Chap. 237.—An ACT to amend and re-enact Section 618 of the Code of Virginia,
as heretofore amended, in relation to contracts for purchase of school books
by State Board of Education. [S B 264]

Approved March 23, 1936

1. Be it enacted by the General Assembly of Virginia, That section
six hundred and eighteen of the Code of Virginia, as heretofore
amended, be amended and re-enacted so as to read as follows:

Section 618. The State Board of Education shall enter into written
contracts with publishers of textbooks adopted for use in the public
schools of the Commonwealth, said contracts to contain the following
representations, terms and conditions: The contract shall set forth
the lowest wholesale price free on board publisher and the lowest state
depository price at which books are sold under contract anywhere in
the United States. The publisher shall list with the superintendent of
public instruction the lowest wholesale prices at which books involved
in the contract have been sold anywhere in the United States during
the preceding three years, or for a longer period, if designated by the
State Board of Education. The State board shall stipulate a retail price
to patrons, which price shall in no case exceed fifteen per centun added
to the wholesale price. If subsequent to the date of any contract en-
tered into by the State Board of Education the prices of books named
in the contract be reduced or the terms of the contract be made more
favorable to purchase anywhere in the United States, or, if a special or
other edition of any book named in the contract shall be sold outside
of Virginia at a lower price than bid in this State, then the publisher
shall, in the discretion of the State Board of Education grant the same
reduction or terms to the State Board of Education of Virginia and
give said board the option of using said special or other edition adapted
for use in Virginia and at the lowest price at which said special edition
is sold elsewhere. If the publisher be a foreign corporation or a non-
resident of this State, the Secretary of the Commonwealth is hereby
appointed as agent upon which process may be served against the pub-
lisher in case any legal proceedings be commenced to enforce any rights
or claims under the contract. The publisher shall furnish sample copies
of all books mentioned in the contract with the State Board of Educa-
tion, and shall guarantee that the books bid in the contract are equal
in all respects to such sample copies. Each contract made with the
publisher of textbooks shall be accompanied by a bond with good and
sufficient surety in the penal sum of not less than one thousand dol-
lars nor more than twenty thousand dollars, to be approved by the
State Board of Education, and to be conditioned upon the performance
of all of the terms and conditions of said contract and payment of
liquidated damages, as hereinafter provided for, and any damage in
excess thereof which may be proved to be sustained by reason of the
violation of such terms and conditions. Upon the discovery of any
misrepresentation of fact in said contract or upon the violation of any
of the terms and conditions herein contained, the publisher shall, upon
the demand of the State Board of Education, pay as liquidated dam-
ages the sum of one thousand dollars to the Commonwealth of Virginia
to the credit of its literary fund, and in cases of such violation the State
Board of Education may, in its discretion, in addition to its demand
for liquidated damages as aforesaid, declare said contract null and void.
The superintendent of public instruction shall report any misrepresenta-
tion in or any violation of the contracts with publishers to the State
Board of Education, which board shall, if the public interest so require,
instruct the Attorney General to institute such legal proceedings as he
may deem proper in the premises.