Code of fair competition for the motor vehicle retailing trade as approved on October 3, 1933 by President Roosevelt


Material Information

Code of fair competition for the motor vehicle retailing trade as approved on October 3, 1933 by President Roosevelt
Portion of title:
Motor vehicle retailing trade
Physical Description:
v, 10 p. : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Motor vehicle industry -- Law and legislation -- United States   ( lcsh )
federal government publication   ( marcgt )
non-fiction   ( marcgt )


Additional Physical Form:
Also available in electronic format.
General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 1403-32."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004937947
oclc - 648993372
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Full Text

Registry No. 1403--32







For sale by the Superlatendent of Documents, Washington, D.C. - Price 5 cents


1. Executive Order
2. Letter of Transmittal
8. Code

,' I,

~l~- --:UN~~ITED S ,AlTES

This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, DOC., and by distrlet offices of the Bureau of
Foreign and Domestic Commerce.


Atlanta, Ga..: 504 Post Office Building..
Birmingham, Ala.:- 25 Federal Building.
Boston, M\ass.: 1801 Customhouse.
Buffalo, N.Y.: Cham~ber of Commerce Building.
Chiarlesiton, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706O, 201 Northi Wells Street.
Cleveland, .Ohio: Chamber of Commerce.
Dallas, Tex.: Chamber of Commrce Building.
Detroit, M~ich.: 2213 First National Bank Building.
Houston, Tex.: Chamber of Commerce Building.
Indianapolls, Ind.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
Kansas City, M\o.: 1028 .Baltimore Avenue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville, K~y.: Room 405, 421 W~est Market Street.
Memuphis, Tenn.: 266 South Water Street.
M~inneapois, Mion.: 213 Federal Building.
New Orleans, La.: Room 225-A, Custombouse.
New York, N.Y.: 7~34 Customhouse.
Norfolk,' Va.: 406 East Plume Street.
Philadelphia, Pa.: Room 812, 20 South Fifteenth Street.
Pittsburghi, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 506 Olive Street.
the I~ratcisco, Calif.: 310 Customhouse.
B~eattle, W~ash.: 1406 Vance Building.



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 my approval of a Code of
Fair Competition for the lifotor Vehicle Retailing Tradie, and hear-
ings having been held thereon and the Admrinistrat~or having ren-
dered his report containing an analysis of the said Code of Fair Com-i
petition together wvith his recommendations and findings with respect
thereto, and the Administrator having found that the said Code of
Fair Competition complies in all respects with the pertinent provisions
of Title I of said Act and that the requirements of clauses (1) and (2)
of subsection (a) of Section 3 of t~he said Act have been met:
Now therefore, I, Frankilin D. Roosevelt, President of the Unit~ed
States, pursuant to the authority vested in me b~y Title I of the
National Industrial Recovery Act, approved June 16, 1933, anid
otherwise do adopt and approve the report, recommendations, and
findings of the Administrator and do order that the said Code of Fair
Competition be and it is hereby approved.
Approval recommended:
HUGH S. JoANson,
Adm in istrator.
October 8, 1988.

SEPTEM~rBER 20, 1933.
The W'hite House.
MrI DEAR AIR. PRESIDENT: i hRV6 the hOnOr to submit and recom-
mend for your approval the Code of Fair Competition for the M~lotor
Vehicle Retailing Trade. The Code has been approved by the
Industrial Advisory Board, the Labor Advisory B3oard, and the
Consumers' Advisory Board.
An analysis of the provisions of the Code has been made by the
Administration and a complete report is being tralnsmlitt~ed to you.
I find that the Code complies with the requirements of clauses 1
and 2, subsection (a) of section 3 of the National Industrial Recovery
I am, my dear Mr. President,
Very sincerely yours,

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This Code is adopted for the purpose of increasing employment,
establishing fair and adequate wages, affecting necessary reduction
of hours, imiproving standards of labor, and eliminating unfair trade
practices to the end of rehabilitating the M~otor Vehicle Retail Trade
and enabling it to do its part toward establishing that balance of
trades which is necessary to the restoration and maintenance of the
highest practical degree of public w~elfare. It is the declared purpose
of the Mlotor Vehicle Re tail Trade t.o bring, insofar as m ay be prac ticable,
the rates of wages paid within the M~otor Vehicle Retail Trade to such,
levels as are necessary for the creation and maintenance of t~he highe~st
practicable standard of living; to restore the income of enterprises
within the trade to levels which will make possible the payment of
such wages and avoid further depletion and destruction of capital
assets; and from time to time to revise the rates of wages in such
manner as wrill currently reflect the equitable adjustment t~o varia-
tions in the cost of living.

Wherever in this Code, or in any proceeding under or in connec-
tion w~it~h this Code, t~he following words or terms Are used, they shall
be deemed and taken to have the meanings ascribed to them as
The word "Dealer includes, but without limitation, any indi-
vidual, partnership, association, trust, or corporation engaged mn
whole or in part in the business of motor vehicle retailing.
The term "Exclusive or Independent Used-Car Dealer shall:
mean a dealer selling used mnot~or vehicles, w-ho mnay lik~ewise service
or repair such used motor vehicles, and who does not hold an authior-
ized newr-car dealer's franchise.
The term "Mhotor Y'ehicle Retailing shall mean the business of
retailing new or used motor vehicles, and the servicing or repairing
of new or used motor vehicles by persons engaged in retailing new or
used motor vehicles.
The term MIotor Veh~icles as used herein means automobiles,
including passenger cars, trucks, truck tractors, busses, taxicabs,
hearses, ambulances, and other commercial vehicles, for use on the
highway and excluding motorcycles, fire apparatus, and tractors
other than trucks tractors.
The term "Association"' as used herein means National Alutomco-
bile Dealers Association, a trade association incor~poratedl under the
laws of Illinois, having its principal of~iee at No. 1010 Pine Street.,
St. Louis, Mlo.

The term "President shall mean the President of the United
The term Administrator shall mean the Administrator appointed
under Title I of the National Industrial Recovery Act.
The term "Act" shall mean the National Industrial Recovery Act
The term "Code" shall mean the Code of Pair Practice of the
Motor Vehicle Retail Trade.
The term "Mlember of the Code shall mean and include any mem-
ber of the Motor Vehicle Retailing Trade who shall signify assent
to this Code.


(1) Employees of the Motor Vehicle Retailing Trade 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;
(2) No employee of the M~otor Vehicle Retailing Trade and no one
seeking employment shall be required as a condition of employment to
jomn any company union or to reframn from jommig, organizing, or
assisting a labor organization of his own choosing; and
(3) Employers shall comply with the maximum hours of labor,
minimum rates of pay, and other conditions of employment approved
or prescribed by the President.

(1) No person under 16 years of age shall be employed in the Motor
Vehicle Retailing trade, provided, however, that where a State law
provides a higher minimum age, no person below the age specified by
such State law shall be employed within that State.
(2) No employee (except outside commission salesmen and watch-
men) shall be employed for more than 44 hours in a~ny 1 week.
These maximum hours refer to the availability of the employee in
the shop or premises of the employer at the latter's request, whether
or not the employee is actively engaged in specific tasks throughout
these hours. All places of business shall be kept open not less than
52 hours a week, unless such hours were less than 52 hours per week
before July 1, 1933, a~nd in which case such hours shall not be reduced
at all.
(3) The maximum hours fixed in the foregoing paragraph (2) shall
not apply to salaried employees in a managerial, executive, or super-
visory capacity who receive $30 per week or more.
(4) Not to pa~y any employees, except as hereinbelow provided, less
than $15 per week in any city of over 500,000 population, or in the
immediate trade area of such city; nor less than $~14.50 per weekr in any
city of between 250,000 and 500,000 population, or in the immediate
trade area of such city; nor less than $14 per week in any city of
between 2,500 adid 250,000 population, or in the immediate trade area

of such city; nor less than $13 per week in towns of 2,500 or less,
except that one washer or grehser or porter or helper or aged or phy-
sically handicapped worker may be employed at less than $13 per
week in such establishment; and except that inl establishments employ-
ing more than 19 employees, the number of such employees who are
paid less than $13 per week may equal but not exceed 10 percent of
the total number of employees in any such establishment; and pro-
vided further that no employee shall be paid less than $13 per w~eek
who was not receiving less than this wage on August 1, 1933; and
provided further that the wages of any employee receiving less than
813 per week shall be increased by at least 20 percent, despite his
shortened hours, provided, however, that no employer is required
to raise the wages of any such employee above 813 per week.
(5) Full-time outside salesmen, who are! unrestricted as to hours and
receive remuneration on 0, commission basis, shall be guaranteed a
drawing account of not less than $17.50 a wveek in any city of over
500,000 population, or in the immediate trade area of such city; nor
less than $15 per w~eek in any city betw-een 250,000 and 500,000 popu-
lation, or in the immediate trade area of such city; nor less than $12.50
per wreekr in any city7 betw~en 2,500 and 250,000 population, or in the
immediate trade area of such city; and in towns of less than 2,500
population all salesmen shall be guaranteed not less than $10 per w~eek.
An apprentice salesman is excepted from this guaranty until be
has served at least 3 months--? months of which must be served w\ith
employer last employing him. Such apprentices shall be limited t~o
1 for each 10 regular salesmen, or fraction t~hereof.
Population and trade area for the purpose of this article shall be
determined by reference to the 1930 Federal census; except that the
Emergency National Comnmittee with t~he approval of the Admins-
trator shall have the power to alter trade areas.
(6) No mechanic employed in this trade shall be paid less thtan
50 cents per hour unless the hourly rate for the same class of work on
July 15, 1929, was less than 50 cents per hour, in which latter case
such mechanic shall be paid not less than the hourly rate of July 15,
1929, and in no event less than 40 cents per hour. Thle w~eekly mini-
mum wages established in paragraph (4) above, shall also apply to
the mechanics covered by this paragraph (6).
(7) Parag~raph (4) andl paragraph (6) establish guaranteed minimum
wages regardless of whether the employee is compensated on th~e
basis of a time rate or a flat rate performance or otherwiise.
(8) NoU dealerT shll redceUt lthe compensatioSLLn for employment now
in excess of t.he minimum wages hereby provided (notwIt~hstanding
that the hours worked in such employment ma~y be hereby reduced)
and each dealer shall increase the pay for such employment by an
equitable readjustment of all pay schedules.
(9) No dealer shall use a~ny subterfuge to frustrate the spirit and
intent of this Code, which is, among other things, to increase em'ploy-
ment, to remove obstructions to commerce, and to shorten hours
and to raise minimum wages for the shorter w~eeki to a livinga basis.
(10) No dealer shall increase the price of any merchandise sold
after the date hereof over the price on July 1, 1933, by more than is
madie necessary: by actual increases in wages, or invoice costs of mler-
chandise, or by taxes, since July 1, 1933, and in setting suchl price
increases each dealer shall give full weight to probable increases in

sales volume and to refrain from taking profiteering advantage of
the consuming public.
(11) The maximum hours herein above provided mark the total
number of hours which may be worked by any employee; whether
he works for one or more employers; provided, however, that if any.
employee works more than such aggregate maximum without the
knowledge or connivance of any one of his employers, such employer
shall not be deemed to have violated this paragraph.
(12) No employee shall be classified in any of the excepted classes
hereinabove, unless such employee performs duties identical with
those performed by employees thus classified on June 1,1933.
The provisions of this section will cover the following products:
Passenger cars, trucks, and commercial vehicles with bodies of %-ton
capacity and less, or such other capacity limitation as may be deemed
proper by the Administrator.
In an effort to prevent sales below cost, heretofore due to unfair
competition that has resulted in the dissipation of the large part of
t~he capital originally in this trade and has accumulated large losses
since 1926, this trade agrees to regulate itself so as to return profit
possibilities and support increased wages and shortened hours.
Giving consideration to the public interest and to prevent sales
below cost, it is hereby provided:
(1) Thiat the value of any model of used motor vehicle, either
P assenger or commercial, shall be the average price that the public
mn any given market area is then paying for such vehicle as ascertained
by t.he Association from sworn statements of a~ll actual retail sales to
consumers, subject to the approval of the Administrator. The
Association shall publish the average prices thus ascertained approxi-
mately every 60 dlays. In order to insure fair average value in t~he
interest of the consumer, published averages shall be computed for
the preceding period and there shall not be included in computing
suich average that 20 percent of sales which represented the lowest
sales of all actual sales reported in the previous period.
(2) Th~at no dealer shall, directly or indirectly, or by subterfuge,
accept in trade any used vehicle at an allowance price of more than Its
value as ascert.ained in paragraph (1) above, less a minimum selling,
handling, and reconditioning charge, according t~o the following
sched ule:
(a) Five percent of the allowasnce price as determined in para-
graph (1) above, on (x) the current series model, or (y) the pre-
ceding series model.
(b) Ten percent of the allowance price as determined in para-
graph (1) above on the model preceding, the two models de-
scribed in paragraph (2) subsection (a) above, namely (x) and (y).
(c) Fifteen percent of the allowance price as determined in
paragraph (1) above, on all models other than the three models
described in subsections (a) and (b) above.
(3) To provide a record for the establishment of used-car alowances
in paragraph (1) above, there shall be provided in each logical trading

area of the United Sta&tes an Official' Guide, which shall be provided
by the Association which shall be knowna as the Aissociation Official
Guide and shall be recognized as the authority for such allowances,
and which shall be based upon actual sales in each trading area for the
pelirio of approximatePly 60n dayn precedingr the date on which t.he com-
pilat ion of the official guide is started, as hereinabove provided.
(4) ThereP shall be' used as a ba~si of est.ablishing allowance values,
as provided in paragraphs (1) and (2) above, the principle of averaging
ac~tuarl srlafe at, retasil ton consumer for the preced~ingr period. Since this
wcill,'in isolated instances, by reason of very fewr or no sales on par-
ticular models, leave a need t~o establish a guide figure on such models,
the following method of determining the allowance values will be
pursued for thbe public protection, namely.
(a) If any model of motor vehicle described in the Official
Guide shows five or more sales at retail to consumer within the,
district in any period, then the average figure published becomes
the maximum allowance for the ensuing period.
(b) If any model of motor vehicle has less than five sales at
retail to consumer within the district for the period then t~he new-
car dealers handling this particular make car within this district
shall establish its alilowannce vanlue, t~he same to be so published
in the report. These figures to be subject to approval of the
AdvisoryF State Committee and the Administraltor.
(c) If anyI make or model or motor vehicle is not represented
in the district or is no longer manufactured and less than five
sales at retail to consumer are reported on each or a~ny model of
such car, then the Advisoryv State Commlittee, subject to the
approval of the Admlinistrat~or, will set the figure based on w~hat
like models of other makes sell for in the district.
(5) No retailer shall use advertising, w-hether printed, radio, dis-
play or of any other nature, which is inaccurate in any material par-
ticulalr or misrepresents merchandise (including its use, trade-mark,
grad, qalit, qanti~ysize, or~igin?, mnterial, contentt, or p~repara-
tion or creditS terms, vues, policies, or services; and no retailer shall
use advertising and/or selling methods which tend to deceive or mnis-
lea~d the customer.
(6) No retailer shall use advertising which refers inaccurately ini
any material particular to any competitor or his merchandise, prices,
values, credit terms, policies, or services.
Fair trade practice rules for other products of this Code w\ill be
covered in the supplemental Code of Fair Trade Practices to be
submitted .
The following lifarkteting Rules shall take effect 30 days after the
approval by the President:
(1) No dealer shall sell a new~ car at retail to a consumer for lesis
than factory list prices, plus an amount equal to-
(a) Eq9uipment at listed prices.
(b) Altaxes paid by dealer applicable to the motor vehicle
(c) Avera~ge cost of transportation fromt factory of said dealer
or shipments received by said dealer during a 60-day period as
shown by sworn statement of said dealer.

(d) Dealer's actual cost of handling (including sulch items as
(w) ulnloading, (x) assembling, (y) conditioning for delivery, and
(z) interest actually paid by said dealer, but not to exceed 90
days on cost of transportation).
The only exceptions to these prices shall be sales to proprietors'
immediate families or members of his organization when for the
personal use of such buyer. Motor vehicles sold to employees for
use in their employer's business as demonstrators or executives' cars,
and cars used as demonstrators by dealers, must be so registered with
their trade association, or with the State Advisory Committee;
demonstrators and executive cars shall not be sold to a consumer at
retail for less than the full retail price except when- they have been in
use for a period of at least 60 days from the late of registration, as
aforesaid, and have had at least 3,500 miles actual road usage, or when
the manufacturers has made public announcement of a change in
(2) No dealer or representative shall offer or give any discount,
gratuity, comnussion, service or accessory, to a customer or his
agent, for the purpose of inducing the customer or his agent, to pur-
chase a car. Nothing herein shall prevent conduct pursuant to any
warranty of the manufacturer.
(3) Charges for financing retail conditional sales shall be upon an
equitable basis to consumer and dealer. No dealer in financing con-
ditional retail sales shall charge a lower rate than the lowest or a
higher rate than the highest rate charged by regularly established
finance companies operating in the same district as the dealer.
(4i) With the approval of the State Advisory Committee and the
manufacturer concerned, a, dealer will be permitted to sell and offer
for sale, new cars that have been discontinued or are about to be
discontinued at less than delivered prices as described in the first
paragraph of this section. The intent of this provision is to enable
dealers to dispose of their own or their factories' stock. In the event
that approval is refused, or that no action is taken within 10 days by
the said Committee or the manufacturer, said dealer shall have right
of appeal, to the Administrator, whose decision shall be final.
(5) WCith the approval of the State Advisory Committee and the
manufacturer concerned, t~he dealer may sell or offer for sale, any
open type of new car at less than delivered price, as described in the
first paragraph of this section, provided the dealer will present a
sworn statement showing that such car has been included in said
dealer's inventory for a period of not less than 45 days. The intent
of this provision is to enable a dealer to dispose of a, type of car which
is or may shortly become diffcult to sell because of a change in
seasons. In the event that approval is refused or that no action is
taken within 10 days by the said committee or the manufacturer,
said dealer shall have right of appeal to the Administrator, whose
decision shall be final.
(6) It shall be an unfair trade practice for any new car dealer or
representative to sell or permit to be sold any new motor vehicle for
resale in a territory already enfranchised for that m~ake of motor
vehicle except through a regularly enfranchised dealer in that terri-
tory and it shall also be an unfair trade practice for any dealer to
purchase a vehicle as above prohibited.

.(7) TIhe retail list price for parts, accessories, and supplies will be
the manufacturers'. published2 list price adjusted to include all taxes.
It shall be an unfair trade practice for any: dealer to sell such parts,
accessories, and supplies at other than retail list price, except t~o duly
authorized dealers, associate or. sub-dealers, or established service
stations, operating under any NRA Code.
(8) A dealer shall on delivery of a new car from the manufacturer
inspect and ascertain that the speedometer on the newf car is connected
before using the car for any.purpose. A dealer shall not disconnect
the speedometer or permit it to be disconnected. The purpose of this
provision is to insure the customer having full knowledge of the
mileage traveled by the motor vehicle which is offered for retail sale.
The Emergency National Commrittee shall hold a trade practice
conference as often as may be necessaryv for the purpose of making
recommendations to the Administrator in regard to the establishment
and amending of rules of fair trade practice for the Trade.

A. For the purpose of the administration of this Code, there shall
be in each State an advisory committee consisting of not less than
five, one of w~homr shall be elected from? the exclusive or independent
used car dealers, elected by the dealers of such State, in convention
or by mail vote. The chairman of each State Advisoryv Committee
shall be a member of the EmergencyF National Commiittee. The
Vice Chairman of each State Advisory Committee shall be an alternate
member of the Emergency National Committee.
Each such State Advisory Committee shall constitute the fair
practice and planning agency to cooperate with the Administrator in
respect to problems relating exclusively to the said State. Proposals
in respect to mlatt~ers affecting mlor~e than one Stat~e may be initiated
by any State Advisory Committee and shall be submitted for con-
sideration to the Emergency National Commlittee of the motor vehicle
retailing trade hereinafter described and its determination, subject to
the approval of the Admiinistrator, shall be binding upon said State
and all other States affected thereby. For the purpose of t~he atdmin-
istra~tion of this Code, the District of Columbia, Mietropolitan New
York, and the rest of New York, lifetropolitan Chicago, and the rest
of Illinois, shall each be considered one State.
States mayI be divided or rearranged upon application of any
association or group of associations subject to the approval of the
Emergency National Committee hereinafter described.
Each of the present component associations making up each State
Group and any others which may subsequently be formed within the
Motor Vehicle Retailing trade shall set up Ex~ecutive Committees for
the purpose of assisting in ad ministration of the provisions of the Code,
to secure adherence thereto, to hear and adjust complaints, to con-
sider proposals for amendments thereof and exceptions thereto, and
otherwise to carry out within the component associations by coopera-

tion through the State Advisory Committee the purposes of the
National Industrial Recovery Act as set forth in this Code. Any
decision of the Committee shall be subject to final appeal to the
Administrator. No inequitable restrictions upon membership in any
such association shall at any time be imposed.
There shall be an Emergency National Committee of the Motor
Vehicle Retailing Trade composed of the Chairman 'of each State
~Advisory Committee a~nd five additional members, who shall be mem-
bers of some State Advisory Committee, elected at large by the ex-
clusive or independent used car dealers.
The Emergency National Comlmittee shall be the general plann
and coordinating agency for the industry. Its members slce
as aforesaid shall be empowered to act for their respective State
Advisory Committees conclusively in respect to all matters before the
National Committee for consideration and within its jurisdiction.
The Chairman of the Emergency National Committee shall appoint
fourteen members, three of whom shall be exclusive used car dealers to
be called the Administrative Committee. 'Such appointments are' to
be approv-ed by a manjority of the members of the Emergency National
Committee, and to insure balanced representation of all classes of
dealers must include dealers from smaller towns, and dealers geo-
graphically representative of the Nation, as well as the various hnes
of cars and with consideration of the appointee's availability and
willingness to serve.
Thc E~mergency Nationatl Comlmittee shall delegate its power to
the smaller body to be exercised as necessary to problems requiring
attention between meetings of the National body.
Thle Emergency National Committee shall have powers and duties
as provided herein, and in addition thereto it shall,
(1) From time to time require such reports from state associations
and component associations, or fromt local associations, or from mndi-
vidual dealers, as in its judgment, subject to the approval of the
Administrator, mlay be necessary to ad~vise it adequately of the
administration and enforcement of the provisions of this code:
(2) Upon complaint of interested parties or upon its own initiative
make such inquiry and investigation into the! operation of the Code
as may be necessary, and report its findings to the Administrator, and
(3) Alake rules and regulations necessary for financing the adminis-
tration and enforcement of this Code, subject to the approval of the
Administrator. The Committee may delegate any of its authority
to the National Control Committee hereinafter provided and may
designate such agents as it shall determine.
The National Automobile Dealers Association will serve as a medium
through which all required statistics will be obtained, and each
member of the Code shall upon request furnish it with a sworn statte-

ment of such information and mak~e his books available to the
National Automobile Dealers Association, to the end that the terms
of this CodeP reganrding incrense of wges,4 shortening of hours, and the
establishment of fair used-car allowannce, based upon all actual sales
and the maintenance of established prices, may constantly be available
to the Administrator.

The E;mergency National Commiittee of the motor vehicle retailing
trade shall appoint from its ow-n membership a NIat~ional Control
Committee of 4 members, I of whom shall be an exclusive used car
dealer. In addition, there may be tw~o nonvoting members appointed
by the Adlministrator. The National Control Committ~ee shall exer-
cise such authority as m~ay be delegated to it by the said Emergency
National Committ~ee. All communications and conferences of the
motor vehicle retailing trade with the President or with his agents
concerning the approval or amendment. of this Code or of any of its
provisions or any matters relating thereto, shall be through the said
National Control Committee. The National Control Committee
shall serve as an executive agency for the Emlergency National Com-
mittee of the motor vehicle retailing trade and shall be charged with
the execultion of t~he dult~ies through agents or otherwise, of hearing
and adjusting complaints, considering proposals for amendments and
making recommendations thereon, approving recommrendations, for
exceptions to the provisions of this Code, and otherwiise admlinister-
ing its provisions. Any member of this Tradle shall have the rightt of
appeal to the Emergency National Commuittee from decisions of the
National Control Committee and the decisions of the saidl Emiergcncy
National Committee may be appealed from, to the Administrator
whose decision will be final. The function of this committee shall
be the general planning and coordinating for the motor vehicle retail
trade and the cooperation with similar boards of the Nationl ~Auto-
mobile Chamber of Commerce and other branches of the industry to
the end of effecting a balanced national economy .


(1) No provision in this Code shall be interpreted or applied in
such a manner as to:
(a) Promote monopolies
(b) Permit or encourage unfair competition
(c) Elimninate or oppress enterprises, or
(d) Discriminate against small enterprises.
(2) This Code is hereby expressly made subject t.o the right; of the
President., pursuant t~o Section 10 (b) of the National Inldustrial
Recoveryr Act, from time to time, to cancel or modify any order,
approval, license, rule, or regulation issued under Title I of said Act,
and particularly, but wFithout limitations, to cancel or modify his
approval of this Code or any condition imposedl by himi upon such
(3) The Emergency National Comlmittee of t.he motor vehicle
retailing trade and the National Control Commlittee shall from time
to time make to the Administrator such recommendation, including


10 3 1262 08728 6257

amendments of the Code, as in their judgment will -aid,the. BEffctve
administration of this Code, or may be necessary to e~ffed~atuae withm
the motor vehicle retailing trade or within any subdivision thereof
the purpose of the Act is administered.
(4) Such of the provisions of this Code as are.not required to be
included therein by the Act, may, with the approval o~f the President,
be modified or eliminated as changes in circumstances or experience
may indicate. It is contemplated that from time to time supple-
mentary provisions to this Code or Codes, including in particular,
but without limitations, supplementary provisions relating -to dealers
engaged exclusively in servicing or repairing, will be subnitted for the
approval of the President to prevent unfair competition in price and
other unfair and destructive competitive practices and to effectuate
the other purposes and policies of Title I of the Act consistent wpith
the provisions thereof.
(5) Violation by any dealer of the motor vehicle retailing trade or
any provisions of this Code, or of any approved rule issued thereunder,
is an unfair method of competition.
(6) If any employer in this industry is also an employer in any
other industry, the provisions of this Code shall ~applg to and affect
only that part of the business of such employer which Is a part of the
trade covered by this Code.
(7) This Code shall become effective upon its approval by the
President, except as herein specifically provided.