Richmond daily register. (Richmond, Madison County, Ky.) 1917-1978, 1922-01-26
Pool Protected By Contract
AS Well As BY Law

sale %; the pooled crops by those
seeking ~ ''wclch' Un their agree
mcnt is given not only by the
marketing contract signed BY the
growers. but by the Bingham CO.
operative marketing act recently
made a daw by the Kentucky leg
islaturc, according tp statement
given ont by Col. Joseph Passon-
neau. chief of the field service
division OF the BurIey Tobacco
I Growers cooperative Associa-
ton. at Lexington.
Besides the provision ri the
Bingham law. which provides a
penalty Tor warclIouscIncn who
may induce growers to breach
their contracts by the safe OF
pooled tobacco over their floors.
Col. Passonncau said that there
are two or three paragraphs Of
the bingham cooperative mar
keting law which should lie oi
particular interest To the men,
bers OF the Burlcy Tobacco Grpw
crs cooperative Marketing As
sociatiun.
Discussing the provisions Gf the
new law in this respect. col. Pas
Sonncau said:
Paragraph {. Section lS. say,
that IN any action upon the mar
ket.ng agreement it shall he CON
clusi"ciy presumed that land
owner or landlord or lcaSor i able
10 control the delivery OF tubac-
go produced OH his land by ten
ants or others" That clause oi
the cooperative law WAS intend
ed L. enforce Paragraph 4. Sec
lion l3. uf the marketing agree
ment. which SAYS that the agree
mcnt shall be binding upon the
grower a, long a. he produce,
tobacco difectly or Indirectly. or
ha> the legal right to cXerc 81
any control of am. commercial
tobacco or any interest therein a
Il producer or landlord during tllr
term Of the contract 80
Neither the cooperative mar
letine law nor the contract vii!
be construed a. meaning that in
all cases landlords this wear are
expected g control the dclivery,
OF the tobacco of their tenants. III
Is presumed that at the time the /
contracts were signed most land 7
lYrd> had contracts for the year 3
1921 with their tenant, 10 the CT
icct that the tenants Should cor
troll the sale OF ouc-hali of the to
bacco. But Section Is OF the
marketing agreement and Para
graph {. Section Is, of the mar
keting law will apply III all case
in 1922. ;
Landlords, in making new con-
tracts with their tenants, tiierc-
lore. should keep in mind these
two provisions and write their
with their tenants in 4
way that will enable them tu Sc! :
ali of the tobacco thcmsclyc, and !
divide the proceeds with thcif,
tenants.
Paragraph b. Section Is. bl thu
new Law. provides thdt ''in tf,cy'
event pi any breath or tiircatcii7t
ed breach of"thc marketing con
tract ljv member. The aSsocia 3.
ton shall be entitled toan irIjunc-r,
ton To prevent a iurtlier brcatk
ri the contract and To Z, dctrecaoi
specific performance. - e. ~.
The law further state, that -ir /
any such action. liquida,cd dam
ages shall be enforced a. such.
and that they shall not be regard
ed a penalties This last clause
the application of tn:
term ''liquidated damages" is in /
tended To enforce Section Is o.;
the marketing agreement. which,
provides that IN case q suit Is
brought against a member TO en-
force the provisions of the con-
tract. such member will paw IL
quidatem damages TO the associa-
ton to the extent OF FIVE cents
per pound on all tobacco which ne
may have sold prior to the grant
ing of an injunction BY the court.
Further, the contract states
that IF the association brings
any action whatsoever BY reason
OF breach or threatened breach.l
the grower agrees to pay TO the
association all costs OF court.
costs for bonds and otherwise,
of travel and all expens
eS arising out OF or caused by the
and any reasonable at :
torney's fee expended or incurred
by it in such proceedings.
Consequently. if growerI
breaks his contract. he cannot es-;
cape by merely paying FIVE cent>l
per pound as liquidated damages.
biIt unuSt nay in addition all