PraEtical Exporting After the War
IV. LegaL Aspects ~f For~ign Trade
By Alexander K. G insburg
Attorney at La.(
(Exporting will become an important
part of the business of many a Coin Ma-
chine lobber and Distributor after the war.
To pave the way for an easy particip.ation
in this new business we are presenting a
group of informative addresses ~n Export-
ing delivered at a recent F oreLgn Trade
Clinic of the Los Angeles Chamber of Com·
merce. This is the fourth in the series.)
In thinking of law as it affects foreign
trade, we must keep in mind that where
one of the parties resides here, and the
other party to the transaction resides in a
foreign country, a question of first. im-
portance is as to which country's law IS to
be applied in determining the rights and
liabilities of the parties in the event of a
dispute arising between them.
Assuming the laws of each country are
different as is usually the case, a conflict
of law 'arises, which in legal science is
termed "private international law." This
term is not to be construed as meaning
that private international law IS a super·
stratum of law or that it is a superior sys-
tem of law to that of the individual coun-
tries concerned, but is simply to be distin·
guished from that system of law conce~n ed
with the law of governments or natIOns,
otherwise known as public international
law.
Private international law is simply the
application or effect of, for example, th.e
law of California as applied to a SUlt
b ;'ought locally on a contract which was
executed in Sydney, Australia.
1. Agreement s Between Principal
and Agent.
In the first part of this discussion we
will treat of the legal aspects of agency
rt"lationships between foreign traders resid ·
illg in this country and those residing in
some foreign country.
At the outset it should be stated that
no legally drawn agreement is ever an
a d equa te substitute, no matter how ex-
pertly drawn, for the car eful investiga-
tion which will reveal the character, in-
tegrity and reputation of the represen-
tative whose services are sought as an
agent.
Bpt this vital and basic fundamental hav-
in" heen examined, let us consider some of
th~ lEgal fa ctors which control the rights
and liabilities of principal and agent.
The same principles will govern, of
course, whether a local foreign trader is to
be an agent of a foreign principal, or
whether the local foreign trader is to be a
principal to an agent in a foreign country.
An agency is a relationship in which
one person, called an agent, represents
another per~n called a principal, in
dealings with third persons. The word
"agent" stem s from the word "ago"
meaning a doer, a force, or power that
accomplishes things.
Persons may be agents though not an-
swering strictly to that name. There are
valiou:; types of agencies in foreign trade,
as there are in dome~tic business. A dealer,
distributor, factor or manufacturer's repre-
sentative are some of the designations. It is
not the name used to denote th e parties but
their true legal relations which determines
whether an agency relationship exists.
In certain foreign countries the use of
the term "agent" or its equivalent -in the
foreign language should be avoided, since
it may subject the exporter to taxation on
the business he does in the foreign country.
Arcade Equipment
-
SEE--
PAUL A. LAYMON
DISTRIBUTOR
COIH
MACHIHE
REVIEW
ALL MACHINES COMPLETELY RECONDITIONED
If Not Sa.t isfied, Return Within 10 Days, Money Will Be Refunded
ONE BALL PAYOUTS
...
BALLY
I Fairmont ...... _-_ ... ............ $750.1){)
5 Turf King.
.. 565.00
12 Jockey Club ... ............ :::: 400.00
550.00
3 Fortunes ........
II Kentuckys
. ... 398.00
Long Shot :::::: ... .............. 370.00
Sport Kings ..... ............. 350.00
Santa Anita
............. 325.00
Grand Natiorlai
135.00
Pace Makers ...
135.00
Thistledown
75.00
Grand Stand·
70.00
Preakness ...........
39.50
Fairgrounds ....
39.50
Stabl ••
35.00
Fleetwood'"
30.00
Gold en
3000
KEENEY"
I Stepper. Upper
...... $130.00
I Pot Shot .....
75.00
35.00
5 Velvets .....
WESTERN
I Mardi Gr .. .................... $ 70.00
I Derby Kin g
80.00
2 Center Smasher'i "
25.00
25.00
I Flying High
25.00
I Paddl.s ....
STONER
I Zipper ............................... $ 75.00
4000
I Turf Champs
I Air Races .... ................... 35.00
MILLS
........... $125.00
I Spinning Reels
I On e, Two, Three ...
75.00
5
9
14
17
5
5
7
4
3
I
2
I
wli.·.'·····
CONSOLES
I Three Bells ...
............. $ 1225.00
3 Four B.II.
............... 750.00
175.00
33 Jumbo P'a rades ..
135.1){)
I Square B. II ......
KEENEY
2 4 Way Super B.lls-
..... $950.1){)
3/ 5e·I / 25e
2 2 Way Super Beii'i:'='
5e and 25e ......
.... 71){).00
175.00
I Skill Time-'41..
2 Track Time ( R.d ·H.ad) 125.00
I Dark Horse .......
90.00
JENNINGS
2 Silver Moo n
................ $150.00
130.00
2 Bob Tail-F.P·: ·
I Lib erty B. II
25.00
EVANS
I Pacer-'42 ........................ $450.00
....... 425.00
I Lucky Lu cre-'42
3 Galloping Dom inoEis'
( Lat. H.ad) .................. 295.00
I Roul.tt. J r . ( Lat. H.ad) 250.00
......... 225.00
I Lucky Star-'42
BALLY
2 Big Top-F.P.
I Ray's Track
.... $125.00
75.00
EXHIBIT
I Chuck-a-Luck
.......... $ 45.00
PACES
I Races-Brown .................. $180.00
2 Saratoga-'41
170.00
BAKERS
4 Pacers-D . O. .................. $325.00
JUHE
1944
MILLS
I 25e Blu. Front.. ............. $300.00
I 10e Blu. Front . . . ............ 220.00
15 5e Blue Front
185.011
2 5e Bonuses
. ..... :::.: 250.00
I 25e Roman ·Head . ......... 270.00
I 10e Roman Head ............ 220.00
2 5e Rom an Head ..
190.00
I 5e Front Ven dor ......... 9500
2 25e War Eag le
275.00
3 10e War Eag l. .................. 200.00
8 5e War Eag le .
150.00
I 5e Dial ................
125.00
I 10e Lion H.ad
80.00
2 5e Lion Head .....
60.00
2 5e Melon B.lls
175.00
I Ie Arrow Ven dor:::
45.00
I 5e Arro w Vendor ............
50 I){)
I 10e Rocko la Obi. JP ...
75.00
I 5e Rockola Ohl. JP ...
60.00
I 5e Di amond Front
Vendor
95.00
I 10e Glitt.r·····
130.00
JENNINGS
I 5e Chief-One Star ......... $125.00
2 Ie Littl. Duke .
25.00
WATLING
I
I
4
I
I
25e Blue S.al ................. $
10e Blue S.al
5e Blue S.al
10e Single Jack·jiot::: ...
10c Twin Jack Pot...
ARCADE
BALLY
I Ra pid Fire ........................ $225.00
95.00
I Bull ..
MILLS
: ~~lP ~~I:t L~~:nt~~te;::::···$
~~:gg
ROCKOLA
I World Seri.s ......
I Ten Pins ................
. ... $100.1){)
60.00
INTERNATIONAL
MUTOSCOPE
P istol Snip.r .
Pok.r Rolls
. ... $225.00
80.00
I Radi o Rifl e .......
WURLITZER
3 14 Ft. Sk •• Balls...
GOTTLIEB
75.00
. ... $200.00
I Sk •• Ball.tte ................ $ 85.00
MISCELLANEOUS
I Warn er Voic e Record er .. $595.00
I RCA Vi ctor Voice R.e ... 300.011
2 Pop Corn Machines.......... 70.00
5 Ie Exhibit Card Vendors 35.00
COUNTER GAMES
Columbia Fruit R •• L ........ $
Columbia Bell Cigarette
R.el ..................................
Shipman Stamp Mac hin e.
N. w ..........................
Ba lly Reliance Dice .
80.00
65.00
40.00
70.00
60.00
ABT Targ.t Pistol. ...
25.00
5c American Eag le
20.00
King Six .......................
19.00
Major Sires ..........
17.00
Little Whirlwind .......
9.00
Victor Topp ers. New............ 7.00
Ic, 2c. 5c. Coin Chutes ; New
Replacement Rectifiers ; Ray Gun
Lamps, 30 Wire Cable. Poker
Rubber Balls. B.B.'s for ABT
Rifl e Range ; Also Large Stock
of Parts.
80.00
500 Other Machines Not
Listed
30.00
35.00
Crating Charge on Floor Machines
$7.00 on Each Machine
80.00
$15,000.00 Superior and Container Punchboard Stock at Factory Prices
STEWART NOVEI.TY COMPANY
250 South State Street
Phone 3·5055
Salt Lake City 1, Utah
THE BLUE BLOODS OF THE INDUSTRY READ THE REVIEW EXCLUSIVELY!
11
FOR
SLOTS
MILLS
Spec/allll Distributors' Dea/-15% Discount If You Buy All Machines of One Type!!!
........................ $225.00
I Anti·Aireraft
.......... 225.00
to Buy
-----------------TURN PAGE
FOR SAI.E
KEENEY
I Submarine
You Want
A commISSIOn agent, under the laws of
many foreign countries, is considered to be
a member of a class of merchants whose
rights, powers and liabilities are defined by
the code or civil law. The status of goods
sent to him for sale! or on consignment is
likewise set out in the law, which also es-
tablishes certain duties whiGh the princi-
pal has toward the :·agent.
When appointing a commission agent
or sending goods on consignment it is
advisable to ascertain what the laws of
the foreign country provide, so that
the rights of the principal may not .be
injured by a failure to comply WIth
the legal requirements relating to for-
mal notices, repossession of merchan-
dise or other matters which might not
otherwise come to the auention of the
principal. In most cases the relation
should be established b y a formal con-
tract.
As an example of the complexity of the
project, the laws of New Zealand have pro-
vided that if the nonresident principal has
an agent in New Zealand who takes goods
on consignment, or who makes sales on a
commission basis and has the goods shipped
directly to the purchaser, the transaction is
considered to have occurred in New Zea·
land and the principal is liable for income
taxes in New Zealand.
The law permits the agent to withhold