failure of title up to the amount of the purchase price and interest. It is rather common practice to include these covenants in the form of deed. The signature is that of the grantor. The grantee does not sign. The conveyance of the farm is completed when the deed has been delivered by the grantor. Before accept- ing the deed the grantee should make sure that the title is perfect in the grantor and that the deed is properly executed. A grantee who personally accepts a deed is presumed to know its contents. Nor can the grantor have a deed set aside because he failed to read it. Any material change made in the deed by either party after delivery makes it void. If there is no certainty as to the property described in the deed it is void. A husband and wife may, by a deed in which both join, convey real estate belonging to either. Except the home- stead, either, by a separate deed, may dispose of the real estate belonging to him or her, subject to the rights of the other. (Note. The homestead in rural dis- tricts, — that is, outside the limits of a city or village — includes the house actually occupied by the owner as a dwelling and not more than eighty acres of land. Such a homestead is exempt from seizure or sale except for debts 16 FARMERS' LAW incurred for work or materials furnished in the building, repair, or improvement of the same, or f.or services of laborers or servants.) QUITCLAIM DEED A quitclaim deed is one which grants merely the interest the grantor has. The Minnesota Statute makes possible the use of the following %-m for a Quitclaim Deed A. B., grantor, of (here insert place of residence), for the con- sideration of (here insert the consideration), conveys and quit- claims to C. D., grantee, of (here insert place of residence), all interest in the following described real estate in the county i of in the State of Minnesota: (here describe the premises.) Dated this day of 19 Signature If the words "conveys and quitclaims" of this form are contrasted with the words "conveys and warrants" in the form for warranty deed the essential difference between the two kinds of deeds will be seen. The quitclaim deed war- rants nothing and the statute contains no covenants that are understood to be binding upon the grantor. The quit- claim deed does not even assert that the grantor has any title to the premises described. In transfers of real estate this form is used merely to extinguish possible outstanding titles, for example, claims of heirs, for real estate for which a grantor or grantee is desirous of obtaining or giving a war- ranty deed or for the sake of peace. In buying a farm the purchaser should not accept a quitclaim deed without con- sulting a competent attorney. ACQUIRING THE FARM 17 Thitt the (7»aH/or.0c0.r&e...E.,.. Parsons, unmarried, ■.for and in consideration residing in Ihe.CXtU ■ o/.. OlCnCQ e County o/..MCLeOd _ and State ofMm^-SOlM. — r- of the sum of.9.^P. , „ DOLLAl to^^r-r—^in hand fiaid, d(fi^ hereby Convey, 1,'clcosc and Quit-Claim /a.-^P.^n ..T^T9mlln8qn . Of G-lencoe of the County of McLeod and State of Minnesota as Grantee all. P.^.^.—r-... interest in. and to the followina described real estate, wr.-.ThC KOrthWCSt ..^H§-rl?.?!..?ir.. Sec 1 1 on 31 X t een^^^ J!'^J}^.^...yA'^.V.^.V{.30) Mest of uie F Jierldlan according to the United Btates Government Survey, containing one hundred sixty acr«o more or less. situate m the County o/,.M.CL69.4 .and State of Minnesota. Dated at ciencoe . jgi3_ . , before m*. a .^Py^^^. .^"^.^A.^ .— — — — ivithin and for said County, personally appeared Qeorce E. parsons, tmmarrled, __ : to me knoum to he the person described in and who executed the foregoing instrument, and acknowledged that he executed the tarn* w.M.?, free act and deed 2— My COnunlsslon Expires 1915 FIG. 2. QUITCLAIM DEED. (Short Form.) 18 FARMERS' LAW ACQUIRING THE FARM UNDER AN INSTALLMENT CON- TRACT Frequently purchases of farms or other real estate are made where the purchaser has a comparatively small amount of ready money. He may desire to make part payment yearly or at other regular intervals of time. In such a case, if the owner of the farm is willing, an install- ment contract is entered into, which describes the tract of land, contains the agreement to purchase, the dates of the payments and their amounts, and a pledge on the part of the owner to deliver the deed when all the requirements made of the purchaser in the contract have been met. Both parties to the agreement are required to sign such a con- tract. Of course, the title to the farm remains with the owner until full payment has been made. CHAPTER IV MORTGAGES FARM MORTGAGES Often the owner of a farm wishes to borrow money and offers the farm as security for the loan. This he does by giving a mortgage on the farm. The borrower here is the mortgagor f while the party making the loan is the mortgagee. An illustration of this use is where a person buying a farm has not enough money to cover the full purchase price of the farm and borrows the remainder in order to make full pay- ment. He gives a mortgage on the farm for the amount borrowed. WHAT THE MORTGAGE CONTAINS A mortgage on real estate is a form of deed, and in our state is quite commonly called a "mortgage deed." As a deed it is a conveyance of title to land but differs from other deeds in that it contains a provision that it shall be void and of no effect if the mortgagor pays the money at the time stated in the mortgage. This provision is known as the defeasance clause and may usually be recognized in the mortgage deed by its beginning, — "provided, always," or "provided, nevertheless." Covenants similar to those described under the warranty deed are made by the mort- gagor; namely, (1) that he is in lawful possession of the premises, (2) that he has good right to convey the same, (3) that they are free from all incumbrances, and (4) that he warrants the title against all lawful claims. 20 FARMERS' LAW Made //tto.,25 t2i. ' day o/.-Septe pibe p- in the year of our Lord one thousand nine hundred and "...T ^'...V — - between Oriln P. Miller and Helen N. killer his wife , of the County of ^^^^^^. --r-rrrr-.and State of ...^^^}:^9.^9y^.rTTrrr7r-j>artXQQ of the first paH.and John T. Tomllnson ___^ of the County of ."^.^«°^ — — -zn>d Slate of M^?.^.9^Ar-rr—paH.y... of the second part. WITNESSETH. T)iat the said parAQ3. of the first part, for and in consideration of the sum of jBlx Hundreds dollars. to-.Vfig.P. J in hand paid by the said party......of the second part. Ih^ receipt whereof is hereby acknowledged, do by these presents Grant. Bargain, Sell and Convey to the said part }f..... of the second pctrt,.^%P..-r heirs and assigns. Forever. atf...-t-^.V.V. - - . . .tract or parcel of land lying and being in the County of..¥p.h^9.^ ^ and State of Minnesota, described aj! follows, lo-wU: The Northwest quarter of Section Six t ecn( 16 ) Township One Himc^^^^^ I?i?.?.eenlll61. North, Itong^^^ ■¥?jy.4.A§f}..J?.?.9.°A'4lTiS...^o..the Unlv _. tQlnlng one hundred sixty acres of land more or less £0 S"'$ ""^ ^ 9"^ ^'" S^""- Together with all tlie heredUanienti and appurtenances thereunto belonging or in anywise appertaining, unto the said part X... .of the second part.iXXB. ... heirs and assigns, FOREVER., And the said .Oriln.X^.jiliiar..and. -Helen N^.,Ulll&r-hl«-wife- part... r!... of the first part, do covenant with the said party......of the second part,.}}~^. '.....heirs and assigns, as follows: First, that ^lie}f..i)^.&laufully seized of said premises; Second, that the yha^e...good right to convey the same; Third, that the same are free from all encitmbrances...9.^9.^:P^...^..?}9.V.^.':..... ^.9.?.9..®.?.?.9.HJ^®A..)'.5?..??.9.^..!?.9.?.?.?..X9.r...T*9Aye and noyipo Lioi;jg,jps ■ : -and Fourth, that the said part.}/.. his _^_^^ of the' second part, heirs and assigns, shall qiiiethj enjoy and poss'JS the sam,e; and that the toud part.T°.?.qf the first part unll Warrant and Defend the title to the sante against all lawful claim*. FIG. 3. MORTGAGE DEED. (First Page.) MORTGAGED 21 PROrWSD. XErERTHSlSSS, That if the said.' rAes„ ?o/ the first part.l^iMJL^heir adminutrators, shall well and truly pay. or cause to be paid, to the said part.)!.. .of the second par«,.fll? ; heirs, executors, administrators or assigns, the sum o/.T!.V^.."-V!^'Mr?M Dollars, and interest, according to the condUion, of...m^.'9rQm^f^aOTX.^AQl&..£QT...&lX.ii\mtI'.^(L.JiU^ ■JgAg!?f...^gJ!..gpM..ArjMr.P-g.k.MnHQlAy..aM.due,,.Sep^^ hearing even date herewith, and also to pay all taxes which now are. or may be hereafter assessed on said premises as they shall become due. then this deed to be null and voui. But if default shall be made in the payment of said sum of money, or the interest, or the taxes, or anyfV^i thereof, at the time and in the manner hereinbefore or hereinafter specified for the pajjmenl thereof, the said Bart.7:rf.Vf the first part, in such ease do hereby authorize and fully empower the said part. X. of the second par^..Xl\^. heirs, executors, adminislraloYs or assigns, to sell the said hereby granted premises, and convey the same to the purchaser, in fee simple, agreeably to the statute in such case made and provided, and out of the moneys arising from.sueh sate to retain the principal and interest which shall then >'<■ due on said note , and all taxes upon said lands, together with all the costs and charges, and also the sum of^AXW Dollars, as .attorney's feel and pay the overplus, if any, to the said partiS.^f the first part.VtlG.lrheirs, executors, adminiitratori or assigns. . ..,. ^, onm r. wiiicr and H«len N. Miller his wife ■ jlni the said .". do further covenant and agree to and with the said parlMrr.of the second paf<, Al? heirs, executors, administrators and assigns, to pay said sum of money above specified at the time and in the manner above mentioned, together with all the costs and expenses, if any there shall be; and, also, in case of the foreclosure of this Mortgage, the sum of .F.iX.t if. -7T. ■Dollars as Attorney's fees in addition to all sums and costs allowed m that behalf by law, whi. sum IS hereby acknowledged and declared to be a part of the debt hereby secured, and which shall be assessed and payable as part of laid debt, and that he will pay all taxes and assessments of every nature that may be assessed on laid premise; or any part thereof, previous to the^^y appointed by law for the sale of lands for town, city, county or state taxes. Jtnd if default be made by the said part^.PP.of the first part, in any of the foregoing provisions, it shall be lawful for the said parl.Y ■ of the second part. .hX&TTrrrrr. .heirs, executors, administrators or assigns, or. tiX^rrrrrrr. .Attorney . to declare the whole sum above specified to be due and payabUa ,,^ ♦v,»»i«. ^ '»v.r.4« JXTESTlMOXr WHERROP. The said parC^rof the first pari haYti.. hereunto set..VUQ.l.r...ha>u^ and a/Jlx«i.HlOT tea^ the day and year first above written Signed, Sealed and Delivered in Presence o( ...(2.A...Qc#. D. 191^.., before me. a .■^^k*Jr.y...^.y^^AP. .1 - within and for said County, personally appeared PJiA?..J.A..?J[U?:?..?..M?!.Aelon..y.i..MA.UgP..hl.3.w^^^^^ to me known to he the person B described in and ivlio executed the foregoing instrument, and acknwvledged thatt he ^executed the same os-.V^J?..^.?. free act and deed.^ <^o\.aT^ public Wy CoDUiii-asion Ex^jiriss 1915' FIG. 4. MORTGAGE DEED. (Second Page.) 22 FARMERS' LAW SIGNATURE, ACKNOWLEDGMENT, FILING, ETC In Minnesota, the mortgage deed is subject to the same regulations as to signature, seal, witnesses, acknowledgment, and record as all other deeds. These requirements have been given in the previous chapter. There is also a tax of fifteen cents for every hundred dollars (or fraction of a hundred dollars) of the mortgage debt for filing the mort- gage in the office of the register of deeds of the county in which the land is situated. If the mortgage is to run through more than five years the filing fee is twenty-five cents per hundred dollars of the debt. This is known as the registration tax. In the absence of an agreement this tax must be paid by the mortgagee. Mortgages are effective in the order of their filing, and, in foreclosing, the second mortgagee gets nothing until the first mortgage is paid in full. For this important reason, second mortgages are not in great demand as compared with first mortgages. This filing is a protection to the mort- gagee and is notice to the world that he has a lien on the property of the mortgagor. Mortgages not recorded are of no effect as against any later purchaser in good faith, that is, any person buying the land or accepting a mortgage on it for a valuable consideration and without knowledge of the unrecorded mortgage. DISCHARGE OF RECORD When a mortgage debt is paid the mortgage deed is discharged of record by filing in the office of the register of deeds where the mortgage has been recorded a "certificate of satisfaction" which has been acknowledged and signed by the mortgagee or by a memorandum signed by him on the margin of the record. Should the mortgagee fail to discharge the mortgage within ten days after the date of payment of MORTGAGES 23 the mortgage debt he is liable for all damages due to his neglect. FORECLOSURE When the debt which is secured by the mortgage is not paid as agreed, the mortgagee has the right to foreclose. Foreclosure is simply the proceedings by which the premises are sold and the proceeds of the sale are applied to the mort- gage debt. If the proceeds of the sale are more than enough to cover the mortgage debt and the costs of foreclosure, the surplus goes to the mortgagor. The sale is made by the sheriff. After the date of the sale the mortgagor has a right to redeem during twelve months by paying the sum for which the property was sold and interest at the rate pro- vided in the mortgage or, if the rate is not fixed in the mortgage, at the rate of six per cent. CHATTEL MORTGAGES A chattel mortgage is a mortgage on personal property such as crops, live stock, farm machinery, furniture, etc. As in the case of the real estate mortgage, it is a condi- tional sale of the property to secure a debt and is void upon the payment of the debt. Chattel mortgages, since the first of July, 1913, are filed with the register of deeds of the county in which the property mortgaged is located. The fee for filing is ten cents for each instrument. After pay- ment of the mortgage debt by the mortgagor the mortgagee must satisfy the mortgage by delivering satisfactions to the mortgagor and to the officer with whom the mortgage was filed. FORECLOSURE OF CHATTEL MORTGAGES Where the debt is not paid, foreclosure may be made and the property sold. Ten days' notice must be given the 24 FARMERS' LAW giwrn an ^m hg fhtst SnsttUs. -nuii i. ..P.rlln.P , Miller.; Glencoe. Sutc of MinDecotfl. ror the purpose of securing the paymeot of "Ninety and' no/ 100 ;M«y ;;i5 :::;::::::;::::::;:::;::::«„^;; ,„ ,.90.. op. ^.,..juiv,.i^. ^.■■J■9^A■.J■^■..Tomlln3on. .nd.fal.8 . now ID my possession, owned by mo and free from all incumbrano*. to-wit: .One ..i:pan. horse , fourteen^ known as rick ^ PROVIDED. That if the nnderaigiMd ihall pay the Mid debt, ucoi tbholt ihall be made in the pajrmeDt of uid debt or aoy part thereof, John T. Tomllnson ..thai) <: 1 the said debt utuafe or insecure he ia hereby authorised, either by himself or accnt, to i-ntor upoo the premisoe where the said property may be aod remoTe and sell the same at public aactioD, with a notice as prorided by law. and without demand or performance, and oat of the proceeds reuin the amount then owing on said debt, with eipensea attending the same, including.. A V.M Dollars attorney's fees, rendering to the undersigned the surplus, after the whole of said debt t absolutely due and payable wbenever forectoaure hereof b commenced. I and conatmed to be a commencement of foreclosure. Dollan a shall hare been paid, wnh charges aforesaid: said attorney's feea and eipensea a aod the delivery of this mortgage to any party with the intent to have the s WITNE88..??.yba.d and seal U^.J.^.^.htk, ol...m}(.:rrrr.z:r^M^. ..c?..(d!...<&.t*-t.>^., :J^«^'■: — ~ - FIG. 5. CHATTEL MORTGAGE. mortgagor that the property is to be sold and ten days' posted notice is required. The property may be redeemed before the sale or at any time within two days after the sale, — before the sale, by the payment of the debt and all law- ful expense for care of the property ; after the sale, by paying to the purchaser the amount for which the property was sold with costs and expenses for keeping during the time allowed for redemption. CHAPTER V LANDLORD AND TENANT DEFINITIONS A tenant obtains the use of a farm or other real property by means of a contract known as a lease. The owner of the farm in such a case is called the landlord^ or lessor, and the tenant is referred to as the lessee. The consideration paid for the use of the land is rent. ORAL AND WRITTEN LEASES Leases ending within one year from the date of the con- tract need not be in writing, although, under most circum- stances, it is best for them to be so. But leases for more than a year must be in writing; if unwritten, they are void under the Statute of Frauds. By being void is meant that they are not only non-enforceable but are of no effect. A written note or memorandum will pass for a written lease if it describes the land with reasonable certainty, contains the names of both the lessor and the lessee, the rental agreed upon, and is signed by the lessor. It is always safest for both parties, however, if a full formal lease cover- ing all the agreement is drawn up and properly executed. COVENANTS OF LANDLORD AND TENANT In the lease both the landlord and tenant enter into pledges, or covenants, express or implied. The implied covenants hold the parties whether or not they are men- tioned. The landlord impliedly pledges quiet enioyment 26 FARMERS' LAW Made ffcw. 3rd .^___ Jay o/..Ociober ioi3 by and >^ Herbert K . Hanson • party of the first part, lessor .and.^^"^^ "' "ilUjiraL of the Township of.^'VJ^. ' County ofJ^}*§S>er.X(>.'r-. Township Xumher.XX^rrr.Jiange dumber. ^0. M.-^Containing ..2.60.rrrrr:^eret, be the same mxire or less, of which described premises the second party hereby agrees to plow and put into crops nut less than.. .?.^?...^M?.?.^'.^^..^.^.?. :: \ acres each year during the continuance of this Lease. To Have and to HoM. The above rented premises, unto the taid second party,, u^^. ..heirs and assigns, subject to the conditions and limitations hereinafter m.entioned, for and during the fuU term, of..*P:TP.P.. years from and after the .^.^.'.^.}. day of.. .¥^^^- 19J.P... the term of tkU Lease ending the...^.):T.^^. day o/.^y^fi ^W A And the said necond party agrees to and with the said first party to pay as rent for the abov* mentioned premises, fur and during the term of this Lease, the sum of.TiiT.C9. HWR(iJ!OfX..T.Xt.VYrrr. noiinrs, on th,. X s% , day pf Peceaber 19 13 ana an equal s um on the lat. da y of Pecem ber. 191'» and 1915 at the First Katlonal Bank or Hutchinson— '. - nnd in addition to sueh amount $..<. .... per acre for each and every acre cultivated on above described premises In exdeu of °"P hundred ten ^„j,^ and the said second party further agrees that in addition to the rent before specified ..&P. will also pay all taxes that may be assessed against said premises fur the year * /y7.7^r/*5...Snu... 1.7.16.. ..anrf pay the same before the same become delinquent. And It to fmrUuT Acn>«, By and betveen tht partUi at follow: That should th* taid teeond party fail to male* thtahev* wntntiened payments as htrtin spenfied, or to pnij any of the rent afaresaul when, due, or fail tofulfl.lt any of tht eovenants Ktrein contained, then and in that cafe said first party may rwenter and take possession of the above rented premises, ttnd hold and enjoy the same without surh re-entering working a forfeiture of the rents to he paid by the said second party for the full term of this lease That if th* said first party sells slid premises during the life of this lease and before the erop is in the ground, and desires to give possession to .ll^jiurchaser-tlutLthe second party will forthwith surrender possession of said leased premises upon the payment to..:.Z~ of f^.\r~.....per acre for each acre of said premises newly plowed, by said second party at the time said possession is demanded; if sold after the crap is in, then said second party shall have the right to remove such crop when ready to be harvested. That if said first party sells said premises during the term of this lease, the purchaser may at any time enter upon the leased premises for the purpose of plowing, breaking more land, summer-fallowing, cultivating or otherwise improving any part of said premises not in actual cultivation by said second parly, and without such entry working any f..,rfeitur* of the rents herein ajreed to be paid. That if said second party remains in possession of said premises after the expiration of the term for which hereby leased, such possession shall not be construed to be a renewal of this lease, but to he a tenancy at the will of the said first party, which mayL^ terminated U)wn ten days' notice, given by the said first usrty in writing, either dtlit second party or sent »0.7>.*™.wiiM a sealed ennlope, duly stamped and directed «o.»?Al> .atHUtChlnaOH.- first party, which may^fif terminated u/xm ten days' notice, given by the said first asrty in writing^ either_iUlivered }l}^Vf.^^jg a sealed envelope, duly stamped and dirr'-i'*'''"^''^ vhich is hereby declared by to be...*lXP. — usual Post-office address. And the said second party also covenants and agrees to and with the said first party, not to assign this tease or underlet the above rented premises or any part thereof, without first obtaining the written consent of the said first party and that.....^. '..urill, at the expiration of the time as herein recited, quietly yield and surrender the aforesaid premises to the said first party, his heirs or assigns, in as good condition and re/fair as when taken, reasonable wear and tear and damage'by the elements alone excepted. Said second party also covenants and agrees to cultivate the hereby teased premises xn a careful and husband-like manner, and to maintain and keen up the fences so as to protect alt crops from injury and waste, and to protect the fruit and shade trees thereon, and tu cut no green trees and to commit no waste cr damage on said real estate and to suffir none to bs done: and to keep up and maintain in good repair all buildings, stables, cribs, fences and improvements on said farm; and further agrees not to remove any straw or manure front said /arm, but to spread upon said premises all manure made thereon. < ,4nd the said first parly covenants that the said second party, on paying the rent and porforminf the covenants aforesaid, shall peaceably and quittly have, hold and enjoy the said demised premises for the term aforesaid. Ta secure the payment of the rents herein specified and the faithful performance and strict ful fillment of all th* eevsnants of said second party in this leas* contained, said second party dM-s hereby expressly mortgage unto said first party all crops growing or grown on said premises during the term of this lease, and dees hereby expressly authorize and fully empower said first party in the case of any default on the part of said second party in paying said rent or in performing any of the covenants in this least, to seize and take r obsession of naid mortgaged, property at once, and sell th* tame at public auction, with notice at provided by law, and out of the prt,ceeUs of said sale, to pay and discharge all rents, damages and expenses which may at th* tima b» due and imeurred, and pay over to said second party tlu turplus msoney arising from tueh tat*. FIG. 6. BODY OF A CASH RENT FARM LEASE. (With Chattel Mortgage Clause.) LANDLORD AND TENANT 27 Jfn £iKlim0ng ^htnof, iioth piirtiet have li*rtunto get their hands and seals the day and year hereinbefore written. <::^^t^^)|^^>tVv^ ^g .._M..wWt. 1 Count, otJ^£M2^ On ihu, 3rd. day of QC.VQPg.r .. A. D. I9ll>.. before me. a Notary public — _ — within and for said County, personally appeared Herbert K. Hanson and Edwin N. Wllllaas to me known to be the person ^ described in and ii-lio executed the foregoing instrument, and acknowledged tlvit ^ he y executed the same a*.. \:])P.ST fru act and dud. ^^—-% ,. ^ - ^- paHy of the first paH. and HerbiEirj. Jt.,„jaanSQ^ -COUnty of NcLeod and Btai6 oCUUiM ^ — owner of the real estate hereinafter described, paHy of the second part tPitneSSett;, That the party of the first part hereby agrees fo and with the party of the second part, for the consideration hereinafter named, to well and faithfully till and farm during the season of farming in the year i^^A.rrrTrrTTrrr^.commancm^ /i?l^ ., and endingJ^^T9P Jr.^.^V* .r T^.^ig^.^..-, inagoodand husband-like manner, and accordingto the usual course of husbandry, the following described premises and real estate situate in the County and State of Minnesota, viz The . NOI'tnweS t .. quarter.. of- UcLeoa Of Section 16 In Township 11 6 Nqrth, Ra nge 30 West of the ^'ourth Prln- cipal Meridian . And the said party of the first part hereby further agrees to sow and plant the said land in such crops as the party of the second part may direct, but said second party is to furnish all seeds necessary to sow and plant said land, and is to pay one kn*.?.4_ _ of the threshing machine bill far threshing the grain ^ ■ . - - The party of Ibr ffr»t alto igre<« to tbc best adrantagc and according to bit bc«t aklU aod Judgment, and to maintain and keep up ttae fences to at to protect taid cropa t part, if any there be. Tbc party of the firtt part la, alto, to work out the road tax on alt the taid laod. It is aisp agreed that lo caac tald party of tbe firtt part oeglecta or failt to perform aoy of tbe conditiooa aod terms of this cooiract on bit part to be done aod performed, thro aaid party of tbe accond part ia hereby authorized ,aod empowered to enter apoo taid premises and take full and absolute potaetsion of tbc tame, aod be may do and perform %!! thinga agreed to be dODC by ttae party of tbc firit part remaioiog undooe. aod to retain or tell tofficient of tbc cropa raited on taid premiaca that would otbcrsvttc beloag toaaid first party tf be hi^ acc^rmed the conditions hereof, to pay aod tatisfyall costs •o'l rtpentes of every klndtacarred ia performing •aid coatract. vyith interest at A per rent per anaam, tbc resfdne remaining. If any. of said cropa, ahall belong to tba Mid party of the Arat part, after allcooditioos arc folfilled. t!''6i5ir.'^'°p:?j In, consideration of the faithful and diligent performance of all the stipulations of this contract by the party of the first part, the party of the second part agrees, upon reasonable request thereafter made, to give and deliver on said farm. the..^V9T^y\%.V:^^. - ■ of aU grains, vegetables i haV and frUlt to raised and secured upon said farm during taid season FIG. 8. BODY OF FARM LEASE. (With Crop on Shares.) LA-KDLORD AND TENANT 2d 3n (CeStimOni) tPbereof, Both partUt have hereunto set their hands and seals the^ay and year hereinbefore written. signed. Seated and Delivered in Premenet of [ Seal State of Zninnesoto, \ County of }*9.hP.9.± L . / On this-3ffL,. -tZ ay of QC t ObCT. - J l. D. 19 1J._, before me. a39AMV..?^^l%9. - within and for said Count ij, personally appeared EdWlXl U . Wlll lnrna find Herbert K. Hanson - . to me known to be the pcrson^.....described in and who executed the foregoing instrument and acknowledged that^^ heV executed the same as VhS.%V....fre» '""^'"'- <-^^tM4/Av/- - - Notary public Uy Comfiisaibh Expires T91 FIG. 9. FARM LEASE WITH CROP ON SHARES. (Signature and Acknowledgment.) lessee also impliedly promises to cultivate it in a husband- like manner. TENURE OF THE LEASE A tenant of a farm who plans not to have a lease extend- ed should move from the leased property at the end of the term, for, if a tenant has been in possession under a lease for one or more years and holds over without making a new lease, he may be considered a "tenant from year to year." This means that his term is extended for a year beyond the date of the termination of the lease. The relation of landlord and tenant may cease (1) by the consent of both parties, (2) by breach of covenant, or (3) by eviction of the tenant. If the lease is oral, an oral agreement to end the relation of landlord and tenant is valid ; but if the lease is in writing, an oral surrender is not enough unless the landlord takes actual possession.' If the tenant breaks an express or implied covenant the landlord usually has the right of re-entry. 30 FARMERS' LAW EVICTION In Minnesota, when a lessee holds over lands after the termination of the time for which they are leased to him, or contrary to the conditions or covenants of the lease, or after any rent comes due according to the terms of the lease, the person entitled to the premises may obtain posses- sion by an action in court. RIGHTS OF THE LESSEE TO EMBLEMENTS When, through some cause not the fault of the lessee, the relation of landlord and tenant ends, the tenant is en- titled to emblements. Thus, all grains and other products planted and cultivated by the tenant are his to harvest, if the lease is terminated through some act not his. But if the cause of the termination rests with the tenant, he must suffer the loss of the emblements. Whenever the landlord re-enters the farm he is entitled to the crops. DIVIDING CROPS UNDER LEASE ON SHARES Where the lease provides that the tenant shall farm the land on shares and no time is set for dividing the crop, the time for division is taken to be the date when the crop is harvested. ESTOVERS A tenant, unless the lease so directs, may not cut the standing timber on the land in order to sell it. He may not dispose of it in any other way. What he cuts must be used on the farm. He is not permitted to cut down live trees for fuel, although he has the right to use all dead standing and fallen timber for this purpose. He may also cut standing timber for purposes of repair. A statement as to who has the right to manure on a farm that is being worked under a lease is made in the chapter on Farm Products. CHAPTER VI FARM LABORERS All persons who work for others are classed in law as servants. The relation of the farmer and the laborer he hires is that of master and servant, or employer and em- ployee. The contract is an agreement to perform some gen- eral or particular farm service for pay or wages. Under the Statute of Frauds, if the employment is to be for a year or more, the contract, to be valid, is required to be in writing. For periods of service of less than a year the contract may be an oral agreement. Whether the agree- ment be oral or written, it is important that there be a very clear understanding between employer and employee as to the obligations of each in the contract. If the amount of the wages is not definitely agreed upon at the time the laborer enters into the service, he may collect "reasonable" wages. Reasonable wages are those commonly being paid for like services at the time and place where the wages are in question. When a laborer performs services for an employer, it is taken for granted that com- pensation is to be made. Where the length of the employment is not fixed by an agreement of employer and employee, either may end the term at any time. Where the employment is for a fixed time, the laborer is bound to serve during such time, except for cause such as sickness, other physical inability, or failure of the employer to carry out his part of the contract. The employer, on his part, is bound to provide the employee 32 FARMERS' LAW with work for all the time pledged in the contract, and he can not plead that he has no work for the employee. Where the employee remains idle under such a contract, the employer is liable to make compensation according to the terms of the contract. A laborer who is discharged by his employer, even for sufficient cause, has a right to his wages until the time of dismissal. But, if he quits work before his time is up or before the work contracted to be done is com- pleted, without good excuse, he is entitled to no pay. The employer has a right to discharge a laborer for any good cause. Some good grounds for discharge are: refusal to obey a reasonable order, habitual drunkenness, insolence toward employer, absence for a day without permission during a season when his labor is greatly needed, criminal offences, etc.. On the other hand, an employee may quit the service of his employer for, among others, the following reasons: where the lodging furnished by the employer is uncleanly or the food unwholesome, if the employer is cruel toward his servant, if he requires the servant to work beyond necessary care of livestock on Sundays, and if the hours of labor are unreasonable. In reviewing these grievances it is well to recall that farm laborers in Minnesota do not come under the statute making ten hours a day's work for hire. In Minnesota, payment to a minor of wages is valid payment unless the parent or guardian notifies the em- ployer to the contrary. A minor is any male person under twenty-one years of age and any female under eighteen. It is a well established principle of common law that a man must manage his own affairs so as not to injure others. This principFe applies whether a man acts in person or through an agent. An employer is thus made responsible for injury done through the negligence of his servant while about the performance of duties for which he is hired. CHAPTER VII FARM PRODUCTS Trees and other natural products are considered real property until they are detached from the earth as separate things. Detached, they are personal property. For in- stance, standing timber is considered real estate, but when cut into cordwood it becomes personal property. When we consider crops*, however, we find them divided into two classes: those that grow without special cultivation and those that return the labor and expense put upon them strictly within the year. The latter are known as emble- ments. Grasses, both wild and tame, growing from year to year, and fruit growing on trees or bushes are examples of the former, while corn, wheat, oats, and vegetables are examples of emblements. Emblements are held in law as personal property even before they are severed from the soil and are, of course, personal property after being detached, while the others are real property until detached, when they become personal property. Under modern methods of fruit growing, orchards are cultivated and fertil- ized, thus increasing the yield by yearly labor. But this does not place the yield in the class of chattels before the yield is severed from the trees or bushes. The reason for using space here for making the above classes will be seen from the following applications. Con- tracts for transfers of real estate are void if not written. Therefore, for instance, an oral contract for the sale of wild grass on uncultivated land or of fruit on trees in an 34 FARMERS' LAW orchard is of no effect. Such contracts must be in writing. But contracts for emblements are merely sales of chattels and are valid if oral and to be performed within the year. If, however, the owner is to cut the grass or pick the fruit, the sale will not be completed until these crops are severed. When severed they are no longer part of the real estate, and the contract becomes valid. Another interesting appli- cation frequently made use of grows out of these distinc- tions. The theft of a part of the real estate is in reality trespass. Theft of personal property is larceny. But, in the act of severing the crops from the soil, the thief converts real into personal property and, for carrying away this per- sonal property, he may be charged with larceny. MANURE Manure is usually considered real property and, in a transfer of a farm by deed or otherwise, is treated as a part of the farm. Manure produced on a leased farm is the property, not of the tenant, but of the farm owner. A tenant would not, therefore, be acting within his right if he sold the manure. One might easily imagine, however, a case where the tenant fed a large herd of stock for market with feed that was purchased and not raised on the farm occupied by the tenant, that is, where the farm could not produce enough feed for so much stock. In such a case one would be correct in assuming that to the tenant would belong the additional manure. LEVY UPON GRAIN A levy may be made upon growing grain or grass, but no sale shall be made under such a levy until the grain or grass is ripe or fit to be harvested. But provisions for the debtor and his family for one year, either provided or grow- FARM PRODUCTS 35 ing, and necessary seed for actual personal use for one season not to exceed one hundred bushels each of wheat, barley, potatoes, and oats, and ten bushels of corn may not be taken by the owner's creditors. DAMAGE TO CROPS A farmer may recover the value of crops damaged or destroyed by the neglect of another person. If this damage is due to the servant or agent of that other person or of a cor- poration, it is just as if the destruction had been caused by the employer. A common example of this is the burning of grain in the shock or stack caused by sparks from a rail- road engine. By statute in Minnesota, the fact that the fire was so scattered is considered prima facie evidence of neglect. SEED GRAIN CONTRACTS Crops are often subject to a chattel mortgage given when the seed grain is purchased. To secure the loan or purchase of seed grain, where the farmer has not the ready money to pay for the same, it is rather common for the buyer to give the lender or seller a note of contract that contains a statement of the amount and kind of seed and the other terms of the agreement. The instrument is then filed with the register of deeds of the county in which the crop to be grown is located, as in the case of any chattel mortgage. The mortgagee then has a legal claim upon the crop grown from the seed according to the terms of the agreement. This lien extends through one year from the date of filing the contract and precedes all other liens upon the crop. THRESHER'S LIEN Any person owning and operating a threshing machine has a lien upon grain threshed for the price of the work of 36 FARMERS' LAW threshing it. Such a legal claim precedes all other liens except for the seed from which the grain was grown. In order to have such a lien, the thresher should file with the town clerk a sworn statement of the amount and kinds of grain threshed and the date of the work with the rate per bushel, total charge, amounts paid thereon, if any, and the balance due, as well as the name of the owner and the person who requested the work to be done. This filing must be done within ten days after the threshing is completed. An action to foreclose the lien must be begun within six months of the date of the filing. As much grain is seized as will pay the amount of the claim and cost of seizure and sale. DAIRY PRODUCTS Persons selling milk or cream in any village or city, except for the purpose of supplying a butter or cheese fac- tory, must secure a license from the State Dairy and Food Commissioner. The license fee is one dollar for each vehicle or place from which the sale of milk or cream is made. These licenses expire May 1 . But persons keeping not more than three cows and selling no milk or cream except from those three cows need not secure a license. No preservatives like borax, boric acid, salicylic acid, or formaldehyde may be used in milk, butter, or cheese. The fine for each offense of this kind is not less than $15 and not more than $25. No person is permitted to sell unwholesome or adulter- ated milk or cream. Within the meaning of the law un- wholesome or adulterated milk is such as has been drawn from cows kept in filthy or unsanitary places, or from unclean or diseased cows, or from cows fed upon garbage or decayed substances in any form. Cream taken from milk of this kind is considered unwholesome or adulterated. FARM PRODUCTS 37 Furthermore, milk containing more than 87 per cent of water, or less than 3}/4 per cent of butterfat, and cream containing less than 20 per cent of butterfat are considered adulterated. Statute provides that milk and cream purchased for manufacturing butter or cheese must be paid for by weight and upon the basis of its content of butterfat. The Babcock test must be used for finding the per cent of butter- fat. UNFAIR DISCRiMINATION IN PRICES PAID FOR DAIRY PRODUCTS Persons or firms engaged in the business of buying milk, cream or butterfat for the purpose of manufacture are for- bidden to pay higher prices in one locality than another. Of course, in comparing prices that may come under the application of this law, due allowance must be made for any real differences in the cost of carrying from the place of purchase to the place of manufacture. The penalty for breaking the law is a fine of not more than $500 or impris- onment in the county jail for not more than six months. THE "65 MILE" LAW A recent piece of legislation is the "65 mile" law, which forbids the shipment of cream for a distance of more than 65 miles unless the shipment is made in a refrigerator car or unless the cream has been effectively pasteurized. For offences under this law agents and ^ailroad companies are made punishable by fines of from $15 to $75. CHAPTER VIII NURSERY STOCK INSPECTION OF NURSERY STOCK A much-needed law on inspection of nursery stock was passed by the State Legislature at its 1913 session. This law makes the state entomologist also the state inspector of nurseries and gives him free access to all fields, packing grounds, buildings, cellars, and other places in order to carry out its provisions. Under this act all nursery men and all others having nursery stock in charge are required to make application for inspection on or before May 1 of each year. The inspection is done between May 1 and September 30. Certificates are issued to all nurseries where the stock is found free from injurious insects or contagious diseases. A fee of five dollars must be paid by the appli- cant before the certificate is issued. INFESTED NURSERY STOCK Should the inspector, in carrying out the duties of his office, find a dangerous insect pest or plant disease, he may inform the owner in writing by what means it can be eradi- cated. Should he find the stock so badly infested that treatment will not be eff"ective, he may order the owner to destroy the stock. If his orders are not obeyed, the state inspector shall order the work done and if the costs of the work are not paid within sixty days, they may be collected by the county attorney in civil action. NURSERY STOCK 39 SHIPMENT WITHIN THE STATE All shipments of nursery stock from any point in the state to other points within the state must be accompanied by certificates of inspection on each package. Railroad and express companies are forbidden to take stock for shipment that is not so tagged. NURSERY STOCK FROM OUTSIDE THE STATE All nursery stock brought into the state must be accom- panied by a certificate from the inspector or other proper official of the state from which it comes. The certificate must state that the stock is free from pests and diseases. Certificates of firms in other states must be on file with the Minnesota inspector before such firms are permitted to ship into the state for distribution or sale. Foreign grown stock imported into Minnesota under the Federal quaran- tine law is to be inspected at the point of its destination. Such stock may not be opened unless the inspector is pres- ent. He is to be notified at least forty-eight hours in advance of the opening of the package so that he may be present. CHAPTER IX THE SEED LAW THE LAW IN GENERAL During its 1913 session the State Legislature passed an "Agricultural Seed Law" which promises to be of great importance and value to farmers. This law makes for com- pulsory labeling, free testing, and state inspection of seed. It provides, also, what many otherwise good laws fail to do, for its own enforcement and for penalties for its violation. WHAT SEED THE LAW INCLUDES The law is intended to include "red clover, white clover, alsike clover, alfalfa, Kentucky bluegrass, timothy, brome grass, orchard grass, redtop, meadow fescue, oat grass, rye grass and other grasses and forage plants, corn, flax, rape, wheat, oats, barley, rye, buckwheat and other cereals," and these only when they are "sold or offered or exposed for sale, or had in possession with intent to sell within the state for purposes of seeding." LABELING If the above seeds are in lots of one pound or more, they must be labeled. According to the statute the label must be in writing or in printing which must be as large at least as "EIGHT POINT HEAVY GOTHIC CAPITALS." The writing or printing must be in English. The label must give : ( 1 ) The commonly used name of the seed . I f a variety name is used, it must be the correct one. THE SEED LAW . 41 (2) The percentage of germination of the seed, that is, the percentage of the seed that will start to grow. As differ- ent samples of the same seed do not germinate with exactly the same percentage, only the approximate percentage needs to be on the label. The date of the test for germination must also be given. (3) The percentage by weight of the seed of quack grass, Canada thistle, perennial sow thistle, and dodder, if any, contained in the seed. The percentage here also needs only to be approximate. (4) The approximate percentage by weight of pure seed. (5) The place where the seed was grown. If it was grown in the state, the label should contain the words "grown in Minnesota," except that the label for corn should contain the name of the county where grown. If the seed is brought in from outside th& state, the label should tell from what state or country, v (6) The full name and address of i the person selling or offering the seed for sale. '- EXCEPTIONS AS TO LABELiNG Persons selling seed that is to be cleaned before it is offered for sale for use as seed are excused from attaching a label as above described if they have marked on the out- side of the container "not cleaned seed." Also, if such seed is to be shipped outside the state, it needs only to be marked "not cleaned." Lawn grass mixtures are excepted from the parts of the label given under (1) and (5) above. PENALTIES FOR VIOLATING THE LAW Those who violate any of the provisions of the law are guilty of a misdemeanor and when convicted will be fined 42- FARMERS' LAW for the first offense not less than $10 and costs nor more than $100 and costs. For a second or later offense the penalty is not less than $100 and costs nor more than $500 and costs. TESTING AND INSPECTING SEED The Agricultural Experiment Station at St. Anthony Park has full charge of inspecting, examining, and testing seeds sold or offered for sale in the state. For this work the Station or its agents are given free access to the seed at all reasonable hours whether on the premises or elsewhere. To make proper tests these agents may take samples of seeds by offering payment for them. Any citizen of Minnesota may have samples of seed tested and analyzed free of charge by sending them to the Agricultural Experiment Station at St. Anthony Park and paying transportation charges. The authorities at the Sta- tion have made some rules for the regulation of testing and analyzing work which all senders will do well to follow. The most important are here given: (1) Samples should be sent by mail. (2) State whether purity or germination test or both are wanted. (3) Samples of small seeds, such as grasses, should weigh from one to two ounces. (4) Samples of large seed, such as grains, should weigh from two to four ounces. (5) With every sample should be included the follow- ing: (a) Name and address of the sender. (b) A number on each package when more than one sample is sent. THE SEED LAW 43 (c) If the seed is home grown it should be so stated. (d) If the seed was purchased, the name of the person of firm from whom purchased. (6) The reports of the tests are for private information and can not be used for advertising purposes. CHAPTER X WEEDS Under the Laws of Minnesota each of the following plants has been declared noxious and a common nuisance : (1) wild mustard, (2) wild oats, (3) cocklebur, (4) burdock, (5) tumble mustard, (6) Canada thistle, (7) oxeye daisy, (8) quack grass, (9) French weed, (10) Russian thistle. Per- sons owning, occupying, or controlling land are forbidden to permit the first eight plants in this list to go to seed on that land. Furthermore, Canada thistle, oxeye daisy, and quack grass may not for two successive years be allowed to reproduce themselves by crowns, underground stems, or buds. French weed is to be prevented from producing seed for more than four successive years and Russian thistle must be kept from growing at all. In addition, any owner, occupant, or person controlling lands is forbidden to permit these weeds and a list of others, including white daisy, snap dragon or toad flax, sow thistle, sour dock, yellow dock, or other weeds or grasses, to grow on the half of the highway abutting on those lands. The method of enforcing this law is provided as follows : Upon written complaint to the chairman of the town board he must at once inspect the premises complained of. If he finds the complaint well-founded, he has written notice served upon the person permitting the weeds to grow, directing him to carry out the requirements of the law within sixty days. If the notice is not obeyed within this time, the overseer of the roads must immediately destroy WEEDS 45 the weeds, make report of the work to the town clerk, with an itemized account of his services in so doing. The account shall include two dollars per day for the time of his necessary employment. Wages for men and teams to do the work may be allowed at the rates paid for labor upon roads. The town is to pay the bill from its road funds, and, if the sum is not paid by the owner or occupant before October 1, the county auditor, upon notice of the town clerk, extends the same upon the tax list as an additional tax upon the land. Where noxious weeds are so mixed with the growing crop that the weeds can not be eradicated without serious damage to the crop, a written agreement may be made with the chairman of the town board by the owner or occupant to destroy the weeds in specified parts of the land and to properly treat the remainder when the crop has matured. Every person or officer failing to carry out the provi- sions of this statute on weeds as these provisions bear upon him is guilty of a misdemeanor. CHAPTER XI FARM ANIMALS ESTRAYS Legally, an estray is an animal found wandering free from the care of its owner, who is not known. An animal which has escaped for a brief time only and wandered but a short distance and the owner of which is known can not be considered an estray. No person in Minnesota may take up an estray, except a horse or mule, unless he finds the animal upon lands owned or occupied by himself and in the town where he lives. The owner of an estray must pay all reasonable charges for care and feed where, in his search, he finds the person who has taken up the animal. If the owner of an estray that exceeds five dollars in value remains unknown, the finder is required to give four weeks' published notice of the estray. The notice must contain a brief description of the animal, name and residence of the finder, and the time and place of taking up. If the value is less than five dollars, the finder is required to give posted notice only. Where the estray is less than ten dollars in value and if no claimant causes its return to him, the finder becomes the owner without further procedure; but where the value is ten dollars or more the animal is to be appraised by a justice of the peace. In this case, if no one makes claim or pays all reasonable costs, the justice, at the request of the finder, orders any constable in the county to sell the animal at pub- lic auction. After deducting all reasonable charges the officer must deposit the remainder of the money with the FARM ANIMALS 47 county treasurer. If money deposited is not claimed within one year, it is paid over to the public school fund. DISTRAINING Whenever an owner or occupant of lands finds any beasts doing damage thereon, before returning the animals to their owner or keeper and until damages are fixed, he may keep such animals on his premises or in the public pound. Any person so distraining must give notice to the owner and apply to a justice of the peace to fix the amount of damages. Any time before this appraisal has been made or action is brought to recover the damages caused by ani- mals, the owner may offer the distrainer the amount he claims in damages. If the amount of damages fixed by the appraiser is not paid within twenty-four hours, the ani- mals are to be placed in the public pound by the pound- master and sold at public auction after three days* posted notice. If there is no public pound the sheriff or any constable shall sell the beasts. The purchaser of any such animals sold for damages must keep them at least two months, during which time the owner may redeem them by paying all costs of keeping and the amount paid for them at the sale with interest at twelve per cent per year. LIABILITY OF RAILROADS Every railroad company is required to build and keep upon each side of all roads owned and operated by it "good and substantial fences," except at station and depot grounds and other places which the business of the road or public convenience requires to be open. Where a company does not meet this requirement, it is liable for all domestic ani- mals killed or injured by this negligence. 48 FARMERS' LAW DAMAGE CAUSED BY ANIMALS When horses run away after being left loose or unat- tended in a public road or street the owner must pay for all damages they cause in running away, as his failure to secure the animals or attend them is considered negligence in him. But if a horse, against all that a driver can do, while being driven along a public road, works damage by running off the road into adjoining property, the owner of the horse need not make good the loss caused by this act. Generally, owners are liable for damage caused by their livestock in trespassing upon fenced lands, but such an owner is not liable where the lands are not inclosed, unless he knowingly drives the animals upon the open land of some other person. DISEASED ANIMALS Persons owning or having control of horses afflicted with glanders may not permit such animals to run at large or be driven upon any highway. They are not permitted to dispose of such animals in any way to any other person. It is a gross misdemeanor to import or drive into the state, turn out or suffer to run at large upon highways or lands not enclosed, or to dispose of to others any sheep known to be infected with any contagious disease. The carcasses of all domestic animals known to have died of any disease must be buried at least three feet in the ground or be burned. Such carcasses must not be sold. No animal thus diseased may be permitted to run at large. The state laws provide for a Live Stock Sanitary Board of five members, which works with the local boards of health to protect the health of domestic animals of the state. This board, as well as the local board of health, which is, in the town, the board of supervisors, has authority FARM ANIMALS 49 to quarantine or kill any animal infected with or exposed to any dangerous or infectious disease. Any person who knows or has reason to suspect that such a disease exists in any domestic animal must immediately notify the town board, who will notify the state board. There is no law in the state compelling the tuberculin testing of cows, although in the minds of many such a law is much to be desired. But some cities have passed ordi- nances requiring all those who sell milk within the city limits to have their cows so tested. After the Live Stock Sanitary Board knows that an animal is infected with tuberculosis or glanders it may order such animal shipped for killing at any of the slaughter- houses in the state where there is Federal inspection. These slaughter houses are at South St. Paul, Albert Lea, Man- kato, and Fergus Falls. Before being taken from the prem- ises of the owner the animal is appraised by three disinter- ested men. The appraisal is limited to sixty dollars for a cow and one hundred twenty-five dollars for a horse as maximum amounts, except in case of pure-bred stock, when the highest appraisal that may be made is one hundred fifty dollars. The cost of shipping is paid by the Live Stock Sanitary Board. If after slaughter the animals are found to be free from any contagious or infectious disease, the full amount of appraisal, less the value of the carcass, shall be paid to the owner by the state. If they are found to be afflicted with glanders or tuberculosis, the value of the car- cass will be taken from the appraised value and three- fourths of the remainder will be paid to the owner. ANIMALS BROUGHT INTO THE STATE For all domestic animals brought into the state for work, feeding, breeding, or dairy purposes, a certificate of health 50 FARMERS' LAW must be filed with the Live Stock Sanitary Board. In the case of cattle over six months of age brought into the state for breeding or dairy purposes, the absence of tuberculosis must have been determined by the tuberculin test within thirty days preceding the date of their importation. HOG CHOLERA SERUM A 1913 statute declares the hog cholera serum plant at the College of Agriculture the hog cholera serum plant of the State of Minnesota, and provides that the serum there made be sold to any hog owner in the state at one-third of one cent per cubic centimeter and express charges. It further states that if the state plant can not supply the demand by its own manufacture, to do so it may purchase the serum in the open market. The law requires that this serum be used only by veterinarians. LIEN OF AGISTERS One who for pay takes cattle, horses, or other domestic animals to pasture on his land is known in law as an agister. Besides furnishing the pasturage, an agister is generally liable for negligence and must be ordinarily careful in pro- tecting the animals in his charge. The Minnesota Statute gives the agister a lien upon the animals for pasturing them, although the lien does not exist after he voluntarily gives up the animals before payment. LIEN FOR SHOEING Shoers have a lien upon a horse or other animals which they have shod. To have such a lien the shoer, within six months of the date the work was done, must file with the town clerk, village recorder, or city clerk a statement made under oath and a notice of his intention to claim a lien FABM ANIMALS 51 Upon the animal for his charges for shoeing same. The fee for fiHng is twenty-five cents. Within six months of the fiUng he commences suit for recovery of the charges for shoeing. Summons, judgment, and execution follow as in other civil actions of this nature. LIEN FOR SERVICE OF STALLION, ETC. The owner of a stallion, jack, bull, ram, or boar kept for public service has a lien upon the young of the animal for the value of the service. To keep the lien the owner must file with the clerk of the town where the female is kept and within six months of the date of the service a sworn state- ment containing a description of the female, the time and place of service, and the amount due for it. The lien is foreclosed by advertisement and sale as described under the head of chattel mortgages. CRUELTY TO ANIMALS Minnesota Statute makes it a misdemeanor for any per- son to — (1) "overdrive, overload, torture, cruelly beat, neg- lect, unjustifiably maim, mutilate, or kill any animal or cruelly work same when unfit for labor, whether belonging to himself or another; (2) "deprive of necessary food, water, or shelter any animal of which he has charge or control ; (3) "keep cows or other animals in any enclosure with- out wholesome exercise and change of air; (4) "feed cows on food which produces impure or un- wholesome milk; (5) "abandon any maimed, sick, infirm, or disabled animal to die in any public place; (6) "allow any such animal to lie in the street, road, or other public place for more than three hours after notice." 52 FARMERS' LAW Cutting the bony part of a horse's tail for the purpose of docking it is punishable by fine and imprisonment. Per- mitting any clipped animal to stand unblanketed in any unsheltered place between November 1 and May 1 and within sixty days after such clipping, is made a misdemeanor. Poisoning or trying to poison any animal either one's own or the property of another may be punished by fine or im- prisonment or both. A sheriff, constable, village marshal, police officer, or any officer of any society for the prevention of cruelty may remove and care for any horse or other ani- mal found exposed or remaining more than an hour without attention in bad weather, or not properly fed and watered. When necessary the officer may deliver the animal to another person to be properly cared for, notifying the owner, if known, at once of what is done. The officer or the person in possession will have a lien upon the animal for its care and the reasonable value of its food and drink. DOGS Dogs are considered personal property. The owner or keeper of any dog which kills, wounds, or worries any domestic animal is liable to the owner of the animal for its value, and any person who keeps or harbors such a dog, after having received notice of the fact of its acts, is required to pay a fine of five dollars for each day he permits such a dog to remain on his premises. Any person may kill without notice to the owner a dog which he finds worrying or injur- ing sheep, and a sheep owner may kill any dog found on the premises where he keeps sheep, if the dog is not under the control of its owner or some other person. A dog that habitually worries, chases, or molests teams or persons travel- ing peaceably on a public road is a public nuisance. Such a dog may not be killed except as follows: complaint is FARM ANIMALS 53 made in writing to a justice of the peace who summons the owner or keeper of the dog to a hearing. If, after the evidence, the justice finds that such a dog is a public nui- sance, he orders the constable to kill and bury the dog. CHAPTER XII FARM BOUNDARIES, ROADS ABUT- TING ON THE FARM, LINE AND LEGAL FENCES BOUNDARY DISPUTES Questions and disputes as to farm boundaries or lines between farms are constantly arising and are a very frequent cause of ill-feeling between neighbors. Much of this ill- feeling grows out of ignorance of the correct location of the boundary line and a neglect of the means of learning what that correct location is. If there is a real or honest misun- derstanding, both parties should be willing to leave the establishment of the line to a competent surveyor. Ac- cording to statute any person owning land or having an interest in it may bring an action in the district court against the owner or persons interested in adjoining lands to have the boundary line established. The court will then by its judgment establish the boundary line. Under com- mon law, where both parties to the misunderstanding are uncertain as to the correct location of the line, a written agreement between them establishing the line will be valid. If the disputing owners come to an oral agreement and have actual possession according to the line agreed upon for some time after the agreement, such an oral agreement will stand. Occupation for fifteen years following an oral agreement will give title. FARM BOUNDARIES 55 ROADS ABUTTING ON THE FARM The owner of a farm abutting on the highway has a right to all grass and trees growing on his half of the highway. A farmer has the right to plow, level, and seed to grass the part of the highway not actually used for public travel, except within one rod of the center of the road. But by such work he is not free to interfere with public travel. After he has obtained the written approval of the town board concerning a town road or of the county board concerning a county road, he may plant trees on the side of the road within six feet from the outside line. It is a misdemeanor for any person to plow or dig up any part of the road except as described in this paragraph. When an owner of property along a road at least sixty feet wide wishes to rear a hedge upon his property, to pro- tect the hedge while growing he may build a fence upon the road not more than six feet from the outside line, and he may keep the fence there for five years after the hedge is planted. The town board has been given the right to order when trees or hedges on roads shall be cut down. But other trees than willows can not be ordered cut down unless the center of each tree is more than six feet from the outside line of the road. Such trees may be cut down if they interfere with keeping the road in good order or if they cause the snow to drift in on the road enough to materially obstruct travel. When the town board orders such trees to be cut down the owner is allowed ninety days in which to do it. If he fails to cut them down within that time the town board has the power to order them cut down at town expense. The wood of the trees belongs to the owner if he pays the expense of cutting and removes them from the roadside within sixty days. Where they are not removed by the 56 FARMERS' LAW owner they may be sold by the town board and the pro- ceeds go into the town road and bridge fund. Town boards are required to build one good culvert for the owner of abutting land when, on account of grading a road, a culvert is necessary for a suitable approach from the highway to the driveway leading from the abutting land. STREAMS AND LAKES AS BOUNDARIES If a stream forming the boundary of a farm is not navig- able, the title to the farm reaches to the middle of the stream. Islands between the middle of such a stream and the bank are a part of the farm. But the title to a farm bordering a navigable stream extends only to the highwater mark. Navigability in fact makes a stream navigable in law in Minnesota. All fresh water lakes but the larger navigable ones are covered by titles to their shores, and a title to one side of a pond will reach to the middle of the pond unless the deed expressly denies this. Any sudden change in the banks of a stream, through flood or other- wise, does not change the boundary line of farms bordering the stream. TREES ON OR NEAR BpUNDARY LINES Disputes often arise respecting trees on or near division lines of adjoining farms. Who is entitled to their fruits, or what may be done in case of damage wrought by such trees? Courts have usually ruled that neither adjoining owner possesses the right to destroy a tree located on the boundary line without the consent of the other owner. But there is no joint ownership where the trunk of a tree rises from the ground some feet from the boundary line, and no person has a right to fruit growing on branches which overhang his land and extend from trees growing on his LEGAL FENCES 57 neighbor's land. If these branches are a nuisance to him he may remove them after having given notice to the tree owner. FIRES SPREADING TO A NEIGHBOR'S LAND It is a misdemeanor for any person who, having set on fire any woods, praide, or other combustible material on his own land, negligently permits the fire to extend beyond the limits of his land, and he is liable for any damages resulting from such negligence. LEGAL FENCES In Minnesota the supervisors of the respective towns, aldermen of the cities, village trustees, and county commis- sioners in counties not divided into organized towns are the fence viewers. With us, fences must have the following characteristics in order to be recognized as legal : (a) Board fences. These must be at least 54 inches high and the boards must be fastened to posts not more than 9 feet apart. The distance from the ground to the bottom board must not be greater than 20 inches and the distances between the boards not more than 9 inches. (b) Fences of one smooth and two barbed wires. The ■' <"■ s wire must be firmly fastened to post.s not more than •. t - ' 33 feet apart with two stays between the posts. The barbed wire must have at least 40 barbs to the rod. The top wire is to be not more than 52 nor less than 48 inches high, and the bottom wire is to be not less than 16 nor more than 20 inches from the ground. ^ • -• • - . 58 FARMERS' LAW (c) Fences of four smooth wires. Posts and stays and bottom wire as in (b). The top wire should be not more than 54 nor less than 48 inches high. (d) All other fences consisting of rails, timbers, boards, stone walls, or any combination thereof, or of lakes, streams, ditches, or hedges, which are considered the equivalent of (a), (b), or (c) by the fence view- ers. LINE FENCES Partition or "line" fences, as long as both adjoining farmers continue to improve their lands, are to be main- tained in equal shares. If any person neglects to repair or rebuild his share of any line fence, his adjoining neighbor may complain to the fence viewers. After notice to the parties the viewers examine the fence and, if they decide that it is insufficient, they are to direct the delinquent neighbor to repair or rebuild within a certain time. If he still neglects his duty, the complainant may do the necessary work and recover double the expense of the work, together with the fees of the viewers. The complainant has access to the courts for recovery. In case a dispute arises as to the rights of adjoining owners to line fences, either party may apply for settlement to the fence viewers, who shall assign to each his share in such fence, fixing the time by which it is to be erected or repaired. Failure to comply with the assignments of the viewers is dealt with as in the case of complaint. Where the boundary between two farms is a stream not of itself a sufficient fence and it is not practicable to place a fence in the middle of the channel where the true boundary is located and the occupants can not agree as to where the fence shall go, either party may apply to the viewers for settlement. Any person serving LINE FENCES 59 six months* written notice upon an adjoining owner of his determination not to improve his lands need not thereafter keep up his share of the fence during the time his lands are open and unimproved, and he may even remove his share unless the adjoining owner pays him for it. CHAPTER XIII WATERS OF THE FARM RIPARIAN RIGHTS The term "riparian" has its source in the Latin word "ripa," meaning the bank or shore of a river. Riparian rights, then, are rights which come with the possession of land under or along a stream, — under, in the case where, as we learned in the chapter on farm boundaries, the farm borders on a stream not navigable; along, when the stream is navigable. Standing water is the property of the owner of the soil, to be used and enjoyed largely as he chooses. Where a man owns both banks of a stream not navigable he has title to the full breadth of the bed of the stream and has right to the use of its waters, while a man owning only one bank of such a stream has the same use of the waters for his half of the stream only. This right includes its use for agricultural and domestic purposes, or for power. In this use he may not interfere with the similar rights of others below him on the stream. He may use the stream in any reasonable manner, such as permitting his cattle to run in a pasture bordering the stream, even though the stock makes ioul the stream and causes it to be unfit to drink. But he is forbidden to throw offal or carcasses of dead animals into the stream or in any way to pollute the water of the stream. An upper owner along an unnavigable stream may even draw from running water if he does not unreasonably cut down the flow of the stream. An owner of land along a WATERS OF fHE PAliM 61 stream of this kind may not completely block it up or turn it aside without the consent of lower owners, though he may dam the stream for power without their consent. While an unnavigable stream is a private way, a navi- gable stream is a public highway ; and even though a farmer owns land on both sides, he is not permitted to obstruct the stream by fence or otherwise. The rights to ice on a stream are similar to the rights to the use of the water: if the stream is unnavigable, the ice is the property of the owner of the land bordering on and under the stream; if navigable, the right to cut and take away ice belongs to everyone. Ice in navigable streams can not be justly claimed by anyone, however, until it is ready for harvest. SURFACE WATERS Under common law the owner of a tract of land adjoin- ing a lower tract may permit, without being liable for damages, the surface waters from his land to drain upon the lower land. With the owner of the lower tract rests the right to pass it on. However, the upper owner is liable for damages if neglect or intent to damage his neighbor's property can be proved, or if he opens new channels where the surface waters would not naturally flow. A lower owner is liable for damages where surface waters are dammed so as to back up on the land of an upper owner and thus injure it. TOWN, COUNTY, JUDICIAL, AND STATE DITCHES To make possible the drainage of small and large areas of land by means of open or tile ditches or otherwise, the Legislature has provided for what are known as town, coun- ty, judicial, and state ditches. The first three are so named 62 FARMERS' LAW because the town board, the county commissioners, and the district judge, respectively, are the authorities who have the control of the establishment of such ditches; while the state ditches are so named because the proceedings for establishment begin with the State Drainage Commission, made up of the Governor, the State Auditor, and the Secretary of State. Local drainage has been largely secured through the county ditch proceedings, whether the area drained has been that of a single farm or a number of sec- tions or townships. For this reason the steps of the county method will be very briefly set forth. If the student wishes to make a study of the processes in full he should have access to the statutes. COUNTY DITCHES (1) One or more landowners whose lands are liable to be affected may file a petition with the county auditor for the construction of a ditch, drain or water course. In filing such a petition one or more of such petitioners must give a bond to the county pledging to pay all the expense in case the county board establishes the ditch. (2) The auditor gives three weeks' published and posted notice of the filing of the petition. He also sends copies of the petition to owners of land near the proposed ditch. (3) The county board orders an accurate survey of the entire line of the ditch to be made by a com- petent engineer. This engineer is required to make 4 complete report of his doings and to sub- mit to the county board the necessary plans. (4) Three viewers are appointed by the board to go over the territory affected by the proposed ditch WATERS OF THE FARM 63 and to make estimates of all benefits to be derived from it and all damages suffered through its es- tablishment by all tracts in this territory. (5) The county board has a meeting at which the engineer's and viewers' reports and all persons interested are given a hearing. If the board de- cides that the estimated benefits will be greater than the total cost, including damages awarded, they shall establish the ditch. It will be seen that the above method may be followed where a single farmer wishes to drain his land by a tile drain, open ditch, or other watercourse which runs through or under other lands than his own, or that it may be used by a group of any number of farmers. CHAPTER XIV ROADS-THEIR ESTABLISHMENT AND MAINTENANCE Almost the whole of the Minnesota law governing roads, road establishment, road changing, road improvement, and road upkeep is contained in the "Good Roads Act" included in Chapter 235 of the Laws of the 1913 session of the State Legislature. The more important features of the statute are here stated in condensed form. KINDS OF ROADS According to this statute there are three classes of roads, — state, county, and town roads. For each of these chere is a different method of establishment, alteration, improvement, vacation, and upkeep. The four authorities having immediate control of road administration are the State Highway Commission, the district court, the board of county commissioners, and the town board. The word road is understood to include bridges on the road. STATE ROADS These are the steps in designating a state road: — (1) The county board by resolution names any established road as a state road. (2) The county auditor sends a copy of the resolution to the State Highway Commission with a description of the road. (3) After determining that there are sufficient funds and that the road should be named as ROADS 65 a State road, the State Highway Commission consents to the designation. Whenever it is made known to the High- way Commission that the county commissioners have refused to grant a petition made for appHcation for the naming of a state road where the petition has been signed by ten freeholders, the Highway Commission may give such application new consideration. If, after such con- sideration, it acts favorably upon the petition, a copy of the written order granting the application is filed with the county auditor. SURVEYS, PLANS, AND SPECIFICATIONS FOR STATE ROADS After a state road has been designated, the state engineer causes surveys to be made, grades to be established, and plans and specifications to be made. This is done by one of the assistant engineers in the employ of the Highway Commission. Then the work of road building or improve- ment is done. Where it is estimated that the cost of the work to be done will not exceed five hundred dollars, the work may be ordered done under contracts let to the lowest responsible bidder or by day labor without first submitting the plans to the Highway Commission. But where the estimated cost exceeds five hundred dollars, the plans must go to the Commission for approval before the work is begun. The work is all done under the supervision of an assistant engineer who must act under the rules of the Highway Com- mission and the instruction of the state engineer. State roads must be maintained according to the rules of the State Highway Commission. STATE AID FOR STATE ROADS Counties and towns receive aid for building or main- taining state roads. The source of this aid is the State Road and Bridge Fund. This fund has its source in the 5— 66 FARMERS' LAW income from investments of the state internal improvements land fund and in a state tax of one mill. This fund is apportioned by the State Highway Commission. Not less than one per cent nor more than three per cent of the fund may be apportioned to any one county in any year. It is apportioned on or before the first Tuesday in March of each year. When a county does not use its allotment it goes back to the unapportioned road and bridge fund. Twenty per cent of the allotment to the county must be used only for the upkeep of state roads and bridges on those roads. Not more than twenty-five per cent of the allotment for the county may be spent upon county roads under the rules and regulations of the State Highway Commission. The remainder of the allotment may go as aid for the building of state roads. The proportion of the cost of any state road or state aided county road that may be paid out of the allotment is regulated by the total assessed valuation (exclusive of assessed valuation of moneys and credits) of the county. In counties with less than five million dollars of assessed valuation this propor- tion is eighty per cent; five million and less than ten mil- lion, seventy per cent; ten million and less than fifteen, sixty per cent; all other counties, fifty per cent. HOW THE AID IS PAID After the work on a road for which state aid is claimed is completed, the county auditor makes a statement to the Highway Commission and sends with it the report of the assistant engineer in charge. The Highway Commission, after examining the reports and finding them satisfactory, instructs the state auditor to issue a warrant for the state's share of the cost. In no case may this warrant be larger than the amount allotted to the county as stated above. ROADS 67 THE TOWN BOARD AND STATE ROADS The town board may appropriate money from the town road and bridge fund to assist in paying for the construc- tion and improvement of any road in the town which has been named as a state road. COUNTY ROADS County boards have general control of county roads. This control extends over establishing, building, altering, improving, and vacating such roads. The board also has power to provide by an annual tax levy made at its July meeting a road and bridge fund, but this levy may not exceed three mills. Appropriations may be made from the fund for work on roads and bridges in any town, village, or city with less than ten thousand population in the county. ESTABLISHING, ALTERING, OR VACATING ROADS IN MORE THAN ONE TOWN To establish, alter, or vacate any road or roads connect- ing with each other and running into more than one town or on a line between two or more towns in the same county (1) twenty-four freeholders petition the county board for such action. (2) The petition is filed with the county auditor, (3) who brings the same to the attention of the county board. (4) If the petition appears reasonable on its face the board orders a hearing and appoints from its members a committee to examine the road. It also pro- vides for a meeting of the committee. Notice of the time and place of the meeting must be posted in each town into which the road in question runs twenty days before date of the meeting. Similar notice of the hearing must be posted at least thirty days before it takes place. Such notices are required to set forth a copy of the petition. 68 FARMERS' LAW (5) The committee on the date set examines the route of the road in question and (6) reports to the board at its next meeting and recommends the granting or rejecting of the petition. (7) At the hearing the county board hears all parties interested and fixes the amount of damages that will be sustained by the owners through whose lands the road may run in cases where the owners and the county board can not agree as to the amount. In fixing the dam- ages sustained by the owner the board also decides the money value of the benefits of the establishment, altera- tion, or vacation and, after deducting this sum from the damages, awards the differences as damages. All damages are paid by the county. (8) If the establishment, altera- tion, or vacation seems desirable the board grants the peti- tion and (9) provides for the carrying out of the action for which the petition was made. ISSUING BONDS FOR PERMANENT ROAD IMPROVEMENT The expense of making permanent improvement of con- siderable stretches of county roads, such as macadamizing or surfacing them with some hard material, is usually very great, — so great that it can not be done within the ordinary limits of taxation. Bonds must be issued to cover the cost of such extraordinary improvement. The issuing of bonds for such work is authorized by a majority of the voters of the county at a special or a general election. To bring the question of a bond issue for this purpose to a vote, fifty voters petition the county board for the improvement; the petition is filed with the county auditor; he lays it before the county board; and the board, after it has secured an estimate of the cost from the engineer of the State Highway Commission and has come to the conclusion that the im- provement is desirable, orders a special election to decide ROADS 69 Upon the bond issue. But a special election may not be ordered if a general election will be held within six months after the estimate of the state engineer is filed with the county auditor. ROADS IN TWO OR MORE COUNTIES OR ON COUNTY LINES Roads in two or more counties or on county lines are located, altered, or vacated through proceedings in the district court. Proceedings are started by a petition signed by twenty legal voters and tax-payers residing in those counties. If the road is in more than one judicial district, the petition may go to the judge of any district affected by the petition. Three weeks' published notice that the petition is to be presented must be made before the presentation. The judge then appoints three com- missioners who lay out, alter, or vacate the road as directed by him. If the court so directs, the commissioners appoint a surveyor and other necessary assistants to survey the road and to make plats of its location. The commissioners also fix the damages to be paid each landowner on whose lands the road may run. The court, after hearing the report of the commissioners, and any other persons inter- ested, may confirm or reject the report. If the road is ordered established or altered, all expenses must be paid by the owners of lands through or between which the road runs. The order is sent by the clerk of court to the auditors of all counties affected by it. Each auditor lays the order before his county board and they proceed to carry out their county's share of the work. TOWN BOARDS AND TOWN ROADS The general care of town roads is in the hands of the town board. Its power, like that of the county board, 70 FARMERS' LAW extends to establishments, alteration, and vacation of roads. The board is authorized to "purchase machinery, implements, tools, stones, gravel, and other materials" needed for their construction and repair. It is required to prosecute any person damaging the public highways of the town. As far as funds are available the town board must have snow that makes the roads impassable removed from them. The county board has the care of all bridges in towns when these bridges have originally cost $1,000 or more. THE TOWN ROAD OVERSEER Each town is now one road district, and the town board is required to appoint a town road overseer, who must be a "competent road builder" and who has charge of the con- struction of all town roads and of the maintenance of all town and county roads in the town. But in counties with a population of 150,000 or over that have a county super- intendent of highways, the town overseer has no jurisdic- tion over county roads. Whenever any public road in the town becomes obstructed or unsafe from any cause, the overseer must immediately repair it. If the board approves, he may appoint one or more assistants to help him do his work. The pay of the overseer and of his assistants is fixed by the town board and must not be more than three dollars per day for the time actually spent in work. The overseer gives bond to the town for two hundred fifty dollars. No member of the town board may be road overseer or assistant overseer. ROAD TAXES IN TOWNS Road taxes in towns may no longer be "worked out" but must be paid in cash in the same manner as other taxes ROADS 71 are paid. The amount of money to be raised in the town for road and bridge purposes is fixed by the voters at the annual town meeting. This tax cannot exceed fifteen mills. To meet an emergency, however, the town board may levy an additional five mills. THE DRAGGING FUND A tax of one mill will hereafter be extended on the tax lists by the county auditor on all taxable property in each town, and the proceeds of this tax will go to the town treas- urer and be known as the "dragging fund." In towns where the assessed valuation is $1,000,000 or more the amount of this tax shall not be more than $1,000. This fund is to be paid out only for drags and for dragging. The town board must contract for the dragging of the roads of the town, giving preference to main-traveled roads and mail routes. The contract price shall not exceed one dollar per mile for each mile dragged for each time the road is dragged TOWN ROADS— THEIR ESTABLISHMENT, ALTERATION AND VACATION Proceedings for establishing, altering, or vacating town roads are started by petition of not less than eight land- owning voters of the town who live within three miles of the road proposed to be established, altered, or vacated. If there is not that number of landowning voters in the town, a less number than eight signers will make a valid petition. The petition is filed with the town clerk, who at once presents it to the town board. The board, within thirty days, issues an order describing the road and the tracts of land through which it passes and fixes a time and place for a hearing and action upon that petition. Ten days' posted notice must be given of this hearing, and personal notice 72 FARMERS' LAW must be served upon each occupant of the land affected by the petition at least ten days before the hearing. At the hearing the board examines the road named in the petition, hears all those interested, and grants or refuses the petition. Unless the owners release in writing all claims to damages, the board fixes, with the agreement of the owners, the amount of such damages, deducting the money value of all benefits which the change will bring about. If it grants the petition, within five days of the issue of the order the board must make its award of damages and file it, with all other papers connected with the road in question, with the town clerk. The clerk does not record this final order within a period of 30 days and, in case of an appeal from the order, until a decision is given on the appeal, and not then unless the order is confirmed. In case the board refuses, the decision is final for a year, unless it is appealed, and a petition for the same road can not be acted upon again within that time. ROADS ON TOWN LINES In a petition to a town board for establishment, altera- tion, or vacation of a road on a town line, the town board is to notify the town board of the adjoining town and they together shall determine the petition and proceed under the regulations provided for roads within the town. In building the road the two boards divide the length of the road in two parts as nearly equal in cost as possible and each town builds one of the parts. Where the boards can not agree as to which part each shall construct, the matter is to be decided by lot. ROADS IN NEW OR UNORGANIZED TOWNS In towns still unorganized or in which no public roads have been established, section lines are considered public ROADS 73 roads without survey unless natural obstacles prevent. The section line roads, upon the order of the county board, are to be opened two rods on each side of the line. CARTWAYS A cartway is a road two rods wide. The proceedings for establishment are the same as for town roads except that the petition may be signed by as few as five voters, freeholders of the town. One-half of the damages to the land through which it passes must be paid by those whom it benefits. On the petition of the owner of a tract of land of not less than five acres to which he has no access except over the lands of others, the town board may establish a cartway not over two rods wide to connect that land with the public road. The amount of damages must be paid by the petitioner. DEDICATION OF LAND FOR ROADS Owners may give land for a road or cartway by applying in writing to the town board. The application goes to the town clerk who lays it before the board. The board, within ten days, may declare the land dedicated for the purpose named in the application. No damages can be assessed for lands so dedicated. EXTRAORDINARY IMPROVEMENT OF TOWN ROADS Whenever it seems advisable to macadamize any estab- lished highway in a town or in any way make a lasting improvement upon that highway at greater expense than can be made under ordinary methods, it may be done as follows: (1) Fifteen voters who are freeholders file a peti- tion with the town clerk asking for the improvement. (2) After the petition has been brought to the attention of the 74 FARMERS' LAW town board, the board makes an estimate in writing of the expense of the improvement. (3) At the next annual meeting or, if so requested in the petition, at a special meet- ing, the voters of the town decide by a vote for or against the improvement. Sixty per cent of the vote is necessary to carry the proposition. Bonds of the town are then issued for the necessary amount, if that amount with other indebtedness of the town is not more than five per cent of the assessed valuation. DRAINAGE OF TOWN ROADS By proper procedure through the sworn statement of the town road overseer, posted notice of a hearing and the hold- ing of a hearing by the town board, assessment of benefits, order of the town board establishing a ditch, etc., town roads may be drained, if they run through swampy or other low land. It is the duty of the overseer to keep road ditches open, and to do so he may enter upon the lands through which they pass. Any person who dams up or in any way damages such a ditch is guilty of a misdemeanor and is liable in civil action for double the damage assessed for the injury. APPEALS FROM COUNTY AND TOWN BOARDS Any person dissatisfied with the action or awards of a county or town board in establishing, altering, or vacating a road or refusing to do so may appeal to the district court within thirty days after the action is taken. The appeal can not be made without giving a bond for two hundred fifty dollars conditioned to pay all costs of the appeal. REMOVAL OF FENCES BY TOWN OR COUNTY BOARDS When a town or county board has located a road it gives each owner through whose lands the road will run twenty days* notice, in writing, to remove his fences. If he does ROADS 75 not remove them within that time, the board orders them removed. But no closed field may be opened between April 1 and October 1. TUNNELS UNDER ROADS Owners of land on both sides of a public road may tunnel under the road to permit stock to pass from one side to the other. Permission to build the tunnel should first be obtained from the board. If, however, the tunnel has been built without this permission, it i^ valid, unless the board objects to it within a year. Bridges over tunnels should be at least sixteen feet wide and have proper railings. If the tunnel is not under a road on a section line or other sectional division line, but under some other road, the owner main- tains the tunnel at his own expense for the first year. There- after it will be maintained by the town board at the expense of the town. DEDICATION OF A ROAD BY USE Whenever a road has been used, repaired, and worked as a public highway for a continuous period of six years or more, it shall be considered dedicated to the public to the width of two rods on each side of its middle line. This does not apply to a road upon, and running parallel to, a railroad right of way. OLD ROADS OPEN TWO YEARS Whenever a road is changed by an order of a county or town board, the old road must be left open for two years from the date of the order, but such a road may be vacated within two years if the board considers the new road fit for travel at all times of the year. 76 FARMERS' LAW BRIDGES AND CULVERTS All bridges and culverts and approaches to them which are hereafter established or improved must be at least six- teen feet wide. When the bridge is three feet or more above the bank on either side, the approaches must be eighteen feet wide and be provided with substantial railings. Before contracts can be let by any town or county board for the building of a bridge where the contract price is more than five hundred dollars, plans and specifications must be filed with the town clerk or the county auditor, as the case may be, and an advertisement for bids must be published in a newspaper once a week for three weeks before the time fixed for letting the contract. The advertisement must state the time and place of receiving bids and allowing con- tracts and must tell in what office the plans and specifica- tions are on file. It is the duty of the state engineer, as far as time will permit, yearly to inspect all bridges more than thirty feet in length and report their condition to the State Highway Commission and to the proper county board and make such recommendations as he deems advisable. CHAPTER XV THE USE OF ROADS MEETING AND PASSING ON ROADS When persons riding, driving or leading horses or other animals, or traveling with vehicles, meet on any public high- way, the Minnesota Statute requires each seasonably to drive to the right of the middle part of the road so that they may pass each other without interference. The same requirement is made of persons driving or operating motor vehicles. If the persons are moving in the same direction, the one overtaking is to pass on the left side of the middle of the traveled part of the road, and, if the road is wide enough to permit passing, the driver in the lead must not obstruct it, but turn to the right as soon as practicable so as to give half of the traveled road to the other. In a case where a person riding, leading, or driving a horse, or horses, or other draft animals signals by raising the hand or requests the driver of a motor vehicle, the latter must stop immediately and, if the animal or animals appear to be badly frightened, the motor driver shall stop his motor as long as is necessary to prevent accident. An operator of a motor vehicle, when meeting or overtaking any horse or other draft animal in charge of a woman, child, or aged person, must drive at no greater speed than four miles an hour and, where the animal shows fright or upon signal, must bring his machine to a stop and stop his motor as above described. The muffler of a motor vehicle must not be cut out at the time of passing a horse or other animal being led, driven, or ridden. 78 FARMERS' LAW AT CORNERS OR CROSSROADS When drivers turn at corners where two highways cross, in turning to the right or left they are required to keep to the right of the point where the middle lines of the highways cross. When approaching a crossroad, an operator of a motor vehicle must slow down its speed and sound the bell, horn, or other device for signaling so as to give warning of his approach. There is a six mile per hour speed limit for going around corners or curves in the highway. WHO MAY NOT DRIVE MOTOR VEHICLES Persons under sixteen years of age are forbidden to drive motor vehicles unless accompanied by a licensed chauffeur or the owner of the machine. The owner, in such a case, must be sixteen or over. Persons in an intoxi- cated condition are forbidden to drive motor vehicles. IN CASE OF ACCIDENT Any driver of a motor vehicle after knowingly causing an accident by collision or otherwise, injuring any person, horse, or vehicle, is guilty of a gross misdemeanor if he does not at once stop his machine, return to the scene of accident and, upon request, give his name, the number of his driver's license, the registration number of his machine, and the names and addresses of every male occupant of the machine. EQUIPMENT OF MOTOR VEHICLES Every motor vehicle running upon the public highways of this state must be provided with brakes sufficient to con- trol the vehicle at all times, a suitable signaling device, such as a bell or horn, and, from one hour after sunset and to one hour before sunrise, must display two lighted lamps visible from the front and one on the rear of the vehicle. The lamp USE OF ROADS 79 on the rear must display a red light visible from the rear, and white rays from this light must shine upon the number plate. INTEMPERATE DRIVERS Persons owning or having control of coaches or vehicles in which passengers are carried are forbidden to employ drivers who use intoxicating liquors to excess. Those who employ such drivers may be required to forfeit up to fifty dollars for each ofifense and be liable for all damages caused by the drivers. LEAVING HORSES UNFASTENED While passengers remain in any conveyance used for hire, drivers are forbidden to leave the horses that are har- nessed to the vehicle without first fastening those horses or leaving some competent person in charge of them. TRACTION ENGINES Engineers or other persons in charge of traction engines moving along a highway are not permitted to blow the whistles of the engines while within five hundred feet of teams passing on the highway, if the teams can be seen from the engines. The law also requires the stopping of the engine at least one hundred feet before meeting a horse or team on the road, unless on a side hill where stopping may expose the flues of the engine and cause an explosion. The engine may not be started again until the horse or team has passed. Violation of this law is a misdemeanor. Persons taking an engine across a culvert or bridge must place extra planking upon it for protection. Failure to do this makes the owner or engineer liable for one-half the expense of repairing the damage caused. The total amount so recovered is not to exceed fifty dollars. CHAPTER XVI TAXES It is an old proverb that "nothing is certain but death and taxes." And, we might add, one of these certainties is about as unwelcome as the other. But taxes, however un- friendly the popular attitude toward them may be, seem to be so necessary that a majority of the people, through the exercise of the authority they have in their own hands, continue them from year to year. To throw a little light on the big taxation system and make it a little more intelligible to the layman who votes the continuation, is the purpose of this chapter. THE STEPS IN THE TAXING PROCESS There are six large steps in the taxing process where the general property tax is concerned, — assessment, equaliza- tion or review, levy, extension, collection, and distribution. ASSESSMENT The first step is assessment. The assessor performs this task. He is elected in odd-numbered years, — in towns, at the annual town meeting; in villages, at the village election; in cities, usually as their charters provide. His pay in towns is two dollars for each day spent in actual service, although the pay may be increased up to three dollars at the town meeting, if the increase is made before the assessor is elected. Assessment is completed between May 1 and the first Monday in June. This allows forty-four days, Sundays and holidays excepted, for completing the work. By the TAXES 81 first Monday in July the assessor must be ready to hand in his assessment books to the county auditor. Real estate is assessed every even-numbered year and personal property every year. The valuation is fixed as of May 1 of the year it is assessed. All assessments made in the state after January 1, 1914, are to be on the following basis: (1) 25 per cent of the full and true value of "house- hold goods and furniture, including clocks, musical instru- ments, sewing machines, wearing apparel of members of the family, and all personal property actually used by the owner for personal and domestic purposes or for the fur- nishing or equipment of the family residence" ; (2) ^2>}/^ per cent of the full and true value of "live stock, poultry, agri- cultural products, stocks of merchandise of all sorts and furniture and fixtures used with them, manufacturers' materials and manufactured articles, all tools, implements and machinery, and all unplatted real estate;" (3) 50 per cent of the full value of iron ore mined or unmined ; (4) 40 per cent of the full value of all property not included in the preceding classes. Personal property is commonly listed where the owner resides. But all farm property of a non-resident is listed and assessed in the same town as that in which the farm is located. Certain property is exempt from taxation. For each head of a family $100 in personal property is exempt. Property used for (1) educational, (2) religious, (3) chari- table, and (4) public purposes is exempt, — that is, among other things, public libraries, public school buildings, acad- emies, colleges, churches, public hospitals, orphans' homes, public buildings, and public parks. But property belonging to a church and not used for religious or charitable purposes is not exempt. 82 FARMERS' LAW "MONEYS AND CREDITS" Since 1911 there has been a law providing for the sepa- rate listing of all "moneys and credits." Upon this property there is a separate and special tax of three mills on the dollar. No other tax is levied on this class of personal property. "Moneys" under the law includes all money owned by a person whether in hand or deposited in any bank in Minnesota or other state. "Credits" includes book accounts, mortgages and contracts for land not recorded in any county in the state, notes, bonds, rents, and all other claims for money. Assessment of moneys and credits is made at their fair cash value. EQUALIZATION On the fourth Monday in June the local board of review goes over the work of the assessor to equalize assessments between individual property owners. In the town this local board of review is the town board ; in the village, the assessor, the clerk, and the president; in fourth class cities (10,000 population or less), usually the mayor, the clerk, and the aldermen. These boards have power to raise or lower assessments. If any assessment is raised the owner is given notice, and if any resident owner feels that his as- sessment is too high he may appear before the board and, when the board deems it just, a correction may be made. This local board of review may sit during the six working days from the fourth Monday in June to the first Monday in July with pay at three dollars per day. In fourth class cities the pay of the board is limited to three days. On the third Monday in July the county board of equal- ization meets. This board is made up of the board of county commissioners and the county auditor. It equalizes assessments between the taxing districts in the county. It TAXES 83 may also change individual assessments where they consider it advisable. It may raise the total valuation of the entire county or of any district in the county by a per- centage increase, but is not permitted to lower such total. This board may remain is session four weeks. The members receive three dollars per day and ten cents for each mile traveled, but they may receive pay for no more than ten days and mileage for one session only. The abstract of assessment made by the county board of equalization goes to the Minnesota Tax Commission on or before the first Monday in August. This commission is the last and highest board with equalizing functions. Its principal duty is to equalize the assessed valuations as between the counties of the state. It meets for this purpose on the second Tuesday of September and has until the first Monday in January to complete its task. It has power to raise or lower the total valuation of real estate in any town, village, city, or county by percentage increase or decrease. It also has power to raise or lower the assessed valuation of any tract or lot of real property in the state. It may also raise or lower the personal property valuation of any assess- ment district or of any individual in the state, but when it raises the valuation of an individual it must give notice to that individual of its intention. LEVY The levy is the specific amount of tax money to be raised. Levies are made for six different governing units: the school district, the town, the village, the city, the county, and the state, but no individuals pay tax on the same property for more than four of these units. For instance, Jones, who owns a farm in School District No. 14 in the town of Seward, pays taxes on that farm to support 84 FARMERS' LAW the school in that district, the town, the county, and the state. In common school districts, the levy is made by the vot- ers at the annual school meeting held on the third Saturday in July; in independent districts, it is made by the school board ; in towns, by the voters at the annual town meeting. The amount of village and city taxes is fixed by the local authorities according to their charters. The county board levies the county tax at its meeting in July. The state levy is fixed by the legislature when it makes appropriations. It is worth while to note that for two local governments, — namely, the school district and the town — two taxes are collected without levy having been made. One of these is the one mill tax for schools, which is collected "whether school keeps or not" and goes to the funds of the district v/here collected. The other is the tax for the fund for dragging town roads. This also is a tax of one mill unless the assessed valuation of the town is $1,000,000 or more, when the total amount raised for this fund is to be $1,000. EXTENDING THE TAXES Next comes the county auditor's work of extending the taxes. This is really nothing but a vast number of prob- lems in arithmetic. The auditor divides the amount to be raised, for instance, in the town, by the total assessed valu- ation of the town. As a simple illustration we might say that the town of Seward had voted to raise $1,000 besides the "dragging fund" to be spent in the improvement of its roads. We will say that the assessed valuation in the town is $500,000. The rate of the special tax for roads then would be $.002 on every dollar,^n other words, two mills on a dollar of assessed valuation. As two mills is one-fifth of a cent, it may also be referred to as a tax of one-fifth of TAXES 85 one per cent. This calculating is done by the auditor for all the following funds: county revenue, county road, county poor, town, town special road, town poor, if any, and the district special. The state revenue and state school tax rates are furnished to the auditor by the state auditor. As stated before, the school district one mill tax and the town one mill tax for road-dragging are extended without levy having been made. All these rates are then added to find the total tax rate. Let us suppose the various rates to be as follows: state revenue, 3 mills; state school, 1 mill; county revenue, 4 mills; county road, 2 mills; county building, 1 mill; town, 1 mill; special road, 3 mills; town dragging, 1 mill; town poor, 1 mill; district general, 1 mill; district spe- cial, 5 mills. The total rate would then be 23 mills or $.023 on the dollar of assessed value. Let us suppose, further, that Jones, named above, has real property assessed at $1,000 and personal property assessed at $100. His real property tax as extended by the county auditor would be $23 and his personal property tax $2.30. The sum of the two is $25.30. Such a calculation must be made for every tax payer who owns both kinds of property. This would be all the tax levied against Jones, except for the "moneys and credits" tax already described. COLLECTION Taxes are collected by the county treasurer. They are payable the first Monday in January. Personal property taxes must be paid before March 1. Real estate taxes may be paid in two installments, — one-half before June 1 and the remainder before November 1. Taxes not paid before these dates are delinquent. DELINQUENT TAXES A penalty of ten per cent is added to all delinquent 86 FARMERS' LAW taxes. If real estate taxes are not paid until January 1 following, an additional penalty of five per cent is added. The collection of delinquent real estate taxes is enforced against the property assessed, while the collection of delin- quent personal property taxes is enforced against the person assessed. If the owner of real estate neglects to pay the taxes on it, the auditor lists it with all other tracts of land on which the taxes are delinquent and files the list with the clerk of court on or before February 1. This filing has the effect of a complaint in an action by the county against the tract of land. Five days later the clerk returns a copy of the list together with a summons to persons interested to show cause why judgment should not be entered against the land. The auditor then publishes the list and twenty days after due notice the clerk enters judgment against the tract, if no defense has been made, for the taxes, penalties, and costs. On the first Monday in May following, the auditor sells the tract of land at public auction, first having given ten days* notice of the sale. Unless the land is redeemed, three years later the purchaser of the tax certificate or the person to whom he may have assigned it, after meeting the requirements of the law, becomes absolute owner of the property. The county treasurer must, on the fifth business day in April, file with the clerk of court a list of all personal property taxes remaining unpaid on April 1 . Ten days later the clerk issues warrants to the sheriff ordering him to seize and sell any personal property owned by the delinquents. Be- fore April 15 any person whose name is on the delinquent list may file an answer with the clerk of court in which he sets forth his defense or his objection to the tax and the issue is heard and settled in the district court. If the sheriff TAXES 87 cannot collect the delinquent personal property tax, he so reports to the clerk of court on June 1. The clerk makes up a list of the delinquents and ten days later files it with the county board. This board has power to cancel taxes it considers impossible to collect. Judgment may be entered and execution issued against the remaining delinquents. DISTRIBUTION On the last day of February, May, and October in each year the county auditor and the county treasurer distribute all funds remaining in the treasury, dividing same as pro- vided by law between the state, town, city, village, and school district. The county auditor issues warrants for these funds. OTHER TAXES Besides the general property and "money and credits" taxes there are other taxes levied in the state. The mort- gage registry tax is mentioned in the chapter on mortgage deeds. Gross earnings taxes are levied on the total earn- ings of public service corporations, — for instance, two per cent on the gross premiums of insurance companies, five per cent on the total earnings of railroads, six per cent against express companies, etc. There is also a tax on inheritances. It is not within the field of this book to ex- plain these in detail. CHAPTER XVII SCHOOLS Although there are three kinds of school districts, — the common, the independent, and the special, this chapter will deal with the one in which the farmer usually lives, — the first named. TO FORM A NEW DISTRICT No school district may contain less than four sections of land and twelve children of school age. To form a new district a majority of the landowners residing in the territory that is to comprise it first petition the county board. Be- sides setting forth the area of the district and the names and ages of all children, the petition must contain the number of persons residing in it, the district in which the territory lies, the number of children living in each district affected, and the reasons for the formation of the new dis- trict. The petition then goes to the county superintendent for his approval or disapproval. It is next brought to the attention of the county board, which sets a time and place for a hearing and causes two weeks' published notice in the county and ten days' posted notice in each district affected by the petition. The clerk of each district is also sent a notice at least ten days before the hearing. At the hearing the county board hears evidence and argument and then makes an order granting or denying the petition. If it is granted, a copy of the order is sent by the auditor to the clerk of each district affected, and he also causes ten days' notice to be given of a meeting to organize the new district. SCHOOLS 89 ENLARGING THE BOUNDARIES OF DISTRICTS By the same proceedings as when a new district is formed and also upon petition of a majority of all freeholders of each district affected, the boundaries of any school dis- trict may be changed, or two or more districts consolidated, or one or more districts annexed to an existing district. Much the same method is also used to annex territory out- side a school district in a city or village, if the city or village has less than 7,000 population and the territory affected is continuous with this district. SETTING OFF LAND TO AN ADJOINING DISTRICT To have land set off to an adjoining district a freeholder may present to the county board a petition which has been verified by him and which contains the following: (1) a statement that he owns land within the county adjoining a district in the county, (2) a statement of his desire to have that land set off to the adjoining district, and (3) his reasons for asking the change. The board, after notice and hearing as in the previous cases and after proof of the statements in the petition, may make an order granting the petition. This setting off of land may be done even though the land does not adjoin the district but is separated from it by not more than a quarter section of land that is vacant or whose owner is not known. DISSOLVING SCHOOL DISTRICTS The county board has power to dissolve any district in which for two years no school has been held and to order its territory to be attached to one or more nearby districts. Notice must be sent to the clerks of the districts affected as in other cases of change of boundaries. The territory is to be attached in the fairest manner possible and with 90 FARMERS' LAW regard to the convenience of those living in the district dis- solved. THE ANNUAL SCHOOL MEETING The annual school meeting, which takes place on the third Saturday in July, at 7 p. m., unless a different hour has been set at the previous annual meeting, is the event of greatest importance in the matter of control of school affairs in the common school district. Here all men and women living in the district who are qualified voters have a voice. Among the things of consequence done at this meeting are the election by ballot of board members, fixing the number of months of school, voting funds for "keeping" the school, directing the board to make certain improvements, and providing free text-books for children attending the school. Unless there is an irregular vacancy, only one of the three board members is elected at each annual meeting. SPECIAL SCHOOL MEETINGS Special school meetings may be held (1) upon the written request of five freeholders of the district, (2) upon the adop- tion of a proper resolution by the board, or (3) upon a request signed by a majority of the board members. Such meetings are called by the clerk by ten days' posted notice and one week's published notice, if there is a newspaper in the district. If it is made to appear by affidavit that the district does not contain five voters who are freeholders or that there is no legal school board in the district, the county superintendent may, if he believes there is need for same, call a special meeting. At special meetings no business except that named in the notice may be transacted. THE BOARD'S POWERS AND DUTIES The school board has, among others, the following SCHOOLS 91 powers and duties : (1) It has general charge of the business of the district and the management of its schools; (2) it purchases apparatus and furniture, provides outbuildings, plants shade trees, obtains insurance on property, makes repairs on same; (3) it provides for the heating and care of buildings; (4) it pays all just claims against the district; (5) it purchases text-books; (6) it employs teachers and discharges them for cause; (7) its members visit school at leastonceinevery three months; (8) it leases rooms for school purposes. (9) It may also pay expenses of the school board members to one school officers' meeting in each year when the meeting is called by the county superintendent. For this the board may allow pay at three dollars per day, as well as mileage at five cents per mile. It (10) may admit non- resident pupils, fixing the rates of tuition, (11) provide transportation for pupils living more than a half-mile from the school house, and (12) discontinue school, providing instruction in and free transportation to the schools of adjoining districts for the pupils of their district. SPECIAL STATE AID TO RURAL SCHOOLS Rural schools maintaining eight months of school and employing teachers holding first grade certificates receive special state aid in amount of $150 for each teacher. Dis- tricts maintaining seven months of school and employing teachers holding second grade certificates receive $ 1 00 for each teacher. Districts whose local tax levy for maintenance of schools exceeds twenty mills, may receive, in addition to other aid, a sum equal to one third of the excess, with a maximum of $200 for each teacher. Rural school districts associated with a central school receive $50 annually and library aid of $10 for each teacher not to exceed $25 to a building. In addition to the requirements above, the State Superin- 92 FARMERS' LAW tendent of Education has laid down certain requirements as to equipment and other conveniences and these also must be met in order to qualify for aid. ASSOCIATION An associated rural school is one which, by a process hereinafter described, provides for the instruction of its pupils in agricultural and industrial subjects and is under the care and influence of the high or graded school, termed the "central" school, with which it is associated. The superintendent or principal of the central school exercises the same authority over the associated rural school as over his central schools, and prepares for it a course of study which includes agriculture and one of the other industrial subjects, manual training or home economics, or both. Association is accomplished by the following steps: (1) A petition signed by twenty-five per cent of the freeholders in the district goes to the county superintendent; (2) he calls a special meeting giving proper notice of same; (3) at the meeting the voters check ballots which read as follows: "To associate with District No. ... at for the main- tenance of an agricultural and industrial department. Yes . . ., No . . .," (4) if a majority of the voters place a cross-mark after "Yes" the district becomes associated with the central school upon the approval of the board of the central school. The board of the rural district then chooses one of its members to act with the board of the central school in matters relating to association. The boards of rural school districts which have associated with a central school, at a meeting held the first Monday in August of each year, make a tax levy to pay for the advantages under association. The tax so levied must not be less than two mills. The central SCHOOLS 93 school receives from the state $200 per year for each year that each district is associated, and the associated dis- trict itself, upon the recommendation of the superintendent of the central school and of the county superintendent, receives $50 per year from the state. The central school is not permitted to make a tuition charge against any associated district where children from that district attend the central school. But a tuition charge may be made against districts not associated where children from such a district are enrolled in the seventh grade or above and are receiving instruction in agriculture, home economics, or manual training. The State High School Board has ruled that these tuition rates may be no higher than $1.50 per month in seventh and eighth grades and $2 for one industrial subject in the high school. The monthly charge in any case may not exceed $2.50 for any pupil. Associated districts may vote to withdraw from the relationship by a two-thirds vote, if at least a year's notice has been given the central district of the intention to vote upon withdrawal. CONSOLIDATION Consolidation is either the joining of two or more school districts of any kind to form a new district or the annexation of one or more districts to a district which already exists and in which is maintained a state graded, semi-graded, or high school. In either case the districts are consolidated so as to provide larger or better organized schools than are possible under the old rural school unit system. The proceedings in the consolidation of rural school dis- tricts into a new school district are outlined in the statutes. The county superintendent prepares a plat of the proposed district, in which are shown its size, boundaries, location of 94 FARMERS' LAW school houses, and the location of adjoining districts and school houses. This plat is submitted to the State Superin- tendent of Education for his approval. If the plat is approved, petitions asking for the formation of the consoli- dated district must be signed and acknowledged by at least twenty-five per cent of the freeholders in the proposed new district, and these petitions are presented to the county superintendent. He, within ten days, gives ten days' post- ed notice of a special meeting to be held within the proposed district to vote upon consolidation. The time and place of the meeting must also be included in the notice. If, on the date set, at least twenty-five voters are present, they vote by ballot on consolidation. The result of the ballot is sent to the county superintendent, and if there is a major- ity in favor of consolidation he transmits a copy of the results to the county auditor, to the clerk of each district affected by the change, and to the State Superintendent of Education. He further gives ten days' posted notice of a meeting to elect the officers for the new district. The proceedings where it is proposed to consolidate rural school districts with a district in which is maintained a state graded, semi-graded, or high school are the same, except that only the rural districts vote upon consolidation. The school board of the district with which these rural dis- tricts are voting to consolidate, to make the consolidation valid, approve it. Boards in consolidated districts are authorized to estab- lish schools of two or more departments, provide for the transportation of pupils to and from school, or spend a reason- able amount for room and board of pupils when it is more convenient or cheaper to do so than to transport them. The state gives special aid to consolidated schools: $500 per year to districts which have an area of 18 sec- 8CH00L8 96 tions and a school of four departments; $250 per year where the area is 18 sections and there are three depart- ments; and rural school aid where the area is 12 sections and there are two departments. The state will also pay for one fourth of the cost of a new school building, but not more than $2,000 to any one district. In addition, consolidated schools may draw as much as $2,000 for reasonable cost of transportation of pupils. COMPULSORY EDUCATION Every child between eight and sixteen years of age must attend a public or private school during the entire time the public schools of the district in which the child lives are in session. A child may be excused from attendance upon application to the board if it is shown that his bodily or mental condition prevents attendance or application to study, or that he has completed the subjects ordinarily required in eighth grade, or that there is no public school within reasonable distance, or weather conditions or travel make it impossible for the child to attend. Children over fourteen years of age may be excused between April 1 and November 1 if their help is needed in or about the homes of the parents or guardians. Children may also be absent on days they are receiving religious instruction according to the rites of some church. Parents or others having control of children who fail to keep such children in school as re- quired by law are guilty of a misdemeanor and may be punished by a fine of not more than fifty dollars or imprison- ment in the county jail for not more than thirty days. CHAPTER XVIII ELECTIONS-PRIMARY AND GENERAL WHO MAY VOTE These persons may vote in Minnesota: male citizens, 21 years of age, who have Hved in the state six months and in the election district for thirty days preceding an election and who belong to one of the following classes: (1) those who have been citizens of the United States for three months preceding an election; (2) those of mixed white and Indian blood who have adopted the customs and habits of civiliza- tion; (3) those of Indian blood who have been admitted to citizenship by the district court. Women who are 21 years of age may vote for school officers and members of library boards, as well as on questions relating to those institutions. THE ELECTIONS It IS not within the purpose of this book to deal with school district, town, village, and city elections. We shall treat only of the general election and the two primary elec- tions, — the presidential preference primary and the "state- wide" primary. PRESIDENTIAL PREFERENCE PRIMARY ELECTIONS On the same date as the town meeting — the second Tuesday in March — except that it is not held annually as is the town meeting, but once in four years, the presidential preference primary election occurs. Its purposes are three: ELECTIONS— PRIMARY AND GENERAL 97 (1) the popular expression for the party nominations for President and Vice-President of the United States, (2) the nomination of presidential electors, and (3) the election of delegates (and alternates) to the national convention of each party. The vote at this election is on party lines only. The names of candidates for President and Vice-Presi- dent are placed on the ballot by the Secretary of State after receiving a petition sighed by two per cent of the total vote of the party at the last presidential election, but the petition shall contain no more than 500 signatures. Those desiring to be candidates for presidential electors or delegates to the national convention must file, thirty days before the elec- tion, with the Secretary of State when to be voted for in more than one county, and with the county auditor when in a single county. They must further pledge that they will, in the event of their election, faithfully carry out the wishes of their parties as expressed by the voters at this election. The candidates for electors having the highest number of votes are the nominees of their parties and their names are placed on the ballots at the next general election. The candidates of each party for delegates who receive the largest number of votes are declared elected and attend the national convention of their party. The next highest are alternates. The delegates are bound to support at their con- ventions the candidates for President and Vice-President who received the largest number of votes of their party at the presidential preference primary election. Voters at this election, before receiving a ballot, must name the party with which they intend to affiliate in the coming general election. 98 FARMERS' LAW THE STATE-WIDE PRIMARY ELECTION At the state-wide primary election, which takes place the third Tuesday in June preceding a general election, all elective county officers except the county surveyor, all state officers, district and Supreme Court judges, members of the State Legislature and of* Congress are nominated. Of these, all county officers, the judges, and members of the legis- lature are nominated on the nonpartisan ballot; the others, on party lines. To get his name on a ballot for this primary election, a candidate must file with the county auditor if he is to run in one county and with the Secretary of State if he is to run in more than one county. The fee for filing is $10 with the county auditor and $20 with the Secretary of State, except that candidates for state offices, judges of the Su- preme Court, and congressmen at large pay $50. Filing with the Secretary of State must be done 40 days, and with the county auditor 20 days, before the primary election. Names of justices of the Supreme Court may also be placed on the primary election ballot by a petition signed by from 500 to 1000 voters of the state; district court judges by a petition signed by 250 to 500 voters. It is no longer pos- sible to secure a nomination by petition after the primary election is over unless there is a vacancy among the candi- dates. Every voter, without regard to his political affiliations, has the right to vote a nonpartisan ballot at the primary. The two candidates for any nonpartisan office who re- ceive the highest number of votes are the nominees and their names will go on the ballot at the general election. When only two persons file for a nonpartisan office they are considered the nominees for the office and their names are not placed on the primary election ballot. ELECTIONS^PRIMARY AND GENERAL 99 There will be as many party or partisan ballots as there are active parties interested in the election. The voter may call for such party ballot as he declares he generally sup- ported at the last election and which he intends to support at the coming election. If his right to the party ballot which he names is questioned, he may make the same declaration under oath, and the ballot is then given him. In marking the partisan ballot the voter places an X after his first choice and also after his second choice of the candi- dates. On the partisan ballot the candidate securing a majority of all votes cast is the nominee of his party. That majority, unless it is apparent from the total first choice votes, is found as in the following illustration: Candidates First choice votes Second choice votes Brown Smith Jones Johnson Brown 8,000 4,000 1,000 400 Smith 7,000 3,200 800 3,000 Jones 6,000 2,000 3,500 400 Johnson 5,000 2,000 2,000 1,000 Johnson, having the least number of first choice votes, is dropped. The second choice votes of those who voted for him are then added to the totals of the first choice votes of the candidates for whom those second choice votes are cast. This leaves the total vote: Brown, 10,000; Smith, 9,000; Jones, 7,000. Still no candidate has the required majority. 100 FARMERS' LAW Next, Jones is dropped, the second choice votes of those who voted for him being added to the total votes of Brown and Smith as they now stand. This gives the following result: Brown, 12,000; Smith, 12,500. As Smith now has a majority, he is declared the nominee of his party. THE GENERAL ELECTION The date of the general election is the Tuesday after the first Monday in November in even-numbered years. Can- didates nominated at the preceding primary elections are voted upon and the candidate for each office who receives the greatest number of votes is declared elected. THE CORRUPT PRACTICES ACT The State Legislature in special session in the summer of 1912 passed a thorough-going corrupt practices act, — an act regulating the conduct of campaigns. Some of its essential features are here given in condensed form. Candidates, after filing, are forbidden to pay out money or give other valuable things for any but (1) necessary per- sonal traveling expenses, postage, telegraph, telephone, and other public messenger service; (2) rent of halls where speeches are made; (3) pay for speakers and musicians and their traveling expenses; (4) printing of sample ballots, posters, cards, handbills; (5) filing fees; (6) campaign adver- tising in newspapers and other periodicals. Publishers are required to print *Taid Advertisement^^ in pica type at the head of all matter dealing with candidates which is paid for and published in their periodicals. Candidates are re- quired to keep within the following limitations in the total amounts they may spend during a campaign : candidates for governor, $7,000; other state officers, $3,500; state senators, $600; state representatives, $400; county officers, one-third ELECTIONS— PRIMARY AND GENERAL 101 of the salary that the candidate, if elected to the office, will draw. No person is permitted to solicit of candidates contributions for any religious, charitable, or other causes, or for the public good. No food, entertainment, clothing, liquors, tobacco or cigars, etc., shall be given or be paid for by a candidate with the hope or purpose of influencing a voter. Threat to make use of any force or violence in order to induce any person to vote for any candidate is prohibited. Candidates may not make bets or wagers as to the outcome of any election in their election districts. It is unlawful for any person to furnish a vehicle for carrying any voter to the polls unless such voter is of the same household as the person furnishing the conveyance or where two or more voters club together for hiring such a conveyance at their own expense. It is unlawful for any person within one hundred feet of a building in which there is a polling place in any way to try to persuade a voter to vote for or to refrain from voting for any candidate. Cam- paign literature of any kind may not be circulated any- where on the day of an election. Every candidate, or the secretary of his campaign committee, must file with the officer with whom he filed for election, on certain Saturdays which the law names, complete statements of all expendi- tures made on account of the campaign. CONSTITUTIONAL AMENDMENTS At the general election there is handed to each male voter, in addition to the state and county ballots, a "pink ballot" which names and describes briefly the amendments to the State Constitution which have been proposed at the preceding session of the Legislature by a majority vote of both houses. The voter is to vote upon each proposed amendment separately. In order to become a part of the 102 FARMERS' LAW Constitution, a proposed amendment must receive a major- ity of all votes cast at that election. Every voter should inform himself before the day of the election as to what amendments have been proposed and for and against which he will have the opportunity to cast his vote. Then, when he steps into the booth, he will not neglect the very important duty of giving intelligent expression of his desires as to the proposed amendments. FURTHER RULES CONCERNING ELECTIONS Polls are to be kept open in towns and villages from 9 a. m. until 9 p. m. both for primary and general elections. Towns have one polling place unless there are more than 400 voters, in which case two polling places are provided. Liquor may not be sold on any general, special, or primary election day. Employees are permitted to leave their work in order to vote during the forenoon of an election day with- out any decrease in the amount of their pay because of the absence. CHAPTER XIX WILLS AND ADMINISTRATION Jones dies, leaving property. How and to whom that property is to be distributed will depend upon whether Jones dies with or without having made a will. If he dies having provided a valid will, his property is distributed according to the terms of that instrument ; if he fails to do so, it is distributed according to law. Both methods of admin- istration of the estates of deceased persons Will be briefly described in this chapter. WHO MAY MAKE A WILL "Every person of full age and sound mind" may dispose of his estate, real and personal, by will. "Every person" here includes married women. "Full age" is twenty-one with men, eighteen with women. Insane and feeble-minded persons and those under the influence of intoxicants can not be considered of "sound mind." THE FORM OF THE WILL Wills must be in writing. They need not follow any prescribed form but they must be signed by the testator and witnessed and subscribed in his presence by two or more witnesses. The following is a suggested form of will where all the property goes to one person. Where there is more than one beneficiary the will is necessarily longer and con- tains more provisions for the distribution of the property. 104 FARMERS' LAW Short Form of Will I, John Jones, of the County of and State of Minnesota, being of sound mind and memory, do declare this to be my last will and testament, revoking all former wills and testamentary instruments by me made. First, after the payment of my just debts and funeral expenses, I give, devise, and bequeath all my estate, real and personal, of every kind and nature, wherever situated, to my son, Ralph Jones. Second, I appoint my said son, Ralph Jones, executor of this my last will and testament. In testimony whereof I have hereunto subscribed my name this ninth day of August, A. D. 1913. John Jones (Signature of testator) On this ninth day of August, A. D. 1913, the above named testator, John Jones, subscribed the foregoing instru- ment in our presence and declared the same to be his last will and testament, and we, at his request, and in his presence and in the presence of each other, have subscribed our names hereunto as witnesses. (Signatures James Jameson residing at of witnesses) Alfred Beamer residing at The statute requires "two or more competent witnesses" to attest and subscribe. The last clause in the form of will above is the attestation clause. The attestation consists in the two or more witnesses, as Jameson and Beamer in the case of the will above, signing, that is, "subscribing," their names at the end of the will at the testator's request and in his presence. Jameson and Beamer in this instance should have seen Jones sign the will or he must have told them that the signature was his own. COMPETENT WITNESSES Where one who is to receive a legacy under the will is a witness to its execution, there should be two other witnesses who will receive none. Otherwise such a legacy is void. WILLS AND ADMINISTRATION 105 SHOULD ONE DRAW HIS OWN WILL? Although the essentials of a valid will are neither many nor difficult of understanding, one not thoroughly learned in the law would be very unwise in drawing his own will, especially when adequate legal advice can be secured. HOW WILLS ARE REVOKED OR CANCELED A will is revoked by a later will or by some writing of the testator revoking it. Such a writing must be made in the same way as the original will. A will may also be revoked if "burnt, torn, canceled, obliterated, or destroyed" by the testator himself or by another person whom he has ordered so to do in his presence. The injury or destruction of a will after this manner must be proven by at least two witnesses. A will is revoked if, after it is made, the testator marries. Also, all provisions in favor of a spouse are revoked by divorce from that spouse. STEPS IN ADMINISTERING AN ESTATE WHERE A WILL HAS BEEN MADE At any time after the death of the maker of a will any person interested in the estate, be he named in the will or not, may petition the probate court of the proper county to have the will proved. The court files the petition and appoints a time and place for hearing the proofs of the will and provides that a notice of the hearing be published in a newspaper. At this hearing evidence may be brought for- ward to prove that the will before the court is or is not the valid last will and testament of the deceased. Effort is usually made to have the subscribing witnesses present at the hearing but, as their presence is frequently impossible, other witnesses may be admitted to prove the proper execu- tion of the will by proving the handwriting of the testator 106 FARMERS' LAW and of the subscribing witnesses. Then the court allows or disallows the will. EXECUTOR AND ADMINISTRATOR John Jones, in the body of the will given near the open- ing of this chapter, provides that his son, Ralph Jones, shall be executor of his estate, — that is, that he is to have charge of the estate until final distribution according to the terms of the will. Frequently the testator does not name an executor, or the person named has died or refuses to accept the trust. Then the probate judge appoints an adminis- trator, either the "spouse or next of kin or both, or some person selected by them." The executor or administrator must give bond in the amount the court directs, to insure faithful performance of the trust. NOTICE TO CREDITORS The executor or administrator then gives notice by publication for three weeks in a newspaper for all creditors to present their claims against the estate in writing. The judge of probate may allow from six months to a year for the presentation of these claims. They must be itemized and verified by affidavit. INVENTORY AND APPRAISAL OF THE ESTATE Within three months after his appointment the executor or administrator must make and return to the probate court an inventory and appraisal of all the property of the deceased. Appraisal is made by two or more disinterested persons appointed by the court for that purpose. The inventory contains the following classification of property : (1) real estate, (2) furniture and household goods, (3) wear- ing apparel and ornaments, (4) stock in banks and other WILLS AND ADMINISTRATION 107 corporations, (5) mortgages, bonds, and other written evidences of debt, (6) all other personal property. SETTLEMENT OF THE ESTATE The probate judge allows the executor or administrator a reasonable period, not to exceed eighteen months, in which to settle the estate. For good cause this period may be extended, but not to exceed one year at a time. In set- tling the estate the provisions of the will are followed, except as to setting aside the homestead dealt with below under ''Descent of Property" and except where the will conflicts with the law as to distribution of personal property. Children born after the will was made, without provision having been made for them in the witt or otherwise, share in the estate just as if the father had died having made no will. The same is true of any other of his children or issue of deceased children not benefiting under the will, unless it is proved that the omission was intentional. ADMINISTRATION OF THE ESTATE WHERE THE DECEASED HAS LEFT NO WILL Had John Jones died "intestate," that is, leaving no will, the steps preparatory to settling up the estate would have been much the same as they have already been out- lined in this chapter. After his death there would be, first, a petition by some person interested in the estate asking for the appointment of an administrator. Then would follow the published notice of the hearing to persons interested. The hearing having occurred, the court would appoint an administrator. Creditors would be notified, inventory and appraisal of all property would Be made, and claims settled. Then would follow the final hearing and the estate would be divided according to law. 108 FARMERS' LAW DESCENT OF PROPERTY The distribution of the estate of a person dying intestate is provided for under three classifications, (a) Homestead, (b) Other Real Property, (c) Personal Property. (a) The Homestead The homestead, defined elsewhere in this book, descends to the surviving spouse if there is no surviving child or issue of any deceased child. In the former case the sur- viving spouse takes an absolute title to the homestead. If there are both a spouse and child or children or issue of deceased children, the homestead descends to the spouse for the rest of his or her life. These rules apply to the descent of the homestead in spite of provisions in wills or other disposal made without the consent of the spouse. In other cases the homestead may be disposed of by will, and if not by will, it descends in the same manner as other real estate. (b) Other Real Estate All real estate other than the homestead descends as follows : (1) All to the surviving spouse, if there are no children or issue of deceased children. (2) One-third to the surviving spouse, if he or she has not consented to the disposition of such real estate in writing by will or otherwise, and the remainder equally divided between children and the issue of deceased children. (3) If there is no surviving spouse, all the lands are divided equally between the children and issue of deceased children. WILLS AND ADMINISTRATION 109 (4) In the absence of spouse or issue, to the father and mother in equal shares. If but one of these survives then all to such survivor. (5) If there are none of the above, in equal shares to brothers and sisters and lawful issue of deceased brothers and sisters. (6) If the intestate leaves no issue, spouse, father or mother, or brother or sister, or living issue of brother or sister, to the "next of kin" (nearest relatives). (7) If there is neither spouse nor kindred, all the property goes to the state. (c) Personal Property The widow is allowed all the wearing apparel of her deceased husband. Household furniture to the value of not more than five hundred dollars and other personal property in the same amount, in both cases her own selec- tion, go to her. If there is no surviving widow, the same allowances go to the minor children, selection to be made for them by their guardian. The excess of personal prop- erty over these amounts is distributed in the following order: (1) payment of funeral expenses and costs of administering the estate, (2) payment of the debts of the estate, (3) one-third of the remainder to the widow, (4) the remaining two-thirds, or the whole, if there is no widow, to be distributed as in the case of the division of real estate as outlined under (b). These provisions for the division of the personal estate apply as well to a surviving husband as to a surviving wife. POSTHUMOUS CHILDREN In the descent of property a child born after the death of its parent is considered as living at the time of such death. no FARMERS' LAW GUARDIANS Guardians for children under age are sometimes named in wills. Where this has not been done and where the court deems it advisable, it may appoint guardians for the children and the estate if the children are under fourteen. Children over fourteen may select their own guardians sub- ject to the approval of the court. CHAPTER XX CO-OPERATIVE ASSOCIATIONS In recent years there has been a great development of co-operative organization among Minnesota farmers. Familiar examples of these co-operative enterprises are creameries, cheese factories, skimming stations, grain ele- vators, town mutual insurance companies, stores, threshing rigs, silage outfits, corn shellers, and stallions. The statute permits these co-operative associations to engage in "any lawful mercantile, manufacturing, or agricultural business." The organization and management of these associations is governed by statute and is the same for all except for the township mutual insurance company, which is discussed in a later chapter. ORGANIZATION Co-operative associations are financed by subscription for shares of stock. These shares are usually from one to one hundred dollars in face value. The entire capital stock of a creamery association may not exceed twenty-five thou- sand dollars, while other enterprises may sell stock in amount of one hundred thousand dollars. No less than seven persons may organize such an association and own its stock. No share may be issued for less than its par value and no member of the association is permitted to own stock whose par value is greater than one thousand dollars. The association may commence business as soon as twenty per cent of the capital stock has been subscribed and paid 112 FARMERS' LAW in. The association is forbidden to issue any certificate for shares before the full amount of those shares has been paid in. The certificate of incorporation of the association is filed in the office of the clerk of the town, village, or city in which the business is carried on. A majority of the incorporators must be residents of the county of its princi- pal place of business. The duration of any such com- pany shall not exceed twenty years, but this period may be extended by renewal. MANAGEMENT The officers of such an association are a president, a treasurer, and not less than three directors, and these are chosen annually by the stockholders. These officers act as a board of managers for the association. By-laws for the conduct of the association are made at its meetings and in these by-laws it may provide for any other officers. The certificate of incorporation may be amended at a stock- holders' meeting upon ten days' notice. PROFITS The profits of the association are usually distributed as dividends in proportion to the amount of stock that each member holds. These dividends must be declared as often as once a year. Where for five successive years the board fails to declare a dividend, five or more stockholders by petition may apply to the district court to have the associa- tion dissolved. REPORT TO DAIRY AND FOOD COMMISSION Every creamery association, on or before December 30 of each year, must make a report to the State Dairy and Food Commission at the Capitol in St. Paul, giving the name of the corporation, its principal place of business, the loca- CO-OPERATIVE ASSOCIATIONS 113 tion of the creamery, and the number of pounds of butter or other dairy products made by it during the year. RECENT DEVELOPMENTS IN CO-OPERATION In some communities of the state co-operative associa- tions have in recent years been so organized that not only the stockholders but also their patrons share in the profits. In such associations the certificate of incorporation provides that the stock draw only a reasonable rate of interest, — 6, 7, or 8 per cent — , and that beyond this and a small sum set aside for a sinking fund the profits are to be divided accord- ing to the patronage of the customers, whether or not they hold stock in the association. This plan has the advantage over the one in which the profits are divided among the shareholders only in that it encourages each patron to "boost" for the association, — it makes every patron a real friend of the enterprise. This movement in co-operation has brought into existence a few associations in which the nonstockholding patrons who do a specified amount of business with the association are not only given a share of the profits, but also have a vote in the business meetings. CHAPTER XXI PROPERTY INSURANCE-The Min- nesota Standard Policy DEFINITIONS The first thing to be noted about insurance is that it is a contract whereby one party agrees to make good the losses by mishap or otherwise of another party. The first party is called the insurer or underwriter and, as most of the insurers are corporations, they are usually referred to as "companies." The second party is called the insured. Since the contract, usually in writing, is called a policy and is in the hands of the insured, the second party is commonly known as the policy-holder. The amount paid by the insured for his protection is the premium, THE MINNESOTA STANDARD POLICY The form of contract or policy issued by companies doing business in Minnesota must follow certain definite requirements which are incorporated in the "Minnesota Standard Policy." Any company wilfully making, issuing, or delivering a policy violating the requirements of the Standard Policy is guilty of a gross misdemeanor, although every stipulation in such an illegal policy in favor of the insured will be binding upon the company. OBLIGATIONS OF THE INSURED There are some features of the Standard Policy, princi- pally obligations upon the insured, which it is deemed ad vis- PROPERTY INSURANCE 115 able to mention here. It is necessary to describe the prop- erty insured with some care. Some items are not included in the insured property unless specially mentioned. Among them are drafts, notes, accounts, evidences and securities of property of every kind, books, wearing apparel, money and jewels. The amount of loss made good by the underwriter may not include damage caused by an explosion of any kind unless fire follows the explosion and then for the loss by fire only. If any important fact or circumstance stated in writing is not fairly set forth by the insured, or if the insured makes any effort to defraud the company either before or after the loss, the policy is without effect. It is void as well if the insured takes any other insurance on the same property without the assent of the company or removes the property without its assent, or if, without such assent, the premises remain vacant for more than thirty days. Kerosene may be used for lighting purposes, and in dwelling houses kerosene stoves may be used for domestic purposes without voiding the policy. It is very common, also, to include in the policy a "gasoline permit," which allows the use of gasoline for domestic purposes and the storage of a limited amount for such use in a dwelling house or other building; but this clause is inserted at the pleasure of the company. If the insured uses gasoline, he should insist upon having the gasoline permit included in his policy. If the insured property is exposed to loss or damage by fire, the policy-holder is required to make all reasonable exer- tions to save it. THE STATEMENT When there is any loss or damage of insured property, the Standard Policy provides that the insured shall "forth- with," that is, within a reasonable time, render a statement 116 FARMERS' LAW to the company covering the following points: the value of the property insured except in the case of total loss on buildings, the interest of the insured therein, all other insurance on the property, the purposes for which and by whom the property was used, and the time and manner in which the fire originated, as far as known. ADJUSTMENT The company is required, according to the terms of the Standard Policy, to make payment for loss within sixty days after the statement is submitted. Where there is insur- ance by more than one company, each company pays its proportion of the loss. Whenever the underwriter and insured fail to agree as to the amount of the loss, the matter is referred to three referees, who are chosen in the following manner : the company and the insured each choose one from three persons named by the other, and the third is selected by the two so chosen. Suits against companies for the recovery of any claim must be brought within two years from the date the loss occurred. CHAPTER XXII FARMERS' MUTUAL INSURANCE COMPANIES TOWN MUTUAL INSURANCE COMPANIES A common mode of insurance in some sections of Minne- sota and in some other states is the Township Mutual Insurance Company. Township mutual insurance com- panies are co-operative insurance companies, — that is, insurance companies whose stockholders are the insured property owners themselves. These companies are not charitable nor benevolent schemes but are planned to pro- tect the private interests of the subscribers. The State of Minnesota by statute permits the organization of these mutual or co-operative companies where not less than twenty-five persons residing in adjoining towns, "who shall collectively own property worth at least fifty thousand dollars, form themselves into a corporation for mutual insurance against loss or damage by fire or lightning.'* Township mutual companies are forbidden to operate in more than fifty towns at one time. The corporate existence shall not exceed thirty years, except that it may be renewed from time to time by a two-thirds vote of all members pres- ent at a regular meeting of the corporation. CERTIFICATE OF INCORPORATION Certificates of incorporation and the by-laws of the company are required to be filed with the State Insurance Commission. In drafting these it is advisable, though not 118 FARMERS' LAW required, to secure the services of a competent attorney. The certificate, which must be acknowledged before a proper officer, should specify the following: (1) The name. (2) Location of the principal office. (3) General nature of the business. (4) Territory where business is to be transacted. (5) Who may become members. (6) Source of corporation funds. (7) Classes of property it is planned to insure. (8) To what board its management will be given. (9) The date of its annual meeting. (10) The duration of the company's existence. KINDS OF PROPERTY TO BE INSURED These companies are given power to insure the following kinds of property: "dwellings and their contents, farm buildings and their contents, live stock, farm machinery, hay and grain in the bin or stack, churches, school- houses, society and town halls, country blacksmith shops and their contents, parsonages and their contents, and the barns and contents used in connection therewith, butter- makers' dwelling houses and contents, and barns used in connection therewith." Such companies are not permitted to insure property within the limits of any city or village except that located upon lands actually used for farming or gardening purposes. The insurance may be against loss by fire or lightning only, and policies may not be issued for terms to exceed five years. HOW THESE COMPANIES ARE SUPPORTED Township mutual insurance companies are supported by premiums and assessments. Premiums are paid before the MUTUAL INSURANCE COMPANIES 119 policies are delivered to the insured. These premiums may not be sufficient to meet the needs of the company and, to provide for an emergency fund, the directors of the com- pany may levy an assessment of not more than two mills on a dollar of all the insurance in force. Whenever any loss of insured property exceeds the cash funds of the company the directors have power to make assessment to cover the excess. Suit may be brought against any member of the company who refuses or neglects to pay an assessment regu- larly made. ADJUSTMENT OF LOSSES As soon as a member sustains a loss he notifies the secre- tary of the mutual company. Usually, when the claim is three hundred dollars or less, the loss is ascertained by the secretary or president, or both. If the claim is more than three hundred dollars, the directors of the company appoint a committee of three, of whom the secretary shall be one, to learn the amount of the loss. If the insured and the com- pany can not agree as to the amount of the loss, the adjust- ment is left to three men not interested in the loss, the com- pany and the policy-holder each selecting one, the third being selected by the two so chosen. MUTUAL HAIL, TORNADO AND CYCLONE COMPANIES Minnesota Statute also permits the organization of mutual companies for insurance against loss or damage by hail, cyclones, tornadoes and hurricanes. Before such a company may be organized there must have been subscribed on its books at least two hundred thousand dollars of this kind of insurance in not less than four hundred separate risks upon property located in not less than ten counties and upon not more than fifteen risks of one hundred sixty acres 120 FARMERS' LAW each in any one township. Furthermore, each subscriber must have paid in a membership fee of three dollars. The following classes of property only may be insured in such a company : country churches and school houses, farm dwellings, barns and other buildings, hay, grain, and other farm products in these buildings or stored or growing on the premises, and live stock on the premises or running at large. In its hail department no company is permitted to insure more than 3200 acres in any one township; there must be at least one-half mile between each risk, but risks may be taken on lands of not more than 320 acres in area where the land is all in one piece or in pieces touching at the boundaries. In this hail department a mutual company is required to collect a premium of not less than two and one- half per cent per year of the amount insured. Every policy- holder is also liable to assessment for all losses in a sum equal to this premium, but not more than five per cent of his insurance. Mutual hail, tornado and cyclone companies are under the supervision of the State Insurance Commissioner, who may demand a report of any of them at any time, order an examination of their books, revoke their licenses to do busi- ness, or bring an action in the district court to wind up their affairs. CHAPTER XXIII LIFE INSURANCE WHAT IT IS The life insurance contract differs from the property insurance contract principally in that in the former we say "If I die" instead of "If my barn burns." The purpose of life insurance in its earlier history was only that of protect- ing against want those dependent upon the insured in the event of his death. While that is still the prominent func- tion of life insurance today, the development of the business during the last century has added others. A few of these are given in the following description of the more common kinds of life insurance. Rates or premiums for life insurance depend upon the age of the applicant, — the older the insured, the higher the rate. ORDINARY LIFE INSURANCE "Ordinary" or "straight" life insurance is the original life insurance. The policy provides that the amount named will be paid by the company to the beneficiary, that is, the person in whose favor the policy is written, at the death of the insured. Payment of the premium is made regularly — usually every year — until the death of the insured. LIMITED PAYMENT LIFE INSURANCE Limited payment life insurance provides for the pay- ment of the regular premium through a limited number of years, let us say, for example, twenty, but the protection 122 FARMERS' LAW runs not only through the period during which premiums are being paid, but until the death of the insured, whenever that may occur. Although the rates for limited payment insurance are higher than for ordinary insurance, it has a distinct advantage over that type of insurance in that a man may pay for the protection for the complete period of his life during his younger and more productive years, and he is not burdened with premium payments in later life. TERM INSURANCE Term life insurance policies give protection during a short period only and then expire. Naturally the rates on this type of insurance are very low as compared with the rates on other types. These policies generally grant the insured the privilege of renewing at advanced rates without medical examination, and also frequently give him opportunity to change from this kind of insurance to some other. ENDOWMENT INSURANCE Endowment insurance provides that the insured, after paying the premium for a given number of years, will receive a certain sum of money. If he should die before the end of that period, the amount of the policy will go to the beneficiary. Endowments are attractive to a large number of those seeking insurance. One reason for this popularity is, that the insured is protecting his children when they are at tender age and can not be self-supporting. They do not so much need the protection after approaching maturity. A second reason is, that endowment insurance is a conven- ient method of saving for old age. It is comforting to know that when one reaches the age of sixty, let us say, he will come into several thousand dollars by the expiration LIFE INSURANCE 123 of an endowment policy. Again, endowment insurance is advocated as a good investment, — good because safe and because the premiums are accumulating interest. This rate of interest is not usually high, but the investment is free from the risk frequently attending investments where the rates of interest are much higher. ANNUITY INSURANCE There are so many variations of the above described types of insurance that it would be impossible to deal with them in the scope of this book. A few are merely mentioned here. There is, for instance, annuity insurance, which pro- vides that, instead of the payment of the proceeds of the policy in a lump sum, payment be made in a fixed number of annual installments or by a continuous annual income during the lifetime of the beneficiary. A policy of this kind prevents the loss of the proceeds of the policy by unwise investment by the beneficiary. Endowment annu- ity insurance is similar to the annuity type just mentioned, except that the annual income installments are paid to the insured if he is still living at the date of the expiration ot the policy, and, after his death, to the beneficiary. INSURABLE INTEREST Just as in property insurance the applicant must have an insurable interest in the property, so must the applicant for life insurance have an insurable interest in the life of the insured. Every person has an insurable interest in his own life. Every person has an insurable interest in the life of any person upon whom he depends for support, also in the life of any person in any way obligated to him for the pay- ment of money. Husband and wife have insurable interests in the lives of each other. But a nephew has no insurable 124 FARMERS' LAW interest in an aunt upon whom he is not dependent wholly or in part. But if a person has an insurable interest at the date the policy is taken out, the policy is not affected in case the interest ceases. The policy may be assigned to anyone whether or not the new beneficiary has an insurable interest. APPLICATIONS FOR INSURANCE The application for life insurance and the policy com- bined make up the entire contract between the insured and the insurer. For this reason an authentic copy of the application is usually attached to the policy given the insured. MINNESOTA POLICIES In a law passed by the Minnesota Legislature in 1907, and later changed, six forms of standard policies covering the various types of life insurance are authorized. The act further provides that no other form of policy can be used unless it has previously been filed with the State Insurance Commissioner and approved by him. For the protection of patrons of life insurance companies, this act also sets forth provisions that must be contained in policies not following one of these six authorized forms. The gist of those provisions is here set down : (1) A grace of one month is allowed for the payment of all premiums but the first, during which month the insurance is to continue in force. This over-due premium may, however, be subject to an interest charge during that month. (2) In "participating" policies there shall be a provi- sion that the insured shall share in the divisible surplus of the company, beginning not later than the end of the third policy year, and that the LIFE INSURANCE 125 TRAVELERS Insurance Company OF Hartford. Connecticut. . ly tI|TS Contrart of lusuraitrr Ayrrrs tn JJay Diillars.1 FIG. 10. SPECIMEN LIFE INSURANCE POLICY. (First Page.) 126 FARMERS' LAW owner of the policy shall have the right each year after the fifth to have the current dividend paid in cash. The owner is also given other choices as to what is to be done with the dividend. (3) The policy shall be incontestable after two years from its date except for failure to pay premiums. Hence, suicide would not avoid the policy except within two years from the date it was drawn. (4) All statements made by the insured shall, in the absence of fraud, be considered representations and not warranties. Only where such statements are contained in the application for insurance and this application is attached to the policy as a part of the contract and where the statements are "wilfully false or intentionally misleading" is it possible for them to affect the validity of the policy. (5) If the age of the insured is understated, the policy is not avoided, but the amount payable to the beneficiary will be as much as the premium which has been regularly paid would have purchased at the correct age of the insured. (6) At any time after three full years' premiums have been paid, the insured has the privilege of obtain- ing from the company a loan upon the policy. To obtain such a loan the insured must assign his policy to the company and pay a specified rate of interest. In practice this rate has usually been six per cent. No other security than the policy is to be required. The amount of the largest loan that can be made on the policy is to be given in a table of loan values included in the insurance contract. Failure to pay such loan or interest LIFE INSURANCE 127 can not avoid the policy. Term insurance policies are not required to contain this provision. (7) When the insured has failed to make payment of the premium at any time after premiums have been paid for three years, the company must grant to the owner of the policy a stipulated type of insur- ance, the value of which is regulated by a table included in the insurance contract. This pro- vision must also state that the policy may be sur- rendered to the company within one month from the date of failure to pay the regular premium "for a specified cash value at least equal to the insurance aforesaid.'* This value is commonly termed the "cash surrender value." This requirement is not made of policies for term insurance of twenty years or less. (8) Provision as to time of payment of the proceeds of the policy must be either "upon the receipt of due proof of death" or "not more than two months after the receipt of such proof." (9) The title on the face and on the back of the policy must correctly describe it. OTHER IMPORTANT LIFE INSURANCE REGULATIONS The agent has no power to change the terms of a policy. Rates, premiums, dividends, and benefits of any kind must be the same for all persons of the same class, that is, of the same age, occupation, etc., and for the same type of insurance. Nor shall there be any unequal treatment on account of race. Upon request, the company must furnish reasons for rejecting an application for insurance. Insurance companies are forbidden to issue or circulate 128 FARMERS' LAW any false statements as to their policy, its benefits, or the dividends or shares of surplus to be received under it. Every person insured in a mutual company having its home office in this state shall be a member of the company, with one vote and another vote additional for each one thousand dollars of insurance he carries in the company. Such a company is required to make an annual division of the surplus to members whose policies have been in force three years or more. The beneficiary may be changed where the right to change has been reserved or in the event of the death of the beneficiary by filing a written notice of the change at the home office of the company. Where the beneficiary is still living, this change should have his consent. If the bene- ficiary dies before the insured and no new beneficiary has been named, the proceeds of the policy will be paid to the estate of the insured. FRATERNAL INSURANCE During the last half-century fraternal society or assessment insurance has become common. One might term this co-operative life insurance. In order to meet the obligations arising because of death among the members, assessments are made upon all members. If assessments are not paid the policy is forfeited. It has been found a universal rule with these organizations that, as the society and its members grow old, deaths occur more frequently, causing higher or more frequent assessments. These increased costs discourage many members and they with- draw, thereby making the assessments still heavier upon those that remain. The fraternal features of these associa- tions are worthy of some consideration, and while they are young they furnish a very cheap form of protection. They LIFE INSURANCE 129 can not be made permanent, business-like organizations until their rates of insurance are made approximately as high as those of "old line" life insurance companies. These organizations are now somewhat under the control of and receive their licenses from the State Insurance Commis- sioner. CASUALTY INSURANCE Casualty or accident insurance provides indemnity for "loss of life, sight or limb." Indemnity for losses of this kind is paid in lump sums, the amount depending upon the seriousness of the disability For example, the writer has before him a policy that provides an indemnity of six hun- dred dollars for "loss of life, both feet, both hands," etc., and but three hundred dollars for the loss of either hand or either foot, and two hundred for the loss of the entire sight of one eye. Most of these casualty policies also contain provisions for indemnity during illness of the insured. The payment of indemnity in case of illness is customarily by a definite weekly stipend. Casualty insurance is also sub- ject to partial regulation by the state. CHAPTER XXIV NOTES, CHECKS, AND DRAFTS NOTES The more common kinds of commercial paper are notes, checks, and drafts. When a farmer or other person wishes to make the pur- chase, let us say, of seed grain or of a farm implement, but has not the ready money to pay for it, he may secure what he wants by giving his note, A note is simply an uncon- ditional promise in writing to pay to a certain person a defi- nite amount of money at some specified future time. The one who makes the promise signs the note, and is called its maker. The person to whom he promises payment is the payee. Frequently where the payee so desires, another person, as "surety," signs the note with the maker. In such cases this additional signer becomes liable if the original debtor does not meet his obligations. In our state a note or other obligation may bear no greater rate of interest than ten per cent. Where interest is to be paid but no rate has been fixed, it is understood to be six per cent. CHECKS Instead of keeping about their homes or persons any considerable sums of money, most people make a practice of depositing such money in the banks. When they wish to make payment to any other person of a part or all of the NOTES, CHECKS, AND DRAFTS 131 amount deposited, they write out an order on the bank directing it to make payment to this other person. This order is known as a check. The person ordering payment is called the drawer, the bank addressed is the drawee, and the person to whom the money is paid is the payee. BANK OF GLEXCOE, JPiiF '^ ^^^. y^^.^^^^t.'-'^->^'*>^'-t:'-rf-cP an Bear EH, FIG. 11. CHECK PAYABLE TO PAYEE OR BEARER DOLLABH. -^'^'^f^.a^ ■^ 11 Bank of Glenco«, Glonooe,Minn. I hfxy to order oST^^^^ $^£^ I |^ ^X<^»c^-^^^^^^^ a<^^ <^^ ^f,-— ~ Doll ars ^--^^^ ^ ^^^^^^y mr m FIG. 12. CHECK PAYABLE TO THE ORDER OF PAYEE. It is a good rule to present checks at the bank upon which they are drawn as soon as possible after you receive them. Unless checks are dated ahead, the law requires that they be presented to the bank for payment "within a reasonable time," which is, in most cases, within a day after they are issued. Otherwise the drawer is freed from lia- bility on them. The bank on which the check is drawn is not liable to 132 FARMERS' LAW the payee or other holder unless and until it accepts or certifies the check. It is rather common practice to draw up checks to the payee "or order," or "to the order of" payee, rather than to the payee "or bearer." This is done because, in receiving payment, the payee must endorse the check, and this indorsement makes the check serve the purpose of a reciept. "Overdrawing" an account at a bank is writing out checks upon the bank when the maker, or drawer, has not enough funds on deposit or to his credit in the bank for their payment. When it is proved that the person drawing the checks drew them with the intention of defrauding, knowing at the time that he was overdrawing, he is guilty of a gross misdemeanor and is subject to a fine of not more than $1000 or to a prison term of not more than one year, or both. DRAFTS As it is an unwise act to send any considerable amount of money in coin or paper to distant points by mail, the wise Chcf iriif Katinnal l^aiik NATIONAL BANK OF COMMERCE NEW YORK FIG. 13. BANK DRAFT. avail themselves of one of two methods in sending money: (1) the post office or express money order and (2) the bank draft. As its name implies, the draft is obtainable at NOTES, CHECKS, AND DRAFTS 133 banks. It is an order by the bank at which it is obtained to another banking institution to pay the amount named in the instrument to a third person. The parties to the draft are the same as in the case of the check. NEGOTIABILITY Nearly all the instruments that come under the three classes described are drawn up to some payee "or order," "or bearer," or "to the order of" the payee. These words give power to transfer ownership of the instrument, or, as it is usually expressed, make the instrument negotiable, if it also has these characteristics: (1) it must be in writing and signed by the maker or drawer; (2) it must be payable on demand or at some fixed date or at some date that can be determined ; (3) it must contain a definite promise or order to pay a certain sum of money. The negotiability is not affected by the omission of the date of making or of the statement "for value received" or any statement that value has been given. But an instrument is not negotiable if it is made payable after the happening of some future event, such as when a person named in the note will become of age. As death is sure to happen, a note made payable after death is negotiable. INDORSEMENT If the holder of a negotiable note desires to use the money before it becomes due, he may sell the instrument to some one else. Instruments containing the words "or bearer" may be transferred by delivery only, — that is, without indorsement. Where the words "or order" are used, the paper should be indorsed to be transferred. Indorsement means the signature of the payee on the back of the paper. "Blank" indorsement is the signature of the payee and 134 FARMERS' LAW nothing else. An instrument so indorsed is payable to bearer. A special indorsement, or "indorsement in full,*' includes this signature and an order to pay to some definite person named in the indorsement. "Pay to the order of John Jones, (signed) O. F. Miller," is a special indorsement. Indorsement must be of the entire instrument and indorsement of a part only is not considered a transfer of FIG. 14. ENDORSEMENT IN BLANK. 191=^ JVo. (^i/i^. Gleiicoe, hcoc, Miiui. A ^^^-> ^ ^^ ^