AN ENGLISH TRADING STAMP CASE.

Evening Star, Issue 10903, 11 April 1899, Page 4

AN ENGLISH TRADING STAMP CASE.

The following summary of a recent" trading stamp" case in the Old Country will be of interest to traders at the present time. At the Birmingham County Court H. W. Baird, trading as the Free Stamp Company, sued Frank Payne, grocer, to recover £6 damages for breach of contract. The defendant nad signed the trading stamps agreement, but after a few weeks' trial had thrown it over, under the plea that the company had not advertised as fully as it should have done, and Payne put in a counter claim for £6 for breach of agreement. Counsel for the company, during the hearing of the case, suggested that'Payne had been induced to throw over his agreement by the Birmingham Grocers' Association, which was actively opposing the trading stamp system, and widen also was represented by counsel at the hearing of the case, which was tried before a jury. Plaintiff, in his evidence, said that he had advertised in Birmingham by distributing 106,000 books in the city. He did not issue any wall posters, but ne put three of the cards marked "We give stamps" in over 800 shop windows. Unless a customer got a book full of stamps he did not get anything for it. If he got 900 stamps, and did not get the odd 90, that would be all profit to him (witness). His Honor -. Now I think I begin too see where the profit comes in.—(Laughter.) Mr Tanner (to witness): How much money do you get for the 990 stamps?—99o farthings. Your profit seems to be so large that you cannot calculate it. You get a farthing on every stamp?— Yes. You commenced business in May?— Yes.

You came from America?— No. Where had you been engaged in business previously?—ln Liverpool. How many of these books have been presented for redemption during the time you have been in Birmingham?— Not over seven or eight. Out of 76,000? Do yon mean to say that only seven or eight have come for the reward?— Yes.

Are you sure about that?— Yes. What value does each reward represent?— Just such a value as the person who takes it attaches to it.

His Honor: Suppose a man came with his book "full and said " Give me a present," and you showed him something, and he said " I don't like that; give me something else." —I should say : " Take anything in the shop that is offered for one book."

His Honor, in summing up, said that, in his opinion, the contract was not an illegal contract. It was not illegal, because it came from America 5 it was not illegal because it was ingenious; it was not illegal because, if it was worked out completely, the profits would be considerable. All that was Idle. If the contract in itself was not illegal, then if a sane, sober man entered into it he was bound to carry it out. It had been argued that there was another ground on which defendant was not bound to carry out his part, and that was if the other party refused to do his part. That might be a very legitimate matter for a jury to exercise their mind upon, but it was plain that no evidence of breach of contract by the plaintiff had been adduced by the defendant. Since the defendant had repudiated his contract, he was liable to pay damages. Counsel for the plaintiff had stated that the latter's minimum profits would be 40 per cent. Against this statement there had been no evidence adduced, and the amount of the damages was a matter entirely for the jury's consideration.

The jury returned a verdict for the plaintiff, with one farthing damages. His Honor gave no costs on the main case, but granted costs on the counter claim, which was not allowed.