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hearing may be given to the parties in interest by a brief written statement in ordinary terms of the date, place, and nature of the injury upon which the claim for compensation is based.

SEC. 25. Both parties may appear at any hearing, either in person or by attorney or other accredited representative, and no formal pleadings shall be required, beyond such informal notices as the commission shall approve. In all cases and hearings under this act the commissioner shall proceed, so far as possible, in accordance with the rules of equity. He shall not be bound by the ordinary common law or statutory rules of evidence or procedure, but may make inquiry in such manner, through oral testimony or written and printed records, as is best calculated to ascertain the substantial rights of the parties and carry out justly the spirit of this act. No fees shall be taxed or charged to either party by the commissioner in connection with any hearing or other procedure, but the commissioner may and shall furnish at actual cost certified copies of any testimony, award, or other matter which may be of record in his office. Witnesses subpœnaed by the commissioner shall be allowed such fees and traveling expenses as are allowed in civil actions, to be paid by the party subpoenaing said witnesses.

Conduct of

hearings.

SEC. 26. As soon as may be after the conclusion of any hearing the Awards. commissioner shall send to each party a written copy of his finding and award and shall file a third copy in his office. The original award shall be filed in the office of the clerk of the superior court for the county in which the injury occurred. If no appeal from his decision is taken by either party within ten days thereafter said finding and award shall be final and may be enforced in the same manner as a judgment of the superior court. The superior court is hereby authorized to issue execution upon any uncontested or final award of a commissioner in the same manner as in cases of judgments rendered in the superior court.

SEC. 27. At any time within ten days after entry of such finding and Appeals. award by the commissioner either party may appeal therefrom to the superior court for the county in which the injury was sustained. The clerk of said court shall notify the adverse party of such appeal. No bond for prosecution shall be required on any such appeal unless property of the defendant is attached therein. Actions brought into the superior court under the provisions of this section shall be privileged in respect to their assignment for trial over all other actions except writs of habeas corpus and actions brought by or on behalf of the State, including informations on the relation of private individuals. No costs shall be taxed in favor of either party on any such appeal.

SEC. 28. Whenever he deems it just or necessary the commissioner Commutation may approve or direct the commutation of weekly compensations under into lump sums. this act into monthly or quarterly payments, or into a single lump sum. In any such case of commutation, a true equivalence of value shall be maintained, with due discount of sums payable in the future; and when commutation is made into a single lump sum, the commissioner may direct that it be paid into any savings bank, trust company, or life insurance company which is authorized to do business within this State, to be held in trust for the beneficiary or beneficiaries under this act, and paid out in conformity with the provisions of this act.

SEC. 29. With the approval of the State insurance commissioner any employer subject to the provisions of Part B may enter into an agreement with his employees to provide a system of compensation, benefit, and insurance in lieu of the compensation and insurance provided by this act. No such substitute system shall be approved unless it confers benefits upon injured employees at least equivalent to the benefits provided by this act, nor shall any such substitute system be approved which contains an obligation of employees to join in it as a condition of employment, or which in that case does not contain equitable provision for the withdrawal of employees from it and the distribution of its assets. If any such system requires contributions from employees it shall not be approved unless it confers benefits in addition to those provided under this act at least commensurate with such contributions. The insurance commissioner, having given his approval of such substitute system, shall have over it all the jurisdiction given him by chapter 186 of the public acts of 1909 over insurance companies. He may withdraw his approval upon reasonable notice to the employer

Substitute

schemes.

Guarantee payments.

of

Contents of in

and order a distribution of the assets, subject to the right of any party in interest to take an appeal to the superior court for Hartford County. SEC. 30. Every employer subject to Part B who shall not furnish to the commissioner satisfactory proof of his solvency and financial ability to pay directly to injured employees or other beneficiaries the compensation provided by this act, shall insure his full liability under Part B in one or both the following ways. (1) By filing with the insurance commissioner in form acceptable to him security guaranteeing the performance of the obligations of this act by said employer; or, (2) by insuring his full liability under Part B of this act in such stock or mutual companies or associations as are or may be authorized to take such risks in this State, or by such combination of the abovementioned two methods as he may choose, subject to the approval of the insurance commissioner.

SEC. 31. Every policy insuring the payment of compensations under surance policies. this act shall contain a clause to the effect that as between the employee and the insurer notice and knowledge of the occurrence of injury by the insured shall be deemed notice and knowledge by the insurer, that jurisdiction of the insured for the purposes of this act shall be jurisdiction of the insurer, and that the insurer shall in all things be bound by and subject to the findings, judgments, and awards rendered against such insured.

To cover liability.

full

SEC. 32. No policy of insurance against liability under Part B of this act, except as provided in section thirty, shall be made unless the same shall cover the entire liability of the employer thereunder and shall contain an agreement by the insurer that, in case the insured shall become insolvent or be discharged in bankruptcy during the period that the policy is in operation, or the compensation, or any part of it, is due and unpaid, or in case an execution upon a judgment for compensation is returned unsatisfied, an injured employee, or other Employee's person entitled to compensation under this act, may enforce his claim to compensation against the insurer to the same extent that the insured could have enforced his claim against such insurer had he paid compensation.

rights.

Waivers forbid

den.

Minors.

Fees.

Status of benefit payments.

Payments.

Notice.

Duty of town clerks.

Interstate com

merce.

SEC. 33. No contract, expressed or implied, no rule, regulation, or other device, shall in any manner relieve any employer, in whole or in part, of any obligation created by this act, except as herein set forth. SEC. 34. When any employee affected by the provisions of this act, or any person entitled to compensation hereunder, shall be a minor, or mentally incompetent, his parent, or guardian duly appointed, may, on his behalf, perform any act or duty required or exercise any right conferred by this act with the same effect as if such person was legally capable to act in his own behalf and had so acted.

SEC. 35. All fees of attorneys, physicians, or other persons for services under this act shall be subject to the approval of the commissioner.

SEC. 36. All sums due for compensation under this act shall be exempt from levy, attachment, and execution and shall be nonassignable before or after award. The rights of compensation granted by this act shall have the same preference against the assets of an employer as may be allowed by law to a claim for unpaid wages.

SEC. 37. Compensations payable under this act shall be paid at such particular times in the week and in such manner as the commissioner may order, and shall be paid directly to the persons entitled to receive them unless the commissioner, for good reason, shall order payment to those entitled to act for such persons.

SEC. 38. Any notice under this act required to be served upon employer, employee, or commissioner may be served in the manner prescribed in section three of Part B of this act, unless the circumstances of the case or the rules of the commission shall direct otherwise.

SEC. 39. The town clerks of the several towns are hereby authorized and directed to receive from the commission such blank forms as may be prepared for use under this act and to distribute the same to persons making proper application for them.

SEC. 40. This act shall not affect the liability of employers to employees engaged in interstate or foreign commerce, for death or injury in case the laws of the United States provide for compensation or for liability for such death or injury.

SEC. 41. The provisions of this act shall not apply to injuries or actions brought on account of injuries sustained before January 1, 1914.

Prior injuries.

Failure to ob

SEC. 42. Any employer who has accepted Part B of this act and who thereafter fails to conform to any of the provisions of section thirty of serve act. Part B, shall thereby forfeit all benefits thereunder and shall be liable as if he had not accepted the same. Any such employer who shall fail to conform to any of the other provisions of Part B shall be fined not more than one hundred dollars for each offense.

SEC. 43. "Commissioner" shall mean that compensation commissioner, as constituted in this act, who has jurisdiction in the matter referred to in the context. "Commission" shall mean the five commissioners, or a majority of them, acting as a board. "Dependents" shall mean members of the injured employee's family or next of kin who were wholly or partly dependent upon the earnings of the employee at the time of the injury. "Employee" shall mean any person who has entered into or works under any contract or service or apprenticeship with an employer. "Employer" shall mean any natural person, corporation, firm, partnership, or joint stock association, the state, and any public corporation within the State using the services of another for pay; it includes also the legal representative of any such employer. Masculine terms include males, females, and legal persons. Outworker" shall mean a person to whom articles or materials are given to be treated in any way on premises not under the control or management of the person who gave them out. As the natural interpretation of the context may require, singular terms may be taken to include the plural, and plural to include the singular.

Definitions.

SEC. 44. In case any provision of this act shall be held by the courts Unconstitu to be unconstitutional and invalid, the invalidity of such provision tionality of single provisions. shall not affect any other provision which can be given effect without the provision held invalid

PART C. EMPLOYERS' MUTUAL INSURANCE.

Mutual associetions authorized.

SECTION 1. With the approval of the insurance commissioner, employers who have accepted the provisions of Part B of this act and are bound to pay compensations to their employees thereunder, may associate themselves, in accordance with the law for the formation of corporations without capital stock, for the purpose of establishing and maintaining mutual associations to insure their liabilities under this act, but no such association shall be formed to include employers not in the same or similar trade or business, or in trades or businesses with substantially similar degrees of hazard of injury to employees. SEC. 2. With a view to his approval, the insurance commissioner may To be approved. require the incorporators of any such association to include in their proposed certificate of incorporation such lawful provisions for the regulation of the affairs of the association and the definition of its powers and the powers of its officers, directors, and incorporators as shall satisfy him that it is well designed and wisely adapted to its proposed purposes. When such a certificate, in form and substance acceptable to the insurance commissioner, has been approved by and filed with the secretary of the State, the incorporators shall forthwith cause copies thereof to be filed in the offices of the insurance commissioner and each of the compensation commissioners.

SEC. 3. Membership in such associations shall be limited to such Membership. employers as are subject to Part B of this act, and each association shall have power, by appropriate by-laws, to provide for the admission, suspension, withdrawal, or expulsion of members.

SEC. 4. Except as herein otherwise provided, such associations shall be subject to the same regulation and control as is or may be imposed by law upon other corporations or associations taking similar risks in this State, and over them the insurance commissioner shall have all the jurisdiction given him by chapter 186 of the public acts of 1909 over insurance companies.

SEC. 5. No policies shall be issued by any such association until members in such numbers and with such numbers of employees as the insurance commissioner may decide will give a fair diffusion of risks shall have obligated themselves to take policies immediately upon their

Control.

Policies to issue.

when.

Officers.

Votes.

Rules for safety.

Premiums.

Assessments.

Funds.

By-laws and regulations.

Appeals.

authorization, nor shall any policies be issued except such as the insurance commissioner shall have approved as conforming in all respects to the requirements of this act. Conformably to the provisions of section thirty of Part B of this act, policies may be issued covering claims only in excess of a certain amount. If at any time, by the retirement of members, reduction of numbers of employees, or other cause, the membership of any association shall appear to the insurance commissioner no longer to afford a fair diffusion of risks, he may suspend or forbid the further issue of policies until the former conditions of the association have been restored.

SEC. 6. The affairs of all associations incorporated under this act shall be managed by such officers and directors as may be chosen in manner prescribed by the by-laws of the association, provided every member shall be entitled to cast at least one ballot in all elections and votes, that any member having had for six months an average of more than one hundred and not more than five hundred employees to whom he is bound to pay compensation under this act shall be entitled to cast two ballots, that each additional five hundred employees shall entitle such member to an additional ballot, and that no member shall be entitled to cast more than eight ballots.

SEC. 7. Each association shall have power to prescribe and enforce reasonable rules for safety regulations on the premises of its members, and for that purpose, its inspectors shall have free access to all such premises during regular working hours.

SEC. 8. Each association shall have power to determine the comparative premium rates for each occupation or risk insured by it and to prescribe rates of cash premiums sufficient to cover the current cost. Said premium rates shall prevail for the fiscal year of the association, but annually they may be changed at any time by the directors. The current cost herein specified shall be such an amount as is estimated to cover the expenses and the claims or portions of claims payable within the same fiscal year within which they originated. Members of each association shall be required to pay yearly in advance cash premiums for current costs, and in addition thereto an amount in negotiable notes sufficient to maintain a reserve equal to that required of stock or commercial casualty companies by the general statutes for similar classes of risks. These notes shall be payable on the call of the treasurer of the association, as they may be required to meet estimated losses or expenses in excess of the current cost or to meet claims covering losses not payable within the same fiscal year within which the claim originated. The directors may, in their discretion, fix rates of interest on either notes or balances.

SEC. 9. If an association is not possessed of funds sufficient for the payment of incurred losses and expenses, it shall make an assessment for the amount needed to pay such losses and expenses, upon the members liable to assessment therefor, in proportion to their several liabilities.

SEC. 10. The funds of each association shall be invested by the directors in the same classes of securities and in the same manner in which the funds of domestic life insurance companies are by law required or permitted to be invested.

SEC. 11. Each association shall have power to determine the premiums, contingent liabilities, assessments, penalties, and dividends of its members, and to enforce, or administer the same without the limitations imposed upon corporations without capital stock by section ninety of chapter 194 of the public acts of 1903. It shall also have power to make and amend by-laws or regulations not inconsistent with its certificate of incorporation for the prompt, economical, and safe conduct of its affairs. All by-laws and regulations of each association shall be filed with the insurance commissioner, and shall be subject to his approval. If not disapproved by him, they shall go into effect thirty days after filing, or at such later date as may be indicated in the by-laws or regulations.

SEC. 12. From any decision or order of the insurance commissioner affecting any association, such association shall have the right of appeal to the superior court of Hartford County.

GENERAL PROVISIONS.

SECTION 13. All acts and parts of acts inconsistent with any provision Repealer. of this act are hereby repealed to the extent of such inconsistency.

SEC. 14. So much of this act as directs the appointment of compensation commissioners and authorizes the formation of employers' mutual insurance associations shall take effect upon its passage; so much as empowers the commission to adopt and publish rules, procedure, and forms shall take effect October 1, 1913; all other provisions of this act shall take effect January 1, 1914.

Approved, May 29, 1913.

Act in effect,

when.

ILLINOIS.

ACTS OF 1913.

Compensation of workmen for injuries.
(Page 335.)

SECTION 1. Any employer in this State may elect to provide and pay compensation for accidental injuries sustained by any employee arising out of and in the course of the employment according to the provisions of this act, and thereby relieve himself from any liability for the recovery of damages, except as herein provided.

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(a) Election by an employer to provide and pay compensation How made. according to the provisions of this act shall be made by the employer filing notice of such election with the industrial board.

Notice of withdrawal.

(b) Every employer within the provisions of this act who has elected Term. to provide and pay compensation according to the provisions of this act shall be bound thereby as to all his employees covered by this act until January 1st of the next succeeding year and for terms of each year thereafter: Provided, Any such employer may elect not to provide and pay the compensation herein provided for accidents resulting in either injury or death and occurring after the expiration of any such calendar year by filing notice of such election with the industrial board at least sixty days prior to the expiration of any such calendar year, and by posting such notice at a conspicuous place in the plant, shop, office, room, or place where such employee is employed, or by personal service, in written or printed form, upon such employee, at least sixty days prior to the expiration of any such calendar year.

(c) In the event any employer elects to provide and pay the compensation provided in this act, then every employee of such employer, as a part of his contract of hiring or who may be employed at the time of the taking effect of this act and the acceptance of its provisions by the employer, shall be deemed to have accepted all the provisions of this act and shall be bound thereby unless within thirty days after such hiring or after the taking effect of this act, and its acceptance by the employer, he shall file a notice to the contrary with the industrial board, whose duty it shall be to immediately notify the employer, and if so notified, the employer shall not be deprived of any common law or statutory defenses existing but for this act; and until such notice to the contrary is given to the employer, the measure of liability of the employer shall be determined according to the compensation provisions of this act: Provided, however, That any employee may withdraw from the operation of this act upon filing a written notice of withdrawal at least ten days prior to January 1st of any year with the industrial board, whose duty it shall be to immediately notify the employer by registered mail, and, if so notified, the employer shall not be deprived of any common law or statutory defenses existing but for this act, and until such notice to the contrary is given to the employer, the measure of liability of the employer shall be determined according to the compensation provisions of this act.

(d) Any employer or employee may, without prejudice to any existing right or claim, withdraw his election to reject this act by giving thirty days' written notice in such manner and form as may be provided by the industrial board.

30597°-Bull. 126-14- -15

Presumption as

to employees.

Notice of with

drawal.

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