General corporate powers and procedures.
ORGANIZATION OF FRATERNALS
Reservation of corporate name.
Members and applicants in fraternals.
Articles of incorporation and bylaws.
Organization permit and certificate of incorporation.
Powers under organization permit and deposit of proceeds of subscriptions.
Termination of organization permit and payment of organization expenses.
Incorporators' liability and organization expenses.
Initial surplus requirements.
Certificate of authority.
Accelerated organization procedure.
Segregated accounts, variable benefits and subsidiaries.
Changes in business plan.
Amendment of articles of incorporation.
SECURITIES OF FRATERNALS
MANAGEMENT OF FRATERNALS
Communications to members.
Representative form of government.
Annual report to fraternal members.
Board of directors.
Removal of directors and officers and filling of vacancies.
Supervision of management changes.
Continuity of management in emergencies.
Committees of directors.
Interlocking directorates and other relationships.
Transactions with affiliates and in which directors and others are interested.
Directors' liability and indemnification.
Exclusive agency contracts and management contracts.
Merger and consolidation of fraternals.
Voluntary dissolution of solvent domestic fraternals.
Voluntary conversion of fraternals to mutuals.
Rehabilitation or involuntary conversion.
Maintenance of solvency.
Rehabilitation and liquidation.
Fraternal expenditures and activities.
Fraternals as fundholders.
Exemption of fraternal benefits.
Ch. 614 Cross-reference
See definitions in ss. 600.03
Ch. 614 Cross-reference
See also ch. Ins 1
, Wis. adm. code.
A “fraternal", also called a “fraternal benefit society" or “mutual benefit society" is a corporation organized or operating under this chapter that:
Any lawful social, intellectual, educational, charitable, benevolent, moral, fraternal, patriotic or religious purposes for the benefit of its members or the public, carried on through voluntary activity of its members in their local lodges or through institutional programs of the fraternal or its local lodges;
Provides insurance benefits authorized under this chapter.
The “laws" of a fraternal include its articles of incorporation and bylaws, however designated.
A “lodge system" exists only if all of the following conditions are met:
Subordinate to the supreme governing body, there are local lodges, whatever the local lodges are called, into which natural persons are admitted as members in accordance with the laws of the fraternal.
The local lodges are required by the laws of the fraternal to hold regular meetings at least once every 3 months.
The local lodges engage regularly in programs involving member participation to implement the purposes of par. (a) 2. b.
A “representative form of government" exists if and only if the fraternal complies with s. 614.42
In any section of the statutes made applicable to fraternals by this chapter, the technical terms used in those statutes are applicable to fraternals despite the customary use of other parallel terms by fraternals.
Scope and purposes. 614.02(1)(a)(a)
This chapter applies to all fraternals organized under the laws of this state.
Except as expressly provided in this chapter and in s. 618.26
, this chapter does not apply to nondomestic fraternals.
The purposes of this chapter are:
To provide a complete, self-contained procedure for the formation of fraternals.
To assure the solidity of fraternals by providing an organizational framework to facilitate sound management, sound operation and sound regulation.
To strengthen internal fraternal democracy through as much member participation as is practicable.
To encourage the fulfillment of the special purposes of fraternals.
History: 1975 c. 373
Orders imposing and relaxing restrictions. 614.03(2)
Orders eliminating restrictions.
The commissioner may free a new fraternal from any or all of the restrictions generally applicable only to new fraternals under the provisions enumerated in sub. (1)
if satisfied that its financial condition, management or other circumstances give assurance that the interests of insureds and the public will not be endangered thereby.