NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
AND COKE INDUSTRY
ALS SUBMITTED ON AUGUST 30, 1933
REGI[STRY No. 701-32
The Code for the Wholesale Coal and Cokze Industry
in its present form merely reflects the proposal of the above-mentioned
industry, and none of the provisions contained therein are
to be regarded as having received the approval of
thie National Recoveiry Administration
as applying to this industry
WE DO OUR PARTI
GOVERNMENT PRINTING OFFICE
WASHINGKTON : 1933
For sale by the Superintendent of Documents, Washington, D.C. -- .Price 5cents
COD)E: OF FAIR COMPETITION AN6D TRADE PIRAPCTI`CE FOR
THE WHOLESALE COAL ANDl COKE INDUSTRY IN T]H~E
~APPROVED BY' THIE EXECUTIVE COMMITTEE AUGUTST 15, 1933
To effe~ctuate the policy- of Title I of the! National Indluitrial Re-
covery ~Act, the followring~ provisionls are established as a Code, of
Fair Clompetition for the W~holesale Coal and Cokie Indlustry.
1. DEFIN~flON OF TERMS
Tlhe term. Wholesaler "' when used in this Code, includes a person,
partnership or c~orporat~ion enga~ed in the bu~sinessi of buying and
selling coa~l, cokie, and/or solid fu~el in ear~loalds, or boat.10adis, in-
cludling those engaged in ma~intaiining Wholesale depots.
2. GENERAL REGULATIONSS
Th~e Wholesaler~s will comply with the following specific: provisions
of t~he National Industrial Recovetry Act.
(a) That employees shall have thTej right to orga-nize and bal~rgin
collect~rivy throulgh repr~esent~atives of their own ch~oosing, and shall.
be free fro the inter~ferenc~e, restraint, or coerrcion. of employers of
labor or their agents, in the designation of such r~eprlesellntaives or in
self-orgarnization or in other c~oncer~ted activities for the~ purpose of
collectivec bargaining or other mutual aid or projtection.
(b) That nlo employee andc no one8 seeking emlploymentll shall be
required as a condition ~of employmenc3t to join any c~omplany union
or to refrain from joining, organizing, or assisting a labor orgami-
zation of his own71 choosingg' and
(c) That employers shlf~l comply with the maximum hours of
labor, minimurn rates of pay, and other conditions of emp~loymlent,
approved. or prescribed by the President.
3. REUnLATION~S OF ITO0URS OF VOR~Kr
No emlployees (except executives, officers, and outside salesmen)
may wrk~' in excess of an average of forty (40) hours during the
week, basedl upon a six mlonlths' period.
4. Mainterna Wann RIATE
(a) T'he minimum pay for labor shall be at the rate of 404 per
hour, and for accounting, clerical, oilicee services, or sales employl>ees
shall be at the rate of $15 per week in anmy city of over 500,000lr( popul-
lation, or in the immediate trade area of such city; no~r less than
$14.50 per wneek in any city of between 250,000 and 500),000i popu-
lation, or in the immediate trade area, of su1Ch City ; nor less than $141
per week in any city of betweenl 2,500 and 250,000 population, or in
the immediate area of such city.
(b) In towns of less than 2,500 population w~holesalerss who have
not signed t~he President's Reemployment. Agreement. shall increase
all wages by not less than 20 percentt, providled that this shall not
require wages in ecsess of $12 per week.
5. PnommBTrowN or CanaD lX non
On and a7fter the effective date of this Code, Wholesalers shall not
ec3mploy any mlinor under the age of sixteen (16) years.
6~. FAIR AND UNFAIRR METHODS OF COMPETITION
(a) T1o insure fair competition and to enable the Wholesaler to
properly function under this Code, it is necessary to pr1eserv~e the
so~unld principle under wa)hich the W~ho~lesaler is allowed to meet the
produiers~' competition. in all colnsumingl~ districts in coals, cokies,
and9/or other solid fuels of equal grades and sizes. In meeting such
competition a fair and equitable compensation shall be r~equir~ed~ for
the transaction of the business, which shall be measured by? the
nature of the distribution as well as the conditions in easch dlistrict.
Any question betwreen Wholesalers ar~i-ing from the application of
this Section shall be settledl Iby the Commi~ttees p~1rovided forl under
Clause 7 (a) of this Code. ALny such question b~etweenl Wholesaller~s
and Produc~ers will be referred to this Committee to be hlandledl in
conference with the Age~ncy or authority provid'edl for by the proper
(b) The Wi~holesa2ler; in buying and selling coal, coke, antd/or other
solid fEuel shall specify the grade and size ordered, and shall require,
as a condition of sale and purchase, that this information be shown
on thet invoice, manifest, and billing.
(c) Th]e consignment of unordered coal, or the folrwarding of
coal wPChich has not actually been1 sold, cons~igned to the Wholesaler
or his agent, is a violation of this code; prov~ided~, ho-eve, t~hat
~coal which has not netuatllly been sold may be forwardedc~, c~onsigrned
to the Wholtc;lealer or his agent, to Tidewanter~ ports a~nd/or to lake
ports and'/or to docks beyond suchn ports, but such shipmlents shall
be limlited~ to ccater bunker coal or to coal that is applicab~le against.
existing conltrsc~ts, or for storage by the wholesaler on locks, w\harv'es,
lor yards for resale by the wholesa~ler or his agent.
(d) Thle adjuitmencrt of claims with purlC17chaser of coal in suchl
mnlnerlc as to grant SecrIet allowancl~es, secreltl rebates, or secret, con-
cessions creates price d~iscr~iminationr and is a violation of this code.
(e) T1Che prepayment of freigh~t chalrges with intent or with the
effect of granting discriminatory credit allowance is a violation of
(-f) The giving in any form of adjustment, allowannces, discounts
credits, or refunds to purchasers or sellers of coal, for the, purpose
or with the effect of altering retronetively a price previously agreed
upon in. sulch a mannner as to create price discruninilat ion, is a vlioat.ion
~of this code.
f (g) Thie I1predaltingc or thet posjtdatfing of anyI invoice or contract
frtepurchas"e or sale of coal, except to conforml to a bone .fide
lagr~eemnent for th~e purchase or sale ent~lere into on ~the plretlate, is a
violation of this code.
(h) Terms of sale shatll be strictly adher~ed to; anrd the payment or
allowance of r~ebates, refundts credits, or uniearned discounlts, wvhethe~r
inl the form of money, or othlerwise, or extending to certain pur-
Il:iChasers servjCice or plri~vileges not extended to all pur~chaser~s under
likel terms and conditions, is a violation of this code.
(i) Attemipts to purchase business, or obtain information concern-
ing a competitor's business by gifts or bribes, are violations of this
(j) The intentional mnisrepresellnttion of analyses and/or sizes or
the intentional making, causing, or permitting to be made, or pub-
lishing, of any false, untrue, raisleadmng, or deceptive statement, by
wTay of advertisemlent, invoice, or ostherwise, concerning the size,
qul"~it, character, nature, p reparation, or origin of any coal, bought
or sold,is a violation of this code.
(k) The. making of, causing or permittingl to be made, any false
or de~eptive statement, either wr~itte~n or oral, of or concerming the
business policy of a competitor, or his product, selling price, or
financial, business, or personal standing, is a violation of this code.
(1) Thke unauthorized use, either in written or oral form, of trade-
mal~rks, tra~de-namees, slogans, or advertising matter already adopted
by a competitor, or deceptive appr~oximations thereof, is a violation
of this cod-e.
(m.) Indlucingr or attempting to induce, by any means or device
w~hatsoever, a breach of contract b~etwteen a competitor anzd his cus-
tomer during the term of such contract, is a violation of this code.
(n) The selling of goods below cost with the intent and withn the
effect of injuring a competitor and~ where the effect may be to sub-
stantially lessen competition or tend to create a mnonopoly- or to
unreasonably restrain trade, is a violation of this code.
(o) Where the costs of executing contracts entered into in the
wholesale coal trade prior to the enactment of the National Indus-
trial Recovery Act are increased by the app~licartion of the provisio-ns
of that Act to the industry, it is equitable and promnot.iv~e of the
purposes of the Act that app~l(l~)'ropriat adjustments of such c~ontrancts
to r~eflee~t suchl increased costs be arr~ived' at byrbtaprceis
or othIerw~ise, and the Amer~ican Wholesa~le Coatl~l Assocition, th
app~licanlt for this Code, is constituted an. agency to assist in e~ffecting
(a) TPo ebectuate further1 the policies of ther Act, a Wholesale Coal
Industry Committee is hereby d-esignated to cooperal~te, with the
Administrator as a planning and fair p~rac~tie agency for the in-
dustry. This Commit~tee shall consist of seven r~llepresentativese of
the ind'ustr~y elected by th~e Board of Directors of the Amnerican
Wholesale Coal Association to be a~ppr~oved by the AdmI-~ inistrantor,
and three members without vote appointed b~y the President of the
UCnited States. The Commissioner of the Associaition shall act as
Chairman, ex officio. This Committee shall from time to time pre-
sent to the Administrator recommlendations based on conditions in
their industry as they mayl develop from time to time which will
tend' to effectuate thie operation of the provisions of this Code and
the policy of the Nrationall I~ndustrial Recovery Act, and it shall
with the consent of the Admlinistratincl l a1rrange for thle election of
District Comnmittees atnd define their powers.
(b) AnyT W~holesaler may participate in any endeavors of the
Ame~rican WBholesale Coal Associat~ion in the preparation of any re-
visions of, or addlitions or supplements to, thiis code by accepting
the proper pro-ralta share of the; cost and responsib~ility of creating
andadmniser~ing it, either by becoming a member of the American
Wholesale Cral Assoc~iation or by paying to it an amount equal to
the dues from time to time provided to be paid by a member in likie
situation of Amlerican Wholesale Coal Association.
(c) T~his Committee is also set up to coop~erate, with the Adlmin-
istratior m making investigations as to the functioning and obsery-
ance of any provision of this code on complaint by- anry person effeet-
ed, and to report the same to the Administrator.
(d) This Code and all the prov-isions thereof are expressly made
subject to th~e right of the President, inr accordance w~ithi the po
vision of Clause 10 (b) of the N~ational Inldustrial Recoery ct
from time to time to cancel or mlodify any order, al:pproval, licence,
rule or regulation, issued~ under~l Title I of said Act, and specifically
to the right of thle PRESIDENT to cancel or modify hris appr~oval
of this Code or any condition s impocsed' by him upon hris a1pproval
(e) Such of the prov,\icio-ns of this Code as are not required to be
includred~ thlereinl by the Natio~nnI Ind'ustr~ial Recovery Act mnay, with
the approval of thet Presidlent, be mod~lifiedl or eliminatedl as changaes-
in the circumstances or exrperiences may be indicated. I~t is contem-
plated that from time to timne s;upplem~entur1y pr~ovisions to this Cod~e
or additional c~odes will be submittedl for the approval of the Pretsi-
decnt to prevent unfair compellcttitin in. price and other u~nfair and;
d~estru~ctive compl:etitive practices and to effec~tute the other purposes:
and policies of Title I of the N~ational Industr~ial Recov\ery Act con-
sistent with the prlov.iiions thlereof.
(f) W~hile this code is in effect the Constit~ution anld Bylaws of
the American Wholesale Coal Associat~ion shall not be amended to
restrict the qualifications for mnembership.
(g) T[his Code shall become effective not later than ten days after
its approval by the Presidlent.
AMIERICAN IHOLESALE COAL ,-SSOCIATION,
C. S. B., WARD), Preisid!enrt.
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