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MONTANA LAWS.

therein. The testimony of a witness out of the State is taken upon commission issued under seal of the court, upon five days' notice to the other party.

The testimony of a witness in this State may be taken by deposition in an action at any time after the service of the summons or appearance of the defendant, and in a special proceeding after a question of fact has arisen therein, in the following cases: party to the action or proceeding; or an officer or member 1. When the witness is a of a corporation which is a party to the action or proceeding, or a person for whose immediate benefit the action or proceeding is prosecuted or defended. the witness resides out of the county in which his testi2. When mony is to be used. 3. When the witness is about to leave the county where the action is to be tried. 4. Where the witness is too infirm to attend, or where his testimony is necessary but his presence impossible.

In this State, depositions may be taken before any officer authorized to administer oaths, upon notice of time and place of the examination to the adverse party. notice must be five days previous to the date of examinaSuch tion, with an additional day for every twenty-five miles the adverse party has to travel. Such deposition must be subscribed by the witness, certified by the officer taking the deposition, and sent to the clerk of the court in which the action is pending. Depositions may be taken in this State to be used in other states by a commission and affidavit from the court of the other state in which the action is pending, that the testimony of the witness in this State is material.

X. DESCENT:

The property, both real and personal, of one who dies without disposing of it by will, passes to the heirs of the intestate subject to the control of the District Court, and to the possession of any administrator appointed by that court for the purposes of administration. cannot deprive her husband of more than two-thirds of A wife her real or personal property, by will, except with his written consent.

The laws of this State, under this title, are similar to those contained in the Civil Code of California, differing verbally in a few respects, but not substantially.

XI. EXECUTIONS:

Execution may issue at any time within six years after entry and judgment. It may be made returnable at any time not less than ten nor more than sixty days after its receipt by the sheriff, to the clerk with whom the judgment roll is filed. be enforced by the personal representatives of the judgExecutions issued on judgments may ment creditor in the event of his death. In case of the death of the judgment debtor, execution may issue with the same effect as if he were living. Personal property is first levied on. One year is allowed for redemption of real property sold under execution.

XII. EXEMPTIONS:

one

men.

Wearing apparel of judgment debtor and family, also furniture to the value of two hundred dollars; household goods and provisions sufficient for three months; horse, saddle and bridle, two cows with their calves, four hogs and fifty domestic fowls; and feed for such animals for three months. To the farmer: usual personal schedule, and implements of husbandry to the value of six hundred dollars; also seeds, grain and vegetables, actually on hand, not exceeding two hundred dollars in value. Libraries, teams and instruments of professional Mechanics' tools and implements necessary for his trade. Miner's cabin and tools, and sluices not exceeding one thousand dollars in value. thirty days preceding the levy, where necessary Wages of laborer for the support of his family. for or two Teamster's horse, oxen, and cart or mule exceeding one hundred and sixty acres in the country, wagon. Homesteads, not a quarter of an acre if within a town plat, city or village, and in each case limited to two thousand five hundred dollars in value, but a homestead is subject to execution in satisfaction of judgments obtained before the declaration of homestead was filed for record, and which constitute liens upon the premises; also on debts secured by mechanics', laborers' or vendors' liens upon the premises; on debts secured by mortgages on the premises, executed and acknowledged by the husband and wife, or by an unmarried claimant; and on debts secured by mortgages upon the premises, executed and recorded before the declaration of homestead was filed for record.

XIII. HOMESTEAD:

A homestead may be selected and claimed consisting of any quantity of land not exceeding one hundred and sixty acres used for agricultural purposes, and the dwelling house thereon and its appurtenances, and not included in any town plat, city or village; or a quantity of land not exceeding one quarter of an acre, being within a town plat, city or village, and the dwelling house thereon and its appurtenances. In either case, the value of the homestead shall not exceed two thousand five hundred dollars. order to select a homestead, the husband or other head of a family must execute and acknowledge in the same manner as a grant of real property is acknowledged, a declaration of homestead and file the same for record.

In

It must

show that the person making it is the head of the family; and if made by the wife it must state that the husband has not made such declaration and she does it for their joint benefit. It must state that the person making claims them as the premises and cash value. Such

estimate
upon

must describe of their actual being filed

in the office of the

it is residing on the premises and
a homestead. It
give an
declaration
county in which the land is situated, constitutes a home-
stead. Upon the death of either husband or wife, it de-
scends to their heirs or devisees, subject to the use of
the surviving member during his or her life.

XIV. INTEREST AND USURY:

The rate of interest is not fixed or limited in this State, and parties may agree in writing upon any rate to be computed both before and after maturity. sence of any agreement, ten per cent per annum is collectIn the abible on bonds, bills, promissory notes, or other instruments in writing after they become due and on judgments after rendition; also on money lent, money due on settlement of accounts and ascertaining the balance due, on money received for the use of another and retained without the owner's knowledge, and on money withheld by an unreasonable and vexatious delay. In all cases other than

those enumerated, the party seeking to recover interest must show that it was due and that the detention of it was by an unreasonable and vexatious delay, which must be alleged.

XV. JUDGMENTS:

From the time a judgment is docketed it becomes a lien upon all real property of the judgment debtor not exempt from execution, in the county in which said property owned by him is situated, either at the time, or which may afterward and before the lien expires be acquired by him. The lien continues for six years, unless the judgment be previously satisfied. certified by the clerk, may be filed with the District Court Transcripts of the original docket, clerk of any other county, and from the time of filing the judgment becomes a lien upon the property of the judgment debtor in such counties, with like effect and for like time as in the county where the judgment is docketed. XVI. LIENS:

Every mechanic, builder, lumberman, artisan, workman, laborer, or other person, association, partnership, or corporation that shall do or perform any work and labor upon or furnish any material, machinery or fixture for any building, erection, bridge, flume, canal, ditch, mining claim, quartz lode, city or town lot or lots, ranch, railroad, telegraph, telephone or electric light line, gas-pipe or water-pipe line or other improvements, upon complying with the following provisions shall have for his work or labor done, or material, machinery or fixtures furnished, a lien thereon and therefor.

He must within ninety days after the completion of the work file in the office of the county clerk and recorder of the county of the locus of the property a just and true account of the amount due or owing to him after allowing all credits, and containing a correct description of the property to be charged, verified by his affidavit. lien extends to all the interest the person for whom the The said material was furnished or work done has in the property upon which the improvements are made to the extent of one acre if outside of the city limits, and to the whole lot if within said limits.

All liens filed within thirty days of the filing of the first lien shall be liens of the first class, and share pro rata and be first satisfied on foreclosure. All liens filed after said thirty days and within sixty days shall be liens of the second class and share pro rata after the first class liens are satisfied.

All liens for material furnished and work and labor done shall have priority to and precedence over any mortgage, incumbrance or other lien made subsequent to the commencement of the work on any contract for the erection of such building, structure or other improvement.

Every person, including guardians of minors, married women, and any company, association or corporation, not tenants or lessees, for whose use, benefit or enjoyment any building, structure or improvement as heretofore mentioned shall be constructed, repaired or altered, shall be deemed the owner or proprietor thereof for the purposes of the said liens.

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Liens are foreclosed by suit in the District Court, which must be commenced within one year from the filing of the said liens. In case of the death of the employer, the wages of each miner, mechanic, salesman, clerk, etc.. exceeding two hundred dollars in amount and contracted within sixty days preceding such death, rank in priority . next after the funeral expenses, expenses of last ness, the charges and expenses of administering upon the sickestate, and the allowance to the widow and infant children, and must be paid before other claims against the estate of the deceased person. persons other than miners, mechanics, salesmen, servants. In actions against the estate by clerks or laborers, who have claims for labor done, these persons enumerated may give notice of their claims and the amounts thereof, with accompanying affidavit, to the parties plaintiff and defendant in the action. Service may be made in any case before the actual sale of the property

to satisfy the claim in such pending action, and if the claim is not disputed by debtor, creditor or party plaintiff, the officer serving said notice and claim must pay said mechanic, miner, etc., the amount of his claim for services rendered within sixty days next preceding the levy of the writ, not exceeding two hundred dollars. But if said claim is disputed then the person making it must bring suit within ten days after notice of such dispute is served on the claimant, for the recovery thereof.

A homestead is subject to a lien for material furnished as well as for labor.

A reasonable attorney's fee is recoverable as costs against defendants in foreclosure of liens for material or labor.

XVII. LIMITATIONS:

In actions for the recovery of real property, suit must be brought within ten years from the time plaintiff, his ancestor, predecessor or grantor was seized or possessed of the property in question. Actions for dower must be brought within the same time after the death of the husband. No action or defense to an action concerning real property, or rents or profits arising from the same can be effectual unless it is shown that the person prosecuting the suit or making the defense, or his ancestor, predecessor or grantor, was seized of the property within ten years of the commencement of the action. No entry upon real estate is deemed sufficient as a claim unless an action be commenced within one year after such entry, and within ten years from the time when the right to make it descended or accrued. Possession of tenant is deemed to be possession of landlord until the expiration of ten years from the termination of the tenancy. Actions for the recovery of mining claims (lode claims excepted) shall not be maintained unless it appears that the plaintiff or his assigns was seized or possessed of such mining claim within one year before the commencement of the action.

In actions other than for the recovery of real property, the periods for commencing proceedings are as follows:

Within ten years: 1. Upon a judgment or decree of any court of record of the United States, or of any state within the United States. 2. For mesne profits of real property. Within eight years: Upon any contract, obligation or liability founded upon an instrument in writing.

Within five years: 1. Upon a liability created by statute, other than a penalty or forfeiture. 2. For trespass on real property. 3. For taking, detaining or injuring any goods or chattels, including actions for the specific recovery of personal property. 4. For relief on the ground of fraud or mistake; cause of action not to accrue until discovery of the mistake. 5. To establish a will. 6. Upon a judgment or decree rendered in a court not of record.

Within three years: 1. Upon a contract, account, promise, obligation or liability not founded on an instrument in writing. 2. Against a sheriff, coroner or constable upon a liability incurred in the doing of an act in his official capacity, including the non-payment of money collected on an execution, but this does not apply to an action for an escape. 3. To recover damages for the death of one caused by the wrongful act or neglect of another.

Within two years: 1. Upon a statute for a penalty or forfeiture when the action is given to an individual or to an individual and the State, except where the statute imposing it prescribes a different limitation. 2. Upon a statute or upon an undertaking in a criminal action, for a forfeiture to the State. 3. For libel, slander, assault, battery, false imprisonment or seduction.

Within one year: 1. Against a sheriff, or other officer for an escape of a prisoner arrested or imprisoned on civil process. 2. Against a municipal corporation for damages or injuries to property caused by a mob or riot; or by a municipal corporation for the violation of any city ог town ordinance. 3. Against an officer or officer de facto, to recover any goods, wares, merchandise, or other property, seized by any such officer in his official.capacity as tax collector, or to recover the price or value of such goods so seized or to recover damages for their seizure, detention or sale, or for damages done to any person or property in making such seizure. Within six months: 1. Actions to recover stock sold for a delinquent assessment. 2. On claims against a county which have been rejected by a county commissioner. For killing or injuring stock by a railroad company or corporation.

3.

An action for relief not hereinbefore provided must be commenced within five years after the cause of action shall have accrued.

There is a question as to the validity of the enactment adopted March 9th, 1893, as an amendment to the work of the Code Commissioners. It provides, in contravention of the law with reference to right of action within five years, that actions for waste or trespass on real property upon a liability created by statute, other than a penalty or forfeiture: for taking, detaining, or injuring goods or chattels, including actions for the specific recovery of personal property; and actions for relief on the ground of fraud or mistake, the cause of action to accrue at the time of discovery of the mistake, shall be commenced within two years.

The statute does not run while the party is out of the State.

XVIII. MARRIED WOMEN:

Married women may sue and be sued in the same manner as femmes sole. A married woman may be an executrix, administratrix, guardian or trustee, and may bind herself and the estate she represents, without any act or assent on the part of her husband. Her contracts, in respect to her separate property, labor or services, shall not be binding upon her husband, nor render him nor his property liable therefor; but she and her separate property shall be liable on such contracts in the same manner as if she were sole. There is no restriction upon her right to make a will, except she shall not, without the written consent of her husband, deprive him of more than twothirds of her real or personal estate. She is empowered to make contracts, oral or written, sealed or unsealed; and may waive or relinquish any right or interests in any real estate, personally or by attorney, the same as if she were a femme sole. No estate is allowed the husband as tenant by curtesy upon the death of his wife. No estate in the real property of a married woman passes by any grant purporting to be executed or acknowledged, unless the instrument is acknowledged by her in the manner prescribed under "I. Acknowledgments," above.

XIX. MORTGAGES:

Mortgages of real property are acknowledged or proved, certified or recorded, in the same manner and with the like effect as grants. Mortgages, deeds of trust, or assignments for the benefit of creditors, of both real and personal property executed by a corporation, are governed by the law relating to mortgages or deeds of trust of real property, and must be recorded in the office of the county clerk of every county where any part of said property is situated, and the same are valid, notwithstanding the possession of such property is retained by such corporation; but any mortgage deed of trust, or assignment, for the benefit of creditors must be accompanied by an affidavit of all the parties thereto (unless it is a corporation, and then by its president, secretary or managing agent) that the same is made in good faith to secure the amount named therein, and without any design to hinder, delay or defraud creditors, and must be acknowledged and filed.

Chattel mortgages must be signed or acknowledged in the same manner as conveyances of real property, and be accompanied by an affidavit of all the parties that the same is made in good faith, without any design to hinder or delay the creditors of the mortgagor, and to secure the amount named therein. They are good against third persons from the date they are filed of record to the maturity of the indebtedness secured thereby, and sixty days thereafter; provided, the entire time does not exceed one year and sixty days. They may be renewed by an athidavit subscribed and sworn to by the mortgagee, and filed in the office where such mortgage is filed, at or before the maturity of the debt secured thereby, in case the same or any part thereof is not paid; said affidavit showing the date of such mortgage, the names of the mortgagor and mortgagee, the date of filing the same, the amount of the debt secured thereby, the amount owing at the time of such filing, and the time to which the same is extended, which shall not exceed one year.

XX. NOTES AND BILLS:

Every indorser of a negotiable instrument, unless he qualifies his indorsement, warrants to subsequent holders, who are not liable thereon to him, that he has good title, that the signatures of all prior parties are binding on them, and that if the instrument is dishonored, the indorser will on notice, or without notice where it is excused by law, pay the same with interest, unless the indorsement is "without recourse;" or the bill is not presented within ten days after the time it could with reasonable diligence be transmitted to place for presentment; or, if it be a promissory note, on demand or at sight, without interest, it is not presented for payment within six months from date; or, if it be a check, there is delay in presentment, but such indorser is exonerated only to the extent he suffers by the delay.

Presentment must be made if practicable, by the holder to the principal debtor, if he can be found; or, if not, then to some one in charge of the place where presentment should be made. A notice of dishonor may be given by delivering it to the party to be charged, or to his agent, or by transmitting it by mail to his place of residence. Notice of dishonor is excused when the party by whom it should be given cannot, with reasonable diligence, ascertain either the place of residence or business of the party to be charged, or when there is no means of communication between the place of business of the party by whom notice should be given and the town where the party to be charged resides, or when the party to be charged is the same person who dishonors the instrument, or when the notice is waived by the party entitled thereto.

The rights and obligations of the drawer of a bill of exchange are the same as those of the first indorser of any other negotiable instrument. Days of grace are not allowed. Bills must be presented by holder or agent on a business day, within reasonable hours, to the drawee, or if he is absent from his place of business, to some one in charge thereof. The drawee may postpone acceptance until the following day. If the drawee cannot be found,

MONTANA LAWS.

the bill may be protested for non-acceptance. Acceptance must be made in writing by the drawee or by an acceptor for honor, and may be made by the acceptor writing his name across the face of the bill with or without words. Acceptance of the bill admits capacity of the drawee to draw and endorse it, and if written upon the bill it also admits the same to be genuine and binding upon the drawer; but it does not admit the signature of an endorser to be genuine. On dishonor of a bill by the drawee, and in case of a foreign bill, it may be accepted or paid by any person for the honor of any party thereto. The holder of the bill is not bound to allow it to be accepted for honor but is bound to accept for honor. accepted for honor must be presented at its maturity to the A bill which has been drawee for payment, and notice of its dishonor by him must be given to the acceptor for honor in like manner as to an indorser, after which acceptor for honor must pay the bill. If a bill of exchange payable at sight or on demand is not duly presented for payment within ten days after the time in which it could with reasonable diligence be transmitted to the proper place for presentment, the drawer and indorser are exonerated unless such presentment is excused. change is, if it bears interest, one year after its date, and The apparent maturity of a bill of exif it does not bear interest, ten days after its date, in addition to a reasonable time to forward it.

Notice of dishonor of foreign bills can be given only by notice of protest made by a notary public. Notice of protest must be given in the same manner as a notice of dishonor, except it is given by notary. Damages are allowed as compensation for interest, re-exchange, etc., upon bills drawn or negotiated within this State, and protests for non-acceptance or non-payment as follows: If drawn upon a person in this State, $2.00 upon each $100.00, of principal sum mentioned in bill; if upon a person outside of this State, but in the United States, $5.00 on each $100.00; if drawn upon any person in any other place in North America or Europe, $10.00 upon each $100.00; if in any other place, $15.00 upon each $100.00.

XXI. REDEMPTION:

The judgment debtor or redemptioner may redeem any time within one year after the sale, on paying the purchaser the amount of his purchase with one per cent per month thereon in addition, up to the time of redemption, together with the amount of any assessment or taxes which the purchaser may have paid thereon after purchase, and interest on such amount; and if the purchaser be also a creditor having a prior lien to that of the redemptioner, other than the judgment under which such purchase was made, the amount of such lien with interest. The property may be redeemed from any previous redemptioner, within sixty days after the last redemption, on paying the sum paid on the last previous redemption, with two per cent thereon in addition, and the amount of any assessment or taxes which the last previous redemptioner paid after the redemption by him, with interest thereon; and the amount of any liens, other than the judgment under which the property was sold, held by the last redemptioner previous to his own, with interest.

XXII. SUITS:

Practice is under the new code which went into effect July 1st, 1895. Defendant has twenty days within which to appear. If he is a non-resident, evades service, or cannot be found, service may be had by publication.

XXIII. TAXES:

Owners of life estates must pay taxes and other annual charges. Covenants "of warranty" and "for quiet enjoyment," include the covenant, on the part of the grantee, to pay taxes and assessments on the land granted.

XXIV. WILLS:

Every person over the age of eighteen years of sound mind may make a will. A will or any part thereof, procured by menace, fraud or undue influence, may be denied probate, and a revocation secured in the same manner, may be declared void. A testamentary disposition may

be made to any person capable of taking the property so disposed of, but corporations, other than those formed for scientific, literary, or solely educational purposes, cannot take under a will, unless expressly authorized by statute. Every will, except a nuncupative will, must be in writing; and every will, except an holographic will, and a nuncupative will, must be executed and attested by two witnesses. The destruction, revocation or cancellation of a second will does not revive the first will, unless such intent is manifested in the second will.

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and the sites thereof, and lands necessary or useful therefor, or for the industries arising or growing up in connection with the same; of purchasing, holding, laying out, platting, developing, leasing, selling, dealing in, conveying or otherwise using or disposing of town sites or towns, or the lots, blocks or subdivisions thereof, or lots, blocks or subdivisions in any town, village or city; or of carrying on any other kind of business designed to aid in the industrial or productive interests of the country and the development thereof; may make, sign and acknowledge before some officer competent to take acknowledgment of deeds, and file in the office of the clerk of the county in which the business of the company shall be carried on, and a duplicate thereof in the office of the Secretary of State, a certificate in writing, or articles of incorporation, setting forth the name of the corporation, the purpose for which it is formed, the amount of capital stock, the term of its existence (not exceeding forty years), the number of shares of which said stock shall consist, the number of trustees and their names who shall manage the affairs of the corporation for the first three months, and the name of the city, town or locality and the county in which the operations of said company shall be carried on. The articles of incorporation must be subscribed by three or more persons, and acknowledged by each before some officer authorized to take and certify acknowledgments of conveyances of real property. No corporation shall purchase, locate or hold property in any county, without filing a copy of its the office of the county clerk of the county in which such articles of incorporation, in property is situated, within sixty days after such purchase or location is made.

II. POWERS:

Corporations may increase or diminish the amount of capital stock, extend or change their business, or extend their term of existence, provided the trustees thereof publish a notice signed by a majority of them in a newspaper in the county if any shall be published therein, at least six successive weeks, and mail a written notice to each stockholder at his usual place of business at least six weeks before the date for holding such meeting, giving suitable information as to the purpose of such meeting. A vote of at least two-thirds of the shares of stock is necessary to effect any of the enumerated changes.

III. DIRECTORS:

Every corporation within one month after filing its articles of incorporation must adopt a code of by-laws. which must be certified by a majority of the directors and the secretary of the corporation. The corporate powers. business and property of all corporations must be exercised, conducted and controlled by a board of not less than three nor more than thirteen directors, to be elected from the stockholders, or members of the corporation. They must be elected by ballot to hold their offices one year and until their successors are elected and qualified. They must not make dividends except from the surplus profits arising from the business, nor must they divide. withdraw or pay to the stockholders any part of the capital stock; nor must they create debts beyond their subscribed capital stock, or reduce or increase the capital stock, except they may divide and distribute such capital stock as remains after the corporation has paid all its debts, upon its dissolution. For a violation of these provisions, the directors under whose administration such irregularities occur, shall be liable jointly and severally to the corporation and its creditors, in the event of its dissolution, to the full amount of the capital stock so divided, withdrawn, paid out or reduced; or debts contracted. At all meetings each stockholder may vote in person or by proxy.

IV. ANNUAL REPORTS:

an

Every corporation having a capital stock, shall nually before the twentieth of September, make a report which shall state the amount of capital and the proportion thereof actually paid in and the amount of existing debts, which shall be signed by the president, and a majority of the directors including the president, shall be verified by the oath of the president, vice-président or secretary, and shall be published in a newspaper published in the place or near thereto, where the principa office or place of business of the corporation is located and such notice shall also be filed in the office of the clerk of the county wherein such place of business shall be. Failure to so publish and file, makes all the directors jointly and severally liable for all the debts of the corporation then existing or which are thereafter contracted until such report is made. such failure, the director or directors publish and file as But if within ten days afteraforesaid an affidavit stating that the failure was due to no fault or neglect of their own, and stating also that within the twenty days they requested the president and a sufficient number of the other directors to do so, then they are not liable.

V. LIABILITY OF STOCKHOLDERS:

Stockholders are severally and individually liable to the creditors of the corporation to the amount of unpaid stock held by them respectively for all acts and contracts made by the corporation, until the whole amount of

capital stock subscribed for is paid in. No loan of money shall be made by any corporation to any stockholder therein. No one assessment must exceed five per cent of the amount of the capital stock named in the articles of incorporation, except that if the whole capital has not been paid in, and the corporation cannot meet its liabilities, the assessment may be for the full amount unpaid on the capital stock.

VI. CONSOLIDATION:

Upon a two-thirds vote of the capital stock of each of two or more corporations, the boards of directors of such corporations may consolidate their interests, upon such terms as may be agreed upon, but due notice of the proposed consolidation shall be given by publication for one month in a newspaper published in the counties where the corporations shall be.

VII. DISSOLUTION:

Corporations may be dissolved by the expiration of the time limited by their charters, by a judgment of dissolution, or by an act of the legislative assembly. Unless others are appointed by the court, the directors of such corporations at dissolution are trustees of the creditors and stockholders, and have full powers to settle the affairs of such corporations.

VIII. MINING CORPORATIONS:

Mining corporations may establish and maintain agencies in other states of the United States, for the transfer and issuing of stock, and a regular transfer at such agency is as valid and binding as if made within this State. The agencies must be governed by the by-laws and the directors of the corporation. All stock issued at such transfer agencies must be signed by the president and secretary of the corporation and countersigned at issuance by the agent.

The board of directors of any mining corporation, shall not have power to sell, lease, mortgage or otherwise dispose of the whole or any part of the mining ground, quartz mills, smelters, concentrators, etc., of such corporation, without a meeting of the stockholders, notice of which must be sent to each one individually if known, and published in a newspaper in the county in which the principal place of the corporation is situated, for the period of six weeks, notice to appear weekly. If three-fourths of the stockholders, in person or by proxy, appear at such meeting they may proceed to decide the question, and if two-thirds of the shares of the capital stock vote to make the proposed sale, lease or mortgage, then the chairman and secretary of the meeting shall make a certificate showing the total number of shares of stock present, and by whom voted; and the number in favor of and against the proposition. It shall be signed by the chairman and secretary, and verified by their oaths, taken before some officer qualified to administer oaths. Such certificates shall then be spread on the records of the corporation and a copy thereof, duly acknowledged, recorded in the office of the county clerk of every county wherein any of the property affected is situated.

Mining corporations may consolidate as is provided under "VI. Consolidation" above. A certificate of consolidation, however, containing the terms and manner of consolidation, shall be filed in the office of the county clerk of in the county which the original articles of incorporation of any of said corporations shall be filed, and a copy thereof shall be filed in the office of the Secretary of State. Such certificate shall be signed by a majority of each board of directors of the original corporations, and it shall be their duty to call, within thirty days after the filing of such certificate and after at least ten days' public notice, a meeting of the stockholders of all of said mining corporations so consolidated to elect a board of directors for the consolidated mining corporation, for the year then next ensuing.

IX. FOREIGN CORPORATIONS:

All foreign corporations or joint stock companies organized under the laws of this State or of the United States, or of any foreign government, shall, before doing business within this State, file in the office of the Secretary of State, and in the office of the county clerk of the County wherein they intend to carry on business, a duly authenticated copy of their articles of incorporation; and also a statement, verified by the oath of the president and secretary, and attested by a majority of the board of directors, showing the name of the corporation; the location of its principal office or place of business without this State, and if it is to have any place of business or office in this State, the location thereof; the amount of capital stock; the amount of capital stock actually paid in, in money; the amount of its capital stock paid in, in any other way, and in what; the amount of the assets of the corporation and of what they consist, with the actual cash value thereof; and the liabilities, and if any of indebtedness is secured, how secured, and upon what property. All such foreign corporations must file at the same time under their seal, and the signature of their president and secretary, a certificate that said company consents to be sued in the State courts on all causes of action arising against it in this State, and that service II

of process may be made upon some citizen of this State, whose name and residence shall be given in said certificate. Such agent shall reside at the principal place of business of such corporation, and his written consent to act as such agent shall be filed in like manner.

Any foreign corporation commencing business in this State without complying with the foregoing provisions shall forfeit to the State the sum of twenty-five dollars for every day it shall so neglect to file the same, and all contracts made by such company or its agent during the time of such neglect to file such statement, certificate, etc., shall be void at the option of the other party thereto. Such corporation shall semi-annually and within twenty days from the first days of January and July of each year make a report containing the same information as is required upon filing the statement accompanying the articles of incorporation, and file the same in the office of the clerk of the county where the business of the company is carried on, and a duplicate in the office of the Secretary of State. Foreign corporations may within ninety days from the date this act goes into effect, comply with the provisions hereof, and thereafter all contracts previously made shall be valid and enforceable.

MINING.

I. CONSTITUTIONAL PROVISIONS:

Ordinance I. to the State constitution provides that: "The people inhabiting the proposed State of Montana do agree and declare that they forever disclaim all right and title to the unappropriated public lands lying within the boundaries thereof," which includes all mineral lands, and that the same shall be and remain subject to the disposition of the United States, and that lands belonging to citizens of the United States residing without the State of Montana shall never be taxed at a higher rate than the lands belonging to the residents thereof.

Article III, Section 25, provides that "aliens and denizens shall have the same right as citizens to acquire, purchase, possess, enjoy, convey, transmit and inherit mines and mining property and milling, reduction, concentrating and other works and real property necessary for or connected with the business of mining and treating ores and minerals, provided that nothing herein contained shall be construed to infringe upon the authority of the United States to provide for the sale or disposition of its mineral or other public lands."

Article XII, Section 3, provides that "all mines and mining claims, both placer and rock in place, containing or bearing gold, silver, copper, lead, coal or other valuable mineral deposits, after purchase thereof from the United States, shall be taxed at the price paid the United States therefor, unless the surface ground, or some part thereof, of such mine or claim is used for other than mining purposes and has a separate and independent value for such other purposes, in which case said surface ground or any part thereof so used for other than mining purposes shall be taxed at its value for such other purposes as provided by law; and all machinery used in mining and all property and surface improvements upon or appurtenant to mines and mining claims which have a value separate or independent of such mines or mining claims, and the annual net proceeds of all mines and mining claims, shall be taxed as provided by law," and the State legislation follows the constitution and makes the surface ground or any part thereof used for other than mining purposes and the improvements, etc., taxable as personal property. Mining property is not taxable except as above stated, until after final proof and payment have been made for patent. Net proceeds of mines only are taxed.

II. LODE LOCATIONS:

Quartz lode locations can be made only after the discovery on a lead, lode or ledge of a vein or crevice of Said quartz or ore with at least one well-defined wall. locations cannot exceed fifteen hundred feet along the lead or lode in length and three hundred feet on each side of the center thereof in width.

After discovery of quartz lode or placer mine, discoverer must within ninety days make and file for record in the office of the county recorder of the county where such discovery is located, a declaratory statement in writing under oath describing the claim in the manner provided by the laws of the United States.

III. ANNUAL REPRESENTATION:

The annual representation is shown by making and filing with the county clerk and recorder within twenty days after the work is done, an affidavit showing:

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1. The name and situation of the lode. 2. The number of days work done and the character and value of the improvements placed thereon. 3. The date or dates of performing said labor and making said improvements. At whose instance and request said work was done or improvements made. 5. The actual amount paid for said labor and improvements, and by whom paid, when the same was not done by the owner or owners of said quartz claim.

The affidavit so filed is made prima facie evidence of the facts therein stated,

IV. TUNNEL RIGHTS:

Section 2323, Title XXXII, Chapter 6, Mining Laws, Revised Statutes of the United States, and Paragraph 20, Administrative Regulations, following.

V. RIGHT OF WAY:

The proprietors or owners of mining claims, whether patented under the laws of the United States or held under the local laws and customs of the State, have a right of way under the statute for ingress and egress for necessary purposes over and across the lands or mining claims (patented or otherwise) of others, whenever any mine or mining claim is so situated that it cannot be conveniently worked without a road thereto, or a ditch or a cut to convey the water therefrom, or without a flume to carry water and tailings therefrom, or without a shaft or a tunnel thereto, upon the payment of such damages as shall be assessed by a committee of three who are appointed by the court to assess the damages resulting from such right of privilege.

VI. MILL-SITES:

Mill-sites are located under Section 2337, Title XXXII, Chapter 6, Revised Statutes of the United States, and patented in accordance therewith.

VII. COURT DECISIONS:

The following questions have been passed upon by the Supreme Court and are stare decisis in Montana:

The rights of an adverse claimant are forfeited if he fails, within the time prescribed by the statutes, either to file, his adverse claim in the United States land-office or to institute suit in the proper court to decide the same. A declaratory statement to a mining claim should be sworn to or it will be invalid; and an affidavit to a notice

of location which does not state or refer to the date of location is insufficient.

Valid possession of the surface of a lode claim carries the right to and constitutes a possession of veins, lodes or ledges whose tops or apexes are within such surfacelines.

In the language of miners a lode is a vein containing ore; veins are narrow plates of rock intersecting other rock and are the fillings of cracks and fissures. Placers are superficial deposits which occupy the beds of ancient rivers or valleys. In the case of the crossing of veins the prior locator is entitled to all the ore within the space of intersection, but a subsequent locator has a right of way through the same.

The rules and customs of any particular mining district which are reasonable constitute the American common law on mining for precious metals.

A failure to do the representation work on a quartz lode as required by the United States statutes operates as a forfeiture and subjects the claim to re-location, but this forfeiture may be avoided by a bona fide resumption of work before a re-location has been actually made. Representation under the Act of Congress of 1872 is a muniment of title.

A location must be distinctly marked upon the ground so that its boundaries can be readily traced.

The first locators of placer mining ground have no right by custom or otherwise to allow tailings to run free in a gulch and thereby render other claims valueless. They may, however, work their ground with reasonable care, and injuries resulting to other locators would be damnum absque injuria.

A patent to a mining claim being based upon an adjudication of the land department of the United States as to patentee's right thereto, and such adjudication having the effect of a final judgment, is as a rule, conclusive proof of discovery, marking boundaries and the performance of all the requirements necessary to constitute a valid location.

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There is but one form of action called a civil action. Actions to recover damages for trespass upon or injury to real estate, the partition of real property, or for the sale of real property under a mortgage, lien or other incumbrance or charge, shall be brought only in the county where the real estate affected is situated, and if this be an entire tract and situated in two or more counties the action may be brought in either of such.

Actions for the recovery of a fine, forfeiture or penalty imposed by statute, against a public officer for an act done by him by virtue of or under cover of his office or for neglect of his official duty, on the official bond or undertaking of a public officer, shall be brought in the county where the cause or some part thereof arose.

An

action against a corporation is brought in the county in which it is situated or has its principal place of business. but in the case of insurance companies it may be brought where the cause of action arose, and against railroad. stage and turnpike companies an action may be brought in any county through or into which the said road or line passes. An action against a non-resident of the State or a foreign corporation may be brought in any county in which there may be property of or debts owing to said defendant or where the defendant may be found; but if the defendant be a foreign insurance company, then the action may be brought in any county where the cause or any part thereof arose. Every other action must be brought in the county in which the defendant or some one of the defendants resides or may be summoned.

Actions are commenced in the District Court and in the County Court, where the claim exceeds two hundred dollars, by the filing of a petition on which summons issues. The other pleadings in their order are the answer or demurrer by the defendant, the demurrer or reply by the plaintiff, the demurrer to the reply by the defendant.

Actions are commenced in the Justice Court and in the County Court where the amount claimed is two hundred dollars or less by the filing of a bill of particulars and the issuing of a summons thereon.

II. ALIENS:

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It is a constitutional provision that "no distinction shall ever be made by law between resident aliens and citizens in reference to the possession or descent of property." Persons of foreign birth having declared their intention to become citizens conformably to the naturalization laws of the United States thirty days prior to an election and who have resided within the State months, in the county forty days and in the precinct, township, or ward ten days are qualified electors. Non-resident aliens and corporations not incorporated under the laws of the State are prohibited from acquiring title to or holding real estate in the State by descent, devise, purchase or otherwise, with the following exceptions: The widow and heirs of aliens who have acquired lands prior to the passage of the act taking effect March 16th, 1889, may hold such lands by devise or descent for the period of ten years and no longer. If at the end of such time any such lands so acquired have not been sold to a bona fide purchaser for value or such alien heirs have not become residents of the State they shall revert and escheat to the State. 2. Any non-resident alien owning land in the State at the time of the taking effect of this act may dispose thereof during his life to bona fide purchasers for value and may take security for the purchase money with the same rights as a citizen of the United States. 3. The holders, whether they be nonresident aliens or corporations not incorporated under the laws of Nebraska, of liens upon real estate or any interest therein, whether acquired before or after the act

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