NATIONAL RECOVERY ADMIN6ISTRATIO)N
COD~IE cOF FAIR COMP~FETI[TION
VTEQGETABLE IVOReY BUTTON\
UNIV. OF FL LLI.
orF sale by the Superintendent of Documents, Washington, D.C. - Price 5 cents
Approved Code No. 461
Registry No. 1612-1--03
AS APPROVED ON JUNE 9), 1934
WE DO OUR PART
GOVERNMET PRINTING OFFICE
This publication. is for sale by the Supe~;~rintendentt of D~oculmpents, Gover'nmentl
Printing crffice, Washincllon.l~l D.C., alnd by district offices of thet B3ureau of
Forcign andt D~omestic Comumere.
DIjSTRICT OFFICES OF THE: DEPALRTMEiNTP OF COMMERCE
Atlanta, Ga.: 504 Post Gaiicve 'uildling.
Birminghamlu, Ala.:257 Fedl-ral Unilding.l
B~oston, Mass : 1::0:1 Custombouse.
Buffalo, N.Y.: Chamber of Comamerce HZuildling.
('1halt inton S.C.: Chamber of Commerce BIuihrlingr.
Chic.:go>, Ill.: Suite 1'706, 2101 Northn Wrells Streect.
Cleveland, Ohio: Cha~mber of Commerce.
D~allas, Tlex.: Chamber of. Commerce Daiblhing.t
D?11roit, MIlh.l : 801 First; National Bankr Unlibling~.
Houston, Tex.: Chamber of Commerce Un~iblinlg.
Tl;In~Diarplih, IndI.: Chambe3r of Commerce IBuibling..
Jacksonville, Fla.: Chamber)1'1 of Comnmerce Buih:i~lngl.
K~ansas City, Mol.: 1028 En~ltim~ore ABvenlue.
L~os Angeles, CaIlif.: 1163 South B~roadwlay.
Louisville, K~y. : -10-4; Fe' dec; al B3uilding.
Ne'w Odr(~llns, La.: nllRoo 22j-A~, Cus~tomnbouse.
New; York, N.TY.: 784 ('ustomhou e.t
Norfoflk;, Va.: 406 I:ast Pllunw Street.
Ph ilader~lllhn.. Pa.: -122 Comlnwreal~r n Trust Buailding.
Pittsburgh!. Pa.: Chambel~cr of Comzmere .Iuilding~.
Por~thod,1 Olreg.: 215 Snew PEost Of~lic.c Unil-ling~.
St. Lnui, IMo.: 51:IC Olive Street.
San F''ran.isro, Calif.: 3110 C11tomhollcuse.i
Senttle, Wa~sh.: 800 Fe~d--ral Officei 13uildingi.
Approved Code No. 461.
CODP)E OF~ FAIR COMaPETITIOBN
VP)EG~ETAB~I~LEt~ IVORY ~BBUTTON~P MCANUF~~C ACTURING
As Approved on June 9, 1934
CODE OF ]EAIR COMPETITION FOR THEF VIEIGETABLTE IVORY BUTTON
_1LINUFAPCTURING I N USTHY7
An application having been du~ly matde pursuant to and in full
comnpliancee with the provisions of Title I. of thle National Indus-
.trial Re~~coveryII Act, app-rt(lced June 16, 1933, for approval of a Code
of Fair Comrpetition for the Viegetable Ivory Button Manufactur-
ing Industry, and helar~ings having been dluly~ held th~eron~ and the
annex~ed report on said Code, containing findings with respect
thereto, having been made and directed to the Pres~idenlt.
NOW, T'HEREFORE, on behalf of the President of the United
States, I, Hugh? S. Johnmson, Admtrinistrator for I~ndustrial R~coverytl~,
p'ursuan"t to authority vcestedr in me by Executive Orders of thne
IPresidtlent, inl~rc~iludi Excu~tive~ Ordier No. 6543-A, dated Decem-
ber 30, 1933, and otherwise; do hereby incorporate by reference~.'t said
annexed report and do find that said Code comprlllics in all respects
with t~he pertinent; prmcl-isio~ns and will promote the policy and pur-
poses~~ of said Title of said Act; and do hereby order thlat said C3od~e
of Fliair Competition be and it is hereby~l3 approvedc~c.
HUanE- S. JOHNSON,
Adlli,;i;;frator for ITl~llestria/l7 RcoeryUl~ .
Approval recommended :
SOL A. ROSENBLATT,
Junze 9, 1.c34..
6633?"-- 0.57,-70---34 (26g)
REPIOIRT TOr TH'IE: P.RE:SIDEN'T`
Th~e W~thit~e Houilse.~
Sm~: The Public Heacrring on the Cod~e of Falir Competitio nl for
the Vegetable Ivory B~utton Malrnu~factur~~~ing Indus~ltry as proposed
by the Vegfetable Ivory 3ut-ton MaIni l~f :v-t l u ers Ass!neion tin was
codcllll.tc. l in the Manyflow~er Hotel, W3a-llhfleto, D.,C., on Orctober
Every penan~l who requestedl~~' an app~earan~c~e \v:.< fairly~ hcar~d in
eaccorda~~nce~ with the regulations of the Naltine Heovr Ahins
tra;tio~n. TIhe Clode has the ap~prov.! of theLc Ilndurstr~ial, Colneuners'~;;
and. Labor Adlvisory Boanrds of the Nat~tionral Recovery Admlninistra-
tion, a~nd of th~e hea~~l D~ivision. The! Charil~rman of thne Code Comr-
mlit~tee, upon thei noithorcrization of the Conunitteet has( also( given ~his
approval to the final draft of the Codle on behalf of the Indust~ ry.
The Indus~try3 as dtefinedl in the Code, includes the mal;nufalcturei of
blaznks and/or finicshedr but~tonls made~l f'lrom T;1gua or D)oml nutsf.
In 1!,;1: the total volume o-f bus~iness.- of the Industry was $2-,000c,-
000.00, which 11-8.i a drop of r9.5r?00.00.00 from 1931~. In. 1!,L'0 the
violumne was ;-1,0~50,212.00i. Although thle \ol~ulme of bu linew-' has~ de-
creasedi~l by mnore than fifty per cent, the Inelither of emprloylees in
1000r wals 12900, approximately the isamel as inl 1:190.
TheI subm~itting( AClssociation represents aipprodilinatelyy eightyT per
cent of the Indiustry both. by volume of Un-line.-- and 'uy rumber:~l of
It; was utrtllltepted first.t to combine the varllioulS button codel~ s intIo
one ecde for the 1ntire~ Industry, bsut this as found r~lll to be iml-
pm. ;lti('bler( at the prese~nt, timle. H~ow~iever~, a p~ror-ision~ ha;s b~ee~n
inlcorpora':tedl in this Cod~e, as in. the other--, which mayz ( pen! thne way
for a coop~erat1i ve( a~dmlin~ist ration o~f alll codes.
RE-UL'M 01i' THIE COD)E
Article I give-: thie p~urpose~l of thle Codre.
Article It ~sets fourth certain definitions.
A~rticll III: contains tie mnaximnum hour11 provi.-.icln of the~ Code.c
articlee IVI estabHl-l!e., thle mininlunl ,11.ige forl employee(\1.- in thec
Arltir]le sets fourth '.IIn )';I Ilabrl~' proviSions.
Article VI p~rovbhl-- for theo Ir':;!nn~izatio andI !.an titutio1n. Of theC
CodNe _\nthlority aInd declines~ its powe~rs uili duthl s.
Article \' fl regutlates certainly of thec~l~paraeices.
Atr~ticlc" TI11 prIovidles for tre miodlificationi ofE tln- (TI I0.
AetII.iclel :k~ -i. I'taes thatl this 'c.lctoi chll ntprmtie-.lm
The Deputy Administrator in his f~nal report to me on said Code
having found as herein set forth and. on the basis of all the
prceed~~cing~s in this matter:
I find that:
(a) Said Co~de is well dc~sigedl to promoll(te the policies and, pur-
poses of Title I: of thle National Industrial Recovery Act, including
removal of obstru~c.. ction to the: free flow; of inters1-tate and foreign
commnerce which tend to diminish the amount thereof and will pro-
vide for the general wcelfazre by prom~ctirlg the organization of indus-
try for the purpose of cooperative action. among thre tradeli groups,
by inducing and maintaining united a~ction. of labor and malnagLe-
ment under adequate govrnm\e nta~l~t~t sanctions and super-vision, by
eliminating unfair compllletitivel pllratii c, by promoting~ the fullest
possible utilization of the present produlctivec capac''it~y of induslltries,
by avoid~ing undue restriction of production (except as may be tem-
porarily required), by incr:1eas~ing the consumption of indlustriail and
agricultural products through increasingb purllchasling~ po~er', by re-
ducingr and relieving unemployment, by improving .,~~tunldas of
labor, and by otherwise rehabilitating inrdustry.
(b) Said Industry normally employs nuot more than 50,000
employees; and is not class~ifiedl by me as at major imlclustry\.
(c) The code as alIpproved1 complllirls in all respects with the per-
tinent provisions of said Title of said Act, including without limitab-
tion Subsection. (a) of Section 3, Subsection (a) of S~ct io.n 7i, and
Subsecitio~n (b) of Sic~tion 10 thereof; and that the applicant asso-
ciation is an irulus~t~ialI association truly repro e~tntatt i ve of the afore-
said indlustrly; and that the said association im-poses no inequitable
restrictions on admission to miembllership therein.
(d) The Code is not dfesignedi to and will not permit monopolies
or monopc.lolistic practices.
(e) The Code is not deic ne!~d to and wciill not eliminate or oppr~ciss
small exterpl-rictes anld will not operate to discr~iminate against them.
(f) Those enga~gedl inl other steps of the economic process have
not been deprived of the right to be heard prior to approval of
JFor these reasons the Code has been approved.
HUGRt S. Jonnow:,N
JUNE 9, 1934.
CODE OFIi FiAIR CO PETITION FiORf TH~E VEGETABLE
IVORY BUTTON IN~rDUSTRY'
To effe~ctuate, the policies of Title I of the ~National Industrial
Recovery Alct, thne following prc.visions are established us a~ Code: of
Fiair Compe~titionl for thsfe Vegtable Ivory Butto~n Industry, and
shall be thne stalrndard of fair competition for this Industry and shaill
be binding upon every marbllfer' ther'of.
AIr:rr i.1 II-jDEFIr N ITIi.iNS
1. Tdhe term "Indus~try\ as used~. her~einl inl~rcluds the manufacture
of blankrs andl/or finishedc~ bu~ttolns ma~de fromll Tagua or! D~on nut~s,
and such retlaltedl produc-ts as many from time to time be includled-
undler the provisions of ~this Codle by the Adminillte ~ntorl, after suchT
notice and hearing as he mal~y prescri.
2. The term "L employee,3C. as usedCI herein iic~ludes~ anny person en-
gaged~ in any phase of the Industry in anly capal~cit, irrscpective of
the method of comp~en. atioin or h~is interc.-t o~therwisee in vaid Indulstry.
3. The term. "' remployer as usedl herein in~cludes~ anyonc,!e for whose
benefit such employee is so eng~aged.
4. The twinll memberICI of thle Industry inc~ludes~ a~ny individlual,
partners~li lp, association, corporat-ion or o~ther personl engaged~t in the
Industry, either as~ an emnplorer or on his or its ow~n behalf.
5). The termn "' Presidlent "," "Act "' and "Adminlictrator "1 ), as u1Sed
here~in shall mean respec.ti vely, the Pres.ili:ident of the~ United Sta~tes,
Title I of the Nlational Industrial Recovery Ac~t andl:1( ~the mnlistral-
tor for Indu.--tr~ial Rcovery.il3
1. Excep~lt n~ here.inla fter provided, no emnployee shlnlT 1.0 perm;ittedll
to n or k1 in c0.100-., of forty (40) hou~lr in any on!c n\~1; cek 1. nor more' than.
e~ight (8) hours in. any tivenrty-four (r)-1) hour periicd.
watchlm-en, delivery meln, -.to~ck and shipp'ling~ !le~rki.-; shafll noct be~ per`-
mlitted~ to w~ork in. xceslc; of forty~-four (r11) hocurs in any oneI~ week~l.
3. The~z provisio-n., of thlis Alrticle shall not apply to permansII ent~-
p~layed~ in. sprvi' soryci; cal';ncities provided~; such penal.'-" ''en no't le a~-
thani thirity (800.'100) dollars per isllok.
Wi til an110 l IP< lerlll PP or 111 Illlr i. Of lie IIlldHrlsry 1XPPPI)41 t lI. Ill:1Si-
rniill TW~llrlt ecT flefelll.
5. The provisions of this Article ihllnl not apply to outside, sales-
men. Employees while engag~ed in emergen~~cy maintenance or emner-
grenlcy? repair workr mzy be emrployed~~ on an average of florty-four (44)
hou~lrls per week over~l pe~~riods of sixr (6) months each.
1. Except. as her~einnfter provided7, no employee shall be paid at
less than the rate of thirteen ($13.00) dollars per forty (40) hour
(a) NEo employee as defined in Anrticle III, Section 2, shall be paid
at less than the rate of thirteen ($13.00) dollars per forty-four (44)
(b) The Code ASuthority wcithn the approval of the Adminillst~ t or t
shall fix the minimruml piece work rate which shall be paid persons
for the carding of bultto~na in homes.
2. No apprentice shall be paid at less than the rate of "70% of
minimum wage pcr week of forty (40) hours for the first twelve. (12)
weeks of employment and thecreafter not less than the minimum
wages in Section One (1) of this Article. The period of apprentice-
ship shall be strictly limited to twelve (12) wReeks and the number
employedc- at any time shall not exceed ten (10%) per cent of the
total number of emprlloy3ees~. Any time wocrkled by an apprentice
shall be deemed a part of such apprenticeship period, whether such
time is wolrked~ continuously, or in more than one shop, or for more
than one empllo~yer. Ain affdavit sworn to and furnished by an
empllloyee as to thle total m~number of hours he has worlked as an ap-
prentice in the industry3 shall be drelemed sufficient evidence of th~e
-tat us of such employee. The number of applrentic~es to boe srmployed
as mentioned in thiis Artic-le is subject to review by thle Code
Aut~horityv with the bright to increase~c. the number if good cause be
3. A person whose earn~iner capacity is limited bccaulse of age or
physical or mental handicap, or o~therl infirmity, may be employed
on light workr at a wage bclow\~ the inlinilnuml esitab~lished by this
Code if the emIployer obtains from the State ~Authority designated
by the Unitedl Sta tes Department of Ltabor, a ce~t ificatfe authorizing
such pecrlo's employment at such wages and for such hours as shall
be stated in the certificate. Such authority shall be guided by the
instructions of the United States Department of Labor in issuinga
certifiente~s to such per~1sons. Each employer shall file monthly with
the Code Authority a list of all such persons employed by him,
showing the wager; paid to, and the maximum hours of work for
4. This Article establishes a minimum rate of pay, which. shall
apply regardlless of wh-ether an employee is comnpensatled on a time
rate, piece-work, or other bas~is.
5i. Equitable adjustmnents in pay schedules of all employees shall
be made within thirty (30) days after the effective date of thia Code
by~ any employer who has not heretofore made suchT adjustments
undr te Ntioal ndutril RcovryAct. Within sixty (60)
days after thle effective date all such ajsmnsmd ne h
Act shall be reported to the Code~; ~Authority aInd the Administrastor.
In no ease( shall I:te~ he reduced~t.
6i. Femrale? employees perfolrming subs~trltantill thle samne wPork as
male employees shall receive thei r~ate of pay as male emlployees.
ART~ICLE~ V-GENERlAL Tl.\HUrl PRO\ISION;S
1. No person uxndler sixteen (16) years of agae shiall be eml~ployedl
in th-e Indlustryr. No per.--an:~ under eighteen (18) years of age shall
be employed at opc.l'rat io:ns or occupations, if any, which are hlazard-
ous in nature or detrimlcntall to- health. The Codle ~Authorit~y shall
submllit~ to the Admllinii s~trator within n~inety (1)0) days of the etfect.ive
dtletl of this Cod~e al list of suchr operal~tions or occupantionls.
2. Employees shall have the right to o~raiz an agncl
lectively, throughl'.l representatives \ of their ow:n choros~ing~, and shall
boe free from the inlterfeltrence, res~traint, or coerllclio of employers
of labor or their ag--nt i., in the des.-igrnationl of such rep resent at i vs
or in se~lf-orrganizationo or in other concerted. activities for the p~ur-
pose of collective Iln gaining or other mutual aid or protection.
3. No employees andi no one .seekling~ emrployment' shall he Icclireuire
as a condition of em~ployou atirt to join any companl~ry' rulion,, or to
retrmn';il fr'I1 om 30mg, orgamlzmng, or ; stingl~ a labor organization n
of his ow~n choosing.
4t. Emnployers~ shall comnply withn the maximumn horurs of labol
minimruml rates of pa,z~ and other~1 conditions of emplloymentii appr~oved
or pre---r.'ibed~ by the President.
5., No emlployer shall reclnsmify emloyees3''t~ or dultiesc of O('cuplation7s
per~formed~c forl the purposes~ of defeating the penv,\isio~ns of thte Atjct or
of this Codle.
6i. No provision of this Code shalnl supersean'!' any'S law w~ithin ainy
stalti! which1 imposes mnore strilrgenlt requli '.lrements on employers'tl' as to
age of emlployees, wage
inrr annacitions than are imposedl~~ b3y this Code.lC~
7~. Eachl~ membIIer of thle industry shall be fur~nishled h? ~the Codie
Authority, with of~cridl copies- of therc pllrov.i ions. of thlis Col.de relatingj
to hours' of labor, rates~~- of pay, and other clnditioln. of empilotcyment.n
Such clficial copies of sulch provisions shall contrlain dilrectio~ns for
filing mmplll~ lailts of viniolltion of slCh] p~roviSionsl, and shall be keptic
r !l4icnspieno-.Ly' posted'~ at all times b~y 1uch: niember1~1s of t~he indullstry
in (aIh shop, establ lishmentllf or' separatelf unit, to the extenrt. neCessaryLI'
to mlake them freely ncess~ib~let to all templloyees.t~ Wheneverc any
maolific;tions of, or exemp~ti onl or exeePtion frianll thlis COdeC permlits
anyv person" to p'ay lowler wages(, or wor~k hris emplllogees Ilonger hou~lrs,
or r.;tablich tra:litionl.7 of.employm~ent less favorab;lel~ to hlis emplloyees
copy~ of thie provisionsl- of this Colle, the Code1 Autholcri( y, artl the
c~rlqeSt Of PUnch per(\..-onlhll. furn''ih, hl(,im ith.l crifIedl coplll~i()ll of
bl~dI 13011 81004 ex inft] I C e tP l0 8 bli"01 tlie 1
paslc'ting alon sieo uhAli ois fClePoiin.
8. The Code Aluthlority in conjunction with the Adml~inistraftor
and such~ other agents or agencies~ as he may desig~nate, shall study
th~e problem of home w~olrk in this industry and pr-opose to the
Administrator w~ithfin a reasornable, time after th~e effective date of
this Code approp~riate prov.isionrs for the regulation and control of
such home workr.
9. Every employer shall provide for the safety and health of his
employees during the hours and at -the places of their employment.
Standar~d for safety and health shall be submitted by the Code
Authlority to the Admlinistrator within six months after the effective
date of the Code.
Annacr n VI -4ADMINISTIAs~TIONJ
To further effectuate the purpose of the Act, a Code A1~uthtority
is set up to cooperate with thel ,Adlministrator in the administration
of this Cod~~e.
1. Organization and Constitutionl of the Cod~e Aulthor~ity.
(a) The Code Ahuthorify shall consist of five (5i) members, ~who
shall be atppoinlted by the Vegetable Ivory Button Maonufa':cturers
Ass~ociniation In addc~itionl thereto, the Administrator may appoint
.not mo-re than three (3) members who~c- shall be w~~ithout vote andc~ who
shall serve without expe~nse~ to t~he Industry and together w~ithl the~
Administr-ator shalln~ be given Inot i'e of and mal~y sit at all meetings
of the Code A~uthority.
(b) Each trade or industrial association dliretctlly or indirectly
participating in the selection or activities~ of the C~ode Authority
shall (1_) impose no inequ~itablei restrictions on the membership, and
(2) submllitl to t~he Adcministrator true copies of its Articles of asso-
c~iation, b-as regulalltionls anrd any amlendm~ents when made
thereI(to-, together w-ith suc(h other inlfolrmationl as to membership,
o~rganiza t ion and ne(Ii vi tirs as the Adm llinistrIa tor mazy deeml necessary
to effectuante the purposesi of the Act.
(c) In ord~ler that the Code Auathori~t shall at all times be truly
repre'tsenltative of the ind~ustry and in other regards comply with
thle provisions; of the~c A1ct, the Administrator may0 prescribe ach('1
hearings as he may d-eem proper; andc thlereatfter if he shnall find
that the Code A^uth-ority is not truly reprecsei~ntai~ve or does not; in
othler regard's compllly wZithi thre provisions of the Act, he may require
an ap~prop~riate modtification in t~he method of seilec~tio~n of thle Code
(d) M~embe~rs of the indutry~i shall be entitled to par~zticipate in
a~nd shlare thne benefits of the nativities of the Code Authorityt) by
a~ssentingg to and complying with the Itireqilremnrcts of this Colie and
sustainineg their reasonable share of the exspenses osf its admrinis-
tration. Such rIeaso~nab~le share of the expetncse of admllini.stration1
shall be de~termined by the Code Aluthocrity, subject to review by the
Adlm i nist ra3t or, on the basis of whnne11!c of Un. 1ine~si and/or such Other~l
factors as may be deemed~~l eqluitable.
(e) N-lothingi contatinedl- in this Code shall constitute the members
of the Cod~ie Anthlor~ity partiners for a7ny purpose. Nor shall any
membnler of t~he C~ode Authority be li ble i any manne to ~ny one
for a~ny nort~ of any otherl member, o~fficerS1. :gen't or empllloyee o h
Code Au-rthor~ity. Nor 11ha1 ll- any memlbier of the Code Authorit~y,
eeCiSing114lr reasonable diligence in the Iconduc.lt of his duties her~e-
unde;: v b liable to anry one for any action or clmissionl to act under
thze Codte, excepti fori hlis o~wn willful .l~inalfeasance or no~n-fens~cance.
f2. The! Codle Authority shall have the following pow~\er~s and duties
in. addiition to tho-se elsewhere provided in this Code, subject to thne
right of the Admrin.irstiratr on review, to dlisappro~ve any action
taken by the Code Au~thcr~ity:
(a) To :vio~pt by-lawvs and rules andtl re~gul~tio~ns for its pr~ocedulre
and for the ac~rminri.ct ra;tion and enrfolr.ci lmentl of the Codec, in accor~d-
ance wvith the powers herein granllted. andl~ to submit same? to the
Administrator for' his approval trlgether with true op~ies of anly
amendlments or1 add~itions when nia.Ile ther~eto, mninutes~ of meerting~s
whecn heldi, and such other information ats to its activities as thle
Administrator anlly deemI1 nece-sur;IIy to effect the purposes of the
(b) To obtain fromt Inembersl~l of the Indlustrry for us~e of the Codle
Arluthorityr and of the ALdminristrat~or in the aIdmlioi;t ralt ion and en-
foremrrent of t~he Code, anzd for the inlformnationl of the President,
reportI's UnsesI on periods of two or four weeks: or multiples thlereof,
as soon1 as the Ilcce say~ readjus~itment within the IndlustryS can b~e
made, nd mto ivc assistance:' to moubel\trss of the Indu~stry" in un-
proin mehos, and otherwise. All individual r~epr~ts shall be
kept colnfidlential as to members of th~e I~ndustry and only~ general
sunun Il:r~ies~ thereof may be published.
(c) To insure thne execution of the provisions of t'his Code and to
Iprov\ide, subject to rules~ andi regulaltio~ns e-tab~lished by the Admin-
astratolr, for the! c~ompian~ce of th~e indus~ltry with the provrisions of
th1e A~ct; provided, however\~l, that this shall not be cc-nstr~uedl to
deprive dulyv authorrizedl governmental agerni~cie of their powerrl to
enforce provi1sionIs of this uCode or of the Act.
(d) To use ach('1 tradtCe associations and other neencieir s as it deemlls
proper for the carrying out of any of its activities prov-ided for
herein aLnd to pay such trade associations andi agenl~ci thle cost
thereol'(f, provided tha~t northingr herein shall r~eliev\ e the Codle Au1-
thtority ~of its duties or responsible ilities under this Code andI thaut such]
trade associationsl an~d neenI~ci shall at all times be subject to and
compllly with the provisions h~ereof.
(e) To coordlirnate the adm~inist ra:tion of this Code wvith suIch
other Codes-, if any, as maly be relatedt to the Industry, o~r any! sulb-
dli isi on thereof.
(f) It be)Cing~ found ne~rcesacy,;I~ inl border to support ,te ad mninis-
tratio-n of this Coalle and to mal~intainl thle Stambrdsnl of fair comi-
pe'titicon 1-tabllished~ by this Cod~e aInd to eFfetuat~;le thec poc-licy of th~e
Actl, the Code Authority is ~llauthorized subljec~t to thle apprlov-al of the
1. To incur rsul Ich reasonal e clhlienltions as are unnecessary and
of funds whbich anly be~ raiisedr asi here'inn~fter p~rcvided~ and~ whichl
shall be heldl~ in trust: for the 11pm1-pme- of thle ('cel;
2. To .submit to thc Adinini. I rt ra;tort for hli:; approvn.ll sub~ject to
(11) an itelrnizled budgllet of its Iesi~;timate expeses~l forI thefor(m
Purposes, and (2) an equitable~ basir upon whlich the funds nle~essai;ry
to support~sulch budget shall be conltributedc by mlemnbers of the
3. After such budget and basis of contributions have-been approvedt~r
by the Administrator, to det~trmine and secure equitable ~onltrib~ution
as above set forth by all such members of the Industry-, ande to that
end, if necessary, to institute legal pr~ceedinlg s th~erefor in its own
(g) To r~econunendc to the Administrtratoran~y action or nIelnsurles
deemed adisai~ble, including further fair tr~ade practices provisions
to govern Ilnem~bersi of the Industry- in their relattions wI~ith ealchl other
or with) other industries, measures for indu~str~ial planning, and
stabsilizat~ion of employment; and including m~odifications: of th~is
Code which shall be bind~ing~ on all nIemerl!,tl.j of the Indus~try when1
approved by the Admilitnistrato after such`l notice and hear~1ingr as he
(h) To form~ulate aIndl Iubm~it to thle Annllini.-ftrator for his ap-
proval an n~coulnt.ingl system and method~:cs of cosjt find and/or esti-
manting adaptable for use byr all members of the industry. After
such s~ystemil and mlethod;s have been fiormlulated atnd approveds~l. bly the
Admtinistr~ator, full decta~ils concer!l:. them shall be made avcailable
to all mlcrllembes. Thcreafterl all members shall dectermine and/or
estimated costs in necordalc~nce w~cith the principles of su!chl methods.
(i) To investi-n~te and reconunend a uniform sys~tern, or -tal~~nldar
method of classifying blanks~ and1 grading finished~c bulttonlrs by the
members of th~e industry, which upon approva,\l b~y the Administra-
tor and after .suchl notice of hearings, as he shall prescribe, shall
becomee a part of this Code.
(j) To recommend to thle Admiinist rator appropr!iate prov.'\ision!Is
for the regullation of the disp~osal of diistress mlerchalnd~liise.
(kr) To inves~tig~ate competitti ve articles imported in the Unitedf
States on such terms and under such cond~itionljs as to render ineffec-
tiv~e or se~rio~usly elrndaner the maintalffinanlCe of this Code and to act
as the agency for mnaking comlalnnts to the proper govenlrnmetal1
agencies on behalf of the Industry.
(1) TSo coordiinate the administration of this Codec with suchrl other
codes as mary be related to the Industry, thne Code A~uthlority may
designate rep~~~slri~iesenai for theo purpose of mee~tingb with like rep-
resentatives des~ignated~i by the Code Authorities of the related Codesr
referrIed to above. Such representatives shall be duly nu~thor~izedl to
constitute a committee whiich committee shall, as soon as prlc~ticabllle,
submit to the Administrator such reports and recoliicnunendaton~s with
(1) The establishment and me~thodcc of selection of a General But-
ton Manufurlcturersl' Coordl'~inlt ing~ Council.
(2) The jurisdictions:, as we~ii as thre amn!3~isl.trativev powers~c and
authority to be dlelegatted. to sucrh Coo~!1rli-nating~: Council.
Upon approcval of th~e Adccministrator of such rec~l~lconunendti ons~ of
thle Counc~-il, selected in the mnanner abo-ve providedc for, after such
hearings andlt no~ticei as hre m~y- prescribe, the Code Authlority shall1
be subject: to thle jurisdiction, rules, 1cregulations,, and by-lawss of the
G~enera~l Button Manrufac.~turer s Coordlill:in_ in Council inr the: frmcl
and! manneri: approv'0~ ed- by the Adminisit ra~torl, any express or implied
dleleF;ation of power or duty in this Code to the Code Autho~rity
(3) If the Adm-tinistrlator shall eterttlmine that any action of a code
authority or an~y agency.3 therecof mnay be unfair or u~njust or contrary
to the public inlterest, the Admninist~rator may rIequir~e that such action
be suspended to afford. an opportunityr for investigation of thle merits
of suchl action and further consideration by slc~h code authority or
agenev penlinrg final action which shall not be effective unless the
Administrator approves or unlesP~ he shall fail to dlisappr~ove after
thirty (30) days' notice to him of intention to proceed wilith suceh
action in its originally or modifiedl form.
(4) In addition to the informat inni~ i required to be submitted to
the Cocde Authority as set forth in. this Article there shall be fur-;
niished( to goverInmnent agecn(cies such statistical information as the
Administrator m~ay dleeml nlc-cssar~y for the purploses recited~ in.
Section 3(a) of the Naztional Industrial Recovery Ac~t. NI~othing
in this Code shall relievet any member of the Indus~tr~y o~f an~y exist-
ing obligations to furnish~ reports to any government agency..
ARHOCLE VIIT--TRADE PRACTICES
1. No mlemnber of the Indlustry shall use s~ellingr mlethods~ or credit
terms which tc-ndc' to deceive or mlis'lead the culstomellrls or prospective
2. No member of the 1 Indutr ~''sha~ll bran dt or markl~l a7ny\ comm~rodity
in any manner which tends to mlisleadt or dt~ei~ve! purchaser~s with
re~tspoect; to the grladte, quality, quan"tity, oirigin, size, mater~Iial. co~ntent,
or prep~aration of such commlodity in c~onfolrmity with the standards
as establishedl by the Code A~uthority wyhen appr"oved' by' the.
3. No member of the Industr~y shall use! adv~ertising~ or other
representation which refers inaccuratel~y in any nulitterial patnlafrl~ r
to any compet itors or their commodl i t ies, pr~ic~es, values, credit; termsn,
pnohices or scra\ces.
4. No mlemlber of thle Industry shall publ:,ish or c~ir~culalrize unr-
jus~tifiedl or unwsarrantedlc threats of legal1 p~rcedc~ting~s wh~ichl tend to
or have the effect of harass~c;ing~ compr~letitors or inltimidantingI any of
5. No member of the IndulstryJ shall1 secretly o~flfer or makze any
paymentsi or allowalnces of a Iwha;te. refund.cl counnisionll crledlit,
unarn edl discounrt or exucess allowanlcc', whether in the form of nwneruy
or otthe~rwise, for the~ purpose of inf" rll~lluenr in a sale, nOr shall11 n7 mem11-
ber extend to arny customer any spc~iall service or p~ri\ilegc nlot
cxtcilende to all cri~tainersil of the unc~l1 class.
6.~ No membell~r of the I~ndu~stry sha~ll gi\n pe!rmit to be griven. or
directly offer to give anything < f valuell for the? purpnse~~( of inlftluene-
ing: olIc;r wtnring the nation of anry cexplloy!ec, agentlf or Icllrepresent-
tive of another in rela~t lton to the U ie fteepoe fsc
employee.!Cr thle pr'incipl'l of such1 :wentll or thel representedll' l party,!'
writhoutll the knownl~~~ledg of suchI employer, p"'r neipl'l or parIIty. '
marIrioll brib~ci3'Iry roisionsl aIre Ilrl to be conslctrued~ to p~rohlibit free
aInl generalc l distr~ibutilun of art~fil' clrlle onconly used'~ forl adv\ertis-
inga, except so far as such articles are actually used for colnunercial
br'ibe~ry as hlereinabov\e defined.
"7. Nuo member of the Inldustrya shall s-cr~etly give anything of
value to the employee or agent of a customer for the l~rpurose of
infuluecing a sasle, or~ in furtherannc of' a sale relcndetr a bill or state-
ment of amo~unt to suchl empllloy\ee, age~nt or customers which~ is
inaccurate in any mnateriall particular.
8. No membn~er of the Indtustry3 shall attempt to induce the breach
of an existing contract beitween1 a comnpetitor and his customer, or
source of supplies; orlcl shl]l aney suchl member inlterfe~re with- or
object, to thle per~formlance of such contractual duties; or services.
9. N~ro mem~lbe r of the Indcu--try shall uce! anly unfair meansl to
secure inforlmation. regaarding th~e manner1CI in which aZ comnpeetitor
conducl~( ts his buISinezSs.
10. No member.,ii of thte I~ndus~tryS shall ship grcoods on co~nsignmelnt
except under circumsintanc cs auth~orized: by the Code Authority andr
applrov-ed by the Admn-inist1traor.
11. No member of the Industry shall11 grant any cash discount; in
exesrs~i of nort ten dalYs E.O.Ml., effective fi-rom date of invoice or
shipmentlt whi!.heverP~ date is the earlier-; no extra dat:ing to be al-
lowved. Goods .shippc ed on or after the 93th of the month '' may be
billed as of the first of the following mocnth. InterreLt~ shall be
char~ged: at the rate of sixr pe.~crcet (66)o) on all past due amol~r unts,
such chtal~re star'ting ten (10) clays after maturity. Discounts a~l-
lowed for aniticipaitedc~ payment of invoice shall be at the rate of not
miore tha~n six per cent- (Ge,- ) per annum.
12. All qzmpl~le: Irequirements in excess of one half gross; in bulkr in
any one mouber!~ 1 and all somple, cards furnished for the use of cus-
tomelirs' salesmen shall be charged andl paid for by the customer at
the sllet~s price of the finish~ed7 bultton,r plus all earlding~ andi other costs
13. No members: l of the industry shall sell a~ny articles aiubjc~t to
th~e provisions of this Colie below his ind-ividual cost. HEowever,
any memberl~pl of the Industry may meet, the price of In- ecompet,~iing
membe~tr of the Indus~try whose cost under this provision is loweTr.
Cost for thre purpose; of this p:1ro~visio-n shall be dletermnined in ne~i1cr-
ance with Sectioln 2* (h) of Articlet ViI: of this Code. Distress rnerr-
chandise, howrl\ever, may be sold beitlown cost as herein detfined'.l
14. Swatch Match~~!ing~ Serv~ice ma~y be furnished: when requested
and cha!rrved at not less than the actual cost of service rende~red.
15. Nvo member of thne Industry shall imitate, permit, or clause to
be im~itated~ trade1 marks, tlrade~. namne., sloganls, or other marlks of
identification: of comrlpetitilr~s, hav-ing the -tendenrcy andi capacity to
mislead or dce~:tive plr~chase~rs or pr1ospe~ctive purchaserss as to the
sou~rcet of origin of any! product.
16. No! arranL~~nuemen hall be madnre for th~e recturln of unused goodis.
N~o goodsl- .-la~ll be I-redyedl at les~s thanl actual cost of such dyeing.
N-o mnerchandise shippedt and~ billed t--hall be returnedc' after 30 days
from (7ate of shimed
17 pnapplrcvall of a p~lan of reg~istration by the Codice
Authorityr, all manu Ilfart~cturrs shall regli ter with a confident ial a Sency
of! "- 7.itheCd Aul~thoi'ty all active patterniss and special pntter~ns which
have been, manufacturer~ byT themn duringT the past twelve mlonlths.
These registratio-ns will conslltituteC their line. All members of the
industry shall reis~ter with thle cocnfidtential age-nc~y of the Cole
Authority all -1,per al confined pa:tternsi c they manllufacture,c together
with the names of the con turnler' s to whom11 conlfined~. No uslernberl of
t~he Indust~ry shall mlake on 1-trlner's co~nfinedc spec~ials for uny o~ther
cu11c(011100 tliltl the cO~irnatlll. u
18. All new\\ add~ti tions to na nutfncturers'~ line creations shall be
appro-ved by the con~lfidlentiarl agenlc~y of thle Co~de Authorrity3 for
design infrin~gemnc~lt, and if there is a question, as to its beingr a copy,
samle shall be ertlttle b~y ar~bitraltionr. Mnf u fa :t ur ers' li n e cr Ieat1ions
when approved as hereinabove ;Ipec-ifiedt shall not be? coplied~ or in-
fringedc upon, where the effect or te~ndlenlcy is to dcetc.civec or mlislead~
Cusltomler'S or prospc'~,'ti~ve cusltomeri~ls as to thle .soulrllce of origcin.
19. No member of the I~ndustry shall gualHrateec- or agr51ee~ to protect,
any col~-tclner against redluc~tio~n in the beller's price madetl hlubsequenrllt
to the date of hlipmeltnt for such. buyer either by method or rebt~;l e
A Trr rcn VIII-MlODWICAiTIOLT
1. This Codel and all the provisions thereof are exprlessly mlader
subject to the right of the President, in :Icordal~lncer w~Pith~ the pr~o-
vrisions of subsection (b) of Section 10 of the National Industrial
Recovery Act, f'romn time to time to cancel or mod~tify~ anyl orderI,
a~pprovl, license, rule or regulation issued under Title I of sai Ac~t
and specifically, but with-out limitationll, to thle right of the Pres1idenrt
to enwec~tl or modify h~is approval of this C~ode or any condiititionr s
imposed by him, upon hnis approval thereof.
2. This Cod~e, except as to provisions required~t by ther Act, may1! be
modified, on thle ba~sis of experience or changes in circman-buillces,
such mod~~ification to be based upon. app~licnt~ic~n to the Adi tlr.. .trator
andi such notice and henr~ing as he shall specify, and to b~comle
effective upon approval byN the President.t
AuRICra IX-31UNOPOP~ LI ESi
No provision of this Code shllnl be so applied as~ to- permit monopo~,-
lies or monlopolistic practices~, or to eiliminute,: oppress, or dicriminate-'- '
PARTICLE X-P urICI NCI!enesses
Whero~lns thle policyr of this Ac~t to increaselt~ real pur1chasisng powecr
will be made(1l insposcibjle~ of consummatllilionI if prlilces of goods(\ and~
services. inl'.~-ren- as rapIidly as unge.;~i It is recognize~ tha~t price
inc~reassc shall be dfelayed~. But w~hen ad Il;(c ul.h inlclcre~e should
as far als poslsiblel, he ]Ilmitcd to actual increases in t~he se~l~ler's co~sts.
This Codetl shall becomel~ eiffective on andli ;fter1 the secondl Miondafy
after its apprm-o\';l.
11 1 1 11 1 1 11 11 111 11111 1 I1111111 11111