Code of fair competition for the shoe pattern manufacturing industry as approved on May 26, 1934


Material Information

Code of fair competition for the shoe pattern manufacturing industry as approved on May 26, 1934
Portion of title:
Shoe pattern manufacturing industry
Physical Description:
p. 397-408 : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Shoe industry -- Law and legislation -- United States   ( lcsh )
federal government publication   ( marcgt )
non-fiction   ( marcgt )


Additional Physical Form:
Also available in electronic format.
General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 922-02."
General Note:
"Approved Code No. 444."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004940069
oclc - 63654939
System ID:

Full Text





Per sale by the Superintendent of Docurrecnts, W'ashingtlon, D.C. - Price 5 cents

Approved Code No. 444

Registry No. 922--02



This publication is for sale! by the Superintendent of Documents, Government
Printing Omce, Washington, D.C., and by district. ounces of the Bureau of Foreign
and Dom~estic Commerce.
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Approved Code No. 444



As Approved on May 26, 1934


An appllienation having been. duly made pur~Isulnnt to and in full1
compll-linncee with thle provisions of Title I of the Natio~nal Industrin 1
Recovery- Act, approved Julne 16, 1933, for approval of a. Code of
FaRir Compllleftiton for the Shoe )Pattern Manufacturing Industry,
andi heal~ring having~ b)een duly held thereon and the allnn~exe report
on1 cnid. Code, containing findilngs with respect thereto, having beenI
made and d~irec~ted~ to th~e President:
NOWC~, THIEREFORE, on behalf of the Pres~idenlt. of the United
States, I, Hugh1 S. Johnson, AdmlniLIitcratr for Industrial RecoveryT,
pur~sunut to authorities v~ested in me b Exiecutive Ord'(ers of th~e
~Preside~nt, including Executive OrderNo 6543-Ah, (lated December
30, 1933, 'and otherwise, do hereby incorporate by reference said
alnnexecd report and do find that said Code complies in all respects
with the pertinent provisions and will promote the policy and pur-
poses of said Title of said Act; and do hereby o~der that said Crode
of Fair Comlpetition be and it is hlereby approved, provided, how-
ever, that the provisions of Article VII, Section 1, Insofar as they
prescribe a waiting period between the filing of price lists (that is2
nectulal receipt by the Code Au~thorityV) and the effective date thereof
be and they are hereby stayed pending mly further order.
HUan S. JoHNson,
Adm~~inistlorato for Ind~custrial Recovery.
Approval r~ecommlrendled:
D3ivision Admzinistra~tor.
Mfay 98, 1934.
62793*---5 44-143----34 (3'37)


The Wh~ite House.
Sm1: This is a report on the approved Codle of Fhiair Competition
for the Shoe Patter~n Manlufac~turing Indust~ry, hearings o-n wrhichl
were conluc~ted~ in Washington on Deegmbeur 5, 19:33, D~ecemb~er BS
1933, an1d March 28, 19341, in accordalnc~e with the provisions of the
Naltio~nal Industrial Recov~ery Act.
The minimum wagec providedl in this code is forty cenlts (400)
per hour for males and females, with th-e provision that whencl fenulles
of the skilled class perlfolrml the same work as males they are to receive
the same rate of paly.
TIhe maximum hourls providled' in this codeli a~re forty (40) h~o!r~s
per week with. an allowance of five (5) h~our~s per week during any
eight (8) weeks o-f a six (0) monclths' period, with the provision that
all time in excess of weight (8) hours per day shall be p~aidl at thle r'ate
of time and one-thiird~.
No person under isixten (16) years of age shallf be employ)e d or
ellnfiage in this industry, andi no person under eighteen (18) years
of agre shall be employed in hazardous occ~upatio ns.. Homne wrork in
thlis industry shall be abolished on Sepltember 1, 1_934.
Practically the entire volume of the prodr'uct~s of this indus.-try~ are
sold to the shoe nuinul~facrturingl, ildulStryS. Tjhe industry is Ilargely
a erv\.i.t ncf bsness, a nd the majority of the products are manIu facturedl
on p'cial order. No large inventtories are kept by the mna nufalcture rs.
A p-roposedci~ code wats orIiginally submitted on Novembercl 14, 19I3:3.
The first he~aringf was hleld- o.n Decemlber 5, 1933. The De~puty in
civirl: 'LI was not satisfied from the evidence submittedl that, thle pattern
dlepartments of the boot and shoe malnu~fnefuring plants sh~ou~ld be
included in this rcode. A second~ hearing wras heldl, and again Inek of
evidence caused a postpo~n~lemnt, of arrving at a suitable c~ode. This
h-earingr was held on Decem~ber 28, .1103. Aot the last hlearing he~ld
on March 28, 19341, the p~roponen"ts of this code prod~lucedl: suffic~ient
evidenIi.ce to conineiicl the Depuity that the patterrrctln deplrltmet of
the boot and shoe malnu~factuIl'lrin plants should be in~c'llllue u!nder~l
their c~odet, andl the Deputy thzerefore included thiemn.Wihu
cludingr the boot and shoe manuT11fac~turer~t s thle shoe~t paltiternl manul-
fazcturers would not assent to a code.
The D~eputy Admllinisct ratorl in his final repI~or~t to me~t on oid~ Clode
having found as herein e~t forth and on the bas~is of all thle prceedci-
ingfs in this matter;
I find that:
(al) Said Code is well dlesigined to promoted thle policies and p~ur-
poses of Title I of the National Indusltriall Recoverly Act, includling
remrloval of obstructions to the free flowv of interstate andr foreign
commerce which tendc to diminish the amount thereof and wrill pro-


vide for the goeneral welfare by promoting the organization of in-
dustryJ for the purpose of cooperative net iln amlong the trade groups,
by indurcing and maintaining united action of labor and management
under adlequatet gover~nmcntal sajnlCtions~ and supervision, by elimninat-
ing unfair competitive practices, by promoting the fullest possible
utilizatio~n of the present produr-tive capacity of indlustries~, by avoid-
ingT undlle r~estrictio ns~ of pr~oduction (except as may be temporarily
Irequired), by incrcasmn g thee consumption of industrial and agri-
cullturdn products through increasing purchasing power, by reducing
and relieving unemployment, by impr~loving standards of labor, and
by otherw\iser rehabilitatingi industry3.
(b) Said Indus~try normllally emnploys not more than 50,000 em-
p'loye'es; andi is not classified b;y me ats a major industry.
('c) The C'ode as approved: 'omlplies~ in all respecrts with the perti-
nent pr~ovisions of said Title of said Act, including without limita-
t~ion Subsec~tio- n (a) of Section 3, Subsjection (a) of Section 7, andl
Subsection (b) of ~Section 10 th~er-f; and that the applicant asso-
cintion is an indus~ltriai l a--sociation truly reprecseilnta\tiv of the af~ore-
saidl Industry;; and that said association. imposes no inequitable
restr~iction~s on admission to membership therein.
(d ) The Code is not desrigned~r to and will not permit monopolies
or monopolistic practices.
(e) Thie Code is not des~igned~~ to and will not eliminated or opp~ress
small enterprises and will not opera~te: to discriminate against them.
(f) Those engaged in other steps of the co,~,nmic process have
not been deprived of the right to be heard prior to approval of said
For these r~easo~ns this Code has been approved.
.A dm~inis~trat1or.
M~AY 26, 1934.



TPo effect t~he policies of Title I: of the National Indurstrial Recov-
er~y Alct, this Code is tsubmittedl as a Code of Fair Complletitio~n for
thne Shoe Pattern M~anufacturingr Indusltry3 andl upon appr~oval by
t~he Presiden~t, its prov~isionsi shalli be the standards of fair competit-
tionn for such industry and shall be b~indting upon eery member


Thea term shoe paittern indurstry "l as used herein includes the!
tle signing~ of shoe styles, the draftingr of modern patterns and the
manufacture of shoe pa~tters, and such related inldustries asj may
from time to time be included under~l the prov\isio~ns of this; Code.
The term membller of the industry inc.lude~s any indlividual
partnerships,, asso~;c-iation,!, co~~lrpration, or other form of enterprise
eng~Jagedt in the: industry, either as an emlployer or o~n his or on its
owYn behalf.
The termn emnployee as used her~ein inlclud~es: an anld all persons
engagedI~~ in the indulrstr~y except members thereof, however comnpen-
sated, but shall include such members of the indlustry~ wrho devote
anry part or all of their time to thea designingf of sh-oe sty~les, thle
drafting of model patterns or the production. or mannufacturee of
these patterns, in wcPhich event they shall be deemed~c employtees "
for the purpo- s~' of the Code.
The term employer as used herein includes anyor-ne by whoml
such employees is compernsated( or emlo~~~,yedc.
The term "Association shall mean the National Shoe Pattern
Manufacturers Ane~-cinlt ion.
The teirm-c Pre-idrnt ", LAct ", and "'Administltratorl as~ usedI
herein mean respectively thne President of the U~nitedl States. Title I
of the National Ind-ustrial R~eco~veryr Act, and the Adm~inistrator for
Industrial Reenvery1~1 .


SECTION 1. Except as herein provided, no employees, includlingi
office wo(rker ,~ shall be permnitt~ed to work more than 40I hlours in any
one week, pr~ovided~, however, that during any 8 weeks of a 6 months'
period (theo first period to betginl on the e~ffec(tive date of this Code)
employees may be permllitt;'d to w~orkl not more thanI 415 hours1' p~er
week, andl for time in exce~ of 8 hours per day emrployees Ihall he


paid on thle basis of one and onre-third their nor~mal rate of com-
p'ensatio~n, but in no event shall an employee be permitledl to worllk
m~or~e than 10 hours p~er day.
(n) The for'egoingr maximuml~ hours of laborl shall not apply to
emlployees eingaged~- in lmerrgency maintecnance or r'eplir' wYork on
miemnber's own~ plant involving breakdown or protc~ction~ of life or
>rolpertyr, but inr anly s-uch case? at least one and one-thirdc t;he nornudla
rate of c~omplensationl shall be paid for all time workedcc inJ excess of
d hours in any o~ne day.
(b) No employee~S' shall be perm'llittedC to work more than 6 danys
in anyl day' per`iodl.
(c) No employer shall know\ingfly p~elrmit any employee to work~
for any t.imne which whenl totaledl with that already wor~lked with
another employer or employers in any industry exc~eeds~ the malximumrlr
permitted hnerein.

SEcTION 2. No employee shall be paid less than at the rate of 400

SEC.TIO:N 3. Every emplolryer shall make equritable- adtjus~tmnrt. in all
p~ay schedules, if he has not alretady1 done so under the A-ct. Within
60(. da2s from the approval of this Code he shall submit to the Codc-e
Aulthorit a rep~or-t of his wage rates, and the Cod~e AiuthoritGy shall1
submllit for the approi(Val of the Administrator a lo-oposl";l for ad-
julstmtent. in wages above the minimum. Upon approval by the
Adminiist rato r1 after such he~a !ing as he mnay prescribe such p~ropool, n
shall become binding ~as a part of this code, prbvyided, however, that
in no event shall hourly or weekly rates of pay be r~edwd
rSEC'TION 4. Female emplloy,3ees petr~forming substantially the samne
workr as male employees shall r~eceivel the same rate of pay as male
emnployees, and whF~ere they displace men they shall receive the same
rate ofl ear1nings as the men thley displacet.
SECTION 5. This article establiishes a minimum. ra:te of pay which
shall apply irrespective of whether an emplol~y~ee is actually com-
pensated on a time rate, piece work or othrtl basis.
SECTIONCP U 6. All wcagSes shall be paid weet~kly) in lawful cur11renlcy or
by nlegotiablyl check payable on demlantd. These- wages shall be ex-
empt from any fines andl/or ducrc~ctionsl~. They shall also be exempt
from any paymlents for pension, insurance or sick benefits other than
those exp~re.sly~ nuthorizzed by the employee.
SEC.TION 7. A person whose enr~ning capacity is limited beenluse of
age, physical or miental ha~ndlie~np or otherl infirmity, may be emY-
play'ed on light work at a wage below the minimum established by
this Code~, if the employer obtains fr~om the state authority, desig-
nlated~t by the United States Dep~artment of Labor, a certificate au-
thorizing such. perjson'~s deployment at such wages and for such1
hours as shall be s~tated in thle cer~tifiente. Such authority shall
be~ guided by the instructionsl of the U~nited States Departmlent of
Labor in issu ingI certificates to such per~sons. E~ach employerI shall
file mnonthly with the Code Authority a list of all such persons em-
ploy'ed by himl, show)ing the wagjesj paid to, and thle maximum hours
of' w\ork for such employee.



SECTON 1. No perIsoln under. 16 years of age shall be emplloyed in
the indlustry. No person under 18 years of age shall bei empyloyed in
occulpations or operations hazardous in Inature or dangerous to hea~lth.,
The CJod~e Author~ity shall submuit to the Administrator1 forI approval
within sixty da~ys after the effective date of this Code, a list of
such operations or occupations. In any .-tate an emplloyer shall be!
deemed~ to have compl~llied with this provisions a to age if he shall
have on file a certifiente or permit, duly issued by the authlority in
such state empowered to issuec employment or age certifictes o~r
permits showing that the employee is of the required age.
SECTION 2. (a) Emp~loyees shall have the r~ight to organize and
bargain collectively, thr~ough representatives of their own choosing,
and shall be free from th~e interference, restraint, or ene~rcion of
emnployersl of labor or the~ir agentsb, in the designationl of such r'ep-
resentatives or in self-organization or in other concerted activities
for the purpose of collective bargrainlingr or other mutual aid or
(b) No emplayl~ee and no one seeking employment shall be re-
quired as a condition of employnient to join any company union
or to recfri~ni fromt joimmg, organizing, or assistmng a labor organliza-
t~ion of his own choosinlg, and
(c) Employers shall comply with the mnaximlum hours of labor,
minimum rates of pay, and other conditions of emlplo-ym~ent approved
or prleslcribed~ by the 1President.
Scenesl~ 3. No provision in this Code shall supersedle any state
or fe~deral law which imposes on employers more stringent requlir~e-
ments as to age of employees, wages, hours of wo~rk, or as to safety,
health, sanitary or general working conditions, or insurance, or fire
protection, than are imposedl by this Code.
SECTION 4. NO employer shall reclassify employees or duties of
occupations performed or engrag~e in any other subterfuge for the
purpose of defeating the p~urposes;~ or provisions of the Act;, or of
this Codtle.
SECTION 5j. Every employer shall makre reallsonale. provisions for
the safety and health~ of~ his employees at thne place and during the
hours of their employment. No work shall be done or permitted in
tenement, private hlouses~, basemlents or in any ulnsanitar~y buildings
or buildings unsafe on a~ccount, of fire risks. Wi7ithin 60 days after
the effective atenc of this Code, the Code Authority shall submllit to
the AZ~llaniit';f trat for his approval, proposed mrinimum standards~ of
safety and `health for employees.
SECTION 6. NO I110me workr shall be permitted after Sep~tem~ber 1,
Seel'r~no 7. No employee shasll be. dismll;i;sed by Preson of ma~kingr
a complaint; or giving ev\idrncte with respect to an allreged violation
of any Code or labor law. pr 8. A~ ll employers shall post complete copies of this Code
in erpcuomplenu places accessible to employees.

Approved Code No. 444

Registry No. 922-02





As Approved on MIay 26, 1934

Article II, second line, the wrordl i modlern "? should be "i model."



Digitized by the Internet Archive
in 2011 with funding from
University of Florida, George A. Smathers Libraries with support from LYRASIS and the Sloan Foundation



SECTION 1. A Code Alt~hority for the S'hoe Pattern Manufactur-
ingr Industry, here~inaftecr referred to as thne Code Authority, is
her~eby~ constitutedl to cooperate withfl the Aidminlisrtra~tor in the?
administrations~ of thiis Code.
SECTION 9. Thhe Code Authority shall consist of the b~oarld of
dlirector~s of the National Shoe Pattern Mnufinf acturers Association,
and one member re~preentinlg m~embersl~ of the industry who are not
mlemlers of this Assc~ciati<>n, and one member recpresent~ing shoe
mazn ufa ct urerIs. In addlitioln thereto the Administrattor may app~oint
one to three non-voting members to the Code Au~thorityt to serv~e
without expense to the indlustry. The election of the member repre-
setigthe non-mlembers of the Asisociatiorn and the me~mber re~pre-
Sentingb the shoe manulrfactuo~rer shall be cond~uctedl by a fair merthodl
subject to the ap~proval of the Admnnistrato~r.
SECTION 3. Any trade association, directly or indirectly partici-
pat~ing in the selection or netivities of thne Code Authority, shall:
(1) Imlpose no inequitable restrictions on membership, and
(2) Submit to the Administrator true copies of its articles of
association and by-laws, regulations, and any amndtn~ menlts w~hen
made thereto, togeether with. such other information as to mnember-
ship, and orgranization activities as the Adtministrattor may deem
necessary to effec~tuate the pu~rpoc~cse of the Act.
SEcTIONs 4. In order that the~ Code Authority shall at all times
be trlyUS representatives of the industry and in other respects com-
ply withb the provisions of the Code the Admninist~rator may require
an applroprliate modification in the composition and method, of
selection of the Code Authority, if after such notice and hrn ring
as he may prescribed he shall find that the Code Authority is not
truly r~epresentantivec or dote~s not in other respects comply with the
provisions of the Code.
SECTON 5. Nothingr containled in this Code shall constitute the
members of thle Code Authority partners for ~any purpose; nor
shall any mlember of the Code AIuthority be liable in any manner
toc anyonr -ftor an act of any other member, officer, agent, or
employee of the Code Aulthority; nor shall a member of the Codle
Authority who is exercising Ireasofihnbi diligence in the conduct
of his duties hlereunder, be liable to anyone for any action or omis-
sion to act under this Code, exscept for his wilful misfeasance? or


The Clode Authlorit~y shall have thne following powers and duties anld
such other powers anrd duties as may be nlecessar~y for the proper
administration of this Code, the exercise of which shall be reported
to the Administrator; and if the Admini~s~trator shall determine that
any action of the Code Authority orany agency teefmyb
unfair or unj ust or contrryr to the public inlterest, J~the Adfminisrato
mlay require that such action be suspended to afford an opportunity
for investigation of the merits of such action and further considler-


nation by such Code nAthotrity or agency pending final action which
shall not be~ effective unless the Administrlat~or approves orl unless he
shall fail to dfi applroe after 30 days noctice to him of intention to
proceedl with such acrtio~n in its original or modliiell formll:
SECTION 1_. TO coordinate the adminis;trationo1 of this Code th~rough-
out the industry, with sulchi related codes, if any, as may affect the
indlustry3 or mlember~s thereof.
;S;EC.rlo 2. To prlecsent to the Adm~inislte~ntr tor ither on its own, initi-
ativre or at the request of inltere-ted parties, recommelen ndations based
on condlcitions in the industry as may develop from. timye to time, for
modification of or amendmec~lcnts to this Code. Whelcn any interested
party submits proposals for umen~ldmnts~lt to the Code Au~thority, the
Code~ Authority shall present such prloposlsj to the Adm~inistr~ator,
tc:getherl with its rcommelln~lcnaicntin for ap~provl>\ or d~isappr~oval.
Upon approval by the Admllinist Irator, after suchl hear~ings as he mnay
prescribe, such amet!lmennts shall bcome integral! parts of this Cod~e.
SECTION 3. It b~eineo foundl( n~ecesury' to suppo~rrt the Administ~ti rain
of this C'ode, in order to eflfectuate~ tler policy of the ~Act and to m~rain-
tain the ct!ls~tandrs of fair competition es~tablishedl hereunder, the
Code Authority is aulthorized:l
(a) To incur such reasonable obligations as atre necessary and
prop'ler for the for~egocinrr purposes~ and to meetlt such obligations ouxt
of funds wrthich shall be herld in trust for the purposes of the Cod-e anld
raised as hereinafte~r pro~vided~~;
(b) To submit to the Administrator for his app~roval, subject to
such notice and opportunity to be heard as he may deem nlcessaryr:
(1) An itemlizedl budget of its estimated expenses for the for~egoing
purpo'~cses, and
(2) An equitable basis upon which the funds necessary to support
sulch~ budglbet shall ber cont~ilribtedl by all mlemnbers of the ind~ustr~y en-
titlell to the benefits neerluingr from the manintelnance of such st~and-
ardls, and the thereof ;
(c) After sulch tbudglet and basis of contribution. have been ap-
prov"\ed by the Adm~ini~strator, to determine and collect eq-uitable con-
tributions as above set forth, and to that end, if necessary, to
institute legal prloceedinlgs therefore in its own name.
Each member~cl of thle industry shall be liable for his or its equritable
cenlt rib~ution to th~e expenses of the maintenance of the Code Au~;I-
thority as hereinabove provided. Failure by a mem~lber of the!
indutryct t~o pay its equitable :iharle of such ex~pense shall be a vio-
lat~ion of this Code.
SECTION 4. Thlle Code ACSuthc.r~ity. mayn appolint such conunitftees or
agenrts as it mla~y deem~l necessary and may delegatte to then such
of its powers andl duties as it may deem proper fhor thle adlministr~a-
tion of this Code; provided, how\-\eve, that final responsc'"ib:ili ty as
to any powr\;lrs or duties so daelega~ted~ shall remains with the Code
SE(.TCTIO 5. To appoint a trade p~racltice commllllittee which shall meett
with the trade prat ice comii i t tees ap-poi nt ed by the Code A uth~orit ies
of othcr Codes which mty be related to the ind-ustry3 for thte p~urpocse
of formuulaltingf fair te~nde p~ractitces to govern the rela~tionshii p be-
,twee~n such indlus~~trie to the end that such fair trade practices maty be


proposed to the Ad~ministrat.or as nmnendments to this Code and such
other Codes.
SECTION 6. bfemblersg of the industry shall file with a confidential
agent or agents selected by the Codel Authority, at sulch time and in
such manner as may be~ prescribed by it, statistics covering number
of employees, wage rantes, employee earnings, hours of work and such
other data as may be n~ece~ssrly for the proper admninistration of the
Code, and required e~ith~er by the Code Authority or by the Aidmin-
istrator. All individual repIor~t sil suitted shall be kept confidentially
and only general summaries thereof shall be publishert, providepd,
howe~ver, that any individual reports may be publlishled with thle
writenconent ofanyonesubittngsuch reports, or if nece~ssary3
to en force the provisions of this Code. Fiailuare on the part of any
manufa~cturers~ in the inlustr~y promptly to supply such information
on form~s and in a manner provided by the Code as required under
this article shall be deemed a vriollatio~n of this Code.
SiECTION 7. In addition to information required to b~e submi~tted to
thle Cod~e A~uthor~ity, mulnember of the Industry shall furn'Iish such sta-
tistical information! as the Adlministratolr may deem necessary for
the purIposes rerited~ in Section 3 (a) of the Act, to such Federal and
State agencies as thle Admninistrato-r may dlesignalte~. Nothing herein
contained shall reclie~ve any mlember of the indus~~tryS of any exsisiting
obligation to furnish reports to Gover~llnmnt agencies.
SEcTnox 8. Such inv~estig~~ntions as shall be ne~cessaryS pursuant to
complaints of violations of the prov,~isions of this Code shall be per-
for~med for the Code Authority by a d7i.-in~tores~~.;teI aent or agents
selected by it.
SECTIO) N 9. The Code Aulthority may incorporate as a non-profit
corporation .
E~CTION 10. Whtenl the Code AuthorIity dete~rmines that an emner-
genlcy exists in this industry bec~licaus of destrucl'llti;ve price. culltting~
wihic~h is sulch as to render ineffective or seriously e~ndlanger the main-
tenance o-f the provisions of this Code, it may cause to be determllinedl
thle lowe~cst. reasonable cos~t of products of this industryl), such determi-
nation to be oblject to such no~tic~e and hearings as thre Ad~:ministentor
mayl require. Thie Aidministrator mnay a~pprove, diiapIprove or modrli fy
the dleter~mination. When it ap~pears~ tha~~t condliitions~ have changed,
the Code~ Authority, ulpon its own initiatives or Iupon the request of
any inter~esitedl par"'ty, shall cause the dleterm1inationr l to be reviewed.
(a) F~or this pu~rprose, cost is d-efinedl as the cost of malter~ins, plus
dlirect labor, plus an adreqluate amount of all overhead and sales ex-
pense as determiinedl by costl neeo~unting~ melthodst recogvnizedl in the
indu~stry (and alpprovedc by the Code Authkority conlstitu~ted for
enfr~cementt of this Code as p~ro~videda in Article VI), which cost
mcthlodsj must- be ap~prov~edl by th~e National Recovery Admlni~lst rationl.

SECTIION P. OffP~-pr/m ce r?.:f~'~.-mvth~ig.Wihi 30 days a fter the e~ffective
date eatch member of the industry shallI file with th~e Code Authority
a comllplet~e list of prices, terms, dliscounts, and cond-itions of sale for
th~e product and services of the industry, which shall remain in force
unless and until ~supersededt~t by filing with the Code Authfor~ity new


lists of prices, terms, discounts, and conditions of sale in place
thereof. 'The Codler Authlorty shall send pr1omnptly copies of all lists
and r~evi-ionr s so filed to all memi~bers of the industry, E~ach list so
filed with the Code Authnority shall state the date on which it shall
bercllme ffctrctivp, which date shall be not less than 5 days after filing
with the Cod-`e Authority. The Code Ailuthority shall furnish copies
of such, price lists at cost to buyers upon request.
A member of the indluctry~ shall not sell hris products at other
prices or on other termlls or conditions than set forth in his own priee
ls.When. any member of the industry revises his price list, anly
other member of the industry mlay revise his pr1ic~e list acor~dingly,
to ben'ine11 effective on the same dafte as the revisied~ price list first
SECTIONE U 2. Iramor!' ldllnc IReflr/Y i nef Competitor, etc.-No mem-
ber of the industry shall publish advertising which r~ef~r~s inac~cu-
rately in azny material particular to any competitors or to t~heir
goods, prices, values, cred~cit~ ternsl, policies or services.
SECTION 3. Sei7;lln Beloso Re anoblec~7~ Cost.--During thre period
of any emergency111~ and after the lowest treasonable costs of products
of the industry hatve been approved in accordance with the pro-
visions of AC~rticle VTII, it shall be an unfair trade prafctice for anly
member of the industry to sell or offer to sell any prod~ucts of the in-
dustry for which the lowest reasonable cost has been determined, at
such prices or upon such terms or conditions of sale that the buyer
will pay less therefor than the lowest reasonable cost of such

SEC.TION~L 4. Bribing ~Empr~loyee-s.-No member of the industry shall
give, peclrm~it to be given or directly offer to give, anything of value
for the ]purpose of inf~loonv;ing or rewardingf the action ofany em-
ployee, agent-I. or representativ;!fi e of another in relation to the business
of the employer of such employee, the principal of such agent or
the Irepresentedr party, without the know\ledgje of such employer,
princ-ipal, or party. This provision shall not be construled to pro-
hibit free and general di tr~ibuti ion of articles commonly used for
advertising except so fa-r as such articles are actually used for coml-
mercial bribery as hleretinabove defined.
SECTION 5., In~terfe''crene crith; Another's C'on/tranct.4.- Noo member
of the industry shall attempt to induce the breach of an existing can-
tract between a competitor and his cus1tomler,, or source of supply;
nor shall an~y such member interfere with or obstruct the performn-
ance of such contractual duties or services. No member of the indus-
try shall maliciously entice employees from a competitor for the
purpose of interfering with his business. However, nothing in th~is
paragraph~l shall p~revet~lt any employee from offering his services to
a competitor, nor prevent any employer from employmng the emn-
ployee of another member of the industry where the initiative in such
change is taken by the employee.
SECTION 6. Baiting.-To pay or offer to pay any part o~f a cus-
tomer's employee's wag~res with the intent or effect of giving such
pa"tter~n manufacturers a preference or undue advantage over his
c~om pletitor is unfair competition and a violation of this Code.
2 See paragraph 2 of order approving this Code.


SECTION 7, Secretj Rebates('.--No member of the indlustry shall
secr~etly offer or manke any3 paymlenit or allowance of a reboater, refund,
commission, credit, or offecr to maknle or make any unearned dli scou nt,
or excess allowance, whether in the formr ~of money or otherwise, nor
shall a member of the industry offer or exstendl to any customer any
special service or privilege not extestnddcr to all cus~tomers~'~ of the same
class for the purpose o.f influelcnc~ing a sale.
*SECTIO)N 8. DispailNIC'iro~enw.- TheP defamnation of competito~rs by
falsely imputing to them disho~lno~rble conduct, inability to perlforlm
co~ntra~ccts, questionable credit standlincg, or by o~thcr false r~epresen;;~lt.a-
tions, or by the false disparagement of the grade or quality of their
goods, is unfair compe71tition! and a, violation of this Code.
R'~ECTIOl N 9. Espionager~ of Competi:ztors.-Secu~ring (conf~iden~tiall in-
formation concerning the business of a competitor by a. false or miis--
leading statement or represenr~rtation,1 by a false impersonattion of one
in authority, by bribery, or by any other unfair method is unfair
competition and a violation of this Code.
SECTION 10. PYiracy.--To sell or offer to sell or produce a model or
pantternI which is in fact a reasonably exuer.t copy or duplicate model
or pattern producedl by another member of! the industry without
his consent and approval is unfair competition and a violation of
this Code. All models shall be plainly and conspicuously stamped
or signed, and dated by the member of the industry producing the
model. and no mnember of the industry shall accept any model for the
purpose of producing patterns which bear the stamp or signature
of any other member of the industry without the consent of the
one whose name appears on the mnodel. Nor shall any member of
the industry make any patterns from models which do not bear
a stamp and date, and to do so is unfair competition and a violation
of this Code.

FEnowC) 1., Th~is Code and all the provisions thereof are expressly
made subject to the right of thie President, in accordance with the
pro:visions- of subsection (b) of Section 10 of the Act, from time
to time to cancel. or modify any order, approval, license, rule, or
regulation issued~ under said iAct.
SECTION 2. T~his Code, except as to provisions required byr the Act,
may be modified on the basis of experience or changes in circumn-
stances, such modifications to be based upon application to the Ad-
ministrator and such notice and hearing as he shall specify, and
to become effective on approval of the President.


No provision of this Code shall be so applied as to permit monopo-
lies or monopolistic practices, or to eliminate, oppress, or discriminate
against small enterprises.

Whereas th~e policy of the Alct to increase real purchasing' power
will be made m-ore difficult of consummaation if prices of goods and


services increase as rapidly as wages, it is recognized t~hat price in-
cr~enses ecep-lt such as mnay be required~ to melet. indtividual cost should
be delayed, but wh2en madle such increases should, so far as possible,
be limlitedr to actual additional illltncease in the seller's costs.


If any employer sublje4'~ ~to this Cotde is also an employer in any
other industry the provisions of this Code shall apply to and affect
only thatt portion of his business -which is subject to this Code.

This Code shall become effective 10 days after its appr~oval by
the Pr~esident.
A~llpr'lnv1 Csctle No. 444.
Reg~istry~ No. !!"2-02.

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