NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
COTTON GINNING MACHINERY
AS APPROVED ON JULY 16, 1934
WE DO OUR PART
GOVERNMENT PRINTING OFFICE
r sale by the Superintendent o Documents, Washington, D.C Price 5 c
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Approved Code No. 485
Registry No. 1333-1-05
This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D.C., and by district offices of the Bureau of Foreign
and Domestic Commerce.
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Approved Code No. 485
CODE OF FAIR COMPETITION
COTTON GINNING MACHINERY MANUFAC-
As Approved on July 16, 1934
APPROVING CODE OF FAIR COMPETITION FOR THE COTTON GINNING
MACHINERY MANUFACTURING INDUSTRY
An application having been duly made pursuant to and in full
compliance with the provisions of Title I of the National Industrial
Recovery Act, approved June 16, 1933, for approval of a Code of
Fair Competition for the Cotton Ginning Machinery Manufacturing
Industry, and hearings having been duly held thereon and the an-
nexed report on said Code, containing findings with respect thereto,
having been made and directed to the President:
NOW, THEREFORE, on behalf of the President of the United
States, I, Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in me by Executive Orders of the Presi-
dent, including Executive Order No. 6543-A, dated December 30,
1933, and otherwise; do hereby incorporate by reference said an-
nexed report, and do find that said Code complies in all respects with
the pertinent provisions and will promote the policy and purposes
of said Title of said Act; and do hereby order that said Code of
Fair Competition be and it is hereby approved; provided, however,
that the provisions of Article VIII, Section 1 (b), insofar as they
prescribe a waiting period between the filing with the Code Author-
ity or such agency as may be designated in the Code, and the effective
date of price lists, as originally filed and or revised price lists or
revised terms and conditions of sale, be and they hereby are stayed
pending my further Order. Further, the provision of Article II,
Section III, relating to heat firemen is hereby stayed for a period of
sixty (60) days subject to my further orders. And, further, the
provision in Article IV, Section 7 relating to a conditional southern
wage rate of twenty-five (25) cents per hour, shall be reconsidered
after the conclusion of the present peak season in the Industry, in
order that I may determine if conditions in the Industry justify the
continuance of said provision.
HUGH S. JOHNSON,
Adn.inistrator for Ind-ustria! Recovery.
A. R. GLANCE,
July 16, 1934.
REPORT TO THE PRESIDENT
The lWhite House.
SIR: This is a report on the Code of Fair Competition for the
Cotton Ginning Machinery Manufacturing Industry as revised after
a Public Hearing held in Washington on the 21st clay of November,
1933, in accordance with the provisions of the National Industrial
PROVISIONS AS TO HOURS AND WAGES
Employment is limited to eight (8) hours per day and forty (40)
hours per week and six (6) days in any seven (7) day period, with
the exception of those employees engaged in emergency maintenance
or emergency repair work. To provide for the peak season between
June 1st and September 15th, overtime is allowed to the extent of
eight (8) hours per week, provided that no unemployed workers
possessing the necessary skill to perform said work are available.
Overtime for emergency maintenance or emergency repair work
in excess of eight (8) hours in any twenty-four (24) hour period or
in excess of forty (40) hours in any seven (7) day period will be paid
for at not less than one and one-half (112) times the regular rate.
Overtime during the peak season will be paid for at a rate of
not less than one and one-half (1i.) times the regular rate for all
hours worked in excess of forty-four (44) hours per week.
Watchmen and heat firemen will not work in excess of fifty-six
(56) hours per week.
A minimum wage of forty (40) cents per hour for males and
females is established, except for office and clerical employees who
may be paid at the rate of not less than fifteen ($15.00) dollars per
week and office boys and girls at a rate of not less than twelve
($12.00) dollars per week. Female employees performing substan-
tially the same work as male employees will receive the same rate
In the South (which includes the States of North Carolina,
South Carolina, Tennessee, Georgia, Florida, Alabama, Mississippi,
Louisiana, Texas and Oklahoma) the minimum rate is thirty-two
(320) cents per hour.
Due to economic conditions in the Industry, restricting the market
for its products, common labor in the South will be paid at a rate
of not less than twenty-five (250) cents per hour, until the Admnin-
istrator, after such hearings as he may require, shall determine that
economic conditions in the Industry have improved in which event
the minimum wage of thirty-two (32) cents per hour prescribed in
Article IV, Section 1 shall be in effect.
ECONOMIC EFFECT OF THE CODE
Before the adoption of the reduced hourly schedule in 1933, this
Industry averaged 46.7 hours per week. Its ten plants employed
623 persons. Adoption of the forty (40) hour week has increased
employment to 1071 persons or an increase of 42%.
Sales in 1932 totaled $2,296,566 but sales for 1934 are expected to
be slightly greater.
The Deputy Administrator in his final report to me on said Code
having found as herein set forth and on the basis of all the pro-
ceedings in this matter:
I find that:
(a) Said Code is well designed to promote the policies and pur-
poses of Title I of the National Industrial Recovery Act, including
removal of obstructions to the free flow of interstate and foreign
commerce which tend to diminish the amount thereof and will pro-
vide for the general welfare by promoting the organization of indus-
try for the purpose of cooperative action among the trade groups,
by inducing and maintaining united action of labor and management
under adequate governmental sanctions and supervision, by eliminat-
ing unfair competitive practices, by promoting the fullest possible
utilization of the present productive capacity of industries, by avoid-
ing undue restriction of production (except as may be temporarily
required), by increasing the consumption of industrial and agri-
cultural products through increasing purchasing power, by reducing
and relieving unemployment, by improving standards of labor, and
by otherwise rehabilitating industry.
(b) Said Industry normally employs not more than 50,000 em-
ployees: and is not classified by me as a major industry.
(c) the Code as approved complies in all respects with the per-
tinent provisions of said Title of said Act, including without limita-
tion Subsection (a) of Section 3, Subsection (a) of Section 7, and
Subsection (b) of Section 10 thereof; and that the applicant group
is an industrial association truly representative of the aforesaid
Industry; and that said association imposes no inequitable
restrictions on admission to membership therein.
(d) The Code is not designed to and will not permit monopolies
or monopolistic practices.
(e) The Code is not designed to and will not eliminate or oppress
small enterprises and will not operate to discriminate against them.
(f) Those engaged in other steps of the economic process have not
been deprived of the right, to be heard prior to approval of said
For these reasons, this Code has been approved by me.
HUGH S. JOHNSON,
JuLY 16, 1934.
CODE OF FAIR COMPETITION FOR THE COTTON GIN-
NING MACHINERY MANUFACTURING INDUSTRY
To effectuate the policies of Title I of the National Industrial
Recovery Act, the following provisions are established as a Code of
Fair Competition for the Cotton Ginning Machinery Manufacturing
Industry, and shall be the standard of fair competition for this
Industry and shall be binding upon every member thereof.
The term Cotton Ginning Machinery Manufacturing Industry ",
or the Industry ", as used herein, shall mean the manufacture
and/or sale by the manufacturer of cotton ginning machinery and, or
cleaning, separating, extracting and baling equipment necessary to
the actual ginning of seed cotton.
The term "Association ", as used herein, shall mean the Cotton
Ginning Machinery Manufacturers Association.
The term member of the Industry ", as used herein, includes, but
without limitation, any individual, partnership, association, corpora-
tion or other form of enterprise engaged in the Industry, either as
an employer or on his or its own behalf.
The term employee ", as used herein, includes any and all per-
sons engaged in the Industry, however compensated, except a mem-
ber of the Industry.
The term employer ", as used herein, includes anyone by whom
such employee is compensated or employed.
The terms President", "Act ", and "Administrator ", as used
herein, shall mean respectively the President of the United States,
Title I of the National Industrial Recovery Act, and the Adminis-
trator for Industrial Recovery.
SECTION 1. No employee, except as hereinafter provided, shall be
permitted to work in excess of forty (40) hours per week or in ex-
cess of eight (8) hours per day; provided, however, that during any
period in which a concentrated demand upon any division of the In-
dustry shall place a temporary burden for production upon its facili-
ties, and no unemployed workers possessing the necessary skill to
perform said work are available, any employee of such division may
be permitted to work not in excess of forty-eight (48) hours per
week in any period between June first and September fifteenth and
that each such employee, except as hereinafter described in Section
3 of this Article III, shall be paid at not less than one and one-
half times his regular rate for all hours worked in excess of forty-
four (44) hours per week.
SECTION 2. Emergency Overtime. The maximum hours fixed in the
foregoing section shall not apply to any employee on emergency
maintenance or emergency repair work involving breakdowns or
protection of life or property. But in any such special case at least
one and one-half times the normal rate shall be paid for hours
worked in excess of the maximum provided in Section 1 above.
SECTION 3. Watchmen and heat firemen shall not be permitted to
work in excess of fifty-six (56) hours per week.1
SECTION 4. The limitations as to hours of work shall not apply to
employees in executive or managerial capacities who receive thirty-
five (35) dollars or more per week or to outside salesmen and salaried
SECTION 5. No accounting, clerical, or service employee shall be
permitted to work in excess of forty (40) hours per week or nine
(9) hours in any one (1) day. No delivery employees shall be per-
mitted to work in excess of forty (40) hours per week or eight hours
in any one (1) day except in the seasonal peak period referred to in
Article III, Section 1 during which time they may be permitted to
work not in excess of forty-eight (48) hours per week but shall be
paid at overtime rates of not less than one and one-half (1/2) times
their regular rate for all hours worked in excess of forty-four (44)
hours per week.
SECTION 6. No employer shall knowingly permit any employee to
work for any time which, when added to the time spent at work for
another employer or employers in this Industry (or otherwise), ex-
ceeds the maximum permitted herein.
SECTION 7. No employee shall be permitted to work more than six
(6) days in any seven (7) day period.
SECTION 1. NO employees shall be paid less than at the rate of
forty (40) cents per hour, except as herein otherwise expressly
provided. However, in the South the minimum rate shall not be
less than at the rate of thirty-two (32) cents per hour. The South,
for the purposes of this Article IV, shall include only the States
of North Carolina, South Carolina, Tennessee, Georgia, Florida,
Alabama, Mississippi, Louisiana, Texas and Oklahoma.
SECTION 2. No employer shall pay any learner less than at the
rate of eighty (80) percent of the minimum prescribed in Article
IV, Section 1. The total number of learners shall not at any one time
exceed the ratio of five (5) percent of the total number of skilled
workmen in the employ of any one (1) member of the Industry. A
learner shall be defined as a person who is engaged in learning a
skilled occupation or trade and who has had less than six (6) months
experience in that occupation or trade.
SECTION 3. NO other employee shall be paid less than at the rate
of fifteen (15) dollars per week; provided that office or errand
boys and girls and messengers may be paid at the rate of not less
than eighty (80) percent of the aforesaid minimum of fifteen (15)
dollars per week; provided, further that the total number of such
office or errand boys and girls and messengers thus compensated shall
1 See paragraph 2 of order approving this Code.
not exceed five (5) percent of the total number of clerical employees
in such factory or branch plant; and provided, further, that at
least two (2) such office or errand boys and girls and messengers
may be employed in any factory or branch plant.
SECTION 4. Adjusting Wage Scale.-Within thirty (30) days after
the effective date of this Code the wages paid. all workers whose
pay is above the minimum shall be equitably adjusted, if this has
not already been done since June 16, 1933. In no case shall hourly or
piece rates be reduced. Within sixty (60) days of the effective date
the Code Authority shall report to the Administrator the readjust-
SECTION 5. Fenwles.-Female employees performing substantially
the same work as male employees shall receive the same rate of pay
as male employees; and where they displace men they shall receive
the same rate of earnings as the men they displace.
SECTION.6. This article establishes minimum rates of pay regard-
less of whether an employee's compensation is calculated on an
hourly rate, piece-work performance or otherwise.
SECTION 7. Due to economic conditions in this Industry restricting
the market for its products, a minimum wage rate of twenty-five (25)
cents per hour may be paid for common labor in the States of North
Carolina, South Carolina, Tennessee, Georgia, Florida, Alabama,
Mississippi, Louisiana, Texas and Oklahoma, and shall be in effect
until after such hearing as the Administrator may require. Should
he then determine that improved economic conditions exist in the
Industry, the minimum wage prescribed in Article IV, Section 1
shall be in effect."
ARTICLE V-GENERAL LABOR PROVISIONS
SECTION 1. No person under sixteen (16) years of age shall be
employed in the Industry, nor anyone under eighteen (18) years of
age at operations or occupations hazardous in nature or detrimental
to health- The Code Authority shall submit to the Administrator,
within sixty (60) days from date of signing of the Code by the Presi-
dent, a list of such operations or occupations. In any state an em-
ployer shall be deemed to have complied with this provision as to
age if he shall have on file a certificate or permit duly issued by the
authority in such state empowered to issue employment or age cer-
tificates or permits, showing that the employee is of the required age.
SECTION 2. Employees shall have the right to organize and bargain
collectively through representatives of their own choosing, and shall
be free from the interference, restraint, or coercion of employers of
labor, or their agents, in the designation of such representatives or in
self-organization or in other concerted activities for the purpose of
collective bargaining or other mutual aid or protection.
SECTION 3. No employee and no one seeking employment shall be
required as a condition of employment to join any company union
or to refrain from joining, organizing, or assisting a labor organiza-
tion of his own choosing.
SECTION 4. Employers shall comply with the maximum hours of
labor, minimum rates of pay, and other conditions of employment,
approved or prescribed by the President.
2 See paragraph 2 of order approving this Code.
SECTION 5. No provisions in this Code shall supersede any State or
Federal law which imposes more stringent requirements on employers
as to age of employees, wages, hours of work, or as to safety, health,
sanitary or general working conditions, or insurance, or fire protec-
tion, than are imposed by this Code.
SECTION 6. No employer shall reclassify employees or duties of
occupations performed or engage in any other subterfuge so as to
defeat the purposes or provisions of the Act or of this Code.
SECTION 7. All employers shall post and keep posted copies of this
Code in conspicuous places accessible to all employees. Every mem-
ber of the Industry shall comply with all rules and regulations rela-
tive to the posting of provisions of Codes of Fair Competition which
may from time to time be prescribed by the Administrator.
SECTION 8. Every employer shall make reasonable provision for
the safety and health of his employees at the place and during the
hours of their employment. Within three (3) months after the
effective date of this Code, the Code Authority shall submit to the
Administrator, for his approval, Standards of Safety and Health
for the Industry.
SECTION 9. No employer shall contract for work to be done except
where the person performing the contract is subject to the provi-
sions of this Code or the Code adopted by the Industry covering
such work; -and in no case shall an employer avoid or evade the
labor provisions of this Code by contracting his work to any per-
sons subject to labor regulations less stringent than those provided
in this Code.
SECTION 10. The working hours for employees during each day
shall be consecutive provided that an interval not longer than one
(1) hour may be allowed for each regular meal period, and such
interval not counted as part of the employee's working time. Any
rest period which may be given employees shall not be deducted
from such employee's working time.
To further effectuate the policies of the Act, a Code Authority
is hereby constituted to cooperate with the Administrator in the
administration of this Code.
SECTION 1. Organization and constitution of the Code Authority.
(a) The Code Authority shall consist of not more than eight (8)
or less than six (6) voting members. Six (6) voting members of
the Code Authority shall be selected by the Executive Committee
of the Association, and two (2) by members of the Industry who
are not members of the Association, if the non-members of the Asso-
ciation so desire. In addition, the Administrator may appoint not
to exceed three (3) members without vote.
SECTION 2. Each trade or industrial association directly or in-
directly participating in the selection or activities of the Code Au-
thority shall (1) impose no inequitable restrictions on membership,
and (2) submit to the Administrator true copies of its articles of
association, by-laws, regulations, and any amendments when made
thereto, together with such other information as to membership,
organization, and activities as the Administrator may deem neces-
sary to effectuate the purposes of the Act.
SECTION 3. In order that the Code Authority shall at all times be
truly representative of the Industry and in other respects comply
with the provisions of the Act, the Administrator may prescribe such
hearings as he may deem proper; and thereafter if he shall find that
the Code Authority is not truly representative or does not in other
respects comply with the provisions of the Act, may require an ap-
propriate modification of the Code Authority.
SECTION 4. Members of the Industry shall be entitled to participate
in and share the benefits of the activities of the Code Authority and
to participate in the selection of the members thereof by assenting to
and complying, with the requirements of this Code and sustaining
their reasonable share of the expenses of its administration. Such
reasonable share of the expenses of administration shall be deter-
mined by the Code Authority, subject to review by the Administra-
tor, on the basis of volume of business and,'or such other factors as
may be deemed equitable.
SECTION 5. Nothing contained in this Code shall constitute the
members of the Code Authority partners for any purpose. Nor shall
any member of the Code Authority be liable in any manner to any-
one for any act of any other member, officer, agent or employee of
the Code Authority. Nor shall any member of the Code Authority,
exercising reasonable diligence in the conduct of his duties here-
under, be liable to anyone for any action or omission to act under this
Code, except for his own willful mal-feasance or non-feasance.
SECTION 6. If the Administrator shall determine that any action
of the Code Authority or any agency thereof may be unfair or unjust
or contrary to the public interest, the Administrator may require
that such action be suspended to afford an opportunity for investiga-
tion of the merits of such action and further consideration by such
Code Authority or agency pending final action which shall not be
effective unless the Administrator approves or unless he shall fail to
disapprove after thirty (30) days notice to him of intention to pro-
ceed with such action in its original or modified form.
SECTION 7. Subject to such rules and regulations as may be issued
by the Administrator, the Code Authority shall have the following
further powers and duties:
(a) Subject to such rules and regulations as may be prescribed by
the Administrator to adopt by-laws and rules and regulations for its
procedure and for the administration of this Code.
(b) To obtain from members of the Industry such information
and reports as are required for the administration of the Code. In
addition to information required to be submitted to the Code Au-
thority, members of the Industry subject to this Code shall furnish
such statistical information as the Administrator may deem neces-
sary for the purposes recited in Section 3 (a) of the Act to such
Federal and State agencies as he may designate; provided that
nothing in this Code shall relieve any member of the Industry of
any existing obligations to furnish reports to any Government
agency. No individual report shall be disclosed to any other mem-
ber of the Industry or any other party except to such other Govern-
mental agencies as may be directed by the Administrator.
(c) To use such trade associations and other agencies as it deems
proper for the carrying out of any of its activities provided for
herein, provided that nothing herein,shall relieve the Code Author-
ity of its duties or responsibilities under this Code and that such
trade associations and agencies shall at all times be subject to and
comply with the provisions hereof.
(d) To make recommendations to the Administrator for the co-
ordination of the administration of this Code with such other codes,
if any, as may be related to or affect members of the Industry.
(e) (1) It being found necessary to support the Administration
of this Code, in order to effectuate the policy of the Act and to
maintain the standards of fair competition established hereunder,
the Code Authority is authorized:
(a) To incur such reasonable obligations as are necessary
and proper for the foregoing purposes and to meet
such obligations out of funds which shall be held in
trust for the purposes of the Code and raised as here-
(b) To submit to the Administrator for his approval, subject
to such notice and opportunity to be heard as he may
1. An itemized budget of its estimated expenses for the
foregoing purposes, and
2. An equitable basis upon which the funds necessary
to support such budget shall be contributed by all
members of the Industry entitled to the benefits
accruing from the maintenance of such standards,
and the administration thereof;
(c) After such budget and basis of contribution have been
approved by the Administrator, to determine and
collect equitable contributions as above set forth, and
to that end, if necessary, to institute legal proceedings
therefore in its own name.
(2) Each member of the Industry shall be liable for his or its
equitable contribution to the expenses of the maintenance of the
Code Authority as hereinbefore provided. Only members of the
Industry complying with the Code and making such contribution
shall be entitled to participate in the selection of the members of the
Code Authority or to receive the benefits of its voluntary activities
or to make use of any National Recovery Administration insignia.
(f) To cooperate with the Administrator in regulating the use
of any National Recovery Administration insignia solely by those
members of the Industry who have assented to, and are complying
with, this Code.
(g) To appoint a Trade Practice Committee which shall meet
with the Trade Practice Committees appointed under such Codes
as may be related to the Industry for the purposes of formulating
fair trade practices to govern the relationship between production
and distribution employers under this Code and under such other
Codes to the end that such fair trade practices may be proposed to
the Administrator as amendments to this Code.
ARTnLE VII-TRADE PRACTICES
The following practices constitute unfair methods of competition
for members of the Industry, their employees or their agents and
1. False Mar'king or Branding.-The false marking or branding
of any product of the Industry which has the tendency to mislead
or deceive customers or prospective customers, whether as to grade,
quality, quantity, substance, character, nature, origin, size, finish or
preparation of any product of the Industry or otherwise.
2. Misrepresentation or False or Misleading Advertising.-The
making or causing or knowingly permitting to be made or published
any false, materially inaccurate or deceptive statement by way of ad-
vertisement or otherwise, whether concerning the grade, quality,
quantity, substance, character, nature, origin, size, finish, perform-
ance or preparation of any product of the Industry, or the credit
terms, values policies, or services of any member of the Industry, or
otherwise, having the tendency or capacity to mislead or deceive
customers or prospective customers.
3. Commercial Bribery.-No member of the Industry shall give,
permit to be given, or directly or indirectly offer to give anything
of value for the purposes of influencing or rewarding the action of
any employee, agent, or representative of another in relation to the
business of the employer of such employee, the principal of such
agent, or the represented party without the knowledge of such em-
ployer, principal or party. This provision shall not be construed
to prohibit free and general distribution of articles commonly used
for advertising, except so far as such articles are actually used for
commercial bribery as above defined.
4. Interference with Contractual Relations.-Maliciously inducing
or attempting to induce the breach of an existing contract between a
competitor and his customer or source of supply, or interfering with
or obstructing the performance of any such contractual duties or
5. Secret Rebates.-No member of the Industry shall secretly offer
or make any payment or allowance of a rebate, refund, commission
credit, unearned discount or excess allowance, whether in the form
of money or otherwise, nor shall a member of the Industry secretly
offer or extend to any customer any special s service or privilege not
extended to all customers of the same class, for the purpose of in-
fluencing a sale.
6. Defamation.-The defamation of competitors by falsely imput-
ing to them dishonorable conduct, inability to perform contracts or
services, questionable credit standing, or by other false representa-
tions or by false disparagement of the grade, quality or performance
of their goods.
7. Threats of Litigation..-The publishing or circulating of threats
of suits for infringement "of patents or trade marks or of any other
legal proceedings not in good faith, with the tendency or effect of
harassing competitors or intimidating their customers.
8. Espionage of Competitors.-Securing confidential information
concerning the business of a competitor by a false or misleading
statement or representation, by a false impersonation of one in au-
thority, by bribery, or by any other unfair method.
9. Quotations.-(a) Quoting by any member of the Industry or
the accepting by any member of the Industry of any offer or contract
for the products of the Industry to a customer or prospective cus-
tomer which includes any sum for erection of a building or charges
for free erecting of machinery, or allowing for erectors travelling or
(b) Quoting by any member of the Industry or accepting an order
for a building from a customer or prospective customer. In the
event materials for the erection of buildings are furnished by a
member of the Industry, such procedure must be covered by a
separate contract, prices and terms to apply to the customer or pros-
pective customer whether or not the member of the Industry fur-
nishes any other of their products.
10. False Invoices.-The withholding from and/or insertion in
any invoice anything which would make the invoice a false record,
wholly or in part, of the transaction to which it refers, or making
any arrangement which contemplates payment or settlement con-
trary to the face of the invoice, or the post-dating or pre-dating of
11. Guarantee.-The guaranteeing of products or workmanship
other than as specifically stated upon sales contract of members of
the Industry on file with the Code Authority, or the guaranteeing
against decline or rise in selling prices or terms.
12. Consignments.-The consigning of any products of the In-
dustry to a customer, prospective customer or representative of same
except to legal sales agents or dealers handling such products for
13. Trade-in Allowances.-Allowing by any member of the In-
dustry of a trade-in or second-hand value of any machine or prod-
uct of any description to apply on the purchase price of any new
machinery, or otherwise, or the guaranteeing the sale of old or used
machinery or products for the benefit of any customer or prospec-
14. Tax Allowances.-The allowing by any member of the Indus-
try to a customer or prospective customer or representative of same
of any Federal, State, County, City or other taxes.
15. Conditional Contracts.-Quoting by any member of the In-
dustry to a customer or prospective customer of prices and terms
other than those on file with the Code Authority with the intention
of delaying the legitimate closing of contracts.
The taking of orders or contracts by any member of the Industry
upon any conditions not in strict adherence to standard conditional
clause on file with Code Authority, which clause must be plainly
shown on any such order or contract.
16. Violating of any provisions of this Code by a member of the
Industry through an agent.
SECTION 1. (a) Within ten (10) days after the effective date of
this Code each member of the Industry shall file with the Code
Authority his prices, discount sheets and all other conditions of sale.
(b) In no case shall a member sell at a price other than his filed
price for the various classes of trade. A member may change his
'prices as filed with the Code Authority at any time. A price change
shall become effective on the tenth (10th) day after it is filed in the
office of the Code Authority. When a member revises a price, any
other member may file a revised price to meet the first one. The
latter member's revised price shall become effective on the same day
as the first revised prices.3
(c) Prices filed with the Code Authority shall be open to the
inspection of all buyers as well as members of the Industry.
SECTION 2. If, on account of any special conditions affecting a
prospective sale, any member of the Industry desires to make a sale
of obsolete products or seconds for any cause at less than the price
schedules on file with the Code Authority such member shall inform
the Code Authority of its intention to dispose of such products.
SECTION 3. The Code Authority shall furnish monthly reports to
the Administrator showing the. sales price trend in the Industry.
ARTICLE IX-TERMS, DISCOUNTs, SHIPMENTS, DELIVERY POINTS
1. All members of the Industry shall adhere to the following terms
in all quotations, estimates or sales contracts except for linter and
One-third (V) cash on delivery of bill of lading.
One-third (1,) fall first year of contract.
One-third (13) fall second year of contract.
2. In no instance shall notes of a customer maturing in fall of first
and second years of contract be due later than December first.
3. Interest on Deferred Payment notes may be figured from July
first, or from date of shipment if made later than July first.
4. In the event that a complete cotton ginning plant is destroyed
by fire or windstorm during its operating season any member of the
Industry who replaces such loss by a legitimate sale, may extend
the second and third payments for such replacements to the follow-
ing consecutive seasons, provided, however, that one-third (1i) cash
must be paid upon delivery of the bill of lading for said replacement
products and provided further that all insurance money collected by
the member of the Industry as a result of said loss shall be applied
on the old indebtedness, if any, before it may be accepted as a cash
payment for said replacement products.
5. In the event any customer or prospective customer elects to pay
all cash for products sold on contract by any member of the Indus-
try such customer or prospective customer is to be allowed a maxi-
mum cash discount of five (5) percent, provided the full cash pay-
ment is secured within ten(10) days from delivery of said products,
otherwise regular prices and terms shall apply.
6. All shipments of products made by members of the Industry
shall be Shippers order notify and Bill of Lading and settlement
papers shall be attached to draft for cash payment, except that gin
machinery orders amounting to less than one thousand (1000) dollars
and repair parts may be shipped open.
7. In the event any products of any member of the Industry have
to be shipped to a Prepaid Station or delivered to wagon or truck,
See paragraph 2 of order approving this Code.
UNIVERSITY OF FLORIDA
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158 3 1262 08336 678 0
the original cash payment shall be secured before suck products are -i
shipped or delivered.
8. All quotations, estimates and sales contracts made by any mem-
bers of the Industry, shall be F.O.B. their respective factories, pro-
vided, however, that freight charges may be equalized with Dallas,
Texas or Atlanta, Georgia.
ARTICLE X--SPECIFIC PROVISIONS APPLICABLE TO INTER
AND GIN SAWS
1. Any member of the Industry selling linter or gin saws shall
adhere to terms of thirty (30) days net, and maximum cash dis-
count of two (2) percent if products are paid for within ten (10)
days from date of shipment.
2. Full freight charges may be allowed by any members of the In-
dustry, on gin saws if sold and shipped to jobbers of same.
3. Freight charges may be equalized with Atlanta, Georgia; Mem-
phis, Tennessee; Dallas, Texas; Birmingham, Alabama, when any
member of the Industry sells gin saws or linter saws direct to con-
sumers. Equalization of freight charges with Macon, Georgia may
be made on sales of linter saws only.
ARTICLE XI-PROTECTIONS AND REPOSSESSION
1. Nothing contained in this Code shall be construed as prohibiting
any member of the Industry from exercising all its and/or their
legal rights in the protecting, insuring, paying taxes on or buying-in
re-possessed products, property, buildings or real estate.
No provision of this Code shall be so applied as to permit
monopolies or monopolistic practices, or to eliminate, oppress or
discriminate against small enterprises.
1. This Code and all the provisions thereof are expressly made
subject to the right of the President, in accordance with the pro-
visions of subsection (b) of Section 10 of the National Industrial
Recovery Act, from time to time to cancel or modify any order,
approval, license, rule, or regulation issued under Title I of said
2. This Code, except as to provisions required by the Act, may be
modified on the basis of experience or changes in circumstances, such
modification to be based upon application to the Administrator and
such notice and hearing as he shall specify, and to become effective on
approval of the Administrator.
ARTICLE XIV-EFFECTIVE DATE
This Code shall 'become effective on the first Monday after its
approval by the Administrator.
Approved Code No. 485.
Registry No. 1333-1-05.