The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1904-05-01
CREDITORS RIGHTS
ARE SAFEGUARDED
Act Prevents Fraudulent
Sales of Merchandise.
NOTICE TO ALL CONCERNED
Fraud Presumed in Event of Failure
to Comply With Law-C1icial
Sales Excepted.

One of the bills OF local interest which
failed to pass the Senate was House
bill 1890. to amend the act regulating
the practice of medicine and surgery in
the District Of Columbia, TO license ply
sic'ans and surgeons. and punish viola
tons of the provisions contained IN the
bill. 1t was one Of the bills passed ana
sent over by the House at the very end
of the session, and was referred TO the
Senate District Committee.
II was of especial local interest be-
cause of certain provisions enacting
reciprocal rights 90 District physicians
in other States where they ms wish
TO practice This would have proved
convenient 10 a number of ioc II ply
sicians who go to other States to spend
the summer and who incidentally prac-
tice there.
OF especial local interest in the final
legislation of Congress was the Dill
passed by both houses to prevent the
fraudulent sale Of merchandise IN the
District of Columbia
The bill was sent by the House IN the
last batch of communications TO the
Senate, and President pro TEN. Frye at
itched his signature at once. 1t then
went to President Roosevelt at the
other end OF the Senate private cor
ridor. and with his signature the bill
became a law just before final adjourn
inent was taken.
Provisions Of the Law.
The original House bill was modified
by the Senate by the insertion OF three
new sections In place of. the old first
section. AS now law the bin provides:
That It shall be the duty OF every
person who shall bargain for or pur-
chase any stock of goods, wares OF
merchandise In bulk. fer cash credit.
within the District of Columbia, 10 de-
mand and receive from the vendor
thereof. and If the vendor be a corpor-
alton, then from managing officer or
agent thereof. at least five ia Is before
the consummation Of such bargain or
purchase and at least five days before
raying or delivering TO the vendor any
part of the purchase price or consider
alton therefor. or any prcmissory note
or other evidence of Indebtedness there
for, written statement, under OATH
containing the names and addresses OF
all the creditors OF said vendor to-
gether with the amount OF Indebtedness
Cue or owing. or to become due or ow-
ing. by said vendor to each OF such
creditors. and if there be no such cred
itors, written statement, under oath.
10 that effect; and it shall be the duty
of such vendor to furnish such state
ment at least five days before aAy sale
or transfer by him of any stock OF
Goods, wares. or merchandise. in bulk.
THAT after having received from the
vendor the written statement under
oath, mentioned in section one. the ven
dor shall. at least FIVE days before the
contamination of such bargain or pUr-
chase. and at least Eve days before pay
ing or delivering 10 the vendor any part
of the purchase price or consideration
therefor. or any promissory note OF
other evidence Of Indebtedness for the
same. in good faith notify OF cause 10
be notified. personally or by wire O. by
registered letter. each Of the creditors
of the vendor named in said statement
of the proposed purchase by him Of su,h
stock of goods, wares. or merchandise.
and whenever any person shat pt--
chase any stock OF goods. wan $ or
merchandise in bulk. or shall pay the
purchase price or any part thereof. or
execute or deliver TO the vendor there
OF or 10 his order. or 10 any person for
his use. any promiSsory note or other
evidence OF Indebtedness for said stock.
or any part thereof without having
first demanded and received from his
vendor the statement under oath as
provided in section one, and without
also having notified or caused 10 be no.
named in such statement as in this sec
ton prescribed such purchase. sale. or
transfer shall. as 10 any and all credi-
tors of the vendor. be conclusively pre-
sumed fraudulent and void.
THAT any sale or transfer of a stock
Of goods. wares. or merchandise out OF
the usual or ordinary course of the
business or trade OF the vendor, or
whenever thereby substantially the "a
tire business or trade heretofore CON-
Quoted by the vendor shall lie sold or
conveyed. or attempted TO be sold OF
conveyed, TO one or more persons, shall
be deemed a sale or transfer in bulk, Ia
contemplation of this act
Official Sales Excepted.
1t is especially provided that nothing
In the new law shall apply to sales made
by executors. administrators, receivers,
or any public officer conducting sale
in his official capacity: and that. except
as expressly provided in the Law. moth
ing therein contained, nor any act phere-
under shall change or affect the present
rules of evidence or the present pre-
SUMMONS of Law