MARKETS AND RURAL ORGANIZATION. 397 



have the examiners work together in order to develop uniform 

 judgment in so far as possible. Later they were divided into examin- 

 ing squads of three. 



While the number of bales referred to this department during the 

 month of March were comparatively few a great deal of time was lost 

 in determining the disputes, because the trade was not thoroughly 

 conversant with the act and the Rules and Regulations of the Secretary 

 of Agriculture. This necessitated much correspondence calling at- 

 tention to missing samples, wrong tag numbers, and other errors 

 in the papers filed in connection with the disputes. 



In passing on disputes received in March the examiners found 

 that some of the cotton was untenderable under the provisions of the 

 United States cotton futures act, thus necessitating the return of such 

 bales by the receiver to the deliverer, who had to replace such bales 

 to complete the contract. This brought to light a new phase of the 

 situation which had not been taken into consideration, that is, the 

 fact that disputes might arise as to the grade or length of staple or 

 quality of cotton delivered in replacement. As no provision had 

 been made in the rules and regulations for the filing with this depart- 

 ment of such disputes, tentative rules were made allowing one re- 

 placement dispute and fixing a schedule of costs to cover it pending 

 the action of the Secretarj^ of Agriculture on this question. 



Among those received during March were certain disputes that 

 arose in settlement of contracts entered into prior to February 18, 

 1915. Apparently these did not come under the jurisdiction of the 

 department under the act, although the deliveries were made subse- 

 quently to that date, but such disputes were heard when both parties 

 to the contract requested that they be settled by the Secretary of 

 Agriculture. This action was taken after commimicating with the 

 parties in the disputes to the effect that the provisions of the United 

 States cotton futures act were not operative as to contracts men- 

 tioned in section 3 entered into prior to February 18, 1915, and 

 that it was the opinion of this department that findings of the 

 Secretary of Agriculture, if made, would not be accepted in the 

 courts of the United States as prima facie evidence of the facts 

 therein stated. As the parties still wished to know the conclusions 

 upon the disputes they had submitted, the questions were considered 

 and the conclusions thereon were made known for the information 

 and guidance of the parties. In such cases the parties at interest 

 Avere furnished only with an examiner's memorandum of conclusions 

 and no formal findings of the Secretary of Agriculture were issued. 



Between March 15 and March 31, 1915, approximately 2,500 bales 

 of cotton were submitted to the department. These disputes were 

 not settled, however, until about the middle of April, owing to the 

 amount of time consumed in securing from the parties at interest 

 absolutely correct samples, papers, etc. Very few disputes arose in 

 xVpril. During the month of May over 35,000 bales of cotton were 

 involved in disputes. In spite of the number of disputes, the work 

 progressed smoothly, with good results. This was partly due to the 

 fact that the trade in New York had become more accustomed to the 

 workings of the act, and it had profited by the advice previously 

 given. Also practically all were filed by stipulation instead of com- 



