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ever any such suit is brougbt, the rights and liabilities of the parties thereto shall be determined by the provisions of this act, and the suit of the injured employee, or persons suing on account of the death of such employee, shall be against the association, if the employer of such injured or deceased employee is at the time of such injury or death a subscriber, as defined in this act, in which case the recovery shall not exceed the maximum compensation allowed under the provisions of this act, and the court shall determine the issues in such cause instead of said board. Sec. 6. If a subscriber enters into a contract, written or oral, with an Employees of

contraotors. independent contractor to do such subscriber's work, or if a contractor cont enters into a contract with a subcontractor to do all or any part of the work comprised in such contract with the subscriber, and the association would, if such work was executed by employees immediately employed by the subscriber, be liable to pay compensation under this act to such employees, the association shall pay to such employees any compensation which would be payable to them under this act if the independent or subcontractors were subscribers. The association shall, however, be entitled to recover indemnity from any other persons who would have been liable to such employees independently of this section, and if the association has paid compensation under the terms of this section, it may enforce in the name of the employees or in its own name and for its own benefit, the liability of such other persons. This section shall not apply to independent or subcontractors or any contract which is merely auxiliary and incidental to, and is no part of or process in, the trade or business carried on by the subscriber. Sec. 7. Every employer shall hereafter keep a record of all injuries, Injuries to be

ported fatal or otherwise, received by his employees in the course of their repo employment. Within eight days after the occurrence of an accident resulting in a personal injury to an employee, a report thereof shall be made in writing to the Industrial Accident Board on blanks to be procured from the board for that purpose. Upon the termination of the disability of the injured employee, or if such disability extends beyond a period of sixty days, the employer shall make a supplemental report upon blanks to be procured for that purpose. The said report shall contain the name and nature of the business of the employer, the location of the establishment, the name, age, sex and occupation of the injured employee, and shall state the date and hour of the accident, and the nature and cause of injury, and such other information as the board may require. Any employer failing or refusing to make any such report within the time herein provided or failing or refusing to give to said board any information demanded by said board relating to any injury to an employee, which information is in the possession of, or could have been ascertained by the employer by the use of reasonable diligence, shall be liable for and shall pay to the State of Texas a penalty of not more than one thousand ($1,000.00) dollars for each and every offense, the same to be recovered in a suit to be instituted and prosecuted by the attorney general, or under his direction, either in the district court of Travis County, or in the county in which any defendant resides, at the option of the said attorney general.

tion,

Part III. SECTION 1. The "Texas Employers' Insurance Association " is Employers' inhereby created a body corporate with the powers provided in this acts

surance associa. and with all the general corporate powers incident thereto.

Sec. 2. The governor shall appoint a board of directors of the associa. Directors. tion consisting of twelve members, who shall serve for a term of one year, or until their successors are elected by ballot by the subscribers at such time and for such term as the by-laws shall provide.

Sec. 3. Until the first meeting of the subscribers, the board of direc- Powers. tors shall have and exercise all of the powers of the subscribers, and may adopt by-laws not inconsistent with the provisions of this act, which shall be in effect until amended or repealed by the subscribers.

SEC. 4. The board of directors shall annually choose by ballot a Officers. president who shall be a member of the board, a secretary, a treasurer, and such other officers as the by-laws may provide.

Votes.

Quorum. SEC. 5. Seven or more of the directors shall constitute a quorum for

the transaction of business. Vacancies in any office may be filled in

such manner as the by-laws shall provide. Subscribers SEC. 6. Any employer of labor in the State may become a subscriber

excepting as provided in Part I, section 2 of this act. First meeting. Sec. 7. The board of directors shall, within thirty days of the sub

scription of twenty-five employers, call the first meeting of the subscribers by a notice in writing mailed to each subscriber at his residence or place of business not less than ten days before the date fixed for the meeting.

SEC. 8. In any meeting of the subscribers each subscriber shall have one vote, and if a subscriber has five hundred employees to whom the association is bound to pay compensation, he shall be entitled to two votes and he shall be entitled to one additional vote for each additional five hundred employees to whom the association is bound to pay compensation, but no subscriber shall cast, by his own right, or by right

of proxy, more than ten votes. When policies Sec. 9. No policy shall be issued by the association until not less may issue.

than fifty employers have subscribed, who have not less than two thousand employees to whom the association may be bound to pay

compensation. Data to be filed. SEC. 10. No policy shall be issued by the association until a list of

the subscribers, with the number of employees of each; together with such other information as the commissioner of banking and insurance may require, shall have been filed with the department of banking and insurance, nor until the president and secretary of the association shall have certified under oath that every subscription on the list so filed is genuine and made with an agreement with every subscriber that he will take the policies so subscribed for by him within thirty days of the granting of a license to the association by the commissioner of banking

and insurance to issue policies. Issue of policies Sec. 11. If the number of subscribers falls below fifty or the number suspended, when. of employees to whom the association may be bound to pay compens

tion falls below two thousand, no further policies shall be issued until other employers have subscribed, who, together with existing subscribers, amount to not less than fifty, who have not less than two thousand employees, to whom the association may be bound to pay compensation, said subscriptions to be subject to the provisions of the preceding

section. License.

Sec. 12. Upon the filing of the certificates provided for in the two preceding sections the commissioner of banking and insurance shall make such investigations as he may deem proper and if his findings

warrant it, grant a license to the association to issue policies. Classification. Sec. 13. The board of directors shall distribute the subscribers into

groups in accordance with the nature of the business and the degree of hazard incident thereto. Subscribers within each group shall annually pay in cash, such premiums as may be required to pay the compensation

herein provided for the injuries which may occur in that year. Contingent lia- Sec. 14. The association may in its by-laws and policies fis the bility.

mutual contingent liability of the subscribers for the payment of losses and expenses not provided for by its cash fund, but such contingent liability of a subscriber shall not be less than an amount equal to and

in addition to the cash premium. Assessments. Sec. 15. If the association is not possessed of cash funds above its

insured premiums sufficient for the payment of incurred losses and expenses, it shall make an assessment for the amount needed to pay Buch losses and expenses upon the subscribers liable to assessment therefor in proportion to their several liability. Every subscriber shall pay his proportional part of any assessment which may be levied by the association, in accordance with the laws and his contract, on account

of injuries sustained and expenses incurred while he is a subscriber. Dividends. Sec. 16. The board of directors may from time to time, by vote fix

the amount to be paid as dividends upon the policies expiring during each year after retaining sums sufficient to pay all compensation which may be payable on account of injuries sustained and expenses incurred. All premiums, assessments and dividends shall be fixed by and for groups as heretofore provided in accordance with the experience of such group, but all the funds of the association and the contingent liability of all of the subscribers shall be available for the payment of any approved claim for compensation against the association.

Sec. 17. Any proposed premium, assessment, dividend or distribi:- Premiums, etc., tion of subscribers shall be filed with the commissioner of banking and to be approved. insurance and shall not take effect until approved by him after such investigation as he may deem proper and necessary.

Sec. 18. The board of directors shall make and enforce reasonable Prevention of rules for the prevention of injuries on the premises of subscribers, and acc

ribora ni accidents. for this purpose the inspector of the association shall have free access to all such premises during regular working hours. Any subscriber aggrieved by such rule or regulation may petition the Industrial Acci. dent Board for a review, and it may affirm, amend or annul the rule or regulation.

Sec. 19. Every subscriber shall, as soon as he secures a policy, give Yorice to emnotice, in writing or print, to all persons under contract of hire with ployees. him that he has provided for payment of compensation for injuries with the association.

SEC. 20. Every subscriber shall, after receiving a policy, give notice Same subject. in writing or print, to all persons with whom he is about to enter into a contract of hire, that he has provided for payment of compensation for injuries by the association. If any employer ceases to be a subscriber, he shall, on or before the day on which his policy expires, give notice to that effect in writing or print to all persons under contract of hire with him. In case of the renewal of his policy no notice shall be required under this act. He shall file a copy of said notice with the Industrial Accident Board.

Sec. 21. If a subscriber, who has complied with all the rules, regula- Employers to tions and demands of the association, is required by any judgment of a

be reimbursed,

when. court of law to pay any employee any damages on account of any personal injury sustained by such employee during the period of subscription, the association shall pay to the subscriber the full amount of the judgment and the cost assessed therewith, if the subscriber shall have given the association notice of the bringing of the action upon which the judgment was recovered, and an opportunity to appear and defend same.

Sec. 22. The corporate powers of the association shall not expire Association to because of failure to issue policies or make insurance.

continue. Sec. 23. The board of directors appointed by the governor under Expenses. the provisions of Part III, section 2, of this act, may incursuch expenses in the performance of its duties as may be approved by the governor; buch expenses shall be paid by the State out of any funds not otherwise appropriated, not to exceed five thousand dollars.

Definitions.

Part IV. Section 1. The following words and phrases, as used in this act, shall, unless a different meaning is plainly required by the context, have the following meaning: “Employer" shall include the legal representatives of any original employer.

Employee" shall include every person in the service of another under any contract of hire, expressed or implied, oral or written, except one whose employment is but casual, or is not in the usual course of the trade, business, profession or occupation of the employer. Any reference to any employee who has been injured shall when the employee is dead, also include the legal beneficiaries of such employee to whom compensation may be payable.

Average weekly wages” shall mean the earnings of the injured employee during the period of twelve calendar months immediately preceding the date of injury divided by fifty-two; but if the injured employee lost more than two weeks during such period, then the earnings for the remainder of the twelve calendar months shall be divided by the number of weeks remaining after the time lost has been deducted. When, by reason of the shortness of the time of the employ

30597°—Bull. 126—14—-26

ment of the employee, it is impracticable to compute the average weekly wages as above defined, it shall be computed by the Industrial Accident Board in any manner which may seem just and fair to both parties.

“Association" shall mean the “Texas Employees Insurance Association” or any other insurance company authorized under this act to insure the payment of compensation to injured employees, or to the beneficiaries of deceased employees.

Subscriber" shall mean any employer who has become a member of the association by paying a year's premium in advance and receiving the receipts of the association therefor: Provided, That the association holds a license issued by the commissioner of banking and insurance

as provided for in Part III, section 12 of this act. Insurance com SEC. 2. Any insurance company, which term shall include mutual panies.

and reciprocal insurance companies lawfully transacting a liability or accident business within this State, shall have the same right to insure the liability to pay the compensation provided for by Part I of this act, and when such company issues a policy conditioned to pay such compensation the holder of such policy shall be regarded as a subscriber so far as applicable under this act; and when such company insures such payment of compensation it shall be subject to the provisions of Parts I, II and IV and of sections 10, 17 and 21 of Part III of this act, and shall file with the commissioner of banking and insurance its classification of premiums none of which shall take effect until the commissioner of banking and insurance has approved same as adequate to the risks to which they respectively apply and not greater than charged by the association, and such company may have and exercise all of the rights and powers conferred by this act on the association created hereby but such rights and powers shall not be exercised by a mutual or reciprocal organization unless such organization has at least

fifty subscribers, who have not less than two thousand employees. Refund of pro. Sec. 3. Any subscriber who has paid his annual premium as promiums.

vided in section 1, Part IV of this act, but who ceases to be an employer after three months and before the expiration of one year, may by satisfactory proof of such fact made to the Industrial Accident Board as herein created be entitled to a refund of such portion of the annual premium so paid by him as the portion of the year in which he is notan employer bears to the whole year: Provided, That in no event shall more than three-fourths of the annual premium by any subscriber who claims the benefit of this refund ever be refunded.

Sec. 4. Should any part of this act be, for any reason held to be invalid or inoperative, no other part or parts shall be affected thereby, and if any exception to or limitation upon any general provision herein contained shall be held to be unconstitutional or invalid or ineffective the general provision shall nevertheless stand effective and valid as if

it had been enacted without exception or limitation. Repealer. Sec. 5. All laws or parts of laws in conflict herewith are hereby

repealed. Act in offoot. Sec. 6. This act shall take effect and be in force on and after the first

day of September, Vineteen Hundred and Thirteen.
Approved April 16, 1913.

VERMONT.

CONSTITUTION.

Compensation for injuries to employees. Legislation au- ARTICLE 32. The general assembly may pass laws compelling comthorised.

pensition for injuries received by employees in the course of their employment resulting in death or bodily hurt, for the benefit of such emplovees, their widows or next of kin. It may designate the class or classes of employers and employees to which such laws shall apply.

Ratified March 4, 1913.

ca.

WASHINGTON.

ACTS OF 1911.
CHAPTER 74.-Workmen's insurance-Industrial insurance department.

SECTION 1. The common-law system governing the remedy of work-, Grounds of men against employers for injuries received in hazardous work is incon-law. sistent with modern industrial conditions. In practice it proves to be economically unwise and unfair. Its administration has produced the result that little of the cost of the employer has reached the workman and that little only at large expense to the public. The remedy of the workman has been uncertain, slow and inadequate. Injuries in such works, formerly occasional, have become frequentand inevitable. The welfare of the State depends upon its industries, and even more upon the welfare of its wageworker. The State of Washington, therefore, exercising herein its police and sovereign power, declares that all phases of the premises are withdrawn from private controversy, and sure and certain relief for workmen, injured in extra hazardous work, and their families and dependents is hereby provided regardless of questions of faultand to the exclusion of every other remedy, proceeding or compensation, except as otherwise provided in this act; and to that end all civil Suits abolished. actions and civil causes of action for such personal injuries and all jurisdiction of the courts of the State over such causes are hereby abolished, except as in this act provided.

Sec. 2. There is a hazard in all employment, but certain employ- Extrahazardous ments have come to be, and to be recognized as being inherently con- emplo

employments. stantly dangerous. This act is intended to apply to all such inherently hazardous works and occupations, and it is the purpose to embrace all of them, which are within the legislative jurisdiction of the State, in the following enumeration, and they are intended to be embraced within the term "extra hazardous” wherever used in this act, to-wit:

Factories, mills and workshops where machinery is used; printing, electrotyping, photo-engraving and stereotyping plants where machinery is used; foundries, blast furnaces, mines, wells, gas works, waterworks, reduction works, breweries, elevators, wharves, docks, dredges, smelters, powder works; laundries operated by power; quarries; engineering works; logging, lumbering and shipbuilding operations; logging, street and interurban railroads; buildings being constructed, repaired, moved or demolished; telegraph, telephone, electric light or power plants or lines, steam heating or power plants, steamboats, tugs, ferries and railroads. If there be or arise any extra hazardous occupation or work other than those hereinabove enumerated, it shall come under this act, and its rate of contribution to the accident fund hereinafter established, shall be, until fixed by legislation, determined by the department hereinafter created, upon the basis of the relation which the risk involved bears to the risks classified in section 4. Sec. 3. In the sense of this act words employed mean as here stated,

Definitions, to wit:

Factories mean undertakings in which the business of working at commodities is carried on with power-driven machinery, either in manufacture, repair or change, and shall include the premises, yard and plant of the concern.

Workshop means any plant, yard, premises, room or place wherein power-driven machinery is employed and manual labor is exercised by way of trade for gain or otherwise in or incidental to the process of making, altering, repairing, printing or ornamenting, finishing or adapting for sale or otherwise any article or part of article, machine or thing, over which premises, room or place the employer of the person working therein has the right of access or control.

Mill means any plant, premises, room or place where machinery is used, any process of machinery, changing, altering or repairing any article or commodity for sale or otherwise, together with the yards and premises which are a part of the plant, including elevators, warehouses and bunkers.

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