SEC. 10. Be it further enacted, That any interest charged by the lender to the borrower in excess of 6% per annum or any fee, fine or charge whatsoever charged by the lender against the borrower whether for negotiating a loan or for commissions, examinations, attorneys fees, or any other bonus or additional charge whatsoever to those allowed in Section Excess charges, 9 of this Act shall be considered as a payment on the principal of such loan and the said loan shall be credited with the amount of such additional charge or i excess.

credited.

SEC. 11. Be it further enacted, That it shall be unlawful for any licensee under this Act to charge any sum on money for fire insurance on any article of personal property pledged as security for any loan, Insurance. or any fee for recording any papers connected with any loan under the terms of this Act, except such as are actually paid by such licensee; nor such licensee by pretended or fictitious sale or by the giving of a bill of sale and the taking of notes for the money borrowed charge any more than the legal rate of interest nor charge any fee for endorsing such notes.

SEC. 12. Be it further enacted, By the authority aforesaid that the license under which said business shall be conducted shall be issued if the business is sought to be conducted within the limits of an incorporated city or town by the officer of said city or town whose duty it is to issue licenses granted by the authority of such corporation and if without the limits of an incorporated city or town said license shall be issued by the County Court Clerk of the county within which said business is sought to be con'ducted. The officer issuing the license shall receive for each license so issued a fee of one dollar and fifty cents to be paid by the applicant.

Licenses

how issed.

business

SEC. 13. Be it further enacted, That if any person, firm or corporation shall engage in the business of making loans as prescribed in Section 1 of this Act Transacting without first obtaining a license for carrying on such without libusiness in the city, town or county in which said business is transacted or shall continue to conduct said business after forfeiture or cancellation of the

cense.

Violations.

license under which the same is conducted, such person, each and every member of such firm, or each and every officer of such corporation, shall forfeit the license and all fees and interest charged on the loan, and shall be guilty of a misdemeanor and the grand jury is hereby given inquisitorial powers over all violations of this Act.

SEC. 14. Be it further enacted, That if any licensee, licensed under this Act shall violate any of the provisions of Sections 6, 7, 8 and 9 of this Act or shall charge for the making of any loan any rate of interest in excess of six per cent (6%) per annum, or any fee or bonus in excess of those provided in this Act said licensee shall forfeit to the borrower in each and every such case, the principal sum loaned and all fees and interest charged and collected and the license under which said business is conducted shall become ipso facto void.

SEC. 15. Be it further enacted, That none of the provisions of this Act shall apply to, or in any way! affect any regularly chartered bank, or any firm or person engaged regularly in what is known as a "banking business', as now recognized by the banking laws of this State, nor shall any of the provisions of this Act be construed to apply to "pawn brokers", or to apply to merchants who furnish goods or supplies, and take a mortgage or other lien on personal property, to secure such debt,

SEC. 16. Be it further enacted, That all laws and parts of laws in conflict with this Act, be and the same are hereby repealed.

SEC. 17. Be it further enacted, That this Act shall take effect from and after its passage, the public. welfare requiring it.

Passed April 2, 1917.

CHAPTER NO. 63.

SENATE BILL No. 19.

(By Messrs. Johnson and Macon.)

A BILL to be entitled: "An Act to establish and maintain a system of registering and assuring titles to land; provide for the appointment and fees of the necessary officials and the creation and management of an assurance fund; and regulate all proceedings in applications to the Chancery Court for decrees of registration."

SECTION 1. Be it enacted by the General Assembly of the State of Tennessee, That for the purpose of enabling all persons owning any estate or interest in land, within this State whether legal or equitable to have the title thereto settled and registered, as prescribed by the provisions of this Act the Chancery Court having jurisdiction in the County in which the land lies in the State shall have exclusive original jurisdiction of all petitions and proceedings had thereupon.

SEC. 2. Be it further enacted, That the proceedings under any petition for the registration of land, and all proceedings in the Court in relation to registered land shall be proceedings in rem against the land, and the decrees of the Court shall operate directly on the land, and vest and establish title thereto in accordance with the provisions of this Act.

Appointment

SEC. 3. Be it further enacted, That the Chancellor of such Chancery Court in each County within thirty days after this Act shall go into effect shall appoint one or more licensed attorneys-at-law residing in the County wherein appointed, to be examiners of titles Examinersand legal advisors of the register in matters relating t to this Act, they shall qualify by taking oath before the Clerk and Master of said Chancery Court to discharge faithfully the duties of such office, which oath shall be filed in the office of the Clerk and Master. The term of office shall be at the pleasure of the Chancellor examiners of titles hereinafter described as examiners, shall have and exercise the jurisdiction

Examinersbond of.

Title-to establish.

Mortgages, liens.

and perform the duties hereinafter prescribed and receive the fees herein provided.

They shall not appear in or have any connection with any proceedings instituted under the provisions of this Act, and they shall be subject to a removal by said Chancellor of the Chancery Court whenever they are not careful, accurate or faithful in performing their duties. They shall give bond in such amount with such security as shall be approved by said Chancellor. The condition of the bond shall be to perform faithfully the duties required of said examiner of titles by law and to pay to any one injured by his mistake or oversight, such damages as may be adjudged against him by any Court. Said bond shall be deposited in the office of the Clerk and Master.

SEC. 4. Be it further enacted, That any owner or owners of any estate or interest in land within this State, whether legal or equitable, may prosecute a special proceeding in rem against all the world in the Chancery Court of the County in which such land is situated, to establish his or their title thereto, to determine all adverse claims and to have the title registered, any number of the separate, contiguous parcels of land claimed by the petitioner may be included in the same proceeding, or any one parcel may be established in several parts, each of which shall be clearly and accurately described and registered separately, and the decree therein shall operate directly upon the land and establish and vest an indefeasible title thereto.

No mortgage, lien charge or lesser estate than a fee simple shall be registered unless the fee simple to the same land is first registered. It shall not be an objection to bringing land under this Act, that the estate or interest of the applicant is subject to any outstanding lesser estate, mortgage lien, or charge, but every such lesser estate, mortgage, lien, or charge shall be noted upon the certificate of title and duplicate thereof, hereinafter provided for; and the title or interest certified shall be subject only to such es

tates, mortgages, liens and charges as are so noted, except as hereinafter provided.

tration of.

SEC. 5. Be it further enacted, That suit for regis-Title-regis tration of title shall be begun by a petition to said Chancery Court by the person or persons claiming, singly or collectively, to own any estate or interest in any land in this State, he may apply in person or by an attorney in fact authorized so to do.

charge of.

Suits.

If a party shall change his attorney, the name of the new one shall be substituted in the docket and Attorneysnotice thereof given to any adverse party. Infants and other persons under disability may sue by guardian or trustee, as the case may be, and corporations as in other cases now provided by law, but the person, in whose behalf the petition is made, shall always be named as the petitioner. The petition shall be signed and sworn to by each petitioner; shall contain a full description of the land to be registered as hereinafter provided, together with a plat of the same by metes and bounds; name age, marital condition and residence of the applicant (unless it be a corporation in which case its place of business and name shall be stated), shall show when, how, and from whom it was acquired; and whether or not it is now occupied; and if so by whom; and shall give an account of all known liens, interests, equities and claims, adverse or otherwise vested or contingent upon said land; full names and addresses, if known of all persons who may be interested by marriage or otherwise. The application may be amended only by supplemental statement in writing, signed and sworn to, as in the case of the original.

power of.

SEC. 6. Be it further enacted, That said Chancery Court shall have the power to enquire into the condi-Chancery Court, tions of the title, to, and any interest in the land, and any lien or incumbrance thereon, and to make all such order, judgments and decrees as may be necessary to determine, establish and declare the title or interest legal or equitable as against all persons, known or unknown and all liens and incumbrances existing thereon and to declare the order and preference as between the same, and to remove clouds from