350 TRANSITION IN AGRICULTURE 



might arise or disputes occur which would oblige him to pay out 

 of his own pocket. 



An unregistered society has no effective control over the action 

 of its employes, and in the case, for example, where a servant of 

 a registered or corporate body rendered himself liable to action for 

 damages on the part of his employers, it might easily happen that 

 no action could be taken by anyone on behalf of an unregistered 

 society. The action would have to be taken individually by the 

 secretary or official who hired the employe", and legal difficulties 

 would probably arise. This would also apply in the case of goods 

 shipped in the name of the society and lost or damaged, and also 

 to claims for insurance. 



A registered society has a legal existence ; it is capable of con- 

 tracting, can sue and be sued, and can own property. No official 

 acting under the instructions of the society and within the scope 

 of its objects is personally responsible for any liability incurred, 

 and the individual liability of the members is limited to the amount 

 unpaid on their shares. 



Agricultural societies engaging in business of any kind should 

 therefore become incorporated bodies, and the simplest and least 

 costly method of obtaining incorporation is to be registered under 

 the Industrial and Provident Societies Act of 1893. Registration 

 under this Act costs nothing, and the Act itself is so framed as to 

 give the utmost latitude to a society in the conduct of its business. 

 Agricultural societies desiring to place their business on a co- 

 operative basis can obtain gratis a complete set of model rules and 

 the necessary form of application, together with full instructions as 

 to the steps to be taken, from the Secretary of the Agricultural 

 Organization Society, Dacre House, Dacre Street, Westminster, 

 S.W. 



