UNIV. OF FL UB.,
For sale by the Superintendent of Documents, Washington, D.C. - Price 5 cents
Approved Code No. 84--Supplement No. 21
Registry No. 1151--04
NATIONAL RECOVERY ADMINISTRATION
S UPP LEME NTA RY
C ODE O F FA IR CO~MPE TITI ON
BRIGHT WIRE GOODS
(A Division of the Fabricated Metal Products
Manufacturing and Metal Finishing
and Metal Coating Industry)
AS APPROVED ON MAY 7, 1934
WE DO OUR PART
GOVERNMENT PRINTING OFFICE
This publication is for sale by' the Superintendeent of Documents, Governoment
Printing Office, Washingto~n, D.C., and b~y dlistrict o~ilies of the Bureau of
Forecign andl Domerstic Commerce.
DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE
Atlanta, Ga.: 50~4 Post Ofi~ce~ Buildlingr.
Boston, Manss. : 1801I Customblouse.
Dulf'ilo, N.Y'.: Chamber' of Cojmmerce B~uilding.
Charleston. S.C'.: Chambner ojf Conmmercer Building.
C'hicalgo, Ill.: Suite 1700), "'01 No~rth~ Wells~ Street.
Cleve~landl O~hio: Chanmber of Commencrcer.
Dallas, Te~x.: Chamnber of C'onmmerce Buildling.
Detroit, nIllic.: 801 First National Bank; Building.
Houston, Tex.: Chalimber of Commnerce Building.
Indliannpolis, Indl.: ChamLber o~f Commerce Building-.
Jarcksonv~ille, Fla.: Ch'ambetr of Comm~erce Buiclding;.
Kiansas City. n100.: 71025 Baltim~ore Av'enue.
Los Angeles~. Calif.: 1163 South Broadw~ay.
Louisville, Kyg.: -108 Federal Building.
MIemp~his, Tenn.: 220 Fedteral Building.
'\Iinneapoilis, nlinn.: 213 Federal Buildling.
Newv Orleans, La.: Room 225-A, Customhouse.
New York, N.Y.: 7i34 Customhouse.
N'orfo~lk. Van.: 406 East Plume Street.
Philadlelphia, Pa.: 422 Cornmmrcial Trust Buildine~
Pittsburgh. Pa.: C~hamber of Commlerce Building.
Portland, Oregr.: 215 New Post Offce Buildingr.
St. Louis, 11Io.: 506 Olive Street.
San Fra7ncisco, Calif.. 310 Customboruse.
Settle, Wa7sh.: 809 Federal Office Building.
Approved Code No. 84-Suppletnent No. 21
SUPPLEMENTARY CODE3 OF FiAIR COMPETITION
BRIGHT WNIRE GOOD1IS MANUFACTIUIRINSG
As Approved on M~ay 7, 1934
APPROVING SUPPLEM\ENTARY CODE OF FAIR COMPETITION F~OR THEF
BmoRIII WIRE COODS 1M.ANUFACTU~RING INDUSTRY
A DEVISION OF THE FABRICATED MrLETAL PRO)DUOTS MANUFACITURING AND
METAL FINISHING AND M~ETAL COATING INDUSTRY
An application having been duly made pursuant to and in full
compliance wiith the provisions of Title I of the National Industrial
Recovery Act, approved June 16, 1933, and in accordance with the
provisions of Section I of Article 7VI of the Basic Code for the Fazb-
ricated Mletal Produc~ts manufacturingg and Metal Finishing and
Metal Coat~ing; Industry, approved November 2, 1~933, for a~pr~oval
of a Sup~plemlentary Code of Fair Competition for the Bright W~ire
Goods Mannufalcturing Industry, and' he~arng having been diuly held
thereon; andr the annexed report onl said Supplementary Code, con-
taining findtings with respect thereto, having been made and directed
to thle President.:
NOW., THEREFOIRE, on behalf of the President of the United
States, L, Hugh SC. Johnsoln, Administrator for Indlust~rial Recovery,
pur~suant to authority vested in me byr Executive Order~s of the
President, including Execut~ive Order No. 6543--A, dated Decemnber
30, 1933, andl otherwise.; do hereby incorporated by reference said
annexed report and do find that said Supplemnentary Code complies
in all respects with the pe-t~inent provisions and will promlcte! the
policy and purposes of said Title of said Act; and do hereby~l) order
thatb~ saidpploementary 'dCode of Fair Co~mpetition be and1t it is
herey aprovd; roviedhowever, that the provisions of Ar~ticle
VT, Sect~ion 2, insofar as they prescribed a wIiaiting; per~iol between
thle filing withl the Code Authorit~y (or such agency as may be
designated in t.he Code) and the effective dater of price lists, as
originally filed a~nl/'or revised price lists or revised terms anrd con-
ditions of sale, be and thecty thereby are stayed pending my further
Hoon~ S. JNuson,
Aldmn~istrator~ for Indutstrial Recover~y.
A. R. GLANCY,
Division Admlin istr~ator.
M2ay 7, 1934.
REPORT TO THE PRESIDENT
Th White Ho-s~l~e.
Smn: This is a report on the Supplementary Code of Fair Compe-
t~ition for the Brigh~t WIire G~oodls Manufacturing Indust~ry, a divi-
sion of the Fabricated Mletal Products Mnufalfcturing and Mletal
Finishing and M~etal Coating Industry, the hearing having been
conductedi~ thereon in Was~hington, D.C., January~ 19, 1934, in accord-
ance with the provisions of Title I of t~he National Industrial
The Brighlt. Wire Goods Mannufacturing Industry being truly rep-
r~esentat~ive of thiis division of the Fabricated M~etal Products M1"Ianu-
facturing and Metal Finishing and M~etal Cioating Industry, has
elected to a-vail itself of the option of submitting a Supplemientary
Code of Fair Comlpetition. as provided for in Section 1 of Art~icle
VI of the Basic Code, for the Fabricated Mletal Products Manu-
facturinlg and M~etal Finishing and Mletal Coating Industry ap-
provedl by you on the second day of Novemnber, 1933.
niscuri OF THE CODE
Article I: states the purpose of the Supplemleritary Code.
Article II accurately defines specific terms employed in the Sup-
Article III. This I[ndustry is a division of the Fabricated Mfet~al
Products Mlanufacturinga and M~etal Finishing andi Mletal Coating
Industry and the labor provisions of its Basic Clode, as approved
November 2, 1933, are the labor provisions of this Supplementary
Art~icle. IV establishes a Supplementarv Clode Authority consist-
mng of five (5) mrembers to be elected by the members of the Indus-
try at a meeting called by the Temporary Supplementary Code
Committee, and gives the Administrat~or the aut~horityS to appoint
one additional member without vote and provides machinery for
obt~aining statistics and the administration of t~he Supplementary
Articrle V provides for methods of sett~ing upn and revis~ing price
Article VI sets forth th~e unfair trade practices of this Supple-
mlentary Clode which hlas been especially designed to offset unfair
competition in this division of the Industry.
Article VII provides against monopolies and monopolistic prac-
Article V:III contains the mandatory provisions contained in Sec-
tion 10 (b) and also provides for the submission of proposed amend-
ments to the Supplemnentary Code.
Article IXi recognizes that. price -increases be limited to actual
additional increases in th~e seller's costs.
Article X st~at~es the effective date and. duration of this Supplemen-
The Deputyr Administrator in his final report to mre on said Sup-
plementary Code having found as herein set forth and on the basis
of all t~he proceedings in this matter:
I find that:
(a) Said Supplementary Code is well designed to promote the
policies and purposes of Title I of thie National Industral IRecovery
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 anrd maintaining united action of labor
and2 management under adequate governmental sanctions and super-
vision, by eliminating unfair competitive practices, b~y promoting the
fullest possible utilization of the present prod-uc~tive capacity of
industries, by avoiding undue restrictions of production (except as
ma~y be temporarily required), byr increasing the consumption of
industrial and agriculltural products through increasing purchasing
power, by reducing alnd 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 pe rtinrent provisions of said Title of said Act, including with-
out 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 t~he. afor~esaid
Industry; and that said association imposes no inequitable restric-
tions on admission t~o mem~tbership thereinl.
(d) The Supplementary Code is not designed to and will not
permit monopolies or monopolistic practices.
(e) The S~up~plemnentaryT Code is not designed to and wriill not
eliminate or oppress small! enterprises and will not operate to
discriminate 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 hlave approved this Supplemnentary
HUGH S. JOHNSON,
Admn1;1 s trlator.
MABY 7, 19341.
SUPPLEMIENTAREY CODE OF F~AIR COMPETITION FOR
THE: BRIGHT WIRE OODS IA N UFA CT U RING IN-
A, DIVISION OF TH~El FABIRICA-TED METAL PRODUCTS MANUFACTURING A9ND
M\ETAeL FINISHING AND METAL COATING INDUSTRY
To effectua~te the policies of Title I of the Nationazl Industrial
Recovery Act, the following provisions are established as a Supple-
mensrtary Code of Fair Competition for thie Bright WVire Goods Man-
ufacturing Indust~y.. Pursuant. to Article VI of the Basic Code of
Fair Comipetition for t~he Fabricated Mletal Products Mfanufacturing
and M~etal Finishing and M~etal C~oatinig Industry, approved by the
President on the 2nrd day of Novembe~r, 1933, the provisions of this
Supplem~entary Code shall be the standard of fair competition for
such Industry and shall be bindingr upon every member thereof.
SurrIow 1. The terms "L Pr~esidlent ", "A~ct and "Admlinistrator "
as used herein, shall mean respectively, the President of the United
States, the Nlational Industrial Recovery Act, and the Administrator
for Indlustr~ial Recovery under said Alct.
SECTION 2. The terml Bright WYire Goods "' means and includes
the line generally known in t~he h~ardwar~e trade as Bright Wire
Goods and Cup and Shouldler H-ooks and in addition thereto varia-
tionis from that. standard line. Thie items included within the gen-
er~al categ,ory are described more specifically as follows:
Scr~ew Kyes-mlade of wire of any metal of any gauge or size,
formed on onie end in the general shape of a loop, and at the other
and threaded, knurled, marked or plain.
Betrezo Hooke--made of wire of any metal of anly gauge or size
formled on one end in the general shanpe of a hook, and at the other
end thireaded, knurled, marked or plain.
Gate Hooks and Eves-mlade of wire of any metal of any gauge
or size form~e as follows: One par~t inl the form of a straight portion
withr a hook at one end to engage into an eye, a staple or a screw; the
other end in the forml of an eye to engage into another eye, staple
Cupl Hooks anzd Shorddetr Hook~s-mnade of wire of any metal
and of any gauge or size, formedl on one end in t~he general shape of
a book, thle other end threaded, knurled, manrked or plain, with or
without a dise-shaped~ members called a base, assembled at the end
of the hook portion to act as a stop when t~he free end is inserted for
uise in wood or' any other substance.
SECTION 3. Thle termn product "' means and includes Bright WYire
Goods as thiat t~ermn is defined herein.
SECTION 4. The term Industry means and includes the business
of manufacturing Brigaht WVire G~oodls for sale.
SEGPION 5. The term member of the indlustry '" as used h~erein,
includes, but without limitation, any individual, partnership,, asso-
ciation, corporabtion, or other formi of e~nterprise, engaged2 in the
industry either as an emiploy~er or on his or its own behalf.
SECTION 6. The ter~m '' employee. "' as used herein includes anyone
engaged in t.he Industry in anyT capacity receiving copyensat~ion for
his services? irrespective of the nature or method of payment of such
SECTION 7i. The terml employer'" as used herein includes anyone
by wfhom any such employee is compensated or employed.
SECTION 8. The termn Basic Code as used herein is defined to
mean the Basic Code of Fair Comnpet~ition for the FIabr~ica7ted Metal
Products Alanufacturing and~ ~Metal Finishing and Metal Coatingr
Industry as approved by the President on the 2nd day of NJovemlber,
SECTION 9. The terml '' member of the Code as used herein shall
mean any mnem~ber of the Industry w~ho shal have assented to the
provisions of this Suppl~lemntaryI Code by instrument in wr1it~ingr
duly filed with the Secr~etary.eetry cd uhriy sue
SECTION 10. Th~e t~ermn SplmnayCd uhrt sue
herein is defined to meanl the agency which is to administer this
Supplementary C'ode as hereinafter provided.
SECTION 11. The tenn Bureau as used here~in is defined to mean
the Brigh~t WVire Goods Manufactur~ers' Service ]Bureau, or its
SjECTION 12. The term~ Executive Committee as used herein is
defined to mean the~ Executive Committee of the Brig~ht W~ire~ Good~s
Mannufact~urers' Service Bureaul.
SECTION 13. The t~ermn Secretary as used herein is defined to
mean Se~cretalry of t~he Bright W~ire Goods M~anu facturer~s' Service
Bureau, or such other impartial and confidential agency as the
Supp~lemnentanry) Code Authority may ,designate.
AnnICLE III-EMCPLOYMnENT PRovIsows
This Indust ry is a? division of the F'abricated M~etal Products MLfanu-
fact~uring andi Metal Finishing and Metal Coating Industry and the
wa~ge, hour and labor provisions in Article III of its basic code as
approved by the President. November 2, 1933, including Section 1 of
said Article III by which t~he provisions of Subsect~ions (1), (2) and
(3) of Sect~ion 7i (a) of Title I of the Act are made condlit~ions of this
Codle, are specifically incorporated herein and made a part hereof as
the wage, hour and labor provisions of this Supplementary Code.
ARTICLE IV ORGANIZATION AND .AuImDIISTRu\ICNo
SECTION 1. During the period not t~o exceed sixty (60) days follow.
ing the etfective date, the Executive Committee shall constitute a
Temlporaryv Supplementary Code Aulthor~ity, ho shall have all the
powers and duties of the Supplementary Code Authorit~y herecin set
forth, until t~he Supp~lementary Code A~uthority is elected. There
shall be constituted withiin the sixty-day per~iod a Supplementary
Codec Authorityr consisting of fiveo (5) members to be electdp by the
membersl'i oft t.heP Indusll~try~ at a mee~tingr called by the Temporary Sup-
plemrntary Clode Authority, upon ten (10) days' notice sent by regis-
tered mail to all members of the Industry whose names can be eascer-
tained. after diligent search, whlo may vote either in person or by
p'roxy. The mnembers of the Supplemnentary Code Authority first
elected shall serve until the following annual meeting of the Bureau
and until their successors are elected, and thereafter members of the
Supplementary Code Aulthority shall be elected immediately after
each annual mieetingr of the Bureau t~o serve until their successors are
elected. Notice of each election shall be sent in the manner above
provided. The membership of the Supplementary Code Authority
shall be made up as follows:
(a) Four (4) members who shall be members of the Industry
elected by a majority v~ote of thie members of the B~ureau present in
person or represented by proxyv each member to have one vote.
(b)j One (1) members who is not a member of tlhe Bur~eau elected
by ma~jo~it~yv vote of the mnember~s of thle IndlustryT, present in person
or represented by proxy~, each member to hiave one vote.
(c) A~ vucancy in th~e membership of t~he Supplementary Code Au-
thority may be filled by majority vote of the remafining members of
the Supplementaryy Code Auithority.
((l) In addition to thie above the A~dministrator ma~y appoint one
(1) rep'resentative without vote and without expense to the Industry,
unless the Supplementary Code Auth~ority agrees to pay such ex-
p~enses, to serve on said~ Supplementary Code Authority in the admin-
istrationn of this Supplemlentary Code.. Said representative shall be
givo4~r\en reasonable notice of all meetings of the Supplem~entary Code
SECTION 2. Any Association Institute and,'or Bureau directly or
indirectly participating in the selection or activities of the Supple-
mientary Code Authority shall (1) impose no inequitable restrictions
on mlembership, and (2) submit to the Admiunistrator true copies of
its Articles of Association, By-LawFs, Re~gulations and any amend-
ments when made thereto, together with such other information as
to membership, organization, and activities as the Administrator
may deem necessary to effectuate the purposes of the Act.
SECTION 3. In order that the Supplementary Code Authority shall,
at all times, be truly representative of the In~dustry and in other re-
spects comply with the provisions of the Act, the Administrator may
prescribe such Hearings as he may deem proper; and, thereafter, i
he shall find that the Supplemenltryr Code Aut~hority is not truly
representative or does not in other respects comply with the provi-
sions of the Act, may require an appropriate modification in the
method of selection of the Supplementary Code Authority.
SECTION 4. The Supple~mentary Code Authority is hereby consti-
tuted the agency to administer the provisions of this Supplementary
Code and to collect and distribute all statistical reports of the In-
dustry. Wlith a view to keeping t~he President informed as to the
observance or non-observance of this Supplementary Code, said
agency shall collect through thle Secretary such statistics as called
for by the President and/or the Administrator and send them in such
form as t~he President and/,or the Administrator may require to the
Fabricated Mletal Produlcts Federation or successor organization as
t~he ,agency administering said Basic Code. All1 individual reports
shall be treated as confidential by the S-ecretaryr and shall not be
disclosed to ainy member of t~he Industry or any other party exrcept
where necessary in the enfolrcment of this Code and except to such
governmental agencies as may be directed by the Administrator.
SECTION 5. Said agency shall also from time to time furnish to thne
Basic Code Authority, dlesignated in said Basic Code, such informa-
tion as may be required to be furnished- under the terms of said Basic
SECTIONu -6 The S~upplementary Co<1e Authority shall have power
from time to time to r~equir~e echlrr member of the Industry to furnish
to the Secretaryp such information concer~ning thre production, shiip-
mlents, sales and orders of such member and the hours of Inbor, rates
of pay and other conditions of employment at the plant or plants of
such~ member and such other information as the said2 Supplementar~y
CodeAuthrityshll deemn necessary or proper in order to effectu~ate
the purposes ofoetufoi this Supp~lementary Code and the policy of- the Act.
All individual reports shall be treatted as confidential byv the Secre--
tary and sh~all. not be disclosed to any member of the Inditstry or any
other partly except where necessary in the enforcement of this Code
and except to the governmnental agencies as may be dlirectedl by the
Ad7m i ni stra~t~or.
SECTION 7. The Supplemncltaryy Code A~uthorit~y may require that
any surch information be fu~rnished per~iodicanlly at such times as it
shall specifyr and may require that any or all information furnished
be sworn to or otherw-ise certified or au~thenticalted as it shall pre-
scribe. Failure of anyT member of the Indutrlslr rypromptly to furnish
to thie Secretary informlation required by the said Supplementary
Code Aulthorit,y and substantially inr the form p~rescribed by it shall
constitute a vPiolation of the Code. The Supplementary Code Au-
thority shall not r~equire. anyV information regardringa trande secrets.
rSEC'TION 8. A~ny or all information furnish~ed to the Secretary
pursuant to the provisions of this Supplementary Code by any
corporate member o~f the Indust~ry sipecifically assenting hlereto pur-
suant. to the p~rovisions of the C~ode shall be subject to verifiention
by an exa mination of the pertinent books, accounts and records of
such member by the Secretary or by n~y accountant or necountants
or other person or persons designated by the Supplementary Code
Authority (nlone of wThom shall be connected with any member of
the Industry) and shall be so cheeked for such purpose, if thie Sup-
plementary C~ode Authlority sh~all require it. The cost of each~ such
examination shall bie treatedl as an expense of administering the
SECVTION 9. To t~he extent that the Supplementaryy Code Author~ity
may deeml that any' information furnished to the Secret~ary in ac-
cordance wTithl the provisions of this Sup~plementary Code is of a,
confidential character and th~t, the pu"bication thereof is not essen-
tial in order to effectuate the police of the Act, such information
shall be treated by th~e Secr~etary, the Suppleme~lntJry Code Au-
thorit~y and by the ~other members of the Industry, ifE any knowrledge
of it shanll have come to them,. as strictly confidlential, and no publica-
tion thereof to anyone or in any mannner shall be made other than
in combination with similar information furnished by other mem-
bers of the Industry.
SECTION 10. ALll memRber' s of the Industry are subject to the juris-
diction of the Supplemenitary Code Aluthority; shall be entitled to
participate inl and shar~e the benefits of the SupplementayCd
.Authorityr; shall be entitled to vote inl the selection of hSupe
mentary Code Authority as provided in Section 1 of this Article;
annd shall pay to the Secretary ais the agent of the Supplementary
Code Aut~hority their reasonable share of thle expenses of the Admin-
istration of this Suipplementary Code, such reasonable share to be
determined by' the Supplementary Code Authority, subject to review
by th~e Administrator on the basis of volume of business and/or such
other factors as mayo~ be deemed equitable by the Supplemlentary Code
Authori ty .
SCEcTION 11. NOthilng contained in this Supplementary Code shall
be deemed to constitute the mnembers of the Supplementary Code
Autoriy, artersforanypupose, whlatsoever. Nor shall any
member of the Suppleme~tary Cd uhrt elal naymn
ner to anyone for any act of a~ny other member, officer, agent or
employee of the S~upplemenrtaryr Code Authority. Nor shall any
miember of the Supplementaryg Codle Authority, exercising reasonable
diligence in the conduct of his duties her~eunder,, be liable to anyone
for any action or omission to act under this Code, except for his own
willful misfeasance or non-feasance.
SECTION 12Z. If unv member of the IndustryS as defined hereinl is
also a member of any other industry, the provisions of this Code
shall apply to and affect, only that par~t of hiis business which is
included in the Indlustry).
SECTION 13. The Supplem~entary Code Authority shall without
any\ limitat~ion on the foreCgoing hav\e the following fu~t~her general
powers and duties subject to such rules and regullations as the
Adminiistntrato may prescribe:
(a) To insure th~e execution of t~he provisions of this Supplemen-
tary Code andi pr~ovide for t~he compliance of the Industry with the
provisions of t~he Act.;
(b) To adopt by~-laws and rules and regulations for its procedure
and fori thie admiinistration of the Supplement~ary C~ode;
(c) To obtain fromn members of the Industry suchi information
andi report-s as are required for the admlinistration of the Supple-
mentury Cod'e. In addition to information required to be submitted
to the Supplement~ary Clode Authority, all or any of the persons sub-
ject to this Supplementary Ciode shall furnish such statistical infor-
montion as the Administrator may deem necessary for t~he purposes
r~ecitedl in Section 3 (a) of the Act to su~ch Federal and State agenexes
as the Admlinistrator may designate; provided that. nothing in this
Supplemnentar~y Code shall relieve any member of thle Industry of
any existing obligations to furnish reports to any government
a gen cyr;
(d) To use such trade associations and other agencies as it deems
proper for tihe carrying out of any of its activities provided for
herein, provided that nothing herein shall relieve the Supplementary
Code Author~ity of its duties or responsibilities under this Supple-
mentary Code and that such trade associations and agencies shall a~t
all times be subject to and comply with the provisions hereof ;
(e) To manke recommendations to the Admlinistrator for the coor-
dination of the administration of this Supplementar~y Code withi such
other codes, if any, as may be related to the Indlustry;
(f) To secure from members of the Indust~ry an equitable and pro-
portlona~te payment of the reasonable expenses of mnaintaining the
Supplementary Code Author~ity and its activities;
(g) To cooperate w-ith t~he Admwinistlrator in. r~egulating the use of
any N.R.A. insignria. solely by those members of the Industry who
have assentedl to, and are comgpying with, this Supplementary rlCode;
(h) To recommend to the Administrator further fair trad prac-
tice provisions to govern members of the Industry in their relations
with each other or with. other indlustriesi and to recommend to the
Administrator measures for industrial planning, including stabiliza-
tion of employment..
SECTION 1.1. If the Administrator believes that any action of the
Supplemnentary Code Authority or any agency thereof if unfair or
unjust or contrary to the public interest, the Adcministtorao may re-
quire that such action be suspended to afor~d an opportunity for in-
vest~igation of the merits of such action. Further action by such
Supplementary Code Authority- or agency regarding the matter comn-
plainedi of may be taken if approved by the Admninistrator but shall
not be taken if dlisapproved by the Adminisirtrato within thirty (30)_
dZays of notice to h~im of intention to pr~oceedl with such action.
ARTICLE. VT--PaRcE LISTS
SECTIONS 1. TheC Supplem~entary Code Authority may require that
eachl member of the Intdustry wRho m Ianufact~ures and sells any
product of the Industr~y not used by himself in the manufacture of
another product, sha~ll file ~with the Secretarfy~,t and piublsh a net
price list and/or,1 price list andc discount sheinvdulyp-
nrpare byv him showngr h is cur rent prices anrd/or prices and discounts,
and other conditions of sale includlingr discounts for various classes
of customers or for quantity. Said price list shall be mrade avail-
able to all interested parties.
SECTION 2. The Secretar~y shall immediately send copies th~ereof
to all other meuber~s of the Code. Such price lists, discounts, and
condiitions mayr be revise-d from timne to time thereafter, anid noti-
fication of such revision shall be filed with the Secretary sand pub-
lishied. Such revision shall be dleemned filed within the meaning of
this provisions when telegrraphic a-cknoledgrment of receipt o~f suc
revision shall have been received by thEe perso- n making such revision,
and copies of such revision shall be immledlitely sent by the Secre-
tary to all other mlember~s of the Code, who thlereupon may file,
if they so desiree' revisions of their price lists, discounts, allowances
and terms which mary become effective upon the date when the
revised price data first filed shall go :into effect or at a later speci-
SECTION 3. NO mlember of the Indlustry shall sell directlyg or indi-
rectly through an affiliated company, or othlerwfise, byr any means
I See paragrraph 2 of order approving this Code.
whatever any product of the Industry at. a price lower, or at discounts
greater, or on conditions more favorable to the buyer than those pro
vided in his current price data filed with the Secretary as abv
provided; provided, however, that at any time a member of the In-
dustry macy meet the lawful price, and/or conditions of any competi-
tor for products of an equal grade or quality. Any such meeting
of lwfu picebya member of the Industry must be reported at
once by such member oteSceay n"aflae opn
for tdhe purpose of this Section me-ans a company the majority of
whose voting stock is owned or controlled by a member of the
ARTICLE VI----NFAIR PRACTICES
SECTION 1. For all purposes of this Supplemientary Code the fol-
lowing described acts shall constitute unfair practices. Such unfair
practices shall be deemed to be unfair methods of competition in
commerce within the meaning of the Federal Trade Commission Act
as amended, and any member of the Industry who shall directly or
indirectly through any officer, employee, agent or representative use
or employ any of such unfa.ir practices shall be guilty of a violation
of this Code:
A. The provisions of Paragraphs B to G, inclusive, of the. Basic
Code aire a part of this Supplementarry Code to the same extent as
though here repeated and set forth in full.
B. The sale or exchange of any product in whole or in part below
the cost of such product. to the particular member of the Industry,
such cost to be computed according to a cost formula to be prescribed
or appr~oved by the Supplementary Code Authorityl and approved by
Notwithstanding any other provisions of this Supplementary Code,
when the Supplementary Code. Authority determines that an emer-
gency~ exists in this Industry and that the cause thereof is destructive
price-cut~ting such as to render ineffective or seriously endanger the
maintenance of the provisions of this Supplement~ary Code, the
Supp~lemnentary Code Authority mlay cause. t~o be determined the
lowrest. reasonable cost of th~e products of this Industry, such deter-
mination to be subject to such notice and hearing as the Administra-
tor miay require. The Administra~tor mnay approve, disapprove, or
modify the determination. Ther~eafter, during the period of the
emergence, it. shall be an unfair trade practice for any member of the
Industry t'o sell or offer to sell any products of the Industry for
which the lowest reasonable cost has been determined at such prices
or upon such terms or conditions of sale that the buyer will pay less
thereiforr than t.he saidl lowest. reasonable cost of such products as
When it appears that conditions have changed, the Supplementary
Code Author~it~y, upon its own initiative or upon th~e request of any
interested partly, shall cause the determnination to be reviewed.
Provided, however, that dropped lines, seconds or inventories
which must be converted into cashi to meet emergency neceds may be
disposed of in such manner and on such~ terms and conditions as are
necessary to move such products into buyers' handrs notwithlstanding
any other provisions of thiis Code, provided, the Secretary shall have
been notified, at least ten (10) days in advance, of such intendfed
sale of other disposition and of the description, qulantity and price
thereof with th reason therefore a~nd provided the Secretary, upon
the diirection of th Supplementary Ctode Authrority, has not before
the termination of such ten day period, inrz writingn, disaproved thegon
of misrepresentation of facts.
Provided, further, that no provisions of this Supplemen~tary Code
relating to prices or terms of sale, shipping or marketing, shall apply
to or affect the sale of any rdc o ietsimn nepr
trae b an meberof heIndus-try within thie meaning of thre
terl '" export trade "' as it; is used in t~he. Export Trade AZCt.
Provided, further, that selling below cost (as defined in paragraph
1 of this subisection B) to meet existing competition on products of
equivalent design, character, quality or specifications shall not be
deemed a violation of this Article.
C. Usingr or sublstiturtingr any material superior in quality to that
specified by the purchaser of any product, for the purpose of influ-
encing purchlasei or fultur~e purchase.
D. Cancelling in whole or in part, or permitting the cancellation
in whole or in part, of any contract of sale of any product, except
for justifiable cause or a fair conlsideration.
E. Inducing or attemptingr to induce the breach of any provision
of a contract to which a member of the Code is 0, party. This clause
shall n~ot be construed to apply to employment contracts.
F. Aiding or abetting any person, firm, association or corporation
in any unfair practice.
G. IOffering or giving to any purchaser of any product any gu~ar-
anty or protection in any form against decline after th~e dates of ship-
ment in t~he market price of such product.
Hl. Soliciting by any member of the Industry th~e pooling of orders
from several buyers in a manner to givie the buyers advantage of
more favorable price or terms than those to which the buyers would
be entitled individually-.
I. Making contracts of sale that permit the buyer to cancel and/or
provide for a r~educedl rice in event of a market decline, but which
do not. permit the seller to cancel and/or do not provide for an enr-
hancedl price in the event of a mcarklet rise.
J. Making contracts requiring delivery of specified quantity or
quantities inl specified time, if dlemandedl by buyer, but not requiring
the buyer to accept such quantity or quantities within the specified
time or necepting any contract for an unspecified quantityJ.
K. Making contrnets for periodcls in excess of three 3mnhs (all
contracts to expire not later than the last days a arh June,
September or December) or quoting on. or entering into contracts
more than sixtyI (60) day~s prior to the first; day of the quarter,.or
schipp!ingr pursunnt to any contract more thanr fteen(5) daysafr
the expiration thlereof, or as soon thereafter asi seller can m~anufac-
ture and shlip the same, or making contracts containing an option
of extension or renewal on the part of either blyer~ or seller.
L. Oflunte prin n article by price or othlerwise in a manner to
infuene te prcase of another article.
M. Consigning merchandise for any reason whatsoever, except to
a wholly owned or controlled subsidiary, or except under circum-
stances to be defined by the Supplementary Code Authority where
peculiar circumstances in the Industry require the practice.
N. Continuing to employ any salesman, agent or employee who
shall give any or all of his commission to any purchaser.
No provision of this Supplementary Code shall be applied so as
to permit monopolies or monopolistic practices, or to eliminate, op-
press or discriminate against small enterprises.
ARTICLE VIII RMODIFICATIONS
SECTION 1. This Supplementary Code and all the provisions
thereof are expressly made subject to the right of the President, in
accordance within provisions of subsection (b) of Section 10 of the
Act, from time to timie to cancel or modify any order, approval,
license, rule or regulation issued under said Act.
SECTON Tis SpplmenaryCode, except as to provisions re-
quired by the Act., mnay be moiedramneontebsso
experience or changes in circumstances, such mod-ifications or amend-
ments to be based upon application by t~he Supplemnentary Code
Authority or other representative group within the Industry to the
Administrators and such Notice andf Hearing as he shall specify and
to become effective and be a part. of this Supplementary Code on
approval by the President.
ARTICLE IX-PRICE INCHEASES
Whereas the policy of the Act to increase real purchasing power
will be made more diffcult of consummation if prices of goods and
services increase as rapidly as wages, it. is recognized that, price in-
creases except such as may be required to meet individual costs should
be delayed, but when made, such increases should, so for as possible,
be limiited to actual additional increases in the seller's costs.
ARTICLE XY-EFFECTIVLE DATE
This Suipplementary1 Code shall become effective at 12:01 o'clock
A.M~. Eastern Standrard Time of 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 which the President shall, by
p~roc~lamation, or the Congress shall, byv joint resolution, declare that
the emergency recognized by Section 1 of the Act, has ended.
Approved Gode No. 84---Supplement No. 21.
Registry No. 1151--0.
UNIVERSITY OF FLORIDA
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