Page:North Dakota Reports (vol. 3).pdf/180

This page needs to be proofread.
140
NORTH DAKOTA REPORTS.

Thorp and Ellsworth, (Ball & Watson of Counsel) for respondent.

It is the right of any state to entirely exclude foreign corporations from doing business as such corporations within its territorial limits. Dayle v. Continental Ins. Co., 94 U.S. 535; Home Ins. Co. v. Davis, 29 Mich. 238, 8 Am. and Eng. Enc. Laws 333. It follows that the state may impose such conditions as may be deemed expedient, upon foreign corporations doing business within the state and may declare that all contracts made without compliance shall be void. Doyle v. Ins. Co., 94 U. S. 535; W. U. Tel. Co. v. Mayer, 28 Ohio St. 539.

Bartholomew, J. The appellant herein, the Wasburn Mill Company, is a corporation chartered by the State of Minnesota, and organized and existing under and by virtue of her laws. It brought this action in the District Court for Sargent County, in this state, to foreclose a real estate mortgage executed by S. J. Bartlett and F. G. Bartlett, the respondents herein, to secure a promissory note given by respondents to appellant. The answer admits the execution of the note and mortgage, and as a sdle defense thereto alleges, in substance, that at the time the samc were given, appellant was a forcign corporation, and was engaged in and carrying on the regular business of dealing in lumber at Forman, and other points in the Territory of Dakota, (now State of North Dakota;) and that said Note and Mortgage were given and received at said Forman, and in the regular course of appellant’s business; and then proceeds to set forth certain facts to show that at the time of said transactions appellant had not complied with the statutory provisions then in force in the Territory of Dakota, and now in force in this state, relative to the transaction of business by foreign corporations. There was a demurrer, to the answer, which the trial court overruled, and this ruling is the only question involved in this appeal. The statutes relied upon constitute § § 3190, 3192 of our Comp. Laws, and read as follows: “No corporation created or organized under the laws of any other state or territory shall transact any business within