Code of fair competition for the steel wool industry as approved on February 28, 1934


Material Information

Code of fair competition for the steel wool industry as approved on February 28, 1934
Portion of title:
Steel wool 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:
Steel industry and trade -- 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. 1118-22."
General Note:
"Approved Code No. 313."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004939725
oclc - 63655227
System ID:

Full Text

For sale by the Superintendent of Documents, Washington, D.C. - Price 5 centa

Approved Code No. 313

Registry No. 1118--22







This publications is for sale by the Superintendlent of Doc~uments, Government
Printing Ofic~e, Was~hingtoln, D.C'., and by district offices of the Bureau of
Foreign and Domest ic Commer~e.
Atlanta, Ga.: 5j04 Post Olic~e Buildling.
Birmingham, Ala.: 257i Federal Building.
Boston, Manss.: 1801 C~ustomhlouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Chanrleston, S.C.: Chamlber of Comm~erce Buildling.
Chicngo, Ill.: Suite 1706, 201 North W\ells Street.
Cleveland, Oh)ilo: Clhambler of (commerce.~
D~allas, Tex.: C~hamb'er of C~ommlere Buildling.
Detroit, M~ilh.: "01 F'irst. Ncatio.nal Bank; Buildling.
H~oustolr. Tex.: Chamblll~er of C'ilommerce Buildling.
Indianap~olis, Ind~.: Chlamber of Commlerce Building.
JackLso~nville, F'la.: Chambher of Commerce Buildingr.
Kiansas c'ity', Mo~.: 1028 Balltimore Ave~nue.
Los Angeles, Calif.: 1163 South Broadway~il.
Louisville, KS. : 4109 Federal Building..
MIemph~lis, Tenn. : 229) Federal Buildlin~.
hilinnonolis, M~inn.; 21.3 Federal Buildingr.
N~ew\ Orleans. La.: Room 225-A, Custolmbouse.
New York, N.Y.: 734 Customhoiuse.
Norfolk, V'a.: 406 East Plume Street.
Phiiladelplhia. Pa~.: 4122 Commercia~ifl Trusit Burilding.
Pittsburghl, Pa.: Chamber of Commlerce B~uilding.
Portlandl, O:reg.: 215 New Post Offic~e Buildling.
St. Louis, Rlo.: 506 O~live Street.
San Fralncisco, Calif.: 310! c'ustumb~louse.
Sriattle, Was~h.: 8009 Federal Offce Building.

Approved Code No. 313



As Approved on February 28, 1934



An application having been duly made pursuant to and in. full
compliance w~it.h the provisions of Title I of the National Industrial
Recovery Act, a~pprove d June 16, 1933, for approval of a Code of
Fair Comlpetit~ionl for thle Steel Wo'~ol Industry, and hearings having
been duly held thereonl and the annexed report on said Code, con-
taining findings w~ith r'espec~t thereto, having been. made and directed
to the President:
NluOWi, THEREFORE, on behalf of the President of the U~nited
States, I, Hugh S. Johnson, Admninistr~ator for Industrial Recovery,
pursuant, to authority vested in mne by Executive Orders of theF1 Presi-
dent., including Executive Ordecr No. 6543-A, dated December 30,
1933, and otherwise; do hereby incorporate by: reference said annexed
report and do find that said Code complies in all respects with the
pertinent p>rovisions and wfill promote the policy and purposes of
said Tit~le of said Act and do her~ebyr order that said Code of F'air
Competition be andi it is her~eby' alpproved; provided, hiowever, that
t.he provisions of Artic~le V'I, (Sec~tions 3 and 4) insofar as they
prescribe a awaiting per~iodl betwreen1 the filing with the Code Authority
anl t~he effective date of price lists, as originally filed, and/or revised
price lists or revised terms and conditions of sale be.and they are
hereby stayed penlding mny fur~ther Order either wFPithin a period of
sixty day2s froml the effective dlate of this Code or after the completion
of a study\ of open price associations now being conducted byr the
National Rec~overyS Admiinistration.
HuanG S. JonwJson,
Adm~~inistraltor for IndutCi8ria(l .ReClcvery.
A4ppr~oval r~ec~omnmendedcl :
Diviaionz A~dmiinistr~ator.
Febrluary~ 98,? 194.




The W~hite HLiow1e.
SmR: TIhis is a report on the Code of Fair Comlpetition for the
Steel Wool Industry, the hearing having been condu~ctedl thereon
in Washington, D.C., on January 29, 1934, in. accordiance with the
provisions of the National Indusjtrial Recovery Act.

This Code that 8 hours shall cornstitute the nonrma numn-
be~r of workling hoc.ur~s per day, 40 hours t~he normal numiber of w~ork-
ing hours per w~eek. These provisions are applicable to all em-
ployees except traveling or outside salesmelln ; employees engaged
solely in Scientific: or Research work, but who shall be emplloyed not
more than 48 hours per week; watchmen, who shall be employed
not more than 56 hours per week; employees wvhile- engaged in in-
ventory wncork, but no such inventory worker shall w~orkl more than an
additional 20 horurs in any one calendar year; proid-edl, that suchl
inventory wol~rkrs shall be paid time and one-half for all ovrertimce
worked in exposs~ of the maximum above provi(ded; employees when
engaged in emlcr~genc~y maintenance or emer~gency repi ok(u
such employees shall be paid time and one-half fr allni hrours in e
cess of 44 hours per week); and pers~ons em~lployedr in mlanagerial,
executive or supervisory capacity receiving nob less than $35.00 per
Trhe rate of payr provided for pr~ouc~~tiojn labor is 35y! per hour for
both men and women. All other employeest will be paid at not less
than at the rate of $115.00 per week.
Equitable adjustments are to be made of all wage rnt~es above said
Child Labor is prohibited and no person under 18 yea rs of age
shall be employed in a hazardous occupation.

The Steel W~ool Indus~try as defined in the Code includes the
manufacture and sale of steel wool and cleansers, which consist
of steel wool with soap in packages, and its customers are the
various mail order houses, department, stores, g~roceryg stores, p~aint
and hardware dealers.
The invesftmlent in the Inlust~ry~ is approximately $4.333,(000 and
the numlber of wagbe earners mn normal times about 700 employees,
with. an estimalted- unnualul payroll of $450n,000.
In 1929, which was considered a normal yea~r, o~perHt~ions wer~e
at a rate of approxsimately 669~ of c~apne~ity, with a production


of about 7,7i0;3,000 pounds of steel wool. Operations in 1930 were
about 4598~ of capacity; in 1931 about 45 & of capacity; in 1932 about
4098 of capacity.
I believe that. t~he Code is fair to Industry, to Labor and to the
Public, and is in necordcance~ with the intent and purpose of th~e
National uludu trial RecoveryS Atct.

The Assistant Depu~ty Adminis~tratoro in his final rep~lor~t to me
on said Code hlaving found as herein set fourth and on the basis of all
thle proceedings in this matter:
I find that:
(a) Said Code is well dlesignedc to promote the policies and
pur'poses of Title I of the National Indulstria Reovery Act, includ-
ing removal of obstructions to the free flowJ of inlter'state and for~eignl
commerce which t~endl to diminish the amount thereof anid will pro?-
vide for the general welfare by promoting the organization of
industry for the purpose of cooperative action among the trade
groups, by indlucingi and maintaining united action of labor and
management underl adequate governmental sanctions and supervision,
by eliminating unfair complle~titivee practice, by promoting the full-
est possible utilizationl of the present productive capacity of in-
dustriei;, by avoiding ulndue restriction of production. (except as may
be temporar~ily requir~ed-) byr incireasing the consumption of in-
dustrial andi agricultural l products through increasing purchasing
power, by r~educingr and relieving unemployment, by improving
standlardcs of labor, And~ by otherwise rehnabilitating industry.
(b) Sa~id Indu~stry normally employs not more than 50,000 em-
ployees; and is not classified~ by me as a major indus~ltry3.
(c) Th~e Code as approved complies in all r~esp~le:ts with the perti-
nent provisions of snid Title of said Act, including without limita-
tionl Sub~section (a) of Section 3, Subsection (a) of Section 7, and
Subsiection (b) of Section 10 thereof ; and that the applicant group
is an1 industrial gr'oupl truly3 r'epresentative of the aforesaid 'Indlustry;
andl that .saidl group, imposes no inequitable restrictions on admission
to membership ther~ein.
(dl) The Cod~e is not. designed to and will not permit- monopolies
or monopolistic practices.
(e) The Code is not designed to and will not eliminate or op~press
small enterprises andi will not operate to discriminatte against them.
(f) Those engaged in other steps of the economic process have not
been deprivedl of the right to be heard prior to approval of said
For these reasons, therefore, I have sproved this Code.
Hu[TanE S. .ToHNson,
FEBRUARY 28, 1934.


To effectuate the policies of Title I of the National Industrial
Recovery Act, ths Code is established as a Code of Fair Compet.ition
for the Steel W~ool Industry, rand its provisions shall be the standard
of fair competition for such industry, and shall be binding upon
every member ther~eof.

1. The term, the "Industry", means the business of producing and
distr~ibutin( "'Steel Wool."
2. The t rm, "Memnberl of the Indlustr~y ", includes, but without
limitation, any individual, partnership. as~oc~iation, cor~pora~tion, or
other form of ente~rprise operating a p~~lnt or plants for the produc-
tion of steel wool, either directly orl t~lhrough an alliliat~ing company.
The term, "a affiliated company" means a company whose r~elations
to alnotherl compal, ny are such that. either one has, directly or indi-
rectly, a 51%/ or more voting interest in the other, or that another
company" ha~s, directly or indirectly, a 51'` or mo1Cre v-oting stock
interest~ in both.
3. Thle term, "'The Code", means this Code as~ originally approved
by the President and all amendments her~eafterl mladle.
4. The term,' "The President", meanls thle President of the United
5. Tllhe term, "employee", as used herein includes any and all
persoc-ns engaglfed in the industry, however compensated,, except a
member of the .indust ry.
6. The term, "employer ", as used herein includes anyone by whlom
any such employee is compensated or employed..
7. The terms Act and A~dministraltor as used~ herein mnean
resp~ectively Title I of the National Industr~ial Recoveryr Act, and
the A~dministrator for Industrial Recovery.
8. The term, "L the effective date of the Code ", merans the dlate on
which, the Code shall have been appr~ovedl and made effective by t.he
9. The term, Association ", refers to The Steiel Wool Associa-
tion "; the term Executive Committee ", r~eferls to the Executive
Committee of said Association, and the termll Scrleta~ry retfer~s to
the "' Secretary of said L Associat~ion1."
1_0. The term "Code APuthority"' refer~s to the Executive Comnmit-
.tee of the Assolc~ciati lon.
11. The term "LPrimarl'y ManulfactureCr ", as u1sed herein is defined
to mearnr a Conver''l'te' of wire into steel wocol andi or, shlavingrs.
12. Thne termz,' House Brand ", as usedl herein is dlefinedl to melan
a bra~nd owned, or used by a mnanufueturler of steel w-ool.


13. The term, "' Private Brnnd "), as usedl herein is defined to mean
a brand ownedl or used by someone other than the manufacturer.

1. In compliance w~ithl Section Ta of the Act, it is provided thaat:
(a) Employees in the induistry shall have the right to organize
and bargain collectively through repr~esentativess of their own choos-
ing, and shall b~e free from thle interference, restraint, or coercion of
employers of labor. or their agents, in the dlesignation of sic~h repre-
senta tires or in sel'f-or~ganization or in other concrerted activities for
the purpose of col lect i ve bargn i ninIg or other mutual aid or protection.
(b) No emiplo~ee and no onle seeklingl emp~loymenrt shall be reqiuir~ed
as a condition of employmlent to join any company)liS unionl or to retfra:inl
from joining, organizing, or a sis~tingg a labor or~ganizationl of his
own1 choosing.
(c) Employers~ shall comp~ly with the mnaximumn hourls of labor,
minimum rates; of pay andt other conditions of employmnent app~roved
or prescribedt by the President.
2. No pers~onl undcer 16 years of age shlall be empyloyed in the in-
dustry. No p~erson under 18 years o~f age shall be employed at opera-
tions or occup~ationls which are hazardCouIs in nature or dangerous to
health. In any state an emnployer shall be deemed to have complied
with this prov-ision as to age if he shall hiave on file a certificate or
permit. duly signed by the Author~ity in such State empowered to
issue employment or age certificates or permllits showing that the
employee is of the required age.
3. No employer shall reclassify employees or duties of occupations
performed or engage in any' oth~er sulbterfuge for the pur1posee of
defeating the pur~posies or pr~ovisions of the Act or of this Code.
4. Every employer shall make reasonaler~ provision in ac~coralz nnee
w~ith existing law' for the safety andl hetalthi of his employees at the
place and during the hlou~ri of their employment.
.5. W\ithini eachi State no provision inl this Code shall sup~er~sede a
State or F~ederal law w~hic~h imposes on employers more stringent
I~reuiremnents as to age of emlployees, wagets, bourls of w-orkI, or as to
safety, health, sanitary, or general wor~kingi conditions, or insurannce,,
or fire protection than are imposed by this Code.
6. All employers' shall post complete copies of Articles II, II[I, and
IV of this Codle in conlspicuouss places accessible to employees.

1. No emlployee shall be p~ermittedl to wTOrkT in excess of forty (40)_
hours in any one wTeek, or eight. (8) hoursI in any tw~enty-four hour
period, except as in this Article othler~wise provided.
2. The provisions of thiis Article shall not apply to
(an) Employees whlen engaged in emelgprgenc mainlftenanIce or emer-
genlcy) repair work (but such emplloyees sh~all be compensated at the
rate of timne and one-half for all hoursY inl excess of forty-four hours
per weetk).
(b) Supervisors, or other persons employed in a managerial or
executiv-e capacity who earn not less than thirty-five ($35) d<>llars
per w-eek.


(e), Travelling or outside salesmen.
()Employees engaged solely in scientific or re-search work, who
shall not be employ3ed more than, 48i hours p~er w~eek.
(e) Employees while engaged in inventory work, but no such
inventory worker shall work m~ore than an adlditional 20 hours in
any one calendar year; provided, further, that such inventory
workers shall be c~ompensanted at thle r~ate of time and one-half for
all overtime w~rork in excess of the mlaximumll a~ove providedl.
(f) Watchmnen who shall not be employed more than 56 hours per
3. No empllloyee shall be emlployed- or permitted to work for one or
more emlplo~yers in th-e industry in an aggJregate in excess of the
p~rescribedc munuber of hours.

1. No accounting, clerical or office, emplloyee of anyr member of
the industry1'3 shall be paid less than at the rate of $15.0i0 per wreeki,
and no other employee shall be paidl in any pay period less than at
the raute of thirt~y-five (35) cents per hour, except. as otherwisLe herein
2. The provisions of this Article IV do~ not ap~ply to apprentices
wiTth less than 3 months' exsper~ience in the inldustry,! who mnay be
compe"nsated at not less than 80%- of t.he rate hereinl fixedl, but the
number of apprentices thus paid shalll not. xcsceedl 519 of t.h~e total
employees, and the ,period of appr~ent~icetship~ h1a~ll not exc~eedc 3
3. This Alrticle establishes a mninimuml rate of pay3 wh~ich shall
apply, irrespective of whether an emuployee isL 1c'tulally' c~omp~ensate d
on a time rate, piece rate, or other basis.
4. No member of the industry shall rdc-uce thle rates of c~ompensa-
tion for employment now in excess of the minimum wanges hereby
established and there shall be an equitable ad~justmenlt of the wages
of employees nows receiving more than the nuiinunum wagie as p~ro-
vided in this Code. Such equitable adjustment shanll' mean that dif-
ferentials existing prior to the formulation of this C'ode shall be
maintained for all workers. The first reports orf wages requy~ir~ed to
be filed under this Code shall contain all wage inlcr1eases madnte since
Ma y 1_, 193 3.
5. Femalle empllloyee~t s performing substanntially~ the sramle w~ork and
under the same conditions as male employees shanll receive thle same
rate of pay as malent employees.


1. A Code Authlority is hereby constituted to adminisiter this Code.
2. The Code Aurthority shall consist. of the Executive Comnittee ,
and, in addition thereto, there may be not to exceed three (:3) mem-
Lers~ without vote, to be appointed b~y the Adlministraot or, whose terms
of office sha~ll be so awangedl~ll thalt. theyr will nol-t explir'e at the samne
time. Trhe SecreI~tary~ of the Association shlall aIct as Secre~tary\ of the
Codet Aulthlor'it; wherever provision is mad~e in this Ar~ticle` for the
filing of any dloreunments with or the giv~ing of notice to or byS the


Code Authority, such documents shall be filed with and/or the notice;
shall be given to and, or by said Secr~etary.
3. The Association shall (1) unmpose no Inequitable restrictions on
membership, a~nd (2) submit, to the A~dminlistrator true copies of its
articles of association, by-laws, regulations, and any amendments
when made thereto, together with such other information as to mem-
bership, organization, and activities as the Administrator may deem
necessary to effectuate the p~urposes of the ~ALct
41. In order that. the C'ode Authority shaUl at all times be trul
representative of the industry and in other respects comply with the
provisions of the Act, the Admninistrator maay prescribe such heatr-
ings as he may deem proper; and thereafter if he shasll find that t~he
Code Authority is not. truly representative or does not in other
respects comply with thle provisions of th ~Act, may require an
appropriate modification in the method of selection of the Code
5. 1S1emnbers of thle industry~ shall be entitled to participate in and
share thle benefits of t.he actl\vities of the Code AuathoriLty and to
participai-te in the selection of the mlemlbers thereof by assenting to
and complying with~ the requirements of this Code and sustaining
their reasonable share of thie expenses of its administration either by
becoming a membnller of th~e Association or by pay3ing~ to the Associa-
tion an amount equal to thle dues from time to time provided to be
paidl by a mlember in like situation of the Association. The amount
of any such payment or payments shall be subject to r~eview and
approval by' the Admrinistrator.
6i. Nothing containled in this Code shall connstitutle the members of
the Corde! Authority partners for any purpose. Nkor shall any mrem-
ber of the Code Authorit~y be liable in any mariner to anyone for any
act of any other member, officer, agent, or employee of the Codle
7. If t.he Admllinis~trator shall determine that any action of a Code
Aut.horityJ or anly agency thereof may be unfair or imnjust or contrary
to the public initerest, the Admninistratorr may require that such nation
be scuspended to afford an opportunity for investigation of the merits
of such actions and fu~t~her consideration by such Code Authority or
agency pendling tinal action which shall not be effective unless the
Adminiitrator approves or unless he shall fail to disap~prove after
thirty (30) days' notice to him of intention to proceed with such
action in its original or modified form.
8. The Ciode Author~ity shall have the following duties:
a. To insure thle execution of the provisions of this Code and pro-
vide for thle compliance of thre industry with the provisions of the
b. To adopt by-laws and rules and regulations for its procedure
and for the administration of the Code.
c. Upon comlplaint. or upon its ownr initiative to investigate the
operations of this Clode.
9. Each membler shall prlepare' and file with the Code Anlthority,
such statistics, dalt~a and information relating to plant c~apneity, vol-
ume of production anid volumei of sales in terms of poulnd~s of steel
wo~ol, n umbe~r of emp Iloyeets, wage rates, employee earn Iings, and hou rs
of workl, as the Code Aiuthority or the Admlinistrator may from time


to time require, which a-re pertinent to the administration of t.he
10. Except as otherwise provided in the Act, or in this Code, all
stat~istics, data, and information filed or required in accordance with
the provisions of this Code shall be co~nfid~ent~ial andl the statistics,
<1ata, and info~rmationl of one miemiber shall not be revealed to another
member. No such data or informantion shall be published except. in
combination with other similar data and inl such a ma~nner as to avoid
the di~rsclosur of confidential information.
11. The Code Authlority shall mak~e such r~epor~ts to the Admllinis-
trator as he may from time to time require.
In addition to information ion required to be submitted to the Code
Authority, all or any of the persons subject. to~ this C'ode, agreement,
or licecn e~ shall furnish such statistical iniformnation as thle Admiinis-
trator m~y deem necessary for the purposes r~ecitedl in Section 3 (a)
of the Act to such~ Federal and State Agrencies as the Admllinistr~ator
may designate; nor shall anything in this Codte, agreement, or license
relieve any person of any existing obligation to furnish r~eports to
Government Agencies.
12. A memberc~l of the Industry by one of its r~eprle entatives onl the
Excu~tive Commrittee may at anytm mkeiui oanohr
membr cncenin alege vilatons of thiis Code. The memiber to
whom such inquiry is addressed shall answer it. by! the affidavit of
one of its representatives on the Executive Committee.
13. Until such time as it adoplts other by-laws, meetings of the
Code~c Aut~horityv shall be! gove~rnedc by t~he regulations of thle Assc~cia-
tion gover:Ining' meetings of the 1Executive Commllittee.

1. The Code Authority shall cause to be folrmlulatedl an necounting
sys'temll and methods of cost' finding and/or estimanting enpa7ble of use
by all members of the industry. ALfter such \.system ald mlethlods have
been formulated, full details concerning theml shanll bes mande available
to llmebes.Thereafter all members~ shall dletermine andl or
estimlate cost in accordance with the principles of such mneth~ods.
2. Within fifteen (15) days after the ap~proval of thlis C'ode, every
.uchl member shall file with the Code Autholrity a scheduliie of prices
and terms of sale for such products as dlesignated by the Code
3. All such schedules shall be in such form as th~e C'ode Author~ity
Ihall prsc~cribe and shall co-ntain atll information nec~essary to perneit
any inlterscte d~ pe~l~crlo to determine the exact. net price pel- unit after
all discounts or other deductions have been mad-e, wThether per~t.aining
to a single order, a commnitmentn for future dleliverg, or a contrnet.
All su~chl original schedules shall becomlle e~ffec~tive not. later than ten
(10) days from the date of filing. Any suchl schedule, or any price
ther~em, mary apply nationally or may be limnitedl to one or. more
geographical divisions.
4. A revisedt sched~~ule or sched~ules, or a ntew schedule or schedules,
may be filed by a member with the Code Authority at any time.
AtSny schedules filed herelunderl shall become effective~ five (f)days
after the Inte of filing, provided, howeverl that an 2ncrease price


may become effective at such earlier date as the member filing the
same shall fix.l
5. The Code Authority shall prompl supply all members of the
industry with copies of all schedules n revised schedules. Imm-e-
diately on receipt of information tha-t a schedule then on file has
been revised, or that a new schedule has been filed, any member may
file a revised schedulle conforming as to price aind terms to the
schedule of sueb other member, and effective on the samne date.
6. No such schedule of prices and term~is of sale filed by any mem-
ber, or in effect at any t~ime, shall be such as to permit the sale of
any product at less than the cost. thereof to such member determined
in the manner providedl in Section 8 of this Article, provided, how-
ever, that any member mayV sell belowFP his ownz cost to meet a
competitor's p~rice.
7. WVhen the Code Author~ity determines that an emergency exists
in this industry anld that the en use thereof is destructive price cutting
such as t~o render ineffective or seriously endanger thze maintenance
of the p~rovisions of thlis Code, the Code At~uthority mnay cause to be
determined t.he lowe~st reasonable cost of the products of this indus-
try, sucrh deter~mination to be subject to such notice and hearing as
the Administrantor may req~cuire. The Admin ist rator mayapprove,
disapprove, or modlify the determination. Thereafterduin the
period o~f the emerg1ency, it shall1 be an unfair trade practice for any
mecmber of the indulstry~ to sell or offer to sell any products of the
indiustry3 for which thle lowest reasonable cost has been determined
at suchl prices or upon such sterns or conditions of sale that the buyer
w~ill pay less ther~eforr than the lowest reasonable cost of such
prod ucts.
Whlenl it. appears that conditions have changed, the Code Author-
ity, up~on its ownl initiative or upon the request of any interested
party, sh~all enuse the determination to be reviewed.
8.~ Cost for the p~urpos~es o-f this Article, shall be determined pur-
suLant, to the method of necount~ingr and costing prescribed as pro-
vid~ed in Section I her~eof as so~on as such method is adopted, and
approved, and theretofore purlsuatnt to the method employed by such
memnber subject to such preliminary rules as the Code Authority
shall fromt time to time pr~escr~ibe with the approval of the ~Adminis-
tra tor.
9. Nothlinga herein contained shall be construed to prevent the dis-
position of distress merchandise required to be sold to liquidate a
defunct or insolvent busrinless in such manner at such price and such
terms and conditions as th~e Code Authority may approve.
10. Nothling containedl in this A5rticle shall be construed to prevent
t~he fulfillment of a b~ona fide contract existing on the effective date
of this Code.

For all purp~oses of thle Cod~e the acts described in this Article shall
constitute unfair practicets. Anly member of the industry who shall
direc~tly, or indir~ectly thl!uroug any officer, employee, agent or repre-
sent~ntive, use, emplo\.. or. permit to be emlplo~yed, any of such unfair
practices shall be guilty o~f a violation of the Code.
L See parangraph 27 of orderr appI~roinig this Code.


1. NPIo m1p11embe of the inrdustry shall sell or offer to sell any product
at prices or sales terms others than those filed with the Secretary of
the Association as abovez provided, or violate any of the other provi-
sions of Article V~I hereof.
2. No member of the industry shall n ithholdl fr~om or insert in any
quotation or invoice any statemlenlt. that mnakes it inaccurate in any
mlaterIial particular.
3. No member of the industry shall pay' a buyer for a special ad-
ertisingl or distribution. service by such buyer (a) except in pursu-
ance of a w\r~itten~ contract made in good faith andl expl>icitly~ defining
the service to be rendered and the payment for it; (b) unless such
service is duly rendered~i ; (c) unless such payment is entir~elyv separate
and distinct from the sales price andl not used to reduce that price;
and (d) unless such payment is equally available to all competitive
buy\ers in the same trade area under like conditions.
4. No discoulnt,, contribution, preference, rebate, gift, donation, or
allowance! of any kind, either in cash or1 steel wool or other mner~chan-
dise, or any other device, shall be madle or usedl, thle purpose or effect
of which would be to recduc~e the price of the product to the purchaser
below the price specified in the seller's current op~en price list, filedl
with the Secretary as above provided.
5. NJo member of the industry shall requllire a buyer to pur~chse one
product in order to purchase another.
6. No memberl~~l of the industry shall offer a7ny prize or premium or
gift to either a consumer or buy'er in pursuance of a plan (a) which
involves fraud or deception or lottery~ or (b) h~ic~h is, because of anly
other injurious abuse, detrimental to the tr~ade or consuming public,
but the provisions of this subdivisionl shall not be deemed to mlodify
the limitations already imposed by subdlivisionl '" 4 above.
7. No member of the industry? shall grive, permllit to be given, or
directly off~er to give, anything o~f value for the purpose of influencing
or rewarding the action of any emiployee, agent, or re~resent~tive
of another in relation to the: business of thle emnployer of such
employee, the principal of such agent or the rep~resenlted party,
without the knowledge of such employers, principal, or par~ty. Comn-
mer~c~nl bribery provisions shall not be constrlued to prohibit free
and geeralcln distribution of articles commonlyn? used for advertising
esc~ept so far as such articles are actually used for commercials br1ibery
as hereinabo-ve defined.
8. No member of the industry shall brand or mlark or pack any
goods in any manner which is intendced to or does deceive or misleadl
pur'chasers with respect to the brandl, grade, quality, origin, size,
substance, character, nature, finish, material content, or pr~eparation
of such goods.
9. No member of the industry shall guarantee any purchaser
against dec~linet of prices subsequent to the dante of shipmlent.
10. Orders for delivery beyond sixty days from the date of the
receipt of suchl orders, lihall be taken olnlyl on a standards form of con-
tract which shall be prepared by thle Code Authority andl approved
by the Administrator.
11. Primary mlanulfact re~rs selling steel wool in cartons, packages,
sleeves or tubes shall plainly marnlk such car~tons, packages, sle~eres


or tubes with the manufacturer's name and address and the grade
containedl therein.
12. No member of the industry shall manufacture or sell private
brands of cleansers consisting of steel wool, wFith soap in packages,
unless such panckagres are plainly marked with the name and address
of thle manufacturer and the grade contained therein.
1;3. l~lixedl, second or off-gradle steel wool shall not be offered for
14. Nothing~ in this Code shall prevent the exchange, purchase,
or sale of merchandise between primrJary manufacturers on such terms
as the purchlaser andl seller may agree, but provided that such
exchangn~e, purchalse, or sale is solely for the purpose of equalizing
grades in stock.
15. No member of thle industry shall allowT a cash discount. which
is not earned by,3 paym'ent in accord with his publish~ed cash-discount
offer. No eash dis-count shall exceed two p~er'cen~t ten days from date
of invoice, or one percent tenth proximno.
16. Any member of thle industry may sel its products through any
agent. a~t the current list. prices and allow such agent a commission,
p~roviided that the member of the industry bills such product direct
to the customer andc that th~e nagenlt sells none of its products on his
own account bult only as a. representative of the member of thec indus-
try; an1d provided further that no member of the industry shall
knowingly use an agent who dlirec~tl'y or indirectly splits his comn-
mission or other comnpensation with a buyer.
17. No mnembler of the industry shall publish or circulate unjulstifiedl
or ulnwarrant edr thrleots of legal proceedinlgse which tend to have the
effect of harassing compctito rss or intimidating thetir customers.
18. Noth~ing in this C~ode nor anything done hereunder shatll be
deemed to aflfect or p~rejudlice in anly wvPay the r~ights to contest any
claims to any~ p~atetslf, trade marks'~, trade namres, or copyrights.
19. All mmcllber~s of the industry shall list all house or pr,1ivate
brandts, together w~ith~ full dlescr1ip~tion thereof, with the Secretary
of t~he Codte Authority andi any new brands shall be so listed prior
to being offered for sale.
"0. Noj- members of thle indtustry shall publishl advertising (whether
printed, radio, displayn3 or of anly other nature) which is misleading
or inatcc-urate inl any manter~ial particular, nror shall any member in
any way Inusrepresent any' goods (including but without limnit~ation
its use, trade mark, grrade, equality, quantity, origin, size, substance,
characters, nature, finish, mnt~er~ial content or preparation) or credit
terms, values, policies, services or the nature or form of the business
21. No member of the industry shall publish advertising which
refers inaccuraterly in any material particular to any col:mpetitors
or their goojds, pr1ic~es, values, credit terms, policies or services.

1. No prov''ision of this C'od~e relating to prices or terms of selling,
sh~ippingr, or marketing shall apply to export tradec or sales or ship-
ments for expor~t trade.



1. This Cod~e anld all the provisions thereof are expressly made
subject to thle right of the President. in accordance wit~h the provi-
sions of subsection (b) of Section 10 of the Act, fromt time to time
to cancel or mlodify anly order, approval, license, rule, or regulation
islued under said Act.
2. This Code, except as to provisions required by the Act, may
be muodifiedl on thle basis of experience or chiangres in circumstances,
suchl miodifientions to be based upon application to t~he Admninistratorr
and. such notice and~ h~ear~ing as he shnll 6pec~ify, and to become
effective on approval of thle Pr~esidenlt.
3. Such of the provisionis of this Code as are not required to be
inc~ludel d herein by thle National Indtustrial Recovery Act may be
amiended, modrified, or eliminatedl. Such amerndment s mlay be pro-
posedc by the Executive Commiittee on the favorable vote of its entire
memer-ip.At the r~equest of any member of the Commnittee, the
amendment as apprloved shall be submitted to a meeting of the mlem-
bers of the Industry which~ shall be called for such purpose upon
nlotic~e given in a~ccordanlce with the rules and by-laws of the Asso-
ciation. The proposed amnendmient shall be deemed approved if,
at .much meoeting, all thle members of the Industry are in favor there-
of. Upon alpprloval of thle Executive Commiittee or of the Indlustry,
the amendment sha.~illl be submitted by the Executive Comnmittee to
th-te Presidelnt for apprioval, if app~roval thereof by himi shall then
be required by Inw. Such amnendmente shall be effective as part of
the Code upon approval by the Presidenrt, providedl, however, noth-
ing in this Article contained~ shall be construed to prevent a truly
representative group fr~om submitting olmendmnents to the President
or to the Admniinistentor. for. such action as he may deem appropriate.

No provision of this Codle shall be so appliedl as to permit monopo-
lies or monopolistic practices! or to eliminate, oppress or discriminate
against small enterpr>1ises.

This Codle shall become effective ten days after its approval by the
Approved Code No. 313.
Registry No. 1118-22.

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