Music Trade Review

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THE: M U S I C
FRAUDULENT TO COMPILE PIANOS.
Say Our Friends From Over the Sea—Some
Interesting Views Presented in a Foreign
Exchange—A Review of New Commercial
Laws in Germany—What They Are Doing to
Remove Fraudulent Competition—The Ger-
man Piano Manufacturers Condemn the
Compilers
of
Pianos—They
Warn the
Public and Suggest Enforcing the Law—
Great Britain Endorses This Proposition.
In commenting upon the need of new commer-
cial laws the London and Provincial Music
Trades Review says:
"It is indeed surprising how in many important
details our laws offer no remedies; equally sur-
prising are the loopholes in existing laws through
which slippery persons are able to escape penalty.
It would almost seem as if these latter deliber-
ately set themselves the task of finding out any
weakness in our legal system—such as would
scarcely occur to the ordinary human being—
in order to trade upon any omissions or upon
any case the laws have not specially provided
for. If the same amount of almost diabolical
ingenuity and cleverness were directed into other
channels, we would then probably h^ve a not
inconsiderable addition to the names in "Who's
Who?' or Haydn's 'Dates.'
"We have before us a little book containing the
laws on 'Fraudulent Competition' ('Unlauterer
Wettbewerb") passed by the German government
in 1896, and which in the space of a few years
have done much to clear from Germany a great
many taints in her commercial morality. Many
of these are in force here in England, and im-
pose similar penalties for their non-observance
or transgression. There are some, however, non-
existent here, which would, if introduced, bring
about a greater security and a greater equaliza-
tion of chances in competing for trade and cus-
tom.
"It is a well-known fact that, all things being
equal, the man without commercial morality
will have an infinitely greater advantage over a
man who values a clean conscience and a good
name (commercially) above anything. The lat-
ter is restricted from paying back in the same
coin the methods of his competitor; he is crip-
pled and helpless unless he retaliates in a similar
manner It was to protect those men who believe
that business can be done with success in a clean,
upright manner that these laws were promul-
gated.
"We think it may be, therefore, of interest to
members of the music trade in particular to make
acquaintance with some of these laws; perhaps
they may urge, through the various trade asso-
ciations they represent or belong to, the inclusion
of some of them, should, with the establishment
of a new departure for commerce, an addition to
present laws be found necessary.
"In section 1 of the laws alluded to we find the
following:
" 'Whosoever,, by means of public circulars and
newspaper advertisements, makes false an-
nouncements regarding the nature of business,
quality, make, price, nature of supply, distinc-
tions, reasons of sale, of goods or trade products
(such announcements being calculated to create
the impression that the offer is of a particularly
favorable nature), is liable to be charged with
concealment or omissions of the real facts.'
Penalty, maximum fine of £75; for repeated of-
fences, in addition to fine up to six months' im-
prisonment.
"As will be seen, this law- deals with untrue
and false advertisements, and it is added that
'printers, editors, proprietors, publishers, and
agents of papers and periodicals are liable to be
charged as well, if proved that they had knowl-
edge of the false nature of such advertisements.'
Detailed examples of some of the above terms are
also given:
"a. Nature of business embraces its age, ex-
tent, and range.
"b. Quality—pure linen, as against cotton or
addition of cotton.
"c. Make—manufactured as against hand-
made.
TRADE:
RE:VJE:W
9
"d. Price—promise of discount, which latter and interesting meeting at Coblenz on the
is added first to the price of goods.
last month. It was to this effect:
"e. Nature of supply—'direct' supply as
" 'The Association of German Piano Manufac-
against supply by middlemen, or sale of bankrupt turers condemns those firms which, while not
stock.
manufacturing pianos in their entirety, make it
"f. Distinctions—statements regarding diplo- falsely appear, by name or designation, that
mas, medals, awards, etc.
these are their own manufacture. The associa-
"g. Reasons of sale—on account of giving up tion considers it its duty to warn the public, in
business, illness, stocktaking sale. (The so-called view of the deception called forth by such busi-
'selling-off' sales are particularly proceeded ness methods, and refers to the laws on 'Fraudu-
against.)
lent Competition.' "
"Under this law it is enacted that no firm can
"We confess that we are in entire sympathy
advertise its goods as 'the best' or 'the cheapest and agreement with the above resolution, al-
in the market,' or make any similar statement though we are aware that many firms—in Great
which might cast even the slightest reflection on Britain as well—practise the deceptive methods
any other firm's goods.
which have caused such severe criticism. The
"Naturally there are several items in this law custom of buying, ready made, all the parts nec-
which are similar to those of the Merchandise essary to the construction of a piano is universal
Act of Great Britain. We are under the impres- and, of course, cannot be condemned in any way.
sion; however, that false statements, such as But by attaching their own name to such pianos
under a, d, e, f, g, cannot be made actionable, so as to make it appear that they are the real
unless under exceptional conditions. It is scarce- manufacturers, firms practise a deception which
ly necessary to point out the trickeries which cannot be argued away. If 'Smith & Co.' wish
some firms resort to in this country, and which to buy each part necessary to the construction
would be dealt with under this law if practised of an instrument from firms who make these
in Germany. Honest dealers and the public parts singly and ready for use, well and good;
know them too well and intimately. Similarly, there is no reason, perhaps (although we doubt
the possibility of procedure against editors, etc., it) why such an instrument should not be as
of papers and periodicals strikes us as being a good as pianos manufactured in their entirety
most effectual preventive of fraud. One need by one firm. But in labeling their instrument
only scan one's daily morning or evening paper 'Smith & Co.' or 'Manufactured by Smith & Co.,'
(the half-penny ones in particular) to find obvi- they undoubtedly deceive their customers as to
the real nature of the piano. Besides, 'Smith &
ously fraudulent and false advertisements.
Co.,'
in doing so, enter into an unfair competi-
"The ground covered by sections 6 and 7,
dealing with false statements made regarding tion with real manufacturers, who have invested
business firms by competitors or other persons, large sums of money in timber, raw materials,
is almost the same as by our laws of libel, while machinery, and are obliged to employ a large
section 8, which forbids the unlawful use or in- staff of skilled workmen.
fringement of another firm's name or title, is
"It was to help the real manufacturers on their
similarly represented. Section 9, however, is not thorny path to success that these German laws
dealt with in any act, as far as we can ascertain. quoted above were introduced. That similar laws
Its translation reads thus:
are wanted badly in England will be granted by
" 'Any employe, workman, or apprentice who, every one with any knowledge of the retail and
without permission, communicates business or wholesale business here. And we regret to say
trade secrets confided in him or known to him, to that perhaps no trade lends itself in such a de-
jother persons with the intent to harm his em- gree to fraudulent practices or requires more aid
from stringent laws than the music trade."
ployer, will be punished by a (maximum) fine of
£150 or (maximum) imprisonment of one year.
From our viewpoint it is difficult to see where-
Whosoever makes use of such business or trade in dishonesty or fraudulent practices come in
secrets, obtained in the above or any other un- in compiling pianos. The firms whose names ap-
lawful manner, or communicates them to others, pear on the piano fall boards stand sponsors for
will receive the same punishment. Transgres- the completed product, and there is no fraud
sors are also liable to pay damages to the in- upon the purchaser in their sale. Certainly it
jured party.'
is necessary that all the parts be united in one
" 'Sec. 10.—Whosoever, for business reasons, factory to produce a piano. The man who builds
persuades or attempts to persuade any other per- the piano is the one whose name appears on the
son to communicate such secrets is liable to a fallboard, or in other words, the one who buys
punishment of £100 or imprisonment of nine the parts and puts them together. Our friends
might go a step further and say that in order to
months.'
"Again, the above two paragraphs would make have it genuine and brand-proof, the manufac-
valuable additions to our laws. Employes, in turer should own the herd of elephants that pro-
manufactories especially, have often to be en- duced the ivory.
trusted with secrets, whether of business man-
agement or of a manufacturing process, these
PIANOS FOR JAPAN.
secrets sometimes being the reason of his em-
ployer's success. Instances where unscrupulous
competitors have not hesitated to extract such Chance For Our Pianos in the Island Empire.
confidential information by means of bribes or
promises are known to most business men, who
According to a commercial agent located at
would therefore welcome the additional safe- Yokohama, Japan, there is a growing demand in
guard of their interests an act, similar to the Japan for pianos, which has been supplied from
above, would provide.
the United States, England and Germany. He
"There exists another law in Germany, al- believes that there is a good opening for the Ca-
though not classed under these of 'Fraudulent nadians to enter in the competition, and men-
Competition,' which was pased to cope with the tions as principal manufacturers of musical in-
machinations of the so-called 'long-firm' swin- struments with whom correspondence in English,
may be carried on: Nishikawa & Sons, Hino-
dlers, and takes this form:
" 'The full names of each partner, active or dor- decho, Yokohama; Japan Musical Instruments
Mfg. Co., Ltd., Hamamatsu, Japan; Shinkichi
mant, are required to be registered.'
"Clear in its directions and simplicity itself in Matsumoto, Tsukiji, Tokio; Miwa Organ Mfg.
its application, this law has done much to stop Co., Nagoya.
those questionable practices alluded to, as, when
The Japanese pianos which were on exhibit at
approached by a doubtful customer, a merchant the World's Fair did not show originality in the
has only to hunt up the registers to see whether slightest degree. Even down to the cheap carv-
an old and notorious long-firm swindler has pre- ing they were imitations of the American product
sented himself under the disguise of anotner of ten and fifteen years ago. The only kind of a
name.
piano that would sell well in the Orient would
"In this connection it may be interesting to be a small instrument.
note an important resolution carried unanimously
by the Association of German Piano Manufac-
A new music store will be opened up at Rock-
turers on the occasion of their very successful ford, 111., at 101 West State street by R. E. Davis.