The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
1953 W . P . G . H A R D I N G , GOVERNOR P A U L M . W A R B U R G , VICE GOVERNOR EX-OFFICIO MEMBERS F R E D E R I C A. DELANO ADOLPH C. MILLER C H A R L E S S . HAMLIN WILLIAM G . MCADOO SECRETARY OF THE TREASURY CHAIRMAN J O H N SKELTON WILLIAMS COMPTROLLER OF THE CURRENCY FEDERAL RESERVE BOARD WASHINGTON H . P A R K E R W I L L I S . SECRETARY S H E R M A N P . A L L E N , ASST. SECRETARY AND FISCAL AGENT Q A B M E S S REPLY TO 0 0 F E D E R A L RESERVE BOARD J a n u a r y 23, 1917. Dear S i r : . A number of l e t t e r s have been a d d r e s s e d t o t h e F e d e r a l R e s e r v e B o ar d , r a i s i n g t h e q u e s t i o n w h e t h e r a t r a d e a c c e p t a n c e , which i s d e f i n e d i n t h e B o a r d ' s r e g u l a t i o n s as "a d r a f t o r b i l l of exchange drawn b y t h e s e l l e r on t h e p u r c h a s e r of goods s o l d and a c c e p t e d by such p u r c h a s e r , " i n c l u d e s a d r a f t o r b i l l of e x c h a n g e b a s e d on t h e p u r c h a s e of a d v e r t i s i n g s p a c e . * The t e r m "goods" a s u s e d i n t h e r e g u l a t i o n s of t h e Board i n c l u d e s w a r e s , merchandise., or a g r i c u l t u r a l p r o d u c t s i n c l u d i n g l i v e s t o c k , and b e c a u s e of t h e d o u b t s r a i s e d a s t o w h e t h e r t h i s t e r m i s b r o a d enough t o i n c l u d e a d v e r t i s i n g s p a c e , t h e Board has r u l e d t h a t a d r a f t o r b i l l of e x c h a n g e drawn by a p u b l i s h e r , o r o t h e r a d v e r t i s i n g agency, on t h e p u r c h a s e r of a d v e r t i s i n g s p a c e and a c c e p t e d by s u c h p u r c h a s e r s h a l l be c o n s i d e r e d a t r a d e a c c e p t a n c e , p r o v i d e d t h e a d v e r t i s e m e n t on which t h e d r a f t o r b i l l i s based i s f o r t h e p u r p o s e of' p r o m o t i n g o r f a c i l i t a t i n g the production, manufacture, d i s t r i b u t i o n , or sale of g o o d s , w a r e s , m e r c h a n d i s e , o r a g r i c u l t u r a l p r o d u c t s , i n c l u d i n g l i v e s t o c k ; and p r o v i d e d , f u r t h e r , t h a t s u c h a d v e r t i s e m e n t i s n o t i l l e g a l , and i s n o t f o r t h e p u r p o s e of p r o m o t i n g o r f a c i l i t a t i n g any t r a n s a c t i o n which i s p r o h i b i t e d by t h e laws of t h e S t a t e i n which i t i s t o be consummated. Each F e d e r a l r e s e r v e bank s h o u l d t a k e s u c h s t e p s as i t deems n e c e s s a r y t o s a t i s f y i t s e l f t h a t a t r a d e a c c e p t a n c e c o v e r i n g t h e s a l e of a d v e r t i s i n g s p a c e i s of t h e c h a r a c t e r d e s c r i b e d in this l e t t e r . Respectfully, Governor.
@FedFRASER