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NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
AS APPROVED ON MARCH 16, 1935
WE DO OUR PART
GOVERNMENT PRINTING OFFICE
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Code No. 352-Amendment No. 1
Registry No. 234-1-01
This publication is for sale by the Superintendent of Documents, Government
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Approved Code No. 352-Amendment No. 1
AMENDMENT TO CODE OF FAIR COMPETITION
FLAG MANUFACTURING INDUSTRY
As Approved on March 16, 1935
APPROVING AMENDMENT OF CODE OF FAIR COMPETITION FOR THE FLAG
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 an amend-
ment to the Code of Fair Competition for the Flag Manufacturing
Industry, and opportunity to be heard having been duly afforded all
interested parties and the annexed report on said amendment, 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, the National Industrial Recovery Board, pursuant to author-
ity vested in it by Executive Orders of the President, including Exec-
utive Order No. 6859, dated September 27, 1934, and otherwise, does
hereby incorporate, by reference said annexed report and does find
that said amendment and the Code as constituted after being
amended comply in all respects with the pertinent provisions and
will promote the policy and purposes of said Title of said Act, and
does hereby order that said amendment be and it is hereby approved,
and that the previous approval of said Code is hereby modified to
include an approval of said Code as amended.
NATIONAL INDUSTRIAL RECOVERY BOARD,
By W. A. HARRIMAN, Admnihstrative Officer.
PRENTISS L. COONLEY,
WASHINGTON, D. C.,
March 16, 1935.
REPORT TO THE PRESIDENT
The White House.
SIR: This is a report on an amendment to the Code of Fair Com-
petition for the Flag Manufacturing Industry. The amendment
which is attached was presented by the Code Authority for the Flag
Notice of opportunity to be heard was given all interested parties,
and the one objection received was given careful consideration.
The Amendment provides that. Article VI, Section 8 (f) of the
Code shall be amended to provide for the mandatory payment of
Code Assessments. It further provides that Section 5 and Section
8 (k) shall be deleted from the Code.
The Deputy Administrator in his final report on said amendment
to said Code having found as set forth and on the basis of all pro-
ceedinas in this matter,
The National Industrial Recovery Board finds that
(a) The amendment to said Code and the Code as amended are
well designed to promote the policies and purposes of Title I of the
National Industrial Recovery Act including the removal of obstruc-
tions to the free flow of interstate and foreign commerce which tend
to diminish the amount thereof, and will provide for the general wel-
fare by promoting the organization of industry for the purpose of
cooperative action of labor and management under adequate govern-
mental sanction 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 unemploy-
ment, by improving standards of labor and otherwise rehabilitating
(b) The Code as amended complies in all respects with the per-
tinent 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.
(c) The Code empowers the Code Authority to present the afore-
said amendment on behalf of the Industry as a whole.
(d) The amendment and the Code as amended are not designed
to and will not permit monopolies or monopolistic practices.
(e) The amendment and the Code as amended are 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 the approval of
For the above reasons this amendment has been approved.
For the National Industrial Recovery Board:
W. A. HARRIMAN,
MARCH 16, 1935.
AMENDMENT TO CODE OF FAIR COMPETITION FOR THE
FLAG MANUFACTURING INDUSTRY
Section 5 and Section 8 (g) of Article VI shall be deleted from the
Code. Sections 6, 7 and 8 of Article VI shall be changed to Sections
5, 6 and 7 respectively. Sections 8 (h) and 8 (i) of Article VI shall
be changed to Sections 7 (g) and 7 (h) respectively. Section 8 (f)
of Article VI shall become Section 7 (f) and shall be amended to read
It being found necessary in order to support the administration of
this Code and to maintain the standards of fair competition estab-
lished hereunder and to effectuate the policy of the Act, the Code
Authority is authorized:
1. To incur such reasonable obligations as are necessary and
proper for the foregoing purposes, and to meet such obligations out
of funds which may be raised as hereinafter provided and which
shall be held in trust for the purposes of the Code.
2. To submit to the National Industrial Recovery Board for its
approval, subject to such notice and opportunity to be heard as it
may deem necessary (1) an itemized budget of its estimated expenses
for the foregoing purposes, and (2) an equitable basis upon which
the funds necessary to support such budget shall be contributed by
members of the Industry.
3. After such budget and basis of contribution have been approved
by the National Industrial Recovery Board, to determine and obtain
equitable contribution as above set forth by all members of the
Industry, and to that end if necessary, to institute legal proceedings
therefore in its own name.
4. Each member of the Industry shall pay his or its equitable con-
tribution to the expenses of the maintenance of the Code Authority,
determined as hereinabove provided, and subject to rules and regu-
lations pertaining thereto issued by the National Industrial Recovery
Board. Only members of the Industry complying with the Code
and contributing to the expenses of its administration as hereinabove
provided, (unless duly exempted from making such contributions)
shall be entitled to participate in the selection of members of the Code
Authority or to receive the benefits of any of its voluntary activities
or to make use of any emblem or insignia of the National Recovery
5. The Code Authority shall neither incur nor pay any obligations
substanitally in excess of the amount thereof as estimated in its ap-
proved budget, and shall in no event exceed the total amount con-
tained in the approved budget, except upon approval of the National
Industrial Recovery Board; and no subsequent budget shall contain
any deficiency item for expenditures in excess of prior budget esti-
mates except those which the National Industrial Recovery Board
shall have so approved.
Approved Code No. 352-Amendment No. 1.
Registry No. 234-1-01.
UNIVERSITY OF FLORIDA
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