For Eale by the Superintendent of Documents, Washington, D.C. - Price 5 cents
Approved Code No. 14--Supplernent No. 51 Registry No. 1328--15
NATIONAL RECOVERY ADMINISTRATION
S UPP LE MENTARtY
CODE OF FAIR COMPETITION
REFRIGERATION VALVES AND -
(A Division of the Fabricated Metal Products
Manufacturing and Metal Finishing
and M~etal Coating Industry)
AS APPROVED ON SEPTEMBER 6, 1934
UNIV. OF Fl LIB. WE DO bUR PART
GOVERNMENT PRINTING OFFICE
Thi publication is for sale by the Superintendent of Documents, Government
Printin~g ~Office, Washington, D.O., anrd by district offices of the Bureau of
Foreign and D~omestic Commeree.
DISTRICT OFFCES OF THE DEPARTMENT OF COMMERCB
Atlanta, Ga.: 504 Post Office Building.
Birmingham, ALla.: 257 Federal Building.
Boston, Mass.: 1801 Customhouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamnber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North Wells Street.
Cleveland, Ohio: Chamober of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
Detrocit, M~ich.: 801 First Natiornal Bank Building.
Houston, Tex;a. Chamber of Commerce Building.
Indianapolis, Ind.: Chamber of Commerce Building.
Jacksonville, F'la.: Chamber of Commer~ce B~uilding.
Ki~ansas City, Mon.: 1028 Baltimnore Avenue.
Los AnlgeleP, Calif.: 1168 South Broadwvay.
L~ouisville, Ky.: 408 Fiedleral Building.
J1enllphi, Tenll.: 2293 Federal ]Building.
Mdinneapolis, Mliinn.: 213 Fedecral Building.
New Orleans, La.: Room 225-A, Custombouse.
NewP Yorkr, N.Y.: 734 Customhouse.
NorfI~olk. Va.: 406 East Plume Street.
Phiblnlllhin.i:~ Pa.: 422 Commercial Trust Building.,
Pittsburgh, Pa.: Chamber of Commerce Building.
Por (In n Oreg.: 215 N~ew Post Office Bulilding.
St. TL'ui.4. Mo.: 700() Olive Street.
San F~;~rancism,, Calif.: 310 Customhouse.
Senlttle, Wansh.: 800 Fedecral Office Cuilding.
Approved Code No. 84---Supplement No. 51
SU17PPLEfM ENTl T`O CODE OF FAIR COMPETITION
RIE1F]RIGERtAT~ION\ VALVES ANDI FIII1TTINGS IMAN1U-
As Approved on Septe-mber 6, 1934
A~PPROVING SUIPPLEMIENTARY CODE OF FAIR COMPETITION FOR THEB
REFRIGERATION VALV~ES AND FITTNGS BIANUFABCTURING INDUSTRY
A DIVrIION OF THE FABRICATED MilETAL P-RODUCTS MANUFACTURIUNG AND
METAL FIN1ISIHING AND METAL COATING INDUSTRY
An application having been duly made pursuant to anld in full
compliance with the provisions of Title I: of the National Industrial
Recov~eryT Act, approved June 16, 1933, and in accordance with the
provisions of Section 1 of Article VI of the Basic Code for the
Fabr~icatedl Metal Products Manufracturing and Metal Finishing and
Metal Coating Industry, approved November 2, 1933, for approval
of a Supplementary Code of Fair Competition for tihe Rtefrige~ra-
tion Valves and F~ittings Manufacturing Industry, and hearing hav-
mng been. duly held thereon; and the annexred report on said Supple-
mentary Code, containing findings wlith respect thereto having been
made and directed to the President:
NJOW, THEIREF~ORE, on behalf of the President of thne United
States, I, Hugh S. Johnson, Admninistrator for Ind~ustrial Recovery
pur~suant to authority vested in me by Executive Ord~ers of the Presi-
dent, including Exrecutive Order No. 6543--A1~, dated December 30,
1933, and othterwise; do hereby incorporated by reference said an-
nexedl report and do find that said Supplementary Code complies
in all respects with the pertinent provisions and will promote the
policy and purposes of said Title of said Act; and do hereby order
that said Sjupplement~ary Code of Fair Completition be and it is
Huou S. JoIN6Wso,
Ad ni~.iiistratoftr for Indulstrial R~ecovery.
Approval recommended :
BARTON W. RiURRAY,
Septemrlber 6, _1934.
REPORT TO THE PRESIDENT
The WC~hite Hou~se.
Sinr: This is a report on the SupplrementaryT Code of Fair Compe-
tition for the Refrigelration V~alves and Fitting~s Manlufacturing
Industry, a Division of the Fabricated Metal Products Alanufactur-
ing and M/etal F~inishinga and Mretal Coating Inldustry, the hearing
having been conducted thereon in WVashington, D.C., Apr~il 9, 1934,
in accordance with the provisions of TLitle I: of the National Indus-
trial Recovetry Act.
The Refrigeration Valves and Fiittingrs Mannufactulr~int Indlustry,
being truly representalt ive of this Divisionl of thle Fabieniiratedl Metal
Produt~cts M~anufac~turing n ea insigadMea otn
InduLstry, has elected to avail itself of the o~t~ion of sulbmit~ting a
Supple~mentary Code of Fair Conipetition, as prov,\ided for in Sectionl
1. of A~rticle VII of the B3asic Code, for the Fabr~icated Me\Ztal Products
Manufacturing and Mletal Finishing and Metal Contingr Indiustry,
alpprovsed by you on the second day of ~Novemnber, 193r3.
a lSU rIl OF THE 'cODE i
Art iele I[ states the pur pose~ of the Suppeleln snta c Code.
AtSrticle II ac~curaltely definesi specific terms empl~lloyed in. the Sup-
Article III. This Ind;ustryS is a D~ivision of the Ioienlllite~d M~etal
Products Manul~fac~t~r~ing and Me~tal Fiini~hino- and Mettal Coating
Indus~tr~y a~nd the labor provisions~ of its Basic Codle ats app~roved on
NIovemlber 2, 1933, are the labor provj\isions of thlis Supp>llemelntary
Article ITV establishes a Supplemnentary Co~de Au~thor~ity consist-
in g of five (5i)r membert~r s, to be elccte~d by ulicitheti~ membr f te Induthry
at a mlleeitin canlledl by the temporary SplmnayCd uhr
ity, and gives thle Adml~inistrato ~r the aulthorllity to appointf one! addli-
tional membenlrI without vote, andl provides th~e machinery11\ for Obtainl-
ing1 statistics aInd the administration of thet Supplementarlllly C~od~e.
Article V provide~.-; for the formlulationrl of no1 ar-counrrtingp sy-steml
and( miethod)~S of cost find~in~ unll/lor estimiating.
Alrticlt V'I. .sets forth the standards of fair ((llc-mpetition1 for thre
Induslltry,, withl refeltrncec to pr~ic:ing~ p,~alru-(ices and forblids wilfully
destructive ~r~icr-cu~ttin g
ArtiCle VII prov,\ides for thte filing~ of pr`ices' withl n Iannfilllnliall
and cfis;inte~rc.41ta1 lllli a tO-f the Supfplementa~ 'ry t~ .ode Anthrlity' (, if
nismn is al~so p~rovidedl' for the filingl of Ilro-h-e rev-isinns.
Artlclllel~ VIIIl M~incororte thev unfair tr~l snliiil~t c.l--i~ oifni this Sup-
tition in this Divi ionl of thei Trulurtr~y.
Article IXE provides against monopolies or monopolistic practices.
Article X contains the mandatory provisions contained in Section
10 (b) of thne Act and also provides for submission of proposed
ametndmlents to the Supplementary Code.
Article XI recognizes that price increases be limited to actual addi-
tional increases in the sellers costs.
Article XII states the effective date of this Supplemnentary Code.
Thre Assistant Deputy Administrator in his final report to me on
said Supplementary Code, having found as herein set forth and on
the basis of all the proceedings in this matter :
I find that:
(a) Said Supplementary Code is wPell dtesignedl to promote the
policies and purposes of Title I of the National Industrial Recovery
Act, including rem~oval of obstructions to the free flow of interstate
and foreign commerce -which tend to diminish thze amount thereof
alnd will pro~videP for the ge~neral welf.re. by plnlromtingr the or~ganiza-
tion of industry for thte purrposes of cooperative action among the
trade groups, by inducing and maintaining: united action of labor
and management under adequate governmental sanc~tions and super-
vision, by eliminating ulnfair competi;ti;ve prac.tices. by promot~ing the
fullest possible utilization of the present productive capacity of- in-
dustries, by avoiding undue restriction of production. (except as may
be temporarily required), by in~cre~asing the consumption of industrial
and agricultural products through increasing purchasing power`", byJ
reducing and relieving unemployment, by improving standards o
labor, and by otherwise rehabilitating indlusitry.
(b) Said IndustryS normally employs not more than 5i0,000 em-
play'ees; and is not classified by me as a major industry.
(c) The Supplementary 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, Surbsection (a) o
Section 7, and Subsection (b) of Sectio-n 10 thereof ; and that the
association is an industrial association truly representative of th~e
aforesaid Industry; and that said association. imposes no inequitable
restrictions on admission to membership therein.
(d) The Supplementary Code is not designed to and will not p~er-
mit monopolies or monopolistic practices.
(e) The Supplementaryr Code is not dlesig~nedt to anld will not elim~-
inate or oppress small enterprises and will not operate to discrim-
inate against them.
(f) Those engaged in other steps of the economic process have not
been deprived of t~he right to be heard pnior to approval of said
For these reasons, therefore, I have approved this Supplemnentary
HuanJC S. JoHNSOnT,
Adm~n istrfat or.
SEPTEMBnE 6, 1934.
S$UPPLEMENTARY CODE OF FAIR COMPETITION FOR THE REFRIGERATION
VALVES AN;D FITTINGS AfANUFACTURING INDUSTRY
AL DIVISION OF THE FABRICATED METAL PRODUC'TSJ MANUFACTURING AND)
METAL .FINISHIINGr AND METAL COATING INDUSTRY
Aur:ICLE I -PURPOSES
To effectuate the policyT of Title I: of the ~Natioinal Industrial Re-
covery Ac~t, the following prov~isions are established as a Supple-
mentary Code of F~air Competition for the Refrigieration Valves and
Fitt ingas Manlu flc~turilgr I~ndustry. Pur~suant, to Art~icle VI of thle
Basic Code olf Fair Comrpetit~ion for the Fab~riented Mletal Products
Mianu facturing andl Me~tal Finishing andr Mectal Coating Indust ry ap-
proved by the Presidlent of thej United Sta~tes on the second day of
Novemlber,, 1933, the pr~ovisions of the Supp~lemnentury) Code shall be
the standard of fair competition fojr thie Re~frigreration Valves and
Fittings Alandufcturingg Industry andc shall b~e binding upon every
A)narcis II -DEFIxrrloNs
Section `1. The term "I Refrig~era~tion~ Valves &C Fittilgrs M~anufac-
tur~ing Induxstry "' here~afte~r I~~treferr to as thre "' Industry is defined
to mean the manufacture for sale of valveS and fittlling as uIsed on
household~c or conunrcia~ill I~refrigerati ng~ or thel reifl rigeating~lequipmecnt
of air condl~itioning, ins~talla~tionls. or any parlt therel'Of, for Colntrollling
the flow in or cne(rltcting~ the t;ubingr lines. \'alves and Fitting~s for
r~efrigerating equipmenlnt usmg~~ :inanonlia as a ref~frieraint, arie in-
celudled in this Indus~1tryS only wvhen such valve~:s and. ittinlgs are ma~de
from a non-ferrous alloy~.
Th'Je termll ]Rrtfrigeration, l Yalves and Fittiings Ma~nufac~turi ng In-
durstry as abovi\e (3efined~1 shall not, include. valves alndl or fittil~ngs and
the~ir. parts produced by- manul~factlur rer of hllsloushld or 'onunllercial
SECTION 2. 111 tenu "employee as ulsedl her~einl inlcllud~ anyone
engage in the Indlustry~ in any~ enpac'it'y Irece~iv'ing compel~~~. ntation
for~ his services, ir~respc~lctive of the~ nature or methodc,~ of paymenC'lt o.f
EUcl 1~- Cirlpnsation I.
SECTION 3. cfhe lefill "f'llployer!.' "" Rs Used Iereiln illc.lllutiS ;Inyone
by whromi anry such employee is compenlrlSaltl' d or employed.til
Sermn~s 4.'l The 'll ter I1 member'1 Of the industry asl-cl el hrein
SeemsO 5. The1( te~rms11 '- P~residen\lt ","Act' ", and1I "AshnllinIStratfor ")
States, Title I of the National Industrial Recovery Act, and the
Admninisfrtrato for Industrial~ Recov;ery.
SECTION 6j. The terma Basic Code ', as used herein, is definled' to
mean the Bansic~ Code of Fair Comtpetition for the Fiiabricated Mettal
Prloduc~ts Manufacturing and Mletal Finishing and MIetal Coating
ridustry1, as approved by the President on. the 2nd day of November,
SECT'ION 7. The terml '"SupplemnentaryT Code Aulthor~ity as used
hetreinl mleanls the agency whichi is to administer this Sumpplem~entary
Code as her~ilnafter provided.
SECTION 83. Tlhe term "A~Lssociation as us~ed herein, is defined to
meatnn the Refrigerationl Vallves: andl Fiit~tings: l: Mnuf-actulri;ng Asso-
ciationl or its su;lice~Ssor.
SECTION 9. The term Supplem~entary Code Committee is defined
to mieanl the Ex=ecutive Commlittee of the AQssociation.
S~ECTION 10. TIhe trrml "L Impaartial Agent as used herein. is dlefinedl
to meanl the Impartial agency designated by the SupplementaryT Code
SECTION 11. TIhe term Fede~ration as used herein is defined to
mealn the FabieniClft~ed iiletatl Yroducts Federation or its surcccessor.
~ARTIICLE III---EIMPLOYM6ENT PROVISIONS
This Industry is a division of the Fabricated Metal Products
Manufacturing and Mletal Finishing and Mletal Coating Industry
andc without limnita~tionl the wage, hour and labor provisionss in
Article III: of its Basic Code as allpproved by the Presidlent, Novem-
ber 2, 1933, including Sjection I of said Article III, by which the pro-
\isions of subsections (1), (2) and (3) of Section 7 (a) of T'itle I
of the Act are made conditions of this Supplemlentar~y Code, are
~pec~ifically incorporated herein and made a part hereof as the wage,
hour and -labor provisions of this Supplementary Code.
~ARTICLE IV--ORGANIZATION AND ADMIINISTH.YTION
SECTION 1_. During the period not to exceed sixty(60) ays fol-
lowing the ef-fective date of this Supplementar~y Code, the upple-
-mentary Code Conunitt-ee of the Industry shall constitute a temln-
porary Supplemelntar~y Code Authority until the Supp~lemenetary
Code Authority is elected. TIhere shall be constituted within the
sixty-day period a Sulpplementary Code Authority consisting of five
members to be elected by the members of the! IndustryT, at a mleeting
called by the Temporary Supplementary Code Authorit~y, upon ten
dlays' notice sent byr registered mail to all mIlembers of the Industry
whose names may be ascertained~c after diligent search, who may vote?
either in person or by proxy. The members of the Supplemllentaryy
Code Authoritiy fiirst elected shall serve until. the following annual
meeting of the A~ssociation, and thereafter, members of the Suppl)-
mentary Code Authority shall be elected by the members of the In-
dlustry, such election to be held at the time and place of each annual
meeting of the Association to serve until thes following annual meet-
ing. The members of the! Supp~lemlentaryS Code Aluthfority shall be
elected in t~he following mnanner::
(a) One memnber who shall be a member of the Industry by a
majority vote of a1 llmembe~trs of the Industry preent in person or
by proxy, each mlemlber to have one vote.
(b) One mrem-tber wh~o is a member of th2e I~ndulstry but not a
mlembrcl of the ALss~cialtio n by3 a majority vote of all those mlemnbers
of th~ IndTusfty, who are not mnembllers of~ the Association, present in.
person~,l or bly proxy3, eachn member~r l to havec onle vote.
In the event that the non-memlberss fail to elect suchl nonl-mlemlber,
then the Adminiiistrator mally appoint such no-n-muemberr formi a list of
two non1-mll~1 embers cubmitted~ by the SuppllemienturyS Ctod Aut~horit~y
as at the time: cons~titutedl.
(c) Thre niiemibers by majority vote of memiiber~s of the A~ssocia-
tiorn, prese~nt in person. or by proxy, weighted on thie basis o~f onle
vocte~ for each mlembe~tr and~ one addcitiolnal voc-te for each $2~5,000.00) or
major fraction thereof of annual sa~lecs in the previous calendara l year
r~epor'ted to the Suppylemencltlr~y Cod~e Authority;; pro-idedl, however,
that no one membelrr may cast more than 23i percent of total number
of vo( t e.< ast.
AQ va:c~ancy in, the membership.~~lil of the Supplemellntary: Cole A~u-
thority mray be filled by a majority vote of the remnainingf members
of the Supplenwni~ltar~y Codle Authority, pnrovidedI that such vacancy
shl~rll be fillted~ from. the class in which. it oc~curl..
In addition the~reto thne AdmrinistI;tratr may appointil a m1CI11embe of
thze Supp~lementaryur Codec Authority whvo without vocte, shall, serve
without expense to the Indu-try.. The r~epr~ese~nntatie who may be
appoinlted~ by the Admi~ inisI~tcrato shall be! given reaso~nable notice of
and may sit at all meerttings of th! ~Supleml~lentney Codr~,te Anthority.
SwrwN(I~ 2. Each trade as oe~intion~ directly or indlilcretly1 partici-
pa;ting~, in tIhe selection (Ir activr-itiels of the Supplemnc'tar CdeAu
thority shall (1) impose no illeqcuitalble restrictions on admi,~sson'tCul to
membersh~.' Iip, andX (2) submit to the Athnini.-tr~atl.r truec copies of its
A4rticles; of Assic~iation.I1 Ev-Laws--; Re ula;tions andcJ any~ amellndmlents
when Ilundet there~to, together with zsuch1 other information as tor memII-
Lersh~lip, organrizationl andX activities as~ thee Admciinisl~tratr mal~y deemII
neenssary~~l'L to effectuate the purposes of the Ac~t.
See-rwNc,~ 3. Iln clr~der tha~t thec Supplemnentaryy Code Aultho~r~ity shall
at all times, be truly rcepresenll~ tative of thec Induslltry andc~ in other
I~cresets Compl~,y withn the provisions-rl: of the A~ct. the Admlninis;traltor
may pr.c''ribe sulch] Heariings~ as he niny15 ren~~.runably deenl pr'oper;
lndl, the~reaf;ter,, if he shall fin tha fl~t the Supplementary CodeI? Au tho!~r-
ity is noct truly r~epre.+n~ll;tative or doesl not. in olther repc.ltcts compIIIly
with thl~e p~rovirrions of the Ac!.t, may requ~irec the Iremol~val of any~ or
all of theI~ membel]rls therl''(f, and. maly Imake( an allPpropr)!iate modIlc~ifica~-
.SFCTIOS tl. .it lieiif founrl nrccess1\ilT 111 ordr tl0 .-lippuffl tile at]-
ards rof fa~'ir' conn-ItII on e-abl.e e hrlt un~t h-cri and to~ Iffctuate thean
1)'0'er for ti lo fufefull? pIlllst ***.s I11II1 4. Illi'0(l SHcll oJligntil UIS s 0111
of Iulub.- Whili1 III:iy be Ol.' :1 Ierll1te W Yild ali il
shall biE h41Ii in trust for the lan-pe.,r-s~ of the' Supleme'l'"ntary CLode;
(b) To submit t~o the Administ~rator for his a.p~proval, subject to
such notice and opportunity to be heard as he mayv deemn necessary
(1) an itemized budget of its estimated expenses for the for~egoinlg
purposes, and (2) an equitable basis upon which the funds ne~cessary
to support such budget shall b~e contributedl by mItl~ember of the
(c) ~After such budget anld basis of c-ontr~ibution have been ap-
provedC by th Administrantor, to deltermlinelt and obtainl equitabler con-
tribut~ion as above set forth by all memlbersy of the Indlustry,, and to
that end, if necessary, to instituted legal pr~oceedlings theref~or in its
Each1 member of the Industry shall pay his or its equitable con-
tribution. to the expenses of the m-ain~tenance of the Supplemecntalry
Code Aut~hority, determined as he~reinab~ovce provided, anrd subject to
rules and regulations pertaining thereto issued byS the Administrator.
Only mlembetrs of the Industryv complrinlg with the Supplemenltary
Code and contributing to the expenses of its admliinistr~ation as here-
inabove providled, unless duly exemlpted from making such contri~bu-
tions, shall be entitled to pnr~tic~ipalte in the selection of members of
the Supplemlentar~y Code Authority or to receive the benefits of any
of its voluntary activities or to ma~ke use of any emllblerai or insignia
of the National Recovery Admuin istrant ion.
Thie Supplementary Code Authority shall neither incur nor pay
any obligation substantiall'y in excess of the amount thereof as e~sti-
mated in its approved budlcget. andi shall ijn no event exceed~i the total
amount conatamed in the appr~oved budget, except upon approva~\.l of
th~e Admninistrator; and no subs~equent budget shall. contain any de-
ficiency item for expend:itures in excess of prior b-udgt estimates
except those w~hihthe Administratorl shall have so approved.
SEC'TION 5. Nothing conltainled in this Supplemaentarty Code shall
constitute th~e memnberss of the Supp~lemnentary Code Aluthority part-
ners for any purpose. Nor shall any member of the Suppllemenrtory
Code Authority be liable in any manner to anyone for any act o
any ot~her member, offcer, agent, or employee of the Supplementary
Cocde Authority, nor shall any membelrl of the Suppileme~ntarly Code
Aluthor~ity, exrcising reasona:le. dliigenc~e in the conduct of his
dutis heeuner, lableto nyon "for any action or omission to>
acutie und uner thi Supplemet ary Code, excetpt for his own willful
malfeasance or non-feasance.
SEC:TION 6j. Thte SCupplementary Code Aiuthority shall also from
timue to time furnish to the Basic Coder Aulthorityy designatl~ed in
said Basic Code, such information as may be req~uired~~ to ber fur-
nished undler terms of said Basic Cod'e.
SECTION 7. The Supp~lemnentry1 Code Authiority- shall have all
the powe\rr s andi duties which shall be necessary and irolper to enable
it to fu~lly administer r this Supplem~entary Code andl to etrectuate its
WYithout~ Plimitation to the fol~recoing or anyohrpwr rdte
provided for in this SuIpplementary Code, thler Suplentry Co dtes
Authority shall have the following further powers~ and duties:
(a) To adopt by-la ws andi rules and regu~lations for, and ketep
records of its procedlure and for the administrationl of the Supple-
(b) To obtain from members of thre Industry such information
and reports as are required for th~e administration of thle Supple-
mnentaryT Code. I~n addition to information requlired to be sub-
mnitted to the SuppIlemnentnry Code Aluthority,) members of the Ind-us-
try subject to this Su~ppleelntaryr Code shall furnish such statistical
information as the AdmllilinfIistratr may deeml necessary? folr the pur-
poses rtc~ited- in Section 3 (a) of the Aict to su~ch Flederal and State
agecncie~s as he may designate; provided that. nothingr in this Sup-
plementary Code shall relieve any member of the Indlust~ry of any
existing obligations to furnish reports to any Government agaencv.
N~o individual report shall be disc~losied to any other member of t~he
Industry or any other party except to such other Grovernmnental
:agenlcies as m~ay be directed by the Administrator.
(c) To use such trade asrsociations and other agencies as it deems
proper for the carrying out of any of its activities provided for
herein, provided that nothing herein shall relieve th Supplementary
C:ode ALuthorit~y of its duties or r~esponsibilities under this Sulpple-
mentary Code and that such trade associations anrd agencies shall
at all times be subject to and comply with the provisions hereof.
(d) To make recommenannti ons to the Admlinistratorr for the
coordination of the Administration of this Supplemecntary Codle
with such o-thler codes, if any, as may be related to or effect the
mlemblers of the Industry.
(e) To rec~ommlendl to the Administrator further fair trade prne-
tice pr~ovisio-ns to gover~n members of the IndustryT in their relations
with. each other or with other industries and to recommn~~d to t~he
Administrator me~surercs for industrial planning, including stabiliza-
tion. of employment.
(f) To set up definitions for the various classes of customers
within this indlustryr, s~ubject to the ~pprovalR of th~e Administr trator
provided, however, there shall be nao c~lassification of individual
cu~stomer~s by the Supplementary Code Authority.
(g) To appoint a trade practice committees which sha~ll meet with
thle trade practice commnnittees app~lointedt umlettr such other Codes as
may be relatedl to th~e I~ndustry for the pur~pose of formlulating fair
trade practices to govern the relationships betwPeen emplloyer~s ulnder
this Code and ulndetr uchl other codes,~ to th~e end that such fair trade
practices may be pro~posed to the Adbministrator as amnendments to
this Code and such other Codecs.
(h) To prov'ide appropriately facilities for arbitration of dlifferencess
betwsleen mem~bers of the Industry, and subject to the approval of
thle Administrator,, to p~rescrib~e rules of pro~cedulrre andi rules o effect
comp liaince within awards a7nd detterminatio~ns.
(i) If the Administrator b~lie~ves that anr aactionm of thle SupI-ple-
mentary Code Authority or any agerrncy thereof is unfair or ulnjus~t
olr colt rary to the public interest, thec Admll~inistrIatorl may require
tha~t~ su1ch action be so penC1ded to afford' anl Olopportunity for invecs-
tigation of the merits of such ac~tioni. ]Further action by such Su1p-
plemcnt ary~y Corle Aulthocrity or agency regardingg the matter coml-
p'lainedl of may be taken if approvedl biy the Adlministrator, buit shall
niot be taken if dlisaypp~\rove by the Admiiinistrator w~ithiin thirty days
of noltie to hlinl of intentlion to proceed with suich actioni.
Fscenes, 8. TCo thle extent. peCrmittal byv the Acet an usnntlIIISID to
such rules andr' regulautions as thle Adin~istrto malf1 ny prscrc'ibe, anly
and all information furnished to the Supplementary Code Authority
by any members of this Industry pursuant. to the provisions of this
Supplementary Code shall be subject to verification by an impar-
tial agent agreed upon b~y this Sup>plemnentary Code Authority an
th~e member of the Industry mn quet~ion, or failing such agreementt,
appointed by thle Administ~rat~or, which impar~tial agent. mnay check
so much of ther pertinent books~, accounts and records of such mem-
ber of the Industry as may be required to verrify the accuracy of the
information so furriished.
SECTION 9. Subject to such rules and regulations als the3 Admrinis-
trator may prescribe, thie Supplementary C'ode Aulthlority. shall h~ave
the power to investigate all complaints of allegd violations of this
Supplemnentar~y Codle filed with it by one mIembert~ l of the Industry
against anter member of the Industry.
SECTION 10. Every emnployerI shall provide for the safety and
health of employees during t-he hours and at the pheces of their
employmentt. Standards for safety and health shall be submllitted
by the Code Aut~horit~y to the Admlnini.trato r within three (3) months
after thtfe effective d~ate of the Supp~lemientary Code7~.
AcfrrlCLE V--COST FINDIiG:
~SEPCTEON 1. The S;u~,ppclemen.rtar Code Aluthority shall cause~t to be!
formulated methlod-s of cost findling and a-Lccoulnting c~lapable of use
byg all members of the Industr, andl shall su bmit such melthodls to the
Administrators for r~eviewr. If approved byF the Administtcrar, full
information conce~rninr suLch methods shall be madnle available to all
members of the Ind~ustry3. Therealfter', each mlem~ber of the Indusltr~y
shall utilize such methods to the extent found pracniticablle.. Nothing
herein contained shall be construed to penn'lit the Suppltnememarly
Cfode Auth~ority,, any agent thereof, or any member of the InduLstry
to suggest uniform addlition, perlcellntage or dlifferentia~ls or other
uniform items of cost which are dec-igne.1~' to bel;ing about arbitrary
uniformilty of costs or prices.
Auricia I Coas ano IPRICE CUTTING-
SECTION 1. The sttandards of fazir competition for)l the frcIndustry
with reference~ to pricing practices are dlecla;red to be as follows:
(a) Wilfullyp destructive price cuttingrl is no! unfair method of comln-
pietition and is forb'fiddten. Any-~ member of the IndusitryS or of any
,other Industry or thle customerrs of either may~i at any1\ time complain
to the Supplemenitaryy Codie Anithorit thant any7 f~liledii,'pori~cctitutesc
unfair competition as detructlUtiv~e price'i enttinig, imperilinlg mrall en-
terpr'ise or tend~ing toward ilonop~loly o~r the implairme~nt of code
w~ages and working conditions. Thle Supp1Ylementurlt y3 Codle Authlority
shall within 5 days afford an opportunIty to the member filing the
price to answer sulch complaint and shall w~ith~in 14 days make! a
rulingi or adjucstmient there~on. If suich ruling is no~t coicuriiredc in by
either party to the compl~lainlt, all papecrs -thall be referredl to the
Research and Planlning~ Division of N.R..A. which. shall recnd~er a
report and reconuluend~ation thereon to the Atdmuinistrator.
(b) W~hen no declared emrglrency- exists as to any; given prroduct,
there is to be nzo ~fixed minimum, basis for prices. It is intended
that sound cost estimnatinga methods should be used and that consider-
ation should be given to costs lin the determination of pricing policies.
(e) When an emergency exists as to any given product, sale
below thie stated minim-umn price ofP such product, in violation of
Sectionl 2 hereof, is forbiddien.
SECTION 2. Em~z~ergenc Provisione.--(a) lIf the Adlministrator,
after investiga~tion shall at atny time find both (`1) that an emergency
has ar~isen within the Industry adversely alffecting: small enterprises
or wages or labor conditions, or tending toward monopoly or other
acute conditions which tend to defeat the pu~rposes of the Act; and
()that the determination of the stated mIinimlum price for a speci-
fldproduct within the Industry for a limited period is necessary
to mitigate thre conditions conrstitutinlg such em~ergency and t~o effectu-
ate the purposes of the Act, the Supplementary Codle Authority may
cause an impartial agency to investigate costs and to recommend
to the Adtministrator a determination of the stated minimum price
of the product affected by the emnergaency and thereupon th~e Ad~min-
istr~ato~r may proceed to determine such stated mzinimum~ price.
(b) W1hen the ALdministrator shall have! determined such stated
minimum price for a specified product for a stated period, w1Chich
price shall be reasonablfy calculated to mitigate the. conditions of such
emergency and to effectuate the purposes of the National Industrial
Recovery Act, ]he shall publish. such price. Therea after, during 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 dlestructive price cutting. From
time to time, the Sup~plementary Code Authority may recommend
reniew or reco~nsideraRtion or the Administrator mnay cause any de-
terminations heretmzde~r to be reviewed or reconsidered and appro-
priate action taken.
ARTICLE 'VII-~OP]EN PRICE FILING~
SECTON 1. Each. mlemlber of the I~ndustry shall file w8ith a con-
fidlential and disinterestedl agent of the Supplementary C~ode Au-
tho-rity or, if none, then with such. an~ agent de~signatedl b th Ad-
mlinistra~tor, identified lists of all of his prices, discounts, rebates, al-
lowannces, and all other ~terms or conditions of sale, hlereinafter in
this article referred to as price ter~ms ", which lists shall com-
p~letely and ne~cura~tel conform to and represent the indlividual pric-
ing practices of said member. Such lists shall contain th price
terms for all such standard products of the 'Indlustry as are sold or
offered- for sale by saidl member and for such non-standardr products
of sa;id mlember as shanll be designated by the Supplementary Code
Authority. Saidl price terms shall in the first instance he filed within
twenty (20) dlays after the date of app~lrovnl of this provision. Price
terms and revisedl price terms shall b~ecomne effective immediately
upon rcceipt, therecof by said agent. Immnedliately ulpon receipt
thereof, said agent shall by telegrap~h or other eqluallyy prompt means
notify said member of th~e timle of such~l receip~t.. Such lists and re-
viuio~ns, tog~ethier rit~h the effective~ time thecreof, sha~ll upon0i receipt
hec immedl~ialtely andc imul~ltaneousrily dlistribulted to all members of the
Industry aInd~ to all of their CusltomersI' who hav'e applied therefore
and have offered to defray the cost actually incurred by the Supple-
mentzary Code Authority in the :preparattion and distribution there-
of and be available for Inspection by any of their customers at the
office of such. agent Said lists or revisions or any part thhereof shall
not bes made available to any person until released to all mremnbers of
thEe Industry and their customers, as atforesaidI; provided, that prices
filled in the first instance shall not be released6 until the expir~ation
of the aforesaid twenty (20) dayJ period after the approval of this
Code. The Supplementtary Code Authoritly shall maintain a pe~r-
mlanent file of all price terms filed- as herein provuied7, and sha~ll
nlot destroy any part of such records except upon written consent of
-t-he Admrinist~rator. Upon request the Supplementa~ry Code Au-
thority shal;ll furnish to the Administrator or any duxly des~ignalted
agent of the Adinrllistrastor cop~ies of any suc~h lists or revi.;ionls of
SECTroN ~2. When any member of the Industry has filed any re-
vision, such memnber shall not file a higher price within forty-eight
SECTION 3., ECO Illlc1embe of the I~ndustry shall sell or offer to sell anly
products of the Industryr, for which pr1ic~e terms have been. filed pur-
seant to tht~e provisions of this article, except in ne~cordnnc~e with such
SCECTIO~N 4: NO member of t~he Indulst~ry s~hall center intol any agcre'e-
ment, u~nderstanding,. comnbination or conspiracy to fix or maintain.
price terms, nor cause or attfemllpt to cause any member of the In-
dus1tryT to change his price terms by the u~se of i int imidat ion, coeremc. n,
or any other influence inconsistent with the maintenance of the free
and ojpen manrket, which it is the purpose of this Article to create.
ARTICLE VIII--UNrAIn TRADIE Pu.\cTIC'ES
In aLddition to the Unfair TradZe Practicesz coverr~ed~ by Article VT
(exce t i ng Sections A, B, C, E, Fi, and G) of the Basic Codte as
though herein r~epeazted3 and set forth at length, and for all pu~rpyoses
of this Sugppelemnta r~y Codet the follow~ing described acts shall con-
stitute, unfair practices. Any mlemnber of the Industry who shall
directly or indirectly through any officer, emlployee, agent or repr~e-
sentativec usie or employ any of su~ch unfair practices shall be guilty
of a violation of this Supplemientaryr Code.
RULE i;. IHUcrcc1Pctc!le 1f~~lnt/Pr/8/y R Inemlber of the Indlustry
shall publish adv~er~tising6 (wheth-er sprinted', rad~io, display or of any
other nature), which is mnisleadling or- false in anly material par-
tricla~r, nor shall aIny' membe in any rasy muisrepresenttln any goodLs
includingg but ~i~t~hout limitationl its use, trade markb grande, quality,
qua"ntity, origin, size, substance, characters, nature, finish, material,
cojntelt, or pr1eparation)l or credit terms, value policies services
jr thre nature or form of the business covnduc~ted.
RULE 2. FG 38 B;7rl 7/Ry-~ O members of the Industry shall kinow-
ingly withhold fromz- or insert in any quotation or invoice any state-
ment that makes it inaccural~te in. anyi malter~ia particular.
.RULE 3. Z'lAE(GC~rate Labeling.--No mlemblr of the- Ind~ustry shall
brand or mark~ or plc-k any goods in any) malnnler which is intended
to or does detceive or mnislead~ purchasers with respect to the brand,
grrade, quality, qualntity), origin, size, substance, character, nature,
Onish, material, content or preparation of such goods.
RULE 4. Defamation.-No mnemlber of the Industry shall defame
a competitor by falsely imputing ~to him dishonorable conduct, in-
abilityr to perform contracts, qluestionable credit standing, or by
other false representation, or by falsely disparaging t~he grade or
quality of his goods.
RUlLE 5.. Threatsf of L~aw Suit~s.--No member of the: Industry shall
publishn or circulate unjus-tifiedl or unwarranted thr~eats of legal pro-
ceedings which tend to or have the effect of harassing competitors
or intimnidatingr their customers.
RT;LE 6. Tedbnte8.--RO Hltriember of the Ind'ust~ry shall secretly offer
or ma~ke any paymllent, or allowance of rebate, refundl, commission,
credit, unearned dlisco-unt, or excess allowannce. whether inl the form of
money or otherwise, nor shatll a mnemlber of the Indlustry secretly
offer or extend to any customer any special sernce or privilege not
exte~ndled to all customers of the samle class, for thbe purpose of in-
fluencing a sale.
RULE 7. Se/il~ltry on, Consiy;;I"" nt..- No member of the Industry
shall ship goods on consiiglnment; except undcr circumstan ces to be
definled by the Supp~lementuryr Code Authority and approved by the
Admlinist~a~tor where peculiar ci rciumsta~nc:esi of the Industry require
ERun~ 8. Commercial Briber.'ly.-No member .of the Industry shall
give. twrmiit to be given or directly offer to givec, anyrthing ofy vlu
-for the pu~rpose of influencmng or rewarding the netion o n m
plooyee, agent or representative of another in relation to the business
of thne employer of such employee, the principal of such agent or the
repr'eseted party, without the knowledge of such employer, prmn-
cipal or party. This provision shall not be construed to prohibit
free and general distribution of articles commonly used for atdver-
t.ising except so far as such articles are actually used for comnmertcial
bribery as hereinabovet defined.
RUL 9. Islterfrrfc-cc w0187 dln.0/A-OF'&s CO% trat.-RO Rmember of th
Industry shall wilfully induce or attempt to induce the breach of a,
contract between a comlpetito~r and his c~ustomercl or sourlce of supply,
nor shall anly such member interfere. wiith or obst~fr~ct. the performance
of such conltrnetual dulfties or services.
RULE 10. CorC'ICionl.-N\ o m~emlber of thle Industry shall require that
the pulrcharse or lease of any goods be a pre-requisite? to the purchase
or lease of anly other goodts.
RUtnLE 1.1. ,Cu bRf;C c/H~ r.NOR. mlemIber of the I~ndustryr shall fu rn ish
articles mor~le or less expensive, of better or infer~ior qua~lity, or of
sizes Inrger or smanller, than specifiedl without maklling the proper
adljus~tments in thle quoted price and clearly indicatingr th nature
of thle subst itut ion.
RULE% 12. i,,,Lump Surn. Bids.--No memlber of the Industry shall sell
or o~terr to sell twor or mlor~e comodlllciities onle of whlich~ is a product
of this Indlustry, without clearly stating the unit price of each such
REtLE 13. Lum~p RuIn1, Con~rcact.--No members of the Induistry shall
sell or offer to sell ecec~pt on the p~r~ice dchedule s sh~owin g eachi itemi
separately, and items shall not be lumped for bidding or sale in any
manner other than provided in such price schedules filed by him and
in effect at, the time.
RULE 14. D~e~fat in, Contraicts.--No m~ember of the Industry shall
fail, for the purpose of evading price schedules or securing a cus-
tomner's favor, to enforce the provisions of all contracts.
Rurs: 15. Repor~ts of De-fau~lts and Cac~ncel~lations.--N o member of
the Inldustry shall fail to report to the Supp,~lementary Code Author-
ityT anyp or all defatults onl contracts, or exccellation1 thereolf, givingl
the attending eirc~umstances: and the action actually taken by such;
mlember of the Industry wlithl Ierespect to sulch default and/or cancel-
RULE 16. Goods Retfui~irned or Purchaused from, C~ustom~er.--No memll-
ber of the Indlustry3 shall necept, in lieu of other value, or otherwise
pyor extend credit to his customer for the r~etur~n of, used parts
andi/or products of obsolete design, except at his filed price for scrap
RULE r?. ilPewcAG888 IfOMn Czktb881rs.--RO member of the TIn!~ls-
try shaoll, for the purp~ose of influencing a, sale, p~u~chanse proutlc'ts
from~ customers or co~nsumllers of the products of this Inlust~ry, at
prices hivherl than the publishedl prices of the Industry from which
these prlodulcts are obtained.
RUiLE 18. TCP/73 Gnd OHR///ONSii l Of C70lflracts.-NP~o member of the
Indtustry shall fail to aldo~t, and ma-~intain unriform contract terms
and condlit~ions to be estab~lishedf by the Supplemenrtallr1y Code Author-
:ityv and approved byr the Administrator.
RuJLr 19. Credit: Termys.--No mlltembe of the Ind~.ustry shall fail to
adopt, and manintain such~ uniform credit termlls as: are estalblishedl byr
the Supplementary Code Authority and approved by7 th~e Adminis-
trator. Such credit terms shatll appear on all quortationls, coiiintracts
invoices, accepl:tances of orders and price lists or discount sheets.
lRULE 20. F~eiight Allowoarnces.--No member of the Industry shall
fail to adopt and maintain a uniform practice as regards freigh~t al-
10wance~s, s~c~h uniform practices to be filed with the Supplementary
Code Authority. The condlciitions of freight allowainces shall appear
on. all quotatiojns, contracts, invoices, nccpltances of orders, and price
lists or discount sheets.
RUL;E 21. Defiiit~~ion of Custorn.ers.--No nIntIJher' of the Indus~try
shllnl fail to comply with the definitions for various c~lasses of cus-
tomers set up by the Supplementary Code Authority and approved
by the Ad:lnunistratori as in Article IVT, Section 7, sub-section (f)
here~in prov-ided. Quotations, prlicesf, dliscountsi credit termsli, allow-
ances, or other conditions of sale shall be nuidelr on the baslisj of such
definitions~ and dev-iations ther~efr~omi shafll constitute unfair me~thods
of competition and a violation of this Supplemnentary Code.
No procvisionss of this Supplementary Code shall be so applied as
to permit monopolies or monopolistic ~r~actic~es or to eliminate, op-
press or dlisc~riminate against small enterprises.
UNIIVERSITY OF FLORIDA
14 3 1262 08853 8326
SECTION 1. ALs provided in Section~ to (b) of the Act, the President
mnay from time to time cancel or modify atny: order, approval, license,
rule or regulations~ isuedl under~i said -Act.
~SECTIOUN 2. This Supplt~lemetaryl Code, exrcep~t as to provisions re-
qu hired by the Atct, may be mod~i fiedl or amnendled on the basis of experi-
ence or changes in~circumstances, suchr modifications or amendments
to be based upon ap~plicationl by the Supplemlentary Code Authority
or other r~epre~sentative group within this Industry to the Admin-
istrantor and such notice and lear~ingr as hie shall specify and to be-
come e fective and be a part of this Su~pplementary Code on approval
by. the Pr~esident, of the U~nited States.
ARTICLE XI-PRICE INCREASES
Whereas the policy of the Act to increasee real purchasing power
will be made more difficult of consummatiotin if3 prices of goods and
services increase as rapidly as wFages. it is recognized that price in-
cr~eases except such as may be required to meet indlividual costs should
be delayed, and when made, such increases should as far as possible
be limited to actual additional increases in the seller's costs.
AlRTIC'LE XII EFFECTI~E DATE
This SupplemenmtaryT Code shall become effective at 12: 01 o'clock
A.M". On the tenth day after its aLpp'\rova.
Allprovael Codte No!. S-1--Supplemtlent No. 51.
Registry No. 1328-15.