Proposed code of fair competition for the poultry equipment industry as submitted on August 30, 1933

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Title:
Proposed code of fair competition for the poultry equipment industry as submitted on August 30, 1933
Portion of title:
Poultry equipment industry
Physical Description:
11 p. : ; 24 cm.
Language:
English
Creator:
United States -- National Recovery Administration
Publisher:
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:

Subjects

Subjects / Keywords:
Poultry industry -- Equipment and supplies -- United States   ( lcsh )
Genre:
federal government publication   ( marcgt )
non-fiction   ( marcgt )

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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. 1637a-06."

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Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004921504
oclc - 639271406
System ID:
AA00006592:00001

Full Text


Registry No. IG37a-W0


NATIONAL RECOVERY ADMINISTRATION




PROPOSED CODE OF FAIR COMPETITION

FOR THE


POULTRY EQUIPMENT


yEquipment Industry
in its present form merely reflects the proposal of the above-mentioned
industry, and none of the provisions contained therein are
to be regarded as having received the approval of
the National RecoverU Administration
as applying to this industry




UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTOON i 1983

Per sale by tim Sulperinted~leDnt f ecmel Waslaton, D.C. Prce~ 5 censa


WI DO OUR PlART


INDUSTRY

AS SUBMITTED ON AUGUST 30, 1933














































SUBMITTED BY

POULTRY EQUIPMENT ASSOCIATION

(II)


i:













CODE OF ETHICS ~ANID PRACTICES FOR THE POULTR
EQUIPMENT ASSOCIATION
AN AFFILIATED ORGANIZATION OIF THE NATIONAL COUNCIL IJV STOCKS
EQULIPMENT ASSOCIATIONS
(Adopted at Chicago, August 11, 1933)

PREAMZBLE

The Poultry Equipment Association, a national trade association
for this industry representing in its membership more than 7i5 percent
of the production of Poultry Equipmentt in the United States, by
action taken at. a mneetingo in the City of C~hicago on the 14th day
of July 193;3, dloes her~ebyl subscribe to the policy, provisions, rules,
and regula~ionns of theP National Indusitrial RecvryI'P~ Act..
The Poultryr Equipmient Association, by a ma~jor~ity vote at this
meeting, decided to come under the pr~ovisions of this act which
permit the v~oluntary adoption of a Code of Fair Competition and
Prractices and aulthorizedl the creation of an Executive Committee to
draft. a code which is to be presented to the Governmnent for Presi-
dential approval by the chairmlnn of this Aissociation acting as a
member of the Executive C'ommiittee of the National Ciouncil Live
Stock Equipment Associations.

CONDITION OF THE INDUSTRY

Trhe products of this induistry~ ar~e sold to t~he farmer, largely
through dealers. Due to the limiited buying power of the farmner,
this indlustry has been inl an abnormallyr depr~essed condition for the
past several yea rs. W~ith t~he r~ap~idly d~ecreasing consumption of thie
pr~oductsi olf this industry, completitive conditions have become ex-
tremely~ destr~uctive,. resuiltng in srevere losis of wages for the worker,
and in the destruction of capital values andi cash r~esier~ves for the
pr~oducer.

WHAT CONSTITUTES POU~LTH:Y EQUIPMENT

Poultry Equipment, as used- inl this Codle, includes the following
items :
Brootler Stores and Caniopy) Broodlers, Batteryv Brooder~s, Stor~age
Brooders, Finishingr Batter~ies, Inlter~mediate Batteries, andl in fact
B3roodlers of any typle or descr~iptionl whether heatedl by coal, oil dlis-
tillate, electricity, or' othierwise;i Hen Ba~t.teries or Laying B3utteries
and pens, W'ood or Metal Feedingg Pans; G~alvanized w-ar~e andl Tin
ware of various classes; Feeders, TIroughls, or Freeding Devices, WTood
orr M~etal D~rinkiing Fountainis, Trougrhs, or Pans; Grrit and ,Shell
Hol~-pprs, M on Jull.lr Waterersl~ andll Feedel$ rs, E Ga~der~s or Tester~s,
9114--33 (1)








Brooder Stove Pipe and Accessories, L~eg Bands and Mrilkingi De-
vices, Parts or Accessories that enter into the manufacture of above
equipment and all other equipment commonly used by the p~oultry-
man in caring for baby chicks, growing chicks, or flocks.
^ORGANIZATION

This Associatiozi is composed of manufacturers of Poultry Equip-
ment and was organized in 1931.
ASSOCIATION OFFICERS
The present officers of the Poultry Equipment Assc~iation are as
follows: President, W. A. Zaloudlekl,. Oakes Manufacturing Co., Tip-
ton, Ind.; vice president, W. D. James, James M~anufacturing Co.,
F-ort A.tk inson, Wis. ; secret ary-t reasu rer, .L. J. Brow~er, Brow~er
Manufacturing Co., Quincy, ~Ill.'' .r .:
EKXE;CTTIVEI COMMBTTTFE

T~he Executive Committee, as authorized by the Association nt a
meeting in the City. of Chicago on October 11, 1932, consists of
follow\\ing: W. D. Harve~y, Globe Amyerican Corporationz, K~okomlo ,
Ind~.; AL. 1R. Hill, Buckeye Incubator Co., Cle~veland, Ohnio; W'. A.
Z~nloudek;, Oakes Manufacturings Co., Tip~tonl, Ind.; W. D. Jamies,
Jamiies ManIu featuring Co., Fort Atkinson, W7is.; L. J. Brower,
Br~ower1 Manulfacturing Co., Quincy, Ill.
MEIMBERSHIP OF~ ASSOCIATION

The membership of the Poultry Equipment Association, r~epre-
senting more than 75 percent of` thle production of 1Poultry Equip-
ment in thne U~nited States, includes th~e following companies:
(List of members to be inserted.)
Manufacturers of Poultry: Equipmnent representingr the balance
of the production of Poultryr tEquipm'ent in the United States,
which have been invited to become members of this Associat~ion burt
have~ not yet affliate~d as members, include the following companies:
(List of nonmembers to be inserted.)
So far as can be determined by this Association, the above lists
of members and nlonm~embers include all of the factors engaged in
this industry.
The Poultrly Equipment A~ssociation, in behalf of thris industry,
does hereby submit and ask for approval of the following Cod~e of
Ethics and P~ractices.














ARTICLE I -PUPOSE

This Code is set up for thne pulrpose of increasing employment,
mnaintaining fair a~nd adequate wages? and eliminating unfair trade
practices, to the end of rehabilitating the Poultry Equipment industry
in all itsE phases and enabhlingr it to do it~s part toward establishing
that balance of industries which is necessary to the restoration and
mnaintenance of the highest practical degree of public welfare.
It is the declared purpDose of the Poult~ry Eqluipmetnt industry arnd
adhere1nts to this Code to restore thle income of enterprises wFit~hin thre
indlustiry to levels which will makle possible the payment of fair
wages and avoid the fulrther depletion and destruction of capital
assets.
ARTICLE II--PARTICIPA-TION

Participation in this Code, and any subsequent revision of or
addition to the Code, shall be extended to any person, par~tnershiip,
or corporation in the Poultry Eqluipment industrly who accepts h~is
share of the cost and responsibility, as w~ell as thne benefit of such
participation, by becoming a member of the Poultry Equipmnent
Associ at~ion.
N~o initiation or entrance fee shall be charged for membership
in the Poultry Equipment Association, but there shall be levied
against all members of the association annual dues iri the simotirit of
$25.00. Additional dues needed to finance the activities of the Asso-
ciation in carrying out and enforcing the Clode of~ the industry shall
be levied against each member in proportion to the v.olumle of its
sales of the itemns covered~ by this Codle.

ARTICLE III--GENERAL

(1) No provision of this Code shall be interpreted or applied in
such a manner as to-
(a) Promote monopolies. i
(b) Permit or encourage unfair competition.
(c) Eliminate or oppress, or discriminate against small enterprises
in the Poultry Equipment industry.
(2) This Code or any of it~s provisions may be canceled or modi-
fled or any approved rule issued thereundler shall be ineffective to t~he
extent necessary to~ conform to any action by the Presiflent. of the
United SCtates under section 10 '(b) of the N1ational Ind~ustrial
Recovery Act.
(3) Amendlments to this Code mnay be proposed to thle Executive
Secretary by any member or members of the Poultry Equipm~ent
Association, or mnay be initinted by the Executive Committee and
(3)


THE CODE







may be adopted by the affirmative vote of a two thirds majority of
the members of thre Atssociationr, and when approved byT t.he President
of the United States shall be effect ive.. Any amendments proposed
shall be submitted in writing to all members of the! Association not
less than two -weeks before coming before, the Association for action.
(4) The President and the Executive Secretary$ of the Association,
subject to the approval of the 1Executive Committee, shall represent
the Poultry Equipmrent A~ssociation and the PoultryT Equipmlent in-
dustry in all contacts with the Atdmainistrator of the NatioallR Indus-
trial Recovery Ac-t, or his nagents, except if a members of the asso-
ciation shall feel aggrieved on account of the pr~ovisions of this C~ode
or of an amlendmllent theret~o or rule or regulation madc~e pursuant
thereto suchn member shall have ~the r~ightl directly to ~r~esent his
position to the Pre~sidenlt of the Unitedl ,Sttes or his duly authorized
agent.
(5) The provisions, rules, regulations, and restrictions as set forth
in this Code, as approved by the P'resid~ent, of the UnTlited Stat.es shall
becomer bindring~ upon all pr~od~ucers. i of Poultry Equipmnent. wit.h~in
ten dlays after final apprlovanl.
(6) R~ights of WorkXel'.l.--(a) Employees in the Pourltry~ Equip-
mnent indlu try shall have the right to org~anize and bargunin collee-
tively through representati.ves of their own choosing, andl shall be
free from the interference, r~estraint, or cocerecion of empllorer~s of
Ilabor, or their agents, in the desig~nationl of' such r~epresjentati ves or mn
self-or~ganizat ions, or mn other concerted activities for the purpose of
collective bargaimrng, or other mutual aid or protection, as pr~ovided
for in Section 7 of thre National Industrial Recovery~ Act.
(b) N~o employee in the Poultry Eqluip~melt. indulstry~, and no one
seeking employment therein, shall be requilredl as a condition of em-
ployment to jomn any company union, or to refrain fr~om joining a
labor organization of his own choosing, as pr;ovided for in Section
7 of the National Industrial Re~overy) .Act.
(c) Employers of labor in the Poultrly Equlipment indlustry! algree
to comply9 wit the: maximum hours of labor, minimlumm rates of
pay, and other' workingr conditions appr~oved or prescr~ibedl b thle
President.
(d) It is clearly undecrstood2 that the foregoing~ par~agraph does
not impair in anly particular the constitutional rigIhts o.f the em-
ployee and emlployer to bar~gnini individually or collectively as may
be mnutually satisfactory to them; nor dloes it imlpair t~he joint r~igh;t
of employer~l and employee to operated~ an open shop.
(e) Nothing in this Code is to prevent thle select ion, ~etent~ion,
and advancemetnt of employees on the basis of th~eir indtividunl merit.
without regard to their affiliation or nolnaffiliation w~ith any labor
organization.
(f) It is expr~essly stipulated that neither any provision of this
Code nor the fact or manner of its pr~eparation, presentation, adop-
tion, or filing shall be construed as conlstitultingr a, waiver of anyv con-
stitutional right which the several members of the Poultr.y Equip-
m~ent Association or industry might oth'erwise have and enjoy. Any
such pr~ovision which may limit or abrogate any' constitution nal right
is inserted under1 the unavroida~ble requirements of the National In-







dustry Recovery Act as the same is understood by said members and
not voluntarily nor with their approval as a contractual relinquish-
ment of such right.
ARTICLE IV--ADM\INISTRATION

Fanfor~cemnlPt.-The administration officer of this Code shall be the
Executive Secretary of the Poultry Equipmlent Association. He
shall be required to submit and to explain the provisions, purrposes,
and aims of the Code to all producers of Poult~ry Equipment, includ-
mng members and nonmembers of the Poultry Equipment Association.
Any producer of poultry equipment injured by the violationi of this
Code shall file with the Executive Secretary a written complaint set-
ting forth the facts in the matter andr reque~t~ing such relief as may
be just.. The cost of investigating uinfouinded complaints mayv be
assessed against the complainant by? the Executive Secreta~ry in his
discretion.
The Executive Secretary of the Poultry Equipment ALssociation is
authorized and directed to enforce vigorously, equitably, andl with-
out exception a system of discipline for violators of this Code or anly
of its rules, regulations. or provisions as follows:
A fine against violators, in cases where the violation involves a
sale of poultry equipment, of an amount not, to exceedl ffty percent
of the established price of the equipment sold.
A fine against vliolators, where the sale of equipment mnay not. be
involved, of an amount not to exceed five hiundr~ed dollars ($500).
The Executive Secretary may use his discretion, as cir~cumistances
warrant in substituting an arbitrary fine for the percentage of sale
plan.
Violation of any or all rules of the C'ode may be considered a
separate offense for each and every day such rules are violated.
If found necessary to the welfare of the industry or in support
of the proper administration of this Code, the Executive Secretar~y
may give full publicity to the facts regarding any violat~ion by any
person of any rule or regulation of this Code, and the hearing
and determination thereon, without any liability for libel arising
therefrom.
Any fines assessed and collected shall be turned into the Associa-
tion Treasury. Such money shall be available for awanrding finan-
cial damages to member injured by violations. Fines collected and
not so used shall be applied to the Association's operating budget.
Any member of the Poultry Equipment Association or any~ pro-
ducer of poultry equipment who is not. a member of the association
shall have the right to appeal from the ruling or decision of the
Executive Secretary and such appeal shall be heard by a represent-
ative Arbitration Committee of at least three persons, such com-
mittee to be appointed by the Executive Comnmittee of the Poultry
Equipment Association from the organizations of different members
of the industry. Under this provision a separate Arbitration Com-
mittee shall be named to handle each appeal and the membership of
such committeee shall be truly representative for the purpose of
insu~ring the partiesa a fair hearing, but shall not include any mem-







b~ers of the industry connected -wit~h or in any way involved in the
The decision of such Arbitration Committee may be appealed by
either party to the association as a whole and the decision of thle
association by a two-thirds vote shall be final and binding. If such
association decision is not accepted and complied with by the com-
plainant or defendant the case shall be turned over to the Executive
Committee of the industry for submission to the Administrator of
the National Industrial Recovery Act.
Statistics and Reports.--The Exec-utive Secretary shall have the
power anld authority to require from eachE manufacturer of poultry
equipment from time to time such wage andl labor reports, informa-
ti~on, and records as shall be necessary to the adequate administration
and enforcement of the provisions of this Code.
The Executive Secretaryr shall have the right at all times to ex-
amnine all records of every producer of poultry equipment, whenever
such .inspection is necessary for the adequate administration and
enforcement of the provisions of this Code. It is definitely agreed
thrat any such information obtained by such inspection shall be of a
strictly confidential nature, except insofar as disclosure! of the facts
so obtained may be necessary to the just administration of this Code.
ARrwrz3 V---HOous or ILABOR

We agree that on -and after the effective date hereof, employers
in' the Poultry Equipment industry shall not; operate on a schedule
of hours of labor for their employees excepting executives and their
assistants, and salesmen, in excess of forty (40) hours per week,
averaged over a six months' period.
(a) Howev~er, there shall be no restrictions on the number of hours
which may be w'or~ked during any one day or during any one. week
pr~ov~ided the average of forty (40) hours pe~r week over a six months'
period is not exceedled.
(b) The above, however, is not to apply to hours of labor for re-
pa irshop crews, engineers, electricians, fir~emen, offce sales, and super-
visory staff, shipping,: watching, antd outside crews.
,AnLrwoL ~VI WAG1ES

We agree that on and after the effective date hereof, the minimum
wage which shall be paid bly employers in the Pouiltry Eqluipment
InduistryS to any of their emplo y-ees shall be as follows:' Adult male
labor, 300 per hour; female and minor labo~r, 25Q per hour.,
(a) I~t is undlcerstoodl that lear~ners shall be exempted from t.he pro-
visions of this section for a period of twelve weeks from; the date of
their employment.
(b) It is further understood that each manufacturers shall have
the privilege of exemlptiner from the provisions of this section a cer-
tain Junumber of so-called Bpensioner employees "; namely, emplloyees
wmho by reason of age or physical disability are not capable of per-
forming a full day's wnor~k but whom it is desired to retain because
of their long connection wit~h the business. Such employees shall
be reported separately in the making of necessary current labor
reports to the Administrator.







We further agree that the above rates may be revised from time
to time in such manner as will currently reflect on equitable adjust-
ments to variations in the cost of living; such adjustments to be sub-
ject to the approval of the Plresident of the United States. W~e
further agree not to employ any minor under the age of 16 years.
ARTICLE VTII-SELLING PRICES

It shall be an unfair method of competition for anyZ producer of
poultry equipment to sell his product below his cost., plus a reason-
able profit.
Cost to be interpreted as follows:
(a) Cost or market price, wrhichle\er is lower, of all materials
used.
(b) Clost of all normal direct labor including laying out, fabricat-
ing, assembling, riveting, soldering, welding, finishing, testing, etc.
(c) Fixed expense or overhead covers items including salaries of
Administrative and Executive Officers whichh must. be figured comi-
mensurate with services performed), clerical help, shipping, credit
expenses, shop superintendent s andr maintenance avrtsi sales
expense, all discounts and commissions, reasonable dlepreciation on
plant and equipment, obsolescence, and any~ and all general costs
and charges whether specifically enumerated or not.

ARTICLE \'III -TRADE PRACTICE RU~LES

These trade practice rules as set for the Poultryv Equipmnent Asso-
ciation are identical with the trade practice rules adoptedl by the
Barn Equipment Industry and which were approved by the Fedleral
Trade Commission on July 11, 19939, and amended on September 19,
1930.
GROUP I

Rule 1. Interlferen~ce WTith C'ontrlact.-T h~e wilful interference by
any person, firm, corporation, or assoelation, by any means or dev\ice,
whatever, with any existing contract. or order between a seller and
purchaser of any product handled by the industry, or t~he perfor~m-
ance of any contractual duty or service connected therewith, such
interference being for the purpose or with the effect of dissipating,
destroying, or appropriating in whole or in part the patronage,
property,_ or bus~iness of another engaged in such inldustry, is unfair
trade practice.
Rule 2. AfVis~eplese~nta~tion .--The sale or offering for sale of any
product of the industry with intent to deceive customers or prospec-
tive customers as to thle quantity, quality, substance, or size of such
product is unfair trade practice.
Rule 3. Rebates.--No person in this industry shall manke a secret
prepayment of transportation charges or permit. the payment or
allowance of secret rebates, so-called agency allowances, to the pur-
chaser, refunds, credits, or unearned discounts, whether in the formn
of money or otherwise, or the givinga of premiiumns, or extendling
to certain purchasers special service or privilege not extended to all
purchasers under like terms and conditions. Violation of this rule
is an unfair trade practice.







Rule 4. P~ic~e Dierimr~ination.-Any discrimination in price be-
tweenz purchasers of the same. class, excepting discrimination in
price on. account of the difference in grade or quality of thle product
sold, is unfair trade practice.
Rule 5. Defamrlat~ion of Characuter.--The defamation of a competi-
tor by words or acts which call in question his business integrityS, his
ability to perform his contracts, his credit standing, or mnisr~epresen-
tation of the grade, quality, or reliability of his goods, is condemned
as unfair trade practice.
Rule 6. ~Escess Allow~an~ceTs.-T1he allowance of transportation or
trucking charges in excess of thle actual or published amount of such
charges on products is an unfair trade practice.
Rule 7. Soliciting Emnployes.-The solicitation of the services of
salesmen or other employes of other m~ember~s of the .industry with-
out notice to the emplloy~er involved is an unfair trade practice.
Rule 8. Pa~tents, Trade marks1'., and Tirad~e Namnes.--No person in
this industry shall imitate the trade marks or t~rade names of a
competitor wChich results in deception to buyers and consumers, or
which may be an invasion of property rights of su1ch1 competitor.
The circulation of thrlea2ts of suits for infringement of patent or
trade-mark among customers of a competitors, not mande in good
faith, for the purpose of hanrassing and intimidating customers. is
an unfair trade p~act~ice.
GROUP II

R;ULIE 1. Price Lists.--In the belief that a uniform met~hodl of price
quotations will eliminate much existing discrimninabion betw~eenl pur-
chasers of the same class and will result in mutual benlefits to both
the producer and consumer of Poultry Equipment,; t.he Poultry
Equipmenrt industry has agreed that all price lists pulblishedl or dis-
tributed by the producers of Poultry Equipment shall list t~he r~ecom-
mended selling price to the consumer and that no consumer discounts
shall be permitted. ~Any producer of Poultry Equipmnent making
changes in his price list or lists, or contemnplatingr thle issuance of
new price lists, shall give the association office notice of su~ch change
or changes. If the price adjustment is downward, the notice to the
SecretaryT shall be given at least two w~eek~s before date on which
new prices are to become effective.. A membePr company ajsl-ilcting
prices either upward or downwarnd shall not advise his selling or-
ganization of such change until after th~e Secretary has been so
notified.
On courtesy business interchanged between manufacturers or on
items which are special and not listed by anyS member of thle asso-
ciation quot~ations shall be madeP on the baisrr of mwnlanufa;turin cost
as defined in Article 7, inclulding~ normal cost of material, labor,
and overhead, plus a reasonable pr~ofit. On jobbed items quotations
shall be madelc on the basis of resale price fixedl by thle manufacturer
thlereof. M~anufa-cturers in this association shall publish a published
p rice list or price list.s showing the prices for variou~s sizes, gra;des,
and quantities of their products.
Any violations of this plant byr any producer of Poultry Equip~ment
is unfair competition.







Rule 2. Dealer D~iscou~nts.-Definition : The term "(dealer "' for the
purpose of this Code shall be defined as one operating a place of
business, carrying a stock of goods, selling at retail and for the pur-
poses of this ('ode shall be further limited to those dealers who handle
lines kindred to Poultry Equipment., as for example, farml imple-
mnent~s, hardware; also general stores carrying har~dware; hat~cheries,
and feed or seed stores; and shall exclude retail dealers handling
lines entirely foreign to the Poultry ]Equipment industry who have
not in the past handled Poultry Equipment as a line. Inasmiuch
as the prevailing discounts on the var~ious items of poultry equip-
ment range fromt 10 to 331,4 percent, it shall be unfair comlpettiton
for any producer of Poultry Equipment to allow a dliscoulnt of more
than 33!@%~c off consumer price list to a dealer who stocks the prod-
uct of such producer. The Executive Secretary of the Ptoultry
Equ~ipment Association shall be the sole judg~e as to wTheth~er a
dealer can be qualified as such.
Rule 3. Jobberi Discountis.--Defin ition of Jobber: The industry
hereby records its approval of the definition of a qualified wholesale
distributor to be one whose principal1 business is selling to the retail
distributor, carries a well selected stock of mierchandise,~ buys in
suitable quantities, warehouses a reserve stock for retailers within
a radlius of economical distribution andl convenience of service, resells
in proper units to the retailer as economically as possible, assumes the
credit risk, and such other obligations as are incident to the t~rans-
portation, warehousing and distribution of th~e produlrcts of the
industry.
It shall be unfair competition for any producer of Poultryr Equip-
mient to allow a discount. to a jobber or a national distributor of
Poultry Equipment greater than 25% from the tlealer price list.
Rule 4. Terms.I~ -Pyrment. of all innvoice oermgPrn sales to jobbers
and dealers shall be not t~o exceed a. 1%r discount. to jobbers and a
2 percent discount for retailers from the net amount of the invoice
for cash in ten days. No discount permitted on transportation
charges or allowances. (In cases where it is deemed advisable 10th
prox. may be considered 10 days.) On future orders in reasonable
quantities written previous to January 1st and calling for shipment
at producer's convenience before January 1st, termts mayv be not to
exceed 1%o discount for jobbers and 2%c for retailers for cash MCarch
10th, April 1st net with prepayment discount of 6%i per annumi.
On future orders in reasonable quantities of fall goods calling for
shipment at producer's convenience prior to August 1st., terms may
be not to exceed 1% to jobbers and 2%o to retailers for cash Oct~ober
10th, Novembe~r 1st net, wrC1ith 6 per annum for pr~epayrment. These
terms on future orders are recognized by thle miembers of this
association as desirable to enable them to manufacture and ship
merchandise during the months in which the industry ordinar~ily
would be shut dowfn, thus equalizing employment in t~he industry
throughout t~he year. A retailer may receive a 3%c discount for
cash with order.
Rule 5. Freigh~t Allow~ances and F.O.B. Points.-All merchandise
is to be shipped F.O.B. point of origin with the privilege of equal-
izing the freight with the nearest competitive shipping point..







RUE f>. Un~ifortr Gu~a ran lce.-M'\embers of the Poultr "3 Equip-
ment Association may give to customei-s thereof a uniforms guarantee
or wFar~ranty as ;follo'ws:-' V"We guarantee this, merchandise to be free
from detective~ workmanship or~ material for a period of one year
from sale thereof- and agree to re place :or repair at our option with-
out charge, any merchandise sold under this arrangement writhinz the
time limits prescribed herew~ith: F.O.B. factory~ and without a~llow-
ance for repair and other liability therein."
RULE 7. Steel Mills.----"A~ny steel mill or manufacturers of any r~aw
material wh~ich. fabricates articles of merchandise designated in this
Code shall be subject to this Code in every particular, and it shall
be Unfair Competition for such mnill.or manmufacturer to figure in the
cost of such ;articles of merchandisee any materials of their own
manufacture at other than the published resale prices of such mnate-
rials when sold in carload lots or other mnaximum quantities pur-
chased by ~the a-verage manufacturer.
Above shall also apply to such. merchandising outlet as manu-
facture their own goods or have sam~e made through subsidiary
companies.
Rule 8. Distressed M~erchanzdise.-F'ourteen days before offering
for sale, each manufacturer will submit to the' Execut~ive Secr~etary
for his approval lists of obsolete, rebuilt, repossessed, excess mv\en-
tory, and reclaimed merchandise givmyg number of units, age, con-
dition, consumer list price, alnd -the price for which it will be sold
and such merchandise must always be quoted in wFriting, and- when
sold to th~e trade it mutst be specified o~n the order blankr as rebuilt,
reclaimed, or returned maerchand~ise.
PRODUCTION RESTRICTION~

We? agree that, because existing productive capacity far exceeds
the normal demand, not to increase our produnctive capacityv for a
period of 12 months from the effect ive date of this Code, excepting
as it mayr be normally increased through the substitution of new
'for existing equipment, or through more efficient methods of mnanu-
fatcture.
In, view of the-foregomng agr~eenrient we specifically ask that the
ALdministrator establish a rule which wCill make it necessary for any
con-cern desiring to undertake the manufatcture of PoultryS eqjuip-
ment to show a necessity for such increase in productive enpacity,
or that the product he intends to manufacture will better serv\e thle
public interest than the Pioultry equipment now available.
MNEW RULES

In submitting above trade practice rules for approval, the Poultry
Equipment At~ssociation desires to be iFiven the privilege of off-lering
for approval in the future such ad-ditio~nal rules a's experience mlay
prove desirable, orr to amend or withdraw old rules -whic~h pr~ove
unworkable.






11.

Respectfully submitted for the Poultry `Equipment Industry.
EXECUTIVE COMMITTEE OF
POULTRY EQU7IPMIENT AScSOCIATION',
----- --, Chairmian.

Dated at ..... -,-,, the ,----day of __, ..,,
193;3.




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