COOPERATIVK ( •()T!P( )H ATIONS. 219 



raise produce it may be burned before sale, or I may sell it at 

 less than its value. If I unite with my neighbors to do any of 

 these things in a cooperative way, there is the same danger of 

 loss. If I incur debt I am holden to the extent of my property 

 for its payment. If I duly authorize another to incur debt in 

 my behalf, I am properly held as firmly as if I had myself 

 conducted the transaction. If I enter a partnership, either of 

 the partners may incur liabilities of which I am ignorant 

 which may sweep away my entire property. If I join an asso- 

 ciation, however loosely united, and indebtedness is incurred 

 in pursuance of the objects for which the association is founded 

 — as, for example, if the association guarantees the freight on 

 a car-load of fruit — I am responsible not only for my share of 

 the guarantee, but, if I am the only member able to respond, 

 for the entire amount. It is a princi})le not only of law but 

 of equity that I be responsible for the act of my agent within 

 the limit of his agency, and the association is my agent; and 

 there is probably no limit to my responsibility except the 

 limit of my property. 



A corporation is a means provided by law whereby a large 

 number of persons can safely and conveniently do business as 

 one person. By incorporation individuals are enabled to 

 escape many inconveniences and liabilities which they would 

 incur by doing business as a partnership, or an unincorporated 

 association, which is legally the same as a partnership. 



1. By the death of a partner the whole business is liable to 

 be thrown into court, with varying possibilities, according to 

 circumstances, of hindrances in transacting its business, or a 

 possible enforced winding up of its affairs. The death of a 

 stockholder in a corporation need make no difference in the 

 conduct of its business. 



2. In an ordinary partnershi[), any of the })artners may 

 create liabilities involving the property of all the partners; in 

 a corporation the law provides means whereby the power to 

 incur debt is restricted to certain persons named by the stock- 

 holders, and who may be restrained by by-laws, ojid caused to 

 give bonds not to violate them. 



3. Instead of each stockholder being liable, like a partner, 



