Supplementary code of fair competition for the can labeling and can casing machinery industry and trade (a division of t...


Material Information

Supplementary code of fair competition for the can labeling and can casing machinery industry and trade (a division of the packaging machinery industry and trade) as approved on May 5, 1934
Portion of title:
Can labeling and can casing machinery industry and trade
Physical Description:
13 p. : ; 24 cm.
United States -- National Recovery Administration
U.S. Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Labeling-machines -- United States   ( lcsh )
Packaging machinery industry -- Law and legislation -- United States   ( lcsh )
federal government publication   ( marcgt )
non-fiction   ( marcgt )


General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 1399-30A."
General Note:
"Approved Code No. 72--Supplement No. 1."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004950833
oclc - 656586355
System ID:

Full Text








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

Approved Code No. 72--Supplement No. 1

Registry No. 1399--30 A

(A Division of the Packaging M~achinery Industry and Trade)




This publication is for sale by the Superintendent of D~ocuments, Government
Printing Office, Washington, D.C., and by district offices of the Burena of Foreign
and Domestic Commerce.

Atlanta, Ga.: 504 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Custombouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North Wells Street.
Cleveland, Ohio: Chamber of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
Detroit, Mlich.: 801 First National Bank Building.
Houston, Tex.: Chamber of Commerce Bullding.
Indianapolis, Ind.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
K~ansas City, M~o.: 1028 Baltimore Avenue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 408 Federal Building.
Memphis, T1en1.: 229 Federal Building.
Minneapolis, Mitnn.: 218 Federal Building.
New Orleans, la.: Room 225-A, Custombouse.
N~ew York, N.Y.: 734 Customhouse.
Norfolk, Va.: 406 East Plume Street.
Philadelphia, Pa.: 422 Commercial Trust Building.
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louls, Mo.: 506 Olive Street.
iSan Francisco, Calif.: 310 Custombouse.
,Seattle, Wmash.: 809 Federal Office Building.

Approved Code No. 72'l-Supplement No. 1t



As Approved con M~ay 5, 1934


An application having been duly made pursuant to and in full
comnpliance with the provisions of Title I of thre NiIational Industrial
Recovery Act, approved June 16, 1933, for approval of a Supple-
mlentaryr Code of Fair Competition. for thre Can Lab~eling n a
Casing M achinery Industry and Trade, a Division of the P ackagilngan
Machinhery Industrly and Trade, and hearings having been duly held
thereon and th~e annlexred report' on said Supplemenltary Code, con-
taining findings with respect thereto, having been made and directed
to the 1President:
N~OW, TH~EIREF`ORE, on behalf of the President of ther Unitedl
States, I[, H-ugh S. Johns~ron, Administrator for Industrial Recovery,
pursu ant to authority vestedi in. me byEeuieOdroftePsi
den, icluingExeutie OderNo.6543---A, dated Decemlber 30,
1933, and otherwise; do hereby incorporate by reference said annexed
report, and do find that said Supp~lemlentary Code complies in all
respects with the pertinent provisions and will promote the policy
and purposes of' said TLitle of said Act; and do hereby order that said
Sup~plemento ry Code of Fai'r Competition be and it is hereby -
Admiutnitrator for Indu~str-ial Reovlery.
.Approval recommended :
Division Atdmin~ist'ator.
May~ 5, 1934
50970--54 4-29-34 til

Thre Wh'ite House.
SmR: This is a report on the Supplementary Code of Fair Com-
petition for the C'an Labeling and Can Casing Miachine~ry Industry
and Trade, a Division of the Packaginga Machinery~ Industry and
Trade, submitted pursuant to the provisions of Section 7, Article
XIII of t-he Basic Code for the Packaging M~ac~hinery Industry and
Trade, and revised after a hearing held in Washington on the
14th day of Mlarch, 1934, in accordance with the provisions of the
IiNationail Industrial Recovery Act.


This Industry is now operating under t~he labor provisions of the
Basic Code for the Packaging Machinery Industry and Trade, of
whlen it is a GiVISIOn.


This Industry represents at t~ota~l invested capital of approximately
$390,000r, and an aver1age annual sales volume for the past six years
of about $310,000.
Operating under the Preside~nt's Reemiploymnent Agreement and
the provisions of the Basic Code, there has been an increase in
employment of 418.641 over the 1932 level, together with an estimated
increase in total payroll of approximately 42%.,


The Deputy Administrator in his final report to me on said Code
having foundl as herein set forth and on t~he basis of all the pro-
ceedmngs in this matter:
I find that:
(a) Said Code is w~ell designed to promote. the policies and pur-
poses of Tit~le I of the National Industrial Recovery Act, including
r~emoval of obstructions to the free flow of interstate and foreign
commerce which tend to diminish t~he amount thereof and will
provide for th~e general welfare by promoting the organization of
industry for the purpose of cooperative action among the trade
groups, by inducing and maintaining united action of labor and
.management under adequate governmental sanctions and super-
vision, by eliminating unfair competitive practices, by promoting the
fullest possible utilization of t~he present productive capacity of
industries, by avoiding undue restriction of production (except as
ma~y be temporanrily requiredl), by increasing the consumption of


industrial and: agricultural products through increasing pu rc~has ing~
p)ower, byv reduclingr and relieving~ unemloyme,3lnnt, by improvrilgr
standards of labor, and by othecrwise rehabilitaltingr industry.
(b) Said Industry normanlly employJs not mlore thanl 50i,000
employees; and is not classifiedi by me as a major industry.
(C) Thle Code as approved~ c~omplies in, all re~spects with the
pertinenlt provisions of said Title of said Act, includimr -without
linlitation Sutbsection (a) of Section 3, Subsection (a) of bSec~tion 7,
andt Sub~sectionl (b)~ of Section 10 thereof ; and that the applicant
group is an industrial association truly representative of the afore-
said Inidustry; andl that said association uniposes no inequitablel
restrictions on admlission to memnbershnip ther~ein.
(d) Th~e Code is not designed to and will not permit monopolies
or monopolistic practices.
(e) The Code is not designed to and will not eliminate or oppress
small enterprises and will not operate to discriminate against themn.
(f) Those engaged in other steps of the economic process have not
been, deprivedl of the right to be hneard prior to approval of said
]For these reasons, this Code has been approved by- me.
Respect fully,
Ad minis tractor.
M1IaY 5, 1934.



To effectuate further the policies of Title I of the National Indus-
trial Recovery Act., the following provisions are established as a
Supplementary Code of Fair Competition for t~he Can Labeling and
Can Casing Miachinery Industry and Trade, a. Divlision of the Pack-
againg Machinery Industry and Trade, pursuant. to Section 7 of
Artile XIII and supplem~entary to the Code of Fair Competition
of the Packaging Mlachiniery Industry and Trade, approved by the
President of the U7nitedl States on the thirty-first dlay of October,
1933, or as am~ended. Thfe provisions of said C~ode, as mlodified
and/or amended and/or supplemented by this SupplemecntaryS Code,
shall be the standardi otf Fair Competition for the Can Labrlingr andi
Can Casingr Machiner~y Division of the Packaging Ma~chinery In-
dustr~y and Trade and shall be binding upon every memiber thereof.

SECTION 1, TFAO Indu~stry.-The t~ermn Can Labeling andi Can
Casing: Machinery Industry ", as used herein, is defined to mean the
manufacture of power-dlriven and semi-tu.,lautomatt and or
handc or foot operanted machinery and,'or equipment a-nd parts there-
for which~ label cylindrical packages such as round metal cans and, or
round paper containers and/or other roundl containers wTith labels
which are pastel at their lap ends, and power-driven automatic and
semi-automnatic and/or hand or foot op~erlt~ed machinery atnd/lor
equipment. and p~ar~tsr therefore which packt cyvlindrical packages, sulch
as round metal cans and/or round paper contaniner~s, and, or other
round corntainers_ in corirrugtedl and 'or solidl fibreP shippngnr contain-
ers and/or wooden cases or boxes and 'or trays and wh~~ich1 are used in
packaging processes and/or preparation of products for shipment,
excl.epting,, however, any parts therefore having a general purpose
or use.
SECTIOcN 2. Thie Tr(ad. -The term? Can Labeplingr and Clan Cascing
Mlachiner~y Trade ", as used her~ein, is defined to mean the marketing
of can, labeling andi/or can easing mIachinery as dlefine~d in Sect~ion 1,
by aut~horizedl jobbers or distributors of andt, or dealers in the prod-
ucts of the indlustry.
SECTION 3. Member ozf the Inldustry annd/or Tr~ade.--The term
"L Member of the Industry and/~or Trade ", as used herein, is defined
to mean anyone engragred in the Industry and,'or Trade, as above
defined, either as an employer or on his or its own behalf.

SECTION 4. BnsiC C~ode.--The ter~m Basic Colde", as used hlerein,
is defined to mean the Bansic Code of F~air Competit~ion for the Pack-
aging Miachiinery TIilustry and Trade, as approved by the President
of the Unmitedl States on the thirty-first day of October!, 19,33, or as
SECTION 5. ClodeL AuthoritU.-The term Codle Aulthority ", as
ulsed hlerein, is defined to mea~n thet Codle Authtlority of the Packagfling
Mnchineryy Industr~y and Trade.
SECTION (j. 2EfILhC)' berO the Codes.-Thne term Memberc~ of the
Code "', as ulsed' here~in, includes any mlembler of the I~ndustry anll/or
Trade wcho shall exprecssly signlifyl assent to this Supplemll~clentary Corle.
SECTION 7. Su~b-C~ode Aulth~or~it.--The ter~m Sub-Code Author-
ity '" as used herein, is defined to mnea the Sub-Code Authority
esta lishred in accordance wvithr Article IV of this Suppllemntaryal~
SECTION 8. Institute.-The term Institulte ", as used hereinl, is
definedr to mnean the Packa~ging 1Machinery Ma~nufac~turers Institulte,
Incorporated, or its successor or successors.
SEC'TION 9. ZDiui8/on.--The term Division ", as used herein, is
defined to m~eanr the Can Lanbeling and Canl Casingr Machlinery Divi-
sion of the! Packaging MaIchinery Industry and Trade.

SECTION 1. Appl~ricant.-The applicant for this Supplementary5
Code is the Can Labeling and Can Casing Mllachinery Division of the
Institute, a division of a trade orgaaniz~ation, all members of which
are engaged in the manufacture and/or mark~leting of the products
of thre Industry.

SECTION 1. Xulb-Code Au~tho~riy.-A Sub-Code A1Iuthority is here-
by establisihedl as the agency to cooperate with the Code Authority
in the administration oof the basic code and of this Supplem~entary
SECTION 2. ddmb17rs7hip of Sub-Code Aulthority.--(a) The Sub-
Code Authority is established under the provcisionis of ~Article ~XII
of the Basic Code and shall consist of thrree members of the Can
Labeling and Can Casing Machinery Industryr and Tradelt, electted
byv the members of the Industry and Trade as dlefinled in. Article II:
hereof, from a list of all mnembers of the Industry andc~/or Trade,
whose names hav~e been ascer~tained: after dliligrent search, the method
of election to be subject to the prior appgrova~l of the Code Authority
and of the Admninistrator, and in addition thtere~to, one mlemnber wcho
may be appointed by the Administratnor, without vote, and who,
together with the Administ~rator, shall receive notice of and shall
be entitled to attend all meetings of the Sub-Code Authority.
(b) U~ntil such election has been held, which shall be within sixty
(60) days a after approval of this Supp~lementary Code, th~e committee
authorized by the Can Labeling and Can Casing MacLhinery Division
of the Packaging M~achinery M~anu facturers Institute to present this
Supplements ry Code shall serve as the Sub-Code Authority.

(c) The t~erml of ofice of members of the Sub-Code Authority
shall be until January, 1935, and thereafter for one year. Subse-
quent elections of such members shall be conducted in accordance
wit th mehodappove bythe Code Authority and the Adminis-
wtrator underetionl 2 (a) of b this Article.
(d) In order that the Sub-Code A~uthorityv shall at all times be
truly representative of the Industry and/or Trade, and in other
respects comply- with the provisions of the National Industrial Recov-
ery Act, the Administrator may prescribe such hearings as he m~ay
deem proper; and thereafter If he shall find that the Sub-Code
Authorityr is not truly representative of the Industry and/or Trade
or does not in other respects comply with the provisions of the said
Act, mra~y require an appropriate modification in the rrethod of selec-
tion of the members of the Sub-Code Authority.
SECTION 3. 1886889766%f8.-All members of the Code participating
in or sharing in anly wag in the benefits of the activities of the Sub-
Code AuthnorityT or participating in thle selection thereof shall bear
a proportionate share of the expenses of administering and facili-
tatingr the enforcement of this Supplementary Code andl of making
amendments thereto, which proportion shall be based on t~he sales
v\olumne, of ca~n labeling andl car easng;nt machinery, as defined in Sec-
tions 1. and 2 of Article II hereof, for the previous calendar year, or
such other equitable basis as myb e~rie yteSbCd
Autoriysubecttorevewby the Administrator; and such funds
shall be collected anld administered, by the Sub-Code Authority of th~e
Can Labeling and Can Casing 10ach'inery Division of the Packaging
M~lachbinery Industry and Trade.
SCECTION 4. Sta~ti.S~tc'S and JInforma1tion1.-For pu rposes of admin-
istration of this Supplemnentrry Code and wFith~ a viewv to keeping
the Admninistrator informed as to the observance or non-observance
of this Supplemnentazry Code, andl furnishing to the Administrator
such information as he may require, the Sub-Code Authority shall
collect. from the members of the Indlust~ry and?:or Trade such stat~is-
tics and re~por~ts as it. may deem necessary, andl send then to t~he Code
Authority in such form as the Administrator may require.
SCiECTION 5. Data C~onffdi e tia.f ~r.-All sta ti st ien d1a t~a o r i nforIm at ion
and reports shall be furnishedt t~o a, disinterested confidential agency
or person to be selected by the Sub-Code Authority andl shall be
collected and kept in a confidential manner, andl the reports of the
individual members of the Industry and~lor Tradle so collected.
shall not be divulged to any other member of the Industry and/,or
Trade or to any one else, except as may be aut~hor~izedt or directed
by thie Aidminist rator.
SCECTION 6. COflinttpGi.-Und`er such rules andl regulations as t~he
Administrator may from time to time prescribe, t.he Sub-Code
Auth~ority may receive comIplaints of violations of this Supplemen-
tary` Code, make investigations thereof, provided hearings thereon,
and adjust such complaints and bring t~o the attention of t.he Admin-
istr~ator through the Code Aut'hority, any recommendations andt
information relative to unadjustedl complaints of violations.
SECTIoN 7. Sftanda~Crds of the Indust~r~y ----I order to assist in m~ak-
mng effective the reports from the Industry: and in eliminatingo unfair
competition, the Code Authority shall within one month after the

effective date of this Supplementary Code, give due considerations
to the establishment of a committee, so conlst~ituted as to givre due
consumer and governmental representation, to make a study, with a
view to the establishment of classifications andi standards of dlimen-
sion and/or quality and/or periformainrce of products of the Ind~us-
try, wherever such classifications and/or standards are deemecd fea-
sible. The findings and :recommuendation s of this committee shall,
within one year, be submnitted' to the Admiinistrator,, and after
such h-earinigs as he may desigrnate, andl uponl approval by him,
shall be made a part of this Su~;pplemlentary3 Code and be binding
upon every member of th Indlustry. Such committee shall have the
power to cooperante with any other such standlardlization commiittee.
SEC'TION 8. 1'oordinaCtion1 wZith other Codc~.-T hee Sub-Code Au-
thorityr, under the di~ec~tion of thme Codle AIuthority, shall hae~ power
to coordlinate the adlministration of this Supplementary7 Code w~ithi
such other codles, and/or supplemencitaory hl~ cds, cif nys mayl beeo
related to the Inldustry and/or Trade an/rayubvsonteof
and to delegate to any ad~ministraltiv-e authority, with the appIroval
of the Admzinistrlator, such powers as will promote joint and har-
monious action upon all mlatter~s of common, interest.
SECTION O. 21CCountingl.--The Sub-Code Author~ity, subject to ap-
proval of the Aldministrator, shall cause to be formnulatedl an ac-
counting systems and: mnethod~s of cost finding anid/or estimlating
capable of use by all members of the Indust~ry andi/or Trade. ,After
such system and methods have~ been formunllated' full details conc~ern-
ing then shall be made available to all mnember~s. Thereafter all
mnemb~ers shall determined. and,/or estimate costs in accor~dance. with the
principles of such system and/or meth~ods.
SEC'TION 10,. Suspensioni of ABct~ion.-If the Admninistratorr shall de-
te~rminie that anyr action of the Sub-Codle Authority or any agency
thereof may be unfair or unjust or contrary to the public interest,
theAdinstatr ayrequlire that such. ac~tio-n be suspendedct to af-
for dm an oppaortnt forI investigation of the merits of such actionl
and further consideration by the Sub-Code Authorit~y or agency,
pending final action which shall not be effective unless the Adrminis-
t.rat.or approves or unlless he shanll fail to disapprove after thirty (30)
do~ys' notice to him of intention to proceed with such action in its
original or modified form.,

SECTION i. Filing O~f PPIC(8.-Elach member of the Indlustry and~/or
Trade shall within fifteen (1i 5) days~ after the date of approval of
this Supplementary Code, fie with the Sub-Code Aut~hority, or with
somie other responsible, disinterested ageency or person designated
by thle Sub-Code Authority, a price list, independently prepared by
such member of the Industry and/or T~rade, showing hs cur~renit
prices for all standard machines wh-lich are products of the industry,
sold by such member of the Industlly and/or T~rade.
SwrroN 2. Rev~ision~ of Filed Pnzces.--Revised price lists shall be
similarly filed from time to tie thereafter, t~o be effective immledi-
ately upon filing, except that, upon machines newly designed and
invented, the price list therefore shall become effective immediately

uponn sucrh marhines being offered for sale, and the price list therefore
shall be filed within five days thereafter. Price lists, together with
any revisions thereof, shall be open to inspection at all reasonable
times by any interested party.
SECTIrON 3. DOitz'i-ON frFOl~ Filed Pri2ces.--No member of the In-
dust.ry' and 'or Tradle shall sell any product, of the Industry for any
price other than that set forth in his last price list filed as herein
SECTION 4. Price E~rchange.--Upon written application of any
member of the Code, the Sub-Code Authority or the agency or person
designated by the Sub-Code Authority, shall furnish such member
manufacturing and/~or marketing similar machinery and/or equip-
ment a copy of any price list filed with it. Each member of the
Indlustry andl'or Trade shall provide with each filed price list or
revised price list sufficient copies for distribution to every other memi-
ber of the Industry und/'or Trade, in addition to the copy filed wIth
the Sub-Code Authiority or the agency or person designated by the
Sub-Code Authority.
SECTION 5. Machine Desc~riptionl.--Every price filed for each listed
machine must indicate clearly what is included in the way of equip-
mient. All other equipment, regular or special, must be priced sepa-
rantely, and, if furnished with the machine, must be sold at such list
price in addition to the price of thie machine as listed, and must be
sold under the same terms and conditions as govern all sales under
Articles V and VI of this Suppleme~ntary C'ode.

General DeE~cnition..-For all purposes of this Supplementary Code,
the acts described in this Article shall constitute unfair trade prac-
tices. Atlny member of the Industry and/or Trade who shall directly,
or indirectly, through any offcer, employee, agent, or representative
knowingly use, employ, or permit to be used or employed, any of such
unfair practices shall be guilty of a violation of this Supplementary
RULE 11. Selling Other th~an Newe Mlachinlesr as Nwcl.--No member
of the Industry and/or Trade shall sell re-built, re-conditioned or
overhauled products of the Industry as and for new.
RULE 2. Tal~nper)ing -w.ith Com)petjito's.' 31ackines.--No member of
the Industry and/'or Trade shall directly or indirectly maladjust a
comp leti to r's products in order to discredit them w~ith a customer.
R-ULE 3. $8/1n~ Rf 8 Products as Other Tha~n N2er.--No member
of the Industry and~/or Trade shall sell new products of the. industry
as demonstration, exhibition, re-built, re-conditioned, overhauled or
used machinery and/or equipment below the price of or on more
favorable terms than similar new products.
RULE 4. ZWHcczliftfe ~f 6 878808 Co?npet~itors.--No member of the
Indlustry and/or Trade shall knowingly~ use advertising or other
representation which refers inaccurately in any material particular,
or knowringly disseminate false or misleading information relative to
anly competitor or his product, selling prices, values, credit standing,
credit terms, ability to perform work, conditions of employment,
policies or services.

RULE 5. Deceptive Advelrtising.-Nlo member of the Indulstry
and/or Trade shall use advertising or selling: methods or credit terms
which have t~he capacity or tendencyl to deceive or mnisleadl a customer
or prospective customer.
RULE 6. Using Advrertis~ing Materfcial~ of a7 Co-mnpeitor.,-No mem-
ber of the Industry and/'or Tradce shall use the advertising mlaterialt
of another member of the ]Indlustry and/or Trande in the sale of
products of the Industry, except. with permission of the member.
RULE 7. Espionage of Comlpetitors.-Nho memlber of the Indurstry
and/or Trade shall deliberately secure confidential information con-
cerning the business of another member by a, false or miisleadingr
statement or representation, byT a, false impersonation of onle in
authority, or by bribery, or by any other u~nfair methiod. NiTo mnem-
ber of the Industry and/'or Trade shall deliberately procure any
information concerning the business of another member which is
properly regarded by it as a trade secret or confidential within its
RCLE 8. (nteferncTOC WaitA BOrt/ncra7 1u~ a t C//ON8.-N member of
the, Industry and/o Trade shall knowingly induce or attempt to
induce the breach of an existing contract, either oral or wTritten, be-
tween another member and his customer or source of supply, or
interfere with or obstruct the performance of such contract. or con-
t~ractu~al duties or servpices with the purpose and/'or effect of hamnper-
mng, mnjurinIE or em~barrassina members mn their business.
RULE 9. Offre8s for AttaimS, 7ents, Accessories, or Alterartion~s.-
No member of the Industry and/or T'rade shall add attachments
and/'or accessories or mnak alterations to standard machines, with2-
out addling to thne filed price a proper charge th~erefor, which, charge
shall be not less than, the sum of parts purchased, the costs of direct
labor, material, and shop overhead.
ROrLE 10.O, 88 Bi7 Eng.-N member of' the Industry and/or
Trade shall knowingly withhold from or insert in any quotation or
invoice any statement that makes it inaccurate inr any material
pa rt~ic ula r.
RULE Il. Combin-atfion Biales.-No member of the Industry andi/or
Trade shall sell or offer to sell products other than, th~e products of
the Industry ait prices below t~he prevailing mlarkzet prices of such
products or donate such products in order to influence sales of
products of the Industry.
RULE 12. S-icrlce Charges.--No member of the Industry and/or
Trade shall furnish materials or labor or incur other expenses in
connection with t~he sale of anly prod-uct of the I~ndustry, without
making adequate and proper charge therefore to the customer, except
where necessary to effect proper operation of a member's product
in the plant of a customer, where the member of the Industry andi/or
Trade is at fault, or to meet the reasonable gua rantee of the member
of the Industry in respect of defects in, wormrannship or materials
which may develop in service.
R(ILE 13. Fr7ee T~r'Ial.--NJO member of the 'Industry anld/or T~adle
shall place on trial or place on loan any machine and/or equipment
which is a product of the Industry, urlder optional surrender con-
ditions tantamount to trial, unless the price to be paid for such mra-
chine and/or equipment, in the event of acceptance, is agreed upon

in advance, and the trial period is limited to thirty (30) days fromn
late of insitallation of su1ch maRchine and/'or equipment, and the
customers agrees to pay all transportation charges if not accepted;
provided, however, that it shall not be construed a violation of this
Rule to install new'ly' developedl machines andl.'or equipment which
are products of the lIndulstryr, in a cu1stomer'~s plant for the purpose
of testing their operation under practical working conditions, or
to install such ma1chinery and or equipment on trial where the pur-
pose of the trial is to test the practicability andi 'or consumer accept-
abilityr of the customer's product in cases where these factors can-
not be otherwise determiined; and provided, further, that nothing
herein shall prevent the return or surrender of any such machine
and.-'or equipment sold under a specific performance guarant~t e e wFhichi
has not been met within the time provided in the contract of sale.
RULE 14. Frfg8 r CAGef.--NO member of the Indlustry and, or
Trade shall absorb freight or other transportation orriin
charges on products of the industry. All shipments shall be F.O.B.
shipping pomnt.
RULE 15. Rebartes, Splrit Cormmisionsa, et cetera.--No member of
the Industry and,;'or Trade shall make or permit to be made any
secret payment or allowance of rebates, refunds, commiissions, split
commissions or unearned discounts, whether in the form of money or
otherwise, or secretly extend to certain purchasers special services or
privileges not, extended to all purchasers on like terms and conditions;
provided, however, that. this shall not be construed to prohibit the
payment of discounts which mnay be shown in the member's price lists
filed in accordance w~ith Article V hereof, or as stipulated elsewhere
RITLE 16.(R) FT?dce-In Allow~ance.--No member of the Inidustry
and,'or T1rade shall mnake or offer to makte a traude-in allowance in
excess of fifteen (15) percent for any machine and.'or equipment more
thian two (2) years old andl less than five (5) vears old, or make or
offer to make a trade-in allowance in excess of ten (10) percent for
any machine and, or equipment five (5) years old and less than ten
(10) years old, or make or offer to make a trade-in allowance in
excess of five (5) percent. for any machine and 'or equipment ten (10)
years old or over, nor shall any member of the Industry and/or
Trade purchase used manchinery and 'or equipment from a customer
or prospective customer with the intent or effect of defeating or in
suich a manner as to defeat t~he purpose of this rule. The allowance
shall be figulred on the price of a new machine and,'or equipment of
compa'iralble design and capacity. Only one old machine may be
tradled in as part paymlentt on a new machine and only labelinga
machines may be accepted as part payment in a trade-in for new
labeling machines and only can easing machines may be accepted as
part payment. in a trade in for new can easing manchines.
(b) With a view to providingr factual data for review of this
Rule, mnemblers of the Industry and, or Trade shall, during the year
1934-, report to the suib-code authority, or to some other responsible
disinterested agency or person designated by the sub-code authority,
allowa~nces ma~de under this Rule for each traded-in machine and the
price at which su~ch traded-in machine is resold, together with an
e~stimante of the costs of reconditioninlg or rebuilding such machine,

if any, and an estimate of the direct costs, if any, of selling such
RULE 17. PenN///itng Retcabifzon Tradned-in.111ciac~ines.-No mem-
ber of the Industry and/or Trade shall permit, purc~hasers to retain
machines and/or equipment for which a t~rale,/in allow~ancee has been
made. Each member of the IZndustry and /or Trade shall r~etur~n th~e
traded-in machine and/or equipment to his place of business unless
such member or his agent shall have destroyedcc andl junke~d it and
removed it from the premises of the customer.
RULE 18. SCG 08 TF''717N.-O mnember of the Indlustryr andl/or Trade
shall sell machinery andl/or equipment on terms more~ fav\orable to
the buyer than as foallows:
(a) Thirty-Three and~ one-thlird (331,6%r) percent. of the price
shall be paid in cas on. delivery at destinations annd the balalc~e shall
be payable over a manximuml period of twelve (12) mocnths~ including
a carrying charge of not less than six (6) percent on the total unpaid
(b) Discount rates shall not exceed one (1) percent for ensh ten
(10) days from date of invoice.
RULE 19,Ds lT. 180Pim. NOON.- ~O member of th~e Inldustry and/or
Trade shall discriminate in price between purchlasers of the samne
class under similar conditions except for differences in gradel, qlualit~y,
or quantity3 of the products of thle InrdustryT purchased.
RULE 20. Qulanrtily Discousts.-No memerof the Ind~ustryS andl /or
Trade shall give a quantity discount except that in cases where five
(5) to nine (9) machines inclusive are sold to one cust~omer, for
shipmlent. at one time, a fLive percent (5%0) dlisc~ount. from the filed
list price may be allowed on the order, and that in cases where te~n
(10) or more machines are sold to one customer for shipmnent at
one time, a ten percent (10%~) discount from the filled list price may
be allowed on the order.
RULE 21. SC'21'Hg Be OW C~Ost. -Except to meet the selling price of
a bona-fide low7 cost producer or imiporter of products of equivalent
design, charact~er,quality and~/or specifications, or for the purpose
of disposing of discontinued lines or seconds, or merchandise which
must be converted into cash. to met emergency needs, no member shall
sell products of t-he Industryr at a price below his own cost thereof,
costs in all cases to be determined in accor~dance with the system
and/o metod of cpco~i untng~ provridedl for in Section 9 of Alrticle IV.
RUE 9.OpffhyA/JAO7/Z8t B}8% 8, Jobbers, D~l~istzribuors
and Dealers.-WRithin thirty (30) days after the effective date of
this Supplementary Code, every member of th~e Industry shanll file
with thle Sub-Code Aulthority or agrency or per~sonl designated by
the Sub-Code Authorit~y under Section 2 of Article V hereofl,
a list of his or its authorized jobbers or distributors of andl/o-r d~nealer
in the products of the Industry and his authorized agents for suchI
products, with their addresses, and he shall .file the namesc andr
addresses of all additional agecnts, jobbers, distributors und~l/or deal-
ers appointed by him or it, from tim to timle, or cancellations
thereof, such additions and such, cancellations to bcome effective
on the date specified i1 the notice filed with the Sub-ode Au-
thority or agency. Such lists shall, on request of any member

of thle Code, be furnished by the Sub-Code Authority or agency
to such member.

SECTION 1. AS 10f PT'Onlue/S.-If 8.ny member of the Industry
and 'or Trade is also a nemnber of any other Industry and/'or
Trade, the provisions of this Supplementary Code shall apply to
and affect only that part of his business which is included in this
Industry and'or Trade.
SECTION 2. d8 to LocationL..-No provisions of this Supplementary
Code pertaining to prices or trade practices shall apply to sales to
customers outside the United States.


No provision of this' Supplementary Code shall be applied in such
a manner as to permit monopolies, or monopolistic practices, or to
oppress, eliminate, or discriminate against small enterprises.

This Supplementary Code and all provisions thereof are expressly
madre subject to the right. of the President., in accordance with the
provisions of sub-section (b) of Section 10 of the National Industrial
Recoveryv Act, froml time to timne to cancel or modify any order,
approval, license, rule or regidontion issued under Title I of said Act,
and specifically, but without limitation, to the right of the President
to cancel or modify hris approval of this Supplementary Code or any
conditions imposed by- him upon his approval thereof.

Such of the provisions of this Supplementary Code as are not
required by }he National Industrial Recovery Act to be included
herein may, wilth the approval of the President, be modified or elim-
inated as changed circumistances or experience may indicate.
AInyr proposed amendment, addition, or supplement to this Supple-
mentary Code shall be submitted to the Code Authority by the Sub-
Code Authority and, if approved by the Code Authority, the Sub-
Code Authority shall submit same to the Administrator; and after
such notice and hearing as the Administrator may deemn necessary,
such amendment, addition, or supplement shall be in full force and
effect upon approval by the President.

SECTION 1. Every~ member of the Industry and.,'or Trade shall
post complete copies of this Supplementary Code in conspicuous
places easily necessible to all employees, in accordance w~ith such
rules and r~egulationls as may be issued from time to time by the
SECTION f2. Every employer shall provide for the safety and health
ozf em ploy~ees during the hours and at the places of their employment.


Standards for safety and health shall be submitted by the Sub-Code
Authority to the Administrator within. six months after t~he effective
date of this Supplementary Code.
SECTION 3. In addition to the fo~regocingr labor provisions, the labor
provisions of the code for the Packagring Mauchinery Industr~y and
Trade are her~eby referred to andi made a part of this Supplementury
This Supplemlentary Code shall become effective on. the cleventhi
day after its approval by the. President.
Approved Code No. 72--Supplement No. 1.
Registry No. 1390-30 A.


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