Code of fair competition for the sample card industry

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Material Information

Title:
Code of fair competition for the sample card industry as approved on February 19, 1934
Physical Description:
p.231-242 : ; 23 cm.
Language:
English
Creator:
United States -- National Recovery Administration
Publisher:
Supt. of Documents
Place of Publication:
Washington, D.C
Publication Date:

Subjects

Subjects / Keywords:
Samples (Commerce) -- Law and legislation -- United States   ( lcsh )
Industries -- Law and legislation -- United States   ( lcsh )
Genre:
federal government publication   ( marcgt )
non-fiction   ( marcgt )

Notes

General Note:
Cover title.
General Note:
"Approved Code No. 301 ; Registry No.299-1-19".

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004860902
oclc - 63654401
System ID:
AA00007779:00001

Full Text
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Approve Ione No. vux


Registry No. 299-1-19


NATIONAL RECOVERY ADMINISTRATION


CODE OF FAIR COMPETITION

FOR THE


SAMPLE CARD INDUSTRY

AS APPROVED ON FEBRUARY 19, 1934


WE DO OUR PART


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UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON: 1934


her sale by the Superintendent of Documents, Washington, D.C. Price 5 cents

























This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D.C., and by district offices of the Bureau of
Foreign and Domestic Commerce.
DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE
Atlanta, Ga.: 504 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Customhouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North Wells Street.
Cleveland, Ohio: Chamber of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
Detroit, lMich.: 801 First National Bank Building.
Houston, Tex.: Chamber of Commerce Building.
Indianapolis, Ind.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
Kansas City, Mo.: 1028 Baltimore Avenue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 408 Federal Building.
Memphis, Tenn.: 229 Federal Building.
Minneapolis, Mlinn.: 213 Federal Building.
New Orleans, La.: Room 225-A, Customhouse.
New York. N.Y.: 734 Customhouse.
Norfolk, Va.: 406 East Plume Street.
Philadelphia. Pa.: 422 Commercial Trust Building.
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 50G Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, Wash.: S09 Federal Office Building.












Approved Code No. 301


CODE OF FAIR COMPETITION
FOR THE

SAMPLE CARD INDUSTRY

As Approved on February 19, 1934


ORDER

APPROVING CODE OF FAIR COMPETITION FOR THE SAMPLE CARD
INDUSTRY
An application having been duly made pursuant to and in full
compliance with the provisions of Title I of the National Industrial
Recovery Act, approved June 16, 1933, for approval of a Code of
Fair Competition for the Sample Card Industry, and hearings having
been duly held thereon and the annexed report on said Code, con-
taining findings with respect thereto, having been made and directed
to the President:
NOW, THEREFORE, on behalf of the President of the United
States, I, Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in me by Executive Orders of the Presi-
dent, including Executive Order No. 6543-A, dated December 30,
1933, and otherwise; do hereby incorporate by reference said annexed
report and do find that said Code complies in all respects with thd
pertinent provisions and will promote the policy and purposes of
said Title of said Act; and do hereby order that said Code of Fair
Competition be and it is hereby approved; provided, however, that
the provisions of Article VI, Sections 2 to 9 inclusive, insofar as they
prescribe a waiting period between the filing with the Code Authority
(i.e. actual receipt by the Code Authority) and the effective date of
revised price lists or revised terms and conditions of sale be and they
are hereby stayed pending my further order; provided further, that
within ninety days I may direct that there be a further hearing on
such of the provisions of said Code as I may designate, and that any
order which I may make after such hearing shall have the effect of a
condition on the approval of said Code.
Huoa S. JOHNSON,
Administrator for Industrial Recovery.
Approval recommended:
GEO. L. BERRY,
Division Administrator.
WASHINGTON, D.C.,
February 19, 1934.
41486--376-113-34 (231)














REPORT TO THE PRESIDENT


The PRESIDENT,
The White House.
SIR: This is a report of the hearing on the Code of Fair Competi-
tion for the Sample Card Industry, conducted in Washington on
November 1, 1933, in accordance with the provisions of Title I of the
National Industrial Recovery Act.

HOURS AND WAGES
The Code provides a standard 40 hour week for factory workers
with a weekly tolerance of eight hours to be paid for as overtime.
The usual exceptions are made in regard to non-productive em-
ployees Office employees are limited to an average of 40 hours per
week over an eight week period.
The minimum wage rate for hourly paid employees is 400 per hour
for males and 300 per hour for females. Office employees will receive
a minimum wage of $16.00 per week.

OPEN PRICE PLAN
An open price plan of selling is provided and selling below cost,
except to meet competition, is prohibited.

OTHER PROVISIONS
Provision is made for furnishing the Administrator with such
statistical data as he may require.

ECONOMIC EFFECT OF THE CODE
The Industry employed in 1929 approximately 2,000 persons and
with an increase of four plants about the same number for the first
six months of 1933. This shows an increase of 400 employees over
the number employed in 1932. The Industry has two very sharply
pronounced peak periods in a year and the effect of the Code will
be to employ, during such limited periods, about 300 additional
workers.
From figures submitted by nineteen to twenty-one plants in the
Industry the payrolls had increased over 20% from April to Sep-
tember 1933. This reflects the President's Re-employment Program
as the volume of production was equal in those two months. The
total payrolls, a.l a result of the Code, will maintain this increase of
over 20' .
(232)






233


FINDINGS
The Deputy Administrator in his final report to me on said Code
having found as herein set forth, and on the basis of all the proceed-
ings in this matter
I find that:
(a) Said Code is well designed to promote the policies and pur-
poses 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 pro-
vide for the general welfare by promoting the organization of indus-
try for the purpose of cooperative action among the trade groups,
by inducing and maintaining united action of labor and management
under adequate governmental sanction and supervision, by eliminat-
ing unfair competitive practices, by promoting the fullest possible
utilization of the present productive capacity of industries, by avoid-
ing undue restriction of production (except as may be temporarily
required), by increasing the consumption of industrial and agricul-
tural 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 Code as approved complies in all respects with the perti-
nent provisions of said Title of said Act, including without limita-
tion Subsection (a) of Section 3, Subsection (a) of Section 7, and
Subsection (b) of Section 10 thereof; and that the applicant Asso-
ciation is an industrial Association truly representative of the afore-
said Industry; and that said Association imposes no inequitable
restrictions on admission to membership therein.
(d) The Code is not designed to and will not permit monopolies
or monopolistic practices.
(e) The Code is not designed to and will 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 Code.
For these reasons this Code has been approved.
Respectfully,
HUGH S. JOHNSON,
Administrator.
FEBRUARY 19, 1934.













CODE OF FAIR COMPETITION FOR THE SAMPLE CARD
INDUSTRY
To effectuate the policies of Title I of the National Industrial
Recovery Act, the following is hereby established as a Code of Fair
Competition for the above named Industry and shall be binding on
every member thereof.

ARTICLE I-DEFINITIONS
The following words are used in this Code with the meaning herein
set forth:
"Industry "-The manufacture of sample cards and sample bind-
ings, including the preparation of products for sampling.
Member "-A natural person, partnership, corporation, associa-
tion, trust, trustee, trustee in bankruptcy, receiver, or other form of
enterprise, engaged in such Industry.
"Act "-Title I of the National Industrial Recovery Act.
"Administrator "-The Administrator for Industrial Recovery
under Title I in the Act.

ARTICLE II-ORGANIZATION AND ADMINISTRATION
1. The members of the Board of Directors of the Sample Card
Manufacturers Association, Inc., together with such other person
or persons as the Administrator may designate, are hereby consti-
futed the Code Authority of the Industry. The members of the Code
Authority designated by the Administrator shall have no vote and
shall serve without recompense from the Industry.
2. The said Association shall impose no inequitable restrictions on
membership and shall file with the Administrator certified copies of
any amendments of its By-Laws relating to eligibility or admission
to membership in said Association, or relating to the method of
selection of the members of such Board of Directors which said
Association may hereafter adopt.
3. The Administrator may at any time prescribe a different method
for selecting the Industry members of the Code Authority, and
there after, such members shall be chosen in the manner so prescribed.
4. The Code Authority is charged generally with the duty of
administering this Code. If the Administrator shall determine that
any action of the Code Authority, or any agency thereof, may be
unfair or unjust or contrary to the public interest, the Administrator
may require that such action be suspended to afford an opportunity
for investigation of the merits of such action and further considera-
tion by the Code Authority or agency pending final action which shall
not be effective unless the Administrator approves or unless he shall
fail to disapprove after thirty days notice to him of intention to
proceed with such action in its original or modified form.
(234)






235

5. The expenses of administering this Code shall be borne pro rata,
in accordance with a formula to be adopted by the Code Authority,
by all members of the Industry who accept the benefit of the services
of the Code Authority or otherwise assent to this Code.
6. The Code Authority shall have power to investigate alleged vio-
lations of this Code and acts or courses of conduct by any member
which are or appear to be contrary to the policy of the Act or which
tend or may tend to render ineffective this Code and to report the
same with recommendations to the Administrator.
7. The Code Authority is hereby constituted the agency to endeavor
to effect, by arbitral proceedings or otherwise, adjustments of con-
tracts entered into by members of the Industry, where the costs of
executing such contracts are increased through the application of the
provisions of the Act or of this Code.
ARTICLE III-HOURS OF LABOR
1. Employees in the Industry shall not be required or permitted to
work hours in excess of the limits prescribed in the following
schedule:
SCHEDULE OF WORKING HOURS
(a) Watchmen: Fifty-six (56) hours in any one week, but not
more than six (6) days in any seven (7) day period; or fifty-six
(56) hours in any one week. but not more than eight (8) hours in any
one day.
(b) Chauffeurs, truckdrivers, and their helpers: One hundred
eighty (180) hours in any period of four (4) consecutive weeks, pro-
vided, however, that time worked in excess of nine (9) hours in any
one day or forty-five (45) hours in any one week shall be paid for as
not less than time and one-third.
(c) Engineers, firemen, electricians: One hundred sixty-eight
(168) hours in any period of four (4) consecutive weeks, provided,
however, that time worked in excess of nine (9) hours in any one day
or forty-five (45) hours in any one week shall be paid for as not less
than time and one-third.
(d) All other laborers, mechanical workers or artisans employed
in any plant, mill or factory or on work connected with the opera-
tion of such plant, mill or factory: Eight (8) hours in any one
day and forty (40) hours in any one week, provided, however, that
these maximum limits may be exceeded for any reason at any time
provided that all time work in excess of the maximums prescribed
shall be paid for as not less than time and one-third, and provided
further, that no employee shall be required or permitted to work in
excess of ten (10) hours in any one day or forty-eight (48) hours in
any one week.
(e) Employees regularly engaged in a managerial or executive
capacity and their personal secretaries, foremen and supervisors,
receiving thirty-five dollars ($35.00) or more per week, and outside
salesmen: No limitation.
(f) All other employees: Forty-eight (48) hours in any one week
but not to exceed khree hundred and twenty (320) hours in any
period of eight (8) consecutive weeks.






236


2. No limitations contained in said schedule shall apply to employ-
ees of any class when engaged in emergency repairs or emergency
maintenance work occasioned by breakdowns or involving protection
of life or property, provided, however, that all time worked in
excess of the limitations prescribed in said schedule shall be paid
for as not less than time and one-third.
3. No employer shall knowingly permit any employee to work for
any time which, when totaled with that already performed with
another employer or employers in this Industry, exceeds the maxi-
mum permitted herein.
4. Piece work shall not be permitted in any branch of the
Industry.
5. No employee except watchmen shall be required or permitted to
work on Sundays. or on January 1. May 30, July 4, Thanksgiving
Day, or December 25.
6. No female employee, other than those covered by paragraphs
(e) and (f) of Section 1 hereof, shall be required or permitted to
work between the hours of 7:00 P.M. and 7:00 A.M.

ARTICLE IV-W AGES
1. The mininium rate of wage of any laborer, mechanical worker
or artisan employed in any plant, mill or factory or on work con-
nected with the operation of any such plant, mill or factory shall
be as follows:
Male labor, 40 cents per hour
Female labor, 30 cents per hour.
2. The minimum rate of wage for all other employees shall be
as follows:
(a) $16.00 per week.
(b) Part-time employees covered by the provisions of this
Section shall be paid at the rate of not less than 400
per hour.
3. This Article establishes a minimum rate of pay which shall
apply irrespective of whether an employee is actually compensated
on time-rate or other basis.
4. Female employees performing substantially the same work as
male employees, shall receive the same rate of pay as male employees.
The Code Authority shall within ninety (90) days after the effec-
tive date of this Code file with the Administrator a description of
all occupations in the Industry in which both men and women are
employed.
5. The wage rates of all employees receiving more than the mini-
mum rates herein prescribed shall be reviewed and such adjustments
made therein as are equitable in the light of all the circumstances
but in no case shall such adjustments involve decreases. Within
sixty (60) days after the effective date hereof, the Code Authority
shall report to the Administrator the action taken by all members
of the Industry under this Section.
6. Office and errand boys and girls under eighteen (18) years of
age, to the extent of no more than 5% of the total number of em-
ployees described in Section 2 hereof, may be employed at, a wage
of not less than 80'.; of the minimum prescribed by said Section,





237


provided that at least one such office and/or errand boy or girl may
be employed by each member.
7. A person whose earning capacity is limited because of age or
physical or mental handicap may be employed on light work at a
wage of not less than 80% of the minimum prescribed by this Code,
provided the State Authority or other agency designated by the
United States Department of Labor shall have issued a certificate
authorizing his employment on such basis. Each member shall file
with the Code Authority a list of all such persons employed by him.
The provision of this Section requiring a certificate of authority
shall not become effective until sixty (60) days after the effective
date of this Code.
ARTICLE V-GENERAL LABOR PROVISIONS
1. No person under sixteen (16) years of age shall be employed in
the Industry. No person under eighteen (18) years of age shall be
employed at operations or occupations which are hazardous in nature
or dangerous to health. The Code Authority shall submit to the
Administrator within sixty (60) days after the effective date of this
Code a list of such operations or occupations. In any State an
employer shall be deemed to have complied with this provision as to
age if he shall have on file a certificate or permit duly signed by the
Authority in such State empowered to issue employment or age cer-
tificates or permits, showing that the employee is of the required age.
2. Employees shall have the right to organize and bargain collec-
tively through representatives of their own choosing, and shall be
free from the interference, restraint, or coercion of employers of labor,
or their agents, in the designation of such representatives or in self-
organization or in other concerted activities for the purpose of collec-
tive bargaining or other mutual aid or protection. No employee and
no one seeking employment shallbe required as a condition of employ-
ment to join any company union or to refrain from joining, organiz-
ing, or assisting a labor organization of his own choosing. Employers
shall comply with the maximum hours of labor, minimum rates of
pay, and other conditions of employment, approved or prescribed by
the President.
3. No provision in this Code shall supersede any State or Federal
law which imposes on employers more stringent requirements as to
age of employees, wages, hours of work, or as to safety, health, sani-
tary or general working conditions or insurance or fire protection,
than are imposed by this Code.
4. No employer shall reclassify employees or duties of occupations
performed or engage in any other subterfuge for the purpose of
defeating the purposes or provisions of the Act or of this Code.
5. All employers shall post copies of Articles III, IV and V of this
Code in conspicuous places accessible to employees.
6. Every employer shall make reasonable provisions for the safety
and health of his employees at the place and during the hours of their
employment. Standards for safety and health shall be submitted by
the Code Authority to the Administrator within six (6) months after
the effective date of this Code.






238


7. The Code Authority shall make a study of conditions in the
Industry to determine the feasibility of the adoption of a shorter
working week and shall, within three (3) months after the effective
date of this Code, make a report of its findings to the Administra-
tor. The Code Authority shall also submit to the Administrator
within six (6) months after the effective date of this Code, a plan
for the stabilization and regularization of employment.
8. The manufacture or partial manufacture of any product of
the Industry in homes shall be prohibited.
ARTICLE VI-ACCOUNTING-SELLING
1. The Code Authority shall, as soon as practicable, formulate a
standard method of accounting and costing for the Industry and
submit the same to the Administrator. When it shall have been
approved by the Administrator, every member shall use an account-
ing and costing system which conforms to the principles of, and is
at least as detailed and complete as, such standard method.
2. The Code Authority may from time to time determine that an
open price plan of selling such product or products of the Industry
as it shall specify shall be put into effect on such date as it shall fix.
Notice of such determination shall be announced to all known mem-
bers of the Industry who manufacture such products not less than
thirty (30) days prior to the date so fixed.
3. At least ten (10) days prior to such date, every such member
shall file with the Code Authority a schedule of prices and terms of
sale for all such products or, in the alternative, shall be deemed to
have filed a schedule conforming in respect to price and terms of
sale with the schedule at any time on file which states the lowest
price and the most favorable terms.
4. All such schedules shall be in such form as the Code Authority
shall prescribe and shall contain all information necessary to pur-
mit any interested person to determine the exact net price per unit
after all discounts or other deductions have been made, whether
pertaining to a single order, a commitment for future delivery, or
a contract. All such original schedules shall become effective on
the date fixed by the Code Authority as provided in Section 2 hereof.
5. A revised schedule or schedules, or a new schedule or schedules,
or a notice of withdrawal of a schedule previously filed may be
filed by a member with the Code Authority at any time, provided,
however, that any member who withdraws a schedule without sub-
stituting a new schedule therefore shall be deemed to have filed a
schedule conforming in respect to price and terms of sale with the
schedule at any time thereafter on file which states the lowest price
and the most favorable terms. Any schedule or notice filed here-
under shall become effective five days after the date of filing, pro-
vided, however, that an increased price may become effective at such
earlier date as the member filing the same shall fix.
6. The Code Authority shall promptly supply all members of the
Industry who manufacture any particular product with copies of
all schedules, revised schedules, and notices of withdrawal, which
pertain to such product. Immediately upon receipt of information
relative to the withdrawal of a price for any product, any member






239


may file notice of withdrawal of his own price for the same product
effective as of the same date as the notice of withdrawal of such
other member. Immediately on receipt of information that a sched-
ule then on file has been revised, or that a new schedule has been
filed, any member may file a revised schedule conforming as to price
and terms to the schedule of such other member, and effective on
the same date, or he may notify the Code Authority that he adopts
as his own the schedule of such other member. In the latter event,
he shall be deemed to have filed a revised schedule conforming to
the revised schedule of such other member.
7. No such schedule of prices and terms of sale filed by any mem-
ber, or in effect at any time, shall be such as to permit the sale of
any product at less than the cost thereof to such member determined
in the manner provided in Section 11 hereof, provided, however, that
any member may by notice to the Code Authority adopt as his own
a lower price filed by another designated member. Such adoption
shall become automatically void upon the withdrawal or revision
upward of the price adopted.
8. No member who shall have filed a price, or adopted as his own
a price filed by another member for any product of the Industry,
shall sell such product for less than such price or upon terms or con-
ditions more favorable than stated in such price schedule. No mem-
ber who shall have failed to file a price for any product for which
the open price plan is in effect, shall sell such product at a lower
price or on terms more favorable than the lowest price and most
favorable terms stated in any price schedule for such product then
on file.
9. The Code Authority shall furnish at cost to any non-member
requesting them, copies of any price schedules which have been filed
with it. Such price schedules shall be made available to non-
members at the same time that they are sent to members.*
10. No member shall sell any product of the Industry for which
no open price plan is in effect at less than the cost thereof to such
member, determined as provided in Section 11 hereof, except to meet
the price of a competitor whose price does not violate such Section.
11. Cost, for the purposes of this Article, shall be determined pur-
suant to the method of accounting and costing prescribed as provided
in Section 1 hereof as soon as such method is adopted and approved,
and theretofore pursuant to the method employed by such member
subject to such preliminary rules as the Code Authority shall from
time to time prescribe with the approval of the Administrator.
12. For the purpose of determining whether Sections 7 and 10
hereof have been complied with, every member shall upon the re-
quest of the Code Authority furnish 'a designated agency of the
Code Authority, in respect to closed transactions only, with complete
information in regard to any quotation, order, contract, or sale of
any product of the Industry, including information as to specifica-
tions, quantities, price, conditions of storage, transportation or de-
livery, terms of billing, cash or trade discounts allowed and other
pertinent facts relating to such quotation, contract or sale.
See paragraph 2 of Order approving this Code.






240


13. Nothing herein contained shall be construed to prevent the
disposition of distress merchandise required to be sold to liquidate
a defunct or insolvent business or of discontinued lines, damaged
goods or seconds, in such manner, at such price, and on such terms
and conditions as the Code Authority and the Administrator may
approve.
14. Nothing herein contained shall be construed to prevent the ful-
fillment of a bona fide contract existing on the effective date of this
Code.
ARTICLE VII-REPORTS AND STATISTICS
1. Each member shall prepare and file with an impartial agent
designated by the Code Authority at such times and in such manner
as it may prescribe, such statistics, data and information relating to
plant capacity, volume of production, volume of sales in units and
dollars, orders received, unfilled orders, stocks on hand, inventory
both raw and finished, number of employees, wage rates, employee
earnings, hours of work and other matters, as the Code Authority
or the Administrator may from time to time require. Any or all
information so furnished by any member shall be subject to checking
for the purpose of verification by an examination of the books,
accounts and records of such member by any disinterested accountant
or accountants or other qualified person or persons designated by
the Code Authority.
2. Except as otherwise provided in the Act, or in this Code, all
statistics, data and information filed or required in accordance with
the provisions of this Code shall be confidential and the statistics,
data and information of one member shall not be revealed to another
member. No such data or information shall be published except in
combination with other similar data and in such a manner as to
avoid the disclosure of confidential information. The Code Author-
ity shall arrange in such manner as it may determine for the current
publication of Industry statistics to members.
3. The Code Authority shall make such reports to the Administra-
tor as he may from time to time require.
4. In addition to information required to be submitted to the Code
Authority there shall be furnished to Government Agencies such
statistical information as the Administrator may deem necessary for
the purposes recited in Section 3 (a) of the Act. Nothing contained
in this Code shall relieve any member of any existing obligations to
furnish reports to any Government Agency.

ARTICLE VII I-MONOPOLIES
1. No provision of this Code shall be so applied as to permit
monopolies or monopolistic practices, or to eliminate, oppress or
discriminate against small enterprises.

ARTICLE IX-RECOMMENDATIONS
1. The Code Authority may, from time to time, present to the
Administrator recommendations based on conditions in the Industry
which will tend to effectuate the operation of this Code and the policy
of the Act, and in particular along the following lines:






241


(a) For the establishment of additional rules of Fair Trade Prac-
tices for the Industry and for the modification of its Trade Customs,
and the enforcement thereof.
(b) For the establishment of plans to equalize production with
demand, so that the interests of the Industry and the public may be
properly served.
(c) For dealing with any other inequality that may arise to endan-
ger the stability of the Industry and of production and employment.
(d) For an increase or decrease in the number of Industry mem-
bers of the Code Authority and/or for a change in the method of
choosing such members.
2. For the purpose of assisting the Code Authorities of the Paper
Manufacturing and/or Converting Industries in the adjustment of
all labor disputes and labor complaints arising within such Indus-
tries, the Code Authority shall consider the advisability of creating
a Joint Industrial Relations Board for such Industries and shall
report its recommendations to the Administrator.
3. Recommendations made pursuant to Sections 1 and 2 hereof
when approved by the Administrator shall have the same force and
effect as other provisions of this Code.
ARTICLE X-TRADE PRACTICES
1. The following are hereby constituted Trade Practices for the
Industry and failure to comply with the provisions thereof shall be
a violation of this Code:
(a) Members of the Industry shall not practice deception in re-
gard to that which is sold or its selling price by false or misleading
description, statement, record, or undisclosed consideration.
(b) Members shall refrain from dumping, deferred delivery,
extension of stated credit and secret rebates.
(c) Members shall not wilfully injure by falsely defaming a
competitor's goods, credit, or ability to perform his contracts.
(d) Members shall not wilfully induce or attempt to induce the
breach of a competitor's contract.
(e) No member shall give, permit to be given, or directly offer to
give, anything of value for the purpose of influencing or rewarding
the action of any employee, agent or representative of another in
relation to the business of the employer of such employee, the prin-
cipal of such agent or the represented party, without the knowl-
edge of such employer, principal or party. The foregoing provi-
sions shall not be construed to prohibit free and general distribution
of articles commonly used for advertising except so far as such
articles are actually used for commercial bribery as herein defined.
(f) No member of the Industry shall ship goods on consignment,
except under circumstances to be defined by the Code Authority
where peculiar circumstances of the Industry require the practice.

ARTICLE XI-GENERAL PROVISIONS
1. If any member is also a member of another industry, the pro-
visions of this Code shall apply to and affect only that part of his
business which is included in this Industry.






242


2. Any work or process incidental to and carried on by a member
at his plant as a part of the manufacture of any product of the
Industry, shall be regarded as a part of this Industry.
3. Such of the provisions of this Code as are not required to be
included therein by the Act, may, with the approval of the Adminis-
trator, be modified and eliminated as changes in circumstances or
experience may indicate.
4. This Code and all the provisions thereof are expressly made
subject to the right of the President, in accordance with the provi-
sions of Section 10 (b) of the Act, from time to time to cancel or
modify any order, approval, license, rule or regulation, issued under
Title I of said Act, and specifically, but without limitation, to the
right of the President to cancel or modify his approval of this code
or any conditions imposed by him upon his approval thereof.
5. This Code shall become effective on the second Monday after
the date upon which it shall be approved by the President of the
United States.
Approved Code No. 30L
Registry No. 299-1-19.