contained in the original articles of association, may advance to any member thereof, for such premium as may be agreed upon, the sum which he would be entitled to receive upon the dissolution of the corporation, or the maturity of the series to which he belongs, when said corporation has more than one series of stock, for any number of shares therein held, or may purchase from any member thereof the share or shares of stock held by him, at such price or sum as, according to the articles of association, such member may agree to receive, or instead of receiving the whole amount of said premium (in advance or deducting the whole amount of said premium) from the amount of said advance, the borrower may pay the same in weekly, monthly or such other instalments as may be agreed upon; and on payment of said sum of money, may receive from such member security as mentioned in the next succeeding section of this article, for the payment by such member to such corporation of the unpaid instalments and unpaid premiums, to be paid on the share or shares of stock so sold or redeemed, together with interest at the rate of six per centum per annum on the sum so paid or advanced, at such times and subject to such fines and penalties for the non-payment thereof as may be prescribed in the articles of the association or in the by-laws, and such corporation shall have power to issue full paid-up shares of stock to its members upon such terms as may be set forth in its by-laws.

Oak Cottage v. Eastman, 31 Md. 556. Davis v. West Saratoga Bldg. Ass'n, 32 Md. 285. Williar v. Balto. Butchers' Ass'n, 45 Md. 546. St. Peter's Bldg. Ass'n v. Jaecksch, 51 Md. 198. Border State Bldg. Ass'n v. McCarthy, 57 Md. 560. Faust v. Building Association, 84 Md. 190. Comm'l Asso. v. Mackenzie, 85 Md. 142-3. Salisbury Asso. v. Wicomico Co., 86 Md. 619. White v. Williams, 90 Md. 725. Washington Bldg. Asso. v. Andrews, 95 Md. 699.

Ibid. sec. 99. 1868, ch. 471, sec. 88. 1880, ch. 351. 1894, ch. 321.

1904, ch. 240.

126. The payment of the unpaid instalments and the premium agreed upon for each share, and also all fines, assessment with interest on the money paid therefor as aforesaid, and all fines and penalties incurred in respect thereof by any member, shall be secured to such corporation by mortgage on real or

leasehold property, or by the hypothecation of stock of such corporation held by such member, as may be provided in the articles of association or by-laws; but in case of hypothecation of stock, no greater sum of money shall at any time be drawn out by any member than shall have been already paid in by him on all his shares at the time of such hypothecation and any such mortgage and the mortgage debt created thereby, and the shares of stock of any corporation, and of all building associations, are declared to be exempt from taxation to the extent of the investments of such corporation in mortgages, whether said mortgages be building association mortgages or ordinary mortgages, the property so mortgaged to the corporation being taxed in the hands of the mortgagor.

Robertson v. The American Homestead Ass'n, 10 Md. 397. Oak Cottage Building Ass'n No. 2 v. Eastman, 31 Md. 556. Pentz v. Citizens' F. I. S. & L. Co., 35 Md.. 73. Shannon v. The Howard Mutual Building Ass'n of Balto., 36 Md. 383. Lord v. Essex Building Ass'n No. 4, 37 Md. 320. Lister v. Log Cabin Building Ass'n 38 Md. 115. Monumental Permanent Building Society v. Lewin, 38 Md. 445. Emory v. State, 41 Md. 38. Williar v. Balto. Butchers' Ass'n, 45 Md. 546. Appeal Tax Court v. Rice, 50 Md. 314. Middle States Co. v. Mattress Co., 82 Md. 513. Comm'l Asso. v. Mackenzie, 85 Md. 142-3. Wicomico Co., 86 Md. 619-620.

Salisbury Asso. v.

1888, art. 23, sec. 100. 1868, ch. 471, sec. 89.

127. On the trial of any action or other proceeding at law or in equity, in which the property or interest of any such corporation may be in anywise concerned, any member of such corporation shall be a competent witness, and shall not be objected to on account of any interest he may have as such member, in the result of any such action or proceeding. Downs v. Md. & Del. R. R. Co., 37 Md. 100.

Ibid. sec. 101. 1868, ch. 471, sec. 90.

128. Any association of persons which may have been organized or established at any time prior to the adoption of this article, on being made a body corporate, under the provisions of this article, shall become merged in such corporate body thereby created; and every act done or to be done by any such unincorporated association of persons, relating to the

ends and purposes of such association, and all mortgages, bonds or other instruments, made to such association of persons, or to any person or person to or for the use of such association of persons, or any member thereof as such, shall remain and continue in full force and virtue at law and in equity, in like manner as if such incorporated association of persons had originally been a body corporate.

1888, art. 23, sec. 102. 1868, ch. 471, sec. 91.

129. Any trustee or trustees, person or persons, to whom any such conveyances shall have been made to and for the use of such incorporated association, may be required to assign and transfer the same to such corporation, and such conveyances shall be as good and sufficient as if made to such corporation; and all the liabilities and obligations of, by and between the members of such incorporated association of persons shall remain of as binding force or effect as if such association had been incorporated from the first.

Ibid. sec. 103. 1868, ch. 471, sec. 92.

1872, ch. 178. 1904, ch. 239.

130. The provisions of the eight foregoing sections shall be taken and held to apply to corporations which have been or may be hereafter formed in this State, under the provisions of this article, or under the provisions of any Acts of Assembly, for the purpose of loaning money on real or personal property, or for buying, selling, leasing or otherwise dealing in land, and such corporation may, by their by-laws, provide for the payment of all or any part of their stock in advance, and shall have the power to enforce the payment of all dues, legal interest or premium due to such corporation from its members, stockholders or borrowers by such fines or forfeitures as the directors may from time to time provide in its by-laws; and it shall and may be lawful for any of the corporations mentioned in this section, at any time, either before or after the shares of its stock shall have been fully paid up, to redeem or purchase the same at such sum or price as such member may agree to receive therefor, or to loan to such member the par value of its shares as fixed by its certificate of incorporation for any number of

shares then held by such member or borrower, and either to deduct such premium or bonus as may be agreed upon between the corporation and the member or borrower, and either to deduct such premium or bonus in advance, or to make the same payable with and as a part of the weekly dues in each and every week during the period of such loan, and in the payment of such sum of money by such corporation, then to receive from such member a transfer of all his or her interest in such share or shares of its stock, and also security by way of mortgage on real or personal property; or by the hypothecation of unredeemed shares of its stock so sold by such member; and said mortgage or hypothecation shall be conditioned for the repayment by such member or borrower to said corporation of the money loaned or advanced to him in weekly instalments, including dues, legal interest on the money so advanced or loaned, the weekly premium agreed upon for each share, and also all fines, assessments and penalties incurred according to the bylaws in respect thereof; and all shares of stock so redeemed, advanced or loaned or purchased by such corporation shall be considered as redeemed shares, and shall be cancelled; and it shall be lawful for such corporation to issue an equal number of new shares in their stead, so that the number of unredeemed shares may always equal and never exceed the number of shares fixed by the certificate of incorporation of such corporations; and the member or members of such corporations so redeeming their said share or shares of stock shall cease to be stockholders, and shall not be entitled to vote at any meeting of such corporations held for the purpose of electing directors or for any other purpose, and shall not be eligible for any of the offices of the corporations.

Franz v Teutonic Bldg. Ass'n, 24 Md. 259. Windsor v. Bandel, 40 Md. 172. McCahan v. Columbian Bldg. Ass'n of East Balto. No. 2, 40 Md. 226. Balto. Permanent Building and Land Society v. Taylor, 41 Md. 409. Emory v. State, 41 Md. 38. Citizens' Sec. and Land Co. v. Uhler, 48 Md. 455. Appeal Tax Court v. Rice, 50 Md. 314. Geiger v. 8th German Bldg. Ass'n, 58 Md. 570.

1888, art. 23, sec. 104. 1868, ch. 471, sec. 93. 1878, ch. 154. 131. It shall not be lawful for any land company, homestead or building association, or any association formed for

the purpose of lending money, or using the corporate funds for the purpose of buying, selling, lending upon mortgage, leasing or otherwise dealing in real or leasehold estate, to issue any promissory note, bill or obligation of any kind to any member thereof, or borrow therefrom in lieu of money, and all loans by such corporation shall be made in money and not otherwise, and all notes, bills or obligations of any sort issued by any such association to or for the use or benefit of any member or borrower in lieu of money, and all deeds, mortgages or other securities whatsoever, given to secure the same, shall be void and of no force and validity whatever, either in law or equity.

Davis v. West Saratoga Bldg. Ass'n, 32 Md. 285.

CEMETERY COMPANIES.

1888, art. 23, sec. 105. 1868, ch. 471, sec. 79.

132. No cemetery company formed under the provisions of this article shall be authorized or empowered to purchase, hold or use, for the purpose of burial, more than one hundred acres of land, nor any ground that shall be comprised within the limits of any city or town in this State, unless the corporate authorities of said city or town shall authorize the same.

Ibid. sec. 106. 1868, ch. 471, sec. 80. 1880, ch. 185.

133. No lanes, alleys, streets, roads, canals or public thoroughfares of any sort shall be opened through the property of any cemetery company incorporated under the provisions of this article, which is used or appropriated for the purpose of burial; but nothing herein contained shall authorize any such corporation to obstruct any public road, street or lane actually opened and used as such at the time of its incorporation, or then laid down on any plat made by authority of the State or city, town or county, to be opened as a street or road; provided, that no cemetery company, incorporated under the provisions of this article, shall establish, have or maintain for the purpose of burial any ground within the distance of one thousand yards from any boundary line of Druid Hill Park,