fairly representative of the most common usages, giving in the chapters on forms and records, samples of those used by a number of different companies. This plan made impossible the following out of one complete system of forms and records such as a single company uses, a defect which is, in the writer's opinion, more than overcome by the advantage to the reader of having before him illustrations of the methods of a large number of progressive companies. In the endeavor to make the work useful to the greatest number of trust companies, the writer has aimed to have it representative of the forms and methods of the company of average size.
While the writer is alone responsible for all views and statements presented, he is under obligation to various gentlemen for information courteously given. In particular he wishes to acknowledge his indebtedness to the officials of the various companies whose forms are used to illustrate the book, for the use of the forms and for information given in response to letters; to state officials for information regarding state legislation; to W. E. Crittenden for the preparation of the chapter on Title Insurance; to the Old Colony Trust Company of Boston for permission to reprint its Rules for Stock Transfers; to E. A. Feasel, Librarian of the Cleveland Law Library, for access to the library in the preparation of the chapters on trust company laws; to E. E. Newman for suggestions regarding the detail work of the Corporations division of the Trust Department; to James Borrowman for information regarding the Australian trust companies; to Frederick Vierling for information regarding the Real Estate Department and for permission to print his rules governing stock issues and papers required in accepting bond trusts; to the Franklin Trust Company for permission to print its By-laws. Acknowledgment is made in foot-notes throughout the book for information due to various authorities quoted.
In preparing the articles for publication in book form, the statistical matter in the chapter on the history of the trust company movement, and the summary of the state laws (originally published in 1904), and other matter, have been brought down to the year 1908, inclusive.
CLEVELAND, O., June, 1909.
In preparation for the second edition of this book, the statistical matter in Chapter I., the discussion of legislation in Chapter IV., and the summaries of State laws in Chapter XVII., have been brought up to December, 1914, and some revision of other chapters has been made. The writer wishes to express his appreciation of the cordial reception which has been given to the book. CLAY HERRICK.
CLEVELAND, O., June, 1915.
HISTORY OF THE TRUST COMPANY MOVEMENT IN THE
UNITED STATES, pp. 1-32.
Diversity of Functions, 1-First Grants of Trust Powers, 2-Present
Condition of the Four Earliest Companies, 6-Other Early Companies,
7-Relative Progress of Trust Companies and Savings Banks, 9-
Organization of Companies After the Civil War, 10-Freedman's Sav-
ings and Trust Co., 12-Comptroller Knox's Criticism of Companies,
13-Competition Between Banks and Trust Companies, 14-Steady
Development, 15-Growth from 1875, 16-Chart Showing Growth, 18
-Growth of Trust Companies and Other Banks Compared, 19-Sta-
tistics of Suspensions, 22-Statistics 1875-1913, 26-Reserves, 26—
Present Statistics, 28-Recapitulation, 30-Causes of Growth, 31.
THE FUNCTIONS OF TRUST COMPANIES, pp. 33-53.
Definition of "Trust Company," 33-Nature and Variety of Individual
Trusts, 34-Probate Business, 37-Investment Business, 38-Real
Estate Business, 40-Insolvency Business, 40.-Trustee or Agent for
Corporations, 41-Transfer Agent and Registrar, 42-Corporation
Reorganization, 43-Fidelity and Title Insurance, 44-Safe Deposit.
Business, 45-Superiority of Trust Companies in Trust Capacities,
45-Banks and Trust Companies Compared, 47-Miscellaneous Func-
tions, 51-Sources of Earning Power, 52-Still in Formative Pe-
riod, 53.
TRUST COMPANY LEGISLATION, pp. 74-88.
Progress of Legislation, 74-Directors, 74--Capital Stock, 75-Pow-
ers, 76-Powers in New York, 77-Trustee Powers, 78-Holdings of
Real Estate, 79-Auxiliary Powers, 80-Banking Powers, 80-Reg-
ulation, 82 Double Liability, 85--Deposit with State, 85-Restric-
tions on Loans, 84-Reserves, 85-Reports and Examinations, 87.
Accounting System, 100-Loose-leaf Books and Cards, 101-Relation
of Trust and General Books, 102-Trust Register, 103-Journals and
Ledgers, 110-Corporations Division of Department, 113-Estates
Division of Department, 118-Sundry Forms Corporations Division,
127-Forms for Transfer of Stock, 131-Forms for Bond Trusts, 137
-Coupons, 143-Sundry Forms Estates Division, 148-Record of
Securities, 148-Real Estate Record, 152-Insurance Record, 153-
Rents, 154-Tax-book, 155-Vouchers, 157-Statements of Account,
159.
FORMS AND RECORDS FOR THE BANKING DEPARTMENT,
pp. 177-267.
Progress, 177-Labor Saving, 177---Forms for Use of Customers, 178
-Pass-books, 180-Voucher Checks, 183-Tellers' Records, 188-
Proofs, 188-The Individual Books, 193-Boston Ledger, 195-Short
Cuts, 201-Interest on Balances, 204--Statements of Account, 208-
Stop-Payments, 210-The General Books, 211-Boston Ledger for
General Accounts, 217-The Loan Department, 220-Loan Ledgers,
225-Collateral Loans, 226-Mortgage Loans, 231--Miscellaneous
Loan Forms, 240-Bills Discounted, 245-Investment Records, 249—
Clearing Checks, 252-Collections, 253--Letters of Remittance, 254-
Official Checks, 255-Drafts on Banks, 258-Certificates of Deposit,
258-Certified Checks, 260-Record of Expenses, 262-Records of
Supply Department, 265.
FORMS AND RECORDS FOR THE REAL ESTATE DEPART-
MENT, pp. 284-296.
Work of the Department, 284-Equipment, 285-Listing and Index-
ing Properties, Owners and Tenants, 286-Report and Memorandum
of Sale, 290-Renting Property, 291-Receipts for Rent, 292-
Statement of Rents, 294--Tickler, 294-Methods of Accounting, 294
Rent Books, 296.
THE TITLE INSURANCE DEPARTMENT, pp. 297-306.
Character of the Business, 297--Equipment, 297-Application for
Title Insurance, 298-Form of the Policy, 299-Conditions of the
Policy, 301-Insuring the Grantee, 303-Extension of Policy, 304-
Release of Claim, 305-Policy Register, 306-Value of Title Insur-
ance, 306.
METHODS OF INCREASING BUSINESS, pp. 307-322.
Reasons Why a Trust Company Should Advertise, 307-Kinds of Ad-
vertising, 308-Management, 308-Planning a Campaign, 310-Me-.
diums, 312-Newspapers, 312-Circulars and Booklets, 312-Letters,
314-Other Mediums, 315-Personal Efforts, 316-Audits and Ex-
aminations, 317--Treatment of Customers, 317-Increasing Trust
Business, 318-Preparation of Advertising Copy, 320-Typographi-
cal Make-up, 322.
EXAMINATIONS, AUDITS AND OTHER MEANS OF SAFE-
GUARDING THE BUSINESS, pp. 323-332.
The Parties Interested, 323-Accounting and Administration, 323—
Purposes of Audits, 324-Examinations by State Officials, Commit-
tees of Directors, Stockholders, etc., 325-The Audit Department,
327-Selection and Treatment of Employees, 328--Qualifications of
Employees, 330.
Fees, Problem of Determining, 333-Fees as Executor, etc., 334-As
Assignee and Receiver, 335-As Trustee Under Bond Issue, 335—As
Transfer Agent, 336-Time and Labor-Saving Devices, 336-Branch
Banking, 337-Banking by Mail, 337-Offices and Buildings, 338-
Exclusive Buildings, 339-Membership in Federal Reserve Banks, 340.
THE DUTIES AND LIABILITIES OF TRUST COMPANIES
ACTING IN VARIOUS CAPACITIES, pp. 346-376.
Transfer Agent, Duties of, 346-Liabilities, 348-Liabilities of a
Corporation Acting as Its Own Transfer Agent, 319-Responsibility
of Separate Transfer Agent, 351-Methods of Safeguarding the
Transfer Agent, 354-Rules for Stock Transfers, 355-Duties and
Liabilities of the Registrar, 358-Trustee Under Bond Issues, 361-
Conditions in Trust Deed, 362-Papers Required in Assuming Trust,
366 The Payment of Coupons, 369-Escrows, 370-Depositary
Under Plans of Reorganization, 370-Executor or Administrator, 371
-Trustee, 373-Guardian, Conservator, etc., 374-The Investment of
Trust Funds, 375.
Germs of the Idea in India and South Africa, 377-The Australian
Trustee Company, 377-Statistics of Australian Companies, 379-
Powers, 380-The New Zealand Public Trust Office, 382-Canadian
Trust Companies, 384-Cuba, Mexico, 386-Argentine Republic, 387
Japan, 387-England and Scotland, 388-European Countries, 389.
SUMMARY OF STATE LAWS RELATING TO TRUST COM-
PANIES, pp. 390-475.
Alabama, 390-Arizona, 391--Arkansas, 391-California, 393-Colo-
rado, 396-Connecticut, 397-Delaware, 399-District of Columbia,
400 Florida, 401-Georgia, 403-Hawaii, 401-Idaho, 405-Illinois,
406-Indiana, 408-Iowa, 409-Kansas, 411-Kentucky, 412-
Louisiana, 414-Maine, 416-Maryland, 418-Massachusetts, 420-
Michigan, 423-Minnesota, 425-Mississippi, 426-Missouri, 428-
Montana, 430-Nebraska, 431-Nevada, 433-New Hampshire, 434
-New Jersey, 436-New Mexico, 439-New York, 441-North
Carolina, 445-North Dakota, 446-Ohio, 448-Oklahoma, 450—
Oregon, 452-Pennsylvania, 454-Rhode Island, 457-South Caro-
lina, 459-South Dakota, 459-Tennessee, 460-Texas, 462-Utah,
465-Vermont, 466-Virginia, 468-Washington, 469-West Vir-
ginia, 470-Wisconsin, 472-Wyoming, 474.
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