The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-10-29
FACTORS AND BROKERS.

by tho factors last week. that the hRitRton
over tho matter Of cotton brokerage would be
brought to close. No one can seriously
question tho prppriety of tho course pursued
BY tho factors; no one has questioned ID nj
least upon any ground Of Inherent equity;
and the hope was therefore reasonable That
tho situation might Do accepted On I'LL hands
md quiet once moro restored. This broker
age. as paid by the factors Oh account Ut the
shippers. ID literally d role Of barbarIsm II
grew out Of condition 81 things whose orl
gin antedates tho recollection Of tho oldest
merchants Ia New Orleans, though many OF
our factors remember when tho brokers
used TO 10 10 tho landing or
yards, clnss tho cotton and tnke the samples
to their own Offices. In those days tho
brokers really rendered n service to tho com
mission merchants and were farly entitled
to the brokerage But nil that has boon
changed long ago. Tho factors now cass tholr
own cotton, have the samples exposed In
their own rooms and, In nil other respects.
perform every duty devolving upon the re-
ceiver and seller of the cotton. Tho broker
no longer occupies toward them the relation
Or an intermediary. He rs now tho agent Of
directly opposed to TINT VI the factor. and
there is not the falntest shadow Of reason or
right IN the custom 81 forcing the planters
70 pay him for his services TO the
buyer. All the circumstances under which
the custom originated arc changed. Not one
OF the conditions which once justified It exist
to-day. What was proper enough fifty Or
sixty years ago Is nothing more nor less than
al imposition now. And, what Is more. every
body who has tho slightest connection with
or knowledge OF tho cotton business acknowl-
edges the truth Of what we say and find IL
impossible to advance an argument to tho
contrary.
such being the case, the only wonder Ia that
tho custom has boon endured 80 long. 1t has
been d fruitful source " complaint, md Of
most righteous complaint. for tho planters.
and 1t has furnished no little capital to rival
shipping points In their endeavors to draw
trade away from us to themselves. II has
been 90 injury to the city and to our cotton
interests. q burden to the planters and an
embarrassment, not TO say humiliation to the
factors. Surely II was time to put m end to
thing 90 utterly devoid Of all rodeemlnR
features Surely 1t would seem difficult for
those whose interests Ito In tho direction or
perpotuating tho custom to find an argument
In support Of their desire. Indeed, VIC nrc con-
tident that the brokers and tho buyers
realize this fact most thoroughly The re-
vlval Of the discussion on the subject does
not proceed from. or certainly is not based
upon, u claim that tho custom is fair or
equitable. We were told in the Picdv,lnc yes
terday that there had been meeting of tho
Cotton Exchange and that the dominant SEN
timent of that body had condemned the &C
ton of the factors Us being Ill violation of the
rules OF the Exchange. This version Of the
affair, unaccompanled by an explanation
which we are about to make, Is calculated TO
mislead. It purports to chronicle the dellber-
ate decision OF our leading commercial or
ganzation upon proposed Innovation, and
to the general reader would convey tho I'm
preston that the factors who signed tho an
made last Sunday morning
composed n small and fractions minor
lily. The truth is that those slgners
receive nj least ninetenths OF tho cotton that
comes to New Orleans, that they represent
nine tenths OF tho volume of the cotton bust
ness here, and control nine-tenths Of tho
money with which the crop Is made and
moved. They certainly have right to some
voice In the matter. and at all events must BIO
as masters or themselves Tho
vote taken at the meeting OF the Exchange
really represented d difference of opinion az
TO the Interpretation d rule, and simply |
marked the lines OF the conflicting interests.
There are, In round numbers. about one hun
o,I 81,
about ninety factors and It ls this numerical
situation and nothing more that was reflected
IN the vote to which the Picauumn refers.
But this ls problem which the Exchange
will have to evolve. We can only treat Its
salient points. One thing seems clear to us.
however. and that is that n set Of men so In
telllgent aud honorable rs the buyers and
brokers' chiefly are can hardly pursue this
matter much further. II may be that they
eel aEEreved ut some element or brusque-
ness III the manner of the factors action, and |
hat they are expressing their resentment In
his fashion. If that be the case, the struggle
Into these details We have no desire to enter.
There ought to be no bad feeling In d matter OF |
business policy like this and no one who Is truly
! friend Of either party to the controversy |
would seek to bring such feeling about. The
DEMOCRATS position is that the planters |
lave too long beon subjected to an onerous
and inequitable charge, which we are heartily |
glad to see abolished; and, since majority !
" the brokers and buyers themselves con-
,ede the injustice Of the custom, there should
W no serious difficulty in bringing all parties
into harmonious agreement as to the pro-
priety OK its abolition.
TO MANUFACTURERS