The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-12-07

cuualiztion of credits upon tobacco has for years
past been the custom with many dealers IN tne iarge
Northern and Southern cities who hard pressed for
money, and sometimes in failing circumstances
avail themselves Of the disparity In credits allowed
upon tobacco and other articles III winch tney
may deal to use the former hnanciering
basis to enable them To raise means To meet nmedlae
and pressing liabilities in preference, or from tne ma
bilty negotiate in the ordinary Large purchases
OF tobacco made al full prices upon the usual
which forthwith again thrown upon the Market anu
through the nterposon brokers' sold either Tor cash
or upon credit within negotiable range, at prices not
only greatly below cost, but often so much lower hh III.
manufacturer can afford to make lot, as 70 Pacc ~
the power Of third party, not only to manu-
facturer but actually to realize better prom tnan ne
would do At as full prices This is serious, wide spread
once be effected by reducing the credit TO an equality with
other manufactured commodities of pc country
Resolved That all agents ior ~ SAFE u virginia anu
hereby required to limit their credits upon all sales
such tobacco made and after the first day Of July next
TO four months.
Among other Objectionable usages which prevail in the
selling OF manufactured tobacco in many markets ana es
pecay the Northern markets. is that OF making an al
lowance of from one TO five pounds per package weigh
ing the purchasers and II not unfreqnenty happens
that additional allowance Of from one TO two pounds
per package made in the tares, and which is usually
designated in the trade extratare" Either allowance
is not only unjust and unnecessary in ITSELF but Is an
nually the source Of immense loss 70 the manuac
turers.
Resolved That nfoture agents for theale Of manuac
tured tobacco account Of Virginia and North Carolina
weights of the tobacco sold by them in excess of the
actual tares of the package containing II.
NAMES or PURCHASERS
The custom Of stating the Of purchasers OF manu-
featured of sales rendered has long
been discontinued nearly all the principal agents Of
the country anda such omission may in truth has
of unprncrled agents deem due to our safety
as unquestionably is right, to insist upon the
OF custom which is not only source Of salts
the manufacturer but constitutes safeguard to
him against fraud and dishonest practices Honest agents
reasonable ground OF objection 70 IFS restora
ton while il is obviously salutary and indispensable
check upon those who not
Resolved That all tobacco agents in future be required
the Of their purchasers in their account
sales rendered
AGENTS DEALING ON rYIRrR OWN ACCOUNT.
The practice OF specializing in tobacco self account
by agents is one OF growing magnitude, and is fraught
with injury to the manufacturers. II cannot otherwise
than be characterized as Migrant and wanton breach
OF faith the part Of the agent towards his prn-
cpa and should always be severely reprehended and
discountenanced by fair dealing merchants The agent
should hold such position toward his principal as
will constitute him safe and reliable guardian Of so much
OF his interest may be entrusted to his keeping; but
whenever he becomes a dealer in the very commodity
which he processes to sell in secondary capacity he at
once position directly antagonitc to his con
sgnor him his most formidable aud danger
competitor in market, and is thereby rendered not
only unfit to properly perform the functions Of agent
but unworthy the confidence or credit of his principal
Resolved, That the practice of dealing in manufactured
tobacco their account by agents Is IN the highest
degree reprehensibe and should be dseountenanced IN
every reasonable way by the manufacturers. and taa IN
be the habit of dealing specializing therein on then
own account.
FRAUDULENT BRANDS.
The pursued by many of the western Inanufac
urers of branding the of some Virginia or North
Carolina manufacturers and not unirequenty the name OF
some CT the principal manufacturing towns well as the
name of the State upon their packages is evil OF
inconsderabe magnitude To arrest this evil the tobac
manufacturers Of Virginia and North Carolina and the
agents whom they employ in the sale OF their tobac
Co should feel themselves called upon by every consider
alton justice and fair dealing, not TO themselves but
throughout the United States By this dishonest Device
the manufacturers have made the lhgh reputa
ton and acknowledged superiority Of Virginia tobacco one
of the principal means Of suppantng Virginia manufac
Their sales have been diminished and the reputa
ton Of their brands made 70 suffer by an inferior Wes
Virginia rr 't tobacco, which would no, have been
purchased at all If its true character had been
known. wrong is thus done to Their customers As
well themselves We think that the Congress Of the
United States should render that protection in the pre-
which alone has the power efectually TO extend
therefore,
Resolved That our Senator's and representatives in Con
gress requested thereorts TO have law pass
cd making felony for the manufacturers and dealers OF
tobacco any State TO the name OF any other
manufacturer the OF other state any other
district in another State, in branding their TO-
Resolved That in consideration OF the lessened time,
and consequent diminished risk, We will allow commits
SION guar OF account TO our agents on all
manufactured tobacco consigned TO and sold by them
Resolved That all sales made by factors to msnufac-
shou be rendered in account sales 70 the latter
Resolved. That no manufactured tobacco shall be in
sured 10 keep in sound order longer time than ten
days from date Of SALE unless such or guarantee
is made by the factor at his own risk solely
Resolved That all sales guaranteed should be cashed by
the guaranor after deductng the interest from the date
Of settlement to maturity Of sale
Resolved Thai pledge ourselves, the one TO the
other and one all upon sacred honor TO abide by
each and singular Of the foregoing resolutions and that
We will ship agent factor who will not conform to
said resolutions far the same may be applicable TO
him or them.
The charges which sales OF manufactured tobacco are
usually subject also merit our serious consideration
when there apparent necessity Tor giving eight
ten and not unfrequently twelve months credit upon
sales Of tobacco, i was not unreasonaoe tn ,,s
have been charged proportioued 10 the heightened
risk The rate then charged, which was very liberal
one for the longest named above, has remained un
changed not ing the term Of credit has at dic
rent times been reduced from twelve To SIX months, and
believe tina, no change Is contemplated by the agent
The guarantee and commission charged upon sales VI TO
bacco now. and has we believe, always exceeded
gcd upon any other commodity sold IN the coun
try while we feel safe affirming that the risk TO the TO
bacoo agen, and has always been much less than that
Of any other class Of agents "A before sate1 MS best
and largest customers are The wholesale grocers VINO are
generally Justly regarded the safest AMI most sol
class Of merchants the country during the late
nancal revulson, when house after house engaged 10
other branches Of trade and whose credit and soyency
were hitherto deemed nvulnerabe 70 any assault that
could be made upon them, were borne down by The
crushing force OF the storm the wholesale grocers.
with but rare exceptions, withstood each successive
shock and trumphantly outrode H. We are therciope
clearly opinion that the present rate OF guarantee and
commission much high, aud should be proportoned
not only AZ to the essened risk Ia time, but be no
higher than charged upon sas OF other Manufactured
articles.
while upon the suhjec, Of guaranty beg further 10
remark theory Of guarantee as practced by TO-
bacco agents only wrong in principle but amounts
20 species Of black mail" levied upon our business
inasnuch a. the charge made under that title d IN
iory of instances gratuy 20 the agent for a. far
as the manufacture Is concerned constitutes scarcely
fn4e VIII 70
the greater proportion Of losses that have been visited
upou manufacturers has resulted, not much from our
tobacco not having been paid Tor by the pur-
fulness OF the agent and " the proceeds OF
our sales had always, both IN law and
equity they ought 10 have been held sacred either 70
the pay en drats or, their absence, 70 our de
and instead ~ having been squandered by the agent
outside operations on his own account our osses 10 the
pas, would have been bagatee, for II IL seldom
indeed that tobacco agent WHO confines himself 70 the
legitimate operations Of his business, ever sccumu