New-York tribune., 1920-10-02
Business News
Unjust Cancellations Being
Resisted i'm Cotton Goods
Buyers Trying to Break Con-
tracts Because the Market
Has Declined to Meet Re-
sistance,. 1t Is Indicated

Unjust claims and cancellations in
the cotton goods trade are being vigor-
ously resisted by the leading commits
sion houses in this market. 1t is un-
derstood that several cases were con-
sidered yesterday by the special COM
mttee on claims and cancellations of
the Association of Cotton Textile Mer-
chants of New York, to which most of
the large commission houses belong. 1t
is felt thac buyers who arc trying to
avoid carrying out their contracts, mere
ly because the market has declined
since orders were placed Will meet
with more strenuous resistance now
than has been shown by the sellers
since the first turn in the market be-
gan last spring.
Following the meeting yesterday the
COMMITTEES. over the signature of 5. F.
Dribbcn, Of the Cone Export and Com
mission Company, chairman, lsued the
following statement: E,
cat our meeting to-day we consld-
cred onlv those claims and cancella-
tions that were purely arbitrary and
without lust cause. Instances where
an honest difference Of opinion over
the terms of contract prevailed were
excluded from our discussions, as they
would properly be referred to the com
mittee on arbitration, the desire OF the
association being merely to insist that
narties to a contract act in good falth
and observe it's terms. Our commit
tee will function at once, carrying out
the thoughts conveyed by the member
ship. ;,,
"Hcnceforth individual members Will
not permit unjust cancellations or
claims, but will use every posslols
means to have the contract carried
ont To its legitimate conclusion. 1t
is quite clear, with this line of action,
the cancellation problem will quickly
solve itself. -,
"Thc thought further prevailed that
the merchant who allows contract
to he regarded as merely a scrap OF
naner and permits cancellations of an
Unjust nature, is doing his trade d
wrong which differs only in degree
from the buyer or other merchant VINO
attempts to cancel.
"There has always been more or
less disposition on the part of some
BUYERS to take it for granted that
the seller is impliedly guaranteeing
the price mentioned in contract
3galnSo 0eCl1nS uullHS tuc iilC ~ HuNi
an obligation. and at our meeting to-
day it was the sense IF all present
that this Indifferent way of regard
ing contract frequently leads to at
tempts at cancellations by buyers dur
ing declining market.
"The association is very much in
earnest in its endeavor to correct
these trade evils, and the special COM
mttee, with the cooperation of the
membership, intends to pursue the mat
ter in vigorous fashion"
This committee was appointed some
time ago by Malcolm D. Whitman, of the
William Whitman Company, president
Of the organization, and includes the
folio ing we'll known textile men:
w. H.. Baldwin, Woodward, Baldwin &
Co.; B. H. Borden, NJ. G. D. Borden 6,
Sons; J. Bramhall, Amory, Browne e.
Co.; ". &. Broadway. Smith, Hogg &
Co.; G. W. Dali, Ridley, Watts G Co.;
Lincoln Grant, Wellington, Sears &
Co.; L. l.. Hopkins, Bliss, Fabyan e.
Co.; II. ". Howe, Lawrence e. Co.;
D. w. Jarvis, Jarvis, Loomis &
Boucher: +. Colt Johnson, J. H. Lane
g. Co.; w. D. Judson, Parker, Wilder
g. Co.; G. H. Mlliken. Deering, Mill
ken &; Co.; R. E. Reeves. Hunter Manu-
featuring and Commission Company;
]. +. Rousmaniere, J. Spencer Turner
Company; i. X. Rupprecht, Converse
& Co.; J. T. Stevens, j. p. Stevens E.
Co., and Spencer Turner, Turner,
Halsey Company