The Bridgeport evening farmer. [volume] (Bridgeport, Conn.) 1866-1917, 1913-02-22
Judge HoIComb Looks
With Disfavor On
Concerns Deals
Suit of Salesman Reveals
System Of "Grease" for
Railroad Purchasers
(specia. to The Farmer.l

New Haven, Feb. 22-StrongIy scor-
ing the D. B. Crockett Co. for busi-
ness methods involving alleged rake
off, or grease paid to boss painters
of railroads using their supplies, Judge
E1olconb has returned a verdict in ia
vor Of the company in an action
brought by George Frank Smith, a
former salesman to recover salary
and expenses he claimed were still
owing.
During the trial it was testified that
an agreement had been made by Smith
with boss painter for the New Ha-
ven road by which the painter was
to receive 25 cents per gallon for
varnish bought from the Crockett
company. A similar method was en-
p1oyed with boss painters Of other
railroads, the memorandum of the de-
cision states. Smith sued to recover
his salary and expenses and in the
concluding paragraph of Judge Hol-
combs memorandum he finds:
The salary and expenses of 4, sales
man for making sales under such cir
Gums tances cannot be recovered. Such
contract is opposed to honesty in
business and contrary to public policy.
It is an illegal contract. The bonuses
contemplated by this contract were
paid as brf1oe to employees of railroad
companies tempting and inducing such
employees to violate the confidence
placed in them by their employers and
which might result in the purchase of
inferior goods, and in any event cor
rupting the individuals to who such
bonuses were given. Judgment will be
rendered for the defendant" Travel
ing expenses of 800 a month. 1t was
agreed by the parties in the second
action that the plaintiff should re-s
cover only $1,750 and his expenses In
the first trial, Should judgment be
rendered in his favor.
Testimony at the trial brought out
that there was paid to parties un-
known bonus OF % cents a gallon,
alluded to in letters as grease"
amounting to $547.95 which was. paid
to employees of several railroads.
FtLJp to the present time the evidence
offered and received was as to what
the bonus mentioned in said con-
tract consisted of and to whose and
for what purpose it was paid The evil
dence so received consisted of the dep
ositor of Charles Turner, who, prior
to June 16, 1909, was the treasurer
and general manager of the defendant
company, the testimony of Homer C.
been president of the defendant com
pany, the testimony of the plaintiff
and various letters which passed be-
tween the plaintiff and defendant with
reference to said bonuses, which both
of said parties called grease and
the cheques given by the defendant to
the plaintiff and the cheque stubs con-
tanning the memorandum of said
cheques were given. Said several items
of bonuses paid aggregated $547.95
consisting of 15 different payments.
among other customers, the plain
tiff sold varnishes to the New York,
New Haven and Hartford railroad
through its purchasing agent, and sey-
eraI of these items of bonus were paid |
by the plaintiff to one Shaw, who was |
an employe Of that railroad company |
in the capacity Of superintendent of |
painting, or boss painter with a hum
dred or more painters under his super
vision and who, it appears, was paid |
by the plaintiff 25 cents per gallon for
varnishes which the plaintiff sold said I
roa1road company. This bonus was a |
present to said Shaw to induce and
cause him when making a requisttion
on the purchasing agent for varnishes
to be purchased by him for said rail-
road company to specify the varnishes
of the defendant and to recommend |
them.
The memprandum also states that
similar methods were employed with
the boss painters of otlae railroad.
The trial was held OK
The first trial of the suit was held
here about a year ago and the decision
was appealed to the supreme court of
the state where a, new trial was order
ed. The second trial came up about
two weeks ago.
Canfie1d & Judson to