Early Life
Stout was born in the town of Lerwick, in Scotland's Shetland Islands. He retained a strong attachment to the Shetland Islands throughout his life. He was given a good education, and eventually qualified as a teacher. He also qualified as a surveyor in 1860. He became highly interested in politics through his extended family, which often met to discuss and debate political issues of the day. Stout was exposed to many different political philosophies during his youth.
In 1863, Stout emigrated to Dunedin, New Zealand. Once there, Stout quickly became involved in political debate, which he greatly enjoyed. He also became active in the Freethought circles of the city. After failing to find employment as a surveyor on the Otago gold fields, Stout returned to education, holding a number of senior teaching positions at the high school level.
Eventually, however, Stout moved away from education and entered the legal profession. In 1867, Stout was working in the law firm of William Downie Stewart, Sr. (father of the William Downie Stewart, Jr. who later became Minister of Finance). He was called to the Bar in 1871, and proved to be a highly successful trial lawyer. He also became one of Otago University's first students (possibly the first, although this claim is disputed), studying political economy and the theory of morality. He later became the university's first law lecturer.
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