Supplementary code of fair competition for the radio wholesaling trade (a division of the wholesaling or distributing tr...


Material Information

Supplementary code of fair competition for the radio wholesaling trade (a division of the wholesaling or distributing trade) as approved on April 21, 1934
Portion of title:
Radio wholesaling trade
Physical Description:
10 p. : ; 24 cm.
United States -- National Recovery Administration
U.S. Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Radio supplies 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. 1327-3-03."
General Note:
"Approved Code No. 201--Supplement No. 7."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004946236
oclc - 656547558
System ID:

Full Text





For sale by the Superintendent of Docum~ents, Washington, D.C. - Price 5 centa

Approved Code No. 201--Supplement No. 7

Registry No. 1327--3--03

(A Division of the W'holesaling or Distributing Trade)






~This publication is for sale by the Superintenldent of Documents, Government
Printing Office, Was~hington. D).O., and by dist rict- offies of the Bureau of Foreign
and D~omestic Commoerce.
Atlanta, Ga.: 504 Post OfficeP Buildling.
Birmingham, Ala.: 1257 Federal Building.
Boston, Mass.: 1801 Custumbouse.
Bulklou, N.Y.: ('hambller of Commeree Building.
i'larieston, 8.O.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North W\ells Street.
('levelanrr. Ohio: Chamber of Commerce.
Dallas, Tex.: c'bombe~r of Commerce Buildling.
Detroit, Iic~h.: 801 First Natiolnal Balnk Buildling.
Houston,. Tex.: Chamber of Commerce Buildling.
.Indlianapolis. Ind.: Chamber of Commerce Building.
Jack~so-nvi~lle Fla.: Chamber of Commlerce Building.
Kansas Cit', M~lo.: 10t28 Baltimore Avenrue.
Los Ang~elcs, Calif.: 1168 South Br'oadwa'iy.
ILouisville. Ky.: -IOS F'ederal Buildingl.
Mempihis. Tennl.: 229 Federal Buildling.
Minneapolis, MIinnl.: 2;18 Federa:l BluildingL.
NSewP Orleans, La.: Rooml 225j-A, Custllmblouse.
New Yloil; N.Y.: 7341 cuatonlhouse..
Norfolki, Va.: -Ill( East Plume Stree~t.
Philmllrlelpia, Pa.: 422 Commxercial Trus~t Buildling.
P-ittsbuargh. Pa.: Chanmberr of Commerc~e Buildling.
:Portlanld, O~rrg.: 21-5 New Post Office BulildingS.
St. TLouis, Mol.: -'Olj Oliv~e Street.
SSan Fralc~isco,, Calif.: 3110 Custombouse.
Seattle, Wa~sh.: SU'3 Federal Oficle Buildling.

Approved Code No. 201--Supplement No. 7



As Approved on April 21, 1934




An application having been duly madce pur~suanit 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 Supple
mental Code of Fair Competition for th~e Radio Whlolesaling Trade
to the Code of Fair Comnpetition for the Wholesaling or Distributing
Trade, and hear~ingrs hlaving been dluly held ther~eon andi thle annexed
report on said Supplemnental Code, containing findings w~ith. respect
thereto, having been made andi directed to the President:
NOW~, THEREFORE, on behalf of the President of the Unitedi
States, I, Hugh S. Johnson, Admiinistrator for Industrial Recovery,
pursuant to authority vested in me by Executive Ordlers of the
President, including Executive Order No. 6543-A, dated December
30, 19333, and otherwise; do hereby incorporate by reference said
annexed report and do find that said Sup~plemental Code complies
in all respects with the pertinent provisions aind will promote the
policy and purposes of said Title of saidl Act; and do hereby order
that said Supplemiental Code of Fair Competition be and it is hereby
app roved.
Admiinistlrator forl Indusctrial Recovery.
Approval recommended :
H. O. KjING,
Divlision Admnzinis~trator.
April S1, 1934.
54395"---482--140-34 I1


The TY Aite Hclouse.
SmR: Thlis is a reports of the HFenaring onl the Supplem~ental Codle of
the Radio Wvlholesaling Trade to thle Codle of Fair Competition for
t~he W~holesaling or D~ist~ributingc Trad~e conducted in Roomn 2062-66,
Commrerce Buildling, on. February 24, 1934~. "The Supplemnental Code
which is aIttac~hedl was prlesented3 by duly quanlifiedl and authorized
rIepr~esentatives of the Trade, complying withl the statutory require-
ments, said- to rep-reselnt 56 percent in num!lber and 7i6 percent in
volume of the Trade w-phich could be includled -in thlis C'ode.


Available census figur~1es do not specifically classify the Radio
WF~holesale business as such. According to staltist~ics furnished by
mnemlbers of the Tradec, there ar~e appr~ioximately 500 concerns en-
gaged in it. Their total annual sales in 192>9 amounted to approx-
Imately four hundred and twrenty-five million dollars, and in 1933
to seventy-fi~ve million. dollars. The Trade employs about 4500

Since this Code is supplemental to thne General Clode of Fair Com-
petition for th~e Wholesaling or Distributing Trade, it contains no
labor provisions.
The provrisions colntiningT supplemental definitions are inclusive
andl necuraite
The suppllemtent to the administrative pr~ovisions, establishes a
Divisional Codte Auithority for this Tradc~e, which is fairly and ade-
qua"tely repr~esentative of t~he dliffere~nt elements in the T'rade. Ac-
cordingr to the most neculrate available statistics. the Radio WThole-
salers Association contains among its miemblership or is authorized
to represent, in the administration of the Code, 156 percent of the
total number of c~on~cer~ns in the Tradel. Its memlber~s sell approxi-
mately 76 percent of the total volumer. The selection of nine repre-
sentatives of thle Codec Authority by the A sociatio~n and three repre-
sentatives by non-mnemblers of the AIssoc~iation, therefore, seems to be
The Trade P~ac~tice rules conlta-ined~ ini thie Sup~pleme~ntan l Code are
not in any respect objectionable aInd are dlesigned to promote fair
dealingr in the Tradie.

The Deputy Administratorl in his final r~epor~t to me on said Code
having found as hereinl set forth and on the basis of all the proceed-
ings ini thnis matter;

I find that:
(a) Said Code is well designed to promote the policies and pur-
poses of Title I of the Nat~ional Industrial Recovery Act, including
remio\al of obstructions to the free flow of interstate and foreign
commiierce which tend to dimlinish th~e amount thereof and will pro-
vi;de for the ge~neral welfare byl promoting t~he organization of indus-
try for thle pulrpose of cooperativer action among thle trade groups, by
inducing and manintaininga united action of labor and management
under~ adequate governmentall sanctions and supervision, by elimni-
nating unfair comnpettitive practice, by promiotinga the fullest possible
utilization of the present productive capacity of industries, by avoid-
ing undue restriction of production (except as miay be tem~porarily-
required), by increasing the consumption of industrial and agricul-
tulral products through increasing puirchasing power, by reducing and
relieving unem ployment, by implroving standards o.f In bor, and by
otherwise rehabilitating industry.
(b) Said Trade normally employs not more thnni 50,000 emlployees;
and is not classified by me as a major industry.
(c) The Code as approved complies in all respects with the
pertinent provisions of said Title of said Act, including without
limitation Subsection (a) of Section 3, Subsection (a) of Section 7,
and Subsection (b) of Section 10 thereof; and that the applicant
group is a trade group truly representative of the aforesaid Trade;
and that said group imposes no inequitable restrictions onl admission
to membership ther~ein.
(d) The 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 them.
(f) Those engaged in other steps of the economic process have
not been deprived of the right to be heard prior to approval of said
For these reasons, the Supplemental Code has been approved.
Respect fully,
APaRL 21, 1934.




TIo further efflc.tua~te~ the p~olicieis of Title I of the~ National In-
dustrial Recovery Ac~t, the following p-rovisions ar~e establishedl as a
Suplplemlentnl Code of Fiair Comnpeitition for thie Radiio W~holesaling
Trade to the Code of FEair Co:mp~etition for the WVhole~saling or Dis-
tr'ibutingb Tradle, as prov-i~led by Atrticle 'VI,: Sctionl 1 (c) thereof,
and such supplemnlrtal Ctrde shall be consliderdc as a part of and
in connection w~ith said Code for thle Wh~olesaling or Distributing
Trade; and both Codes shall be bindting upon~r every? mlembller of such
Radio Wh~lolesaling TIrade.


Supp)~lementllfingr Article II1 of thne Gl~lelnel Code.
(a) Th'le termn Rad~io App~aratus ", as usei~d hlerein, refers to
Rado RceiingSets, Television Receivers, Radio Phonograph
Cominaio l~eevns, 1 PhonorallphsG empnlr yi ng YacuumI11 Tubes, Vacuum
Tubes, andlc ncess~~orcies and parts usedc~ independentlycntl or integrally
with all types of slc~h R~ccivers and Combinlations.
(b)k The term. "'wholesaler' or "dri tributor"~, as used herein,
is (lefined but without limiitation, as an indrivid'ual, association, part-
ne~rclip', corporations! or o~ther firm~, or a delfinlitely organized division
thlereo~f, definitely orglanize] t-o render and- rcndcrin g a general
wholesalee distributionl service andl malintaiingr and operating a
wholesale warehouselsc service, who is engaged in thle business of sell-
Ing Radio Aipparaftist through salesmen. adver~tising and/or sales
promoction devices at wholesa~;le, principanlly to Jenlers for resale to
ultimate cc.n.sumers;~; but does not sell in signlifiennt amlounts to
ultimaite co~l~nlcsumr
(c) The telrml thne Tradlce ", as usedT herein, is d~efinetd to mean the
business elbngaedl in b~y wholesalerls or dlistrib~utors as above defined.
(d) The term deatller ", as used her~ein is dtefined, but without
limnitationl, as an individual, association, parltnlershipp corporation, or
othler filrml. or a definitely, organized dlivisio~n th~ereof, operating as a
retailer of Rad~io Appanratus~ sllingr direct to the ultimate consumer.
(e) The "' Radio Wholesalers Association, Inc.'", hiereinafter called
the R.W.,A., is defined to be the National A~ssociation of Radio Dis-
tributors which is sponsr~ingnr this Supplemecntal Code.
(f ) The term District Agrency ", as used- herein, is a body author-
ized by the D~ivisional Code Authority to represent it in the various
geographic districts in the manner provided in ~Article III.

(g) The term Divisional Code Authority ", as used herein, shall
mean the Divisional Codle Authority for the Radio Wlholesaling
Trade, a division of the Wholesaling or Dist~ributing Trade.
(h) The term General Code ", as used herein, sha11ll mean1 the
Code of Fair Comnpetition for t~he W~holesaling or Distribuhtingr Trade.

Supp~lemnentingr Article VI, Section 2 (e) of the General C[odle.
SECTION i. Divikionaul Code Au Ithority M~em~lbership~i .- (a) The
Divisional Code Authority shall consist of twelve mlemlbers of the
Trade: one (1) to be the President of the R.W~.A.; one (1) to be
the Executive Vice President. of the R.WV.A.; seven (7) to be chosen
by the Board of Director~s of the R.WV.A. to rep~resenlt its members
in various geographical sections of the country; and three (3) memn-
bers to be chosen from members of t~he Trade who are not members of
the R.W'.A., in a manner to be approved by the Admlinistrator.
(b) The Alemb~ership of the Divisional Code Authority miay be
increased or contracted, with the approval of the Admninistrator,
upon the recommendation of the Divisional Code Authority that the
geographical subdivision of the country requires such r~ea-djustmlent.
(c) The Admninistrator, or the Board of Directors of the R.WV.A.
with the approval of the Administr~ator, may remove andl replace for
non-feasance, malfeasance, or nxzisfeasance in office such members
of the Divisional Code Authority wh~om it previously chose and
SECTION 2. Powers and D~utie8.--The Divisional Code Aut.hor~ity
shall have the following duties and powers in addition to those stated
in the General C~ode:
(a) To elect officers and to assign to them such duties as it may
consider advisable; to appoint subcommittees; to providhsil e rues fr it
own procedure; to organize District Agencies whhshlberp-
sent~ative of members of the Trade in such geographical sections of
the country as it may designate, and, with the approval of the
Administrator, delegate thereto such powers and duties as it deems
necessary for the proper administration of this Code, provided that
nothing in this subsection (a) shall be construed to relieve t-he
Divisional Code Authority of any of its duties and responsibilities
as such.
(b) To cooperate with the Administrator in regulating the use of
the National Recovery Administration Code Insignia solely by those
members of the Trade. who are complying with this Supplemental
(c) To initiate, consider and make recommendations for the mod-
ification or amendment of this Supplemental Code.
(d) To appoint a Trade Practice C'ommiittee which shall meet with
the Trade Practice Commiittees appointed under such other Codes
as may~ be related to the Trade, except other Supplemiental Codes
governing the several divisions of thie WVholesaling or Distributing
Trade, for the purpose of formulating fair trade practices to govern
the relationships between production and distribution employers
under this Supplemental Code and under such others to thle end that
such fair trade practices may be proposed to the Administrator as
amendments to this Supplemental Code and such other Codes.

SECTIION 3. Administrative Reviewo.-If the Ad.m~inistrator shall
determine that any action of the Divisional Code Authority or any
agency thereof may be unfair or unjust or contrary to the public
interest, th Administrator may require that such action be sus-
pended to afford an opportunity for investigation of the merits of
such action and further consideration by such Divisional Code
Authority or agency, pending final action, which final action shall
not be effective unless the Adlminist~rator approves or unless he shall
fail to disapprove after thirty days' notice to him of intention to pro-
ceed with such action in its original or modified form.
SECTION 4. Lianbility of Divisional C~ode Aul~thori'ty.I-Not~h i n
contained in this Code shall constitute the members of the Divisional
Code Authority partners for any purpose. Nor shall any member
of the D~ivisional Code Authority be liable in any mianiner to anyone
for ny at ofanyother member, officer, agent, or employee of the
Divisional Code Atoiyeecsn esnbedlgnei h
conduct of his duties hereunder nor be liable to anyone for any action
or omission to act under the Code, except for his own willful mis-
feasa nce or nonlfeansance.
SECTION 5. Di.strictf A-genrcies.--(a) District, Agenlcies shall con-
sist of nlot less than, three members of the Trade operating within
each trading area involved. The same proportion of members of the
Trade not members of the R.W;.A. shall be selected to membership
in each District Aigency as are on the Divisional Code Authority,
provided that at least one~ non-memlber of the R.W~.A. shall be selected
to membership in. each such Agency and provided, further, that
this provtision shall not prevent adjusting the selection of a District
Agaen in such a miannier that it shall be representative of the mem-
bers o thze Trade in a particular district where a representative
number of such members of the Trade may not be members of the
Radio W~holesalers Association.
Ib) In a~ny instance where a member of a D~istrict Agency is the
ob-ject of invesrtigat~ion or complaint, the other agency members shall
choose a substitute to act in his stead.


Sulpplementzfing Artile VII of the General Code.
CEC'TION iStbblerfWrfle.- It Sha~ll be an unfair trade practice for
any member of the Trade to employ subterfuge, dlirectly or indi-
Srectly, to avoid or attempt to avoid the provisions of this Ciode or
the purposes and intent of the National Industr~ial Recovery Act,
which are to increase emplloyment, provide better wages, promote
fair competitive methods, better business conditions, and promote
the public welfa re.
SEcn~ow 2. Prot~ction~ to Dealere. -Members of the Trade shall
not discrimninate, directly or indirectly, between dealers in services
rendered or in discounts or net prices extended; provided that noth-
ing herein shall prohibit quantity discounts.
SECTION 3. 081t and Prie Provisions~--
(a) .Selling Belozo Cost.--It is considered an unfair method of
competition and inimical to best public interest for any member of
th~e Trade to sell any item below cost except as permitted in para-
graph (b) of this Section. Cost, for the purposes of this Section,

shall be the net invoice pu~rchase price, plus transportation charges
to the wholesaler's warehouse, and, when ascertained by the Admin-
istrator, upon thle recommnendation of the Divisional Code Authority,
to include a reasonable amount for dlirect labor costs entailed in the
sale and delivery of the merchandise and the collection of accounts by
the member of the Trade.
(b) Dr~opped Lin)es.--Dropped lines or surplus stocks, sometimes
designated as "; closeouts ", held by any member of the Tr~ade, or in-
ventories which mnust be converted into enshl to meet immediate neds,
may be sold at such prices as are necessary to mov.e these stocks
into buyers' hands. However, all such stocks must first be reportedly
to the Distr~ict Agency at least two weeks prior to t~he oflFer of sale,
listing the descriptions, quantities, andr minimum acceptable prices
of such stocks and reasons for such sale. The member shall certify
that he is acting in good faith. The District Agency shall act upon
suchi report within one week after its receipt and shall approve the
sale unless it finds that. thle same will not conform to any one of
the conditions of this paragraph, in which event it may recommend
disapproval of such sale to the Divisional Code Aut~hority. If the
Divisional Code Aulthority' shall disapprove the findings of such Dis-
trict Agency, it. shall at once notify the member of the T1rade and
the District Agency that such sale may be made; if the D~ivisional
Code Authority approves the finding of the District Agency it shall
recommend the disapproval of the sale to the Administrator. T~he
Administrator, acting upon such recommendation, mayr order the
sale prohibited. If the proposed sale is not. prohibited bry the ArSd-
ministrator before the date scheduled for the sale, the member of
the Trade shall have the right to proceed to sell such stocks in
accordance with the terms of the report originally filed. Such
stocks when sold shall be plainly and completely described in the
invoice and, or advertisinga as to its closeout character.
(c) Termls andc CaslJh Disco unlts.-T'erms of sa le shall not be more
favoranble than 2C' as a cash discount (except when anticipated), or
net 30 days.E from the date of each invoice. The date of each invoice
shall be the shipment da~te. The cash discount period shall be fixed
by each District Aoency for its District and filed with the D~ivisional
Code Authority, which may, with the approval of the Admlinistrator,
upon review, secure revision of any period so fixed. No cash dis-
count shall be granted after the time so fixed shall have expired or
where payment is made by any instrument t~hat does not, maature
within the cash discount period. Nor shall any added discounts
greater than 6%b per annum be allowed for anticipation of pay-
ment, nor where the customer owes an unpaid balance unless the
whole of such balance be disputed in good faith. Where settlement
is made in the form of notes or their equivalent, interest shall be
charged at the rate of 6%i per annum from the net due date. Pro-
vided, howrever, that in both the above cases if t~he legal rate of inter-
est in the State governing the contract be less, such rate shall apply.
(d) Filinlg of Pri'ce Sch~d~ules.--Should any District Agency find
that a two-thirds majority of all the members of the Trade in its
district desire to file their Price Schedules, the District Agency shall
require all of the members of t~he Trade operating in its district to
file with it their Schedules of prices, discounts, terms, and all allrow-

ances, setting forth a. snpecfic date fo-r sucrh Siling Such schedules
shall become effective upon the dlate of filing fixed by the District
Agency which shall in-unedliately ma7ke such schedules available to
all members of the Trade in that District ande to such~ other inter-
ested parties in that district as mlayr request theml andl pay t.he cost
thereof. Any member of the Trades mlay revise his sc~hedu~les by
filing such revision with the Distr.ict. Agency! in w~rit~ing, wThereupon
sulch revt~ision shall become effective immlediately andl notice thereof
$ven to all m~embers of the Trade in that District and to such other
interested parties as may request thlem andl pay the cost, thereof. It
shall be an unfair trade practice for' an, memibler of the Trade to sell
or offer for sale goods at prices lower than those which he then has
on, file.
(e) Rebates or Subsidi-es.--A memnbrr of the Trade shall not
directly or indirectly, offer to pay pr~enluums, bonuses, or subsidies,
nor pay any of the operating expenses of a dealer's business; nor
pay the salaries, wages, and/or commissions of a dealer's employees;
nor pay any bonuses or compensation to a dealer's salesmen for the
purpose of having the dealer or dealer's salesmen favor or push the
sale of any specific products over those of a1 competitor; nor furnish
the services of its own emlployees for the purpose of relieving the
dealer of the expense of similar employees as a subterfuge or rebate;
nor pay for local dealer advertising and, or sales promotion plans
beyond the amount set forth under Sections 4 and 5 of this Article.
SECTION. 4. Bales Promzotion P~lans.--Any member of the Trade
mzay carry out any legitimate sales promotion plan involving prizes
(other than money) to his dealers' sales organizations provided
that the plan is available on equal terms to all of hris dealers and
dealers' employees, in an area within a particular district; provided,
h~oweer, that the amount so expended by the mnember of the Trade
for such sales promotion plan shall not exceed 1% of his total net
sales to his dealers on radio apparatus within t~he current fiscal year
of the member of thie Trade.
SECTION 5. Cooperative A dver~tisin g.-S subject to the li mitations
herein provided, members of thle Tr~ade may cooperate w~it~h dealers
in the use of local advertising:
(a) A~llowances.--A distributor shall not contribute to the cost of
cooperative .ma nufactu rer-d istributor-dealer ad vertising in an amount
in excess of the amount contributed by the dealer or the manufac-
turer, nor shall t~he contribution by t~he dlistributor in such arrange-
ments be more than one-fourt~h the total cost, of such advertising,
regardless of the amount of the mlanufacturer's contribution, pro-
vided that nothing in this paragraph shall be construed to prevent
cooperative advertising arrangements betweenl distributors and
dealers, but the amount so expended byr the distributor shall not be
greater than one-half of the dealer's cost of such advertising; p~ro-
vided, further, that not more than a total of 21,15% of a distribu-
tor's total net sales of radio apparatus to his dealers for his current
fiscal year shall be expended for both types of such cooperati ve
Members of the Trade shall require of all dealers taking advantage
of the coopera~tive advertising plans, A proper written statement cer-
-tifying to the correctness of the dealer's advertising rates as being the

fair current contract rate. Allowances paid by the member of the
Trade for such cooperative advertising shall be based only on certi-
fled~ statementse coveringr actual cost of broadcasting, or of the actual
space used in newspapers, publications, billboards, placards, theatre
screens, or other customary public media. The cost of any mechalni-
cal set-up and art w~ork as well as cuts, make-ready, or other simiilar
items, other than standard advertising mnats or cuts supplied by the
manufacturer, shall not be paid for by the member of the T~rde.
(b) Fiing.--Each District Agency may require the members of
the Trade operating in its district to file their current cooperative
advertising agreements with dealers, and any changes shall be filed
prior to effecting such mod~ifications. C'opies shiall b.e avaRilable to
other members of the Tradt e upon r~equest.
(c) A ppro vals.--Every mnember of the Tra de shanll hia ve thle right
to supervise all advrertising done under his coop~erative advertising
agreements as to medlia, layout andl copy.
(d) C'ooperativ~e An Iticipuat I~ions.- Wh\ ere a lea lel rl anici pates his
cooperativet advertising accr~uals, the memlbe~r of the Trade~ shall not
accept the liability beyond the actual acernals agains~t. genuline pur-
chases shipped andl inv\oicedl within a period of time p~reviously
agreed uipon, but not to exceed thle immediately follow\ingr six con-
secutive months. Oer-expenli tu res by the dlealer beyond t he act ual
amount available in the specific plan the member of the Trade is
following, s~hall not be paid by the member of th~e Tradle.
(e) Rulles of Fa~ir A~dv~ertisising-It shall be an unfair tradle prac-
tice for any member of the Tr~ade to contlributee in any manner to
cooperative advertising of hiis products which does not c!onform with
the followings rules:
(1) Tubes being an essentiall ncctssaory to a Radc-io Receiver, all
such adv\ertisemnents of R d io Sjets sh all speci fy thIat t he price if
quoted, includes a complete set of tubes. The bran31d of su1ch tubes,
where: they are other than the tubes originally sup~pliedl with the
receiver by the manufacturer, shall be namred. Thle wTordc c~omllete "
used in connection wTithl a receiv'ing set advertised at a specific price
must mean that all tuibes andl other actsnecessore necessary) for the
operations of the set are includedtl except outside neriail or the installa-
tion thereof.
(2) WVhere an advi~ertisemnt containss an illu traution!l, thle illustra-
tion sh~lall correctly por~tray the mnodel adver~tisedl, and thet pr~iee (if
quoted) and the descr~iption o~f suich model shlall be corretctly sett forth,
and by their priominence and location shall clearly apply to the
appropriate illustration.
(3) No materially inaccurate mnisleadingi statemenits, or amnbiguous
statements regarding radio petrfor~mance claims, amount of trade-in
allowances, down payments Or terms, or false reference to no
interesit charges oninstallmnent sales sh~all be used~ in any
ad vert isemen ts.
(41) These Rull'es of Fair Adlvertis~in g shall apply to, biut without
limitation, newspaper and periodlical advertising, wlindow signs and
displays, banners, circular matter,! posters, broadcasting, and anly
other type of advertisingr.
SECTION 6. ConswUnwrl and~/ Direale Service.--No member of the
Trade shall render any service which should ordinarily be rendered
by the dealer without charging t~he dealer a reasonable price therefore.

On. new melrchandises which is found to be dlefective or whier~e error
has been. made in designr or mnllufactur~e, th~e distr~ibutor shall givle the
dtneale the benefit of thne mlanu factur~er's standard warr~lanty, and, in
addition the~reto, whatever provisions the mnanulfacturerl makes for
additional compensation and/or epenses~ coveringr thle r~eplacemlent
of such dlefective parts or appar~atus~.
SECTION 7. VYGCuAm.I Tzcbe Xale8.--The 191visiOn91 ('000 :Allthor~itV
within 90 days fr~om the effective date of this Supplemental Codie
shall make recconunenldations pertanin gli to the regu~latio ns goverlning
the distribution and sale of tubes by mTemlber's of thle Tr~ade, which
the Admin~istrator Inuy approv'\e after suchh notice andi hearing as he
shall specify.

This Supplem~ental Code shall become effective on thle tenlth day
after its a~pproval by the Administr~ator.
Approved Code No. 201-Supph-nwntl'll No. 7
Regist ry No. 1327---0



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