CREAM PAY-OUT TOO LOW

Taranaki Daily News, 19 May 1928, Page 15

CREAM PAY-OUT TOO LOW

NOT AS HIGH AS GUARANTEED SUPPLIER'S CLAIM FROM COMPANJ TAHORAITI FARMER WINS CASE. By Telegraph.—Press Association. Dannevirke, Last Night. A case of importance to dairy farmers was heard in the Magistrate's Court today before Mr. 11. A. Young, S.M. A Tahoraiti dairy farmer was the plaintill and the Eclipse Dairy Company the defendant. Plaintiff claimed £l9 12s fid, this being the difference in the price he received for cream supplied to defendant company, and what would have been received had plaintiff been supplying another factory operating in this particular district. After .1 lengthy hearing judgment was given for the plaintiff for the full amount with costs. Leave to appeal on a point of law was granted. In 1925 and 1926 defendant company issued an advertisement in a local paper and cards to farmers in the district, in which it guaranteed to pay a price equal to, if not better than, that given by any other company operating in the district. Acting upon the representations of the company plaintiff agreed to supply it. Subsequently he ascertained that the company was not keeping faith with the guarantee. When approached on the matter the managing director and the secretary of the company blamed the Control Board.

Counsel for plaintiff said the case was in the nature of a test action. Other suppliers of the Eclipse Dairy Company were waiting the result of the present case and were ready to take action. The case depended on whether the contract wae ae between buyer and seller or one of agency.