NATIONAL RECOVERY ADMINISTRATION
PROPOSED CODE OF FAIR COMPETITION
CURLED HAIR INDUSTRY
The Code for the Curled Hair Industry
in its present form merely reflects the proposal of the above-mentioned
industry, and none of the provisions contained therein are
tolbe regarded as having received the approval of
the National Recovery Administration
as applying to this industry
GOVERNMENT PRINTING OFFICE
WASHIINGTON i 1983
igrl mie by th perintendent of Documents. Washington, D.C. Prle 5 centrr
AS SUBMITTED ON AUGUST 30, 1933
CODE OF ]FAIR COMPETITION OF TH~E CURLED HASIRi
ARTICL 1-PCHUSE OF THIE CODE
The purpose of t~he Code is to e~ff~ctunate the policies set forth in
Title I. of thle National Industrial Recover~y Act, during the period
of the emergency set forth th~r~ein, inlsofar as it is app>licable to the
Cu rled Hn ir Indu~st ry by r~educinlg unlempll oyment,~t improvingr the
standr'ardls of labor, elimnllatingr practicecs inimical to thle inter1ests of
thle public, emp~loyees. andt employers, to increase the compensation of
industrial and agricultural proucllcts by! incr~easing the general pur-
chasing power, and otherwise to improve the present. conditions of
the Curled Hair Inldustry andl~ all such purposes as arec set fourth in
the N'ational Recover~y Act insofar as the samne apply to the Curledl
W'herever used in this Codle or in any Schedlule a~-ppertaining
hereto the terms, hereinafter in this A-rticle andi in anly Sched~ule an-
nexed hereto, shall, unless the context srhall otherwise clearly indi-
cate, have the respective meanings hereinafter in this Article and in
suchI Schedule set forth. The definition of anyl such terml in the
singular shall apply to the use of such terml in the plural and vice
SECTION i. Tile term Uristed States' means and includes all of
the territory of t~he UTnited States of America.
SEc. 2. The term the President. meansu the President of the
United States of America.
SEC. 3. The term t~he Industry means and includes th business
of manufacturing[ Curled Hair in the United States.""
SEc. 4. The term Curled Hair means and includes all hair
and/'or Hair fibres and fibres of animal or vegetable origin curled
SEC. j. The term "' member of thle Industryv means andi includes
any person, firm. association, or corporations operating a plant. or
plants in the Unitedl States for, th~e Manufnetringi of C'urled Hair.
~EC'. 6. Thie terill '" tie ('Ode' means andt includPS tliiS COde ndB
all Codles annexedl hereto as origiinally approved by th President
and all amlendments s hereof andi th~ereof madle as hiereinafter in
Article IX provided.
SEC. 7. The terl "r.SSOCinflOD' Ineans th~e N~ationial Assocriation
of Curled Hair Maunufacturers.
SEC'. 8. The terntl unfair practice"' means andi includes ainy act
described as an unfair practice in Schledule 1 annexed heret~o.
SEc. 9. WC~herever usedl in the C'ode with reference to the Industr~y,
or any member of the Industry, unless the context shall otherwise
8968---3 1 3
(a) The term products includes onlyr Curled Hair or Cur~ied
HEair and fibre.
(b) Thle term "C plant means only a plant for the production of
one or more products in the Industry;
(c) The termz prices means only prices for products produced
in the Industry;
(d) Th'le term. wages includes only wages for labor performed
in the Industry;
(e) T'he term labor means only labor performed in the
(f ) TIIhe term "' hours of labor or hours of work includes only
hours of labor or hours of work in the Industry; and
(g) The term employeeye means only an employee in the
SEC. 10. The term "L the National Industrial Recovery Act means
the National Industrial ]Recovery Act as approved by the President,
June 16, 1933.
SEc. 11. The term "L the effective date of the Code means the sec-
ond Monday after the date on which the Code shall have been ap-
proved by the Pr1esident, pursuant to the National Industrial
AIlfII.IE III -ADMCINSI.s'TI:. ATIO N OF THE CODE:
SECTION 1. T'he National Association of Curled Hair Manu-
facturers ", herein sometimes referredct to as the Association )", is an
unincorpoal;ted- groups having an office at present at Philadelphia,
State of Pennsylvania. MemellZrshpi in the Association shall be
open to all members of the Culelld HaSir Industry. The reasonable
cost of administering the National Ass;cc-ia~tionl of Curled Hair Man-
ufacturers shall be assessed to the Inrembersl directly. The dlues as-
sessed for such cost on an e~quitabjle basnis shall be eltab~lis'hed by the
Association and shall be subject to revision from time to time by the
SEc. 2. The Association shall be the general planning and co-
ordinating agency for the Curled~ Hair Industry and shall cooperate
with. the President in furthering the policies of the National Indus-
trial Recovery Act.
ARTICLE IV--HonRs or LABOR, RATES OF PAY, AND OTHERS CONDITION
SECTION 1. Pur'.sitanlt to substc~tion (a) of Section 7 of the National
Industrial Recovery Act and so long as the Corle shall be in effect,
the Code shall be subject to the following conditions:
(1) That employees- shall have the right to organlize andi bal~rgin
collectively through r~ep,-resentatives of their own choo-,rsi~gr, and shall
be free from the inlter~fe1rence, restraint, or mcerrcion~ of emp-loyers of
labor, or their agernts, in the: designation of such r~epretsrntativers or
in se~lf-organization, or in other concerted activities for the pur-
pose of collective bargaining or other m~utuxal aid or protection;
(2) That no employee and no one seeking employment shall be
required as a condition of employment to join any company umion
cr to refralin from joining. organizing. r assistingr a. Ibor orgauniza-
tion of his own choosing; and
(3) That. em plovers shaoll compilyl with thle n~irn ximnl hours of
labor, miiinimum rates of pay, and other condlitions of emp~n !loyment,
ap roved or p~rescribed by the Presidecnt.
IsPEC. '2. The planntsi of the Indulstry are open to capnhlle wo-r~kmen
without r~egard~ to their mem~lbers~hi or nolnmlember~ship, in anyl labor
organization. The Indurstry firmnly believes thant the unqualifiedl
mnaintenance of that~ prlilC'ip~le is to the ilterlest of its emlployees.c~
SEC. ;3. The TIndustry uinderstandl s that nothingi in Article IV,
Section 1. Sublldiv-isions 1, 9, and 3, shl~~rl imlpairr in anyi par~ticular the
consctitutional rights of the empiIloyere andi emp~loyer~l to, Unrg~jain in-
dlividuanlyv or collectively as mayv be mu~tualliv satisfactolry to them
nor does~r it imlpair the joint, Iiriht of employer and emlol~lyee to op~er-
ate on opern shop, andl that nothinF inl the saiid Sectionl and Subldi-
visions shall p1reventl a member of the~ Indusltry? from electing, dlis-
chrgingrn retaninng, and ad-vancing anyi employee~t or emp~lloyees on
thle basis olf his or their indlividualfl merit wFithout regardl to hlis or
thirP; affiliation orr nonaff~ilition with Ra nylabor o,,rgnlization.
SEc. -1. NOne Of the mem~lber~s of the Industry shall emplloy inr or
about its p~lant any person under sixteen years of ae
S~EC. 5. No emplloyee ais noted below shalnl be p~aid le; s than 351
per h~our for femanles and 40# perry hour for males. Emp~loyees dis-
abled by old age, or other caus~es, employed in the plant anld not to
exceed in number five percent ofE the pay roll who shall receive n~ot
less than 80 percent of the minimum rates.
SEC. 6. NTo employer shall employ any person except as herein-
after mentioned ovr 40 hours p~er week in any period of 26 weeks,
nor over 418 hours in any one w~eek, bult such employees~ shall in. no
case work more than 40 hours average mn any 26-weeki period. The
provisions of this paragraph shall not applyS to repair, eng1in~eeringg
firemen, shipping, watching! supervisors staff, executives. and sales-
men receiving 35 dollars per wreeki and over. Thle work~ing hours
of Office Employees shall be anr avernme of fortyT houlrs a weekp in any
twenty-six w-eeks' period. For the purpose of this section thre first
tw~enty-six weeks' period ~for each emlployee in the employment of
any member of the Industry at, the effective date hereof sha~ll begin
with such date, andl the first twenty-six weeks' period for any\ em-
ployee hereafter employed shall begin with the date of emp~loymient
of each employee.
ARTICLE VT--IDT'STRYP sND nr IsIoN PrLANNINGc COMMITTrEFs
For the purpose of carrying into effect the policies osf the National
Indlusrtrial Recovery Act the Association shall appioinlt an11 TInustry
Planningr Committee. NTo decision of thie Industry Planning~ Coml--
miteeshal e bndngupon thle Industrry unless appr~loved by- three
fourths of the members of the A~ssociation.
For the purpose of the Code the nets dlescribedl in Schedule I
annexed hereto shall constitute unfair practices. Suiich uin f ir prnc--
tices and all other practices which shall be dleclalr~ed to be unfair
practices byv the Association or by any amendment to the Code
ado~ptedl, as herlrinoafter inl Article IX providledl and at the time in
effor~t. shall be drtemedl~ to be unfair methnods of competition in com-
merce within the meaning of the Federal Trade Commission Act as
amel~ndeal,~ and thne usingl or emp-loying of any of them shall be deemed
to be a violation of the Cod~e; and any member of the Ilndustr~y
which shall, directly or indirectly, through any officer or repr~esenta.-
tive, knowingly use or employ any of such unfair pracrtices shall be
guilty of a violation of the Code.
ARTICLE VII- ENFORCEMENT OF THE CODE:
In the case of a complaint made to the Association of anly viola-
t innl of this Code, or anly amendment or supplement thnereto, the
Association shall cause such complaint to be investigated. Should
the Association have reasonable ground for believing that thne com-
plaint is justified and if, after reasonable notice to the offender, the
offender does not correct any such violation, the Aissociation. shall
duly notify all of the members of the Industry of such violation.
The Association may thereafter in its discretion present the facts
of such violation to the Attorney Geneeral of the Unitedl States, or
the Federal Trade Commission, or any other duly conlstitultedt public
authority upon whom the duty of enforcing this Code of fair coim-
AT I:CL IE VICII--GENTERAL PROVISIONS
SECTION 1. Any notice, demand, or request required or permitted
to be given to, or made upon, any memrlberl of the Industry~ shall be
sufficiently given if telegraphed p~repa'id, addressed to suh ember
at the, address of such member on file with the Association. anrd in
the event that no time is provided in this Codie for the delivery of
any nolt ict, demnandl, or requeslc.-t, ten days) notice shall be required to
fSE(.. 2. None of the members of the Industry shall be liable in any
manner to anyone for any act~s of any other member of the ]Industrly,
or for any acts of thne Association, or any officer, committee, attorney,
or employee of the A2ssc,'intionl. None of the mTembers of thle Indus1-
try or Association or any committee, officer, attorney, agent, or
employee thereof appointed b~y the A ne~cin~tio.n for the Indlustry3 shall
be liable to anyone for anly act or omission to act under the Code,
except for a willful m-~isfeasance or nonfeasance. Nothing contained
in the Code shall be deemed to confer upon anyone other than a
member of the: Industry any right, claim, or demand whatsoever
against a nIemberl~E of the! Ass;or:iation or of anyu\ committee appointed
by the Association or against any ficer.l, attorney, or emlnrolyee
em~lolyed by the Association.
Sw:c. 3. As soon as members of the Industry r~ep~lresent ingl three
fourths of the memberl~ls of the As.-orlcintionl shall have dignified~ their
approval of the Codle, the Code Commnittee through its C'hairmanl
shall submit the Code to the Prc-ilentl. pursunil~lt. to the provisions of
Ttle I of the National Industrial Reco~ve~ry Act, and upon appr~oval
of the Code by the P~resident pursunnflt, to the provisions of such
Title I, thle Code~ shall aplylt! to and~ be h~imlljlin uponr ever'1Y nme
of the I n dustry.3'
SEC.. 4l. 'Te Ass~oc~iation1 shall havl\ e thle powert~l fromll timerc to timel~ to
interprIet and contri~lue the prov,\isiionsl of thec Coclle. inc~llllludng bult
p~roducts w~ithinr thle meitaning of tha;.t turnsu as it is used~l int the (codle.
Any~ interpretatic io or icons~t ruc~tionl placed~ uponI1 thel Code by1! thle
Associationl shall ber final ad cn cllv uponII-I\~ I1(I all member11'1., cif thre
SEC'. F). Ti IP SSO~latloll Shall hav~e pow\\er. fronsl tillle to tiatec to
dlelegaate any powercl's conifr iIerr up~on it pursunn~"t to aIny of the twio-
visions of this C`oder to, any\ co)lonlittee~ l'cllOmposd of membelllrI'i flthereof,
andlr or memberslc1 of the Indullstry3, a1nd/or attorneyC'? anld/or agents.
SEC. ii. PUl'sumitl to Bil~lit'ilviblo (b) of sel'' ctio 10 of the SNtioinal
Induistrial Recovery? Ac~t. the Pres~idenit may fromll time to time (nicel
or mdc~ify anyl orderil, approul(,';1 license, rule, or regula~~tionl i-sued
under Title I of saidl Acit.
Thiis Cod~e may he nini~irende at anyv timel in th~e marnner hereinafter
provided. Thle change of any! schedule her~eto or the addition hereto
of any~ newT sc~hedulle shiall constitute an nmen~ldmen~lt, o the. Code.
All ainendmienits shall be p~rop'osedl by: not less than tw-enty~-five per-
cenlt of the memlbers of the Association. Each amendment;i so pro-
posed shall be submllittedl to a meetings of members of the Associa-
tion which shall be c~alled~ for such purpo7)~~~ es upon giv'in nIot leiss
than ten dlays' notice to, each miembier o~f the Associatio~n, statingr the
timie and place of such meetings andi the purrpose therefor. If at
such meeting the meibe~rs of the Ascsocintion representingr three
fourths of the members thereof hall v.ote in favor of the ad~option
of such amendment. such amendment shanll be submlitted~l to the
President for applroval, if appr~loval thereof by hiim shall then be
required byv law. Such amnendlment shall take effect as a parlt of th
(code uipon the adloptioni ther~eof by members of thze A~ssociationl as
above provided, andr the app~roval thereof hyv the~ President. if
appro".val thereof shall be requiredl as aIforesaid.
This Clode shall continue in effect until termiinated as hecreinafter
prvde.It mayv be teiirminatedl at any~ time by the samne action by
mem'llber~s of the Association as is abov'e p~rovided andi r~equiredl for
amellndmll ent thereof. W'hen so termlinated all obligations andl liabili-
lies underr thle C'odet shall cease, except anyl obligations which hanve
ne'cruled und1~er any1) provision of the C'ode p~rior tor suich ter~minlationl
UNIVERSITY' Y OF FL ORIDA~
III1 1I Ili ll IUI IIIIIIIIIIIli l IIIlIIIIII III
3 1262 08855 8498
LIST OF UNFAIR PRACTICES
F(or the Ilurplme~t of thze Code the following described nets shall constitute
(a) Sales of the products of the Industry to any dlistributo~r, dealer, or
consumer of a quality lower than that previously purchased~ by~ sucb consumer
without informing such dlistribuotor,~ dealer, or consumer o~f thec dlifference, or
alleged difference, in quality.
(b) Making or promising to any purchaser or pirospectivee purchase~r of any
product, or to any officer, employee, agent, or representative of nany suchb pur-
chaser, or prospective purchaser, any bribe, gratuity, gift or other payment
or remuneration, directly or indirectly, or promise of rc~iprc. city; pur'chlases.
(c) Procuring, otherwise than with the consent of any awmbert~l of the In-
dustry, any information concerning the business of such member~l which is
properly regarded by it as a trade secret or confidential w\ithlin its org'uniza-
tion, other than information relating to a violation of any; prolvisio~n of C'ode.
(d) Imitalting or simulating any desig,o~ style, mark, or brand~, usied by any
other member of the Industry.
(e) Uising or substituting any! material superior or iniferiojr in qua~lity to
that specified by the purchaser of any product.
(f) Canceling in whole or in part, or permitting the cancelation in whole
or in part, of any contract of sale of any product except fo~r a~ fair calusileral-
tion, or paying or allowing to any purchaser in connection w\ith the sale of
any product any rebate, commission, cr'e lit, discount, ad~justmnent, or Siilallr
concession other than as is permlittedl by the Code and spe~cidedl in thle contrnet
(g) Disseminating, publishing, or circulating any false or mislendling infor-
mation relative to any product or price for any product of any~ member o~f the
Industry, or the credit standing or ability of any member there-of to perform
any work, or manufacture or produce any product, or to the conditions of em-
ployment among the employees of any member thereof.
(h) Inducing or attempting to induce by any means any plarty to a contract
with a member of the Industry to violate such contract.
(i) Aiding or abetting any person, ~firm, association, or corporations in any
(j) Making or giving to any purchnaser of any product any guaranty or pro-
tection in any form against decline in the market price of such product.
(k) Giving free samples in excess of one pound of any one grade.
(1) The practice of shipping products on consignment has resultedl in unfair
competition. No member of the Industry shall deliver the products thereof on
consignment except to an affiliated company of such membler. An affiliated
company shall mean a company in which a member o~f the Industry bus a
voting control through the record or equitable title o~f the otinlg stock; thereof,
or has control of such company in any other manner.
(m) The making of false statements or reports, written or oral, required
pursuant to anly of the provisions of this Code or any resolution duly adopted
by the National Association of Curled Hair Manufacturers.
(n) Selling below cost is an unfair trade practice.