Code of fair competition for the industrial oil burning equipment manufacturing industry as approved on July 30, 1934


Material Information

Code of fair competition for the industrial oil burning equipment manufacturing industry as approved on July 30, 1934
Portion of title:
Industrial oil burning equipment manufacturing industry
Physical Description:
p. 31-45 : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Oil burner 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. 1125-04."
General Note:
"Approved Code No. 493."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004950803
oclc - 63655267
System ID:

Full Text






For lemi Cbyte Bperideadent of Documents, Washington, D.C. - Prie 5 cents

Registry No. 1125--04

Approved Code No. 493

we no ouR PART


This publiention is for sale by the Superintendent of Doeaments, Government
Printing Office, Washington, D.C., and by district oflices of the Bureau of Foreign
and Domestic Commerce.

Atlanta, Ga.: 504 Post Otice Building.
B3irminghalm, Ala.: 2571 Federal Building.
Bosto~n, Manss.: 1801 Customhouse..
1Buffalo, N.Y'.: Chlambert1 of C'ommerc~e Building.
Charleston, S.C.: Cha~mb~er of C'ommer~ce Building.
Chicago, 111.: Suite 1706G, 201 North WVells Street.
Clevecland,~ Ohio: Chamllber of
D~allas, Tex.: Chamber olf Commere Dauildling.
Detroit, M\ich.; 801 F~irsit Na~tional Banuk Building.
r I-IHouston, Tex.: Chamlber of Comlmrce Building.
Indtinlnnyols,, Indl.: Chamberr of Commerlce Building.
Jacks;onville, Fla.: Chiamber of Commerce Building.
Kfansals City, Rlo.: 1028 Baltimore Avenue.
L~os Anlgeles, Calif.: 1163 South Broadwayn.
LouisvBille, K~y.: 408, Federal Building.
Memplhis, Tennr.: 229 Federal Buildling.
Mlinnemnolis, nIlinnl.: "13 Federal Building.
New Orleanls. La.: Rooml 225-A, Customlhouse.
N\ew~ Yorkr, N.'. : 7i34 Custombouse.
Norfolk, J'a.: 400; East Plumle Street.
I ~Philadelphlin. Pa.: 4122 Commercini Trust Building.
Pittsburgh, Pa.: Chambere of Commnerce Building.
Portlanld, Oreg.: 215 New Post Office Building.
St. Louis, 1110.: 500; Olive Street.
San Francis~co, Calif.: 310 Custombouse.
i ~Seattle, W~nsh.: SOD) Federatl Office Building.

Approved Code No. 400

Registry No. 11215-8





Als Approved onr July 30, 1934

Page 45, first line "' Section 2 should be Section 8."'



Approved Code No. 493



As Approved on July 301, 1934


An application having been, duly made pursuant to and in full
compliance with the provisions of Title I of the National Industrial
Recovery Act, approved June 16, 1933, for approval of a Code of
Fair Competition for the Industrial1 Oil Burning Equipment M~anu-
facturing Industry and hearings having been duly hield thereon and
the annexed report on said Code, containing findings with respect
thereto, having been made and directed to the President:
NOW, THEREFORE~, onl behalf of the President of the United
States, I, Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in mie by Executive Orders of the Presi-
dent, including Executive Order No. 654~3-A, dated December 30,
1933, and otherwise; do hereby noprt yrfrnesi nee
repot ad d fin tht sid ode complies in all respects with the
pertinent provisions and will p~romiote the policy and purposes of
said Title of said Act; and do hereby order th-at said Code of Fair
Competition be and it is hereby approved. I do hereby further
order that the Industrial Oil Burning Equipment Manufacturing
Industry and its members be hereafter exempted from the provisions
of the Oil Burner Indust~ry Code.
Admn7,2ristratoro for' JIndUStriai Recovery.
Approval recommended :
D~ivuision Ll Administratclor.
WYASmNo-rox, D.C.,
~u~ly 30, 1934.

77109" 820-170 34---1



Th1"e WhYRite: Hou~se.
SmR: Thzis is a. report on the Code of Fair Competition for the
Industrial Oil Burningi Equipment M~anufacturing Industry as
revisedl after a public hearings, conducted therecon in Wa~shington,
D. C. on Juily lo!, 1934, in a~reordance wlith thec prov~isionsr of the
Natioinal Inusric~i~al Recovery Act.


Alll emlployeesi shall b:e pa;il "a mnliimllml rate of forty cents per hour
except handicapped w\orkersI', whent~l properly cerltifiedl. Acount~ing,
clerical and' office employees may be paid at no~t less than fifteen
dollars per week. Office' boyrs; an~d gir~ls mlayV be paid not. less than
E~ighlty peren~'lt of this last ra;lte and1 shall not ccexced, inl any calercndar
month-, five prclent of" thle total office~ employees s of the employer
exlcep't, that anyl~ emlployerr mnay employ at least two such persons
Conunll-i sio Salles people are excepted fromn these miinimnum wagres.
Fort~y hiours dhall be the mlaximnum number of wor~king hours for
any wee~k and~ eighrt hour., for anyv day except t'hat. luring nlot, to ex-
ceed six weieks inanyi six[ m~onth~s' period, forty eight hou~lrs in one
week~l ishall bse. Ipermllailsle prov~\idingf one and onelt-half times the
normal rate 'of pay shall be paid fo~r all time in excess of eight
hours peri day2 and forty hours per wc~eek. .Thle e emploed d in man-
aglrial, executive, or sup~ervisiory\ capacity whio r~egularly receive
thirty-five d~ollars or mor-iie per wTeek and~ traveling salesmnen are
excepted frmthis proison
SEmnployee. engag~ed in emergency mainft.enaw-e~c or emergency re-
pair worki involv-ing b~reakdow~ns or the prlotec~tion of' life or prop-
er~ty are excezpted~ providedt, hlowever, thlatone andt one-hanlf times
the normarul rate of payv shall be~ paid for all time in excess of eight
hours~ per day and f(,rty hours1'4 perI weeki. Shipplin: elerk~ andc oult-
side dleliverymnen ar~e excep~i;tdc aI~~ nd v ma e p-erm~itted to work; forty-'
fi~ve hoursl': per' w\Ceek exscep't that dur~ing not to, exc~eed six weceks in
any six? months'l~i perliodl, forty-e~ight hours i~n one week-l shall be per-~
miissible providling one and on!e-half times the no~rmail rate of pay
shl~nl be paid for all time in exess orf eighlt hours per dayr andi forty
hours per week~. WTatchmuenl are exScep'Ited t~ a lnd maye piermitted to
wor~k fit-six hor e wk. No emp-loyerl shl~l knowirngly per-
nilt any emp~rloyee to workr for any time which, when totalcle with
that already per!forml~ed with anoltherl emloyerlg l or emp~loyers, exceeds
the mnaximaz petrmnitted7 hertinl. No employ-,ee shall be piermittedl to
workr nor~e than sixr days in any sz\eve day' period. :


The economic welfare of this industry largely~ depends;on th
revival of capital investment, partly on revivalofcntuin c
tivity. Industrial Oil Burnmng Equipment is used in generating
heat and/or power for steamships, powfer-plants, locomotives, dis-
tilleries, breweries! industrial plants, etc. The Unit Equipment de-
fined is used in various types of construction activity and in the arts
and industry.
Annual dollar sales have decreasedl about twenty percent from
1928 to 1933. Invested capital has decreased about eight percent
during t~he same period. The number of wage earners emplloyedl
by this industry decreased about~ eight percent during tbhe same
period, an increase having been made fr~om 1932 low of bu w
percent the latter part of 1933. It is estimiatedl that the industry
employed 440 wage earners inl 1928.
No large further increase in employment is anticipated under
the ma~ximuml hourly provision of t~he Code as, although there was
an increase in employment under the President's Reemployment
Agreement, the industry is not working in excess of the maximumn
hours specified. Trade practice provisions of the Code are expected
to remedy miany of the evils that hiave been prevalent inl the past
within this industry.
The Deputy Adm~ninistrator, in his final report to me on said Code
having found as herein set forth and on the basis of all the pro-
ceedings in this matter:
I find that:
(a) Said Code is well designed to promote the policies andl pur-
poses of Title I of the National Industrial Recovery Act, including
removal of obstructions to the free flow of interstate and foreign
commerce which tendl to diminish thle amount thereof and will pro-
vide for the general welfare by promoting the organization of indus-
try for the purpose of cooperative action among trade groups, by
inducing and maintaining united action of labor and management
under adequate governmental sanctions andi supervision, by eliminat-
ing unfair competitive practices, by promoting the fullest possible
utilization of the present productive capacity of industries, by avoid-
ing undue restriction of production (except as miay be temporarily
required), by increasing the consumption of industrial and agricul-
tural products through increasing purchasing power, by reducing
and relieving unemployment, by improving standards of labor, a~nd
by otherwise rehabilitating industry.
(b) The Code as approved complies in all respects withl the per-
tinent provisions of said Title of said Act, including wFithout limi-
tation Subsection (a) of Section 3, Subsection (a) of ~S'ection 7, and
Subsection (b) of Section 10 thereof; and that the applicant asso-
ciation is an industrial association truly representative of the afore-
said Industry; and that said association imposes no inequitable re-
strictions on admission to membership therein.
(c) The Code is not designed to and will not permit monopolies
or monopolistic practices.
(d) The Code is not designed to and will not eliminate or oppress
small enterprises and will not operate t~o discriminate against them.


(e) Those engaged in other steps of the~ economic process have not
beenl deprived of the :right to be heard prior to approval of said
Code. "
For these reasons, therefore, I have approved this Code.
SRespect fully, : .
-;.;.i: : ,: 1 ; ,i i :;.i~., ,: dArd in~istrat or.
JULY 30), 1934.



To effect~uatee the policies of Title I of the National Industrial
Recovery Act, the following provisions are. establishedl as a Code of
Fair Completition for t.he Industrial Oil B~uirning Equipmnent Mian-
ufacturinig Inldustry, and shall be t~he standard of fair competition:
for such industry andi shall be binding uponi every mnember thereof.

SECTION 1. The term "' Indust~rial Oil Burning Eqluipmnent Mranu-
factur~ing Industr~y as used herein includes thle manufac~turinqb
selling, andl/or furlnishin g of manufacturer-installat~ion-se rviice
or "' mnu infa'cturer-inst allat ion -engineering and/or su per~visory-sery-
ice of, oil burners andl; or oil burning equipment including acces-
sories which are not for general purpose und/or use but which are
essential to their operation, either fixed or portable, and/or of the
vaRporizing, steam, air, gas or mechanical atomizing type, designers
primarily f~or:
(a) Generating heat or power for naval vessels, merc~hant-marinell
vessels andi yachts, stationary power plants, railroad locomnotives
when manu fa ct u red, sold and 'or furnished, by others than manu-
facturers of locomotives, oil refineries, sugar refineries, distilleries,
brewerlies, and other similar purposes.
(b) For heat application and..'or processing in the arts andi in-
dustries and/,or for use either inl production or repair processes in-
cluding fire pots, blow torches, portable torches, melting furnaces,
tar kiettles, concrete heaters, salamandiers, brazing and rivet forges,
asphalt tool heaters and surface heaters, wood burners, steamlers,
solderinga-iron heaters, and other similar devices.
(c) For all other purposes exclusive of heating by means of units
designed primiarily as, and generally known as, domestic oil burners
and exclusive of burners designed p~rimiarily for lighting and cook-
ing, together wiithi auxiliary control and equipment; exclusive of
all buirners, buiilt in aind forming integral parts of furnaces or
boilers and sold as a comiponenit part thereof and the replacement
or repair or servicing of same by the manufacturer of such unit
equipment; and such branches or subdivisions of this industry as
may from time to timie be included under the provisions of this Codle.
SECTION 2. The term employee as used herein includes anyone
engaged in the industry in any capacity receiving compensation for
his services, irrespective of the nature or method of paymlent~ of such

SFECnONu 3. Thle term "L emlploy)er as used her~ein includes anyone
by w~homn any suchl emp-loyee is compensated or emiployed.
SECTION 4. Thet term "member of the :indulstryS includes anyone
engaged inl thle indlustry3 as abo-ve defined, either as an employer or
on his own beha~lf.
SECTIONr 5. The, term "As-'~~SOCiaiaton asi used herein shall mnean the
Inusrlia~r l Oil BrI1;nin Equipmecnt Associationl.
~SECTION 6. The terms *;' President ', '- Act ", andl "' Administrator "
as ulsed hereinl shall mnean respectively the P'residlent of the United
States, Tlitle I of th~e Nattional Indtustrial~ Recovery Act, and t~he
Adm- ili ni Is t rato for Indusl~ trIi al Recovetry.
SAIrrlCE ZII-H~olrn~s
SicECTrION I. NO employees s 1all be permittted to work in excess of
Forty (40) hours in any one week or. eight (8) hourss in any one day
except for six (6) weeks in a six (6); months period when employees
mayI be permitted to wcork not nolre than forty-eight (JS) hours per
wPeek providedt- they dare compensatedl by at least onle andl one-half
(11) times their normals ratesi of pay ~ for all hours inl eccess of forty
(4()ijper w~eek~ or eig~t (S) per day.
SECTION "2. Thie provisions of Sectio~n 1 s.hall not a1pply to the
(al) Persons emlploy-ed in a managee~rri, executive, or supervisory
capacity wvho regularly receive thirty-five dollars ($35.00) per week
or mnore.
(b) Trav-elingS salesmen.
(e Emnployees engaged in emeirgencyv mainteinance or emergency
r~epair work involving breakdiownsl or thle protection of life or prop-
erty; provoided, however, that any emp~loyee workingn ceso
.for~ty (40) hours per weec~k or eight (8) hours per day shall be
compensatedf by at least one and one-'half (114l) times his normal
ra~tes for alll such excess hour~s.
(d) Shipping clerks and outside deliverym3iien, who mayV be per-
]initted to w~o.rk for~ty-five (45) hours per w~eek;. except that during
any six (6) weekCIs in any six C(6) months p~eriodl th~ey may be per-
mlit.ted to w~ork for~ty-eighbt (-1S) hours p~er w~eek. .One andl one-half
(1% times the nlormalrate odf pa .shalll be. pnidT persons embraced
in this subsection (d) for hours~ workedl in exccess of eight (8) hours
per da andl f~orty (4~0) housrs pe cr w.
(e) Watch~men, who! may be permiitted to wor~k not in excess of
fifty-six (56l~) hours in any one w-eekr.
SECTION :J. NO cimployer shall permiit any emnployee to work for
anyS timie which w-hen comlbined with that performed for another
employer or employers in this or any inidustry: exceedls the mnaximum
permittedd herein.
SECTION 4. ~O employees shall be permriitted to wno~rk in excess of
six (6)j days in. any sev-en (7) day per~iod.
Ann~!'TCu: IV-W-~CctGS
;' SEcTION 1.' R ) The Iinimlm wageag that shall be paid by any
emnploycr to any employee shall be for~tSy cents (404) per hour,
except as follows:

.(b) A person whose earning capacity is limited because of age or
physical or mental handicap may be employedl on light work at a
wage below the minimum established by this Code if t~he employer
obtains fromt thle St-ate authority dlesignated by the Unitedf States
Department of Lalbor a cer~tificate author~izingr his emlployment at
such wages andl for such hours as shall be stated in the certificate.
Each employer shall file monthly with the Code Authority a list
of all such persons employed by himi, shiowingi the wngers paid to,
and the maximum hioursc of work; for, such employee.
(c) No clerical or office employee shall be paid in any pay perliod
less than at the rate of $15.00) per week; provided, however, that
office boys and girls miay be paid niot less than 80 E of suc-h minimumi?
wage, but the total number of surch oftile boys or gir~ls shall not
exceed in any calendar month 5"& of the total number of all emn-
ployees covered by the provisions olf this paragraph except. that any
employer may employ at least t.wo such persons as above proviledj;
and provided further, that where a St~ate law provides a higher
minimum wage, no person shall be paid a lower wage than thiat
re uired by such law within that State.
SECTIONv 2. The wage differentials for all operations above the
minimum shall be equitably readjusted (unless such readjustment
has been made theretofore) and in no case shall hourly or piecework
wages be decreased. No unfair advantage shall be taken of any
employee in making this Code effective. Each member of the in-
dustry shall report all such readjustments to the Code Authority
within thirty (30) days after thie effective date.
SECTION 3. No employer shall contract for the fabriention and 'or
erection of any product of this Industry with~ any employer or em-
ployee, except when such emp~loyer or employee agrees to comply
with labor provisions at least as favorable as those contained in this
SECTION 1. N~o person under the age of sixteen (16) years shall
be employed by any member of the Industry, and no person under
the age of eighteen (18) years shall be emnployed in any hazardous
occupation. The Code Authority shall, within six months after the
effective date of this Code, submit, to the Administrator for approvn1
a list of such hazardous occupations. In any state an employer shall
be deemed to have compl1ied with this provision if he shall have on
file a certificate or permit duly issued by the authority in such state
empowered to issue such employment or age certificates, showing
the employee is of the required age.
SECTION 2. No employer shall reclassify employees or duties of
occupations performed or engage in any other subterfuge so as to
defeat the provisions of the A~ct or of this Code.
SECTION 3. Every employer shall provide for the safety and
health of employees during the hours and at the places of their
employment. Standards for safety and health shall be submitted by
the Code Authority to the Admninistrator for approval within six
(6) months after the effective date of the Code.
SECTION 4. No provision in this Code shaUl sulpersede any State
or Federal lawr which imposes on employers more stringent require-
'7 10a *-- 829-1 70----34-2a

merits as toi age of employer, walges, hours of work, or as t~o safety,
health, sanitnr~y or general working conditions, or insurance, or fire
protection, than arze imnposed b this: Code.
SEC:TION 5. All empllloyers shall post and ke~ep posted copies of this
Code in conspicuousj places accessiible to all employees. Every miem-
ber of the Industry~ shatll comlynl with all r~ule~s nd regulations
relative to the posting ofprovisions of Codes of Fair Compet~ition
which mayn3 from time to tmbeprsc~ribed by the Admllinistrator.
SE(.CTION 6. NO empoloyee shall be dlischarged, diemoted. or otherwise
discr~iminated against by reason of ma!:kingr a comrpla~int or giving
evidence with re~sp-ect, to an allegedr vTioltion of thils Codle.
Sterr~oh 7. Nlto employee now eltngaged at a wage above the mnini-
mnum shall be dischalrgedl and re-epl~,oyed, or replaced by another,
at a lower rate for thle purpose of evading the pulrposes of t.he Alct
or the provisions of this Code.
SECTIN 8. Emnploy~ees shall have the right to organlize and bar-
gain collectively through representative of their own choosing n
shall be fr~ee from the interference, restraint, or coercion of m
players of lab'1or, or their agents, int the d~esigrnation of such repre-
sentativesY, or in self organnization, or in other c~oncer~ted activities
for the purpose of collective bargaini~lng or other mutuall aidi or
SECTION 9. XTO employee and no one seeking employment shall
be required as a condition o f empoa loyent, to join any company uruon
or to reframn from joignig, orgalzlngr, or assistingr a labor orgamiza-
tion of his own choosing.
SECTION 10. IEmployCrs shall comply ~with the; maxsimu m hlour~s of
labor, mninimum rates of pay, aind olther conditions of employment


Se~IT Cno 1. To further effectua~te thie policies ofl thle Act., a C~ode
AuthlorityY is herebyl~ set upl to coopera~te writh the Adm~linisstrator in
the adm~inistl ratio~n of thlis Code~.
(a) The Codc Autfhority shall consist of five ind~ividuals elected,
as hereinafter pirov,\idedc, byF the memberl~cls of thel Indlustry who are
eligible under subr-section~ (f) of Section 1 of this Artictle VTI. The
Admnin istrat~or, in addcit~ionl, may apploin~t not more th~an three memn-
ber~s without vote andl withoujlt. expeneir to the Indlustry to serve for
such~ t.erm~ or terms as he mov15 speedfy.
(b) nlThe Association is htlereby dlesignalted as the agency to con-
ulc~t thne election of the Code A9uthority.v It shall, ~it~hin ten days
aft~r the approval of thlis Co~de, call a meetings of the members
of the Industry for this pur-pose to be h~eldl within fifteen days after
the date of su~ch notice. Notice of the timne andl place of such In-
dustry M~eeting~ shall be sent by mail, at least t~en days! in advance
of such meetingr, to all mnemibe~s of the fIndustry whose nlames can
be ascertained by reasonablJee inquiry. Persons, in order to be eligible
for election to the Code Authlority~v shall be affiliated with some
mlember r of the Industry anld no mlember~l of t~he Industry shall have
mnore thlan onle representative on the Code~ Aut.horityT. Each member
of the Industry shall have one vote and votes mnaS be cast in person,
by p'roxy or by letter ballot,

(c) Pending the election of the Code Authorityintem nr
herein~above prscr~ibed, the Executive Conunlittee, of the inete Association
shall serve as n temlporary' Codle Authority.
(d) Each trade or inidustrial nasociation dlirect~ly or indirectly
participation in the selection or activ.ities of the C~ode Authority shall
(1) impose no inequlitable restrictions on mIemnber~ship, andi (2) sjub-
miit to t~he Admiinistrator tr~ue copies of its articles of association,
by-laws, regulationss, and any amn~endmients when madle th~ereto, to-
gether w~ith such other information as to mecmberrhip, organization,
and activities as the Adlministrator may d'eemi necessary to effectuate
the purposes of the Act.
(e) It. beingr found necessaryF in order to support the administration
of this code nd to maniintin thle standards of fair competition estab-
lished hereunder anid to effectua~te the policy of the Atct, thle Corde
Authority is authorized:
1. To incur such reasonable obligations as are necessary and proper
for the foregaoinga puirnposes nd to meet. suchl obligations out of funds
which may be raised as hereinafter provided and wFhich shall be held
in trust for thle purposes of the Code;
2. To submit to the Administrator for his approval, subject to
such notice and opportunity to be heard as he may deem necessary
(1) an itemiized budget of its estimated expenses for the for~egoing
purposes, andl (2) an equitable basis upon which the funds neces-
sary to support such budget shall be contributed by members of the
indust ry.
3. After such budget and basis of contribution have been ap-
proved by the Administrator, to determine and obtain equitable
contribution as above set forth byi all members of the industry, and
to that end, if necessary, to institute legal proceedings therefore in
its own name.
(f) Each member of the industry shall pay his or its equitable
contribution to the expenses of the maintenance of the Code Author-
ity, determined as hereinabove p~rovidedl, and subject to rules and
regvulations pertaining thereto issued by t~he Administrator. Only
members of the industry complying wFithi the code and contributing
to the expenses of its admninistration as her~einabove provided, unless
duly exemnptedc from making such contributions, shall be entitled
to participate in thle selection of members of the Codle Authority
or to receive the benefits of any of its vocluntary~ activities or to
make use of any emblem or insignia of the Nrational Recover~y
(g) The Code Authority shall neither incur nor pay any obligation
in excess of the amount thereof as estimated in its approved budget,
except upon approval of the AIdminist!rator; and no subsequent
budget shall contain any deficiency item for expendlitulres in excess
of prior budget estimates except those which the. Administrator
shall have so approved.
SECTION 2. In1 order that the Code Authority shall at all times be
truly representative of the Indlustr~y and in other respects comply
with the provisions of the Act, the Administrator may prescribe
such hearings as he mnay deem proper, and there after if he shall find
that the Code Authority is not truly representative of the Industry
or does not in other respects comply with the provisions of the A~ct,

be may require on appropriate modification in the method of selection
of thle Code Authority.
SECTIION 3. Thle Code Authority, when elected in the manner
pres~cribedl by subsections (h) and (~b), of section 1 of this Art~icle
V'I m~ay inlcorporate under the laws of' any State of the United
States or of the D~istr~ict. of Columi~bin. sulch corp~oration to be not for
profit aind to be konown as "C the Codec Aiuthor~ity of the Industrial
Oil-Burn:ing Equipmi-ent Manufacturri ng Industry "; provided that
thle powers, duties, objects andc pu~rpose~s of the said corporation, shall,
to th~e satisfaction of thie Administrator, e limiitedl to the powers,
durties, objects and purposes of th~e Cod~e Authioiity~ as provided in
this Codle; p~rovidedl further that the Code Author~ity shall submit
to thie Adminlnstrator,, for his approval, its proposed Certificate of
Incorp~oratio~n and proposed by-laws, and no amnendment of either
shall be mad~e: wcrithout the like prior app~rovanl of the Admuinistrator.
If at any time-~, thie Admninistrator shall dletermnine that the corporate
status assumled by the Code Authority is interfering with the proper
t~execise of its p~owerz s andl duties under this Code, or wFith the
effectuation of thle policies or purposes of t.he Act, he may, after
such notice andl hearing as he, may deem necessary, require an appro-
priate miodification of th~e structure of the Corporation (if consistent
w~ithi the law of the State of Incorporation), the substitution of a
corporation created uLnder the laws of another State in the same
manner as the existing Code Authority, the substitution of a non-
corporate Code Atuthority truly representative of the Industry or
such other actions as hle mayT deem expedient.
SECTIOx 4-. The Code Authlority shall have the following duties
and powers: to the extent permitted by the Act and subject to review
by the Administrator:
(a) To obtain from mnemnbers of the industry such information
a~nd reports as are required for the administration of the Code. In
addition to information required to be submitted to the Cobde Au-
thority, members of the industryr subject. to this Code shall furnish
such statistical information as the Administrator may deem neces-
sary for the purposes recited in Section 3 (a) of the Act to such
Federal and State agencies as he may designate; provided that
nothing in this Code shall relieve. any member of the industry of
any~ testing obligations to furnish reports to any Governmental
agency. N~fo individual report shall be disclosed to any other member
of the industry or any other party except to such other Govern-
mental agencies as may be ~directed by the Administrator.
()T~o represent the Industry in conferring with the President
orhi aents wmith respect to t~he admlinistration of this Ciode and
w~ith respect to the Act and any regulations issued thereunder.
(c) To insure the execution of the pr~ovisions of this Code and
to provide for thle compliance of the industry withl the provisions
of th~e Act.
(d) To adopt byv-laws and rules and regtdations for its procedure.
(e) To study the trade-practice provisions and the operation
thereof, and manke such recommendation from time to time to the
Administrator as it deems desirable for modification of or addition
thereto which, upon the approval of the President, after such hearing
as he may prescribe, shall become a part of this C3ode and have full
force and effect as provisions hereot,

(f) If the Admiinistrator shall at any tinue determined that a~ny
action of a Codec Author~ity or any agency thereof mayS be unfair
or unjust or contraryr to t~he public interest, the Atdministrator miay
require that such action be suspended to affordl an opportunity for
investigation of the mnerits of suich action andl further consideration
by such Code Aut~hority or agency pending final action which shall
not be effective unless the Admllinistrator aprllioves or' unless he shall
fail to disappr~ove after thi~ty (30) to proceed with such action in its o~rigina~l or mlodified formi.


The followring are declared unfair trade practices anid in violation

SECTION 1. Imlitationl of any15 trade manrk, tra~de namer package,
brand, model numbers w~ith or without lettersi code names, descrip-
tions, catalogrs, Cults or labecls of a competitor w~ith thle intent or hav-
ing the effectt of deceiv-ingc purchasers.
SECTION 2. Approplrinti~ng or attempting to appropriate ideas,
sketches, designs or dlrawsings, originated andc ow~ned by another
member in the Industry, without the own~er's consent., with the in-
tent or hav'ing the ete~ct of confusing, misleading or dece~iving pur-
chasers in reference to- the or~igini of the products.
SECTION ,3. The false mark~ling, brasndiing, or ranting of any' product
of the Indlustry which has the tendtency to miislead or deceive cus-
torners or prospective customers, w-hether as to the grade, quality,
cjuantity, substance, character, nature, origin, size, rating, capacity,
finish, or preparation of any product of the Industry, or otherwise.
SECTION 4. NO Inember of thle indlustry~ sha.11 defamie a competitor
by falsely imnputing to himi dishonorable conduct, inability to per-
form contracts, quesltionnable credt standing, or byS other false rep-
resentation, or by falsely dlisparaginga the grande or quality of his
SECTION 5. No mlemlbe'r of the indlustry shall give, permit to be
given or offer to give, anything of va~lue for the purpose of influ-
encring or rewa~rdingr tha nation of anyic emnl~ploee agnt._ or represein-
tativec of another in relations to the business of thie emnployer of such
employee, the principal of such agent. or the recpresentedl party,
without the knowledge of such employer, principal or party. This
provision shall not be construed to prohibit free andl general distri-
bution of articles commonly us~ied for advertising except so far as
such articles are actually used for commercial bribery~ as her~ein-
above defined.
SECTION 6. Inducing or attemplting to induce or being a party~ to
the breach of an existing oral or wsritten1 contract betw-een a comn-
p~etitor and his customer or source of supply, or interferinga wit~h or
obstructing the performance of any such contractual duties or
SECTION Ci. .No mlember of th~e industry shall offers or manke any
secret payment or secret allowance of a rebate, refund, commission
credit, unearned discount. or excess allowannce, whether in the form of
money o~r otherwise, nor shaill a member of the industry secretly
offer or extend to any customer any special service or privilege not

extended to all customlers~ of the same class, for thle purpose of
influencing a. sale.
Thle settlement of old accounts for less thani the full amiounit as a
consideration for accepting a proposal is prohibited under the
meaning~ of t~he above clause.
SECTION 8. (a) The use of premiiums in ways which involve comi-
mercia~l br~ibery in alny forml.
(b) lThe use of premniumns in w~ays which involve lottery in any
form. Thle term lotteryr "' shall b~e construled to include, but without
l.imitattion, any plan or whereb~y the p~remium offered
differs substantially in value fr~om cus~tomler t~o cust~omer of t~he same
clia~s except as a result of differences il quantities purclhased.
(c) Thle use of premiumns mn way~ which involve misrepresentation,
or fraud, or deception inl any formi, including, but without limnita-
t~ion, the use of the word "' free ", gift "~, gratuit.~y ", or language
of similar import in connection w~ith t~he giving of premiums for
the p~urpse or w~ithi the effect of miisleadling or deceiving customers.
(d) he ivingE of premiumns to anly customers when such pre-
mniumls are not. offeredc to all cusjtomlers~ of the same class in thle trade
SECTION 9. The lpulbihinlg or circularizing of threats of suits for
infringement of patents or trade marks or of any other legal p~ro-
ceedings not in good faith~, withl a tendcency or effect. of harassing
competitors or intiunidating their customers.
SEC'TION 10. Seccuring conifidential informiatioii concerning the
business of a comnpetitor by a false or' misleadling statement or repre-
sent~ationi or by a false imper~sonation of one in authority or by
bribery or by any other unfair miethodl.
S~EC'TION 11. NOb member of this Indrustr~y shall sell any combina-
t~ion of products, except repaI~ir andi replacement palrts, manufactured
by him, or by any owned or controlled subsidiary, at a price less
than t~he sum of his establish~led selling prices for all items included
in such combination.
SECTION 12. NO m1elllber of the Indlustry~ shall change any quota-
tion submrlitted, or accept an border at a price below the quoted price
unless a change is made in the specifications, and, in t~he event of
such change in any specifications, the price and terms of the new
quotation shall be determined in the samne manner as in thle original
ISECTION 13. The, sale or olffer of sale of any goods under any form
of guarantee to the purchaser against either an advance or decline in
t~he price of such goods.
Sacrlow 14. No member of the Industry shall withhold from oi*
insert. in any quotation or invoice any statement that makes it inne-
curate In any miater~ial particular.
SECTION 15. No member of the industry shall require that the
purchase or lease! of any products of thle Industry be a prerequisite
to the purchase or lease of any~ other goods.
SECTION 10). NO Ieneber of thle Induslrtry shall furnish or offer to
furnish any~ shop dlet~ail drawings to a purchaser or a prospective
purchaser other than those essential to the prosecution of the work
covered by a contract.

SECTIN 17. No member of the Industry shall sell his product sub-
ject to a warranty mzore favorable to thle purchaser than the
(a) No warranty to furnish parts to replace defective material or
w~orkmanship shall extend beyond~ one (1) yea'r froml datle of ship)-
ment or installation as: mayn be agreed upon.
(b) Replacemnent of defective muaterial shall be f.o.b. point -of
shipme~nt suzbjact to manufacturer's inspection.
(c) Foreign component par~t equipmentt wiarranty shall be limited
to thle warranty of its manufacturer.
SECTION 18. No member of the Industry shall makse a1 guarantee
of maintenance because of the imnpo~ssbility ofI defining andi~ main-
taining the conditions under which such a guar~ante~e caln htoneetly
be made.
SECTION 19. N~o member of the Industry shall accept a contract
containing a penalty clause eithier for performance of the apparatus
sold or for time of deliveryL, unless;~ the: contrnet shall also contain
a clauseF providing a bonus to~ the co~ntractor at thle samne raste as th~e
rate of p~enallty, except in cases where Ft~~ederl! State.: or Mt~u~icipal
laws necessitate other wise.
SECT'ION 20. NTo member of t~he Ind~ustry shall accept a conltra~ct
containing a clause providing for liqluidated d~ilamaes exettpt where
Federal, State, or 1I\lunicipal laws so necessitate.
SECTION 21. Wh'iere purchaser's specifications include a bonus clause
for performance, in excess of that guaranteed, no memnberr of the
Industry shall deduct fromn thle price any bonus or portion thereof
which he anticipates will be ear~nedl by reason of his obtaininig a bet-
ter performance than that gularanteed.
SECTIOx 28. WVhere purcha~ser'ss specifientions include a penalty
clause for performance, less than that guaranteed, no miembler of the
Industry shall make a guaranntee in excess of that which he expects
to obtain ant~icipatin~g the acceptance of a p~enalty as a basis for re-
ducinga t~he cost to the purchaser.
SECTION 23. .No member of t~he Indlustryr shall mlake any~ guarantee
of performance others thian to specify the range in pounds or gallobls
of fuel per hour and proper combustion thereof under proper fur-
nace, draft, andl other conditions which may b~e specified b~y th~e
manufacturer. No member of thle Industry shall proomise a hIig~her
guarantee than his previous experience lends him to believe he can
SECTION 2-1. NO member of the Ind~ustry shall make a dleptosit for
thle privilege of receiving plans and specifications and the opjpor~tu-
nityr to bid on a contract without an agrecementt b>y th~e issuer that
such deposit will be returned to said member of the Industryy wh~en
the contract has been awarded or when said plans andl specifications~
have been returned by said mnember to the issuler.
SECTION 25. No member of the Industry shall enter inito a written
or oral agreement with any person that one or more clauses of the
contract or the specification will not be enforced, thereby recePivingr
an unfair advantage over competitors.
SECTION 26. No member of the Industry shaUl purchased patents
from customers, their officers, engineers, or employees, for the pur-
jaose of influencing sales to such customers.

SECTION 21. No mnember of the Industrcy shall cause or permit any
conduct by any one, of his employees or agents which would con-
stitute a violation of this Code.
SECTION 1. The standards of fair competition for the industry
with reference to pricing practices are declared to be as follows:
(a) Wilfully detlcruc~tive price cutting is an unfair method of
competition and is forbidden. Any member of the industry or of
any~ other industry or the customers of eit~her mlay at any timue coml-
plain to thre Code Authority that anly price at. which products of
this industry have been sold constitutes unfair competition as de-
stnrutive. price, cuitting, imperilingr small enterprise or tending toward
monopl or t~he impl-airmnent of code wages and working conditions.
The oe Authority shall within five (5) days afford an opportu-
nity to the memnber filingtepiet nwe uhcmlm n
shatll wcith~in fourteen (14) days! make oa rlng or adust cmelnt thren.
If such ruling is not concurred in bly either p~ar'ty to the complaint:
all papers shall be referred to the Resear~ch anld Planning Division
of N. R. A. which'I shall r~ender a report andl recommendation thereon
to the Admninistrator.
(b) When. no dleclared7 emnergency exists as to any given product,
there! is to be no fixed mlinimumur basis for p~rices. It. is intended that
sound cost estimanting methods should be usedl and that consideration
should be given to costs in the determination of pricing policies.
(c) W\hen an eme~rgency exists as to any given product, sale
belowr the stated mlinimnum price of such product. in violation of
Section 2 hereof, is for~biddlen.
SECTION 2. EIm4~ergency Prov~~~cisis.-( a) If the Admlinistrator,
after investigation shall at any time find both (1) that an emergency
has arisen w~ithinl the industry adversely affecting small enterprises
or wFpages or labor conditions, or tending towardl monopoly or other
acute conditions which tend to defeat the purposes of the Act; and
(2) that the determination of the stated minillmumn price for a spec-
ified product within the industry for a period is necessary to mitigate
t~he conditions constituting such emnergency and to effectuate t~he pur-
poses of the Act, the Code Author~ity mnay cause an impartial agency
to investigate costs and to recommend to thle Admninistrator a deter-
mination of the stated minrimum price of the: product affected by
the emergency and thlereupon the Administrantor mnay prIoceed to
determine such stated miinimum price.
(b) When the Admninistratorl shall hav~e determined such stated
minimumm price for a specified product for a stated period, which
price shall be r~easonalbly calculated to mitigate the conditions of
suchn emergency and to effectuate th~e purposes of t~he National Iri-
dustrial Recovery Act, he shall publish such price. Thereafter, dur-
ing such stated period, no member of the industry shall sell such
specified products at a net realized price below said stated minimum
price and any such sale shall be deemed destructive price cutting.
]From timne to time, th2e Code Author~ity may recommend review or
reconsideration or the Administratolr may cause any determinations
hereunder to be reviewed or reconsidered and appropriate action

SECTION 2. eost Finding.--The Code Author~ity shall cause to be
formulated methods of cost finding and accounting enpuble of use
by all members of the industry, and shanll submit such miethod~s to
the Administrator for review. If approved by thle Administr~ator,,
full information concerning such mecthodl s shall be ma~de av\ailable
to all members of the indlustr~y. Thereafter', each member of the
industry shall utilize such methiods to the extent found practicable.
Nothing herein contained shall be construed to p~ermiit the Code Aun-
thority,? anyr agent thereof, or any Inmemer of the industryS to sug-
gest uniform additions, perce~ntages or differentials or other uniform
items of cost which are dlesiigned to bring about arbitrafry unliformllity
of costs or prices.

SEcTION i. Thlls Codle and all thle provisions thereof are exressly
made subject to the right of the Preside1nt, inl acco~dance it the
prov~isionis of subsection (b) of Sjection! 10 of thle A~ct, from time to
time to exncel or miodify any order, appr~oval, license, rule, or regrula-
tion issued under Title I of saidl Ac~t andl specifically, but without
limitation, to the right of the Presidenlt to ex;lcel or mlodify his ap-
proval of this Codle or any -ondlition impo~csed~ by him up~on his
aIpprovanl thiereof.
Section 9. Such of thle provisionls~of this C'ode as are not required
to be included herein by the Act may,! withl thle appoval of the Ad-
mzinistrator, be modified or climinatedl inl such manner as ml-ay be
indicated by the needs~i of the public, by~ chalnges in circumnstances, or
by experienced. All the p~rov.isions of this Code, unles-s so modified or
eliminated, shall remnin inl effect until June 1C, 1935. Ther Codle
Authlorityv may make r~ecommllen datio~n s for muodifica.tioiis;.
No p~rovision of this Codle shall be~ so applied as to p~ermiit monop-
obies or mnonopohistic practices, or to eliminate, oppress, or d'iscrumil-
na~te against small enterprises.
Thiis Code shall become effective on the tenlth (10th) day after its
approval byr the Presidlent.
ASpproved Code No. 4903.
Registry No. 1125-04~.