25. A guardian is a trustee, and the corporation should transfer shares only by order of the court, otherwise it will be liable. 26. Before transferring shares for a trustee the corporation must be fully informed as to his authority. 27. Yes. 28. The corporation will be liable to the rightful owner. 29. All must join in the transfer. 30. In such a case the corporation acts at its peril, and will be liable. Yes. 31. 33. Not unless he distinctly makes himself so by some act of his own. 34. The general rule is that it does. 35. If shares have been issued to one as "trustee” without his knowledge or consent, he does not become a bona fide stockholder, nor will he become liable as a shareholder to creditors, unless he ratifies the transfer by accepting the shares. 36. It is valid if made in good faith. 37. Dividends belong to the owner of the stock at the time when the dividend is declared. Trustees and Guardians. Questions. 1. By whom are trustees and guardians appointed, and what are their general duties? 2. Have trustees the right to vote at corporate elections? 3. Must joint trustees all join in transferring shares? 4. What is the responsibility of a corporation when shares are held by trustees for others? 5. Is a trustee liable for the unpaid balance on shares? 6. Are persons holding shares in trust liable as shareholders ? 7. Who is liable on shares taken in the name of a fictitious trustee or person? NOTE. For further information on trustees see question 5 on assignees. Trustees and Guardians. Answers. 1. Guardians of all descriptions are treated by courts as trustees; and in almost all cases they are required to give security for the faithful discharge of their duty, unless the guardian be appointed by will, and the testator has exercised the power given him by statute, of requiring that the guardian shall not be called upon to give bonds; but even in this case, such testamentary provision is wholly personal; and if the individual dies, refuses the appointment, resigns it or is removed from it, and a substitute is appointed by the court, this substitute must give bonds. In this country the guardian is held to have only a naked authority, not coupled with an interest. His possession of the property of his ward is not such as gives him a personal interest, being only for the purpose of agency. But for the benefit of his ward he has a very general power over it. He manages and disposes of the personal property at his discretion, although it is safer for him to obtain the power of court for any important measure. He may lease the real estate, if appointed by will or court; he cannot, however, sell the real estate without leave of the proper court. Nor should he convert the personal estate into real without such leave. As trustee, a guardian is held to a strictly honest discharge of his duty, and cannot act in relation to the subject of his trust for his own personal benefit in any contract whatever. He must neither make nor suffer any waste of the inheritance, and is held very strictly to a careful management of all personal property. He is responsible, not only for any misuse of the ward's money or stock, but for letting it lie idle; and if he does so without sufficient cause, he must allow the ward interest or compound interest in his account. The general duties of every guardian of any minor are: First. To make and file, within three months after his appointment, a full inventory, verified by oath, of the real and personal estate of his ward, with the value of the same, and the value of the yearly rent of the real estate; and failing so to do for thirty days after he shall have been notified of the expiration of the time by the Court, said Court shall remove him and appoint a successor. Second. To manage the estate for the best interest of his ward. Third. To render, on oath, to the proper Court, an account of the receipts and expenditures of such guardian, verified by vouchers once in every two years, or oftener, upon the order of the Court. Fourth. At the expiration of his trust, fully to account for and pay over to the proper person all of the estate of his ward remaining in his hands. Fifth. To pay all just debts due from such ward, out of the estate in his hands, and collect all debts due ward, and, in case of doubtful debts, to compound the same, and to appear for and defend all suits against such ward. Sixth. When any ward has no father, or having a father who is unable or fails to educate such ward, it is the duty of his guardian to provide for him such edu cation as the amount of his estate may justify. Seventh. To loan or invest the money of his ward within a reasonable time after he receives it in notes or bonds secured by first mortgage on real estate of at least double the value of the loan or investment. Or investments may be made in bonds of the United States or any State on which default has never been made in the payment of interest, or in County or Municipal bonds, issued in conformity to law; or with the consent and approbation of the Court, investments may be made in productive real estate, the title to which shall be taken in the name of the guardian as such. Eighth. To obey and perform all orders and judgments of the proper Courts touching the guardianship. Guardians' and trustees' accounts are conducted upon the same general principles of law, as estates and as this has been fully explained, further instruction is unnecessary. Suffice it is to say that the statutes of the state, relative to guardianship should be carefully studied. 2. Yes. 3. All must join in the transfer. 4. A corporation must be fully informed of the limits of the trustee's authority, and before transferring stock for him, must be fully satisfied that he is acting within his authority, or it will be held liable. 5. Not unless he assumes the debt by some act of his own. 6. The holder of the legal title only is liable, frequently this falls upon the trustee. NOTE. For further information on trustees see question 5 on assignees. 7. The real owner will be held liable. Exporting. Question. 1. How are goods exported? Exporting. 1. Owing to the great inventive genius of our citizens, machines have been perfected during the past half century for the manufacture of all kinds of articles until we now take our place as one of the leading nations of the world in manufacturing. Producing so much more than we can use or dispose of at home, markets had to be found for our goods throughout the world. Our export trade has already assumed large proportions, and is increasing every year. Millions of dollars worth of raw and manufactured products are shipped from our seaports to all parts of the world yearly. All goods shipped to foreign countries must be cleared at the Custom House by the shipper or his agent by filing under oath a shipper's manifest specifying the kinds, quantities, value and destination of the merchandise exported. When this condition is complied with, the master of the vessel or the steamship company will issue a bill of lading for the same. Supplementary manifests for statistical purposes may be filed under oath of owner or agent of vessel within four business days after clearance of the vessel. A vessel clearing for a foreign port must file a manifest under oath of its entire cargo, which must agree with the manifests filed by the various shippers. It is from these shippers' manifests that the statistics are gathered of our exports which is of great value to our merchants in the various lines of trade. Importing. 1. How are goods imported ? Importing. Answer. 1. The magnitude of the importations of the foreign goods into the United States is a subject of which very little is known by the general public. When one stops to think that the income from duties on foreign goods amounts to between ten and twelve millions of dollars per month at the port of New York alone, some idea may be gained of the vast commercial transactions that are taking place from day to day. American houses which deal in large quantities of foreign goods, have their own buyers who go abroad at certain seasons of the year, and make purchases direct from the foreign houses. Then there are Custom House Brokers and Commission Merchants, who, through their foreign representatives place orders for their customers. Again, well established houses having good credit may make their purchases direct through correspondence. And, further, merchandise is often consigned by a foreign manufacturer to an agent in this country, to sell for his account and risk. When the goods are ready for shipment, an invoice of same, in triplicate, must be made out by the shipper, setting forth the quantities and values of the goods then prevailing in the wholesale markets of the country, from which the goods are shipped. The invoice must show the cost of the goods, packed ready for shipment to the United States. These invoices must be presented to the nearest U. S. Consul, before whom a delaration signed by the purchaser, manufacturer, owner or agent must be made unde oath, to the effect that the invoice in all respects is correct and true as to the actual cost of the merchandise named therein and of all charges thereon, according to law. One copy of this invoice is filed in the Consulate, another forwarded to the collector of the port, at which entry is to be made, and the remaining copy delivered to the person presenting the invoice for verification. The shipper forwards his copy of the invoice to the |