Supplementary code of fair competition for the kalamein industry (a division of the construction industry) as approved o...


Material Information

Supplementary code of fair competition for the kalamein industry (a division of the construction industry) as approved on June 9, 1934
Portion of title:
Kalamein industry
Physical Description:
ii, 12 p. : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Construction industry -- Law and legislation -- United States   ( lcsh )
Sheet-metal work -- United States   ( lcsh )
Plating   ( lcsh )
federal government publication   ( marcgt )
non-fiction   ( marcgt )


The Kalamein Division of the Construction Industry includes the manufacture, supplying and/or installing in buildings or other fixed structures of sheet metal-covered wood, windows, doors, partitions, jambs, trim, base picture moulding, or any other sheet metal-covered wood products.
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. 1123-1-02."
General Note:
"Approved Code No. 244--Supplement No. 13."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004939964
oclc - 63655262
System ID:

Full Text


I' '
For sale by the Superintendent of Documents, WashingtonD.C. - Price 5 cente

Approved Code No. 244--Supplement No. 13

Registry No. 1123--1-02






(A Division of the Construction Industry)







This publication is for sale by the Superintendent of Documents, Government
Printing Office, WTashinrrton, D.C'., and byg district offices of the Bureau of
Forreig~n and Domestic Conuune'c~e.

Atlanta, Ga.: 504 Poslt Offic~e Building.
Birining~hau, Ala.: 257i Federal Building.
Boston, Mus<.: 18011 C'ustombouse.
Buffalo, N.L.: Chambr~r er f Clnmmerce~ Building.
Chairleston, SO.C: Chlamber of Comlmerce Buildling.
Cihicargo, Ill.: Suite 1706y, 201 No~rth W\ells Street.
Clevelanud, Ohio: Chambe r of Commeree..
D~allas, Tex.: C~hambe~cr of Comnmer~ce Building.
Detroit, Mici.: 801 First Natiornal Bank Building.
Hoiustnln. 'ITe.: Chlamb~er of C'ommnerc~e Buildling.
Judianap~olis, Ind.: Chamb~er of Comm~erce Building.
Jaksn ile l. hme fCmei ulig
K Innsas C~ity, Mol.: 1028.' Ha:fltimoire Av'enue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville, Ky;.: 408 Federal Building.
nlemp~his. Tenn.: 2203 Federal Building.
Mlinntonpioli, Jlino.: 213 Federal Buibtling.
Ncw Or'Ileans La.: Roocm 2~25-A4, Custumbous.,U e.
N~ew Tlurk. N.Y.: 734. Customhouse.
Norfolk; Va:! 406 East Plume Street.
.Philadelphl'ia, Pa.: 422~ Commercial Trust Building.
Pittsbiurgh. Pa.: Chamber o~f C'ommierie Buildinug.
Portlanid, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 5(:6 Oliv-e Street.
San Francisco, Calif'.: 310 C:ustombhouset.
Seattle, Wash.: 809 Federal O~ic~e Build~ing.

Approved Code No. 244l--Supplement No. 13



As Approved on June 9, 1934




An application having been duly made pulrsuant to and in full
compliance with the provisions of Tfitle I of the National Industrial
Recovery Act, approved June 16, 1933, and pursuant to and in full
compliance with the provisions of Section 5 of Article VIII of
Chapter I of the Codek of Fair Competition for the Construction
Industry, ap~prov\ed January 31, 1934, for appr~oval of Chapter XI
of said Code, which Chapter )XI is applicable to th~e Kanlamein
Division of the Conlstr~uelion Industry, and hear~ing.s have been held
thereon and the annexedl report on said Code, containing findings
with respect thereto, having been made and directed to th~e President:
NOWrV, TH-EREFORE, on behalf of the Pres~ident of' thre United
States, I, Hugh S. Johnson, Administrator for Industrial Rtecovery,
p~urSolnnt to authority vested in me by E~xecuti~ve Orders of thre
President, inc~lulingr Executive Order No. 6543-A, dated D~ecembler
30, 1933, and otherwise; do her~eby incorporate by- reference said
annexedl report. and do find that said Chapter complies in all re-
spects with. thne p~ertinetnt provisions anrd will pr~omote the policy and
purposes of said Title of said Acet; and do hereby order that said
Chapter XII: be and it is hereby appIroved and that thre previous
ap'pro)val of snid Code of Fiiair Comipettiion for the Construction
Indus~tr~y is hereby mod~cified to include an approval of said Code in
its entirety as mlodlifiedl by said Chapte ~XI.
Huanc S. JoHNwson
Admini;tra~fi~tor for Inldust-rialr Recoersly.
Approval re~colnulnen7d ed:
GEo. L. BEnnY,
Division Adminiistrator.,
Juine 9, 1934.
60338"---657-80---3J 11\


The W~hite H2io-usep.
SmR: This is a report on Chapter XI of the Code of Fair Compe-
tition for the Construction Industry, which Clhapter is a revision,
after a forml public hearing on Febr~uary~ 14, 1934, of a Code of
Fair Comp~ettiton for the K~alamein Industry.
T1Chis Chap-ter, app~licabjle splec~ifically to the Kalamiein Division of
the Construction Industryl~, supplemecnts t~he basic Cod~e o~f Fair Comn-
petition for thie Construction Inldustry,, described as Chlapter I of
such Code, which wcas approved~ by ylou on Januanry ;31. 1!,34. The
hearingF wras conductedl in accordance wTith thie provisions of the
National Industrial Recovery Act.

The Kalamein Division of tihe Construction Ind~ustry includes th~e
malnurlfn eturre, supply ng and.*lor installingS in buildlinas or other fixed
structures of sheetl metal-ocoveredc wood, windlows, cloors. partitlons,
jumibs, trim, base picture mouliling, or any other sheet mietal-covered
w~ ood prod uct s. It i not oine of the larger divisions of th~e industry,
but has gained in impoltnanc~e over a per~iodl of years.

Excep~tingr additional provisions beneficial to employees. the hours
and wag;es set forth in Chalpter I of the Cojnstruction Code as ap>-
proved by y.ou on January 31, 1934. are applicable to this Code.

Arccording to the statistical analysis of the Division of Research
and Planrningb, the volume of business of this Division in 1929 was
$ 10,000,000. In 193::3 the esjtimat~ed~ volume had dw~indtled~ to $(j50,000.
In 1!020, 1,250 were emplloy!ed,. and in 19333 only 50
Although the rate specrifiedl in thec Codle w-ill direcctl~y affetct only
unsiled abror 5' of the total number of e~mployees,, it, is rea-
C.(un;1hk1. to predict that the prohibition of unfair practices will be
beneficialil to the industry as well as to the empllloy'ee andc the coin-


Thte ]DepuIty Ashninictr~atori in h~is fiinal report to me on snid Kala-
nwin~i C'hapter; of the (codelc o-f Falir Comllpetition for the Conlstruction
Indu lltry, hav-int fllndl~ ne set fOr'thl and( on the basis of all1 the

I find thant:
(3) Said Kanlamein Chapter and said Code of F'air Comnpetition
for the Construct~ion Industry, as supplemented by said Chapter,
are w~ell designedl to promote thre policies and purposes of Title I of
the National Induslctrianl Reconvery Act,_ inludl~-ing removal of obtstrue-
tions to the free flowr of interstate and foreign commerce which tend
to diminishl the amount thlereof and will provide for the general wel-
fare' by' p~romot~fing the organization of :indu~stry3 for the purpose of
coop~erative action among the trade groups, by inducing and main-
taining united action of labor and management under adequate gov-
er~nmelntal sanctionss and supervision, by elimninatmg unfair comp~~eti-
tive practices, by p'rom"oting the fullest pc~ssib~le utilization of the
present prlodluc~tive eanpcity of industries, by avoiding~ undue re~stric-
tion of production (except as may be temlporar~ily required), by in-
creasing the consumption of industrial and agricultural pro~uc~ts
through increasingr pulrchasing power, by reducing and relieving un-
employm~ent, by improving standards of labor, and by otherw~ise re-
habilitating industry.
(b) Said Industry normally emnplo~ys not more than 50,000 em-
:playees"; and is not classifiedT by me as a major .indlustry.
(c) Sa~id Kalamein Chapter and the Code of Fair Competition
for the Con~struction Industry, as supplemented by said Kaulamein
Chapter, as approved comply in all respects with the pertinent pro-
visions of said Title of rjaid3 Act, including without limlitatijon Sub-
section (a) of Section 3, Sub~section. (a) of Section 7, and Sulbsection
(b) of Section 10 thereof; and that the applicant association is an
indlustr~ial association truly representative of the aforesaid Industry;
and that said Association imposes no inequritable r~estr~ictionls on ad-
mi-sion to membership therein.
(d) Said Kanlamein C~hapte~r and the Code of FEair Comnpetition
for the Construction. Inrdustry~, as supp~l nlented- by said Kalamein
Chapter are not designed to and will not per~mit monolpolies or
monopolistic pr'act ices.
(e) Said Kialamein Chapter and the Code of Fair Comlpetition
for thie Construction Industry, as supplemental by said Ku'lumnein
Ch~apter,, are not decsigned to and will not elimlinalte or oppress small
enterprises and will nlot operate to disc~riminate agaainst them.
(f) Those engaged in other steps of the economic process have
not been depr?!ived of the right to be heard prior to approval of said
Kialame~in Ch~apter and of said Code, as supplemented by this;
Kalamnein Chapter thereof.
Fio-r these reasons, thecrcfor~e, I have approved said Kala~mein
Chapter of the Code, of Fair Comnpetition of the Construction
RCespect fully,
HEUanI S. Jorwson,
JUNE 9, 1934.

C~arrER XI


SECTIN 1. The term K~alamein Division of the Construction
Industry or "' this Division ", as used herein, means the manufac-
turing, supplying and/'or installing in buildings or other fixed struc-
tures of sheet metal-covered wood windows, doors, partitions, jambs,
trim, base picture moulding, or any other sheet met~a.-covered wood
products. Sheet metal covered wood doors for elevator fronts shall
bfe included in this definition! but such other products fabricated,
and/or assembledl,l and/or installed in conjunction with operating
mechanisms or equipment controlling the operation and/or function
of a complete installation shall not be included.
SECTION~ 2. The term "i this Chapter as used herein shall mean
and include any related industry which hereafter, subject to t~he
approval of the President, may be included hereunder, as a subdi-
vision or otherwise.
~ECTION 3. T~he term "Association "? as used herein is defined to
mean "L The NfaRt.ional Kalamein Association."'


SECT~ION 1. The following are exempt from t.he provisions of sub-
division B of section 2 of Article III of Chapter I of this Co~de
relatings to m~aximuml hours:
(a) Trve'ling or outside salesmen;
(b) EmpIloyees engaged in managerial or executive capacity re-
ceiving more thaln thirt.y-five ($35.00) dollars per week;
(c) Employees on emergency workl involving break-downs or the
protection. of life or property, but in any such case, at least. one and
one-half (11/2) times t~he normal rate shall be paid for all hours in
excess of eight (8) hours per day andl,'or forty (40) hours per week;
(d) Wntrchmen,, who shall not. be permitted to work in excess of
fifty~-six (56) hours or six (6) an!-s in any one week.
SEcnTION 2. T0 the extent periinittedl by the Act members of this
Divisiion who personally perform manual work or are engaged in
michtanical operations shall not excedt the maxima as to hours and
any!s prescr~ibedl herein for thle w-ork performed by them.
SEcrCTIO 3. NITo emIployee now emp~loyved at. a wage rate in excess of
th~e m~inimnuml shall be dlischanrgedl. andl reemnployed at a lower wag~e
rate for the purpose of evading the pr~ovisions of this Code.

SECTION 4. Employers shall not reduce the rates of wliages for em-
ployees whose rates are nowP in excess of the minimum rate herein
provided (notwithstandingr that the number of hours worked in. such
employment may' hereby bet decreased) and, where in any case an
employer has not increased the ra~tes of wages of such employees
prior to the effective dlate of this Code by an equitable readjustment
of all w~age rates, such~ employer shall readjust all such wagle :rates.
SECTION 5. A person whose enrmlng capacity is limited Ybecause of
age or physicall or mental handicap may be employed on light work
at a wange below the minimum established by this Code if the em-
plover obtains from the State Authority deig~lnated by the United
States Depar~tment of Labor a certificate authorizing his emnploymlent
at such w~ages and for such hours as shall be stated in the certificate.
Each emnployer shall file monthly with the Divisional Code Au-
thorit~y, a lijst of all such persons emlployed by him, within this
Division, showing the w~nges~ paid to, and the maximum hours of
workl for, each~ such em~ploy~ee.
SECTION 6. Thle munilmum rates of pay applicable to employees
within this D~ivisionl shall be maintained regardless of whether the
employee is comlpensated~ on the basis of a time rate, piece-work or
other basis.
SECTION Ti. Each member of this Division shall provide for the
safety andi health of his employees at the place and during the hours
of their employment. Standards for safety and health shall be
submitted by the Divisional Code Authority to the Admlrinistr~ator
within six (6) months after the effective date of this Chapter. After
approval, such standards shall become the minimum standards of
safety and health for all members of this Division.
.SECTION.u 8. All employers shall post and keep posted, copies of
Chapter I and this Chapter of this Code in conspicuous places acces-
sible to all employees. Every member of the industry shall comply
with all rules and regulations relative to the posting of provisions
of codes of fair competition which may from time to time b~e pre-
scribed by the Admiinistrator.
SECTION 9. All members of this Division shall makre payment of
all wages due in lawful currency of the United States or by negoti-
able check thlerefor, payable on demand at nla. If wages are paid
by ch-eck, the employer shall provide reasonably accessible facilities
for cashinlg suchn checks at face value wcPithout expense to the em-
ployee. Employers shall also provide such idlentification as is nec-
Sessary to utilize such. facilities.
Warges shall be payable at the end of each weekly period. Wages
Shall be exem~pt fromH any payment or deduction for pensions, insur-
ance or sickr benefits except such as are voluntarily paid, required by
law, or authorized to be dedluc~ted by: employees. Employers or their
agents shall ]not accept, directly or indirectly, rebates~ on such wages
or give anything of value nor extendl any fav\orsd to any person for
the pu"rpos'e o~f influencinlg rates of wages or working conditions of
their employees.
The provisionss of this Section regard'Cing~ payment of wages at the
end of each weekly period shall not apply to persons" employ~3ed in
executive, admlninistrnt~ive or su~perv\isory capnc~ity who earn inl excess
of thirty-five ($35.00) dollars per week, nor to persons employed in

clerical or office work. The wages for persons employed in clerical
or office workr shall be payable at least semi-monthlly. Employees
engaged in a supervrisoryv capacity as mentioned above are those who
perform. no manual work.
SEarlN 10. In no case shall a member of this Division avoid or
evade the labor provisions of this Clode by contracting his work
to any person or persons subject to labor provisions less stringent
thran those provided in this Code.

A Divisional Code Authority is hereby constituted to administer
this Colde within this Div'ision.
STECTION 1. TheC Divisional Code Aluthority shall consist of seven
(7) indlividluals or such other number as may be-approved from timne
to timer by the Administrator, to be selected as hlereinafter set forth.
SEcTION 2. (a) Five (5) members of t~he. Divisional Clod-e Author-
ity shall be selected from~ members of the Association and elected to
the Div-isional Code Authority by a majority vote of the Executive
Commnnittee of th~e Association to serve for terms of one (1) year.
(b) The two (2) remaining members of the D~ivisional Code
Authorityr shall be initially selected on a fair and representative
basis by a majority vote of Ithe Executive Committee of the Associa-
tion from and~ to represent members of ths Division who are not
memibers~ of thie Association. ]Each member representing such memb-
berss shall be approved by the Administrator. Every such member
shall serve a term of one year, or until hie becomes a member of the
Association, or until his successor shall have been appointed by t~he
Adminills~toratr or elected by members of thlis D~ivision whlo are not
members of the Assoc~iat~ion at an election, the manner and method olf
conducting of ~which are satisfactory to, and ap~proved by, the
(c) T1Che successors (including the successor of any member whose
memllber~shi p has become vacant) of all of said members of the Div-i-
sio~lnl Code ALuthiority shall be selected inJ the same manner as their
predcel~itssors except that the successors to the members selected, under
paragra'''ph (b) hlereof may23 be elected by the members of this Division
who are not members of the Alssociation at an election, the mnannler
and method of conducting of which are satisfactory to, and approved
by\ the Admni n ist ra tor.
(d) Any member of the Divisional Code Authority may be re-
mov\ed at any time by thle appointing agency or the agency which
has powcPer to select his successor, subject to the approval of the
Admin isit rat or1.
SI:Crms, 3. Subject to sulch rules and regulations as may be issued
by the Admlinistrator, the Divisional Code Authority shall have the
powe\crs and duties as are conferred by Subdivision B of Article IV
of Ch~ptt er I: of thiis Cod~e and~ also shall1 have the following powers
and duties :
(a) to cooicpera~te with the Adlministrator in regulating t~he use of
any! Ni.lR.Ar. insignian solely by those members of this Division who
hlave a~ssnted to asnd: are comnplyin g withl this Code;

(b) to make studies and investigations for the establishment of
classifications, dim~ensional standards, and quality specifications for
products of this Division, in cooperation with a FIiederal Governl-
mental agency preferably' wTith the, Bureau of Standards of the
United St~at~es Depar~tment of Commerce, with the view to their
rec~ommrendlation for adopltion by~ the indlustry within one year fromt
the effective date of this Codie. Failure to follow such standards,
whien adop~tedl andl applrov'ed by the Admlinlist rattor, except when in
conflict w~ith the specification of thle awardingb authlority, will consti-
tute a violation of this Chap~ter.
(c) to use the Asso,;ciationl or other agrencies as it deems proper
for the p-erforming of any~ of its activities provided for herein, pro-
viided thaIt nothing h~ereinl shall relieve the Divisional Code Au-
th~ority of its duties or res;pons~ibilities under this Code and that
the Association and(: sulch agencies shall at all times be subject to
and comply with the provisions her~eof;
(0l) to, make r~eco-nullcne~i ndaion to the Administrator for the co-
or~dinlt~ionl of thle admninistration of this Code with such other codes,
if any,! as ma~y be relatedt to or air~ect mlembers of this D~ivision -
(e) to aPpoint a Tr~ade Practice Committee which shall meet
with the Tradle Pac~ti~e Committees appointed under such other
codtes as myn~ be r~elatedl toj this D~ivision. for t~he purpose of formu-
Jat~ing fair trades practices~ to govern the relationships.i betw-een em-
ployers under this Code and under such other codes to the end that
such fair trade practices may b~e proposed to the Administrator as
amendments to this Codce anid such1 other codes;
(f) to cause to be formnulatedl an necountingg system and methods
of cost findlingr andl or est~imatingr enpable, of use byT all members of
the industry wh~ic~h shall be sub>jclt to the approval of the Admin-
istrantor. After such sys~teml and methods have been, formulated and
have been apprIovedl byl the Admninistrator, full details concerning
them shall be mlade available to all members. Thereafter all mem-
bers shall determine andl or estimate costs in accordance withn the
principles of such methods.
(g) In com~plialnce with the provisions of Section 1 of Subdi-
vision A of Article IV' of Chapter I, to select one of its members
as a miembler of the Construction Code Authiority.3 Such m~embr
shall be elected for a termn of one (1) year, or until his successor
shall have been e~lec~tedl andl qualifiedl. The election shall be held
annually upo~n proper notice to~ evetry member of thne Divisional Code
Authlorijty, andi each~ of suc~h members shall be entitled to one vote.
In orders for any candidate to be elected, six (6) of the seven (7)
mlember~s of the Divisional C'ode Auth~orityT shall have voted for his
SCTION it. 1belnc found necessary, in order to support the
administration of this Chap~ter andi to maintain the standards of
fair competition estab.lished by~T this Code and to ~effectulate the
policy of the Act, the Div'isionllD Code Authority is authorized, sub-
ject to the approval orf the Administrator:
(a) To incur such reasonable obligations as are necessary and
proper for t.he forlegioing purposes and to meet such obligations out
of funds which mayv be ranisedc as hlereinafter provided and which
shall be held in trust for the purposes of this Chapter;

(b) to submiit to the Administrator for his approval, subject to
such notice and opportunity to be hleard as he may deem necessary,
(1) an itemiized budget of its estimated expenses for the foregoing
purposes, and (2) an basis upon which the funds neces-
sunry to support such bLudgret shall be contributed by members of
this D~ivision;
(c) after suIch bundget and basis of contribution have been ap-
provedr by the Admiiinistrator, to dletermiine and secure equitable
contribution as above set forth by all suchl m:-mbers of this Division,
and to that end, if necessary, to institute legal proceedings therefore
III its OWH. namre.
SEC'IT~ow 5. The Admlinistr~ationl members, t.he Construction Code
Authority and th~e Admninistr~ator1 shall be given at least fivle (5)
days' notice of, and may sit at., all meetings of the Divisional Code

SE~EnoN N 1. Thie following provisions ar~e adopted as rules of fair
trade practice for mnemibers of this Division, and any violation of
these rules shall c~onstitulte an unfair mlethodl of competition and a
violation of this Code as it applies to this Div'ision:
RIULE j_. InaCCzcrated dsc( 'Off~ildhy.-N member of this Divlision
shall publish advertising (whether printed, radio, display or of any
other naturet),, which is misleading or inaccurate in any material
particular, nor shall any members of this Division in any way mnis-
represent goods (including but without linxit.ation its use, trade-
mark, grade, quality, quantity, origin, size, substance, character,
uinture, finish, material, content, or preparation) or credit terms,
values, policies, services or the nature or form of the business
RUTLE: 2. FG 88 Billinzg.--No member of this Division shall know-
ingly withhold fromr or insert in any quotation or invoice any state-
ment that makes it inaccurate inan~yo material particular.
RULE 3. Ilnaccura~cte Labell~ing.-N member of this Division shall
brand or marik or pack any good-s in any manner which is intended
to or does deceive or misleadl purchasers with respect to the brand,
grade. quality, quantity, origin, size, substance, chlaractetr, nature,
finish, material, content, or p~reparation of sulch goods~.
RULE: 4. TChe standardscl of fair competition for this Division with
preference to pricing practices are dleclared to be as follows (for
de~finiio~cn of terms see subsection (d):
(a) The Pr-inrc~iple:
(1) Des~trulct ive price getting is an unfair mecthod of comp~ettiton
a\nd is forblidde~t n at all times, irres~pective of the existence of ain
emergency ;
(2) When no declared emergency exists as to any giiven product,
there is to be no fixed miinimum Ibasis for prices but it is intended
that soundl~ cost estimalting methodls should be used;
(3) When an emelrg~c ncy exsists as to any! given product a sale
thecreocf belowr the lowes~t Iclcreasonable cost of suchi product, in violation
of subsecctio n~ (c) hereof, is for~biddetln.

(b) Normal provision (Cost estimating methods): See Article
III, Section 3 (f) of this Chapter.
(c) Emergency provision (lowest reasonable cost) :When an
emergency exists, t~he Divisional Code Authority may cause an
impart.ia.1 agency to investigate costs and to determine the lowest
reasonable cost of the product affected by the emergency whichl
determination shall be approved by the Ad~-ministrator before be-
coming effective. Only such cost elements are to be included in such
determination as ar~e prescribed in such rules and regulations as
are issued by the Admlinistr~ator, and said determination shall be
in all respects subject to said rules and regulations. Such determina-
tion shall be subject to the Administatoratrs approval or modification
after such notice aInd opportunity to be heard as he may p~rescribe~.
The Divisional Code Aluthorityv or the Administrator mlay, from time
to time, en use suchl determinations to be reviewed or reconsidered and
appropriate action taken.
(d) Defin~itiona:
An "' Emergency exists whenever the Administrator determines
that destructive price cuttings is rendering ineffective or seriously
endangering the mlaintenance of the provisions of this Code.
Destrlruct~.iv price cutting ",
(1) When no emergency "exists. the term shall have the meaning
declared in rules and r~egulat ions promulgated by the Administrator
on recommendation of the Divisional Codie Authority or on his own
motion ;
(2) W'hen an emergaency exists, the term shall mean anyT sale in
violation of subsection (c) hereoif;
(3) It shall be an absolute defense to any charge of destructive
price cutting, if an impartial agency, designated or approved by the
Administrator, shall find,
(na) That the price complained of is justified by existing comp~eti-
tion, evidence of which has bee~n reported to the D~ivPisionzal Code
(bb) 'Tihat the price co~mplalined of is justifiedl as a method of
disposal of dropped lines o~r sec~ondls, or
(ec) Wh~~en no dleclaredl emergency exists, that th~e member charged
with destructive price cutting has mn good faith endeavored to make
proper use of t.h~e announced cost estimating methods.
RULE fi. Tlirea/8 Of Lawl Suits.--No member of thiis Division shall
publish or circulate unjustified or unwarranted threats of legal pro-
ceedings which tend to or have the effect of harassing competitors or
intimidatinr their customers.
RULLE 6. S~eCreit Rebates8.--No member of this D~ivision shlnl secretly
offer or make any payment. or allowance of a r~ebate, refund, com-
miission credit., unearned discount, or excess allowance, whether in
the form of money or otherwise, nor shall a member of this D~ivisio~n
secretly offer or extend to any awarding authority or customer any
special service or privilege not extended to all customers of the same
class, for the purpose of influencing a sale.
RULE 7. Bribingo Em~ployeeos.--No member of this Division shall
give, permit to be given, or ot~er t~o give, anything of value for the
purpose of influencing or rewarding the action of any employee,

agent, or representative of another in relation to the business of the
employer of such employee, the principal of such agent or the repre-
sented party, without the knowledge of such employer, principal or
party. This provision shall not be construed to prohibit free and
general dlistr~ibution of articles commonly used for advertising except
so far as such articles are actually used for commercial bribery as
hereinabove defined.
]RnLE 8. Ilulclrii GFieClc Of Er~istinag Conltrats.--No member of
this Division shall wilfully induce or attempt to induce the breach
of existingr contracts between competitors and their customers by any
false or deceptive means, or interfere with or obstruct the perform-
ance of any such contractual duties or services by any such means,
with thre purpose andl effect of hamipering, injuring or embarrassing
competitors in their business.
Rttr 9. ,Sublettingl of Labo.--No member of this Division shall
directly or indlirectly, or by any subterfuge sublet solely the labor
services required by any contract secured by such member.
RITE 10. Substtfituion of Iife~rior Produicts.--No member of this
Division shallI use or substitute any products of the industry inferior
in. grade or qua~litY, less in q~uantity, and.'or of a different design or
type to those specifiedl by th~e purchas~ers, without the consent of the
purchansers to such uses or substitutions, with the effect of deceiving
or mlislead~in g such p~ur~chasers.
RunL 11. Con~ceaknen~t of Truse Srelling Pr~ice.--No member of this
Division shall combine q-uotations for any product of this Indusryy
with any quotation for any other material, labor, or service, for the
purpose of cosncealing the tr~ue selling price of the product of this
RrLE, 12. Dj;sisinction of Scpalrater Projctfs.--No member of this
Divisio~n shall combniine the requiirements for the products of this
Industry for two or mmec- dilstinct andr separate projects in one quo-
tation to thne samle purcha~serl fori thle purpose of concealing the true
selling pr'ic'e for the Illandulctss of echcl or' all o-f such projects. Under
thfis section a project shall b~e considered distinct andl separate from
another project unless th1e ~awarding unrthorit~y, including the owner,
and his agents (includ~ing thle atchitcct. and tlhe mnechanical engi-
neer), are thc salme onr projects.
R I:Ie 13. Other Unrfair Tlrade~ Pract ir.--Not h i r i n th is Article
shall limit thle efect of anyv adjmilication by the Couurts or holding by
the ]Fedra~l T"nrade Commissi o~ In on cmp-laint findings and order, that
ainy pract ice or Ineth~O:1 is' ulnfalir1. pr'oVid.jnin that such adjuIdication or
hcldling is not iniconsiistent w\ithi anyi provisions of the Alct or of this

S~EC.'ION 2. Eanch membeI1,r of thisc D~ivision shanll file with a disin-
teres~ted im~partial depos,~-itory, elcted~ by the Divisional Code Au-
thiority, a signdc~ sa~led~ copy' olf a11 ~l~lbs inc~lud~ing all alternates andi
revisilons thereof sallonittedl~ in connc~ll~tion with~ .compe~ttit ive bidding
in excess of three~ hundreds do~llar~s (6:300.00l) togrethler with a list of
all In-nspcrtivec cu'tomerllsr or o~thcrs to whomc~r such b~ids hav\e been or
are to be Ilullnitted~. SuCh1 Cop~ies of jid~s Shall n1ot hie opeCned hy~F SuICh
de~po.sitoryS until twenty-foulr (34) hlours after thle timc spercified by
th~e award~ing authorlllity forl theC re~~Ceipf and~ opening of suchl bidls.
Wrlithlinl fiv (5) days'.- after blCulch opening~ thle depo)Csito~ry' my and

shall on the request of any bidder prepare a list of thte names and
addresses of all bidders for each specific project., indicating the
amounts of all base bids, alternates, and .modifications together with
a summary of all exceptions, and forwalrd a copy of such list to
each member of the industry wTho has filed his bid for such project.
SECTION 3. It shall be a violation of this Code for any muemb~er of
this Division to accept a contract or to furnish any material, labor,
or service in violation of the prov~isio~ns of this Article.

The provisions of Section 7 (a) andt 10 (b) of the Act, which are
set forth in Sjections 1 andl 6 resecptrtively of Article VIII of Chapter
I of this Code are specifically incor~poratedi herein by reference with
the same fo~c~e and effect as is set forth herein mn full; all other
provisions orf Chatpterl I of this Code, includ~ing anyT modlcifiention s
or Amendments thereto, except as hierein provided, apply within
this Division with the samne force and effect as if set forth herein
in fu~ll.

If the Admlinistrator shall determine that any action of the Divi-
sional C'ode Authority or any agtency thereoccf may be unfair or unj ust
or contrary~ to the public interest, the Administrator may reqirelli
that. such act~ion bet suspcndedl to afford an opportunity for inves-
tigation of the merits of suc(h action and further consideration byr
the Divisionlal Code Authority or agency peningcll final action which
shall not be effective unless the Administrator approve.-' or unless
he shanll fail to disapprove after thirty days' notice to himn of inten-
t~ion to- proceed~p with su~ch action in itsc origrin:l or. mnodifiedJ form.


Subject to the provisions of Sectioin 2, (c) of Article IV B, of
Chap'ter I of this Code, the provisions of this Chapter except as to
provj\isio~ns required by the ~Act, may be modifiedt on the basis of
exiperie~nce or c~ha7nges in clir~cum~stan ~ces, such modifications to be
baSed~ upon0 applientio~n to the Adm~n~inis~tcr tr and such notice and
hearings as he shall spiecify, and to 'become etffective on his approval.

In addition to informnt~io-n required to be sublmittedl to the Code
Authority,, all or any of the per1sons subject to this Codre shall fur-
nish suchl statistical information as the Administrator may d~teem
necessary for the purploses recited in Se~ction 3 (a) of the _Act to
sulch F~ederal. and State Agencries as the Aldministrator Inn desig+-
nate; andl nothing in this Code shall relieve! any person of any exist-
ing obligaation to furnish reports to governmient ag~encies.

Each member of this Division within thirty (30) days after the
effective date of this C'hapter, shall register with the Divisional

Code Authority. Thiereafter all wvho become members of this Divi-
sion shall likew~ise register with the Divisional Code Authority.
Registration of a member of this Division shall include the full
name and mailing adldress of the member. An application may be
miade by the Divisional Code Authority to the Administrator for an
extension of the time limiit for the registration by any member of
this Division if it appears that the time limit as provided herein
might cause~ injustice or undlue hardship to any member of this

This Chapter shall become effective within this Division on the
tenth (10th) day after the approval of thiis Chiapter by the President.
Approved Code N~o. 24-Supp11,lemen t No. 13.
Registry Nor. 1121-1-02~.












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