AMERICAN FRUIT AND PRODUCE AUCTIONS 29 
If a car is withdrawn from a sale by the seller and is re-offered at a 
subsequent sale, the auction company makes an additional charge of 
$15 plus the cataloguing charge and commission when the car is 
relisted. 
One of the f. o. b. auction companies has been active in promoting 
the development of soliciting organizations in producing sections 
for the purpose of supplying shipments for sale through the auction. 
For their service these organizations usually charge an additional 
2!/2 per cent. The grower or shipper receives his returns through 
the soliciting organization. 
The terms of sale of the two companies are similar in effect, ex- 
cept for the charges made. The following is a copy of the terms in 
force by one company: 
All buyers, sellers, or authorized agents of buyers, sellers, or purchasers, do 
hereby agree that all sales and purchases shall be made under the conditions 
hereinafter set forth : 
1. All offerings at the auction conducted by the auction company will 
be inspected by the Government-State inspector at loading point or point satis- 
factory to the above company, and copy of such inspection report will be 
printed in the catalogue, which said report all buyers or their representatives 
agree shall be accepted as binding and final. Should any inspection other than 
Government inspection be used, same will be so published and will be accept- 
able to the above company, and both buyers and sellers agree to accept same 
as above specified. 
2. All sales and purchases are made at the buyer's sole risk at point of 
origin of shipment as per inspection report of such inspector at such point. 
3.. All sales are for cash, payable at the time of sale unless otherwise agreed 
in writing by the auction company. 
4. Such buyers who desire credit shall furnish to the auction company 
a bond, with surety to be approved by said company, the amount of credit to 
be fixed by the said auction company. 
5. The auction company will receive as payment in full for their serv- 
ices as herein described the sum of 2% per cent of the gross sales, with a 
minimum charge of $15 per car and a cataloguing charge of $2.50 per car. 
6. The auction company is hereby authorized to immediately pay, on 
behalf of any purchaser, to the owner of the merchandise so purchased, the 
full purchase price thereof less charges for their services as shown above, and 
the purchasers of said merchandise hereby agree to pay at once to the 
auction company the full purchase price of all merchandise purchased, re- 
gardless of the condition of the goods so purchased, or the failure of the car- 
rier to make delivery of the commodity so purchased. 
7. The auction company shall not be responsible for delays in transit 
or mistakes in manifest, car numbers, or any other matter whatsoever, but 
will assist in every way possible to bring about a satisfactory adjustment be- 
tween buyer and seller. 
8. The sellers or their representatives shall file diversion orders within 24 
hours after sale, billing cars as instructed by the auction company. 
Should the seller fail to furnish such diversion instructions within the time 
specified, the sellers' shall be responsible to the auction company for all 
claims arising out of the nondelivery, in accordance with the terms hereof. 
9. All agents of buyers or sellers shall, before making such purchases or 
sales, furnish to the auction company written authority signed by their 
principals, empowering them to make such sales or purchases. 
10. Should cars not be direct shipments or be held at some point, such in- 
formation will be listed in catalogue. Otherwise it is understood that cars 
listed are direct shipments en route at time of sale. 
11. Correct routing and destination of all cars should be furnished at time 
cars are listed. 
ADVANTAGES AND LIMITATIONS 
Advocates of the f. o. b. auctions point to several advantages 
which they maintain may be expected to accompany this method of 
