':.-IlB~AS the persons hereinafter named, by their petition prayed to be incorporated with the :powers hereinafter set forth and it is expedient to grant the prayer of the said pet it ion; Therefore his Najesty, by and with the advice and consent of the Legislative ... \ssernbly of the rrovince of Alberta., enacts as follows:- I. John :F. Glanville, Merchant; Reuben H.. Jamie son, Jllayor of the City of Calgary; Thomas A. Hatfield, Financial Broker, and George Tempest.

Insurance Manager, together r;ith such persons.as become shareholders in the Company, are hereby incorporated undnr the name of "The Merchants :b'ire Insurance Companyn hereinafter ct:.lleu the "compnn;:,r, ..-, ~·. '~'he ~~·.;;_.,:;. :)l"flce of the company ahall be in the City of Calg.-:;ry, in the ?rov inc0 of Albert a, and branches, sub-boards and a gene ies m:;.y be established an cl rna inta ined elsewhere in such ~1nner as the directors from tiiTe to time a~point. 3. Capital stock of the company shall be 3500.000.00 divided into 5.000 shares of $IOO each.

Such shuron ahall and are heruby vested in the several persona to whom they shall be allotted, their legal ropresent~tives and ascigns, subject to the rrovioions of this .. H.ct~ :Provided that i. t shall be lawful for t hu sa i.d COYJ'pany by by-l::nv to increase its capital stock to a sum not exceeding one m1ll ion doJ..l~r.s <;.S a majo_c i ty of tho shureholdors ut a special general meoting e~pressly convened for thut purpose shall determine. 4. The persons named in

section I of this Act shall be the provisional directors thereof and they or a majority of them muy cause stock books to be opened at the chief place of business o L' the com:puny and 0lsewhere at the discretion of the

-2- said proviaio»al direotore and shall remain open s3 long as the;y deem necessary; and are authorised to procure subscriptions of a took for the Ulldertak1.Dg. make calla O!l ntoolt $:rubscr:t.bed and reoeiTe the payment thtare:for: nnd ahl'lll dtl:powT.t 1.11 a chartered b&Dk 1D canada all moneys received by th~m on acooUD' of stock subso.e1bed. or otherwise recoiv,,a. by them ('W scaount o:r the oompa.Jl1' aud may withdraw the astt\e .t'or tha pu:pos~a on~ of the company; and may do generally whateTer is nac~asary to orgamize the com~ny.

So soon an tho directors uhall have been eleotad as hereinafter provided. tb~ J,)O",Htr6 u.nct i"u11ot1oaa of the provia1o.Ba1 director a shall cet.>se and determine. 5. ~he oompa.Jll' meq make and effect contracts of i.nsur-.noe with any peraoa against loss or damage by fire or lightning. in or to &DJ' houses, dwellings, eto:ros C\!' other buildings wh~tsoever and to any goods ,chattels o:r .:?tt.csonal e3tate whatso­ ttTer for auoh times 8lJ d for fiUOh -pramiuma and con:J lde.J.·u·t ions Wld undor auob. modif'ioat:to.nn a.nrl .routrictions und U1)011 BUOh oonditions as are bargained ~nd egreed upon und eet forth by and betweeD the company and iDsured and do ull auoh things pertaining thereto or connected there\•, it b. and s.s such hti ve perpetual succession with a eorpor~.te se&.l ii.nd power from ti:one to time to make. alter, bresk or chai1Dg~ the :..'lame L-nd shall be oapable in law of oontraoting and l1(lin~ contracted with, of suing and beiag sued by, pleadiDg and boing-1mplendad in b.ny court of law or E~ql.ti ty. ( 2) The compan7 mey hlso oo.uae itself to ba lnsu.red ~.ga:t.nat any risk it may have undertaken in the oourae of ita business. 6. so soon as $2oo.ooo of' the said oapital stack of' the Compa~ ~ve been subscribed and tan per centum o! the amount paid into some chartered bank the provisional directors may

-3- call a meeting of the shareholders of the oompnDy nt some place to be named in the City of calgary at which ~qotin~ tbe ahs.roholders present or ropres&ntod by p;:o:A.y sh''·ll elect o. board of not less tha• five nor ruors ·iih1:111 nine u.v·,l·:~:. o:·s --.:r whom a majority shall form a quorum. ( 2) No person a hall bt=l a dir~Jetor u.~llQ~-3:J hn holds t;-, h \.:1 ov."Jl name osll d 1'o:r hie own use :il;t ld:r;:.s·t twoii.:=,:cy 3 ha~~\33 ..:,~ .f t i.11J cnp1tRl stock of tha cw.pr..u.y t..nd he..s pt:.itl all o11.11s Que th11rocn and all 11abil1t1es incurred by him to the comp<~.n;y. ( 3) It shall not be lawful for the compv.n;v to commeDce the business of insurance until at least $200,000 of the capital stook Kf KkE ausp&BJ shall huve been subscribed and teD per cent o~ the amount ao subscribed paid 1a and a board of dir•oters elected a~ ~foresuid. 7.

Tb~ shRrtls of the aupi'f;~~A.l s ;;ock eu.bsoribo:l fol· Sh!:.ll ba paid by such instfiillnsnta and t1t '.:mch t1 1nea ~nd pl~cos utt tho .lira11tora ap·poiut. Tho !1.r~t inst2tltven t a h.-~ 11 'be not lesa ~han ta.:.1 par oeDt und no su.bsequant instalment shall e:A.aeed t~JD per oen·t, and not lees than thirt7 days• notice of the cull o! each subsequent instalmont stmll be givon. 8. I!

R-117 shareholder& shull ratuse or nu;:;leat to _pe~y uny oall mad• upon the share or 3b.aras htlld by him for thirty clays after the s.wne shall beoomo :payable the board of d'Lreotors may by resolut: ion d,~olare such ahara or shares and all amounts previously p~i.d thereon to bo !orfeitod to tha 1.nd.ii aomp~lny t:.nd the same shall thareupoa teooma so forfeited end rnn.y be Rold by the directors: Provided alw1P-y8 that in case the money realized !rom any suoh sale of shares be mora than sutf1o1eDt to psy ull arre~rs and interest together with the expenses of such sale, tb8 surplus ot suoh mone7 shall be paid on dem8Ad to tho former shareholder

-4- and no more shares ahall ba eold than ahall be necessary to pq all arrears due by said shareholder • with the 1Dterest and expenses of sale; and in ~11 ~otions or suits for the recovary of such t~rreara or oa.lls it shell be suf:fioie:Dt for the oompuny to allege thht the uGtendant beiag the owner of such aharea is i~debted to the said ~ompan7 in m1ch aum of money as tho oalls in arrear amoujlt to for such and eo ma.ny shares whereby an actioa l~s accrued to the company by virtue of this Aot and o.n the trial in order to establish a prima taoie oase it shall he necessary to prove only that th() def•:nda.nt wa.a owner of the so.id she..res in tha oompany. that sa1.d calls we.ro made, a.nd tb.at l'1:;t:l.ct3 wao ~ivan a.a directed by th.ts Act nnd 1.t ab.all aot be necesaac3 to prove the &p~ointment of thA direotors who .made auoh calla, o.r any other matter whatsoewer thHII by thia aeotioA apooiallf required, and any oopy or extraot of any by­ law, rule, regulation or m1Dute or of any fintry in any book of the compll!ly, oert:L:fica to be a trutJ copy of extract under the hand of the president or Tice-preaident, t to mti.Ilrtgor o.r secretary of tha aomp~~n7 and sealed with tho corporate seal t hereo:r a hull be recei Ted 1n o.ll ca.ta aDd proceedings as prima facie evidence of suoh by-lu.w, rule, rogulatioD, mintJta or entry wlthoLrt any :f'urt h.or ~rroof tluu·oof and v·i thout proof of t bu o f'fk i.sl ~hu.c6oter or signature of the of:f'taer signi:og t h•~ ~Pme 0.1~ of t hf~ co1 po.ca.te seal. 9.

If payment of anch arrti&rs, calla, interest &nd expenses be made before any shB.re so forf'elted shall have 'been sold such share shJlll ravert to the o;rner as tf tne same had been duly p&id.. before forfeiture thereof. ro. No trana!ur of a~1y uh...rfJ of t h~ oapit.:.\1 stock of the m;.id company shall be V&lid until entered in the books of tho

-5- compn.ny according to euoh form as may be from tLne to ·i;ime fixed by tbQ by-laws; a..A:nd nn·til the whol• of the uu.bsoribed stock of tb.9 company is paid u.9 it sh11ll be nec~aatAX~ to obt-.i:n the consent· of the d ireotors ior tho time Lei11g to fJU.Ob tnmofer being made: Provided ~lw~ya that no sharwholder i~d~bt•~ to tho com-pany shall be .P~rrnitt.-,ct to make a tranaf.:r or :rac~l'll) o dividend until auch debt ie paid or secured co the e~tis:taotion o'! tho directors: and no traxasfer of stock allllll t~.t t,:.zjy tim• be me.de unt1.l all O&llls thereon due up to the time o:f traiJefer shall .P411Y boble; i.n:.Hif'lioi~;tnt to lirru.tdu.t~ its d~bts, li~bilitiea nnd but to f ~.routdr <Jxteut th<..::l tho amo·ll!l·t o·f ths bkilanoe .t•am&in1Dg unpa.tli 11pa .a th .-~ t.L· .ril ;;> pu 13t 1.

V$ s har·~ a in ';; heJ cup t tal i.it ook. I ') ""· The comp&.ny or directors shall not b.::: uou.llu to ooa to the cY.acution o:f any trust. either express, implied. or oo.nst~otiTe, nffoottng any alla.re or shares of. ita atook; 6\.nd notwithutra.nding :n .. '::l~' ~· o~ trJ.st or aoy notice thereof to tho oompt;t.ny or d ireotors ~:~~~ ... '}~!l1 pt of 'th9 parson in whose nwne any sht.i:ce f.riiunda shull t··! :n1~~1o1ent diuoh~~rge to th•) oom:pa.oy ro ... · u.oy money ,t)td.d ill r~orect of ~~oh share or shuraa. l.~5.

A gtiner.sl 1ue<:>th:g ;>:7 tho ccmpar.y atw.ll be oalled once ill meDt of business ~t ita head office. and ~t uuah meeting a statement of the ~ffairs of the company shull be o~bmitted and special general and extraordinary meetings ~aay at any • time be called by ~ny five directors or by requisition of any twent;y she.reholdera spac;tfying 1D the notice the ob jeot of

-6- suoh meoting.

(2) The notice of eaoh meeting shall be sutfioiontly given by a printed or uritten notice to eaoh ot the shareholders mailed at least twenty days before the dnto on whio~ the meeting is called, and uddrassed to the addreaaea of the shareholders roapaot1vely given in the books of the oompan7. I4.

The oompony in gan~rul meeting may declare a dividend to be paid out or profits to the shareholders and such dividend shall be payable on the cupit~l paid up on tho shares held by them respeot tvel7, but in no ouse shRll tho divid(:nd so declared be great oar than that wh lob 1.s recommended by the d tractor a. •.rhu oorop&ny ohr:a.ll ht:.va a 1 ien on tho t1 ividend payable to any aht;.rahOJ.der in ros~ot ot any ind~btedness or maturing obligation by ·or from such !.'h.~ holder to the oomps.D7 whatsooTer ani t ba samo shall rortht<;ith be applied in <liecharge of ouch tndebteclnossl or J'Tllitul·ing obligation.

I5. To tuko, purobnse or ot h.orwise aoquire and bold shares in aJ11 other oomp~ having obJects altogether or in part similar to those of thta company, or ourrytng on eny business capublo of bo1ng oonduoted so as d1rootl:7 or 1:nd1.reot]Jr to benafit thia comp&.ny.

To enter into any arrungemct !or shariDg pl"Ofite, union of interests, oo-operatioD, joint adTenture. re~iprooal oo:ncess1oa, or otherwise, \Tit h. any p~rson or oompaDy ot.r.L·ying on or enguged in. or about to carry on or engage in, or any buaineas or .transaotioD capable of being aozadu.ote4 so as directly or illdiraotl.r to benefit t h1n oompu.D7 and to take or othen11se ac)lluire shares vnd oe4urit1os of any mtoh com~. f~d to sell, hold, re-issue. V'ith or without fJU&rantee, or otherwise doal with the aume. To promote any oompan1 or companies for the purpo~e of aoquirint

-7- all or any of the property u.nd 1 tabil it toe of this compuny, or tor n~ o~r purpose whioh m~¥ soam diroot}l· or indirectly oulouleted to bone!tt this oompe~.

To purohuse or otherwise acquire, on suoh terms and in such mannor as the rogulattons of the company tram time to time provide. &D3 shares in tho company's ospital. zt;ook. 16. .At all gonoral meeting• of tho shareholdi~rs of the compuny the prosident, or in ht~ &baenoa tho Vioe-president, or in the abBODOe of both of them a director ohosen by tho shareholders, ahull prae~1de, who in CY~ee or an equality of votes Gball give ·ttD oastlng ~ota in addi.tton to nle vote as a. shareholder. (2) &aoh shareholder shall be entitled to o~st ono vote for •~ery share held by htm tor not lese than fourteen d~s prior to the time of vot1Dg ~d upon ~hloh all o~lls then duo. b~ve beon paid• m1eh votes may be gtven either in perBon or by proxy, but the holder of suoh p~o%7 ~st be a shnroholdor. ( 3) All questioDS proposed for oons.ideratioD of tha ahareholde~ ~hall bo determine4 by the major1t7 of votes. 17.

At the first ordinary moeting after tho registration of the company the whole o.f the directors chall retire from office; and at the first ord1D&r7 meeting 1n ever~ aubsequ•nt Jear one-third of tho dtreotors for the time be tng or tf' their number 1~ not a multiple of threo then tho number nenreat to one-third ohull retire trom office. 18. The one-thtrd or other nearest aumbor to .::-etire during the first .:..nd s~oond y(1ara ensutng th6 .rtrst ordinary meeting of tho oompt..IJI7 ahull unless ·t;ho d trootoro ~.tgreo a."'ftoDg themselves be determined oy ballot; in ovory su.bse, 1uent yeur the one-third or

-e- other nearest number who have bean longest in otfioe shall retire. I9. A roti~ing director Shull bo re-olig1ble. zo. :Lh.o comp&ny at tho general meetUag at ~"h1cb any dtreotore ret 1ro in maJWor af(>re£tsa1d shall fill up thu vaoc.:.ted of ficea by electing a 1 r: o nu.rllbGr ot pclrsona. 21.

A1lq casuvl vaoano7 ocou.."Tillg 111 the board ot directors mt;.y be f'tlltld up by tho directors bnt aD7 person so oboaen shall retain llis of'f1ce so long only as the vaoat1ng d1raotor \vould have ret a inert the same 1:f' no vaorw:ao7 had ooourrerl. 22. .Ln ou.ae 1 t sh.oula at t-..n;- titte happeD ths.t an eleatto.n of direotors of th• s&id oompMl'q should n~)t be m&.dCJ on &ny duy r hen 1 t should have been made under tho provtsi c.ns of this Aot, the sutd compa»; cho.ll not the.raby be or be deemed to huv1.1 beon dissolved, but tt shell be lawful on ~Y othcrr du.y to hold and mako nn election in such mamaer as mq be regulated by the d1reotore for tha time bo1ng end the directors in o:fio• shall so oont 1.nuo until their successors b.nve been duly elected. 23.

SUbject to the proviotone of thte Aot tho d1reotor3 sh~ll ba.~ve full pov,er a.nd authority to muke and from time to time to r.lter suoh b;r-laws, rules, regulations and ordiuu~es ua shall •I \ '\ app0tu- to them proper or Doedtul, touoh1Dg the well-ordering of tho business of tho compa.J1J'1 the mDDugemont and d1ap•>a1t1oD ot its atook, proport7, estate ~d effeots, aDd in nll things to administer the a::6fa1rs of:the oompa117 and to mako or or.uee to be made for t bo o ompany all contracts illto _,_h. iob by lb.\\· the compaDy oan OJ!lt~~r .und ~Y frozr: time to ti.me make by-lan regalati.Dg tho to.llo"'mont of :atoak, the making of calls thoroon, tile payment thereof, the iosue ~nd reGtctratiou ol stock oerti~io t ... a es • the

forJ"eiture o~ otoolc for nonpuyr:.1ont, tha disposal of auoh for.tetted otook end thD pl--oceede theroo:f, the transfer ot stook, the declaring an4 ~~nt ot d1Tiden4a, tbt number of direotora, the avpointmont, functions, duti••· and remoVtil of agents, officers and s~rv~ute or t r..e oomp&.ny, ·the a&\turity to be giv~n ty tham, th•ir romuJ~erati on, &nd t ba;t, if l;i.ll:f, of ·tho d treotora, the time and plaaa or annual meetings or the compflJll', tho oulling ot meet 1.ngs of the board ot directors and !UJ Gt 1.ngs of tho oomol:IJ17• the r ~tfiUireme nts as ·to :pro:xiee, the proced:a.re ill <A.ll t h ingR at meetings, ·the imposition and recover;y of nll peJJaltiee am forfeitures E:.dn!itttr.g of .regulation by b7-laws e.nd the oonduot ~n6 Mooq,.nG.gemont in all other :parttoulars or ~;.ha at'fa.tra of t 00 • oomp~ny E~nd may :trom t i.rm to t1mo repe&.l. emend or ro-en&.at tho .P.roYidt'd e.,lwqa that all suoh by•i>laws made by th.a d iroctors ae aforeeuid shall only be wltd and b1nd1Zlg until the next &nnual general meetlng of shareholders; unless they are then ap~roved by such meoti~~g and shall thereafter have force anc3. ef.feot as eo approved or modified at such meeting until ~on4e4 or altere~. 24.

Tho aomrany sbf.1ll have power to eoquirG and hold roul estate for the purpose of its business within th1a province or u total valuo not exceeding one hundred tho~;.sand <1ollu.ra. anci to sell and 4 t Flposo of the same &nd uoquire oth or pro pert;r in 1 te pl&.ce li-S muy bo doum<1d d:ltpod ient, and further to take, hold llll ti ~cqu ire all such l6.Dd8 a.nd tenttmenta, real or pert:onal. estEtte as f:!hall have been boDo tide Mortgaged to it b7 w~ or aecUl·1t7 or oonTo7ed to 1t 1.n eat1afaot1on o! debts p:t'evioual.J' coatraote4 1a the course of its business, or ·purotu;.se~~ .at sales upo.n Judgments wb ioh a hull have been obtai.ned for auoh debts or purobc;.sed tor tho purpoBo of aToidiDg a loss to thl'! oomi>SJQ' 1D rttapect :.hereof, or o! the

0\1nor thereof, ana ·to rlltain the sem1:J e'tlr n :pgriod not axooad tng £Jf'tot3n 30s.rs from the aaquisttto:n thereof; and ttw oom!)any may invest its !u.nlls or any P'lrt tbereo:r in SDy of tho :public soouritles of tbo .lJomi.nion of CE:ru;da or any of the provinces thereof or in ttw stoekfl cf t-n7 b:.:'.nks, or in tho ahares, ~tooks, bonds oc debtmturee ot' tJny .Lnovrruwe cotllpsn,-, or 1n too bo.ncls or d.::'t,t:ntur~e of. v.ny tncor~f\tEld city, tev:n or mttn1ctpa.l1ty v,·,t horized tv issue ~c.md~ o::· 0 e~l··lnttU"$B or in rr..ol .. tgt.:gaa or lohns upon suob ttt.!'"mB fi.ii~d ooi<d.itiona ae rau.y ho :..gro.']\1 upo:a aDd ns shall n1J:;. impail"' t).l:t ro aow·oo1tJ o.c rer~a c1y of ~J.?:;r c.!"c d:i. tor or :po 11 cy holJ.o.r c1f ottb.ur •lO!:ll;)ilJlY to the trunnaotion; but hoi'Ol'~J. thet rmst bn approved of b:r tno-tb.irds or the ~ro11ea of the ehareholden .at en t~.n:nual goneral meettDg or of a apecU.al gexaeral meeti.ag called for the purpose. corroct stntemst or tho aooo\Ulta of tho aomp~;o;y, a. :;oner&.l abstract •1f the ostima.tad l1ao111t1os .:;nd J~asats oi' th1.l OO!l!~~n,y un<l a. 11st of uhar~holdert$ aho'l;jing tbe 3-~ount o! stook hold aud the u.mount ll1 UDJW1d t.f\oroof raspeot1Te~. 27, ·one or more auditors eball be appointed by the ebareholdera at eQch annual general meeting, whose report shall be embodied

-II• in the general statement of the a:ffatra of the oomp~.ny submitted to the shareholders ~a provided in the next preceding seotion. 28. The oompany shall hnve the power to purchase and take over all the ouatnoss. assets, vontraota, rights, effeots and properties real ancl :personal of 1.vhatgver kind ~1.!ld r.hercco~7er oi·t·ua'tad belo:nt;ing to or vested in The Merchants Fire Insurance Cvr.Jpony, I,imtted., or to l"rhi.ch 1.t 1.s or may be o~ mt:'.y 'become tin·titloc.

D.nd to fhJGUm0, po.y, discharge, oa.rry out ~l.nd perform all tho llouts, lialtiliti~ae, obligations and contract a of. no.id lo.et mc:,utioned OOL1J?:..:..uy U,.t)CD ~uoh tot,r.l!l wu'l oondit ions ao may be agraad tt:pon, inclu,linr_; t horsiD the eight of th.ol dirootora of the; first m~t ioned oompnn;r to allot ~hares :lu tJa 1(1 company to i. he iJhure­ holdera of ~he Merchants Firo Insuranoo Compaay.

Limited, and to receive and to aooept as sufficient payment of said shares so allotted or ot tha oalls made upon the same, the trunafer to the oompallJ' by this Act incorporated of all tho right, title and interest of said shareholder or shareholders of 1 in and to the said Merchants Fire Insurance Company, Limited and of, in und to I his or their share or shares in the f.Jame or suoh portion thereof • m:Jy be agroa:i upon v:hioh sa.id l<;.st mr:mtio:aed oomp~ny v~~~ iDcorpore:iied on the 28th clay of December, A • .U • • !~07 Uiluur l.illd by Tirtue ot Tlm COM?A.IUI-;S O ...

UUliANCE o'f the Dorth-'i'iesii ~e.cr ltories 29. This Act and the oompanJ hereb7 incorporated and the exercise of the powers hereby conferred shall be subject to a.n7 general l~ws in foro& or that may hereafter be in force respecting Insurance oompu.niea, in virtue of any ordinance or Aci; paesecl o.r r:h i oh ml.i.J be hereafter enacted by the Legislat·u.re of this .Province.

;--3 ::T~ - -v 0 ~;-J t-·-f - p-~ j ___, - J p:; ~~-~ ,__, . c f··. ~~ CJ 1-J .... ..--\.1 ._.. C' cq ;_"' ,_._. =3 )~' ·-l 1-£ ;::.;;j -:3 <-: -, p:; ---:J -~ , 1---< :_,j CID .....,... ·f-1 :~:;::J ~-~ >--.; t-3 C::J f-d -~ ~ ~ Gl '-<; ~ ~ t;O 8 0 ;t> 0 -q, H ~ txJ :z; ~~ L. 2 ~::!· 1::--f -<! 1-:3

C) I£· . vJ 1-3 t-fc - . (I) ~ Q 0 I ·-·"' 1--! ~, ---(/) ~ -·_;J ........ 1-ri c7) 0 .--' 8 ~ ,.__, > 'JJ 0 u .,.-.., • \:'0 ,.__, .:1 ~ -;;j 1-:Jj 0 ~- .' .::_o.:j ~> < ... ~ ... : .. _, t-::1 f--1 ._, )> ~1:) ~~ ·i _:..j '< ~ J f--1 ,... () ~ ~(i i --] '-·' -C..: t_:J:j ··~-~ 2" "~-j '-l f:=c ,, -J ~---~ '-----! c 0 < ci ~ ,- j rl'-,_ f--1 0 !--· ;:;;-.;.;. ,:;o;j 1~·-:; :::0 ....... ,_, 1--" --.:;,1 '-' <,C 1----f il:oo ,__., ""-·-.' ,-'J ~ .~' UJ ·-·j c > ~ c ;::.:."' c ,-·-·-f

C) u: t?;j JJ ,_, rj :C~j ~ ~ VJ ~z c:: ~:! ~~ . ~ -:3 : ... > ....... -;.j '-3 ::c.- t:':) :::r::: >.: 23 t.:..:J j3 (:· ·~::J .,_,, \ ..... ,_ ~J t'-1 __ , b L ........ t'' K :~:.; ~~ :.0 ("') (""~) 0 0 0 1--1. (.() '":l:j 1::--1