NATIONAcL ]RECOVERY ADMINISTRATION
CODE OF FAIIR COMPIETITIONP~
For sale by the Superintendent of Documents. Washington, D. C. - Price 5 ents
Approved Code No. 105i-Supplement No. 10
Registry No. 1404--45
GOV'ERNMENT PRINTING OFFICE
(A Product Group of the Automotive Parts and ]Equipment
AS APPROVED) ON FEBRUARY 1, 1935
WE DO URPART
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 THIE DEPARTMENT OF COM[MEROB
Atlanta, Ga.: 504 Post Office Building.
Birminghamn, Ala. : 257 Federal Building.
Boston1, Mass. : 1801 Customhouse.
Buffalo, N. Y.: C~hamber of Commerce Building.
Charleston, S. C.: Chamuber 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 F'irst National Bank Building.
Houston, Tex.: Chamber of C~ommerce Building.
Indianalpolis, Ind.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
K~ansas City, Mo.: 1028 Baltimore Avenue.
Los Alngeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 408 Federal Building.
Memphis, Tenn. : 229 Ftedleral Building.
Mlinneap~olis, Minn.: 213 Fedleral Building.
New Orleans, La.: Room 225-A, Custombhouse.
Newv York, N. Y.: '734 Custombouse.
Norfolk, Va.: 406 East Plumze Street.
Philadelphia, Pa.: 42?2 Commercial Trust Building,
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Po~st Office Building.
St. Ltouis, Mo.: 506 Olive Street.
San F'rancisco, Calif.: 310 Customhouse.
Seattle, Wash.: 809 Federal O~ffice Building.
Approved Code No. 105--Supplement No. 10
SUPPLEM~tENTTARY CODE OF IFAIIR COMPETPITIO)N
RADIATOR~ MA~NUFAC@I~TURINGN IND~USTIRYc
As Approved on Februarry 1, 1935
ArrnPPoviNG SUr~PLEMENTARY CODE: OF FAIR COMPETITION FOR THEE
RADIATOR MANUFACTURING INDUSTRY
A PRODUCT GROUP OF THE AUTOMTIIVII'E PART'S AND EQUIPMENT
An application having been duly made pursuant to and in full
compliance with the provisions of Title I of the N;ational Industrial
]Recovery Act, approved June 16, 1933, for approval of a Supple-
rnlentary Code of F'air Competition for the Radiator Manufacturing
Industry, a Product Group of the Automotiv~e Parts and Equipmnent
Manufacturing Induxstry, and heazring~s having been duly held
thereon and the annexed report on said Supplemnentary Code, con-
takingnr findings with. respect thereto, having been mnade! and direcctedt
to the President:
NOWf;, THEREFORZE, on behalf of the ]Pre idenlt of the United
States, the Natiornal Industrial Recoveryl' 3 Boar~d, pursuant to author-
ity vested in it by Exe~cutive Orders of the President, including
Executive Order No. 6859, and otherwise, does hereby incorporate
by reference said anlnexedl report and does find that a;id Supple-
mlentar~y Code comirplie~s in all respects with the pertinent provisions
and will promote the policy and purposes of sa id Title of said Act;
and does hereby order that said Supplementuryl~l Code of Fair
Competition be and it is hereby approved.
NATIONAL, INTDUSTRIAL RE~CUYr\ERY BOAIRD1
By WV. A. HARRIMAN, Adna'rli~nishtive O~f)ce-r.
Ba.RToN W. Mean:R.\r
WASHINGTON, D. C.,
February 1, 1935.
112855" 1573-16 35 (1)
REPORT TO` THE-E PRESI[DENrT
The. WI'Chite HFouse.
Smn: This is a report on a Supp~eilemntary Code of Fair Competi-
tion for the Radiator Ma~nu~facturing Industry, a Product Group of
the Automiotive Parts and Equipm~lent Manu fr~lli~b- rin Industry. A
pl'roposed Code wasli submuittedl on Marllch 1, 10.34 by the Code Author-
ityi Commnittee of the! Automotive Parts and Equipment Mn nlufac-
turing Industry, on behalf of the Alutomotive Radiator Institute
which represents approximately 95' L of the total volume of sales
and 72(j1 of the number of mlemubers of the Industry.
Ai Public H~earing on thre proposedf Supplementaryar Code was con-
ducted in Waishington on June 26, 1934 in accordance with the provi-
sionls of the Na:tional Indlustrial Re~covery ABct. It wals later revised
and approv~edi in its present formn. Th2is ~Supplem~entary Clode is de-
sigrnedl primarily to put into legal effect certain F'air Trade Practice
Rules which longr halve been rcognclrizedl in the Industry, but which
have been without; bindingi legal erff'ect. The labor provisions of this
S.~uppllem~entary Code are those of the Bansic A~utomotive Parts and
Equ~ ipmlent M a ndu fclturI i ng Industry Code. T~he purpose of the Sup-
plemlentary Code is stated in Article I and Article II is devoted to
An Adin~lllistrative Clommittee2 to administer the Supplementary
Code is set up in Ar~ticle IIII. This Committee is comuposedi of the
1Executive Comnmittee of the Alutomnotive Radiator Institute, but one
aIddit-ional mlemlber may in the discretion of the National Indusltr'ial
Recovery Board be addedl to represent the non-memibers of the
Institute who comply with the Code.
Fliair Trade Practice Rules arel set forth~ in Article IV.
T~he! Deputy Admlinist ra~tcor in his final report to the National In-
dustrial Recovery Board on said Suppkt~inentary' Code having found
ars herein set forth and on the bair:-. of all the prc.c~teedings.- in this
The Nationatl Industrial Pe~coveryg Board finds that:
(a) Said Supplemecntary~ Code is wrell de--.igned~ to promote thle
policies and purposes of Title I. of the National Industrial Reccovery~
Act including r~emovazl of obstructions to the free flowv of interstate
alnd~ foreign commrerce whlich te~nd to diminish the amount thereof,
and will provide for the general wFelfare by promoting! the organiza-
tion of industry for the purpose of coop~erative action among the
trade groups, by indlucingr and maintaining united action of labor
and Tr!llS.rounaemet, undeIr adeqluate giovernmental sanction and sulPer1-
vision, by: el i mIIina~t i n unfair competitive practice-~, by promoting the
fullesrt possible utilization of the p,~creset producctive cnpo~city of in-
dustries, by avo~idling unds~r res~tr~~~ictio of productionr, (except as may
be temlporarily requlirel), by increasningS the consumption of indus-
trial and ~agricultural productsj through inllc~~reai purchasing power,
by redlucing and relieving unemployment, by improving standards
of labor, a nd byI other wise rehabilitating industry.
(b) Said Product Group normally employs not more than 50,000
employees; and is not clacsifie~d by the National Industrial Re~ccoverylS
Board as~ a major Industry.
(c) Th~e Suppl~lernentury Code, as approved, compnlies in all re-
spects with the pertinent provisions of said Title of said Act, includ-
ingkr without limitation Subsection (a) of Section. 3, Subsection (a)
of Section 7 and Subsection (b) of Section 10 thereocc-f; and that the
applicant association is an industrial associatioon truly representative
of the aforesaid Industry; and that said industrial assc~ciationl im-
poses no inequitable restrictions on admission to membership therein.
(d) The Supplemzentaryr Code is not designed. to and will not per-
mit monopolies or monopolistic practices.
(e) The tSupplementaryT Code is not designed to and will not
eliminate or oppress small enlte'pr~ises and will not operate to dis-
criminate against them.
(f) Those engaged in other steps of the economic process have not
been deprived of the right to be heard prior to approval of said
For these reasons, therefore, the National Industrial Recovery
Board has approved this Supplementary Code.
For th~e Naltional Industrial Recovery Board:
W. A. HARRIMlAN,
EBEIRUARY 1, 1935.
SUPPLEMENTARY CODE OF` FAIR COMPETITION F'OR
TH E RADI>IATOR MAINUF'A CURING INDUSTRY
A PRODUCT GROUP OF THE AUTOMOICTIll PARTS AND EQUIPMENT MANUIFAC-
AnnCIIex I -PURPOSE
Pursuant to the provisions of Article II of the Code of Fair Com-
petition for the Autom~otive Parts alnd Eiquipmnent Mllanufacturing
Indutrytl3 duly approved by the President on. Novemllberl 8, 1933, the
following provisions covering fair trade practices and the admlinis-
tration thereof are hereby established. as the standards of Fair Com-
petition for the Radiator Malnulfaltturing~ Industry, which has been
organized into an administrative unit as a Product Group of the
Automotive ]Prtl's and Equi~puwatr l Maznufacturingr Industry, and
shasll be: blinding uponl e~verly membelr~ir- of said Product Group.
-ARTICLE, II-DI: 2xt Tr I.ows
Thne termn Product Group as used herein is definedc to mean the
production and/or manufacture for sale of internal combustion engine
cooling radiators or parts thereof for original equipment or replace-
ment, excepting~, however, thle production. and/or manufacture of such
articles wihen produced or mnanu~facturedt by at manufacturer for use
exclusively in hlis own finished product, and provided always that
this definition shall not include aniy products her~cinnhlove e described
or parts thereof or therefore not d~esignedl for and used mazinly as
aultomoic.tive original eq~uipment,'l replacement parts and/or accessories
and wvhic~h ar~e included w~ithrin thle scope of the dlefinition of any other
industry as defined in any approved Codle of Fiair Comlpetition.
The termn "' Memb'er or Memllber of the Product Group ", as used
herein inccludes, bu~t without limnitation, any indivridlla, partnership,
association, colnrporation~ ,or other form11 of entel'~l;rprs en~gagred in the
production andl/or mannufacture and/or the sale as a manufacturer of
the products of the Product GQroupl (hereI in a; fi ~r termed1c Ptrloducts "),
either as an emnployrer or on his or its owvn behalf.
The termn Class 'A' Memberl~cs as used herein is defined to mean
members of the Product Grouplll whose products are sold to mianu-
fazctlurers of motor vehicles, internal combustion engines or other
products for original equipment and for service repl~lrcenwnt thereon.
The term "L Class B M!embers as used herein is defined to mean
members of the Pr~ouclt Group w;hose~ products ar~e sold to customers
other thacn buyers of or~jigind equipmentt, for r~eplacemlent of radiat-
torss or parts ther~eof for motor vehicles, internal combilustion engines
or other products.
The term "" Institute. as uIsed hercinl is de~fined; to rmeaun the Ar-uto-
maotive Randintor Inctitlter, a trade association. at presencrt having its
headqluar~te rs' office in De~troit, Mlichligln.
The term L" Basic Code "' as usedl herecin is defined to meaLn the Codle
of Fair Compettition for th~e Automoc. tivre Parts and Equipmnent. Mian-
Ilfacturing Industry, as approved boy thne Presidentlt on. November 8,
1933, and as amnendledl.
Thle term1~ Code Aulthority) as us.ed7 herein is definedl to mean the
Code Authority desigrnated- in the Code of Fatir Compecttiton for the
Aultomotive Parts and Eqluipmlent Mianufactur~ing InldustryI.
ARTICLE IIAI-AMIN ISITR:ATION
(1) (a) The Executive Comm~ittee of the Institute is hereby desig-
nated the Administrative Comm~-ittee to assist the Code Authority
and the National IndustI~rl Rcrovery~ Board in the administration
of the fair trade practice provisions hereinafter set forth and the
provisions of the Basic Code, to which these fair trade practices are
a supplement. One additional member mnay, in the discretion of the
National Indlustrial RCecovery Board, be added to represent the non-
members of the Institute who comply with this Supplemnentary Code,
such additional member to be selected by such non-Imembers of the
Institute by a fair melthlod approv\edl by the National Industrial
(b) I~n addition to the membership as above provided, there may
be one additional member, without vote, to be appointed by the Na-
tional Industr~ial Recovery Board, to serve without expeinse~ to the
Product Group for such term as thle National Industrial Recovery
Board m~ay specify.
(2) (a) It being found necessary, in order to support the adtmin-
istration of this Supplemelt~ntllary Code and to maintain the standards
of fair competition established hereunder and to effe~ctuate the policy
of thne Act, the Admninistrative Committee is authorized:
(1) TLo incur such re~aconable orbligations as are neltcersnary
and proper for thne 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 this Supplem-nentar~y Code;
(2) To submit to the National lIndustrial ReC\cvery Bourt~ for
its approval, subject to such notice and opportunity to
be hleard as it may deeml necessary, (a) an itemilzedl
budget o-f its estimated exspenses for the foreg~roincy pur-
poses, and (b) an equitable basis ulpon which thre funds
necessary to support such budget shall be contributedc
by members of the Producet Group;
(3) After such budget and basis of co-ntribution. have been
approved by the Nrational Industrial R~covery Board,
to determine and obtain equitable contributions as above
set forth by all members of the Product Group, anld to
that end, if necessary, to ;ins;titute legal pr~ceepdings
ther~efor in its own name.
(b) Each member of the Product Group shall pay his or its equi-
table contribution to the expenses ofi the maintenance of thre Admin-
istrative Comnmittee, determlinedl as hereinabove provided, and subject
to rules anld regulal~tioJns pertaining thereto issued by thle National
Indtustrial R~croveryN Boar'd. Only members of the Product Group
complylingS wiith this Suplemynentaryy Code and contributing to the
expenses o~f its administration as hereinabove providled, (unrless~ duly
exemptedl fromi maingl~ri such contribution), shall be enltitled' to par-
t~icipate in thle selection of members of the Administrative Com-
Iniiftte? or to receive the hewits1~~- of anly of its voluntary activities~ or
to makle use of any emlblem or insignia. of the National Recovery
(c) The Admninistr~ative Committee. shall neither incur nor pay
atny obligation substantially in excess of the amount thereof as esti-
ma~ted in its: apron~vedr buldg~et, and shall in no event exceed the total
amount contailwd~ in the approved budget. except upon appTrovral
of thre N~ational Industrial Recovery Bo0ard; and no sulbselllont budget
shall contain any deficiency itemn for expcndlitures in. excess of prior
buldgret f.-flinat('- except those which thle National nlndustr~ial Recovery
Board shall have so approved.
(3) (a) The Administrative Committee shall, subject to the ap-
proval" of the Code Auth~orit~y and the National Indu-itriajl Recovery
Board, have the power~ to adopt by-laws and rules and regulations
for its proe~dure and to obtain from members, lirectl~y or through an
imp'artial agency, such information and reports as are required for
thle administration. and enforcement of this Supplementary Code;
to coope!~ratel with the National Indust~iall Recovery Boa~ord under such
runles andc regulations as may be pr~escribedl b3y it in Iregulating the
use bf anly N. R. A. insigrnia, and in hear~ingr and adljustingr com-
p'laints; to initiate, consider, and re~lcollll-nuno to t'he Code Authority
for trannsmnittal to the Na:tional Industrial Recovery Board further
fair tradle practice provis-ions to govern thle miemibrs of this Product
(b,) If th~e National Idu7,str~ial nRcoveryi Boardt shall decterm~ine
thant any action of a Codte Aurthor~ity andi/or the Adml~inistr~ative
Committee or any a :nlcy thereof may i~ tlwnfair or unjust or contrary
to the public interett the PNational Industrial Recovery Board. may
require that suc
SuICh C'ode Authority and/or the Admninistrativee Committee or agency
p~ending~ final Ic~tion which shall nott be effective unless the National
Industrial Recovery Board a~pproves or unless it, shall fail to dis-
appr'ove after thirty days' notice to it of intention to proceed with
such action in its original or modified forml.
(c) Etachi tradte or industrial association directly or indirectly
participanting in the selection of activrities of the Admninistrativee Com-
mnittee shall (1) impose no ineq-uitab-le restrictions on membership,
andl~ (2) SIubmitL to the Niactional Induustrial neeoveryI\c Board true copies
of its articles of association, by-laws, ~regulations,, andl any amend-
mlents wh~len mladce thereto, together writh such1 other information as to
membership, organization, and activities as the National Industrial
Recovery B~oard mny deeml necessary to effectuate the purposes of
(d) In border that the Admninistrative Coml-mittee shall at all times
be truly representative of thle Product G~roup and inl other respects
complyl wIith th pr~ovisions of the Act, the Nati(,nn1i I~ndoN-tial Re-
covery3 Bone~d may prescribe such IIav !ing.~ alS it Ituiy deem1T proper;C?; ald
thereafter if it shall ~findl that thle Administrativer Conunittee~ is not
trulyr represen~eltative or does not in other retspects complllly: with the pro-
visionls of the Act, mzay reqtuiret an appropriate mlod~ification in thec
meithiod of select ion of thie Ad mii nIist eit ive Comm~ittee.
(4) All membell~r;1s of this Product Group shall be boundI1( by the
provisions of the Basic Code. For this purpose all prov,\isio~ns of the
Basxic Code are hereby dcla~~lr~ed to be a part of this SulpplementaryJ~'
Code. In Ca:set of any conflict bet ween the provisions of this SupIple-
mentanry Code and the provisions~ of the Basic Code, the provisions
of the Ilatter shall govern. As required b~y Section 7 (a) of TIitle I
of the National ICndustrial Rc.l,.ecvery Act, it is herebyS pro~vided:(1
Thalt employees shall have thie right to organize and bargain. collec-
ti~vely through rep resien t at i es of their~z~ ow cosigad shall be
free froml the inter~fer~enlce, restraint, or coercion ofeporso
labor, or their agents, in the designation of such. represetntatives orn
in self-orga:nization or in other~i conlcerlte d activities for the purpose of
coletie aruiin or other mutual aid or protection; (2) that no
employee and no one seeking employment 1hall be rcquired as a con-
dition of employment to join anyy comlpanry union or to refrain frontl
oring n,lr organ1izing, or ass~i~stingc t aaor organization of his own chzoos-
:ngr; andc (3) that employers shall comply with the roanximlum hours
of labor, minimuum rates of pay and other conditions of unemployment,
approved or prescribed by the Pres-ide~nt.
(5) The Admliinist~t entiv Committee shall cause to be formulated
methods of cost finding and accounting c:a pubrle of use by all mem-
bers of the Product Giroup, and shall submit such mcth~odls to the
National Industrial RecoVery3 Board for review. If approved by the
National Indusltr~ial Recovery Board, full information concerning
such methods shall be made availab~le to all Imembers of the 1Produnct
Grop.Thereafter, each member of the Productlu Group shall utilize
such meIllthodsll to the extent foulnd practicable. Nothing herein con-
tained shall be construed to permilt, the Ahlliniistentivee Committee,
any agernt thereof, or any member of the Product Group to CsuperLsr-t
uniform addr-itionsl, perlc:cellntages or differentials or other uniform
itemsn of cost which are! dtesigned~~ to bring about arbitrary ulnifo-rmity
of costs or ~r~ices.i
(6i) The Admlini.stlrative Cmmittee shall be empowered to obtaRin.
from members of thze indus~ltryS such inlforlmation and reports as are
requirIed~ for the adlmini.-tration of this Supplllemntaryn Code. In.
addition to information required to be submi!lltted7 to t~he Code Au~-
thor~ity, members of the indtrll~ly subject to this Supple~mentary Cod~e
shall~fur~nish such statistical information as the ~National Indusctrial
Recov-ery Board may delem neccssry for ther purposes' c recited in.
Section 3 (a) of ther Act to such F~ederal andi State agecncies as it
may.3 designate; provided that nothing in th~is Supplementary~g Code
shall relieve. any member of the indiu .try of any existingr oblintiolns
to fulrnish reports to any~ Government agency. No individual report
shall be disclosed to any other membersl of the indust~ry or any other
p~arty' except to such other Gxovernmental agenexes as mlay be di-
rectedl by the National Indurstr~inI Recovetry Boardi.
ARTICLE 17--TRA~cDE PRACTICES
In addition to the provisions of Title: C of Article V7I of the
Bt3asic Code, the followcingr described. ne~tsshall consltitulte unfair
practices and acts of unlfair competition:
(1) C'osts and Pr~ice Culltting.--(a)) Wilfully destructive price cut-
ting is an unfair method of competition aind is forbidden~i. Any
member of the Product Group or of any other industry or the cus~tom-
ers of ether mayI~t,,t::'''~ at any time comnplalin to the Administrative Com-
tition as destructive price cutting, imnperilingf small enterprises or
tending toward monopoly or thle imlpairmlent of code wages and work-
ing conditions. The Ahdmlinistrative. Committee shall within 5 days
afford an opportunity to the mlemnber filing and/or offering the price
to answer such compllaint and shall within 14 days make a ruling
or adjustment thereon. If such ruling is not concurred in by either
party to the complaint, all papers shall be referred to the Research
and Planning Division of the National Recovery Administration
whlich shall render a report and recommendation thereon to the
National Inlu~striall Recovery Board.
(b) Wh~len1 no declared emergencyc~ ll' 3 exists as to any given product,
there is to be no fixed miinimnum ba~sis for prices. It is intended
that sound cost estimiatingr methods should be used and that consider-
ation should be given to costs in the determination of pricing policies.
(c) When an cIme~.rg ency exist-s as to anly given product sale
below the stated miinimmum price of such product, in violation of the
provisions of paragraphs (d) and (e) hereof, is forbidden.
(d) If thle Natzional Industrial Rel-covery'3 Booard, after investiga-
tion shall at any time find both (1) thaft an emergency has arisen
within the Product Group"l ad1versely affecting small enterprises or
waoges or labor conditions, or tending toward monopoly or other
alcute conditions which tend to defeat the purposes of the Act; and
(2) that the determination of the stated minimum price for a speci-
fled product of the Product Group for a limiitedl period is nll-eessar'y
to mitigate the conditions constituting such emergency and to effee-
tuate the purposes of the A~ct, the Administrative Commlnittee may
cause an impnartal agency to inves~tigate costs and to recommend to
the National Industrial R~ecovery B1oard aL determination of the
stated mlinimnum price of the product affected by the emergency
and thereupon the National Industrial Recovery B~oard may proceed
to determine such stated minimum price.
(e) Wlhen tlhe National Industrial Recov-ery Boardl shall have de-
termlined such stated minimum price for a specified product for a
stated period, which price shall be reasonably calculated to mlitigate
the conditions of such emergency and to effectuate the purposes of
the National Indusltr~ial Recovery Act, it shall pu~blish. such price.
Thereafter, during such. stated period, no member of the Product
Group shall sell such specified products at a net realized price
below said stated minimum p-rice and any such sale shall be dleemled
destructive price cultting~. From time to time, the Administrative
Committee may recommend review or recons~~l~ideration. or the National
Industrial Recovery Board may cause alny deltetlrminations hereunder
to be reviewed or reconsidered and approprl"ia'te action taken.
(2) C~omnuii l~rcia Br-ibery.--To gi\e. permit to bte giiven, or directly
offer to give, anything of value for the purpose of inlflucncing or
rewiard~ing the action of any employee, agent, or reresecnntatie of
another inr relation to the business of the emplol~yer of such empnlloyee,
the pr'inc~ipal of sulch agent or thle :IE~,'ICrepreent partyT, writholt the
ktnow]edge of such. employer, principal or party. Commercial brib-
ery3 provisions~ shall not be constr~uedt to prohibit free and general dis-
tribution of articles commonly used for advrer~tisingr exrcept so far
as such articles are actually used for commercial bribery as h~erein
(3) Inaccuraten Labeling.--To list, brand, mark, or pack any prod-
ucts of the ]Product Group in any mannecr which is intlendled to or
does deceive or mni lead pur~~l nchase in some ma~ter~ial particular or
the failure to brand such products for thle purpose or with the ef ect;
of misleading or dec~eiving purrchasers in some material particular
wgith respect to such products (including;, but without limitation,
their br~andl, grade, quarllity, quantity, origin, size, substance, charac-
ter nature, finish, material content, or preparation).
/4) Imi;tationr of Trade-MVarks.--To imitate or copy a complletitor's
trade-mlark, mark~ilng or trade name with the purpose or effect of
miledigor deceivingr any: purchaser or pro~pcrtive purchaser~l.
(5) Iniacrcurate Adiafrtising.--To publish advertising~r (whether'
printed, radio, display, or of any other nature), which is misleading
or inaccur~ate in, any material particular, or in an~y material way
to misrepresent any product (including, but without limitation, its
use, tl~rae-mark, grade, quality, quantity, origin, size, substance,
character, nature, finish, material c~ontenlt, or preparation) or credit
terms, values, policies, services, or the nature or form of the business
(6) Ewport Business.-The provisions of this Supplelmentar1y Code
wlith regard to prices, discounts, deductions, allowances, extras, com~-
mnissions, and/or terms of sales, are not to apply to direct export
sales or to sales in course of export (i. e., sales destined ultimately
for exportt. Exporlt Trade shall be as dcfinedr' in. 7c~cordal~n c
with the Exrport Trade Act adopted April 10, 1918.
(7) Coniforming to Samples.--To ship or deliver products that do
not conforml to thie sample subm~itte~d or representations made with:
resHpect thereto prior to secr~rlingr the order, without the consent of
the purchas~er to such substitutions.
SECTION A (FOR CLASS "Ae" MEMBERS ONLY)
(1Paragraphs 8 to 15 inclusive)
(8) Tool and Die l~osts.--To sell the products of Class "AL1" mem-
bers without requiring the custom~er to pay the cost of any tools,
patternls, dies, jigs and/or fixtures which it may be necessary to build
for' the~ purposn! e of producrinr the part~ic~urla radiator sold to said
customer. Said tools shall be paid for under one of thre following
(a) In cash, upon thie placing of thce border, or upon completion
of the tools.
(b) In partial payments distributed over a period of not more.
than ~six months.
(c) By an amount addedl to thle coist of each radiator, which
shall equal the total cost of said tools dlividled byi the total number
of radiators of apR)l'vilnatelyV likre kinid used by thee purchaser over
the period of twTelve months inunledliately preceding the placing of
the order. In such event said. iteml s~hall be included in the selling
price or billed separately and anly balance remain~~llingb unpaid at thre
completion of the order, or of the model as a current production
type, shall be immediately due and payable in cash.
(d) B~y prorating the p~urchalse price of -.sil tools over the actual
quantity usedl in the purchas~ing specifications, any unpaid balance
to become dlue and payable as provided in Subdivision (c) of this
As used. herein~r, thle term Cost shall mean the cost of said tools,
patterns, dies, jigs, and/or said fixtures as determined by the mieth-
ods formulated in accordance with the provisions of Article III,
para~graph 5 of this Supplemientary Code.
(0) Term,-s.-T'Zo extend credit terms more favorable than net 30)th
(10) Defe~ctive: Ma~cter'ia7l.-F~or Class "A": members to allowv credit
for defective material outside thle scop~e o-f thle uniformn guaranty
which is as follows:
Products are not guaranteed beyond six months from date of
shipment froml such member's plant and. then only against defective
mateialor orkian-ip.Pr`oducts w-hich are alleged to be defec-
tive must be rectulrned for inspection, transportation charges pre-
paid. If upon inspection such products are found. to be defective
in miaterial or w~iorkmanship, they may be repaired or replaced by
products of equiva2lent weight and capacity andl thle prepaid trans-
po0rtation charges refurndedl. This guaranty shall not cover charges
for conseqiuentiall labor or damage."
(11) Inzterferenlce wlith Anzother'?s Con~tracts.-T'o attempt to in-
d~uce the breach of an exiisting contract beh-i\-venl a competitor and his
customer or source of supply; or to interfer with or obstruct the
p'erformlance~ of such contractual duties or services.
(12Z) Offe~inzg Produ~ct of Lesser Caparcity.--To offer for sale at
pr~lrout, of lesser coonling capacity thann that prescribed in buyer's
specifications without stating in wFiritingr the fact that such product
so offered is of lesser cooling capacity.
(13)R~opos~si~ilty or oolinlg Capacity.--To assume resp~lon-
sibility for suitable coo in capacity as p'rescr~ibedl in. buyer's specifi-
cat~fions beyond that involved in the furnishing to and acceptance
by buye'r of samples or initial shipment of products.
SECTIION BZ (FOR CLASSS' MEMBERnS ONLY)
(Paragraph'h s 14 to 25, inclusive)
(14) Price guar~anty.--To gauarantee Prodluct Gro~up products
against advance or decline mn price.
(15j) Cusctomer~s' False Aldvertisiing.-~ To sell to outlets who persist
in publishing advecrtisingr, whether printed, radio, display or of
any~r other nature, which is nalillk-ad.ingb or` inaccurate in any matteriazl
particular, or who in any way misrepre-enrlt any goods (including, but
without limitation, its use, trade-markr, grade, quality, quantity,
or'igin. .siZC, Sullatanlce, characlt;r, nature, finishl, matseriall contiert, or
preparation), or valuesr~. pohlces, or services.
(16j) Co,,ryignml, i;tc, Flou!!ng Credit or L Jyelr Balan1ces.--To p~laee
Group Products w\ith~ any trade outlet on a c:-: !igninelnt bnsis or on a
floatingr credlit andrc/or leteercl balance baics~~.
All cons-ignmentst~ floating credit, and/or 1~l'!.' r balances existing
on the date of the approval of this Sulpplement~ary Cod~e shall be
terminatedl within ninety (90) days byr either of the following
(a) Bt3y r~etur~n of such merchandise to the owner.
(b) 1By cus~toner tc~cep~ting billing for such conli-igllrlanets, floatingf
credits, and/or ledger ba;lances for payment in full within sixr months.
(17) TWareh~ousi~ng.-T'o warehouse Group Products w-ith an~y c~lassj
(1~8) Defective Materalr. -For Class B members to allow cred:~lit,
for defective material oultside the scope of the uniform. gua~lranty
which is as follows:
"L Produc-ts are not guaranteed beyond ninety days fromt date of
ins~tallation, and in no event for more than. one year from date of
shipm'ient from member's plant and then onlyT against defecti-ve mate-
rial or workmanship. 1Products which are alleged to be defective
must be returned for inspection, tranlspor-Itation charges prepaid, to
such point as the member or his age rtnstr may dignallte. If upon inspec-
tion, such prod'cucts are found to be defective in material or workmnan-
ship, they may be repaired or replaced by products of similar type
and capalcityr and the pr~lepaid transportation. charges refundecd."
(19) Rt turnledl Goods.-(a) To accept the return of Group Products
except for merIchandi-ei ~ credit. This clause shall not apply to the
return of defective material in the case of the closing out of ain
(b) T~o allow the return of G~roup Products withoullt a handling
charge to the customer which adequately reflects the cost of reharn-
dling, r~etesting~, reinspecting, and repanckingl-the customer playing
all return shipping and insurance expensescl--e xcptI when. the curs-
talmer returns legitimately defective material, as within th~e scope of
the uniform gruaranty set forth in At~rticle IV, paragraph 18 of this
Sulpp1~lementaryT Code; or the customer recturlnsi Group Pr~oduc~ts
shipped by a member through errrc,l or certain spcr.ified~- items that
a mlember may ask all his custo~mers to returnI.
(20) Open Price Filing.--(a) Each Cla B member of thes
Product G~rouy shall file with a confidential and disintel-rslltlod nee
of the Adl:mimlstrative Committeec or, if none, then with such an
agent desigrnated by the National Indcustr~ial Recovery Board, ideln-
tifiedl lists of all ofhis pIr~icets, dtiscountsl~, rebtes;lC~, alllowa'es, and
all other Iterms or cocnditions of sale, includling premiums, hereinafter
in this SCection (29) referred to as price terms ", which. lists .-hllnl
completely and accurately conformn to and Itlrepresent the individual
pricingr practices of said memlberl. Such lists shall contain the price
terms for all s~uch stanldard prodlucts of the Product Group a-, are
sold or offered for sale by said member and for such nlon-stallnld a
p~rod7uc~ts of said member as shall be designated by thne ALdministrative
Committee. Said price terms shall in the first instance be filed wFPithin
15 days after the date of alpproval of this provision. ]Pric~e terms and
revrised price termsll shalll bcecomet effctive ilnunediately upon receipt
thereof by said agen~it. Immediately upon receipt thereof, said agent
shall by telegraph or other eqluallyr prompt means notify said mem-
ber of the time of such receipt. Such lists and revisions, together
w-ith1 the effective timec thereof, shall upon receipt be immediately
atnd simultaneously dtistributed~ to all Class B mremnbers of the
Product Group, and to all of their customers who have applied there-
for and have olferedl to dlefrazy the cost actually incurred by the
Admninistrative Comnimittee in the preparations and distribution
thereof andi be ava~ilable for inspection by any of their customers
at the office of such agent. Said lists or revisions or any part thereof
shall not be made available to anly person until released to all
Class B" members of the Product Group andi their customers, as
aforesaid; p~rovided, that prices filed in the first instance shall not be
relealsed until the expiration of the aforesaid 15 day period after the
ap"proval of this Supplementarly Code. The Administrative Com-
mittee shall mnaintaini a p~ermianent file of all price terms filed as
herein provided, and shall not destroy any part of such records exr-
cept upon wTritten con-ent~lt of the National Industrial Recovery Board.
Upon request the Aidministrative Committee shall furnish to the
National Industrial Recoveryv Board or any duly designated ngecnt
of the National Indu-triail Revolac\cry Board' copies of any such lists
or revisions of price terms.
(b) WVhen any mrember of the Product Group, has filed any revi-
ion, such members shall not file a hiigher price within forty-cighl t
(c) N~o member of the Product Group shall sell or offer to sell
any products of the Product Group for which- price terms have been
filed pursuant to the provisions of this Section (22), except in ac-
cordance w~Fith Ssuch price sterns; and provided further- that" in case
a member desires to meet lower competitive price term11s whlich have
been filed in accordance with thie provisions of paragrarph~ (a) hereof,
said melmber shall immediately file r~ne price ter1ms with the Adm~inis-
trative Comminitt~e and these new~ price terms shanll become effective
on1 lthe samell date as~- t" -- ----he competitive price terms first filed.
(d) No member of the Product Group shall enter into anly agrree-
ment, understanding,, combination or conspiracy to fix or maintain
price terms nor cause or attempt to cause anly member of the Product
Group to changl~e his price terms by the use of intimidation, coercion,
or any other influence inconsistent w\ithi the mainltc lnance of the free
aInd open mnarkect which it is the pur11pose of this Section (22) to
(21) Cl7assificatfion of customrc~ls.- Thh e Code iAuthoritly shall cause
to be formulaeted and keep current a classification of all types of
customers of the Indlustry. Such classification shllR1 be subject to
thle disapproval of thie National Industrial Recovery Boanrd and shall
contain: (a) iA complete list of all of the classes of customerln~s of
the Industry, including a class to cover every know-n t~ype of cus-
tomer; and (b) definitions or descriptions of the several classes in
terms of functions performed-il. or in other appropriate terms such
as purchasers of defined quantities.
After submiission to thle National Industriall Recovery Board, if
there is no disapproval or request for suspension of action w~ithin.
twentyi'~ (n0) days, full information conccerningl the c~l:: iflcie.nin
shal b ade available to all miemibers of the Induistry. No one
shall by initimuidation, coercion, or other undue influe~ne enuse or
attempt to cause the ifeluzionl of any customer in or the exclusion of
any customer from any class of customers, or the exclusion of any
class of customers fromt the classification, or the use of uniform or
Ftipulated p~rices, discount, or dlifferentials and each. member of the
`Industry may gat all times classify his own c~ustomersb in accordance
with his owFpn judgment.t
(29) Termns.-T-qo grant a cash discount to exceed 27'o, 10th prox-
;mo, to extend termsl greater than 30 days net, or to extend date of
invoice beyondl regular established credit ter~ms. No cash, discount
shall be allowed on trade neceptance or note settlement.
(23) Replacing1! Competcitors' Stockc.--To liquidate, purchase, or
accept another member's product from any buy~er.
(24) Aldv, i~frtisi andc Promotional Schemes.-To patronize,
through allowances or otherwise, advertising or promotional schemes
in any forml except where thne payments therefore are for specific
promotion performances which are possible, practicable and capable
of being audited. Arrangemernts for each such services shall be in
agr~eements entirely separate and distinct from sales agreem~l~ents be-
tw~een a member and hois customer, and shall dtefinite~ly specify exactly
hlow such shall be paid (in omoey or credit, goods or services) for
such promotional services, exactly what services shall be rend~er~ed
anld the mIethod wa7hich wFill1 be employed in aud.iting the pr~clfo~rm~nc;e
of such services.
(25) PI~ii;rmiumsc.--The giving of premiums and/or prizes to any
customers and/or their employees wPhen such premiums and/or prizes
are not offehredl to all cusjtomerrr s and/or their employees of the same
ARTICLE VTT--GENERA\ L
(1) No pr1ov-ision of this Supplemnentarly Code shall be so aplplied
as to permit monopolies or monopolistic ~rac~tices,, or to eliminate,
oppress, or discriminate against Small enterpr~ises.
(2) Such of the provisions of this Supplementary Code as are
not requiredl to be incrllded herein by the Act may, with the approval
of the N~at~ional industrial Re~overy ;Board, be modlifeie or eliminated
on thoe proposal by the ]Product Group or any member the~lre-of if
it appIear~s that the public needs are not being selrved thereby and
as changes in cilrcumnstances or experience may indicate.
(3) It is co~ntemplated that from time to time supplementary pro-
rision to this Sup~plemlientar~y Code or modifications therleof will,
after apprlovanl by the ]Product G~roup, be submnitted~ byT the Admninis-
trativre Commrittee thI'lrough the Code A2uthority for their applrova~l
to prevent unfair competition in price and other unfair and destruc-
tive comlpetitive practices and to effectuate the p~urposes~ of the Act.
Upon approval by the N~ational Indlustr~ial Rfecovery Board after
suc h notice and hearing as it; maly pr.escribe, such~ supplementary
provisions or modifications shall become binding as a part of this
(4) Asg :required by Section 10 (b) of TIitle I: of the Act, this
SupplemlentaryJ Code and al of thle provisions thereof are expressly
UNIVERSITY OF FLORIDA
14 3 1262 08584 3604
made subject to the right of the `President from time to time to cancel
or modify any order, approval, licensrle, rule, or regulation issued
under said Act.
(5) Violation by any member of this Product Group of any
provision of this Supplementary Code is an act of unfair competi-
tion, and the offender shall be subject to the penalties imposed by
(6) The Effective Date of this Supplementary Code shall be
the 1Ot~h day after it shall have been approved.
Approved Codie No. 105--SuppDlement No. 10.
Registry No. 1404--45.