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NATIONAL RECOVERY ADMINISTRATION
AMENDMENT TO SUPPLEMENTARY
CODE OF FAIR COMPETITION
CARBON DIOXIDE INDUSTRY
(A Division of the Chemical Industry)
AS APPROVED ON AUGUST 16, 1934
Approved Code No. 275B-Amendment No. 1
Registry No. 699-20
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Approved Code No. 275B--Amendment No. 1
AMENDMENT TO SUPPLEMENTARY CODE OF FAIR
CARBON DIOXIDE INDUSTRY
As Approved on August 16, 1934
APPROVING AMENDMENTS OF SUPPLEMENTARY CODE OF FAIR COMPE-
TITION FOR THE CARBON DIOXIDE INDUSTRY
A DIVISION OF THE CHEMICAL MANUFACTURING INDUSTRY
An application having heen 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 aienldmients
to a Supplementary Code of Fair Competition for the Carbon Diox-
ide Industry, a Division ,of the Chenlical Manufacturing Industry,
and an opportunity to be heard having been given and the annexed
report on said amendments 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 amendments and the Code as
constituted after being amended comply in all respects with the per-
tinent provisions and will promote the policy and purposes of said
Title of said Act, and do hereby order that said amendlments. be and
they are hereby approved, and that the previous approval of said
Code is hereby modified to include an approval of said Code in its
entirety as amended, provided that the provisions of Article IV,
Section 9, Contractual Relationship with Jobbers and/or Distribu-
tors, as amended shall remain in force only for the remainder of
the six month period beginning May 14, 1934, that is the effective
date of the Code approved on May 4, 1934, as was provided in the
Order of approval of the Code unless such period shall be extended
by the Administrator and provided that said amendments and this
Order shall become effective on the tenth day after the date hereof.
HucH S. JOHNSON,
A dmimnistrator for Induwstrial Recovery.
August 16, 1934.
REPORT TO THE PRESIDENT
The White House.
SIR: This is a report on the proposed amendments to the Supple-
mentary Code of Fair Competition for the Carbon Dioxide Industry
a division of the Chemical Manufacturing Industry, as approved
by me on May 4, 1934. A notice of opportunity to be heard on these
amendments was published on June 22, 1934. Full opportunity to
be heard was given to all interested parties.
The purposes and effects of the amendments are as follows:
Amendment No. 1 enables the Code Authority to incur such reason-
able obligations as are necessary for the administration of the Code.
It requires that the Code Authority submit for approval of the
Administrator an itemized budget and an equitable basis of pro-
rating the assessments to be collected from the members of the In-
dustry. Payment of an equitable contribution to the expenses of the
Code Authority by members of the Industry is made mandatory by
this ame.pdment if their principal line of business is covered by
Amendment No. 2 deletes Section 1, Price Lists, Section 2, Revised
Price Lists, and Section 3, Adherence to Price Lists, of Article IV
of the approved Code and substitutes therefore Sections 1, 2 and 3
of Exhibit A in Office Memorandum No. 228, with certain minor
modifications, these being the open price filing provisions proposed
by the Administration.
The Code Authority proposed that the Chairman of the Code
Authority shall act as the confidential and disinterested agent of
the Code Authority with whom members of the Industry shall file
price lists. This, however, has been changed back to the Admin-
istration's more general proposal, leaving it to the Code Authority
to designate a confidential and disinterested agent because the
designation of a particular individual or agency in a Federal statute
is not considered advisable, owing to the possibility of change.
Amendment No. 3 deletes Section 4 of Article IV and substitutes
therefore Section 4 of Exhibit A of Office Memorandum No. 228.
Amendment No. 4 inserts a new Section 9 in Article IV which is
merely a revision of the old Section 4 (deleted by Amendment No. 3)
in order that it shall refer to the equivalent provisions as renum-
bered by these amendments.
Amendment No. 5 establishes a new article to be known as Article
IV-A, Trade Practice Provisions-Price Cutting, which is Sec-
tion 1 (a) of Exhibit B of Office Memorandum No. 228 with a minor
Amendment No. 6 deletes Section 2 of Article V and substitutes
therefore a new Section 2, the purpose of which is to clarify the
existing provision because of complaints made in regard to same.
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) The amendments 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
welfare by promoting the organization of industry for the purpose
of cooperative action of labor and management under adequate
governmental sanction and supervision, by eliminating unfair com-
petitive practices, by promoting the fullest possible utilization of the
present productive capacity of industries, by avoiding undue restric-
tion of production (except as may be temporarily required), by in-
creasing the consumption of industrial and agricultural products
through increasing purchasing power, by reducing and relieving un.
employment, by improving standards of labor, and by otherwise
(b) The Code as amended complies in all respects with the per-
tinent provisions of said Title of said Act, including without limi.
station subsection (a) of Section 3, sub-section (a) of Section 7 and
sub-section (b) of Section 10 thereof.
(c) The Carbon Dioxide Institute was and is an industrial asso-
ciation truly representative of the aforesaid Industry and that said
association imposed and imposes no inequitable restrictions on
admission to membership therein and has applied for these
(d) These amendments and the Code as amended are not. designed
to and will not permit monopolies or monopolistic practices.
(e) These amendments 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 approval of said
For these reasons, these amendments have been approved.
HUGH S. JOHNSON,
AUGUST 16, 1934.
AMENDMENT TO SUPPLEMENTARY CODE OF FAIR COM-
PETITION FOR THE CARBON DIOXIDE INDUSTRY
A DIVISION OF THE CHEMICAL MANUFACTURING INDUSTRY
AMENDMENT 1. Delete Section 4 of Article III and substitute
therefore the following:
SECTION 4 A. It being found necessary in order to support the
administration of this Code and to maintain the standards of fair
competition established hereunder and to effectuate the policy of the
Act, the Code Authority is authorized:
(a.) 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:
"(b) To submit to the Administrator for his approval, subject
to such notice and opportunity to be heard as he 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
tX support such budget shall be contributed by members of the
"(c) After such budget and basis of contribution have been ap-
proved by the Administrator, to determine and obtain equitable con-
tribution as above set forth by all members of the Industry, and to
that end, if necessary, to institute legal proceedings therefore in its
"B. Each member of the Industry shall pay his or its equitable
contribution to the expenses of the maintenance of the Code Au-
thority, determined as hereinabove provided, and subject to rules
and regulations pertaining thereto issued by the Administrator.
Only members of the Industry complying with the Code and con-
tributing to the expenses of its administration as hereinabove pro-
vided, shall be entitled to participate in the selection of members
of the Code Authority or to receive the benefits of any of its volun-
tary activities or to make use of any emblem or insignia of the
National Recovery Administration.
C. The Code Authority shall neither incur nor pay any obliga-
tion in excess of the amount thereof as estimated in its approved
budget, except upon approval of the Administrator; and no subse-
quent budget shall contain any deficiency item for expenditures in
excess of prior budget estimates except those which the Administra-
tor shall have so approved."
AMENDMENT 2. Delete Sections 1, 2 and 3 of Article IV, and
substitute therefore the following: Sections 1, 2 and 3.
SECTION 1. Each member of the Industry shall file with a con-
fidential and disinterested agent of the Code Authority, identified
lists of all of his prices, discounts, rebates, allowances, and all other
terms or condition of sale, hereinafter in this article referred to as
' price terms", which lists shall completely and accurately conform to
and represent the individual pricing practices of said member. Such
lists shall contain the price terms for all such standard products of
the Industry as are sold or offered for sale by said member and for
such non-standard products of said member as shall be designated by
the Code'Authority. The provisions of Section 1 of Article IV of
the Supplementary Code approved May 4, 1934 which obligated
members of the Industry to file initial price lists with the Code
Authority witiin 15 days after the effective date of this Code is not
changed insofar as the time for filing the initial price lists is con-
cerned. Price terms and revised price terms shall become effective
immediately upon receipt thereof by said agent. Immediately upon
receipt thereof, said agent shall by telegraph or other equally prompt
means notify said member of the time of such receipt. Such lists
.and revisions, together with the" effective time thereof, shall upon
receipt be immediately and simultaneously distributed to all mem-
bers of the Industry and to all of their customers who have applied
therefore and have offered to defray the cost actually incurred by the
Code Authority in the preparation and distribution thereof and be
available 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 any person until released to all members of the Industry
and their customers, as aforesaid; provided, that prices filed in the
first instance shall be released in accordance with Section 1 of Article
IV of the Supplementary Code approved May 4, 1934. The Code
Authority shall maintain a permanent file of all price terms filed as
herein provided, and:shall not. destroy any part of such records ex-
cept upon written consent of the Administrator. TUpon request the
Code Authority shall furnish to the Administrator or any duly desig-
nated agent of the Adminiitratnor copies of any such lists or revisions
of price terms.
SECTION 2. Whlii any member of the Industry has filed any re-vi-
sion, such member m hall not file a higher price within forty-eight
SECrTION 3. N., member of the Industry shall sell or offer to sell
any lrolucts and/or ?services of t4he Industry, for which price terms
have been filed pursuant to the provisions of this article, except in
accorluance with such price terms."
AMrNDM:ENT 3. Delete Section 4 of Article IV and substitute there-
for a new Section as follows:
SECTION 4. No mlemiber of the Industry ,shall enter into any agree-
ment, iundeirstianding, combination or conspiracy to fix or m maintain
price er1ms, nor anuse or attempt to cause any member of the Indus-
try to change his price ternm by the use of intimidation, coercion, or
any other influence inconist.et. with the mainteIance of the free
and open market, which is the purpose of this article to create."
AMENDMENT 4. Substitute for Section 4 of Article IV which has
been deleted by Amendment 3 the following revision of old Section 4,
to be designated as Section 9 of Article IV:
"SECTION 9. Contractual Relationship with Jobbers and/or Dis-
tributors: Every member of the Industry shall enter into a written
agreement with his jubbers and/or distributors within the Metropoli-
tan areas of plant and/or warehouse cities whereby such jobbers
and/or distributors agree to file price schedules in accordance with
Section 1 of Article IV of this Code (as amended) and to abide by
Sections 2, 3, 4, 5, 7, 8 and 9 of Article IV (as amended) and Article
IV-A and Sections 2 (a) and 2 (b) of Article V (as amended) and
Section 2 of Article VI. The Code Authority shall require each
member of the Industry to file a copy of each agreement which he
may make with a jobber and/or distributor."'
AMENDMENT 5. Insert a new article to be Article IV-A, Trade
Practice Provisions-Price Cutting, to read as follows:
"Wilfully destructive price cutting is an unfair method of com-
petition and is forbidden. Any member of the Industry or of any
other industry or the customers of either may at any time complain
to the Code Authority that any filed price constitutes unfair competi-
tion as destructive price cutting, imperiling small enterprise or tend-
ing toward monopoly or the impairment of code wages and working
conditions. The Code Authority shall within 5 days afford an
opportunity to the member filing the price to answer such complaint
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
National Recovery Administration which shall render a report and
recommendation thereon to the Administrator.
AMENDMENT 6. Delete Section 2 of Article V, Misuse of Containers,
and substitute therefore the following:
SECTION 2. Misuse of Containers.
"(a) To fill with, or use in the transportation of, Solid Carbon
Dioxide any container without permission of the owner of said
container, shall be an unfair trade practice.
"(b) To fill with Solid Carbon Dioxide any apparatus which does
not have the official approval that is or may be required by any
Federal, State, Municipal and other Governmental agencies or
departments, shall be an unfair trade practice."
Approved Code No. 275B--Amendment No. 1.
Registry No. 699-20.
'See paragraph 2 of Order approving this Amendment.
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