Judgment been passed by the First Special District Court in favour of the plaintiffs, two French citizens, against Oun Ching-foong. representative of some tobacco firms in Hongkew, suit in which the plaintiffs recovered their exchange loss. The defendant is to pay $10 641.66 plus court costs and five ver cent. interest from May 1, 1940 The legal battle was started several months ago and trouble centred around a contract signed in March of 1938 by which the two Frenchmen, Dr. A. Richer and Mr. R. F. Pirard, advanced to the defendant the amount of $12,000 to be reimbursed on July 31. At the time the money thus loaned represented £600.
As the plaintiffs sold their Briti money in order to provide the in Chinese currency. they wished to have the money returned in future equal to the sum of the foreign currency.
A compromise" clause wi therefore added to the contract providing that upon expiration of the agreement, the defendant would refund in cash $12,000 but that in the event of this amount, translated into pounds sterling. representing more or less than £600, the difference will be equally shared by both parties, settlement of this difference being in legal local currency.
The defendant made a delayed payment of the principal without covering the difference on the exchange, causing the plaintiffs to receive less than £600. The French creditors then invited Dr. Piero V. E. Terni to file a civil action and eventually made good their claim.
Text read from the printed page and cleaned; old type leaves the occasional error.