10 
BULLETIN 860, U. S. DEPARTMENT OF AGRICULTURE. 
form becomes a simple matter. As a matter of fact, formal organi- 
zation, including incorporation, adoption of by-laws, and election of 
the first directors, is a technical procedure that can be carried out 
more expeditiously and with greater exactness by a small number of 
incorporators than by a large body of members meeting under con- 
ditions not always favorable to deliberate and orderly procedure. 
A form of by-laws that is believed to embody the principles of co- 
operation most necessary to, observe in a cooperative grain elevator 
company is given below. With slight modifications it should fur- 
nish a practical plan of organization under the laws governing cap- 
ital stock forms of cooperative associations and companies in most 
of the grain States. 
The notes following some of the sections are explanatory, and, of 
course, are to be omitted in the by-laws adopted by the organization. 
The by-laws when read in connection with the explanatory notes 
are thought to be sufficiently descriptive of the plan without further 
detail here. 
These by-laws should be regarded as suggestive only, and they 
should be changed to meet the individual and local needs of an 
association as well as to conform to governing State laws. 
Suggested Form of By-laws for Cooperative Grain Elevator Companies. 1 
Article I. — Corporate 
Purpose. 
Article IV. — Directors and Officers. 
Section. 
1. 
Election of directors. 
1. Name and location. 
2. Objects. 
3. Powers. 
2. 
3. 
4. 
5. 
Election of officers. 
Vacancies. 
Quorum. 
Compensation. 
Article II. — Capital 
Stock, 
6. 
Removal. 
Article V. — Duties of Directors. 
1. Authorized. 
2. Treasury stock. 
3. Stock certificates. 
1. 
2. 
3. 
4. 
5. 
6. 
Management of business. 
Employment of manager. 
Bonds. 
Meetings. 
Annual audits. 
Depreciation. 
4. Stock receipts. 
5. Stock transfers. 
6. Lost certificates. 
7. 
Educational work. 
Article III. — Membership. 
Article VI. — Duties of Officers. 
1. Qualifications. 
1. 
President. 
2. Termination. 
2. 
Vice President. 
3. Restrictions.. 
3. 
Secretary. 
4. Reversions. 
4. 
Treasurer. 
5. Annual meetings. 
6. Special meetings. 
Article VII. — Duties of Manager. 
7. Notice of meetings. 
1. 
In general. 
8. Quorum. 
2. 
Duty to account. 
9. Proxies. 
3. 
Duty to insure. 
10. Order of business. 
4. 
Control of help. 
1 These by-laws were prepared with the cooperation of secretaries of State Farmer! 
Grain Dealers Associations. 
