Approved Code No. 84--Supplement No. 26 Registry No. 1136--07
NATIONAL RECOVERY ADMINISTRATION
S UPPLE MENPTARY
CODE OF FAIR COMPETITION
STANDARD STEEL BARREL
(A Division of the Fabricated Metal Products
Manufacturing and Metal Finishing
and Metal Coating Industry)
AS APPROVED ON MAY 16, 1934
D ir o OL : PART
GOVERNMENT PRINTING OFFICE
*?e sale by the Superintendent of Documents, Walshington, D.C. PricSe5centi
This pubilation is for sale by the Superintendent of Documents, Government
Printing Office, Wanshington, D.C., and b~y district offices of the B~ureaul of
Foreign and Domestic Commeree.
DISTRICT OFFICE OF THIE DEPARTMNT OF COMMERCE
Atlanta, Ga.: 504 Post Office Building.
Birmingham, Ala.: 257 F~ederal Building.
Boston, Mass.: 1801 Customhouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamuber of Commerce Building.
Chicago, Ill.: Suite 17i06, 201 North Wells Street.
Clevelandt, Ohlio: Chamber of Comlmer~ce.
Dallas, Tex.: Chamber of Commerce Buildingr.
Detroit, M~ich.: 801 First National Bank Building.
Houston, Tex.: Chiamber of Commerce Building.
Indlianapolis, Ind.: C'hamber of Commerce Building.
Jacksonville, F~la.: Chamber of C'ommerce Building.
Kanrsas City', Mlo.: 1028 Balltimore Av~enue.
Los Anlgeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 408 Federal Buildinlg.
M~emphis, Tenn.: 2293 Fedleral Building.
Mlinneapolis, Mlinn.: 213 Federal Building.
New Orleans, La.: Room 225-A, Customblouse.
KNw Y'ork;, N.Y.: 7341 Custombouse.
Norfolki, V'a.: 400 East Plume Street.
Philadelphlia, Pa.: 422 Commleretal Trust Buiildig,
Pittsburghl, Pa.: Chamuber of Commer~ce Buildlng~.
Portlandl, Oreg.: 215 N'ew Post Office Building.
St. Louis, ~Ifo.: 506 Oliv-e Street.
San F~rnnelsco, Calif.: 310 Customhouse.
Seattle. Wash.: 800 Federal Oflike Building.
Approved Code No. 84--Supplement No. 26
SUPPLEMENTARY CODE OF FAIIR COMPETITION
STANDARD~ STEEL BAIRREL ANDJP ]DRUMT
MAN UFACT DURING INDUSTRY
As Approved on May 16, 1934
APPROVING: SUPPLEMZENTARY CODE OF ]liAIR COMPETITION FiOR THE
STANDARD STEEL BARREL AND DRUMI MANUTTFACTURING INDUSTRY
A DKY'IS.ION OF THE FABRIC.\TED MIETA~L PRODUCTS MNU.\~lF~C'TURING AND
METAL FINISHING AND MIETALr COATING INDUSTRY
An application having been dlul mnade pur~suant to and in full
comiplianice with the provisions of Title I of the National Industrial
Recovery Act, ap~provedl June 16, 1933, anid in acordanlce with the
provisions of Section I of Article VI of the Basic Code for "the
Fabricatedl Metal Products Mannufacturg ring l and etal Finis~hing
and Mietal Coating~ Indtustry, approved Novemb~er 2, 1933, for ap-
proval of a Supplementur~y Code of -Fair Comp~letit~ion for the
Standard Steel Barrel andl Drumi Manufactul-i ng Indulrst~y, and hear-
ing having been duly heldl ther~eon: and t~he annexed report on said
Supplementary Code, containing findings with respect thereto,
having been made and directed t.o the: President:
NOW.' THEREFORE, on behalf of t~he ]President of the United
States, I, Hughl S. Johnson,. Admiinistrator for Industrial Recove~ry,
pursuant to authority vested in mne by Executive Orders of the
President, including Executive Ordler No. 6543-A~, lated De~emnber
30, 1933. anid otherwise; do hereby incorporated by reference said an-
nexedl report and do findt thiat said Supplementary Code comnplies in
all respects with the pertinent poiin n ilpooeteplc
andpurose o sad Ttleofsaidl Act; and do hereby order that
said Sup~plement~aary Code of Fair Competition be and it is hereby
approved provided, however, that the p~rovisions of AIrt~icle V, Para-
graph A, insofar as they provide that any exristing price list shall
remain in effect for a period of ten (10) days following the filing
of a revisedl price list., be and they her~eby are stayed. pending mny
HoonI3 S. 3rHJonso,
Adminlnist~rator for Indus~trial Recovery.
Approval recommended :
A. R. GLANCY,
Divis~ionl Ad ministrator.
REPORT TO THE PRESIDENT
Th.e WVhite House.
SmR: This is a report con the supplementary Code of Fair Com-
pettionr for the Standardl Steel Barrel and Drum M\anufac~turing
Industry, a division of the Fabricated Mletal Products M~anufactur-
mng and M~etal Finishing and Mletal Coating Inldustry. the hearing
having been conducted thereon in W~ashingaton, D.C., December 19,
1933, in accordance with the provisions of Title I of t~he National
Industrial Recovery Act.
Thle Standard Steel Barrel and Drumn Manufacturing Industry,
being trulyr representative of this division of the Fabricated Metal
Products M~anufacturing and Metal Finishing and M~etal Coating
Industry, has elected to avail itself of th~e option of submitting a
Supplement~ary Cade of Fair C'ompetition, as provided for in Set
tion 1 of Article VI: of t~he Basic Code, for the Fabricated Metal
Products Manufacturing and Mfetal Finishing and Metal Coating
In7dustry approved by you on the second day of November, 1933.
ntisemi~ OF TH~E CODE
Article I states the purpose of the Sulpplementary Code.
Article II necurately defines specific terms employed in the Sup-
Article III. This Industry is a division of the Fabricated Metal
Products Mlanufacturing an~d M~etal Finishing and Mletal Contina
Industry and the labor provisions of its Basle Code. as approveS$
November 2! 1933, are the labor provisions of this Supplementary
Article IV establishes a Supplementary Code Authority consist-
ing of five (5) members to be elected byT t~he members of the Industry
at a meeting called by the Tempora~ry Supplement~ary Code Au-
thority, and. gives thle Admninistrator the authority to appoint one
additional member without vote andc provides machinery f~or ob-
taining statistics and the admiinistration of the Supplementary C~ode.
Article V sets forth the unfair trade practices of thiis Supplemen-
tary Code which has been especially designed to offset unfair com-
petition in this division of the Industry.
Article VI contains t~he mnandatory provisions contained in See-
tion 10 (b) and also provides for the submission of proposed amiend-
ments to the Supplemlentary Code.
Article VII provides against monopolies and monopolistic prac-
tices, and recognizes that price increases be limited to actual addi-
tional increase in the seller's costs.
Article VIII states the effective date and duration of this Supple-
The Deputy Administrator in his final report to me on said Sup-
plementary Code having found as herein set forth and on the basis
of all the proceedings in this manner:
I find that:
(a) Said Supplementary Code is well designed to promote the
policies and purposes of Title I of the National Industrial Recovery
Act, including removal of obstructions to the free flow of interstate
and foreign commerce which tend to diminish the amount thereof
and will provide for the general welfare by promoting the organiza-
tion of industry for the purpose of cooperative action among the
trade groups, by inducing and maintaining united action of labor
and management under adequate governmental sanctions and super-
vision, by eliminating unfair competitive practices, by promoting the
fullest possible utilization of the present. productive capacity of
industries, by avoiding undue restriction of production (except as
may be temporarily required), by increasing the consumption of
industrial and agricultural products through increasing purchasing
power, by reducing and relieving unemployment, by improving
standards of labor, and by otherwise rehabilitating industry.
(b) Said Industry normally employs not more than 50,000 em-
ployees; and is not classified by me as a major industry.
(c) The Supplementary Code as approved complies in all respects
with the pertinent provisions of said Title of said Act, including
without limitation Subsection (a) of Section 3, Subsection (a) of
Section 7, and Subsection (b) of Section 10 thereof ; and that the
applicant group is an industrial group truly representative of the
aforesaid Industry: and that said association imposes no Inequitable
restrictions on admission to membership therein.
(d) The Supplementary Code is not designed to and will not
permit monopolIes or monopollst.ze practices.
(e) The Supplementary Code is not designed to and will not
eliminate or oppress small enterprises and will not operate to dis-
criminate against them.
(f) Those engaged in other steps of the economic process have
not been deprived of the right to be heard prior to approval of said
For these reasons, therefore, I have approved this Supplementary
HUGH S. JOHNSON,
MA Y 16, 1934.
SUPPLEMIENTARYL CODE OF F~AIR COMlPETITION FOR
THE STANDARD STEEL BARREL AND DRUM~I MANU-
A DIVISION OF THE FABRICATED METAL PRODUCTS MIANUFACTURING AND
MIETA\L FINISHIING AND ?METAL COATING INDUS9THY
To effectuate the policy of Title I of the National Industrial
Recovery Act, the following provisions are established as a Supple-
muentary Cod;e of F'air Competition for the Standardl Steel Barrel and
Drum Mianufacturing Industry, pursuant to Article VI. of the Basic
Code of Fair Comzpetition for the Fabricated MZetal Products M~anu-
facturing andl Metal FiinihJi~ngr anl Meptal Coanting Industry ap-
proved by thle PresidZent of the Uniteed States on the second day of
November 1933, and the provisions of this Supplementary Code shall
be the standards of Fair Com~petition for such Industry and shall be
binding upon every mlember thereof.
Thle termn Standard Steel Barr~el and Drum M~anufacturing In-
dustry "', herecinafter referred to as the Industry, is defined to mean
the manufacture for use or for sale of Standard Steel Barrels and
Drums of 13 gallons to 110 gallons capacity, inclusive, to be used
in the storage, shipment and dispensingi of such products as alcohol,
p'etroleumi products, chemiicals, asphalt, sweeping compound, clay
p'rodlucts, bevecrages, food products, etc., but not including beer.
The termi "L member of the Ind'ustry "', as used hereini, includes,
buit without imitation, any individual, partnership, association,
corporation or other formi of enterprise engaged in the: Industry
either as anl employer or on hiis or its own behalf.
The terms President~' ", Act ", and "Adm~inistrator ", as used
,herein, shall mean, respectively, tihe President of the United States,
Title I of the National Industrial Recovery Act, and thle Adminis-
trator for Industrial Recovery under Title I of said Act.
The term "' Basic Code ", its used herein, is defined to mean the
Basic Code of Fair Clompetit~ion for the Fabriented M~etal Prodlucts
Manufacturing and Mletal Finishiing and Mietal Coating Industry,
as approved by the President on thle second day of November 1933.
The term hasic Code Authlority ", as used herein, is defined to
mean the Executive Committee of the Fabricated Metal Products
The term "L Council ", as used hlerein, is d~efined to mean the Steel
Barrel Mlanufacturers Council or its successor.
The term Supplementary Code Authority ", as used hecrein, is
defined to mesan a special committee of five members who shall be
elected from the membership of the Induistry and th~e Council by a
fair method of election.
The term duly authorized agent or agent of the Supple-
mentary Clode Aut.hority, as ulsed~ herein, is defined to mean the
Commissioner of thle Steel Barrel Ma'Inufacturers Council, or his
successor in office. Said Comimissioner, in order to qualify as such,
shall be entirely free from any interest in or connection with any
company engaged in the manufacture or sale of the products of
The term F~ederation "!, as used2 herein, is defined to mean th~e
Fabricated M~etal Pr~oducts Feederation or its suiccessor.
ARTICLE III--EM~PLOYM\ENT PROV'ISIONS
This Industry is a dfivision of the Fabricated Mtetal Prodructs
Manufacturing and Metal Finishing andl M~etal Coating Indulstry
and without limitation the wage. h~our and labor provisions ini
Article III of its Basic Code as approved by the Presidenit on,
November 2. 1933, including Sect~ion I o~f said Article III: by which
the provisions of Subsections (1), (2) and (3) of Section 7 (a) of
Title I of t~he Act are mad-e conditions of the Code, are specifically;
incorporates herein and mnade a part. hereof as the wage, hour and
labor provisions of thiis Supplementary Code.
ARTICLE IV--OI`ANcasurow ANe ADM6~INITRATI~ON
SECTION 1. During the period not, to~ exceed sixty (60) days fol-
lowing the effective date, the duly authorized -agent shall constitute
a temnporary Supplemientury Code Authority until the Supplemlen-
tary Code Authority, consisting of five (5) members, is electedt by
the members of the Industry assenting to this Supplemnentary Codle,
as hereinafter provided, at a meet~inga called byv the Templorary Sup-
plem~entary Code Ault.h-oritv.y upon ten (10) dlays' notice sent by
registered mail to all known mlemberss of the Industr~y, who miay vote
either in person or by proxy. The members of the Supplementary
Code Authority shall serve for a period of one year from the dlate
of their election and subsequent. elections shall be on the same basis
as above provided. Immediately after the annual election of said
Supplementary Code Authority,. the members thereof shall appoint
a duly authorized Agent to administer the provisions ofthis
The members of the Supplementary Code Authority shall be elected
in the following manner: One member, wh~o shall be a member of the
Industry, not a member of the Council, (provided there are such
members of the Industry who are not members of the Council), to be
elected by a majority vrote of the qualified members of the Industry
present in person or by proxy, each member to hav~e one vote. Such
one member to be. nominated by thle members of the Industry who
are not members of t~he Council.
Four members, who are members of the Industry and members of
the Council, to bje elected by a mlajority vote of the qualified memz-
bers of the I~ndu~str~y present in person or by proxy, each member to
have one vote. Such~ four members to be nominated by the members
of thec Council.
A vacuneyl~ in thle membnler~shipl of the Supplementar~y Code Author-
ity inayl be ti lled. by a mlajo rit vote of the remaining members of the
Sulpplementury Code Authority.
In addition thereto, thec Admlinisjtrator maiy appoint a member
of thle ~Suppt-lemnc~ltury~ Cod~e Aulthority who, without vote, shall serve
without expense to thle Industry unless the Supplemientary Code
Aulthlority agrees to pay suich expense. The representative who may
be alppo"intedl by thle Admiinistrator shiall be given reasonable notice
of and may1n sit at all meetings of the Suppleme~ntary Code Authority.
SECTONJ 2.. The Tr~ade Associations directly or indirectly partici-
p'ating in the selection or activities of thie Su~pplemientaryl Code Au-
thorlity shall (1) impose no inequitable restrictions on admission to
membelt~rship, andt (2) sulblitt to the Admrinistrator true copies of their
articles orf association, by-laws, regulations and any amendments
w-hen made2 thereto,, tog~ether w~ith suchI other information as to mem-
b~ership,, organization aInd activities as the Administrator may deem
necessary to effectuate the purposes of the Act.
SECTIONN 3. In1 order that the Supplemnentary Code Auithority shaUl
at all times be trully representative of the Industry, and in other re-
spects'f omplyS w'ith thle provisions of t~he Act, the Administrator may
pr~escribo sulch hearings as he mnay deem proper; and thereafter if
hie shlnl tindr thant the Supplemzentar~y Code Authority or its Agent
is not truly reprlesentativec or dloes not in others r-.;pects comply with
the prov\isions o~f th~e Act, may require an appropriated modlifcation
of selection of the Suipplementary Code Authority.
See-rxox 4. (1) It being found necessary to support the adminis-
tration of this Supplementaryv Code, in order to effectuate the policy
of the Act anid to maintain the standards of fair competition estab-
lishied her~eunder, the Supplemnentary Code Authority is authorized:
(a) To incur such reasonable obligations as are necessary and
proper for the foregoing purposes and to meet such obligations out
of f'undls which shall b~e held in trust for the purposes of the Sup-
plemieitntry Code, and raised as hiereinafter provided;
(b) To submit to the Admninistrator for his approval, subject to
scuch notice andl opportunity to be heard as he may deem necessary:
1. Anl itemnizedl budgfiet of its estimated expenses for the foregomgf
2. An egnlitable basis upon whichl the funds necessary to support
suchi budg~et. shall be contributed by all members of the Industry en-
tit led to the benefits nerulingg from the maintenance of such stand-
ards, and thle administration thereof ;
(c) After such budget and basis of contribution have been ap-
proved by the A~dministrator, to determine and collect equitable con-
tributions as ab~ove set forth, and to that end, if necessary, to insti-
tuite legal proceedings therefore in its own name.
(2) Each member of the Industr~y shall be liable for his or its
equitable contribution to the expenses of the maintenance of the
Supplementar~y Codie Authority as hereinabove provided. Only9f
members of the Industry complying with the Supplementary Gd
and making such contribution shall be entitled to participate in the
selection of the members of the Supplemlentary Code Authority or to
receive the benefits of its voluntary activities or to make use. of any
SECTION 5. The Supplemnentary Code Authority, through its d-uly
authorized Agent! is hecreby constitu~tedl the agency to administer the
provisions of this Supplemlentar~y Code and -shall have all of the
powers which shall be niecessaryv and properly tou enable it to fully ad-
minister this Supplemientary C~ode nodc to effectuate its purpose.
The Supplementar y Coiik Aulthor~ity, through its du~ly authorized
Agent, shall have the following fulrthePr power~s andt duties:
(a) To insure the execution of the provisions of the Supplemezntary
(b) To adopt by-law~s and rules and regulations for its procedure
and for the administration of thle Supplemeentary Code.
(c) To obtain from members of. the Industry such information
and reports as the Supplementary Code Authority mnay requiire for
the administration of the Supplemientaryr Code and to provide fo~r
submission to the Administrator by members of thle Industry of such
information andi reports as may be necessary for the purposes re-
cited in Section 3 (a) of the Act; providled that nothing in this Sup-
plemnentary Code shall relieve any member of the Industr~y of any
existing obligations to furnish reports to any Government agency.
No individual reports shall be disclosed to any member of thle Ind~us-
try or to anyone other than the Adminuistrator or h~is duly authorized
representative and as hiereinafter provided.
(d) To use such agencies as it. deems proper for t~e cairryingr out
of anly of its activities provided for herein, provided that. nothing
herein shall relieve the Supplementary Code Authority of its duties
or responsibilities under this Suipplementary Code. andl that such
agencies shall at all times be surbjec~t to and comply with prtvisio~ns
(e) To makle recommendations to the Atdmiinistratori for t~he coor-
dination of the administration of this Supplementary Code with
such other codes, if any,~ as may be related t~o the IndusjtryT.
(f) To secure from members of the Industry an equitable andll pro-
~portionate payment of the reasonable expense of thle Supplemnentary
ode Aut~hority and its activities as set forth inl Sec~tionl 4 of this
(g) To cooperate writh the Administrator in regulating the use of
any N.R.A. insignia solely by those members of the Indcustry who
have assented to and are complying with this Supplementary Code.
(h) To furnish from time to tune to the Basic Code Aiuthority,
designated in said Basic Code, such information as mlay be required
to be furnished under the terms of the Basic Code.
SECTION 6. To the extent permitted by the Act and pursuant to
such rules and regulations as the Administrator may prescribe, any
and all information furnished to the Supplemnentary Code Aut~horit~y
by any members of this Industry pursuant to the provisions of this
Supplementary Code shall be subject to verification by an impartial
agent appointed. by the Supplementary Code Authority, and each
member of the Industry shall furnish to such imlpar-tial agent so much
of his pertinent books, accounts and records as may be required to
verify the accuracy of the information submitted.
SEcTIONv 7. Every employer shall provide for the safety and health
of employees during the hours and at the places of their employ-
mient. Standards for safety and health shall be submitted by the
Supplemlentary Code Authority to the Administrator within six
months after the effective date of the Code.
SECTION 8. Complaints made by members of the Industry3 to the
Agent of the Suipplementary Cd Authiority, of alleged violations
of any of the provisions of this Supplemnentary C~ode, shall be made
In the event of a complaint being registered against any corporate
mlember of the Industry alleging a violation of this Supplementary
Code, the Sup~plementar~y Code Authority may cause an investiga-
tion to be made by a person mutually agreed upon by the Supple-
whmentry Code Aunthoity and the member of the Industry against
who th coplant s fled; or if they are unable to agree within
a reasonable time by a disinterested person appointed by t~he Admin-
istrator upon request by thle Supplementary Code Authority. The
Supplementary Code Authority may require the member complained
against to file with such investigator, within such reasonable time
after receipt of a copy of the complaint us the Supplementar~y Code
Authiority shall determine, an answer to such complaint accom-
panied by supporting data. Both anlswer and data shall be verified
by affidlavit. The investigator may-examine so much of the perti-
nent books and records of such member as may be required to verify
the statements contained in said answer and/or the accuracy of the
data supporting such statements. If the matter cannot thereafter
be satisfactorily adjusted within the Industry, the facts may be placed
before the Basic Code Authority to be presented to t~he Adminis-
trator for suIch procedure as he may deeml advlisable undter the Act.
Any r~epresentative appointed by the agent of the Supplementary
Code Authority to make any investigation, shall be a disinterested
person or persons, who shall be entirely free from any interest in
or~ connection with any company engaged in the manufacture or sale
of the product of the Industry.
SEC"PION 9. All individual and private information received by
the Agent of the Supplementary Code Authority or his represent-
ative from reports, or as a result of investigation shall beheld
in strict confidence and not disclosed to any competitor or other
persons outside the Agent's office, without the permission of the
members of the Industry involved. Provided, however, that such
information mnay be disclosed to any authorized governmental
agency, and provided further, that information pertaining to the
reporting of prices, terms and conditions mlay be disclosed to effee-
tuate the purpose of this Supplementary Code.
SECTION 10. Nothing contained in this Supplementary Code shall
constitute the members of the Supplementary Code Authority part-
ners for any purpose, either as among themselves, or in connection
with the Agent of the Supplementary Code Authority. No member
of the Supplementary Code Authority shall be liable in any manner
to anyone for any act of any other member, officer, agent or em-
ployee of the Supplementary Code Authority, nor shall the Agent
of the Supplementary Code Authority be liable in any manner to
anyone for any act of any member of the Supplementaryr Code
Authority or any other officer, agent or employee thecreof. No me~m-
ber of the Supplementary Code Authority, nor the Agent of the
Supplementr Code Authority, exercising reasonable diligecnce in
the conducto their duties hereunder, shall be liable to anyone for
any action or omission to act under tlhis Supplemnentury Codle except
for his own willful misfeasance or non-feasance.
SECTION 11. If the Administrator s~hall determine that any action
of a Code Authority or agency thereof may be unfair or unjust or
contrarly to the public interest, the A,~dmniritraat or may require that
such action be suspended to offordl an opportunity for inv~estigation
of the merits of such action and2 further considerlationl by suich C'ode
Aulthority or agepncy pndning final action which shall niot be effective
unless the Administrator approves or unless he shall fail to disap,-
prove after thirty days' not.ice to him of intention to proceeds withl
such action in thle original or miodifiedl form.
SECTIONU 12. After a six (6) months' trial period, in case aniy pro-
vision of the SupplemeFntary Code shall impose an unusual or uindue
hardship on any member of the Indlustry, such provision many be
suspended, for rev-iew, for a period of isxty~ (00() days by t.he Suplple-
mientary Code Aulthority, wit h a approval of the Adm~inistratn or.
After the review, hearings may be heldc by thle Admlniniste~nto~r to modi~-
ify the provision in question.
ARTICLE V--RULE OF FAIR C~OMPETiTIONN IN RI.1NUFAJCTLURING AND
(Superseding all Tirade P-rnetices set forth ini Airticle V of the Basic C'ldt)
Any member of the Industry who~( shall dlirectly or indirectly
through any officer, emnployee, agent, or Irllepresetativ e, fail to c~om~plyr
writh any of thle followTing rules of Fauir 'comnpetition inl Manulfacturl-
ing and M~arketing shall bet deemedl to hav\e violatccd this Supplemen..
A.No produrcts; of the Indlustry, in whor-le orl in panrt, s`hall bi
sold or exchanged at. prices less than thet seller's cost of suich pro(d--
uctsi such cost to ~e b~ased on a1 formulila wlichl Phall b~e at least as
detailed and complete as the formnula to, be preparedi b~y the Agenlt
of the Supplementar y Clode Aulthority andl appr~ovedl by the Adm~;in-
istrator; providled~, however, that upon five (5) danys' notice to the
Agent of the Sup'plemlent.ary Code Au~thor~ity, any nlmremb of theL
Industry mzay sell below his costs, in order thlat hie mayH~ meett COmp~eti-
tive prices on articles of similar stylec. grande andll o specifie-ntionl
filed in accordance wFith the plrovisions of thisi Section..
When the Agent of the Supp~lemnentary C'ode Aulthocrity dectermnines
that an emergency exists in this Indullstry andi that the cause th~ereo~f
is destructive price-c~uttinga such as to render ineffective or ser~iously
endanger the maintenance of the provisions of thiis Supplemlentary
Code, the A4gent of the Supplementary Codle Authority mnay caus~e
to be determined the lowest reasonable cost of the products of this
Industry, such determination to be subject to suich notice and hearing
as the Administrator may require. Th~e Admiinistrator may ap-
prove, disapprove, or miod~ify the determination. Thereafter, dlur-
ing the period of the emergency, it shall be an unfair trade practice
for any mecmber of thle Industry to sell or offer to sell any proucts
of the Industry for w~hich1 the lowest reasonable cost has bende-
termiiinedf at. such prices or upon such terms or conditions of sale
that thie buyer will pay less therefore than the lowest reasonable cost
of such products.
When it appears that conditions have changed, the Agent of the
Supplemientary Ciode Authority, upon his own initiative or upon
the request of any interested party, shall cause thle determination to
All members of the Industr~y shall, within ten (10) days after
the effective date of this Sup~plemlentary Code, publish for the
benefit of all interested parties and file with the Agent of the
Supplemlentar~y Codei Authority price lists setting forth thle prices,
terms, qualntity differentials and bases of delivery at which they
will sell the products of the Indiust~ry; such prices shall be sub-
ject to a. list of minimlum prices for extras which shall be the. lowest
reasonable cost for such extras and which shall be prepared by the
Agent. of t~he Supplementary Codle Authority and submitted to the
Administrator for approval. Said price lists and all revisions
thereof shiall be made available to all interested parties.
In thie event that members of the Industry accept orders for
earloadl quantities from customers located inl the trade areas of
the cities in which suich members' plants aire located and such orders
call for, or are based onl, trucks delivery, they shall be considered
als less-than-carload quiantity sales unless complete delivery is con-
tinuous insofar as conditions permiit.
Each mnu~nlfac~turer's existing price list shall remain in effect
for a period of ten (10) days following thle filing of a revised price
list and upon the filingr of such revised list b~y any member of the
Industry the Agent of1 t.he Su~pplementaryl Code Authority shall
immediately furnish copies of such revised list to all other members
of the Industry. Any others member, or members, of the Industry
desir~ing to file revised lists, to become effective on the same date,
may do so provided that the prices set out in such revised lists
are not flower than those in the first revised list filed and that
they are filed prior to said effective late.
When filing price lists, as set forth in this Section A, a sufficient
number of lists shall be furnished to the Agent of the Supplementary
Code Authority to enable him to supply a copy to each member of
the Industr~y, and in addition thereto six (6) copies for the use of
the Agent of the Supplementary Ciode Authority.
Nothing in this Section A contained, however, shall be so con-
strued as to prevent the performance by any member of the Indus-
cfetr of an valid bona fide contract made and entered into before the
effctie ate of thlis Supplementary Code; provided, however, that
such contract has not been made and entered into before the effee-
tive date hereof in contemplation thereof and with intent to defeat
the purpose hereof.l
B. Withholding from, or inserting in any invoice a false record,
wholly or in part, of the transaction represented on the face thereof,
and tlhe payment or allowance of secret rebates, secret refunds, secret
as Se pragraph 2 of order approving this Code,
credits, unearned discounts (whether in the form of money or other-
wise), or t.he extension to certain purchasers of prices, services, or
privileges not extended to all purchasers under like conditions, are
unfair trade practices.
C. To defame or disparage a competitor directly or indirectly, by
words or acts which untruthfully imnpugn his business integrity, his
ability to kteep his contracts, his credit standing, or thle quality of his
products, is an unfair trade practice.
D. To imitate or simulate the. trade mark, trade nam~e, package,
wrapper, or label of a competitor's product to such a degree as to
deceive or have a tendency to deceive customers, is an unfair trade
E. To give, permit to be g7iven, orl directly offer to give, anything
of valueIF for t~he pulrpose of ;influencin g or rewanrding the action of-
any employee, agent or representative of anot~her in relation to the
business of the employer of such emnployee, thle principal orf sucih
agent or the represented party, without the knowledge of such em-
ployer, principal or partly, is an unfair trade practice. Provided,
however, that nothing in this Section contained shall be so construedl
as to prohibit free and general distribution orf articles commonly
used for advertising except so far as such articles are actually used
for commercial briberyr as hereinabove defined.
F. The false marking or branding of any product of the Industry
which has the tendency to mislead or deceive customers or prospec-
tive customers. whether as to the grade, qluality, quantityr, substance,
character, nature, origin, size! finish, or preparation of any product
of the Industry, or otherwise, is an unfair trade Irsactice.
All mnemlbers of thle Industay shall compl~y with thle Interstate
Commerce Commissionl specifications, and the requirements o~f 1Rule
40 of the Consolidated Classification, pa~t~icularly~ as to thne gauget of
steel to be usedl in the various type~s and- sizes of steel bar~rels an
drums, subject to th~e standard rolling tolerances of the National
Association of Flat Rolled St~eel Mfanufacturers..
Further, all members of the Industry shall make their steel bar-_
rels and dlrumns of ra~ted capacity. with st'ac-ndrd allowance for outage.
G. The making or aulsingr or k~nowinglyy permitting to be mader or
published any false, materially inaccurate, or deceptive statement,
by wayv of adveorti;sement or otherwis, wphet~her concerpning the grade,
quality, quantity~, substance, chlarneter, nature, origin, size, finish,
or preparation of any product of the Indcustry, or the credit terms,
values, policies, or services of any member of the Indlustry, or othedr-
wise, having the tendency or capacity to misleadl or deceive customers
or prospective customers, is an unfair trande practice.
H. Ay oder fo th prducts of the Industry, other than con-
tract orders, shall be onH an bre;frtl ~ asis of delivery being comnpleted2 wTithin
the calendar quarter in which such orders are. taken.
All members of the Industry, when making sales which call for
.delivery over a period of more. than one calendar quarter, shall use
a standard form of sales contract which shall include maximum and
minimum quantities (with the maxim-um quantity being no greater
than 50fo above the minimum quantity), or a definite percentage of
the customer's entire. requirements with a maximnum quantity for
which the seller shall be obligatedt, definite terms of time coverage,
adequate description of the product and all other items necessary to
forml a complete, unambiguous agreement between seller and buyer,
said standard form of sales contract to be submitted to the Adminis-
trator for his appr~oval.
The period of coverage under any, contract of sale shall not exceed
n six (6) months' period from the end of the month during which
the contract is entered into. All sulch contracts shall expire at the
end of a calendanr quarter, and the expiration dates of such contracts
shall not. be extended for any reason; provided, however, that the
Agnirty of the Suppnlementar Code Authority, upon request by a,
majoityof he embrs f te Industryv and with the approval of
the Admninistrator shall be emnpowered t~to authorize a change in such
~periodl of cove~ragre.
For~ the purposes of this Section, a calendar quarter shall be de-
fined as follows: The first calendar quarter shall be the months of
January, Febr~uary and March; t~he second calendar quarter shall be
the months of April, MIay and Junle; the third calendar quarter shall
be the months of July, August and September; the fourth calendar
quarter shall be thle months of October, November and December.
I. All members of the Industry shiall confirm all verbal contrac-
tuial quontations in writing within five (5~) days so that definite evi-
dence of suich quotations miay be on record, and such confirmations
must emlbody all terms and considerations of the proposal. No
additional verbal'understandings shall be entered into.
Prices in written quotations shall be either on the basis of a com-
plete price, emnbodying the price of the standard barrel and all
extras, with the extras listed separately, or a price onl a standard
barrel withl the extras called for being listed and priced.
In order not to oppress or eliminate small enterprises, no mem-
ber of the Industry shall offer reciprocal business as a means of
influencing the purchase of steel barrels and dru~ms.
J. Inducing, or attempting to induce, the breachl of any contract
between a competitor and his customer, or the repudiation of con-
tracts or the acceptance of repudiations of contracts, are unfair trade
K. Shipping goods on consignment is an unfair trade practice.
The, term "' consignment ", as used in this Section, means the sup-
plying of goods t~o a consignee for use and/or sale by the consignee
under any contract, agreement, or understanding whereby title to
the goods remains in the consignor until such time as they are with-
drawn from the consigned stock and used and/or sold by the con-
signee, and under which no liability for the purchase price of said
goods arises on the part of the consignee until such withdrawal and
use or sale by him.
-L. The sale of steel barrels or drums, which are classed as sec-
onds ", shall be on a basis approved by the Agent of the Supplem~en-
tary Code Authority and the Ad~ministrator and all such sales shall
be reported to thle Agent of the Supplementary Code Authority at
the end of each calendar month.
M1. The standard terms of payment of the Industry shall not be
in excess of one (1) per cent for cash in ten (10) days, net thirty
(30) days, from date of invoice and date of invoice shall not be
subsequent to date of shipment.
Provided, however, that in cases where numerous invoices are
rendered to a customer during any one month any member of t~he
Industry may allow such discount of one (1) per cent for payment
on the basis of settlements twice each monthly as follows:
1. On invoices dated fromt the 1st to thle 15thi inclusive in any
monthly, such discount may be allowed on paymecnt of such invoices on
or before the 25thi of each month.
2. On invoices dated from the 16th to thle end of any month, such
discount mnay be allowed on payment. of such invoices onl or before
the 10th of the next following month.
N. The giving of any guarantee against decline in price except
as against the seller's own decline up, to date of shipment, is an unfair
tra de. practice. Further, the quotmng of any gurai~nteed price to a
user o steel barrels and d~rums or to a secondhl~andl dealer inl steel
barrels and drums or to any other party, which w-ouldl establish or
tend to establish, a resale value on used "' or ec~ondhand "' steel
barrels andi drums, is an unfair trade practice.
O. All members of the Industry, a~ssnting to thi?; SupplementuTry
Code, shall send to the Agent of th e Su~pplemrentaryS Codte AuthorlCJIity,
within ten (10) daSY after they are eniter~ed into. signied~ copies of' all
contracts of sale. In the event that on extra ignedl copy! is not
available then the original copy shall be sent to thle Ag~ent of thie
Supplementary Codle Aiuthor~ity, whlo slusll r~ecordl the same anid
return it to the sender.
P. All shipments made against any contracts shanll b~e completed
within fifteen (15) dlays after the xPsTiration dates thereo~f.
In the event of price adjustments, n~ecessaryv at the beginning of
any calendar quarter in order to comnply with~ the terms o-f a con-
tract, shipments of all releases against such contract. placedl during
the preceding calendar quarter, shall be ~comp~letedl ith~in fifteeni (15i)
days from the end of such calendar quarter.
SECTION 1. Thlis Supp~lemlentary Codel andt all1 the provisions
thereof are expressly made subject to thle righlt of the Preside~nt, in
accordance with the provisions of ub-ection (b) of RCectio~n 10I of
the Act, from timie to time to cancel or mlodify any4 ord~er, alpprovanl,
license, rule, or regulation issued under said Act.
SECTION 2. Thlis Supplemecntary Code, ecepclt asi to p~ovisions re-
quired by the Act, may be modlified andc or amnend-edl on the bansis
of experience or change in circumstances, such modifientions and -'or
amendments to be basedl upion application by! thie Agent, of the Sup~-
plementary Code Authority or other reprsentativet group, within
the lIndustry to the Administrator and such notice. andc hearings as
he shall specify and to become effective as part of this Supplemnentar~y
Code on approval by the Pr~esident andi 'or the Admninistrator.
SECTION 1. No provision of this Supplemnentary Code shall be so
applied as to permit monopolies or monopolistic p~ractices, or to
eliminate, oppress, or discriminate against small enter~prisEes:
UNIVERSITY OF FLORIDA
3 1262 08856 1252
SECTION 2. Whereas the policy o~f the Act to increase real pur-
chasing power will be made more diffcult of consummation if prices
of egoods and serv-ices increase as rapidly as wages, it is recognized :
that price increases except such as may be required to meet individual ~
co~st shlouldl be dlelayed, but wvhen made such increases should, so far
as pos~ible,! be limited to actual additional increases in the seller's
ARTICLE V~III-EFFECTIVE DATE AND DURATIONj
This Sup~pilnemetr Cd halbcoeefctv t 1 'lc
A.111. on the tenth day after it is approved by the President and
shall continue in effect until June 16, 1935 or the earliest date prior
thereto on whichl the President shall, by proclamation, or the Con-
gress shanll. by joint resolution. declare that the emergency recognized
by Section I of the N~uationa~l Industrial Recovery Act, has ended.
AI.prlovcal c.'cltic No. 84l--Suuplement No. 26.
Registry No. 113G--07.