Proposed code of fair competition for the sheet steel farm equipment manufacturing industry as submitted on August 31, 1933


Material Information

Proposed code of fair competition for the sheet steel farm equipment manufacturing industry as submitted on August 31, 1933
Portion of title:
Sheet steel farm equipment manufacturing industry
Physical Description:
iv, 8 p. : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Sheet-steel -- Law and legislation -- United States   ( lcsh )
Farm equipment -- 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. 1637A-09."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004939698
oclc - 652409944
System ID:

Full Text

Registry No. 1637A--09








UNIV. OF F~wtg siOU


The Code for the Sheet Steel Farm Equipment Manufacturing 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
the National Recovery Administrartion
as applying to this industry


UFor sale by the Superintendent of Doraments, Washington, D.C. - Price 5 cent-






Thle Sheet Steel Farm Eqluipmlent Aissociation, a national trade
aIssociation for this industry representing~ in its m~embeship, mcre
thal 75 p~elrent of the production of sheet steel farm equipment in
the United Sdtates, by action taken at a meeting in the City of Chicago,
on the twenty-sixth; day of July 1933 does hereby subscribe to the
policy, provisions. rules, and regulations of the N~ational Industrial
Recovery Act.
The Sheet Steel Farm Equipmnent Association, by a majority vot~e
at this meeting, decided to come under the -pron-sions of ti act
which permit the voluntary adoption of a Codle of F'air Competition
and Pract.ices and authorized the creation of an. Executive Com-
mittee of five members to dra ft a code anid present it to the G~overi-
ment for Presidential approval.

Thle products of this industry are sold principally to the farmler,
largely thrloughl dealers. Due to the limited buying power of the
farmer, this industry has been in an abnormally depressedl cond-itioni
for the past several years. With the rapidly decreasiner consump-
tion of the. products of this industry, competitive condiitions have
become extremely destructive, resulting in severe loss of wages for
the worker, and in the destruction of the capital values and cash
reserved for the proluc~er.


Sheet steel form equipment, as used in this Code, includes the fol-
lowring items: Stock~ watering tanks, stor~age or cistern tanks, w~ateri-
wagon tanks, grain tanks or bins, hog trouighs or feeders, well casmng,
tank heaters, feed cookers, dip tanks, and other kindred products.


This Association is composedl of manufacturers of galv.anizedl steel
or iron farm equipment., many of w~hom hav~e formerly been allied
with one of several steel tank associations. a large par~t of whose
activities consist of the manufacture of wec!tedl steel h~eavya gauge


tanks used for oil and gasoline storage, and other similar purposes.
Inasmiuch as thle interests of this particular group are closely allied
with the Live Stock Industry this Association was formed a~nd is
herewith affiliated with the National Council Live Stock Equipment
Associ nations.

Temporary offcers of the Sheet Steel Farm Equipment Associa-
tions elected at a. meeting of t~he Association in the city of Chicago
on August 16, 1933, are as follows: President, E. P. Kreimendabl,
Celina M~fg. Co., Celina, Ohio; Vice President, A. J. Klein, Klein
M~fg. Co., Burlington, la.; Secretary-Treasurer, WV. A. Zaloudek,
Oakes lufga. Co., Tipton, Indl.; Executive Secret~ary, H. L. Ashworthl,
125 East. Wells St., M~ilwaukee, WVis.

The Executive Clommitt~ee consists of the following: E. P. KIrei-
mendlabl (Chairman), Celina Mlfg. Co., Celina, Ohio; A. J. Klein,
Klein Mifg. Co., Burlington, la.; WV. A. Zaloudek, Oakes Mffg. Co.,
Tipton, Indl.; C. S. Riggin, Jas. H. Watson Co., Inc., Bradley, Ill.;
L. C. Harding, The Butler Co., Butler, Ind.


The: memnber~ship of the Sheet Steel Farm Equipment Association,
representing -- percent of the production of sheet steel farm equip-
ment in thie U~nited States, includes the following companies.
M~anufacureture of sheet steel farmi1 equipment representingg the
b~alane orf the production of sheet steel farm equipment in the United
States. which have been invited to become mnemblers of this Asscica-
tion but have not yet affiliated as members include thle following
cam ltanleS.
So far as can be determined by this Association the. above lists of
memiber~s and noinemlembes include all of thie factors; engagaed in th~is

ircuThv;~ e See Steel Farmn Equip~ment Association. in bhal~lf of this
indlust~ry, does hereby submit andl ask for approval of t~he following
Code ot' Ethics aInd~ Practices.


This Code is set up> for the purpose of increasing employment,
maintaining fair andi adequate wages, and eliminating unfair trade
practices, to the end of rehabilitating the sheet steel farm. equipment
industry in all its phases and enabling it to don its part toward estab-
lishing that balance of industries which is necessary to the restora-
tion and maintenance of t~he highest pr~actical degree of public
It is the declared purpose of the sheet steel farm equp~ment indus-
try and adherents to this Code to restore the income enterprises
within the industry to levels which will mak~e possible the payment
of fair wages and avoid the further depletion and destruction of
capital a~ssets.

Participation in this Ciode, and any subsequent revision of or
addition to the Code, shall b~e extended to any person, partnership,
or corporation in the sheet steel farml equipment industry who ac-
cepts his share of the cost and responsibility, as well as the benefits,
of such participation by becomling a member of the sheet steel farmn
equipment association.
No initiation or entrances~ fee shall b~e charged for membership in
the Sheet Steel Farm Equipmlent Associaition, but there shall be
levied against all members of thle association annual dues inr the.
amount of $25.00. Additional dlues needled to finance the activities
of the association in enrrying out andi enforcing the Code of the
industry shall be: levied against each mlember in proportion to the
volume of its sales of the items covered b~y this Code.

(1) No provision of this Codle shall be interpreted or applied in
such a manner as to (a) Promiote monopolies; (b) Per~mit or en-
courage unfair competition; (c) Eliminate or oppress, or discrimi-
nate against small enterprises in the sheet steel farm equipment
indust ry.
(2) Tjhis Codle or any of its pr~ovisions may be canlcelled or mnodi-
fled or any! approvedl rule issued t~hereund~er shall be ineffective to
the extent niecessary to conform to any action by the Presidenit of
the United States under section 10 (b) of the National Ind~ustrial
Recovery Act..
(3) Amnendments to this Code miay be proposed to the ~Executive
Secretary by anly member or members of t.he Sheet Steel Farmn
Equipment Association, or may be initiated by the Executive Com-


mnitt~ee and mnay be adopted byr the affir~mative vote of a tw~o-t.hirds
majority of the members of the association, and when approved by
t~he Presidlent of the U~nitedl States shall be effective. Any amend-
mientsi proposed shall be submiittedl in writing to all members of the
association not less than two weeks before coming before the associ-
ation for action.
(4i) The Ch~airmlan and the Executive Secretary of the association,
subject to thle approval of t~he Executive Committee, shall represent
the Sheet Steel Farmi Equipment Association and the Sheet Steel
Farmi equipment industry in all1 contacts with the Administrator of
the National Industrial Recovery Act, or his agents, except if a
mlemlber of thne association shall feel aggrieved on account of the
provisions of this C'ode or of an amnendmlrent thereto or rule or regu-
lat.ion miade pursuant thereto such member shall have the right
dir~ectly to priesent his position to the President of the United States
or his tluly aulthorizedl agent.
(,j Thle povisions, rules, regulations, and restrictions as set. forth
in this Cod-e, when approved by t.he President. of t~he United States,
shall become~ binding upon all producers of sheet steel farm equip-
men~lt wPithin ten dlay)s after final approval.
(6) Rights of Tlrork~ers.--(a) Emnployees in the sheet steel farm
equipment ind~ustry shall have t~he: right to organize and bargain col-
lectively through r~epresentatives of their own1 choosing, and shall be
free from the interference, restraint., or coercion of employers of
labor, or th~eir agents, in the designation of such representatives or in
self-orgai3nizations, or in ot her conicertedl acti vit ies for the purpose of
collective burgaining or other mutual aidl or pr~ot.ection,, as provided
for in Section 7 of thle National Industr~ial Recovery~ Act.
(b) No employee in the sheet steel formi equipment industry, and
no one seekiingr emplloymlen t therein! shall be required as a condition
of employment to loin any company umion, or to refrain fromt joining
a labor organization of hijs own choosing, as pr~ovided for in section
7 of thne National In~dustrial Recovery Act.
(c) Employrers of labor in t~he sheet steel farm~l equipment indus-
try agree to comply with the miaximumn hours of labor! minimum
rates of pay, and other wforking conditions approved or prescribed
by the President of thle U_!nited States.
(d)~ It, is clearR.1ly understood tha~ct thle forel'goili ng prayraphs do
not impair inn anyT particular the constitutional rights of the em-
ployee and employer to bargain individually or collectively as may
be mutually satisfactory to thlem; nor do they impair the joint right
of emlployer and emnployes to operate an open shop.
(e) Nothing in, thnis G'ode is to p~rev.ent. the selection, retention, and
advancement of employees on t~he basis of their individual merit,
without retgar~d to their affiliation or nonlaffiliation with any labor
(f) It is expressly stipulatedl that. neither any provision of this
Code nor the fact or mannerl of its p~reparation, presentation, adop-
tion, or filling shall be cons~trued~ as constituting a waiver of any
constitutioinal right which the several members of the Sheet Steel
Fatrmr Equipment ALssociation or. industry! might otherwise have and
enjoy. Any such provisionl which may limit or abrogate any con-
stitutional right is inserted under the unlavoidable requirements of
the Nationll:1 Indrustrial Recovery Act as the same is understood by

said members and not voluntatrily nor w~ith~E their approval as a
contractual relinquishment. of such right.

En~fo~c~emnenrt.-The administration officer of this Code shall be the
Executive Secret~ary of the Sheet Steel F'arm Equipmnent. Assoc~ia-
tion. He shall be required~ to submit and to explainl the provisions,
purposes, and aims of the Code to all producers of sheet steel farm
equipment, including members and nonmembers of the Sheet Steel
Farm Equipment Association.
Any producer of sheet steel farm eqluipment inju~red by the vio-
i lation of this Code shall file with the Executive SecretaryS a written
complaint. setting fo~t~h the factsa in the mat~tear a~nd~ requeting such
relief as may be just.
The Exueclt~ive: Secretary~ of the Sheet Steel Farmn Equlipmnent
Association is authorized and7 diec~tedl to enforce vigorouslyr, equlit-
ably, and without exception a system of discipline for violators of
this Ciode or any of its rules, regulations, or pr~ovisions as follows:
A fine against violators~, in. cases where the violation involves a
sale of sheet steel forml equipment, of an amount not to exceed fiftyl
percent of the established price of the eqluipmenit sold.
A fine against violators,~ where the sale of eqmupment maynotb
involved, of an amount not to exceedl five huzndlred dlollar~s ($500).n b
The Executive Secrletary may use his discretion, as circumstances
warrant, in subst~itut~inga an arbtrar fine for th1e percentage of sale
Violation of any or all rules of the Code may be consideredl a
separate off'ensie for each And every'3 dayv such r~ules ar~e violatedl.
If found necessary to the wrelfarle of thle indlustrya or in support
of the proper administration of this Code, the Executive SecretaryF
may give full publicity to the facts r~eardingr any violation by any
person of any7 rule o r~egulatiorn of this Code, and the hearing and
determlination t~er~eon. without any liabilityS for libel arising
th ere fromrn.
ALny fines assessedl and collected shanll be turned into the APssocia-
tion Treasuryl\. Such mioney shall be available for awardingr financial
damages to member injured by violations. FEine~s collected and not
so u1sed shall ber appnlied- to t~he Ass~ciation's: operating budg~et.
Any member of the Shieet Steel Farm Equipmrent Association
or any producer of sheet steel farml equipment who is not a, member
of the association shall have the right to appeal from the ruling
or decision of the Executive Secretary, and such appeal shall be
heard by a. representative Arbitration Committee of at least three
persons, such committee to be appointed by the Executive Comi-
mnittee of the Sheet Steel Farm Equipment Association from the
organizations of different members of the industry. Under this pro-
vision a separate Arbhitr~ation Committee shall be named to handc~le
each appeal, and the membership of such committee shall be truly
representative for the purpose of insuring the parties a fair hear-
ing,~ but shall not. include any members of the industry connected
with or in anyI way involved in the dispute in question.
The decision of such Arbitration Committees mnay be appealed by
either party to the association as a whole and the decision of th~e

association shall be final an1d binding. If such association decision
is not, accep~teed and complied with by the complainant or defendant,
the case shall be turned over to thle Executive Commit~tee of the
industry for submission to the Administrator of thle National Indus-
trial Recovery Act.
S~tatisticsh and Repor~ts.-The Execut~ive Secretary shall have the
power and author~ity to require fr~om each manufacturer of sheet-
steel farm equipment from time to time such wage and labor reports,
information, and~ records as shall be necessary to the adequate
administration and enforcement of the provisions of this Code.
T~he Executive Secretary shall have the right at all times to exam-
ine all records of every prloducer of sheet-steel farm equipment when-
ever su~ch inspection Is necessary for the adequate administration and
enforcement of the provisions of this Code. It is definitely agreed
that any such information obtained by such inspection shall be of a
strictly confidential nature, except insofar as disclosure of the facts
so obtained mlay b~e necessary to the just administration of this Code.

WCe agree that on and after the effective date hereof employers in
the sheet-steel tank industry shall not operate on a schedule of hours
of labor for their emplloyees, excepting executives and their assist-
ants and salesmen, in excess of forty (40) hours per week, averaged
over a six months' period.
(a) However, there shall be no restrictions on the number of hours
which may be worked during any one day or during any one week,
provided the average of forty (40) hours per week over a six months'
period is not exceeded.
(b) The above, however, is not to apply to hours of labor for repair-
shop cr~ews, engineers, electricians, firemen, offce, sales, and super-
visory stf~f. shipping~, watching, and outside crews.


W'e agr~ee thant onI and~ after the effective date hereof thle minimum
wage wh1~ich shall be paid by employers in the sheet.-steel tank indus-
try to any' of their employees shall be as follows: Adult male labor,
30$ per hour; female andl minror labor, 254 per hour.
(a) It is unlder~stood that learner~s shall be exempitted from provi-
sions~ of this section for a per~iodl of twelve weeks from thie date of
their emlployment.
(b) It i5 fur~lther ulndersl'tood that each~i mnu~n~facturer shall have the
pr'ivileget of exempilting~ from~ the pronsvions~ of this~ section a certain
n1umberil of wac~lled~ pensioner` emp~loyee~s: namely, employees who
by reason~i of age orI phy~sical dlisability are~ not capable of performing
a full any\'sj wor~k buit w-homl it is des~iredl to retain beenause of their
long connect~ctio nl with thle bus~ines.c Su1ch employees shall be reported
separa'tely in thle malking~2 of nleCessa~ry' currlent labor reports to the
Adm inistra;t or.
We~t furlthler agree thlat thle above ~rates ma~y be revised fr~om time to
timne inr sulch ma1nner as;1 will Current-lly' reflect on equitable adljustments
to variationsl; ini the cost of living; such adjustments to be subject to
the app~roval of thle Pretsidernt of thle UTnitedl States. W~e further
agree noct to emp~lo. any~ minior under th~e age of 16j years.


It shall be an unfair mcth~od of sheet-steel farm equipment to sell his p~rodluct below hisj owTn cost,
plus a reasonable p~rofit..
Cost to be interpr~leted~ as; follows:
(a) Current. price of all ma~ter~i ial s usd, includling~ freight.
(b) Cost of ail l irecrt labor,, inc~ludingy laIng~n outC, fabricating as-
Ssembling, riveting, soldler~ing, we~iliing, tinishing, tesitinig, etc.;
f. ~(c) Fixed expense or ov~~-erhe covers items inludllting salar~ies of
~ the Admninisit~rative andl Exestcu~tive Offic~ers whichh mulst b~e figrur~ed
commensurate w-ith services performedl~ec), clerieinl hielp, ship~ping.:
credit expense, shop, superintendents and mnaint~nanlce,, normal adl-
Svertising, and sales expense. All discournts and conu~nission, r~eason-
a-ble depreciation on planlt and equlipmlent, obolesce~nce~, anl aIny awrl
a~ll gepneral costs anl chalrges whether specifically enumeratedl or not.


I~~ These trade prIactice rulles as set forth in Group I for the Sheet
SSteel Farm Equipment Ass~c~cialtio.n are identical with the tr~ad'e prae-
tice rules adloptedl by the Borlll Equlipmentll Industry and wT~hich1 were
ii appr~oved by the Federal Trade Comnmision on July 1, 1929, and
amended on September 19, 1930.


RULE i. I7497/fleiiCC 'I'th contlfrract. ?The wilful interference by
Sany person, firm, corp~ora~tion, or ass.c-iation, by any' means or denice
wPhatever, with anyc existing contract or order between~ a seller and
pulrchalser of any product handled by tlhe industry, or thle performl-
ance of any contractual duty or service connected thierewithi, such in-
Sterferencebeting for the purpose or with the effect of dissipating,
dlestroying~, or alppropri~tntin in whole or in part the patronage,
Sproperty, or bulsiness of another enlgaged in such industry, is ulnfair
tr~adee practice.
SRUL~E 2. ,Ili878pl'?88N/U frfon.-Tlhe sale or offer~inga for sale of any
product of the indlustry with intent to deceive customers or pros-
pect~ive customers as to the quaintity, quality, substance, or size of such
product is unfair trade practice.
RI'LE 3. Rebates.--The payE~ment or allowance of secret rebates, re-
funds, credits, or unearnedl discounts, whether in the form of moner
or othler~wise, or t~he Siving of premiums, or extending to certain pur'-
chasers, public institutions not excepted, special pricesi, terms,
services,~ or privileges not extended to all purchasers under like termls
and conditions, is an unfair trade practice.
RULE 4. Pricr discr~iminatrfio n .-ABny discrimination in price between
purchasers of the some class, excep-ting discrimination in price on
account of the difference mn grade or quality of the product sold, is
unfair trade practice.
RULE 5i. Defamationn of charactcer.--The defamation of a competi-
tor by words or acts w~hichi call in question his business integrity, his
ability to perform his contracts, his credit standing,r or mlisrepresentd-

tion of the grade, quality, or reliability of his goods is condemned as
unfair trade practice.
RZULE 6. 2'CC88a GllOtuRsce8.--The allowance of transportation or
trucking charges in excess of the actual or published amount of such
charges onl products is an unfair trade practice.
RULE 7. Solcifiing emlployes.-T~he solicitation of the services of
salesmen or other employes of other members of the industry with-
out notice to the employer involved is an unfair trade practice.

RULE 1. Pr~ie Listo.-ITt shall be required that all members use
uniforms list prices on all classes of galvanizedl tanks andl for such
other products for which uniform list prices have been adopted.
Any deviation from the following: Ai fair and equitable classifi--
cation oif customers shall be ma~de by7 all manufacturers in this indus-
tryv. There shall not be more than three classifientionls as follows:
(n) jobber, (b) National Distributors, (c) retail dealers. Mianu-
facturers in this association shall circulate to each classification that
they regularly sell their price list. for various sizes! grades, and quan-
tities of their products, stating clearly in said published sheets or
entalogues such information as is necessary to correctly andi accu-
rately describe all products offered for sale and shall also publish
credit termiis, cash discount, freight, or other transportation charge
allowanlces andl that such published price sheets shall truly represent
t~he sales prices, term~is. and conditions without any deviation what-
soever therefromn. Price sheets before becoming effective shall be
filedl with the Executive Secretary, as a matter of information, who
shall informi all members of the Sheet Steel Farm Equipment Asso-
ciation of all conditions contained in the price sheets so filedl.
Any violation of t~hisi plan by any producer of sheet steel farm
equipment is unfair competition.
RULE 2. Dealere~.~.-Detnf~inito: The terml dealer for the purposes
of this Code shall be definedl as onie operating a place of business,
carrying a stock of goods, selling at retail and for t~he purposes of
this Code shall be further limited to those dealers who handle lines
kindred to Sheet Steel Farm Equipment., as, for instance, farm
imp~lemlents and hardware, lumber, water-supply materials or serv-
ice; also general stor,~es carrying hardware; and shall exclude retail
dealers handling lines entirely foreign to the Sheet Steel Farm
Equipmnent industry who have not in the past handled Sheet Steel
]Farm Equipmnent as a line.
Nothing her~ein shall prevent a producer of Sheet. Steel Farm
Equipment fromn continuing to sell at regular dealer's discount to a
retail distributor who conducts a place of business andl carries a
stock of goods but who does not qualify under the strict interpre-
ta'tion of the for~egoing definition, if at any time within five years
last past he haus beenr an active dealer customer on thle books of such
prod ucer.
RULE 3. Jobbere.\.-Definitiion of Jolbber: The indutr~Yly hereby re-
cords its app1-rovaul o~f the decfinitio~n of a qualifiedl manufacturers or
whlolesale dlistribultor to be onre whose prinicipanl business is selling to
the r~etail dlistributorl. carr1ies a w~ell .selrcted stock of mlerchlandiise,
buy"s inl suitable quanitities~, wan~~lcirehouse a reserve tock for ret~ailersj

within a radius of economical distribution and convenience of serv-
ice, resells in proper units to t~he retailer as economically as possible,
assumes the creditt risk, and such other obligations as are incident
to the transportation, warehousing, and distribution of the products
c:of the industry~.
c ~Discount.-IZt shall be unfair competition for any producer of sheet-
Ssteel farm equipment to allow a dliscount to a jobber of sheet-steel
farmm equipment than 2095T for~ stock shipment or 171/3% for
direct shipment from dealer price list. It shall also be unfair com-
.petition for any producer of sheet-steel farml equipment to allow a
discount gr~eat~er than 20%lc for stock shipment or 171'2%o for direct
shipment from dealer price list to any national distributor. Any
other purchasers shall be classed as consumers and shall not be sold~
at less than 254r above dealer price plus freight.
RULE ii. It Shall be unflair trade practice for any manufacturer to
consign stocks with dealers or jobber~s.
Rout 5. It shall be unfair trade~ practice for any manufacturer to
sell or offer for sale anyv merchandlise carrying1 n' private brand or
without brannd at lower prices thanl samle quality of goods under
regular or other brands.
RULE 6. TeffHZ8.--Termsl of payment on1 all invoices covering sales
to jobbers and dealers shall be not to exceed 1%rc discount to jobbers
and 2% to dealers from net. amount for paynentt on or before 10th
proximno or 30 days net. No cash discount allowed on transporta-
tion charges. On future orders taken for shipment at the manu-
fact~urer's convenience during thie months of October, November, De-
cember, January,! and February, a dla.ting not to exceed 60 days be-
yond the first of the following month after shipment is made may be
given, but in no case shall any dating be made extending later than
April 1st, 2% April 10, 30 days net.
PRULE 7. Freight allowannce.--All prices to the dealer and to the
jobber on direct shipments to customer will be F.O.B. factory, pro-
vided, however, any manufacturer shall have the right to equalize
and/or absorb freight charges on nested tanks with any competitive
point where other manufacturers or jobbers in competition may have
factories or regular distr~ibuting warehouses. No freight equaliza-
tion will be made on any tanks shipped singly. The Executive Sec-
retary shall prepare a list of these competitive points whiich shall be
circulated to the industry and no addition shall be made to the list
without. being passed upon by the directors. On shipments to job-
bers! stock, carload rate of freight will be allowed.
RULE 8. IlliffOi')Z yztidi'G lf8.-M~embers of the Sheet Steel Farm
Equipment Association may give to customers thereof a uniform
guarantee or warranty as follows: We guarantee this merchandise
to be free fr~om defeeive wor~kmanship or material for a period of
one year from sale thereof anid agree to replace and repair at our
option without charge, any merchandise sold under this arrangement
within the time limits prescribed her~ewith F.O.B. factory and w7ith-
out allowance for repair and other liability thereinn.'
RmaE 9. It. shall be an unfair trade practice for any manufacturer
to make payment of or allowances for snpecific advert~ising expense
in behalf of purchasers that would in any way have thie effect of
representing a concession beyond the r~egular published pr~ice.


8 3 1262 08850 5242

RU~LE 10. It shall be an unfair trade practice for any manufacturer
t~o sell or offer to sell any products of the industry, excepting hog
troughs and feeding pans, made from material procured from any
soulrces of suplynl that. is denigTnated by the manufacturer or seller as
' seconds or other than prilme or' first grlade material in competi-
tion with products made of prime or first grade miaterial--provided
that should any manufacturer use secondss "? or materials other than
prime or first grade in t~he manufacture of his products, excepting
hog trorughs andl feeding pans, then~ all such products shall be clearly
and conspicuously stenciled made of seconds and sold and in-
voicd a suh ti hs cstoer.All such products shall not carry
anly form of guarantee as to service or length of life.
RTrLE 11. Any' steel mnill which fabtricates articles of merchandise i
dlesignated' uxnder this Code shall be subject to this Code in every
particular, and it shall be unfair competition for such mill to figure
in the cost of such articles of merchandise anly m~ater~ialss of their own
manufacture at other than the publishled resale prices of suchl mate-
rials whlen sold in carload lots.

W~e agree that, b~e(nuse existing produuctiv-e capacity far exceeds ~the :
normal demand, not to increase our productive capacity for a period
of 12 months from the effective date of thlis Code, exncepting as it may
b~e nor~imlly incr~~ensed through the substituition of new for existmng
ejquipment~t, or through more efficient me~thodls of manufacture..
In view of the fo,~ereging agrreement w-e specifically ask that the
Administrator establish a r~ule which w~ill mlake it necessary for any
concern dlesiring to undlertake the manufacture of sheet steel farmr
equipmen- t to sEhow- a necessity for such increase inl productive ea- ;$.I
poeity,1 or that the product he intends to manufacture will better
serve thIe public interect than thle sheet-steel equipment now available.

IIn submittin g above trade prneti~e; rules for aprov~'cal, t~he Sheet i::
SCteel Farmn Equipmle ntt Associaionti desires to b~e giveni the privilege
o-f offering for approval in the future such additional rules as ex-
pjerience may provl\e desirabille, or to amnendl or withdrawn old rules
which prove unworkable.
RespectfulIJ llyubmitted for the Sheet Steel Farm Equipment

Er~eculitiv Se~'tcretarny,
E.xrcutiverl Conuniti Ij f of Sheet- Steel Form11. Equijpmnenf Alssociation.
Dated at day of --, 1933.