As Passed at a General Meeting of Shareholders held at the Crystal Palace Buildings, Christchurch, on 3rd April, 1873.
As to Rule XV. that paragraphs 3, 5, 8, and Table B shall not apply to any mortgages given and executed after the First day of May, 1873, but in lieu thereof the following provisions shall be applicable. Whenever any loan to a Shareholder
Entrance Fees refunded on loan being completed.
shall be completed, the entrance fees paid in respect of the share or shares for which such loan has been granted shall be refunded.
Board may advance less than £50.
The Board of Directors may, in their discretion, advance to any borrowing member any sum less than Fifty pounds, and in any such case the share on which such advance is made shall be considered to be fully realized, and the amount of the advance and interest shall be repaid by instalments bearing the same proportion to the instalments set out in Table C, as the sum advanced bears to Fifty Pounds—where in calculating such proportion fractions of a penny occur, a penny shall be paid instead of the fractional part.
Fines to accrue on any such share shall remain the same as if the whole sum of Fifty Pounds had been advanced.
Directors to give publicity of money for investment.
When the Board of Directors shall consider it necessary, they shall give publicity to the amount of money at their disposal for investment, and the same shall be offered to the Shareholders in the order in which their applications are numbered. Each applicant shall give to the Manager a schedule, setting forth his name, the amount required by him,
Application for same how to be made.
full particulars of the nature and situation of the property offered as security, and at what rate per share per month, per three months, or per six months, he desires to repay to the Association the principal and interest of such loan; and on such application being granted in full or in part, then he shall commence at the next monthly pay-day subsequent to such application, or if the payments are three-monthly or six-monthly, then he shall commence at the next quarterly or
half-yearly pay-day as next hereinafter provided, as the case may be, to pay such sum per share per month, per three months, or per six months, as may be agreed upon; and such payments shall be made by such applicant whether his mortgage shall have been executed or not, in terms of subjoined Table C, which table shall be considered as forming part of these Rules. Provided that in the case of re-payments by quarterly or half-yearly instalments, if the first quarterly or half-yearly payment shall fall due within the period of three or six months from the date of such loan being completed, then the borrower shall be allowed interest at the rate of £6 per centum per annum, upon the amount of such first payment for a period of time to be calculated from the quarterly or half-yearly pay-day next preceding the date of the loan being completed up to the monthly pay-day next preceding such completion.
Every borrowing Member omitting to pay any instalments
Borrowing members' fines.
of principal and interest money, shall be fined for each share as follows:—
And for every succeeding monthly pay-day over which such default shall continue the additional sum of 6s.
That all three-monthly payments shall fall due upon the
Three-monthly and half yearly payments, when due.
first Tuesday in March, June, September, and December in each year, and half-yearly payments on the first Tuesday in June and December in each year respectively.
The mortgage to be given by the member shall provide
that in case the said member shall at any time thereafter fail, neglect, or refuse for three monthly pay-days, if such moneys
are repayable monthly, or if repayable by three-monthly or six-monthly payments, for one month after any such periods of payment, to pay, observe, and perform all or any of the subscriptions, payments, and regulations on his part respectively to be paid, observed, and performed, the Board of Directors for the time being shall have power, on behalf of the said Association to appoint the Manager, or any other
Manager to collect rents, &c.
person or persons, to collect the rents and profits of the premises in such mortgage mentioned, and to charge for such collection, whether by the Manager or otherwise, a commission at the rate of £5 per cent, if the rent be payable quarterly or at longer periods, or £7½ per cent, if payable monthly, or £10 per cent, if payable weekly. And the Board of
Power of sale, &c., in default.
Directors shall have the power, after default in payment of such subscriptions and payments for three months after any of the periods upon which such payments should have been made in the case of monthly payments; and after such default for one month in the case of three-monthly or six-monthly payments, or on the breach of any covenant on the mortgagor's part in any mortgage expressed or implied, whether the Board of Directors shall have entered into the receipt of the rents and profits of any such mortgaged property or not, and without entering into the receipt of such rents and profits, and without the consent or concurrence of the said mortgaging member, absolutely to sell and dispose of the said mortgaged premises by public auction or private contract, upon the condition that the purchaser or purchasers shall pay as and for the purchase money of any such property a certain payment in accordance with Table C (to be fixed and determined by the Board of Directors), until the full amount due to the Association on such property be paid; or to make any arrangement with any member whose property shall be liable to be sold for his retention thereof, and for the cessation of all fines upon subscription and redemption moneys, fines, insurance premiums, and other payments then due and in arrear at the time of such arrangement or thereafter to become due to the Association; or to sell and dispose of the same, in one or more lots, by public auction or private contract, or partly in one way and partly in the other, at one or more time or times, and subject or not to special conditions as to title or evidence of title, or the time or mode of payment of the purchase money, or otherwise, as the Board of Directors shall think fit, and to receive the money arising therefrom; and at any sale by public auction the Board of Directors, or any one of them, or some other person to be appointed by them in writing, may bid for and buy in the said mortgaged premises on behalf of the
Association, and re-sell the same by public auction or private contract, without being answerable for any loss to be occasioned by such re-sale; and out of the moneys to arise from such collection of rents and profits of sale as aforesaid, the Board of Directors shall, in the first place, discharge all costs, charges, and expenses which shall or may be incurred in or account of the collection of the rents and profits of the said mortgaged premises, or the sale or attempted sale or sales thereof, or in anywise relating to the exercise of the powers in the said mortgage; and, in the next place, shall retain and reimburse the said Association all such principal money, subscriptions, fines, and other payments as shall be then due, owing, and payable by such member, under and by virtue of these Rules or the said mortgage, and shall pay the surplus (if any) to the said member, or as he shall appoint. And that the receipt of the Board of Directors or Manager of the said Association shall be a sufficient discharge to all tenants and purchasers paying any moneys to the Board of Directors or Manager, without their being accountable for the misapplication or non-application thereof. And that no purchaser or purchasers shall be bound to inquire into the propriety or regularity of any such sale or sales, nor whether any such default shall have been made. And that until the said mortgaged premises shall be so sold and conveyed, the Board of Directors shall have full power to let and demise the same or any part thereof for such term of years, at such rent, and upon such conditions of re-entry, as they shall think fit.
Table D illustrates how much of each monthly payment per share of £50 is applied in reduction of loan.
Showing Borrower's Repayments per Share of £50—Principal and Interest included.
Table D.—Showing how much of each Monthly Payment per Share of £50 it applied in reduction of loan
For Quarterly Payments three times the above amounts.
For Half Yearly Payments six times the above amounts.