SU.S. DEPOS11 -
GOVERNMENT PRINTING OFFICE
Fbrsae bythe Buperintendentor Documente, Washington, D.C. .- Price 5 enia
Approved Code No. 84--Supplement No. 47
Registry No. 1149--30
NATIONAL RECOVERY ADMINISTRATION
S UPPLE M ENT ARY
CODE OF FAIR~ COMPETITION
(A Division of the Fabricated Metal Products
Manufacturing and Metal Finishing
and Metal Coating Industry)
AS APPROVED ON AUGUST 23, 1934
WE DO OUR PART
UNrIV. OF[ FL, LIB.
DOUYMISs DE PT.
This publication, is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D.C., and by5 district offices of th~e Bureau of
Foreign and Domestic Comm~erce.
DISTRICT OFFICES O)F THIE DEPARTMENT OF COMIMERCEE
Atlanta, Gta.: 504 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mase.: 1801 Customhouse.
Buffalo, N.Y.: Chamber of Commnerce Building,
Charleston, S.C.: Chlamb~er of Commerce Building.
Chicago,711.: Suite 1706, 201 North W~ells Street.
Cleveland, Ohio: Chamber of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
Detroit, Mich.: 801 First National Baank Building.
Houston, Tex.: Chamber of Commerce Building.
Indiatnapolis, Ind.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
Kansas City, Mo.: 1028 Baltimore Avenue.
Los Angeles, Calif.: 1163 South Broad~way.
Louisvrille, Ky.: 408 Federal Building.
M'emphis, Tenn.: 229 Federal Building.
Minneapolis, Minn.: 213 Federal Building.
New Orleans, La.: Room 225-A, Custtombhouse.
New York, N.Y.: 734 Custombouse.
N'orfolk, Va.: 406 East; Plume~ Street.
Philadelphia, Pa.: 422 Co~mmercial Trus~t Building.
Pittsbxirgh, Pa.: Cha~mber of Comamerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 506 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, WaV~sh.: 809 Federal O~ffice Building.
Approved Code No. 84--Supplement. No. 47
SUPPLEMENTARY CODE OF FAIR COMPETITION
PIPE TOOL1[ MANU-FACTURING INDU)I~ STRY
As Approved on August 2r3, 1934
APPROV'INo SUIPPLEM~ENTARY CODE OF FAIR. COMPETITION ]FOR THE PIPE
TOOL (A N UFACTURING IN'DUSTRY
A1 DIVISION OF THIE FAB3RICA4TED MIETAL PRODUCTS MAN7FACTURING AND
MIETAL FJINISHING. AND METAL COALTING INDoUSTRY
An application having been duly made pursuannt to and ini full
compliance with thie provisions of Title I: of the National Industrial
Recovery Act, approved June 16, 1933, and in accordance with the
provisions of Section 1 of Article VI of the. Basic Code for the ]Fabri-
cated Mletal Products Mianufacturing and Mtal F~iinishing and fet~al
Coatinga Industry, approved November 2, 1933, for approvall of a
Supplementary Code of Fair Competition) for thew Pipe Tool Manu-
facturingr Industryn, and hearing having been duly hleld thereon;
and the annexedl report on said Suppl'lementar~y Cocde, containing
findings wvith respect thereto, having been m~ade aInd directed to the
NOW THEREFORE, on behalf of the ]Presidlent of the United
States, 1', Hugh 8. Jo hnson ALdmninistrator for Indus~trial Recovery,
pursuant to authority vested in me byv Executive Orders of the Presi-
dent, including Executive Order No. 6.jM3-A, dated December 30,
1933, and otherwise; d'o hereby incorporatej by reference said annexed
report and do find that said SupplemlentaryS C~ode complies in all
:respects writh the pertinent ]provilsions and wiill promote the policy
and purpDoses of said Title of said Act; and do hereby. border th~at
said Supplementary Code of Fair Comnpetition be and it is hereby
Hean S. JoHNso.S~
Aldm~linistraor for Ind~ustrial Recover~y.
Baronu W., 1\fURRaAY,
DivLision. i Admineist rator.
A ugustf 2, 193$.
REPORT TO THE PRESIDENT
The Wihite H~oulse.
SIR: T'his is a report on the Supplemuentary Code of Fair Compe-
tition for the Pipe Tool Ma2nufacturingr Industry, a division of the
Fabricated Metat~l Products Mvanufacturing and Metal Finishing and
Metal Coating Industry, the h-earing having been conducted thereon
in Washington, I).1. May 10, 1934 in accordance with the pro-
visions of Title I of the National I~ndustrial Recovery Act.
The Pipe Tool Mnrlufactuxring Industry, becingr truly representa-
tive of this division of the Fai~bricated Metal Products- Manufazctur-
ing andl M9etal Finishing and Metal Coating; Industry, has e~lec~tedl
to avail itself of the option, of submitting a Suppl~ementatry Code
of Fair Competition, as provided for in. Section 1 of Article VI of
the Basic Code, for the Fabricated Me~ltal Products Ma;lnufaucturing
and Metal Finishing and Metal Coating Industry, approved by you
on the secondI day of Novemuber, 1933.
mI:Cal f:- OF THEtF CODE
Article I states thle purplose of the Supplemen~ltaryS Code.
Article II accurately defines Cpcl'ific: terms employed in the Sup-
Article III. This Industry is a division of the Fabricated. Metal
Products ManlIufacturing and Metal Finishing and Metal Coating
Industry aInd the labor provisions of its Basic Co~de, as ap~proved
November 2, 1933, are the labor provisions o~f this Sup~plemen~ltary
Article IVt establishes a Supp~clrlemntary Code Aulthority consist~-
inlg of five (5) members to be elected at a meeting entled by the
Temporary Suppleemetary Code Authority, and gives the Admuinis-
trator the authority to appoint one additional members without vote
and provides machinery for obtaining statistics anmd the admninistra;-
tion of the Suppkr~-inentur Code.
Article V providers for cost finding and accounting.
Article VIl provides for open price filing.
Article VII provides means for pr~eventing~ destructive price
iArticle VIII sets forth the unfair trade practices- of this Sup-
plemnentary Code which have been especially des~igned to offset unr-
fair competition in this division of th~e Inldustry.
Article IX; sets forth th-at no provisions of this Suppleminentaryy
Code relating to prices or terms of selling, shippinrg or marketing,
shall apply to export trade.
ALrticle X contains the mandatory provisions continued in Section
10 (b) of the Act and also provides for the submission of proposed
amnendmrents to th~e ,Supplementary Code.
Article XI provides against monopolies andl monopolistic prac-
ALrticle XII recognizes that price increases be limited to actual
additional increases in. thle seller's costs.
Article X]III1 states th~e effective~ date, and duration of this Sup-
The Acting D~eputyv Admlinistrator in hnis final report to me on
said Supplementary Code having found as hereini setf forth and on
the basis of all the proceedings in this matter:
I: fid that:
(a) Said Supplementary Code is well designed to promote t~he
policies and purposes of T'itle I of the National Industrial Recoveryr
Act, including removal of obstructions to the free flow of intrstat
and foreign commler~ce which tend to diminish the amount thereof
and will provide for the general welfare by pr~omot~ing the organlizai-
tion of industry for the punrposes of cooperative action among the
trade groups, by inducing and mnaintaimlng united action, of Ilabor
and management under adequate governmental sanctions and s~uper-
vcisin, byr eliminating* unfair competitive practices, by promotingr
the fullest possible utilization of the present prloduct~ive capacity
of industries, by avoiding undue restrictions of production (except
as may be temporarily r~equiired), by increasing the consumiption of
industrial and agricultural products through increasing pulrchasing
power, by reducingi and relieving. unemployment, by improving
standards of labor, and by othlerwise rehabilitating industry.
(b) Said Industry normally emlploys not more than 50,000 emn-
ployees; 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 TIitle of said A~ct, includingg~~
without limitation Subsection (a) of Section 3, Subsection ()o
Section 7, and Subsection (b) of' Section 10 thereof ; and that the
applicant association is an. jinustrial association truly representative
of the aforesaid Ind-ustry; and that said association imposes no
inequitable restrictions on admission to membership therein.
(d) Trhe Scupplementary Code is not designed to a.nd wIill not per-
mit monopolies or monopolistic practices.
(e) nThe Su pplementary Code is not designed to and will not
elimiate o opprss sm ll eterprises and will not operate to dis-
criminate against them.
(fE) TIhose enlgagedl 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, therefore, I have approved this Supplem'entary
Hona 8. JoHNwon,
AUGU~ST 23, 1931.
SUTPPLEMi~ENTARY~n CODE OF FA~IR COM/~PETITIO)N FOR&
THE3E PIPE TOOL MA/INUFACTURING INDUSTRYI
A DIVISION OF THLE FABRICATED MrETAIL PRODUTCTS MANUFAC'TURING' C AND
METAL FINISHING ANUD M\ETAL COATING INDUSTRY
ARTICLE I-FURPOr SES
To effectuate. the policy of Title I. of the Nationatl Indtustrial Re-
covery Act, the following provisions ar establish-edl as a Supp-le-
mentary Code of -Fair Competition for the Pipe Tool Jlanu~fact~uring
Indcutry,, pursuant to Alrticle VI of the Bas~cic Code of Fa~rir Compe-
tition for the Fabricated Metal Products Mar~nifac~turiing and Mtietal~
Finishing and Me~tal Coantingr Industry, approved~r by t~fhe Preisident
of the U~nited' States on the 2nd day of N8ovemelrh 1933, and the
provisions of this Supp!eme~ntar~y Code shall b1 e the Standafrds of
F~air Competition of such Industry and shall be binding on every
ARTICLE I 1--DEFINITIONS
SECTION 1. Thle termr "C Pipe Tool nlanru facturing Inld st r y ", here-
afterI rcfcrre~d to as "Cthe Indtustry3 ", is definedl' to mean the mranu-
facture for sale of -Pipe Tools drefined as H~and ~A,:phpliances (eexcept
Pipe WPrenches) for fabricating pipe systems, sc as Stocks rand
Dies, Pipe Cutters, Pipe Burring Reamers, Pipe Vises, Pipe V~ise
Stands, Pipe Vrise Posts andi other hand appliances used for thre
same purpose as the above limited appliances are usedp1 for fabricating
S.E(TICIS 2. The terrl '" emp-~loryee as usarr( heincl, includes any and
all persons engagred in the Industryr however compensatedt, tiexcet a
memberl~cl of the Indust-ry.
.S;ECTION 3. The term employer "' as usedl herein, includes anryone
by whom any suchn emplloyee is comipensated- or empllloyedc'.
SECTIION 4. The term member of the Indurstrp '" as used~ herein, in-
cludes, but without limitation, any individual, partnership, a-ssocia-
tion, corporation or other form of enterp~rise e~gngaedl in the Indus~itryS
either as an employer or on his or its own behalf.
Swr .Te -terms "'Presitenlt ", "A~ct;" and "Admtinsl~;tratoor "
as used herein, shall mean resp~lectively the President of thle United
States, Title I of the National Indlustrial Reicov~ery Ac~t, and the
Administrator for Itnd'ustrial Rhecoe~ry.
SET'TroN 6. The term Basic Code ", as us~el herein, is defined to
mean the B1asic Code of Fair Competition for the Fabricated MIetal
1Products Manlufactulri ngr and16f Metal F~inishling and Mfetal Coating
Industry, as approved by: the President on th e 2nd day of ~Novcmbjer
SECTION 7. rThe term "' Supplemel11nntury Code AIuthority as used
herein, means the agency which is to administer this Supplementatry
Code as hereinafter provided.
SECTI~ON 8. The term "L Supplementanry Cod~e Committee as used
herein is defined to meanl the Board o~f Directors of the Pipe TCoo~l
Manufacturers Association, aulthorized by that Association to present
this Supplem~entary Code.
SECTION 9. Thle. term "Secretary as us~edl hteeinl, is definecd to
mean the Secretary of th SuUpplementary Code Auth~ority']P.Cl i
diefinled to mean thne partial agency designated by the Supple-
mnentar~y Code. Authority.
SECTON 11. The term '"Federation "" as usedr herein, is defined to
mean Fabricated Metal Products Federation or its successor.
SEC''O 12. The term "'Association ", as used herein, is defined~
to mea the Pipe Tool M~anufacturers Associationl or its successor.
AnrormE ~III-EMPLOYMENT IPROVISIONS
This Indurstry is a division of the Fabricated Mlet~al Products Ma~n-
ufactizring and Metal F'inishingr and Meal Coating Indu~st~ry and
w~ithoult hlmit.at~ion the wagre, hour and labor provisions in Article
III. of its Basic Code as aapprToved by the_ President.. November 2I,
1933, including Section 1 of said Article III[3, by which the provi-
sions of sub-sections (1), (2) and (3) of Section ?f (a) of Ti~tle I
of the Alct' are made conditions of this Code, are ri~pecificallly in-
Corporated herein and .madfe a part hereof as the wage, hou anda
labor provisions of this supplementary Code.
AnucLE ]IO~'IVOoszArzon BNo ADMINISTATON
SECTION 1. During the period not to exceed sixty (60) days fol-
lowing the effective date of this Sulpplementar~y Codle, the Suipple-
mentary Code Committee shall constitute a 'Temiporary Supple-
mentary Clode Authorit~y, until the Supplementary Code Authority
There shall be constituted within the sixty (60) day period a
Supplementary Code Authority consisting of five (5) members of
the Industry, to be elected by th members of t~he Tudustry, at a
meetings called by the Temp~orar~y SupplementaryB Code AuthorityI,
upon ten (10) days' notice sent by registered mail to atll members
of the Industry, whose~ names mtay be ascertained after diligent
.search, who may vote either ini person or by proxy. The members
of the Supplementary ~odie Authority first elected shall serve until
the next succeeding annual meeting of the Association in October,
1985. Thereafter, members of the Supplementary~ CoTde usthort
shall be elected at a meeting of the members o h nutyt
be held at the time tand place of each a~nnual mneeting of the Aso-
ciation to serve until th following annual meeting, due notice of
the time and place of the election to be sent to all members of
the Indus~ctry whose. name; may be a~certainedr after diligent search.
The members of the Supplemnentarly Code Authlority shall be
elected in the following manner:
(a)~ One (1) member who shall be a, member of the Industry by
a majority vote of all known members of the Industry present in
person, or by proxy, each member to have one vote.
(b} One (1) memlber of the Industry who is not a member of th~e
A.ac~iarition many be elected by a majority vote of aill non-membe~rs
of the A~ssociation present,. in person or by proxy, each. memnbe~r to
have one vote.
(c) T1hree (3) members by a. fifty-one percent (517'o) i-ote of
members of the Abssoc~iation; present, in pers;c~l nor by praoxy, weigahted
on thea basis of one vote for each mbembelr and inte additional~l vote
for each $5,0000(..(0 of annell!: net; sales in thre previous enltendaT:r year
reported to the Supplementary Code Aurthority or any agency
ded~~gna~ted by it provided, h~owYever, that no one. mlembe'~t r my cast
more than twenty-five percent (259.) of thne total number of votes
Ai vacancy in the membership of the Supplellmel~nta4 Code ~u-
thority shall be filled. by a majority vote of the rem~aming mnem-
bers of the Supplementary Code Authorityg provided, however, that
the vracancy shall be filled from. the class of membership in the
Supp~lementazry Code Authority in wTYhich suchr_ vacancyr13 ocur.CI'S
In addition thereto the Administrator may appouint a mlemnber of
the S~uppxlemenktary Code Authority who without vote shlall serve
wiTthzout expense to the Industry, unlless the Suppl>ementary C'ode
Authorcityj agrees to pay suc~h exp~ense.. Thle representatives e who ~maY
be azppointied by the Adlministrator shall be given reaso~nable notcee
of and mnay sit at all meetings of the Supplementary Code AurthoritS.
SECLTlIN 2. Each trade association dirc~tly or indirect~ly particl-
pating in the selection or activities of the Suplplemerntary Code Au-
thority shall (1) impose no inequitable restrictions on admission to
membership,~;lip and (2) shall use due diligence in subamitting to the
ASdministrator true copies of its Articles of Association, By-Laws,
Regulla~tions and any amendmlllents; made thereto,. together with, such
other information as to roombier~ship- organization, and activ-ities as
the APdministrator may deeml1 nececsary to effectu~a~te thle p~r~po~se of
SEcTIrON 3. Ill Order that the Supplemenntar~y Cod~e Author~ity -shalll
at all times, be truly representattive, of the Industry and in other re-
spects 1.comp~ly with thLe provisions of the ALct;, the Adnllinist.rat~or
masy prscr~'ibe' such. hearings as he Imay de~m pro~per;. and th~1erefte r
if h~e shall find that the Su~pplemnentary Code Atutho~rity is not truly
repretsentative or does not~ in other respects compl~jy waith~ the provi-
sions of the, Ac~t, mayIl lrty require an appropriated modlification of the
SupplementaIr y Coe Auhorty
Secrom4. t eingf found n~ecessarliy in order to support the ad-
mlinistratioln of this Sucpplemlentury5 Cods and to maintain thef standi-
.ards of fair competition estalblishedl h!-reunderlcr and to effrect~uat. this
polic;- of th~e A~ct,, the Supplemeltntary~ Code A~uthorityli is au~thorizedl:
(a) To incur such reasonable o~bligrations as are necessnlary and
proper for the foregoc-ing purposes and to mteet .suchl obligantio~ns out
of funds which may be raised as hlereinalfter~i proided~i~c and which
shall be held in trust f~or the purposels of the Sulppt' lementary Code.
(b) To .submrit to the Min'llinistrator for his app~roval", sub~jec~t to
such notice and opportunity to be heard as he may~ dfeeml nectesisar
(1) an, itemnizedl budget; of its estima~ted~ expenses. f~or tie~ foregroing
purIposes, and (2) an1 equitable basis upon which the: funds'neces-
sary to support such budget sharll be CUntr~ibuted by memb~jers of the3
(c) After suc budget and basis of contr~ibut~ion have been ap-
provFed by theo Adlministr~ator, to deternuine and obtain equitable con-
tribution as above set forth by aU llmemberCI s of th~e Indtustry, anld to
that end, if necessary, to institute legal proceed''ings thcre~for in its
Each micriembe of the Indlustr~y shllnT pay his or its eqluitab~le conitri-
bution to the expenses of thne malintcenan~ic e o~f the Su~pplem~en~tur
Code Aut~hority, de~ter~mined as herein~above pro~vided, andi sulbject
to rules and regulations p~erta iningf thlereto issued~ by theAdliis
trator. Only" membeljrs of thre Industry\ comlplying; withc the iSupple-
mentary Code and contributing to th~e expenses of its adminiistra-
tion as hereinabovec provided, unless duly erempted froml makling
such contributions, shall be entitled to parlticipate in the se~lectionl o~f
members of the~ Supplementary Code. Authority or to receive her
benefits of sn~y of its voluntary activities or to makll e useir of anyT
emlbleml or ins~igni of thle Nationa~l Recoveryr Admninistration.
The Scupplementary Code AuthorityT shall ne~ithecr incur nor pay
any oblig~ation sublstantially in excess of the amount therleof as est-
mated in its app~~roved budget; and shall in nlo e2vetnt exceedl th
total amount continued in the proved budget except. upon thle ap-
proval of th~e Ad~cministr~ator, andc no subsequent budcget shall con~-
tain any deficiency items for expendlitures in excess of prior budget
estimates exceptt those. which th Admlrinistrator s~hall. have so
SECTION 5. The Supplemelntary Code Author~ity shall have all
the powers an duties which shall be nlecessary and pr) ;;op'er ~l~~to en-
able it to fully adm~inister this Supplemen~tary Code and oefcut
its purposes. Without limitatiorn to the foregoring or any. other
powers or dut~ies provided for in this: Supplemncltary Code, the Sup-
plementary Code A~uthority shlll have the follow-ing further power~s
(a) To adopt By-Laws and Rules and Regulations for its pro-
(b) To obtain. from members of the Industr~y, tharough its Con-
fidential A9gent, such information and re~por~ts as required for the
administration of this Suplemecllnt aryS Code. In addiition to infor-
mation required to be submitted to thle Supplemientanry Code ALuthor-
ity, the members of thle Indlustr;ly, subject to this ~Supplem'entary Code,
shall funish such~ statistical information as the Adm!niltraltor miay
dieem necessary for thle purposesy recited in Section 3 (a) of the Act,
to such Federal and State agencies as hc many designated; provided
thlat n-othing in this Supp~lementa ryy Code shall reliev-e any. member
of the Industry of any. existing- obligations to furnish reports
to any Governruent agent. No indivcidual report shall be d~isclosed
to any other memiber~s of the Indlstry or any other party except
to suchl other Gocvernlmental agencies as may" b~e drectedl by the
(c) To use such tradle associations and other agencies as it de~ems
proper for carrying ouit any of its activities p~rovided for herein,
provided that nothiing hecrein shall relieve the LSupplementary Code
Authority of its duties or responsibilities under thiis SupplementaryV
Code and that suchI trade associations and agencies shlall at all times
be subject to and comply with thle provisiions herieof.
(d) To make recommendations to the Atdmninistrator for the co-
ordination of the administration of this Supplementary Code with
such other codes, if any, as may be related to or aff-ect the members
of this Industry.
(e) To appomnt a trade practice committee which shall meet wFith.
the trade practice committees appointed under such other codes as
may be related to ~the Industry for the purpose of formulating fair
trade practices to govern the relationships betw8'en productiolil and
distribution employers under this Supplementarly Code and under
such others to the end3 that such fair trade practices may be proposed
to the Administrator as amendments to this Code and such other
(f) To recommend to the Administrator further fair practices
provisions to govern members of the Industry in their relations with
each other or with other industries and to recommend to the Admin-
istra~tor measures for industrial planning, including stabilization of
(g) To furnish from time to time! to the Basic Code Authoority des-
ignated in said B3asic Code such information as may be required to
be furnished under the terms of the Basic Code.
(h) To appoint a committee, with consumer aft~d governmental
representatives designated by the Adrninistra~toi'; to make~ a study of
dimensional and quality, standards to be applied to the products
manufactured by this Industry. Sucih committee shall report within
at least six (6) months to the Supplementary C~ode Authority, anid
if the recommendations of said commiittee atre approved by the Sup~-
plenrient~ary Code Authority and the Administrator, the standards
thus established shall be adher~ed to b all mnembrs of thiis Industry
in manuf~acturing the products of ttbs Industiry.
SECTION 6j. Pursuant to the p~roviTsions of the~ Act and subject to
such rules and regulations as the! Administrator may prescribe, the
Supplementary Code Authori~ty shall have the power to investigate
:Ill complaints filed with it by one member of the ludustry agamist
another member of the Industry. In the ev~ent of complaint being
registered w~ith the Supplementary Code Authoriy against any cor-
porate member of the hIdustry, alleging a vriolation of this Surpple-
mentary~ C eteSplementary Code Authority may cause an in-
vnestiati one to e maeby a .person mutually agreed upon by the
Supplementary Code Authority and the .member of the Industry
against whom the complaint is filed, or, if they a~re unable to agree
within a reasonable time, by a di~sinterested person appointed by the
Administrator. The Supplementary Code Authority may require
the member complained against to file with such investigator, within
such reasonable time after receipt of a copy of the complaint, if
the Su~pplementary Code Authority shall determine, an answer to
such complaint accompanied by supporting data. Both answer and
clata shall be verified by affidavit. The investigator shall examine so
much of the pertinent books and records of such member as may be
required to verify the statements contained in said answer and/or the
accuracy of the data supportinga such statements. If the matter can-
not thereafter be satisfactorilyj adjusted within the Industry, the
facts ma~y be placed before the Basic Code Authority to be presented
to th Administrator for such procedure as he mnay deeml advisable
under the Atct;.
SECTION 7. A.11 inclividual and private information rerceived by
the Confidential Agent, ap~poincee or age~cy, froml rep~ortsc, or as a
result of :inv\estigation, shanll be held~l in. strict confidence and. not
disclosed, exccept in complosite formi, to any~ complletitorl or others per-
sons, wr\ithoult thc per~lmission of the member of the Indust~ry in\uvo~lv.
SECTION 8. To the extent p-el~ritted~ by the Act and sulbJect to such
rules and regulations as the Admlinistrator m~ay pres~crib~e, any or all
information furnishled to the Supplementary Codie Authority by anry
member of thlis Industry p~ursllnn to the p~rovisionis of this Suipple-
mentary Code shall be subject to verifienation by an importial agencyu
agreedl upon by the Supplemnentury Code A~uthority anld the membr1)~'
of t~he Indust~ry inr qulestanl und. failing such. agrreeentt suc'h impar-~
tial agency shall be secleC'ted: by thle Administrator,, which imlpartial1
agency may checks so mulch of thle per~tinenlt books, necounts and
records of such member of the Industry as mayLSZ be rEqulired to
verify the ncuracy of the information so furlnishedl.
SECTION 9. Notfhlng containei- in this Suppl~l lemntEyn~ l Code shll~l
constitute the memblersa of the Supplementary Codle Author~ity par~t-
ners for any p urpose. Nor shall any memlber of the Sulpplemnent31r
Code Authority be liable in any manner to anyone for any act of any
other member, oficer, agent or emlployee of thte Supyplementary Codte
'Authority. Nor shall any member of the Supp~llementar y Code
"Authority, exercising reasonable diligence in the conduct of, hiJ
duties hereuinder, be iable tio anyone for any action or om~issioni to
act under this Supplementary Code, exc~ept. for his owTn willful
.malfenlsanc~e or non~feasance.
SECTION 10. Every employer shall provide for thle safety andl hcalthl
of employees during the hours and at the p~laces of their em~ploy
ment. Standards for safety andr health shlln~ be submlittedl by the
Supplemnentary Code Authority to the Administrator within thrlee
(3) months after t~he: effective date of t~he Supplementaryr ~ Codlte.
SECTION 11. If the Administrator~ believes th~at. any action of the
Supplementary Code Authority or any agency thereof is unfair or
unjust or contrary to the public interest, the Admlinistrator many
require that such action be sulspendred to atf~ordl an opportunity for
.investigation of t~he merits of such action. Further action by sulch
Supplementary~ Codle Authorit~y or agncyv regardling the mlatter
complained of mayg be taken if approved by, thle Adminis:trator? bt
shall not be taken if disapproved by thle Admrinlistra~tor within thirty
(30)) da3ys of notice to him of intention tor pTliiroced withl slc~h ac~tion,1.
Anna1& x V--ro.-Cos FIrsm~sa ,\sr, A~ccor; unsau
The Supplementary Code Aulthority shall cauise to be formulatedl
methods of cost finding and accounting capable; of ulse by alll memnbers
of the Industry, and shall submit such methods to th Adlministrato~r
for review. If a~ppro~ved by the Adminiristrator, full information
concerning such meth~ods shall be made available to all members of
this Industry. Thereafter, eachl member of this Ind~ustry shall
utilize such methods to the extent found practicab-le. Nothiingi herecin
contained shall bet conrstruled to permit, the Sulpplemr entary Code
Authority, any agent thereof, or any member of this Industry to
suggest uniform additions, percentages, or differentials or other
uniform. items of cost which are designed to bring about arbitrary
uniformity of costs or prices.
ARTICLE VI---OPEN PRICE FILING
SECTION 1. Each member of this Industry shall file with at con-'
fidential and disinterested a-gent of the Sumpplemnentary Code
Authority or, if none, then with such an agent designated by the
Ad~ministrator, identified lists of all his prices, discounts, rebates,
allowances, and all other terms or conditions of sale, hereinafter in
this Article referred to as price termss, which lists shall com-
pletely and accurately conform to and represent the individual
pricing practices of said member. Such lists shall contain the price
terms for all such standard products of this Industry as are sold
or offered for sale byv said member of this Industry and for such non-
standard products o~f said member of this Indluttry as shall be desig-
nated byT the Supplementary Code Authority. Said price terms
shall in the first instance be filed within 10 days after the date of
approval of this Supplementary Code. Price terms a~nd revised
price terms shall become effective immediately upon receipt thereof
by said Agent. Immediately upon receipt thereof, said Agent shall
bjr telegraph or other equally prompt means notify said member of
the time of such receipt;. Such lists and revisions, together withn the
effective time thereof, shall upon receipt be immediately alnd simnul-
taneously distributed to all members of this Industry and to all of
their customers whlo have applied therefor and have o-ffered to defray
the cost actually incurred by the Supplerilentary Code Authority ini
the preparation and distribution thereof and be available for inspec-
tion by anly of th-eir customers at the office of said Agent. Said lists;
or revisions or any part thereof shall not be made available to any
person until released to all members of the! Industry and their
customers as aforesaid; provided, that prices filed in the ~first instance
shall not be released until the expiration of the aforesaid 10 day
period after the approval of this Supplementary. Code. The Sup-
plementary Code Aut~horityi shall maintain a permanent file of all
price terms filed as herein provided, and shall not destroy any p-art
of such records except upon written consent of the Administrattor.
Upon request, the Supplemenztary Code Authority shall furnish to
the Administrator or anly duly designated Agent of the Adminis-
trator copies of any such lists or revisions of price terms.
SECTION 2. When any member of this Industry has filed any
revision such member of this Industry shall not file a higher price
within 48 hours.
SECTION 3. NO member of this Industry shall sell or offer to sell;
any products of the Industry, 'for which price terms have been filed
pursuant to the provisions of this, Article, except in. accordance with
such price terms.
SECTION 4. Each member of this Industry shall furnish the said
Agent for distribution with such. number of copies of his price list as
the Supplementary Code Authority m~ay prescribe.
SEcTION 5. No member of this Indlust.ry shall ente into any agree-
mient, und~ertandiingS combination or conspiracy to fix or msnainti
price terms, nor cause or attempt to cause any miembeur of thiis In-
dustry to chlange his price terms by the use of intimidation, coercion,
or any other inlfluenlce mensonistent writhl the manintenance of the free
and pen arke whih itis te prpose of this Article to crea~te.
SEC I oy ). I n olltt hingl in Ar tile VI of this Supph-melllntary Codle
shall apply to sales to employees for their own use or between memr-
bers of the In dust ry, provided that such sales shall not b~e below
cost; alnd provided fllather that re3sale o~f such pr~odurts by the pur-
chasing Itmember of' the Industry shall be in accord with the prov\i-
sio~ns of this Supplementary Code.
AnnICLE VTIICst s AND PmIcr CUTnINo
SECTION 1L. The standarllds of fair competition for this Industry
wri~th preference to pricing practices ares declared to be as followFs :
(a) Wnilfully destructive price cutting is an unfanir methlod~ of
competition and is forblidde~n. Any member of this Industry~ or
of anly other Industrye or thie culstomler~s of either1 mayS at any timea
complain to thle Supp liemetary Code! Authority that any fledt price
constitutes unfair competitionn as dlestruct~ive. price c~uttinga, imper~il-
ing small enterprises or tending toward mlonopoly or the imnpair-
le~nt of code wages and worktinga conditions. The S~upp~elemntaryy
Code ASuthorityg shall within 5 days affordl an opportunity to the
member fi~ng the price to an~swer such complaint anrd s~hall within
14 day's ma~ke a rulmng or adjustment ther~eon. If such ruling is not
concurredc in by either upar to the comlplaint, all papers shall be
referredl to the Researc ad P~laning Division of NRA which
shall render a report and recommrendlation thIereon to theo
(b) When no declared emergny xss as to any1S 1ven products,
there is to be no fixed minimuum bisfor prices. Itisl ntende
that sound cost estimating mnethlods should be used and that con-
sideration should be3 given to costs in the determination of pricing
(c) When an emnergency exists as to any given pr'oduct, sale bes-
low thle stated minimum price of su~ch products, in violations of
Section 2 hlereof, is forbidden.
SECTION 2. merge~n~cy PIcisionrs.--(a) If the Admlinistrator,
after investigation shall at any time find both (1) that, an emclelrgen
has arisen within this Industr advers~ely affecting~ small e~nterpr,1ises
or wages or labor conditions, or tending toward muonopoly or other
acute conditions whichl tend to dlefeat the~ purposes of the Act; andl
()that thre determiination of the stated mn~inimuml price forr a speci-
fe product within thlis Industry for a limnitedl period~c is necessary
to nuiti'gate the conditions constituting such~ emecr~gecyla andc to offec-
tuate the purposes of the Act.; t he S uppin IIen tuiry C:ode Autl hority
may cause anl i mpa rtial agency to i nvest igate costs and to reconulnend
to thet Adminisjtrator ai determiiination of the statedl minimumin Irice
of the products affected b~y the nemergency andi thereulpon the Adm~in-
istrator may proceed to dtermcnine such stated minimiiium price.
(b) When the Admiinistratfor shanll hanve determninedl such~ statedl
minimum price for a specified product, for a statedl period, which
price shall be reasonably calculated to mitigate the conditions of
such emergency and to effectuate the purposes of the National In-
dustrial Recovery Act, he shall publish such price. Thereafter,
during such stated period, no member of this Industry shall sell
such specified products at a net realized price below said stated
minimum price and any such sale shall be deemed destructive
price cutting. From time to time, the Supplementary Code Author-
ity may recommend review or reconsideration. or the Administrator
may cause any determination hereunder to be reviewed or recon-
sidered and appropriate action taken.
ARrlCLE VIII TTNFAIR TRADE PRACTICES
In addition to the Unfair Trade Prnc~tic~es covered in Alrticle V
of thne Basic Code, except Sections A, B and F thereof, which are
made a part hereof the same as though. repeated and set forth at
length for all purposes of this Supplementary Code, the following
described acts shall constitute unfair practices. Anly member of the
Industry who shall use or employ any of such unfair practices
shall be guilty of a violation of this Supplementary Code:
RUL;E i. XeCrtS Re Gl8.--RO member of the Industry shall
secretly offer or make any payment or allowance of a rebate, refund,
commission, credit, unearned discount or excess allowance, whether
in the form of money or otherwise, nor shall a member of thre In-
dust~ry secretly offer or extend to any customer any special service
or privilege not extended to all customers of the same class, for the
purpose of influencing a sale.
RULE 2. No member of the Industry shall withhold from, or
insert in any invoice a false record wholly or in part of the trans-
action represented on the face thereof.
RULE 3. No member of the Industry shall permit the splitting of
commissions or other compensation for the sale of any product of
the Industry received b~y his employee or ag-ent with the buyer, or
his agent for the purpose of influencing a sale.
RULE 4. No member of the Industry shall offer or give prizes,
premiums or gifts to purchasers or their agents in connection with
the sale of products of the Industry or as an inducement there~to in
any manner which involves commercial bribery in any form.
RULE 5. No member of the Industry shall give any alloworance for
used products of the Industry unless sold with the privilege of
return. Nothing contained in this Rule shall be construed to prohibit
a member of the Industry from allowF~ing credit for or making free
replacement of any products of his o~wn manufacture because of
errors in shipment or which are defective either as to material or
RnLE 6. No lemb~er of the Industry shall give catalog allowances
to distributors or those persons publishing for them. Nothing con-
tained in this Rule shall be construed to prohibit legitimate andt bona
fide advertising allowances.
RULE 7. No member of the Industry shall guarantee prices against,
decline beyond date of shipment nor accept orders at old prices after
the effective date of any change in. price.
RITULE 8. No mmber of the Industry shall accept orders for future
delivery unlesrs thle termls of sale as to price, specifications anid de-
livery are dlefinitely stated.
RLEt 9. RNO mnember of th~e Indulstry shall fail to br~andl the prod-
ucts of thes Industryv manlufactulre by him with~ his trade-mnrk;, trade
name or some other- malrk1 of idelt~ifient.ion.
Rosen 10. NSo member of the Industry shall neceplt retlr~n of maerl
ohantable surplus goods except for merchalndise credit only, such
credit to be sub~jec~t to dedcuc~tionls for transportation costs, for aIny~
necess-ary refinishling, andl a charge for handling~.
RTL f11 WO nemlberl of the Industry shlall grannt any more fav~or-
able terms of paymient thann 60 days net from clate of shipment or
2Co, for cash, on the tenthn day1 of the month for shipments madel
during the precedingr month.
RmLE 12. MO member of the Industry shall1 ship goods on consign-
mient excrept ulnder circumstance s to be definedc biy~ the Supp~lemnent a ry
Code ,Authority and approved byJ the Adlministrator w~here, peculiar
circumstances of the trade or industry require the practice.
Anator IX-Exrort TRADIE
No provision of this Supplemnentar~y Code r~elalting to prices or
ter~ms of selling, shipping or marketing, shall apply to export trade
or sales or shipmnents for export tradelt. 1Expor~t Tralde ") shall be as
defined in the ~Export Trade Act ad~opte~d April 10, 1918.
AnRTcL, E I3--ATOI:,rFIhCATIONs
SECTIONJ 1. As6 provided in Section 10 (b) of the Act, the P~residlent
may' froml time to time cancel or modify any order, approval, license,
rule or regulation issued under Title I of the Act.
SeCTrowK 2. This Supplemnentar~y %Code, except as to provisions re-
quired by the Act, mayI~ be modified- and/or amnendedl on the basis of
experience or changes~ in circumnstances, suchl modificaltions and/or
amnendmlents to be basjed upon aprpl icatfion1 by the Supplemlentary3 Code
Aut~hor~ity or mother Ilreprsentati vec grroup within the Industry to the
Aidministrator and such notice and hecar~ing as he shall spec~cify andl
to beccomne elffctiveo as part of this ,Suplplemeillntry Code onl the ulp-
proval byS the Pr1eside~nt.
No provision of this Suppleme~ntary Code .shall b e so app~liedl as
to p~ermnit monopolies or mlonop~olistle p~racticecs, or to climninate,
oppress or discrimiinatte against small enterprl'iseS.
Anr~rrier.E XII-Puxc E T IN CuE.\hS-:
- heroes the policy of ~the Act to ilccn~cras rea~l purichansing powecr
will be mnade more difficullt of consumimatiion if prices of goodls andt
services increase as rapllidly' as wages, it is reCCognlized that. price
increases, except such as mlay be reqjuiredI to meect individrual cost,
should be delayed, andi when malde, such increases should, so far as
possible, be limited to actual additional inc~reases in t~he seller's costs.
UNIVERSITY OF FLORIDA
14 3 1262 08852 5638
ARTICLE XZIII EFFCTIVE DATE AND) DUTRATION
This Suppllemlentary Code shall become efTfective at 12: 01 o'clock
A.M., ]Eastern Sta~ndard Tirne on the tenth day after it is approved
by the Presidlent and shall continue in effect until June 16i, 1935,
or thle earliest date prior thereto on which the President. shall, by
proclamation, or the Congress shall, by joint resolution, declare: that
the tll1rewrgeny recognized by Section. 1 of the National Industrial
Recoveryv Act has ended.
Alpprovedt Code N~o. 84--Supplement N~o. 47.
Reg~itr.1 No. 11493-30.