Code of fair competition for the structural clay products industry


Material Information

Code of fair competition for the structural clay products industry as approved on November 27, 1933 by President Roosevelt
At head of title:
National Recovery Administration
Physical Description:
p. 197-213 : ; 23 cm.
United States -- National Recovery Administration
U.S. G.P.O.
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Clay industries -- 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:
"Approved Code no. 123"
General Note:
"Registry no. 1013-1-03"

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004861603
oclc - 31990013
System ID:

Full Text






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

Approved Code No. 123

Registry No. 1013--1-03



~ ---- -- c%


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


This pubHeiatiion is for sale by the Superintendent of Documents, Government
Printing Offlee, Washington, D.C., and by district offices of the Bureau of
Foreign and Domestic Commerce.

Atlanta, Ga.: 5()1 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Customhouse.
Budfalo, N.Y.: Chamiber of Commerce Building.
Charleston, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 170!6, 201 North Wells Street.
Cleveland, Ohlio: Chlamber of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
'Detroit, M~ich.: 2213 First National Bank Building.
Houston, Tex.: Chamber of Commerce Building.
Indianapolis, lud.: Chamber of Commerce Building.
Jackisonville, Fla.: Chamber of Commerce Building.
Kansas City, M~o.: 1028 Baltimore Avenue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 408 Federal Building.
Me~my~is, Tenu.: 229 Federal Building.
M~iunnepolis, Mlinn.: 213 Federal Building.
New Oricans, La.: Room 225-A, Custombouse.
New Y'orki, N.Y.: i'34 Customhouse.
Norfolk, Va.: 406 East Plume Street.
Philadelphia, Pa.: 033 Commercial Trust Building.
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Offce Building.
St. Louis, Mo.: 500 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, Wash.: 809 Federal Building.

Approved Code NMo. 123



As Approved on November 2L7, 1933


Executive Order

An application having been duly made, pursuant to and in full
compliance with the provisions of title I of the Nationzal Industrial
Recoveryr Act, approved June 16, 1933, for my approval of a, Code
of Fair Comp~etition for the Str1uctural Clay Produ~cts Industry,
andi hearings having been held thereon and the Adminlistrator having
rendered his report containing an analysis of the said code of fair
competition together with his recommendation s and findings wsit~h
respect thlereto, and the Administrator having found that the said
code of fair coompetition complies in all respects with the pertinent
provisions of title I of said act and t~hat the requirements of clauses
(1) and (2) of subsection (a) of section 3 of the said act have been
met :
NOW, THEREFIORE, I, Fra2nklin D. Roosevelt, President of the
United 'States, pursuant to the authority vested in me by title I of
the National Industrial Recovery A~ct, approved June 16, 1988, and
otherwise, dlo approve the report and recommendations aind adopt
the findings of the Admlinist~rator andl do order that the said code
of fair competition be and it is hereby approved.
Approval recommended :
A dmin ist rator.
November 97, 1933.

287712--241 4-91 33

The W~thite House.
SIR: This is a report on the proposed Code of Fair Competition
for the Structural Clay Pr~oducts Industry, and on the public hfear-
ing conducted thereon in Wj~ashingrton, D.C., on August 22 and 23,
1933, in accordance w~ith the. provisions of the National Industrial
Recovery Aclt.
Four brancnhes of this indusllt~ry, producing primnarily common
brick, face brick, paymng brick and structural clay tile, have coop-
erated2 and par~ticipatedl through a joint committee of the industry,
in the submission of the proposed Code.
'The, ind~ustry~ has suffered severe shrinka~-ge since: 1925, its peak
year in total value of product, with an output. valued at 3341 million
dollars. In each year since 1925, value of output has decreased, in
1932 being ,56 million dollars. It appears that the industry in
1932 afforded employment to 29 percent of the workers employed
in 1927, About 101,000 workers were reported in 1927, but only
29,500 in 1932. Number of plants declined from 18426 in 1927 to
1085 in .1932, as reported by the Division of Economic Resealrch
andl Plannmng.

A 36-hour week is established for all plants in the industry.
The wages provided range froml 371/24 per hlour in northern states
toc 244 per hlour in the deep south. Rates of .35, 30, 27, and 25 cents
per hour are established in intermediate states, according to their
location andl the economic situation of thle industry, thus providing
ae gradual differential between w~age rastes in extreme north and
On account of the seasonal nature of much of the wrorkr in the
industry, and to permit a fair living wage for those employees that
can be used to satisfyr the present limited demandl for indlustry prod-
uctsh~, the 36-hour week may be averaged over a six-months' period,
the. maximum being limital to 48 hours in any one wreek.
Child labor is prohibited, and the industry undertakres to adjust
wages above~ the minimum provided in the proposed Code, to continue
existing differential.

At, preent, th~is induistryl is orperating on a schedule of about 37
hiour~s per wecek. With the 36-hlour wreek; proposed a slight increase
in em~ploymentrn shouldl be possible. But wit~h thei necessity of a living
(10S) -- ----- J------


wage, the reemployment of 1929 workers must, necessarily await
greater activity in the various construction industries.
The most impor~tant economiic effect of th~e Code, therefore, is the
opporlltuIn i ty i t shou11C1n'ld roideC- for self-gaovernmIle nt and for the w~orkl-
ing out of common emnploymlent and trade problems by the sevranl
groups. These groups, as: represented by the Amnerican Face Brick
Association, the Brick 1\Ianufact~urers Association of America, the
National Paving Brick Associaltion, and the Strluctu~ral Clay Tile
Association, h~ave in the past worked to a great extent independecntl~y
of~ one another, although each has been active since 1~919 or earlier
in promot~ion andi research for thse benefit of its mlemrber~s and of the
consuming public.
The p~roposedl Code is fair to Industry, to 'Labor and to the
Consumer, I believe, andl in accordance with the intent and purpose
of the Nationlal Industrial Recovrery Act.
I find thlat:
(a) The Code as recommended d comnplies inr all respects with the
pertinent provisions of Title I of the Atct, including without limita-
tion, subsection (a) of Section 7 an~d subsection (b) of Section 10
thereof; :ndc that
(b) The applicant group imposes no inequitable restrictions on
admission to mlemlbership therein and is truly representative of the
Structural Clay Prodlucts Industr~y; anld that
(c) The Clode as recommended is not designed to promote monop-
olies or t~o eliminate or oppr~ess small enterprises and will not operate
to discriminate against them, and will tend to effectuate the policy
of Title I of the National Induistrial ]Recovery ~Act.
Accor~dingly, I hereby recommend the approval of this proposed
Code of Fair Comnpetition for the Structural Clay Products
Indcu stry.
HoonreI S. JoHNSON,
Admlnin strantor.



To effectuate the policies of Title I of the National Indu~strial
RIecoveryT Act the following provisions are submitted as A Code of
Fair Competition for the Structural Clay Products Industry, and
upon approval by the President shall be the standard of fair compe-
tition for such mdustry and shall be binding upon every member

Indu~stry.--The term "' Industry ", as used herein, means and in-
cludes manufacturers wvho produce in the United States and sell
common brick, face brick (including glazed and enameled brick),
st~ructulral clay tile~ (includring glazed tile), paying brick, and clay
or hale granules, and may further include any other related groups
tha wih te pprvalofthe Administrator may elect t~o operate
under this Code.
Branch.--The termn branch ", as used herein, includes any one
;of% the following branches of the industry--common brick, face brick,
paringa brick, structural clay tile.
Region.--The terml region ", as used herein, includes any major
territory established with definite boundaries by any one of the
several branches o~f the industry for the purposes of administering
this Code.
Division.--The termi division ", as used herein, includes any sub-
divisio~n of any region also established with definite btoundaries.
M~2em1ber of the Izd~us~try.--T he term "' member of the industry ",
as uisedl herein, includes anyone engageed in the industryg, as above
defined, or any? part t~herecof, either as an employer or on his owvn
Emplloyee.--The term "emnployeee as used her~ein includes anyone
engaagred in the industry in any capacityr receiving compensation for
his services, irrespective of the nature or method of payment of such
Em~i.ployer.--T he term emlployer as used herein includes anyone
by wclhoml any such emnploy~ee is compensated or employed.
South~.-Thne termn South ") as used herein includes the following
states: Alabama,: Arkansas, Arizona, California south of an east and
west line drawn through Tehachapi, Florida, Georgia, Kentucky,
Louisiana, Mis~isissippi, New M~exico, North Carolina, Oklahoma
South Carolina, Tennessee, Texas, and Virginia with the exception oa
the counties of Arlington, Fairfax, Loudoun, Clarke, and F~rederick.
Nor~th.--The term '' North as used herein includes all territory
in the United St~ates except that listed above under "L South."~
~Ejfectivle Date.-The termn effective date as used herein shall
mean the tenth day after the approval of this Code by the President.



President, Act, Admnlli~Stratlf or ---The te~ms Pre~sident ", "CAct ",
and "Aditministrator as used herein, shall mnean, recspectively, the
President of the Unflited States, the National Industrial ]Recover~y
Act, and thle Admninistr~ator of TIitle I of snid Allct.

(a) Except as hereinafter set forth no emplloyee shall be permittedt
to worki in excess of thirty-six: (36) hours per week averaged over
either semiannual period,Janulary 1st to June 30th, or Julyr 1st to
December 31st, inclusive, or in excess of forty-iciht. (48) houlrs in anly
one week, or in excess of eight (8) hours in any twfenty-four (24)
hour period.
Where desirable. on account of regional or local conditions,
regional comnmittees are emapow8pered to makes further restrictions
on working hours, subject to review by th~e Admlinist~rator.
(b) The mlaximruml hours spcifiedt~ in1 Saecto ()oftisAtil
shall not applyr to employees inl the following classificatio:
(1) Emnployees engaged in ma~nagrial or executive capacities anrd
compensated on a regular srtalary basis inl excess of $35 per wFeeke in
the Nort~h or $30 per week~ in the South, or emlployees engagedl as
outside salesmen.
(2) Employ~ees engagedl in emergency maintenance or emergency
repair workr invcolving break-dowrns or protection of life or property,
p~irovided thnat in any such case, such employees shall be paid not
lesthan one and one third (1%3) times the hourly rate, for hours
worked in excess of thle eight (8) hour and forty-eight (48) hour
maximum herein provided.
(3)~ Emr~rlvploee engagedl at plants where employment is dependents
upon favorable w~eather conditions when such employment is neces-
sary to recover time lost by inclement weather.
(4) Emlployees engagred inl cont~inuocus kiln-dtrying and kilnl-burn-
ing processes, provided the totn] workiing hours of such employees
shall not. overage mlore! t~han fortyr-eight (48) hours per w5eek in any
continuous four (4) weekrs period. WVhen a sufficient number of
these employees is not available such~ employees may work eight, (8)
hours in addition to forty-eight (48) hours inl any one week, pro~-
vided they are paidl time and one third for such extra hours.
(5) Foremen, provided that foremn shall not be employed more
than 15 percent longer hours than, the eight (8) and forty-eigqht (48)
hour mn ximums her~ein provided.
(6) Crrews on floating equipment engaged by members of the in-
dustry solely in transportation on navigable waters.
(7) W;Catchmlen at plants nrot manufacturing, provided that w-atch-
men employed at plants that, are manufacturing shall not be emn-
ployed more thani six (6) days in any one week.
(8) Account~ing, clerical, office, service, or sales employees (except
oultsidle sales-men) pr~ovidedl the woirking hours of such employees
shall not, exceed (40) forty in any one w~eekl.
(c) No employer shall k~nowingly permit an employee: to w~ork for
a total number of hours in excess of the numlber of hours prescribed
for each week and each day, whether emp~loyved by one. or more



(a) Except, as hereinafter set forth no factory or mechanical
work-er or artisan shall be paid less than at the rate of thirty-seven
and one half (37%~r) cents per hour. In th~e following states no
such employee shall be paidi less than at the rate of :
(1) Califor~nia, south of an east and west line dlrawn through
Tehachapi; thirty-five (35) cents per hour.
(2) Arizona, A~rkansas, Kientucky, New M~exico, Oklahoma, and
Virginia with the exception of the counties of Arlington, Fiairfax,
L~oudoun, Clarke, and Frederick; thirty (30) cents per hour.

()Tennessee, twenty-five (25) cents per hour.
(5 labama., Florida, Georgia, Louisiana, M~ississippi? South
Caoina, and Texas; twrenty-four (241) cents per hour.
(b) The Code Authority as hereinafter established shall immedi-
ately make an investigation of the foregoing hourly rates and the
differences therein, for the purpose of recommending to the Admin-
istrator an equitable revision~ of such rates should any inequity be
proved to exist.
(c) Section (a) of this Article establishes a guaranteed minimum
rate of hourly pay regardless of whether the employee is compen-
sated on the basis of a timne rate, or on a piece-work performance
for thle hours worked in any semiimonthly pay period.
(di) Unit rates paid employees, whether employed on a time-rate
or piece~-work pe~rformane, shall be adjusted to continued existing
wage dtifferentialls.
(e) No person employed in accounting, clerical, office, service, or
,sales work shall be paid less than t~he rate of $15.00 per week
in any city of more than 500,000 population, or in the immediate
trade area of such cityV; nor less than at t~he rate of $i14.50 per week
in any city of betwfen 250,000 and 500,000 population, or in the imme-
diate trade area of such city; nor less than at the rate of $14.00 per
week in any city of between 2,500 and 250,000 population, or in the
immediate trade area of such city; nor less than at the rate of $12.00
per wFeek in any town of less than 2,500 population. Population
shall be determined by reference to the 1930 Federal Census.
(f) Employvees employed on floating equipment engaged by mlem-
bers of the indlustry solely in transportation on navigable waters
shall be paid not less than at the rate of $15.00 per week;.
(g) W~atchmen emnployed at plants that are not manufacturing:
shall be exempt from the foregoing provisions as to minimum wages.
Wantchmen employed at plants thatt are manufacturing shall be
paid not less than at the rate of $15.00 per w~eek.
(h) All wages shall be paid at least twice a month and all salaries
at least once a mionith, in cash or by negotiable check.

(a) No person under 16 years of age shall be emnployved in the
industry, nor anyrone under 18 years of age at operations or occupa-
tions hazar~douls in nature or detrlimental to health. The Code


Authority shall submit to t~he Administrator before January 1,
1934, a list of such occupations. Inr any State an employer shall be
deemed to have complied with this prov\ision if he shall have on
file a. certificate or permit dully issued by? the authority in such State
empowered to issue employment or age cer~itificantt s or permits, show-
ing that the employee is of the required age.
(b) Employees shall have the right to orgarnize anld bargain col-
lect~ively through representat~ives of their own choosing, and shall be
free from thle interference, restraint, or co~ec~ic-n of employ~~er~s of
labor, or their agents, in the desi grnatioln of such representatives or
in self-organization or in other conlcer-ted activities for the purpose
of collective bargaaining or other mutual aid or prot!ec~tion.
(c) No employee and no one seekling employment shall be requlired-
as a condition of employment. to join any company union or to
refrain fromt jommig, orgamzmgn~, or assisting a labor organization
of his own choosing.
(d1) Employ~ers shall comply with the mlaximum~l hours of labor,
minimum rates of pay, and other conditions of employment, atp-
proved or prescribedl by the President.
(e) Emnploylers shall not reclassify employees or duties of occupa-
tions performed by em~ploygees so as to defeat the purposes of the
(f) Each employer shall post in conspicuous places full copies of
this ~Code.

(a) Each member of the industry shall publish op~etly a price
list or lists containing prices, delivered at the site of consumption,
to all classifications of purchasers sold by such member, for all
products offered for sale by him, which list or lists shall contain such
complete terms, discounts, and other conditions of sale as are pro-
vided for in Article VTIII. In any region where established practice
makes the filing of prices including individual transportation
charges to t~he site of consumption impractical for any member of the
industry in such region, any such member in any such region may
file prices at any point or points of delivery other thanl site of con-
sumption, subject to the approval of the regional conuniittee for hris
branch in that region, including such terms, dlisco-units, and other
conditions of sale as are providledfor in Arrticle VIII. After such
approval granted to any such. member, any other mitiembe of that
branch of the industry may likewise publish- his prices at any such
point or points of dteliver~y in adlditio~n to the publication of prices
delivered at site of consumption. Such p~ricesi, when quoted to
dealers or agents, shall not cover or include the dealer's or agent's
cost or profit.
Each member of the industry shall file with the branch committee
for his branch of the industry all such price lists, terms, dciscounits,
and other conditions of sale within te~n (10) days after notice has
been mailed of the formantion of the branch~ committees. wRhicht lists
shall be available to all interested members of t~he industry and to
the trade. Any member of the industry, upon cha~rngg his prices,
terms, discounts, or other conditions of saleR, shall immediatelyy pub-
23772"- --244--91 33 2


lish and file the same w~ith the branch committee for his branch of
the industry~, andi such prices, terms, discounts, and other conditions
of s~ale shall not become effective until ten (10) days after the same
shall have been so published and filed, and copies tliereof with notice
of the effective date specified shall be imimedliately available to the
tradle and to all int~r~e ted mecmbers of the indlustry who thereupon
may file, if they so desire, revisions of their prices, terms, discounts,
or other conditions of sale which shall become effective upon the date
w~hen the r~evisedr price list or lists previously filed shall go into effect.
(b) It shall be unfair com~pettiion and a violation of this Code
for any nemlber of anyP branlch of the industry to sell, or to publish
a price for, any pr~od~uct of any branlch of the industry at less than
the allowable cost of that product, except to absorb transportation
charges to me~et the published price of any other member of that
bmranh of the indlustry for that product, shich allowable cost to be
the individual dlirect factory cost. of such memberIIP plus the weighted
average indirect allowable cost for such branch of thie industry, as
determlined pulrsunnt to Section (c) of this Art.icle. No member of
the industry~ shall sell any~~ product upon a delivered basis in a mar-
kst without having first piublished a price for that product delivered
in that market as provided in Sectionl (a) of this Article.
(c) The Codle A-uthority shall froml time to time determine, with~
the cooperation of each b~ranch committee, and subject to the ap-
proval of the Ad:ministrator, the items to be included~ in, and the
method or folrmu~la to be emnployedl in, the comiputatio n of the indi-
vidual direct facto~ry cost olf the members of suich branch of t~he
ind-ustry3, and the items~ to be inlcludedl in, and the method or formula
to be employed in, the computation of the weighted average indirect
allowable cost for ecuh branch of thle industry5.
(d) The Code Author~ity shall dlevelop or cause to be developed
and~ submit to thle Admninistrastorr for appr~oval within 120) days after
the eiffective dante of this Code a uniformi cost accounting system
ad:ap~tab~le to the business of all memnbers of the industry and designed
to make possible the accurate determination by each members of the
industry of his orI its own indlividual cost, and upon such approval
of sulch cost accoulntinga sySteml, each member of the industry shall
maintain at all times an accurate record of all costs in accordance
with such system or in such other manner as will clearly indicate
and make available the information required thereby.
(e) During the period between t~he effective date of this Code
and te publication of the cost p~rovisions pr~ovided for in Sections
(b) and (c) of this Article each regional commiittee in any branch of
t'he, indusr maV ly uIse the follow-ing sstemn of arrivingr at the allowr-
able cost, of any product. in that branch. After a survey of the
estimated cost, both direct and indirect. of the~ reasonably efficienlt
pllant3 then in operation wFithin that region under the terms of this
Code, the regional committee may recommend to the Code Authority
for its approval, subject, t~o review by~ the Administrator, an allow-
able cost, providedl that such allowable cost, shanll not include any
reserves for purposes other than depreciation, or any? allowance for
inlter~est on invested capital or for developmental expenses, and pro-

205 `

vided further,: that the distribution of indirect expenses per unit of
product, shall be on the estimlatedl basis of an aer~age rate~ of ultiliza-
tion of pflant facilities by 'such reasolnably efficient plants d~ur~ing the
period 1927-32. Upon approval by~ the Code Authority of any such
allowable cost, no mnember of the? industry shall sell, or publish a
price for any such prodc~uct below its allowable cost so arrived at,
except to absorb traunsportation charges to meret the pub~lishedt price
of any other mlem~ber of thle indusl~tr~y for such product. TIhe provi-
sions of this sections shall not be ava;iled of for thie plrp'ose of de-
lay'ing the determination of allowable cost as provided for in Sec-
tions (b) and (c) of this Ar~ticle.
(f) No unsoldl portions of inventcries on hand on the effective
date of this Code shall be sold below the current allowable re~lacer-
ment cost estimatedd if plant is not o~perating) compulltedc on a basis
arrived at under the provisions of this A~rticle.
(g) Discontinuled lines, off-grradet mater~ial, bankrupt stocks, or
stocks in the hands of assignees for resale, out-of-date or damagl~red
stock, and all reclaimed or used products whose sale or use tends
to lessen the current emplloymllent of labor may be sold for less than
cost of the newp standcar~d-grade products as dletermnined in the fore-
going sections of this Article, but only after they have been reported
to the regional commlnitte~e concernelt d and onlly on slc~h terms and
at such pric-es as the regiolnal co~nunitt eel shall determine within ten
(10) days after retceip~t of the report. The decision of the regional
conunllittee may be subject to rev-iew- by the branch committee or
the Code. Authority or the Administrator. In case of failure~c of
the regional committee to dleterminlle suchl prices within s'uchl ten
(10) days, the branch committee or Code Authority shall be em-
power~ed to mak~e such. detrclminationl. In each case where such
sale below cost is pel~rmitted, the membe),r of the industry shall pub-
lish the price at which the product will be sold, as provided in
Section. (a) of this A~rticle.

Prior to the increasing of existingr production enpaeity in the
industry by star~tinga the operation of existingf plants within anly
br~anch~ of thne indcustry that have beenr shut down co~ntinuou~~sly for a
period of three y~ears. or mlore prior to the effective da~te of this Codie,
or start~ingo the op~eration of plants not heretofeore in operation within
any branch. of the industry, a certificate must be prcu~ Ired bythle
owner thereof from the branch committee of such branch o h
industry, subject to r~eviewr by the Code Authority or the Admin-
istrator, certifying that the operation of siuc~h plant is cons~istent
with the policy of thie Act. In case of a denial b~y a branch comn-
mlittee of the certificates mentioned herein, or refusal to decide within
sixty (60O) dlays such owner may appeal to the Code Aiuthlority or
the Aldministrator for a final decision. Nothing 'hereinl, however,
shallny o retrin any member of the industry from. unpr~oving th e
effcinc ofhi pant or adopting methods or machinery to lower
production costs or imnprove products or from resumning operation
of any plant owned by him prior to October 1, 1931.

* 206


(a) ~Any branch committee mnay, subject to the approval of the
Administrators, establish terms of sale, maximum cash discounts, and
credit, practices, whlich shall1 be uniformly within that branch of the
industry, and which shall be binding upon all producers.
(b) All quotations andi contrnets for the sale of structural clay
products shall be in wr1iting and shall contain a definite statement
of pr~ie. quantity, terms of payment, time and place of delivery,
and all other items necessary to form a complete understanding.
(c) Credit terms shall be uniform~ in each branch of the industry
to all puchasers in the same class and shall be uniformly enforced;
prov ided, that. noth~ingi herein contained shall prevent any manu-
facturer fro~m retfusingo credit to any purchaser or requiring special
tterms of payment, where in his judgment, such refusal or require-
ment. is necessarily for the adequate protection of the account.
(d) The mlanufact urer~s of structural clay products, either on a,
national basis, a regional basis, or the basis of a division of a region,
mnay exchange credit information, and by agreement control or
restrict. credit for th~e purpose of eliminating losses to the industry;
and failure to give truthfully such credit information or adhere to
such agreements is an unfair method of competition and a violation
of this Code..

To further effectuate the policies o~f the Act, a Code Authority is
her~eby set ,up to cooperate with the Administrator in the adminis-
tration of this Code.
(a) Orgarnization' of C7ode Authl.ority.--The Code Authority shall
consist of eight members, four of whom shall be presidents, from
timne to time, of the respectivee associations submitting this Code,
namely American. Face B~rick Association, Brick M~anufacturers As-
sociation of ~America, National Paving Bricki Association, and Strue-
tural Clay Tile Association, or their successors, and four of w~hom
shall be elected from~n and by the respective branch committees of the
four branches comiing under this Code, together with such repre-
seltntaive or repr~esenta~tives without. vote, but in no case to exceed
three, from time to time appointed thereto by the Administrator,
for such terms as he may specify, t~o act as his representative or
representatives. or as representative or representatives of such inter-
ested groups as he mnay specify. Until the Code Authority is organ-
izedl as aIbove the pr~esidents olf the respective associations submitting
this Code shall act. as t~he Code Authlority.
(1) Each trande or industrial association directly or indirectly
participating in` the selection or activitiess of the Code Authority
shall impilose no inequitable restrictions on membership, and shall sub-
mit to the Aidministrator true copies of its articles of association,
bylaws, regulations, and any amendments when made thereto, together
wTithl suchI other information as to membership, organization, and
activities as the Administrator may deem necessary to effectuate the
purposes of the Act.
(b) Power~) 2SC and Dues of Code A uth ority.--The Code Authority
shall be charged with th~e administration of this Code throughout


the induslt~ry and without lim i ting t~he fo~rgi ng shall have the follow-
ing specific powers and duties, subject to the right of the Admlinis-
trator, on review, to disapprove or modify any actionl taken by thze
Code Authority~.
(1) To obtain fr~oml au ll mebrs of the ind-ustry such sworn
or unsworn reports, periodically, or ass often as it mayL direct, on
wagaes, hours of labor, condlit~ions of employment, Ilnumber of emz-
playees, production, shipments, sales, stcks pies ndote mt
ters pertinent to thie provisions or operations of thtis Code, as the
Code Authority may specifyr, or as the Administrator may frobm time
to time require.
Ir acddition to information required to be submitted to the Codes
Authority,, there shall be furnished to government agencies such
statistical Informationl as ~the Admninistrator m~ay deem necessary for
the purpose recited in Section 3 (a) of the ALct.
(2) To mnake suIch surveys or investigaations as may be necessary
to ascertain condlit~ions in thre industry and the observance or non-
observance of th provisions of this Code.
(3) To coodinate thle activities of the branch and regional com-
mlittees hereinafter referred to.
(4) T1o submit to thle Admrinistr~ator from time to time such, ree-
ommendations, based on conditions in the industry, as they develop,
as, in it-s judgment, will imrprov~e the operation of this Code or fur-
ther effectuate the policies of the Act. Any such recommendations~,
when approved by thne Administrator, shall become effective as a
part of this Code.
(c) Branch Comm ,~ittec;s.-F~urther to effectuate the policies of the
Act and to cooperate with the Code AuthlorityS there shall be estab-
lishedl for each branch of the industry an. administ~rative agency to
be knrown as branch committee, which shall consist of one representa-
tive for each region of each; branch of the industry ryc tof be seecedb
eachl regional committee. To the end that eachbrnhotein
dustry shall, so far as practicable, be self-governing under the pro-
visions of this Code, thle Code Auth~ority shall delegate to each sucli
branch committee such of its authority, powers, and duties as it may
deem necessary therefore. 'The president of each association shall be
a member ex officio of the branch committee of his branch of the
industry. Pending the organization of branch committees, the Code
Authority shall delegate directly to the regional committees such of
its authority, powe~rs, and duties as shall be necessary for the irmme-
diate conduct of the administration of the Code in the respective
If any regional group fails to organize within the prescribed
time and elect a member of the branch committee, the said' branch
committee is emnpowered either to name a representative for th-at
region on the said branch ~committee, who shall act in. place of the
regional committee, or to combine that region with an adjoining
(d ) Regio a~l Commnlit te~es.-Fu~rther t.o effectuate he/ policies of
the Act and to cooperate with its branch committee and the Code
Authority in administering this Code, there shall be established in
each region of each branch of the industry an administrative agency
to be known as regional conu~nittee, to be elected on a fair basis of


selection by the manufacturers in each branch of the industry in
each region. To the end that each region in each branch of the
industry shall, so far as practicable, be self-governing under the pro-
visions of this Codle, each branch comlmitteee shall delegate to each
such regional coinunittee such of its authority,! powers, and duties as
it may deem necessary therefore.
(e) A joint regional committee may be formed in any region by
two or more branches of the industry if desired by the manufactrrrelt
in that region.
(f) Divisional committees may be established for a subdivision of
a region by any group of manufacturers therein, with the approval
of the regional committee for that region. At the option of the
manufacturers involved, a divisional committee may include two or
more branches of the industry. The divisional committees shall'
have only such powers as may be delegated to them by the regional
(g) The mlanufactulrers in each region shall convene and elect
their regional committee w~it~hin one month after the effective date
of this C~ode. Each regional group shall elect. from among the
members of its regional commiittee its representative on the branch
commiittee of its branch of the industry within six weeks after the
effective date of this Code.
(h)1 No voting miember of the Code Authority,! and no member of
any branch, regional, or other administrative committee or agency
established pursuant to the provisions of this Code, shall hold office
for a longer term than one year from the date of organization of
the ageency to which he is elected, except, by r~eelection.

(a) Each member of the industry who shall participate in the
selection of any' regional committee or any other administrative
agency her~ein established, or who shall participate in the benefits
of the activities of any such admninistrative agencies, or who shall
otherwise assent to the provisions of this Code, shall bear his proper
Proportionate share of the cost, of t~he development and the admin-
Isten~tion of this Code. The Code: Authority shall designate anly of
the trade associations submitting this Codle or any other appropriate
agency or agencies, to assist it in maintaining its accounts, deter-
mining such proportionate sha2res and in securing the collection
thereo~f. If a manufacturer makes more than one of the several
products covered by this C~ode he shall bear his proportionate share
of the expense in each branch of the industry. Failure of any such
member of the industryv to pay -acy assessment shall be a violation
of the Code. Each t~rade association or agency from the funds thus
collectedl shall pay the proportionate share or its branch, of the
Code Authority's expense as apportioned by the Code Authority.
The basis and method of the assessments shall be established by the
Code Aulthority, and mayr be reviewed by the Administrator.
(b) Each trade association or agency from the -funds collected
shall also pay the expense of the branch committee of its branch of
the industry incurred in connection with its duties under the Code
(c) Each; trade association or agency shall pay out of the funds


collected any expense authorized to be: incurred by~ any. regional
committee of its branch.
(dZ Every manufacturer shall report to the trade association or
associations, or such agency or agencies as the Code Authority shall
determine, and at such time as th~e Code Authority may specify, the
total shipments and deliveries from his plant, or plants, of clay~
products classified according to requirements set by t~he Code
AButh~ority. To fail to report., or falsely to report, shipments shall
be a violation of this Code.

The followi7~ng practices constitute unfair methods of competition
for members of the industry and are prohibited and when employed
shall be deemed violations of this Code:
(8t) W~ithholding from, or inserting in the invoicel facts which
make the invoice a false record, wFRholly or in any maateria particular,
of the~ transaction made on the face thereof; or the payment or
allowance of secret rebates, refunds, credits, or unearned discounts,
directly or indirectly, whether in money: or otherwise; or the giving
ofE gratuities for the purpose of influencing sale~s.
(b) The sale of an inferior quality of structural clay product at a
fair price for such product, wilth the understanding that a product
of superior quality selling at at higher price will be ~delivered.
(c) Discrimination in price of structural clay products between
purchasers of the same class, not based upon difference in grade,
quantity, or quality of the product sold, or difference in cost of selling
and transportation.
(d) Indu~cing, or attempting to induce, the breach of a contract,
oral or written, between a compe~titor andl his rlcustomer dulring* the
term of such contract.
(e) Inaterference with or the obstruction of the performance of
a; contract by the solicitation by a manufacturer or his representa-
thive, directly or indirectly, of an order for stru~ctural clay prod-
uct~s, w~ith 'knowFllegre that a, signed order from the one in authority
has previously been given a competitor. An architect's specification
of a structural clay product shall .not be r~egardedi as a signed order.
(f) Thie rele~nel of sales effort by a competitor on an operation
after the seller receiving: the order has commnenced delivery and
where a difference has arisen :resuiltingr in a cessation of delivery,
unless the said seller has had a, reasonable opportunity to adjust said
difference of ,opinion.
(g) he pyment, secretly or openly, or offer of payment of com-
misins allowoaance of improper credits, in any form or manner
whatsoever, to any person connected either directly or indirectly
with the purchase or selection of structural clay products.
(h) The payment of commissions, bonuses, or gratuities, secretly
or openly, in money or otherwise, yamnfcue oadae'
salesmen for selling or infl uencinga thesleouhmnufacturerd ,daer's
(i) The making of lump sum bids, or installed prices by La manu-
facturer or his agent, on structural clay products, special shapes,
and other building materials, thereby concealing the unit price of


each of the several items embraced therein; or guaranteeing that
any specific quantities will do the job, which are known to be actually
insuffcient for the pur~pose.
(j) The making of any bid on any one structural clay product
(either lump sum or otherwise), when its acceptance is contingent
upon the acceptance of a bid on any other clay product or other
building material or comimodit.y.
(k) The employment or use of trade names, trade marks, oir other
marks of identification so similar to those previously adopted and
established by another manufacturer as to be confusing, deceiving,
or misleading to p'rosp~ectiv'e purchasers.
(1) The shipment or delivery of strulctur~al clay products, which
do not reasonably conformi to the standard of sample submitted as
representative of the material to be shipped, or to representations
made prior to securing order, unless with the consent of the pur-
chaser to such substitution prior to shipment.
(m) Acceptance of stocks and bonds, except at current marketable
cash value, in payment for structural clay products.
(n) The shipment of any structural clay product on consignment.
(0) Attacking a competitor's product, by making false or miis-
leading charges, or attacking his reputation or personal integrity,
or his ability to servec the trade.
(p) Repudiation of any contract., written or oral, except for: legal
cause~, or in accordance with expressed terms of the contract, or by
mutual consent.
(q) The practice of selling or offering for sale nonstandard
grades, sizes, dimensions, or classifications of st ructural clay products,
as determined by the branch committee of each branch of the in-
dustry, subject to review by' the Administentor, for the purpose of
gainmng an unfair compe~titive advantage.
(r) Mlakinga misleadling~ guarantees by a manufacturer of structural
clay products, as regards the performance of his product or the
performance of any structure in whichl such product is used.
(s) The giving of premiumis in connection with the sales of
structural clay products.

(a) No provisions of this Code shall be so applied as to permit
monopolies or monopolistic mensuries. or to eliminate, oppress, or
discriminate against small enlterpr~ises.
(b) This Code and all thle provisions thereof are expressly made
subject to the right of the President, in anccordance with the pro-
visions of subsection (b) of Section 10 of the National Industrial
Recovery Act, from time t~o time to cancel or modify any order,
approval, license, rule, or regulation issued under Title I of said
Act and specifically, but without limitation, to the right of the Presi-
dent to cancel or modify his app~roval of this Code or any conditions
imposed by. him upon his approval thereof.
(C) 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 a~nd hearingr as he shall specify, arnd to become effective
on approval of thie President.
()It is the objective of th Structulral Clay P~rodu~ctss Industry
not only to increase employmentn andl improve the stallndard of living
of the workers in the Indlustry, but also to spread employment. Ac-
cordingly, authority is gaiven by this Code to the regiolnal commi~i ttee
of any branch of the Industry mn any region after d~ue hearing and
witly the approval of the Aidministrator to adopt such measures as
are necessary for the pu rose of sprea di ngr and1 sustaining
em ployment.

The territories co~mprising; the regions 'into which the United
States shall be divided, for administration of thre Act inl each of the
four branches of the industry, shall be as given in Sc~hedulle A1 at-
tached, subject to revision by the branch commnittees for the resp~ec-
tive grou ps, on the: basis of r~ecomm Hendlations from the regi on al com-
mittees in each garou~p. These. regions are subj~c~t to coordlination
by the Code Autho~rity.

This CodZe shall become effective. on the tenth day after its ap-
proval by the President of the U~nited States.
Approved Code No. 128
Registry No. 1013-1-03


1. Newo Englandl..--All New England States.
2. Hludsonl Ric~r.--All of New York State lying east of the counties of St.
Law~renc~e, HIerkinmer, Otsezgo, Delaware, and Sullivan, and including more
specifically Long Island and the M~etropolitan Area of New York City (lying
within the New York State boundaries).
3. Nelo Jersel.--All of the state of New Jersey.
4. Atlantic.-All1 of the State of Pennsylvania, east of the North and South
line drawn through Bellefonte in Centre County, and all of the State of
Dela~a re.
5. Sout hern2.-MRaryland, District, of Columbia, Virginia, WTest Virginia,
KentuckyS, Tennessee, Nor~th Carolina, South~ Carolina, Georgia, Florida, and
Alaba ma.
6. Ulp-State Newl Y~ori.--All of New York state not included in Region
No. 2.
7. Great Lakesp.-All of the state of Pennsylvania, west of the line drawn
North and South through Bellefoote in Centre County. All of the state of
Ohio except the counties of Cuyahoga and Lake.
8. Clevelanld.-The counties of Cuyahoga and Lake in the state of Ohio.
9. Mlich~igani.-All1 of M~ichigan.
10. Central.-All1 of the states of Indiana and Wisconsin and all of the state
of Illinois except the counties of Cook, W'ill. Du Page, and Lake; and the
counties of St. Louis, St. Charles, and Jefferson in the state of Missouri.
11. Chlicago.--The counties of Cook, Will, Du Page, and Lake in Illinois.
12. Iowca-Northw zest.-ABll of the states of low\a, Mlinnesota, North Dakota,
South Dukota, and Nebraska.
13. Gulf States.-All1 of the states of Louisiana and M~ississippi.
1-1. South Iestefrnr.-All of the States of Arkansas, K'ansas, Oklahoma, Texas,
and New Mexico and all of thle State of M~issouri, except thre counties of
St. Chanrle~s, St. Louis, and Jefferson.
15,. Mountail.-A~ll of the States of Montana. Idaho, Wyoming, Colorado, and
10j. Pucific Northre~est.--All of the States of WFashington and Oregon.
17i. Southern Parcifi~c.--All of the States of California, Nevada, and Arizona.

1. Eastlernr.-NRew\ England States; New YJork;; New Jersey; Delaware; Mary-
land east of and including Cumbe~rland; W~est Virginia enst of line extending
Scutlh thlrough Cumberland, Mld.; District of Columb~ia; the counties of Arling-
tonl, Fairfax, Loudoun, ClarkLe, and Frederick in Virginia; and Eastern Penn-
sy'lvaniln. which is Penusy'lvanin except the territory included in Western
Penns4ylvania as defined under Central Region.
2. C'entral.--Ohio; W\estern Pennsylvania, which is Pennsylvania west of and
including the counties of W'arr~en. Forest, Jeffersonn except shale (red brick)
plants within the county,. Clearfield, Blair, Cambria, and Somlerset; Northeast-
ern K~entucky, which is KientuckyS north of and including Pikeville and east of
and including Winchester; Lower Peninsula of M~ichigan; W~est Virginia west
of a line extending south through Cumberland, Md.; and Maryland west of
3. Mlidwcstcrn,-Indinana; Northw~estern Kentucky, which is Kentucky north
of Pikeville and west of Winchester; Illinois; Eastern M~issouri, which is
Missouri east of and including the counties of Putnam, Sullivan, Linn, Chariton,
Howard, Boone, Mloniteau, Miller, Pulaski, Phelps, Dent, Shannon, and Oregon;
Wisconsin; Northern Peninsula of Michigan; the counties of w~ashington,
Dakota, Ramsey, Anoka, and Hennepin in Mlinnesota.
4. So~utheasternl.-V'irgiini except the five counties included in the Eastern
Region; North Carolina; South Carolina; Georgia; Florida; Alabama; Missis-
sippi; Tennessee; Southern Kientucky,. which is K~entucky south of Pikeville;
and Louisiana east of the M~isscissippi River.
5. Southwcestrnl.-K'ansas; Oklahoma; Texas; Arkansas; Western Missouri,
which is Missourt except the territory included in Eastern Miissouri as defined
under Mlidwestern Region; and Louisiana west of thle Mississippi River.


0. Wecstern1.-laIwa; North Dak~ota; Soulth D~akota; Nebrask~la; and Minnesota
except the five counties included in the Mlidwnestern negionl.
7. Mlounltaina.-MIontana; Wy~3oming; Eastern' Idaho, which is Idaho east of
and including Bliss; Cloloradl-; Utnhi; and New~r Mex~ico.
8. Paciffo C'oasut.-Wanshington ; Or'eg(,n; Werstern Idaho, which is Idaho? ex-
cep~t the territory included inl Easter'n Ida!ho as defined ud~der M~ountain Region;
Nevada; Ariz~ona; and California.


1. Easternr.-3JInine; Newr Hampshire!; Vermzont; MassEnrbusetts; Rhode Island;
Connectic~ut; New York; N~ew Jersey; Pennsylvania; Delaware; Mary~land; Dis-
tric~t of Columbia; Vir~ginini; that part of N(orth Carolina flying within and east
of the counties of Northampton, Bertie, Martin, Pitt, Craven, Jones, and Onslow;
and the state of West V'irginia, excluding the territory lying within and south
of the counties of Wood, Wirt, Roane, K~anawha, Fayette, and Greentbrier.
2. Illinrois.-;Illinois, Wisconlsin, that part of the state of M\ic~higan known as
the Upp~er Peninsulan Iowa, M~inncso~ta1, North Dutlota,. and South Dakota.
3. Inldianac.--Indiana and that part of the state of Kientucky lying within
and w\est of the counties of Gallatin, Carroll, Henry, Sh~elby, Anderson, Mdercer,
Boyle. Casey, Russell, and WFayne.
-1. Oh~io.---Ohio and the state of M~ichiganl, except the Upper Pesninsula, and
that part of West V'irg-inial lying within and south of the counties of Wood,
W~irt, Roane, Ka~nnowho, Fayette, and Gr~eenbr~ier.
5. Pacific.--Idaho, Utah, Arizona, California, Nevada, .Oregon, anzd WCash-
6.S S~outhernr.--South Carolina, Tennessee, Mlississipp~i, Alabama, Georgia,
Florida, Louisiana (east of M\ississippi), and that part of the state of Kien.
tuckyS ling w~ithin and east of the counties of Boone, Grant, Owen, Franklin,
WToodfordtl, Je8samline. G;errard, Lincoln, Pulaskii, and MciCreary, and that part
of the state of North Carolina lying w~est of the counties of Northampton,
Bert~ie, iMartin, Pitt, Craven, Jonles, and Onslow.
'i. Ir'estern.-Ml~ontana Wyoming, Colorado, Newr Mexico, Texas, Oklahoma,
KanasNeruasai, Milssoul,11 Arlkansas,~ and Louisiana (eto issip


1. N~ewl Yrkl;-Newl JerseUl.-New Jersey, Delaware, Eastern Pen~insula of
M~aryland, Penusylvania (enlst of and including the counties of Pike, Monroe,
Northampton, Buck~s, M~ontgomery, Delaware, Chester), Coninecticut, :Rhode
Islandt (Wa'shington Colunty), NewF York (all Long Island and counties of
Westc~hester, Putum~, Dutchless, Columbia, Renisselner, Albany, Greene, ~schenec-
tadly, Ulster, Orange, Sullivan, Rochland', all Newr\ York Ciity).
2. East Centr~al.-M1ich~ligan, Ohio, W~est Virginia, KLentucky east of anid
including counties of Meadn~e, Breckenridlge, Grayson, Butler, and Logan, Vir-
ginia, D~istric~t of Columbia, Maryland excepting Eastern Peninsula, Pennsyl-
rauni w'est of counties included in New Yor~k-New Jersey Region, Newv York
excepting counties in N'ew York-Newv Jersey Region, all New England States
excepting Connec~ticut and Washington County in. Rhode Island.
3. Central.r .-Wisconsin east of and including counties of Tron, Price, Taylor,
Clarki, JackLson, LaC~rosse; Iowa. (counties of Allamakee, Clayrton, Dubuque,
Jackison, Clinton, Scott); Missourl east of and including counties of Putnam,
Sullivan, Linn, Chariton, Howvard, Boone, MIoniteau, M~iller, Pulaski, Phelps,
Dent, Shannuon, and Oregon; Illinois, Indiana, K~entuckyS west of counties in
East Central Region.
4. Iowoa-Nortlhwzest.- Moonntana, Wyming Colorado, Nebraska, North Dakota,
South Dak~ota, Minnesota, W'isconsin w~est of counties in Central Region, Io~wa
except counties in Central Region.
5. Southlleaster.n.--Ten nessee, Nor~th Ca rol inIa, South Carolina, Georgla, Flor-
ida, Alabamn, and M~ississippii.
6. Soucthw esternl.--New Mleico, Texas, Oklalhomoa, Ark~aunss, Louisiana, Kan-
sas, and M~issouri except counties listed in Central Region.
7. Pacific Coast.-Wmashington, Oregon, Idaho, I~~Nevad, California, Utah, and

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