, 1874-12-13
=" "CORNETtS.'' -

,, CORNERS"
:, 4 Member Of the Noar<f OF Trade Dis
q cusscs thcnl-.Ehe Present an Oppoz
tuno Time for Crushing Ont s. Coz
8 ncFss' md 81 Corrcr-MnKers.s,
To the Editor Of Tic Chicago Tribune:
!. Sir Now Is the time for the Board OF Trad
Of the City Of Chicago to forever put ut rect th
+ question of corners. Never did moro oppo,
E tune time for crushing corners out OF e1istenc
! and for removing them from the floor of tn
Board present itself than the present.
The great nlajoity Of tho members. having ca
upon tho ragged edge to their entiro Batisfac
ton, are thoroughly aroused upon the subject
mud are determined to see if q stop carnot b.
put to thmblc-rig dealing upon tho Board
There Is scarcely mouth passes or trad.
made upon the floor that is not made in dreat
OF some. confidence game being played upon the
Board, which shall subject the maker Of thu
trade to the mercy Of IN extortioner, and which
will also shake the Board to its very founda.
tious, destroying a1l trade and turning tue
Trade-Room into t1lers gambling-shop for the
| exhibition OF sharp practice. And ali in the
| na1ao Of trada!
Now, this should not bo. Tho Boatd of Trade,
AZ body, is not composed of cut-throats 8,
sharpcrs, and gamblers. Il is composed OF as
many fair-nindod, honorable men as can be
| found in q like body anywhere upon tho faco O.
| tho earth. There are exceptions. OF COURSE,
among its members, but, as body, the Board Of
Trade Of Chicago has no superior in ts apprecja-
tlon OF q high eeuso Of commercial honor
| Why. then. am asked, il il that the Board
almost monthly, is ccnyulsed from centre to cir
cumferenco by soma thimbe-riseiuS operation,
| or game upon its floor, which dcmora!izcs and
destroys all legitimate dealing, and brings dis
| grace and dishouor not only on the BSard. NJ
| neil as every ono in any way connected with it.
! but also upon the cntire City OF Chicago Tho
Produce Exchanges of New York Philade1phia.
Baltimore, Boston, Cincinnati, ST. Louis, Liver
pool, aud London have no exhibitions OF this
kind. Exhibitions of this description are alone
rezarycd for the Chicago Produce Exchange.
will tell you why it is. In the first place, onr
at fault. We entertain fasc, erroneous ideas of
wha. faithful ard honorable discharge Of
contract requires. and it Is just hero and upon
this point that corners get their support. They
honor which pervades tho Board upon the subject
Of filling contracts.
says cno, IL belloye in stanliag up to con-
tract sayn another, II doa't believe in going
constitutes going back upoa oue's con-
tract: Every ono kuuEs that the delivery
OF property can never be enforced upon q
contract-that the payment OF damages, in
Ct+|td p1 AEtILuI- 15 Aii t4it CdQ Dc cut .TCEu
Now, when q market is cerncrel every member
haFil15 outstanding contracts which he il ,irabp
to I'LL Oh the market, is actually Obliged to dfauu
on ds,iue'y, tho sano as If part7 had contracted
to deliver thousaud cords Of stone, in a=eci-
tied tl1ne and faeG to do it, for the reaBon that
ho could not get Tie stouo. This being conceded |
therefore, that whom market Is corucred tho !
seller, having outstanding contracts which he is |
unable to til il obliged to default upon delivery,
tho question then comes no in regard to damaTo |
upon such fault to who shall liz it. nuu
what tho amount shnli be-vhcthcr the other
party to the coEtsact. he being interested, shall
establish fictitious damage, according to his
he established bY dlslnterestcd parties. rnucr
the provision OF tho Board.
believe that, in all. such cases, strict COM
nerclal honor demands that, in cases Of default
on cootrarts, the damage should be established
by tho Board, rather than by ono party TO tho
contract and that. when q member who Is !
obliged to defnu!t upon his contract, pay5 tho
award of the Board. he stands W to l1aa con-
tract far more honorablr than ho wl,o pnvs
any damages the other party to the contract mar
demand.
Suppose. for instance, that Messrs. David
Do"s Il Co.. or 1lessrs. Jesso Ioyt Il Co., of |
New York. should sell, for fusure delivery, one or
two hundred thousand bushels Of q certain kind |
Of graln to bo delivered i'll q certain specified |
time as is frequently done on that marriott, and !
suppose that, at tho maturity of the contract. !
the property sold haa not arrived. and could not
wv 0N%N-AA@~N b. |
,oae the buyer of the property, knowing tho | ;
ability Of these houses to pay should de1aanu. /
'ay, fictitious price Of 81 buBheI damage up-
% their default. Think you that nlossrs- David .
DoTs d. Go. OF Nessrs. Jesse Hort & Co. would
consider that commercial honor demanded TINT ;
deY ahould submit to any such piece Of c1tor- | :
ion, simply because of the buyers clniming it.
m the ground Of his Offering 32.25 on the last
Isy o. the contract for that grade Of grain
hey we're going back upon their contract" OF !
lot standing up to thcir contract because +
hcy should refer the matter Of damage to tho | .
,roduce Exchange OF New York, and nsk that {
he amount of damage be fixed by disintcregt- r
q committee OF t!1at Board. rather than bv the i
ther party to the contract? Tho idea is m ab- :
urdlty! And yet this is an exactly si1ni1ar ill., i,
tanco .. to tue case OF party defaultingupon cur
\. Commercial honor demands equity and Il
ustlco IN dealing,-nothing moro and nothing a
'ss. Let us take another instance: Suppose 3
arty contracts to deliver lot Of timber for If
", 10 cents per foot, within given tlmo; and n
lpposo ho Is unable to deliver, for tho reason a.
lat tho timber could not be had, aud -
IL Obliged to default. and tho buyer n.
.ys to tho seller. knowing him to be able, .'You n
ust pay me- . dollar foot damages on YOUR !"
'ntract. offered and would hare paid 81 10 r.
'r all the timber any one would deliver on the j.
st DAY et your contract, aud, therefore. that ~
axes the market, aud you must settle accord i
gly." Would not any one considor tho dealer q
! ass or an idiot who should submit to anr
trade"? %'eA u
Commercial honor would simply demand that a. a.
g seller OF the timber should pay whatever ., o.
II, just, aud equitable damages should be ~
oven. &c
In tho second place, our rules are defect;va n
Is to be hoped that .the Committee who now ta
I'VE revision Of the rules of tile Board in fe
arge viii make them conform to The laws of to te
9 land. aud not undertake to make rufes ~
llch will provide for the collection of uniust -
fictitious damages. 81
Let the Committee draw up q rule which H.
u ethse clearly that the Directors shall disci r.
ne ne no member who has defauted upon his con- Gj
!ct who asks tho Board or the courts to estah ~. 81
the measure Of damage, md is willing and nf
,dy to abide the decision of the same, and NO of
Il not onIy be working under the laws Of our ri
antry, but we. will hear nothing further Of ~o'
'ners, for the simple reason that anv member .
ough he DO an idiot, would readily ecs tlat hn ,a
q, usd have no power to enforce extortion ~,
&. S. r. Mi
sdy Franklin and the Arctic Expcnt W.
tfon. ~;