Chap. 110.—An ACT to amend and re-enact sections 25 and 29 of an act
approved February 18, 1922, entitled “An act to encourage the co-
operative marketing of farm products in Virginia, to provide for and
authorize the incorporation of co-operative marketing associations or
exchanges and the licensing to do business in Virginia of similar cor-
porations created in other States under similar laws.” [S B 67]

Approved March 26, 1923.

Whereas, it is necessary to prevent frauds, perjuries and
deceit arising out of the contracts and agreements authorized
by said statute; and

Whereas, it was the purpose of the general assembly in en-
acting said statute to extend to foreign corporations organized
under similar laws the same rights, powers, privileges, and
remedies as were granted to co-operative associations organized
under said statute and by principles of comity such foreign
corporations are entitled to said rights, powers, privileges, and
remedies and it is desirable to resolve any doubt on said subject;
therefore,

1. Be it enacted by the general assembly of Virginia, That
Sections twenty-five and twenty-nine of an act approved Feb-
ruary eighteenth, nineteen hundred and twenty-two, entitled
“An act to encourage the co-operative marketing of farm pro-
ducts in Virginia, to provide for and authorize the incorporation
of co-operative marketing associations or exchanges and the
licensing to do business in Virginia of similar corporations
created in other states under similar laws,” be amended and re-
enacted so as to read as follows:

Section 25. Inducing breach of marketing contract: dam-
ages; spreading false reports about the finances or manage-
ment of co-operative association.—(a) Any person who know-
ingly induces any member or stockholder of an association or
corporation organized hereunder to breach his marketing con-
tract with the association or corporation shall be liable to the
association or corporation for the full amount of damages sus-
tained by it by reason of such breach; and any person who
maliciously and knowingly spreads false reports about the fi-
nances or management of any such association or corporation
shall be liable to the association or corporation aggrieved in a
civil suit for the actual damage which it may sustain by reason
of such false reports, and also in the penal sum of five hundred
($500.00) dollars for each such act, which may be recovered in
the same action.
(b) Any person, firm or corporation conducting a public
tobacco warehouse within this State who knowingly solicits or
permits any member of any association organized hereunder to
breach his marketing contract with the association by selling,
offering for sale, or displaying for sale or for auction such
member’s products contrary to the terms of any marketing
agreement of which said person or any member of said firm or
any active officer or manager of the said corporation has knowl-
edge or notice, shall be liable to the association aggrieved in a
civil suit in the penal sum of not less than one hundred ($100.00)
nor more than five hundred ($500.00) *dollars for each such
offense; and such association shall be entitled to an injunction
against such. person, firm or corporations, to prevent further
breaches and a multiplicity of actions thereon. In addition, said
person, firm or corporation shall pay to the association a rea-
sonable attorney’s fee and all costs involved in any such litiga-
tion or proceedings at law. Provided, however, that no such
action or suit by such associations shall lie unless there has
been first served upon said person, firm or corporation after
said tobacco has been delivered to the warehouse, and prior to
the sale thereof a notice, in writing, stating that the products of
a member of such association are about to be sold, offered for
sale, or displayed for sale. Such notice may be served by any
peace officer or any other person, and the affidavit of the person
serving the same shall be prima facie evidence of such service.
It shall be the duty of any police officer, sheriff, deputy sheriff,
- eonstable, deputy constable of this State to serve such notice
upon request of any authorized representative of the association,
and upon the payment of a fee of fifty cents for each such
service.

Section 29. Association in other States authorized to do
business in this State. (a) Agricultural producers and co-
operative corporations or marketing associations, organized in
other States under the laws similar to this act, shall be licensed
to do business in this State when they shall have complied with
the general laws of this State, prescribing the terms and condi-
tions upon which foreign corporation may be licensed to do
business in this State; provided, however, they shall be re-
quired to pay only the license fees and filing fees prescribed by
this act for corporations and associations organized hereunder.

(bo) Such agricultural producers and co-operative corpora-
tions or marketing associations, organized in other States under
laws generally similar to this act and licensed to do business in
this State as hereinabove provided shall be allowed to carry on
any proper activities, operations and functions in this State and
all contracts which could be made by any association incorpo-
rated hereunder, made by or with such co-operative corporations
or marketing associations so organized in other States shall be
legal and valid and enforceable in this State, and such associa-
tions shall be entitled to all of the rights, powers privileges, and
remedies set forth in this act.