UNIVERSITY OF FLORIDA
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Registry No. 299--47
NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
LEATHER CLOTH AND LACQUERED
FABRICS, WINDOW SHADE CLOTH
AND ROLLER, AND BOOK CLOTH
AND IMPREGNATED FABRICS
AS APPROVED ON MAY 3, 1984
WI DO OUR PART
GOVERNMENT PRINTING OFFICE
r sales b the Superintendent of Documents. Washington. D.C. - Price 5 cents
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ITis 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, Mich.: 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.: 40S Federal Building.
Memphis, Tenn.: 229 Federal Building.
Minneapolis, Minn.: 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 BOilding.
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 506 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, Wash.: S09 Federal Office Building.
Approved Code No. 410
CODE OF FAIR COMPETITION
LEATHER CLOTH AND LACQUERED FABRICS,
WINDOW SHADE CLOTH AND ROLLER, AND
BOOK CLOTH AND IMPREGNATED FABRICS
As Approved on May 3, 1934
CODE OF FAIR COMPETITION FOR THE LEATHER CLOTH AND LACQUERED
FABRICS, WINDOW SHADE CLYTH AND ROLLER, AND BOOK CLOTH
AND IMPREGNATED FABRICS INDUSTRIES
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 Leather Cloth and Lacquered Fabrics,
Window Shade Cloth and Roller, and Book Cloth and Impregnated
Fabrics Industries, and hearings having been duly held thereon and
the annexed report on said Code, containing 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
President, 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 the pertinent provisions and will promote the policy and pur-
poses of said Title of said Act; and do hereby order that said Code
of Fair Competition be and it is hereby approved; provided, how-
ever, that the provisions of Article VIII, Section 2, Sub-Section (b),
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 condi-
tions of sale be and they are hereby stayed pending my further
order; and provided further that the provisions of Article VIII,
Section 2, Sub-section (f) and Article IX, Section 16 be and they
are hereby stayed pending further hearing and determination of
the issues involved; and provided further that Article XIV, Sections
2, 3 and 4 are deleted.
HUGH S. JOHNSON,
Administrator for Industrial Recovery.
H. O. KING,
May 3, 1934.
REPORT TO THE PRESIDENT
The White House.
Sm: This is a report on the Code of Fair Competition for the
Leather Cloth and Lacquered Fabrics, Window Shade Cloth and
Roller, and Book Cloth and Impregnated Fabrics Industries, as
proposed by the Institute of Leather Cloth and Lacquered Fabric
Manufacturers, the Window Shade Institute and the Institute of
Book Cloth and Impregnated Fabrics Manufacturers. These insti-
tutes claim to represent 90%, 95%, and 85% of the respective
The hearing was conducted in Washington, D.C. on November
22nd, 1933. Every person who requested an appearance was freely
heard in accordance with statutory and regulatory requirements.
The Code was presented by duly qualified and authorized repre-
sentatives of the Industries.
DESCRIPTION OF INDUSTRIES
This code covers three distinct industries, and originally each
group submitted a code of its own. It was found that many manu-
facturers were engaged in more than one industry, and for that
reason, the three were combined into one code for purposes of
simplication. In order to give a more clear description, this report
will treat each industry separately.
LEATHER CLOTH AND LACQUERED FABRICS INDUSTRY
This group is composed of 20 concerns employing approximately
2,000 persons in the first half of 1933. In August of that year the
industry voluntarily adopted the wage and hour provisions of the
present code and employment was increased to 2,400 employees.
The original code included a limitation on the hours of operation
of machinery and a provision which would have required a license
from the Administrator in order to install additional productive
machinery. At the time of the hearing, these two clauses were
objected to by four firms representing 20% of the industry by num-
ber and approximately 40% in volume of production. Following
this, other firms who had previously favored these two clauses
changed their position until the objectors amounted to approxi-
mately 50% of the volume of business. Because of this, both of
these provisions have been deleted because of lack of sufficient sup-
port by the industry, even though there had been a showing that
the productive capacity of the industry was considerably in excess
of the actual sales.
It was never determined whether or not this leeway in potential
production is not necessary for this particular industry. The de-
mand for leather cloth fluctuates considerably and orders for imme-
diate shipment will pile in rapidly for a brief period and then drop
just as suddenly to a very low basis. A condition of this kind re-
quires excess machinery, which may be idle a good part of the time,
in order to meet the production needs at peaks of business.
WINDOW SHADE CLOTH AND ROLLER INDUSTRY
This industry is composed of 29 concerns which before voluntarily
agreeing on the wage and hour provisions of the present code
employed 2050 persons. This increased 20% to 2469 employees after
the voluntary action of the industry.
This group finishes cotton cloth in such a manner as to produce
window shade cloth and they also make window shade rollers.
Only these operations are covered by this code.
BOOK CLOTH AND IMPREGNATED FABRICS
This is the smallest of the three industries and is composed of
eight concerns employing 392 persons. This figure was increased
approximately 20% after the voluntary adoption last August of
the present hour provisions of the code.
All three industries have the same hours of labor. With certain
exceptions, hours are limited to forty per week without any limita-
tion on the number of hours per day an employee may work. The
industry is wholly in accord with the principal of an eight hour day,
but because they are to a considerable extent continuous process
industries involving the use and application of chemicals and chem-
ical compounds, it is impractical to limit the daily hours of employ-
ees. It is provided that all hours in excess of eight per day shall
be reported monthly to the Code Authority. Employees engaged
in the operation of machines when used as a part of a continuous
process, the interruption of which would jeopardize or spoil goods,
may work up to forty-four hours per week.
Wages vary in the different industries. In the Leather Cloth
Industry, the minimum is 40) per hour, except for office employees
where the rate is $14.00 per week.
In the Window Shades Industry the wages are as follows:
Northern Section .................................................................. 35 32
Sou hern Sect ion-----------....-------................--...--........ --.. ....... 3214 30
The Bookcloth Industry has a minimum wage of 350 an hour in
the North and 3212c an hour in the South. All three industries
provide a minimum wage for office boys and girls of $11.20 and
the usual provisions regarding the employment of aged and infirm
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 in-
dustry for the purpose of cooperative action among the trade groups,
by inducing and maintaining united action of labor and manage-
ment under adequate governmental sanctions and supervision, 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 Industries normally employ not more than 50,000 em-
ployees; and are not classified by me as major industries.
(c) The Code as approved complies in all respects with the per-
tinent provisions of said Title of said Act, including without limi-
tation Subsection (a) of Section 3, Subsection (a) of Section 7, and
Subsection (b) of Section 10 thereof; and that the applicant asso-
ciations are industrial associations truly representative of the afore-
said Industries; and that said associations impose 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
For these reasons, the Code has been approved.
HUGH S. JOHNSON,
MAY 3, 1934.
CODE OF FAIR COMPETITION FOR THE LEATHER
CLOTH AND LACQUERED FABRICS; WINDOW SHADE
CLOTH AND ROLLER; AND BOOK CLOTH AND IM-
PREGNATED FABRICS INDUSTRIES
1. To effectuate the policies of Title I of the National Industrial
Recovery Act, the following provisions are established as a Code of
Fair Competition for the Leather'Cloth and Lacquered Fabrics-
Window Shade Cloth and Roller; and Book Cloth and Impregnated
Fabrics Industries, and shall be the standards of fair competition for
these Industries, and shall be binding upon every member thereof.
1. Leather Cloth Industry means and includes the manufacture
or manufacture and sale of all pyroxylin coated leather cloth and
lacquered fabrics, including like pyroxylin coated paper base prod-
ucts, by any corporation, its subsidiary and 'or affiliate, firm or
2. Window Shade Cloth and Roller Industry means and in-
cludes the manufacture and sale of window shade cloth and/or win-
dow shade rollers, and window shades when manufactured and sold
at wholesale only by those who also manufacture and sell window
shade cloth and.;or window shade rollers, whether by a corporation,
its subsidiary and 'or affiliate, firm or individual.
3. Book Cloth Industry means and includes the manufacture
or manufacture and sale of book cloths and/or impregnated fabrics
for bookbinding purposes. by any corporation, its subsidiary and/or
affiliate, firm or individual.
4. Industries means and includes the industries defined in sec-
tions 1, 2 and 3 hereof.
5. Institute as applied to said respective Industries, means:
(a) Institute of Leather Cloth and Lacquered Fabrics Manufac-
(b) Window Shade Institute;
(c) Institute of Book Cloth and Impregnated Fabrics Manufac-
6. "Secretary" means Secretar man te secretary or active manager of the
7. President ", "Act"', and "Admninistrator as used herein mean
respectively the President of the United States, Title I of the
National Indlustrial Recovery Act, and the Administrator for In-
8. Memnber of the Industry "' includes, but without limitation,
any individual, partnership, association, corporation or other form
of enterprise engaged in the Industries either as an employer or on
his or its own behalf.
9. "Employee" as used herein includes any person engaged in
the Industries, however compensated, except a member of the
10. Subscriber to the Code means any member of the Indus-
tries who shall expressly, in writing or otherwise, assent to this
11. Southern Section as mentioned in Article IV includes the
following States: Alabama, Florida, Georgia, Kentucky, Mississippi,
North Carolina, South Carolina, Tennessee, Virginia, West Virginia.
ARTICLE III-HouRS OF LABOR
1. No employee shall be permitted to work more than forty (40)
hours per week with the following exceptions:
(a) -Employees engaged in the operation of machines when used
as part of a continuous process, the interruption of which would
jeopardize or spoil goods, shall be permitted to work not more than
forty-four (44) hours in any one week.
(b) To meet periods of unusual demand a tolerance of ninety-six
(96) hours per year in excess of the maximum hours specified herein
may be allowed, provided that no employee shall be permitted to
work in excess of forty-eight (48) hours in any one week. All hours
worked in excess of eight (8) hours per day or in excess of forty
(40) hours per week shall be reported monthly to the Code
2. The foregoing limitations shall not apply to the following
(a) Persons occupying executive and administrative positions, and
their personal secretaries, supervisors and chemists receiving thirty-
five dollars ($35.00) per week or more; laboratory assistants receiv-
ing twenty-five dollars ($25.00) per week or more; and outside
(b) Repairmen, firemen, engineers, electricians and shipping
crews shall not be permitted to work in excess of forty (40) hours
per week with a tolerance of ten (10) per cent, except when engaged
in emergency maintenance and/or emergency repair work; provided
that time and one-third (1,j) shall be paid for hours worked by
such employees in excess of forty-four (44) hours per week.
(c) Watchmen shall not be employed in excess of fifty-six (56)
hours in any one week, and not more than six (6) days in any F:even
(7) day period.
(d) Truckmen shall not be employed in excess of one hundred
and ninety-two (192) hours in any consecutive four (4) weeks' pe-
riod, nor in excess of one hundred and eight (108) hours in any two
week period, nor more than twelve (12) days in any fourteen (14)
ARTICLE IV-MINIMU~3 WAGES
1. Leather Cloth Indistry.-(a) Except as hereinafter provided
in subsection (b) of this section, and in section 4 of this Article IV,
no employee in the Leather Cloth Industry shall be paid less than
at the rate of forty (40) cents per hour.
(b) No accounting, clerical, office, service or sales employee in tn1e
Leather Cloth Industry shall be paid less than at the rate of fourteen
dollars ($14.00) per week.
2. Window Shade Cloth and Roller Industry.-Except as herein-
after provided in section 4 of this Article IV, no male employee in
the Window Shade Cloth and Roller Industry shall be paid less
than at the rate of thirty-five (35) cents per hour and no female
employee less than at the rate of thirty-two and one-half (32%)
cents per hour, except that in the Southern Section no male em-
ployee shall be paid less than at the rate of thirty-two and one-
half (321/) cents per hour, and no female employee shall be paid
less than at the rate of thirty (30) cents per hour.
3. Book Cloth Industry.-Except as hereinafter provided in sec-
tion 4 of'this Article IV, no employee in the Book Cloth Industry
shall be paid less than at the rate of thirty-five (35) cents per hour;
except that in the Southern Section no employee shall be paid less
than at the rate of thirty-two and one-half (321/2) cents per hour.
4. The Industries.-(a) The minimum wage rates specified in the
next preceding section 1, 2 and 3 shall not apply to the following:
Office boys and girls during a six (6) months' apprenticeship
who shall be paid not less than at the rate of eleven dollars and
twenty cents ($11.20) per week; provided that such office boys and
girls shall not exceed five (5) per cent of the total office employees
of any employer; but each employer may have at least one each
of such employees.
A person whose earning capacity is limited because of age, physical
or mental handicap, or other infirmity may be employed on light
work at a wage below the minimum established by this code, if the
employer obtains from the State Authority, designated by the United
States Department of Labor, a certificate authorizing such person's
employment at such wages and for such hours as shall be stated
in the certificate. Such authority shall be guided by the instruc-
tions of the United States Department of Labor in issuing certifi-
cates to such persons. Each employer shall file monthly with the
Code Authority a list of all such persons employed by him, showing
the wages paid to, and the maximum hours of work for such
(b) This Article establishes minimum rates of pay which shall
apply, irrespective of whether an employee is actually compensated
on a time rate, piece-work, or other basis.
(c) All rates of pay shall be equitably adjusted by any employer
who has not prior to the effective date hereof made such adjust-
ments, but in no case shall the hourly rate or piece rates be reduced.
All such adjustments shall be reported to the Code Authority and
the Administrator within thirty (30) days after the effective date of
(d) Female employees performing substantially the same work
as male employees shall receive the same rate of pay as male
ARTICLE V-GENERAL LABOR PROVISIONS
1. Minors.-No person under sixteen (16) years of age shall be
employed in the Industries. 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 occu-
pations. 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 certificates or permits showing that the
employee is of the required age.
2. Statutory Pro-vision.s.-(a) Employees shall have the right to
organize and bargain collectively through representatives of their
own choosing, and shall be free from the interference, restraint or
coercion of employers or their agents in the designation of such
representatives, or in self-organization, or in other concerted activi-
ties for the purpose of collective bargaining or other mutual aid or
(b) No employee, and no one seeking employment shall be re-
quired as a condition of employment, to join any company union, or
to refrain from joining, organizing or assisting a labor organization
of his own choosing.
(c) 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. Reclassification of Employees.-Employees may be assigned to
different kinds of work, but employers shall not reclassify employees
or duties of occupations performed by employees, or adopt through
contractual relations or otherwise any method or practice, which
would be in effect a subterfuge of or in conflict with the provisions
of this Code.
4. Application or State Laws.-Within each State members of the
Industries shall comply with any laws of such State imposing upon
employers more stringent requirements relating to hours of work or
wages than under this Code.
5. Employers-Different Industries.-If any employer in these
Industries is also an employer of labor in any other Industry not
covered by this Code, the provisions of this Code shall apply to and
affect only that part of his business which is included in these
6. Safety and Health.-Every employer shall make reasonable
provisions for the safety and health of his employees at the place
and during the hours of their employment.
7. Posting Provisions.-Each employer shall post in conspicuous
places accessible to employees provisions of this Code in accordance
with rules and regulations of the Administrator.
1. The expense of administering the Code shall be borne by the
members of the Industries. The Code Authority may from time to
time equitably pro-rate between the respective Industries such
expenses as may be reasonably and necessarily incurred by the Code
Authority in administering this Code, subject to the approval of the
Administrator, insofar as the same relate to matters affecting all
these Industries, and such expenses shall be payable as the Code
Authority shall specify.
2. Each Control Committee for the respective Industries may
cause to be made such assessments against the members of the par-
ticular Industry as the Control Committee for such Industry shall
deem reasonable and proper for the expenses of administering this
Code as applied to the particular Inrdustry, subject to the approval
of the Administrator, and such assessments shall be payable as the
Control Committee in each instance shall specify.
3. The expenses and assessments referred to shall be divided among
the members of each Industry according to the relation each mem-
ber's domestic dollar sales bear to the total domestic dollar sales of
all members in such Industry for the last preceding calendar year,
or such other method as may be equitable.
1. Administrative Agencies.-To further effectuate the policies of
the Act, Control Committees, representing each of said Industries,
and a Code Authority representing all of said Industries, are hereby
constituted to cooperate with each other and with the Administrator
in the administration of this Code.
2. Cond/trol C'omm ittees-Election, Number, Term.-(a) A Control
Committee for each of said Industries shall be elected by the mem-
bers thereof who are entitled to participate in the selection of each
of said Committees.
(b) The number of the members of each of said Control Com-
mittees shall be determined by the members of each Industry, and
they shall serve for one year after their election, and until their
successors have been similarly elected.
3. Code Authority-Election, Number, Trnrm.-The Code Au-
thority hall consist of three members from each of said Industries,
elected by the members thereof. The members of said Code Author-
ity shall serve for one year and until their successors shall have
been elected in the same manner, unless all of said Industries by a
majority vote of their members should provide for a different number
of members, but in any event each Industry shall be equally repre-
sented on the Code Authority.
4. Adminb;isr',fiio, Representatives.-The Administrator may ap-
point a member or members without vote and without expense to
the Industries on the Code Authority and on each of the Control
5. Controol Coimmn ittcs-Code Au thority-Chairman, Voting,
Quorum. ra.canc ies.-The Control Committees and the Code Au-
thority shall elect their own Chairman; a majority of the members
of each of said Committees and of the Code Authority shall consti-
tute a quorum for the transaction of business. Each member thereof
shall be entitled to one vote, and in the event of an equal division on
any question the Chairman in each instance shall cast the deciding
vote. Any vacancy occurring in any of said Committees or on the
Code Authority shall be filled for the unexpired portion of the par-
ticular term in the same manner as that provided for the original
election of the members to the respective Committees and to the Code
6. Control Committees-Code Authority-Duties, Powers.--(a)
Subject to regulations issued by the Administrator, the respective
Control Committees and the Code Authority shall supervise and
administer the provisions of this Code, and at their own instance or
upon the complaint of any person affected, may cause investigations
to be made concerning the observance of the same. If complaint be
made to any of such Control Committees or to the Code Authority,
as the case may be, that any provision of this Code has been violated
by any member of the Industries, the particular Control Committee
or the Code Authority having charge of the matter involved, may
require such member to furnish to the Secretary of the Institute
representing the Industry involved, data pertinent to such complaint,
or investigation, certified under oath, if requested by the interested
Control Committee or the Code Authority. The findings of such
investigation shall be reported by the Secretary of the particular
Control Committee and/or the Code Authority, which in turn shall
report its findings and recommendations to the Administrator.
(b) The duties and powers of the respective Control Committees
shall be limited to such provisions of the Code as are applicable only
to the particular Industry represented by the respective Control
Committees, provided, proposals pertinent to matters affecting more
than one of said Industries may be initiated by any of said Control
Committees and the same shall be submitted to the Code Authority.
(c) The duties and powers of the Code Authority shall be limited
to such provisions of the Code as are applicable to all of said
(d) In the event of a conflict or controversy pertinent. to this Code
between and among said Industries, the Code Authority shall act
as an arbitral agency to effect an equitable settlement of such matters.
7. Control Committees-Code Authority--Represen tativeness.-In
order that each Control Committee and the Code Authority shall at
all times be truly representative of the respective Industry and the
Industries and in other respects comply with the provisions of the
Act, no two (2) members of any Control Committee or the Code
Authority shall be affiliated with any single member of the Indus-
try, and the Administrator may prescribe for such hearings as he
may deem proper, and thereafter, if he should find that any of said
Control Committees or the Code Authority is not truly representa-
tive, or does not in other respects comply with the provisions of the
Act, the Administrator may require an appropriate modification of
the method of selection of the members of any of said Control
Committees or the Code Authority.
8. Participating Associations.-Each trade or industrial associa-
tion directly or indirectly participating in the selection or activities
of the Code Authority shall:
(a) Impose no inequitable restrictions on membership therein.
(b) Submit to the Administrator true copies of their Constitu-
.tions, By-Laws, Regulations and Amendments thereto, and such
other information pertaining to membership therein, organization
thereof, and activities, as the Administrator may deem necessary to
effectuate the provisions of this Code.
9. Industry Meetings.-(a) Meetings of all the members of each
of the Industries may be held from time to time for the purpose of
considering and acting upon any matters relating to the administra-
tion of this Code. Upon request to the Code Authority, signed hby
any three members of the Industry, for an Industry meeting, the
Code Authority shall forthwith call such meeting, by causing notice,
not less than five (5) days in advance of such meeting, to be given
to all other Industry members, specifying therein the purpose of the
meeting and the time and place for holding the same.
(b) Each member of the Industry shall be entitled to one vote,
either by company representative or duly authorized proxy. The
presence of a majority in numbers of members of the Industry shall
be necessary for the holding of an Industry meeting. Provided,
however, that a majority vote in numbers, and value of sales for the
last preceding calendar year of those members who are in attend-
ance or who are so represented at any such meeting, shall be neces-
sary for the determination of any question, but a lesser number may
adjourn the meeting from time to time.
10. Related Industries.-The Code Authority, and any of said
Control Committees, may recommend to the Administrator matters
regarding coordination of the administration of this Code with
the Code of any related Industry, with a view of providing joint
and harmonious action regarding matters of common interest and
in furtherance of the purpose of the Act.
11. Administration, Code Authority Action.-Any action taken by
any of such Control Committees or the Code Authority, or any agency
thereof, in administering this Code may be submitted to the Ad-
ministrator for approval and shall in any case be subject to dis-
approval by the Administrator. If the Administrator shall deter-
mine that any action of any of the Control Committees or the Code
Authority, or any agency thereof, may be unfair, 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 consideration by any of such Control
Committees or the Code Authority, or agency thereof, pending final
action, which shall not be effected unless the Administrator approves,
or unless he shall fail to disapprove, after thirty (30) days notice to
him of intention to proceed with such action in its original or modi-
1. (a) In order to inform the Administrator and the members of
these Industries, and for the purpose of determining whether the
provisions of this Code are being observed, the members of the
respective Industries shall furnish to the Secretaries of their respec-
tive Institutes, in such form and manner, and at such times, as may
be designated by their respective Control Committees, reports of
Wages, Hours of Labor. Conditions of Employment, Number of Em-
ployees, Volume of Production, Volume of Sales and/or Ship-
ments Billed, Stocks on Hand; and other matters pertaining to the
provisions of this Code, and as the Code Authority and the respec-
tive Control Committees may require for the administration thereof.
In addition to information required to be submitted to any Code
Authority, all or any of the persons subject to this Code shall fur-
nish such statistical information as the Administrator may deem
necessary for the purposes recited in Section 3 (a) of the Act to
such Federal and State agencies as the Administrator may desig-
nate; nor shall anything in any Code relieve any person of existing
obligations to furnish reports to Government agencies. No indi-
vidual reports shall be disclosed to any other member of the indus-
try or any other party except to such governmental agencies as
may be directed by the President.
(b) All reports required by this Code to be furnished shall be
certified under oath, if required by the Control Committee or the
Code Authority, and they shall be deemed confidential and shall
not be divulged to any member of the Industry or the Industries
except in summary; provided, that where summary information in
effect designates the identity of any individual member's reports,
it shall not be revealed to any member of the Industries, but shall
be made available to the Administrator upon his request, and may
be used if necessary in the administration of this Code.
2. (a) At such time as the members of the Leather Cloth and/or
Book Cloth Industries may determine, each member of said Leather
Cloth and Book Cloth Industries shall file with the Secretary of the
Institute representing his Industry the following:
(1) Each member of the Leather Cloth Industry shall file with
the Secretary of the Institute a complete list of said Industry's
standard products now on record or which may later be recorded
with.said Institute, including a complete description of such goods,
construction, color and finish thereof.
(2) Each member of the Leather Cloth Industry shall file with
the Secretary of the Institute, his price schedules, price lists, and
discount sheets, covering all said products of said Industry, includ-
ing. therein base prices, net prices, delivery points, terms, discounts,
allowances, and all conditions relating to or in any wise affecting
any sale of such goods, whereupon the Institute shall immediately
cause copies of the same to be sent to members of the Industry.
(3) Each Member of the Book Cloth Industry shall file with the
Secretary of the Institute, his price schedules, price lists, and dis-
count sheets, for all classes of customers covering all products of said
Industry, including therein base prices, net prices, delivery points,
terms, discounts, allowances, and all conditions relating to or in any
wise affecting any sale of such goods, whereupon the Institute shall
immediately cause copies of the same to be sent to members of the
Industry. These shall be available to all interested parties.
(b) Revised price schedules, price lists, discount sheets, and con-
ditions of sale may be so filed by the respective members of the
Leather Cloth and Book Cloth Industries from time to time there-
after, effective upon the dates specified therein, provided the same
shall be filed with the Secretaries of the respective Institutes not
less than three (3) days in advance of the effective dates thereof.
(c) If, in the event of any such revision by any member of either
of said Industries, another member of the same Industry should elect
to file a revision of his price schedules, price lists, discount sheets,
terms and conditions of sale to meet such revisions, such subsequently
filed revisions may be made effective upon the date when the revisions
first filed in the particular Industry shall go into effect. Copies of
any such revisions of price lists mentioned in this Sub-Section (c)
and the preceding Sub-Section (b), with notice of the effective dates
of the same, shall be similarly and promptly distributed.
(d) No member of the Leather Cloth or Book Cloth Industries
shall sell, directly or indirectly, by any means whatsoever, any prod-
ucts of said Industries at a price lower or at discounts greater or on
more favorable conditions of sale or terms of payment than those
provided in his current price schedules, price lists and/or discount
sheets, filed and distributed as herein provided.
(e) When the Control Committee for the Leather Cloth Industry
determines that an emergency exists in the Industry and that the
cause thereof is destructive price cutting such as to render ineffec-
tive or seriously to endanger the maintenance of the provisions of
this Code, the said Control Committee may cause to be determined
the reasonable cost of the products of the Industry, such determina-
tion to be subject to such notice and hearing as the Administrator
may require. The Administrator may approve, disapprove, or
modify this determination. Thereafter, during the period of the
emergency, it shall be an unfair trade practice for any member of
the Industry to sell or offer to sell any products of the Industry for
which the reasonable cost has been determined at prices and/or upon
such terms or conditions of sale, that the buyer will pay less therefore
than the reasonable cost of such products.
When it appears that conditions have changed, said Control Com-
mittee upon its own initiative or upon the request of any interested
party, shall cause the determination to be reviewed.
(f) Many members of these Industries sell their products to indus-
trial users, retailers, jobbers, wholesalers, distributors and converters.
Accordingly, members of these Industries may enter into agreements
relating to the resale of the products of these Industries at prices
and upon terms, discounts or conditions which are not less, nor more
favorable to the purchaser thereof than those contained in the sched-
ule or schedules of any member of these Industries, who may be a
party to any such agreement, in effect at the time of any such resale
(g) Any member of the Window Shade Cloth and Roller Indus-
try may, if he should elect, file with the Secretary of the Window
Shade Institute any or all of such statistical reports, data and other
information not herein expressly required by this Code to be fur-
nished by the members of the Window Shade Cloth and Roller
Industry, for similar distribution and observance of the same as set
forth in this Article VIII.
ARTICLE IX-UNFAIR TRADE PRACTICES
The following acts, which constitute unfair trade practices, are a
violation of this Code:
1. Interference with Existing Contracts.-Knowingly interfere
with an existing contract for the sale and purchase of products of
the Industry, induce, attempt to induce or assist a party to break
such a contract, after the contract therefore has been placed with
another selling member of the Industry, or offer lower prices or
better terms to induce or attempt to induce a revision of any such
2. Commercial Bribery.-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 principal of such agent or the represented party, without the
knowledge of such employer, principal or party. This provision
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 hereinabove defined.
3. Defamation of Competitors.-Willfully make, cause or permit
to be made or published, any false statements or misrepresentations
of or concerning the business, policies, methods or products of a
4. Piracy of Trade Marks.-Imitate trade marks, trade names,
slogans or other marks of identification of another member of the
5.. False Advertising.-Make, cause, or permit to be made or pub-
lished any false, untrue, or deceptive statement by way of advertis-
ing or otherwise, concerning any grade, quality, substance, character,
origin or preparation of any product of the Industry.
6. Misbranding.-Falsely mark or brand packages or products of
the Industry, for the purpose or with the effect of misleading or de-
ceiving purchasers or others with respect to quality, quantity, char-
acter, grade or substance thereof.
7. False Invoicing.-(a) Withhold from or insert in invoice facts
which would make the invoice a false record wholly or in part of the
transaction in question, or make any arrangement which would
contemplate payment or settlement contrary to the face of the
(This Rule No. 7 (a) shall apply to only the Leather Cloth and
Book Cloth Industries.)
(b) Withhold from or insert in invoice facts which would make
the invoice a false record wholly or in part of the transaction in
question, or make any arrangement which would contemplate pay-
ment or settlement contrary to the face of the invoice, except as
might be indicated on the invoice.
(Thlis Rule No. 7 (b) shall apply to only the Window Shade Cloth
and Roller Industry.)
8. Post-Date or Pre-Date Contract or Invoice.-Post-date or pre-
date contracts or invoices covering products of the Industry.
9. Secret Rebates.-Pay or allow secretly, rebates, refunds,
commissions or discounts, whether in the form of money or
10. Requirement Contracts.-Accept Requirement Contracts. All
contracts or order shall be for a definite yardage with not more
than a plus or minus tolerance of ten (10) per cent and for
deliveries within a definite period; and in the case of book cloth of a
specified grade and width.
(This Rule No. 10 shall apply to only the Leather Cloth and Book
11. Disposition of Non-Prime Materials.-Sell seconds, pound
goods, scrap, slow moving stock, etc., domestically, below seller's
minimum price for prime quality in excess of five (5) per cent by
volume of his sales in any three (3) months. If any manufacturer
has an accumulation of more than five (5) per cent of such goods,
such case shall be referred to the Control Committee for equitable
disposition, subject to review by the Administrator. All such non-
prime material to be plainly described on tags, in acknowledgments
of order, and in invoices therefore.
(This Rule No. 11 shall apply to only the Leather Cloth Industry.)
12. Guaranty Against Price Decline.-Guarantee against price
decline except as the same may be limited to the decline of the par-
ticular member of the Industry, and such guaranty shall apply only
to goods which are not delivered.
(This Rule No. 12 shall apply to only the Window Shade Cloth
and Roller Industry.)
13. Consignmrents.-Ship products of the Window Shade Cloth
and Roller Industry on consignment, except under circumstances to
be defined by the Code Authority where peculiar conditions of.the
Industry require this practice.
14. Advertising Allowances.-Do cooperative advertising with
customers or with distributors of customers' products or make any
advertising allowances, directly or indirectly, or offer free advertis-
ing to induce a sale as relating to products of the Leather Cloth and
Book Cloth Industries.
(This Rule No. 14 shall apply to the Leather Cloth Industry only
as and when Article VIII, Section 2 of this Code shall become
15. Used or Second Hand Material.-Sell or offer to sell any
finished window shades in which either cloth or rollers have been
previously used without specifically stating on the label of the article
and in the invoice for the same, that such parts were previously used
16. Custom Coating and/or Filling.-Coat and/or fill customer's
fabrics, or paper base products or do so-called custom coating and/or
custom filling to produce products of a type comparable with the
usual or standard products of the Industries, except with permission
of the Control Committee of the particular Industry, or take title
to any material with the intent of evading this provision. Should
this provision work an unjust hardship on any member of the
Industry or on any customer, such member or customer may appeal
to the Administrator who shall have power to grant such exemption
or stay as justice may require.
The Control Committee and/,or the Code Authority may inform
the President of the United States or the Administrator on behalf
of the respective Industries as to importations of competitive articles
into the United States selling on a price basis which under-sells sim-
ilar products of domestic manufacture, and the extent to which said
under-selling shall render ineffective or seriously interfere with the
maintenance of any of the provisions of this Code, and which may
be made the basis for complaint to the President or the Administrator
on behalf of the particular Industry, in accordance with Section
3 (e) of Title I of the Act.
Except as may be subsequently set forth in a specific or supplemen-
tary Export Code for the Industries, the provisions of this Code now
or hereafter adopted with regard to prices, discounts, deductions,
allowances, extras, commissions, or methods and..or terms of sale,
are not to apply to direct export sales or to sales in course of ex-
port, i.e., sales agreed to be destined for export.
ARTICLE XII-RECOMMENDATIONS, AMENDMENTS
1.-Such of the provisions of this Code as are not required to be
included therein by the Act may, with the approval of the President,
or Administrator, be modified or eliminated as changes in the cir-
cumstances or experience may indicate. It is contemplated that from
time to time supplementary provisions to this Code or additional
Codes will be submitted for the approval of the President to prevent
unfair competition in price and other unfair and destructive competi-
tive practices and to effectuate other purposes and policies of Title I
ofthe Act consistent with the provisions thereof.
2. The Control Committees and.'or the Code Authority may from
time to time make recommendations to the Administrator relating to
the provisions of this Code and affecting the Industries which will
tend to effectuate the operation of the provisions of this Code and
the policy of the Act, and such recommendations, when approved by
the 'Administrator after such hearings as he may determine, shall
have the same force and effect as any other provision of this Code.
No provision of this Code shall be so applied as to permit mo-
nopolies or monopolistic practices, or to eliminate, oppress, or dis-
criminate against small enterprises.
ARTICLE XIV-GENERAL PROVISIONS
1. This Code and the provisions thereof are expressly made sub-
ject'to the right of the President, in accordance with the provisions
of subsection (b) of Section 10 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.
2. By presenting this Code, members of these Industries do not
thereby consent to any modification thereof and they hereby reserve
the right to object individually or jointly, to any such modification.
3. By presenting this Code, those assenting hereto are not thereby
waiving any of their constitutional rights which may be infringed
by any of the provisions of the Act.
4. The provisions of this Code relating to the manufacture, or
manufacture and sale of products of these Industries shall govern
to the exclusion of the provisions of any other Code.
5. The effective date of this Code shall be 12:01 A. M. the second
Monday after approval.
Approved Code No. 416.
Registry No. 299-47.
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