APPENDIX II.

THE NEW YORK FACTORS ACT, 1830.

FACTORS ACTS.

In the main portion of the text (§ 11), reference was made to the fact that statutes known as "Factors Acts" have been enacted in a number of our states, for the purpose of enlarging the power of factors, and, also, for the protection of bona fide purchasers, who depend upon the fact of the possession of the goods by the factor as an assurance that he is the owner of the same or, at least, that he has full authority to convey a valid title. These statutes vary somewhat-in the different states, but they all have the same object in view, although some of them do not go as far as the others. The New York statute has been made a model for similar statutes in some of the other states, and since it is, thus, a type of such acts, it is appended here, in full, for reference.

(L. 1830, c. 179.)

AN ACT for the Amendment of the Law Relative to Principals and Factors or Agents.

SECTION 1. After this Act shall take effect, every person in whose name any merchandise shall be shipped, shall be deemed the true owner thereof, so far as to entitle the consignee of such merchandise to a lien thereon, (1) for any money advanced, or negotiable security given. by such consignee, to or for the use of the person in whose name such shipment shall have been made; and

(2) for any money or negotiable security received by the person in whose name such shipment shall have been made, to or for the use of such consignee.

SEC. 2. The lien provided for in the preceding section shall not exist where such consignee shall have notice by the bill of lading or otherwise, at or before the advancing of any money or security by the person in whose name the shipment shall have been made, that such person is not the actual and bona fide owner thereof.

SEC. 3. Every factor or other agent, intrusted with the possession of any bill of lading, custom-house permit, or warehouse-keeper's receipt for the delivery of any such merchandise, and every such factor or agent not having the documentary evidence of title, who shall be intrusted with the possession of any merchandise for the purpose of sale, or as a security for any advances to be made or otained thereon, shall be deemed to be the true owner thereof, so far as to give validity to any contract made by such agent with any other person for the sale or disposition of the whole or any part of such merchandise, for any money advanced, or negotiable instrument or other obligation in writing given by such other person upon the faith thereof.

SEC. 4. Every person who shall hereafter accept or take any such merchandise in deposit from any such agent, as a security for any antecedent debt or demand, shall not acquire thereby, or enforce any right or interest in or to such merchandise or document, other than was possessed or might have been enforced by such agent at the time of such deposit.

SEC. 5. Nothing contained in the two last preceding sections of this Act shall be construed to prevent the true owner of any merchandise so deposited from demanding or receiving the same, upon the repayment of the money