184 IOWA DEPARTMENT OF AGRICULTURE 



But, gentlemen, there is another point in this insurance which 

 I think is feasible, and which this association miglit regard favor- 

 ably, and that is that if 10 cents were paid by every car that 

 came into the stock yards, and held as a sinking fund to protect 

 the shipper on his claims, you wouldn't have as much trouble as 

 you are having now on the claim subject. I think that is a legit- 

 imate proposition, but that the other one is not. 



Mr. Swan : The shipper who consigns has no protection what- 

 ever on his property; he takes his chances on it? 



Mr. Ames: Yes, there is no bond put up except the $5,000 

 which every man must put up to the Stock Yards Company that 

 his freight is paid. The shipper has no protection whatever ex- 

 cept what he can get out of the individual to whom he ships. 

 Whenever you consign a carload of cattle to a firm, they pass 

 €ut of .your hands. I know I am right; just as sure as I know 

 anything that I don't know. 



Mr. Hunt: -If ]\Ir. Ames' statement is correct, and the com- 

 mission merchant was responsible for the losses in many instances, 

 I am afraid he wouldn't get very much insurance. 



President Sykes: Mr. Hallett. of Chicago, who has been in the 

 live stock business for years, is witli us, and can doubtless give 

 us an opinion on this matter. 



Mr. Hallett: I don't know that the matter of the liability of 

 the commission firm has ever been definitely settled in a trial, but 

 it is the opinion of all commission men that we act as agents 

 only. The Stock Yards Company is the agent of the railroad 

 companies. I know that to be a fact, because I was interested 

 in a case in southwestern Iowa that brought up that very point. 

 A load of cattle was consigned to us and delivered to another 

 firm, and we put in a claim for damages. The Stock Yards Com- 

 pany refused to pay us, and we brought suit in the United 

 States District Court, in Fremont county, and the railroad com- 

 pany paid the claim. The commission firm to whom cattle are 

 consigned and delivered acts ^"^ Uie agent of tlie shipper. They 

 belong primarily, I presume, to the commission firm, but if for 

 any reason tlie man is not satisfied, I don't tliink there is one firm 

 in a hundred in Chicago that wouldn't turn tliat load of cattle" 

 over to any other firm that was designated. 



Mr. Ames: Isn't that courtesy rather than because you are 

 compelled to? 



