The New York herald., 1879-02-09
BAD FOR AUCTIONEERS.

EsTATE--LEaAL SALES TO BE MADE IN THE
NEW COURT HOUSE.
For years complaints have been prevalent in real
estate circles that there exists the Real Estate Ex
change a ring of referees and auctioneers who
derive large revenue by charging illegal fees
in the sale of property under foreclosure by
order of the courts. These complaints have
indeed taken shape In the form of official report
recently made by Mr.. John McClave. appraiser Of
the court who lately complained of these alleged
charges in communication to Chief Justice Noah
Davis OF the Supreme Court. Among other allegations
OF Irregularities in these sales the specific
that auctioneers employed by the referees to
make sales and that they charge the tigants or the
purchaser S25 each parcel sold we'll .
"lnock down fee Of So. The General Term some
time ago decided that such charges were Illegal. yet
ii is understood that the auctloneers continue to
charge these sums in nearly every Of foreclosure
sales.
NEW EXCHANGE.
The General Term. it seems have at last taken the
matter up. and on Friday order promulgated
the signature of the presiding Justice that WILL
it il believed not only protect tgants from further
imposition of This nature but revolutonize the
ner of conducting these sales. The order appeared
in yesterdays HERALD. For some years the
basement of Trinity Building, No. III Broad
way. of which Mr.. L. ID. Fowler holds the
lease. has been officially designated as the
place for holding all Legal sales There is immense
room. with about twenty-five auctoneers' stands,
where sales held The aucttoneers pay $3.50 per
year for stands and additional fee of So every
real estate "knock-down' BY this revenue and the
fees for the sale of stocks, &C., the exchange is sup
ported The greater portion of the revenue is de-
rived from legal sales, the knock-downs' last year
on 1870 such sales alone amounting to $500.
order
In every sale of lands real estate interests in real
%e s s DS ct the be
department ai,sr the hrst Monday Of March s7s shall
Of the new Court House in The city Of New Yrk Such
specified in the NOTICE and where several sales
made unless adjourned or in the order Of s
the judgment decree order BY which the
This. it will be seen, removes all Supreme Court
sales from the Exchange but it dos not affect sales
The effect, it is thought will be the closing Of the
rooms for want Of sufficient business.
BUYERS NOT TO BE TAXED.
After regulating the manner of advertising post
ing notices Of such sales and the fees to be charged
therefor the order strikes directly at the chief abuses
of which Appraiser McClave complained. Section
Every such sale shall be by the Sheriff referee
ss ~ s SE % h
other officer az his own expense, and in No shall
buyer sch sale party the action proceed
% such shah fee q" charge be 'ns os
paid for the of the place of sale stand at which the
same shall be made
The aggregate amount thus taken from the auc-
tioneer and referee who it is believed. generally di
vide the twenty-five dollar fee each parcel sold,
depends. OF course upon the number of legal sales
made. Last year 1870 legal sales were made, and
suming that in instance the fee of s25 col
lected the amount would be $5S 900, besides $1,000
collected and paid for the maintenance of the rooms
q grand total OF $G4,96O
WHAT THE AucTIoNEERs SAY.
HHp npfarxr ap6a altaArf
Der of auctioneers and obtained their views of the
new system. Many were very retcent. fearing that
it might possibly damage their business to be quoted
by name. They ALL however, declared the new plan
impracticable and 1t is proposed to call meeting of
referees and anctoneers At an early day to protest
tioneers who spoke unroservedly are given as
ample of the feeling that the order has excited
Colonel Bleecker, of Bleecker Son-"I think the
order will break up the entire legal business of the
auctioneers. The business now conducted is not
specially beneficial u.s. The referees usually make
the aucloneers divide the S25 fee claiming in most
cases half Of it, and in some cases more. Indeed.
sometimes pool is made up in which the plaintiffs
attorney the referee the auctoneer and the clerk OF
the court partcipstethe clerk to influence the bus-
ness. Goodness knows whether the judges get any
..urrERLY'' IMPRAcrIcABLE.
H. G. Camp-"lt appears to me that the plan pro-
posed by the Court is utterly impracticabie II
proposes that the sales shall follow in regular order
think when a<ljournments made great confusion
will follow" AIR. Camp added. III substance that
great annoyance would be caused by Parties in in
terest. and that the utterly unit for
the purpose for which they had been set apart.
Mr.. James NJ Wells-"The order will create great
cor fusion, think and possibly break up the present
ExchanBe II has caused great excitement on the
street, and possibly some action may be taken by the
present Legislature. There Is bill before the
Legislature ioviding that the referee shall be named
by the parties in interest from the ranks of respect
able attorneys Of the courts
Mr.. Ludlow (of Ludlow X OIL think ought
to have the old Post Office a. "a sslesroom. would
like to have my rooms set apart Tor all my own legal
sales"
Mr.. John t. Boyd--"The order only affects sales by
order of the supreme Court. As many sales made
by order OF the superior and Common Pleas courts
see no reason why the present exchange should be
broken up.
Mr.. Scott. OF Scott Myers-"I think the cour,
House is utterly unfit for saiesroom. The auc-
tioneers should combine and get special act ncor
porating exchange where all legal sales should be
made. 4 think the order will wipe out the present
exchange.
Mr.. Friedman. of Iispinasse a. Friedman--..If
the order is enforced sec nothing but removal OF
the business OF the street Pine street, tn the neigh
borhood of City Hall Park. Some may go up
must recoilect that business will centre about the
point of legal sales When great sales made in
partition buyers are Interested in them and
must be in the neighDorhood of tls salesrooms.'
MIR. kenneliy-"Ihe new rooms will be very incon-
venient. They untitled for the purpose. Aiy ex-
percnce is that there aro many referees who not
take part OF the SIS fee.
ANOTHER ISTEREsTED PARrv.
Mr.. l.. ID. fowler, who holds lease OF the Ex-
change, which has three years stii TO run said that
he had not yet deciied what to do. He knew that
the order would very seriously affect his receipts,
but seemed to have the impression that Il might
be modified by the Court on proper representations
being made by the members of the Bar interest ed.
Several lawyers he said had assured him il The
ter to pay auctioneers 80 each piece sold rwher
than appear there to superintond their sales.
Whatever the upshot OF this change may be II is
certain that II has caused great cominotion among
auctioncers referees and attorneys and IL L. likely