Code of fair competition for the cloth reel industry as approved on February 17, 1934

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Material Information

Title:
Code of fair competition for the cloth reel industry as approved on February 17, 1934
Portion of title:
Cloth reel industry
Physical Description:
p. 85-96 : ; 24 cm.
Language:
English
Creator:
United States -- National Recovery Administration
Publisher:
U.S. Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:

Subjects

Subjects / Keywords:
Reels (Textile machinery)   ( lcsh )
Genre:
federal government publication   ( marcgt )
non-fiction   ( marcgt )

Notes

General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Approved Code No. 289."
General Note:
"Registry No. 405-35."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004931252
oclc - 63654627
System ID:
AA00008324:00001

Full Text



Approved Code No. 289


Registry No. 405-35


NATIONAL RECOVERY ADMINISTRATION





CODE OF FAIR COMPETITION

FOR THE


CLOTH REEL INDUSTRY


AS APPROVED ON FEBRUARY 17, 1934


WE DO OUR PART


n --
. .... '' W i






UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1934


sale by the Superintendent of Doments, Washington, D.CPrice cent
For sale by the Superintendent of Documents, Washington, D.C. - Price 5 cents
























This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D.C., and by district offices of the Bureau of
Foreign and Domestic Commerce.
DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE
Atlanta, Ga.: 504 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Customhouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North Wells Street.
Cleveland, Ohio: Chamber of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
Detroit, 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.: 408 Federal Building.
Memphis, Tenn.: 229 Federal Building.
Minneapolis, Minn.: 213 Federal Building.
New O ll~-n.ii La.: Room 225-A, Customhouse.
New York, N.Y.: 734 Customhouse.
Norfolk, Va.: 406 East Plume Street.
Philadelphia, Pa.: 422 Commercial Trust Building.
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 506 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, Wash.: 809 F1 teral Office Building.













Approved Code No. 289


CODE OF FAIR COMPETITION
FOR THE

CLOTH REEL INDUSTRY

As Approved on February 17, 1934


ORDER

APPROVING CODE OF FAIR COMPETITION FOR THE CLOTH REEL INDD?.TRY
An application having been duly made pulrsutant 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 Compettiion for the Cloth Reel Industry, and hearings having
been duly held thereon and the annexed report on said Code, con-
taining findings with respect, thereto, having been Ilade and directed
to the President:
NOW, THEREFORE, on behalf of the President of the United
States, I, Hugh S. Johnson, Admlinistrator 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 an-
nexed 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, however,
that the provisions of Article VI, Sections 2 to 9 inclusive, insofar
as they prescribe a waiting period between the filing with the Code
Authority (i. e., actual receipt by the Code Authority) and the
effective date of revised price lists or revised terms and conditions
of sale be and they are hereby stayed pending my further order;
provided further, that within ninety days I may direct that there be
a further hearing on such of the provisions of said Code as I may
designate, and that any order which I may make after such hearing
shall have the effect of a condition on the approval of said Code.
HUGH S. JOHNSON,
Adm inisttrato, for hInd;u.t/ri; Rcro v,'ry.
Approval recommended:
GEO. L. BERRY,
Division Adm inistrator.
WASHINGTON, D.C.,
February 17, 1,034.
41092---376--101-34 (85)













REPORT TO THE PRESIDENT


The PnE>in)ENT,
White House,
SIR: This is a report of the hearing on the Code of Fair Com-
petition for the Cloth Reel Industry, conducted in Washington on
January 23, 1934, in accordance with the provisions of Title I of
the National Industrial Recovery Act.
HOURS AND WAGES
The Code provides a standard 40 hour week for factory workers
with a weekly tolerance of eight hours to be paid for as overtime.
The usual exceptions are made in regard to non-productive em-
ployees. Offil,- employee are limited to an average of 40 hours per
week over an eight week period.
The minimum wage rate in the North for hourly paid employees
is 40i, per hour for males and 350 per hour for females. In the
South the minimum wage rate for hourly paid employees is 371/
per hour for males andi 321/ per hour for females. Office employees
will receive a minimum wage of $16.00 per week.
OPEN PRICE PLAN
An open price plan of selling is provided and selling below cost,
except to nmeet competition, is prohibited.
OTHER PROVISIONS
Provi-ion is mia le for furnishing the Administrator with such
statistical data as he may require.
ECONOMIC EFFECT OF TIE CODE
The Industry employed in 1929 about 200 persons. Based on the
production of level of June, 1933 the propo-se, forty hour week of
the Code will increase employment 3%.
As a result of the Code the total increase in payrolls in the
Industry will be ab ,It 20';.
FIN )INGS
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 pro-
c(.l dings in this matter
I find that:
(a) Said, Code is well del-igied to proiiiot, thi policies and pur-
poses of Title I of the National In'l'istrial Recovery Act, including
removal of obstructions to the free flow of inter.taite and foreign
commerce which tend to diminish the amount thereof and will pro-
(80)









vide for the general welfare by promoting the organization of in-
dustry for the purpose of cooperative action among the trlaile groups,
by inducing and imaiitaining united action of labor and manage-
ment under adequate governmental sanction and supervision, by
elimninat ing unfair competitive practices, by pro ,lit ing the fullest
possible utilization of the present productive capacity of industries,
by avoiding undue restrictions of production (except as may be
temporarily required), by increasing the consumption of industrial
and agricultural products through increasing purcha-ing power, by
reducing and relieving unemployment, by improving standards of
labor, and by otherwise rehabilitating industry.
(b) Said Industry normally employs not more than 50,000 em-
ployees and is not classified by me as a major industry.
(c) The Code as approved complies in all respects with the 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; and that the applicant Associa-
tion is an industrial Association truly representative of the afore-
said Industry; and that said Association imposes no inequitable
restrictions on admission to membership therein.
(d) The Code is not designed to and will not permit monopolies
or monopolistic practices.
(e) The Code is not designed to and will not eliminate or oppress
small enterprises and will not operate to discriminate against them.
(f) Those engaged in other steps of the economic process have
not been deprived of the right to be heard prior to approval of
said Code.
For these reasons this Code has been approved.
Respectfully,
HUGH S. JOHNSON, Administrator.
FEBRUARY 17, 1934.













CODE OF FAIR COMPETITION FOR THE CLOTH REEL
INDUSTRY

To effectuate the policies of Title I of the National Industrial
Recovery Act, the following is hereby established as a Code of Fair
Competltio n for the above named Industry and shall be binding on
every member thereof.

ARTICLE I-DEFINITIONS
The following words are used in this Code with the meaning
herein set. forth:
"Industry." The manufacture and/or reconditioning of paper
covered wooden frame cloth winning reels, and other fabricated cloth
winding reels made of corrugated paper, chip board and like
materials.
"Member." A natural personal, partnership, corporation, associa-
tion, trust, trustee, trustee in bankruptcy, receiver, or other form
of enterprie,, engaged in such Industry.
"Act." Title I of the National Industrial Recovery Act.
"Administrator." The Administrator for Industrial Recovery
under Title I in the Act.

ARTICLE II--O(; NIZ.ATION AND ADMINISTRATION
SECTION 1. The Executive Committee of the Cloth Reel Manufac-
turers' Association, together with such person or persons as may be
desig2intCed by the Administrator, is hereby constituted the Code
Authority. The members of the Code Authority designated by the
Administrator shall have no vote and -hall serve without compen-
sation from the Industry.
SET.loN 2. The said Association shall file with the Administrator
certified copies of any amendments of its By-Laws relating to eligi-
bility or admission to membership in said Association, or relating
to the method of election of the members of such Executive Com-
m iittee, which said A-i-,'iation may hereafter adopt.
S : TrON 3. The Administrator may at any time prescribe a dif-
ferent method for electing the Industry memberss, of the Code Au-
thority, and thereafter, such members shall be elected in the manner
so prescribed.
SeCI ON 4. The Code Authority is r|i'rged generally with the
duty of adlilini-.triM' this Code. *If the Administrator siall deter-
mline that any action of the Code Authority or any ageniV' thereof
may be unfair or unjust or cintrn;ry to the public interest, the Ad-
iministrator may require that such action be suspended to afford an
opportunity for investigation of the iilrits of such actiiln and fur-
ther consideration by the C'ode Au thority or agency pending final
action which shall not be effetlive unle.-s the Admllinit rator approves
(88)







89

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-
fled form.
SECTION 5. The expenses of ladmini-tering this Code shall be borne
pro rate, in accordance with a formula to be adopted by the Code
Authority, by all nmeitimers of the Industry who accept the benefit of
the services of the Code Authority or otherwise assent to this Code.
SECTION 6. The Code Authority shall have power to investigate
alleged violations of this Code and acts or courses of conduct by
any member which are or appear to be contrary to the policy of the
Act or which tend or may tend to render ineffective this Code, and
to report the same with recotumen:dationu. to the Administrator.
SECTION 7. Nothing contained in this Code shall cion-titute the
members of the Code Authority partners for any puirposes; nor shall
any member of the Code Authority be liable in any way to any one
for any act of any other member, officer or agent or employee of the
Code Authority; nor shall any member of the Code Authority be
liable to any one for any action or omission to act under the Code,
except for his own willful misfeasance or non-feasance.

ARTICLE III-HoURs OF LABOR
SECTION 1. Employees in the Industry shall not be required or per-
mitted to work hours in excess of the limits prescribed in the follow-
ing schedule:
SCHEDULE OF WORKING HOURS
(a) Watchunen: Fifty-six (56) hours in any one week but not
more than six (6) days in any .-even (7) day period; or fifty-six
(56) hours in any one week but not more than eight (8) hours in
any one day.
(b) Chauffeurs, truckmen: One hundred sixty-eight (168) hours
in any period of four (4) consecutive weeks but not more than forty-
eight (48) hours in any one week, provided, however, that time
worked in excess of ten (10) hours in any one day or forty-five (45)
hours in any one week shall be paid for as not less than time and
one-half.
(c) Engineers, firemen: One hundred sixty-eight (168) hours in
any period of four (4) consecutive weeks but not more than forty-
eight (48) hours in any one week, provided, however, that time
worked in excess of nine (9) hours in any one day or forty-five (45)
hours in any one week shall be paid for as not less than time and
one-half.
(d) All other laborers, mechanical workers or artisans employed
in any plant, mill or factory or on work connected with the operation
of such plant, mill or factory: Eight (8) hours in any one day and
forty (40) hours in any one week, provided, however, that these
maximum limits may be exceeded for any reason at any time pro-
vided that all time worked in excess of the maximum prescribed
shall be paid for as not less than time and one-half, and provided,
further, that no employee shall be required or permitted to work in
excess of forty-eight (48) hours in any one week.








(e) Executives and other employees engaged in a supervisory
capacity and receiving thirty-five dollars ($35.00) or more per week,
and outside salesmen: No limitation.
(f) All other employees: Forty-eight (48) hours in any one week
but not to exceed three hundred twenty (320) hours in any period
of eight (8) consecutive weeks.
SECTION 2. No limitation contained in said schedule shall apply
to employees of any class when engaged in emergency repairs or
emergency mainatteinanii work ocansioned by breakdowns or involving
protection of life or property, provided, however, that all time worked
in exc.e,-s of the limitation prescribed in said schedule shall be paid
for as not less than time and one-half.
SECTION 3. No employees covered by Section 1 (b), (c), (d), and
(f) of this Article shall be permitted to woi k more than six (6) days
in any seven (7) day period.
SECTION 4. No employer llall permit any employee to work for
any time which, when totaled with that already performed with
another employer or employers in this Industry, exceeds the maxi-
mum permitted herein.
SECTION 5. No employer shall require or permit any female
employee to work between the hours. of 10:00 P.M. and 6:00 A.M.

ARTICLE IV-W-AGES
SECTION 1. The minimum wage of any employee, other than office
or clerical employee, employed in any plant, mill or factory, or on
work co(onectled with the operation of any such plant, mill or factory,
shall be as follows:
(a) In the Northern zone, which .hall consist of all the territory
of the United States except the States named in subdivision (b)
hereof : Male labor, 40 cents per hour; Female labor, 35 cents per hour.
(b) In the Southern zone, which shall consist of the States of
Virginia, Tennes-ee, North Carolina, South Carolina, Georgia, Flor-
ida, .labana, Mid-i-~ippi, Louisiania, Arkansas and Texas: Male
labor, 371 cents per hour; Female labor, 321/2 cents per hour.
SECTION 2. The minimum rate of wage of any office or clerical
employee, (,exept commission sale-miieii, shall be sixteen dollars
($16.00) per week.
SEcTION 3. This Article established a miniiuiimiii rate of pay which
shall apply irre-p,.etive of whether an employee is actually coimnpen-
sated on time r;Ite, piece work, or other baIsi-.
SCITIiN 4. Femial;e (emploi yes performing substantially the same
work under the same condi(itions as male employee shall receive the
same rate of pay a, niie;l employee-s. The Code Authority shall
within ninety (90) (a;ys after the effective date of this Code file
with the Adlinitiil rtor a ile.-rilption of all occiupationl in the Indus-
try in which both men nand wron n are employed.
SECTION 5. The wage rates of all employees shall be equitably
reladju lst e but in no c;' shall they be decreased. Within sixty (60)
days after the effective 1;ite hereof, the Code Authority shall report
to the A~1iii i it ;itor the action taken by all n members of the Industry
undl(er this Section for his approval of the method of such adjust-
ments.









SECTION 6. A person whoslle earning capacity is limited because
of age or physical or mental handicap may be employed on light
work at a wage of not less than 80. of the nlinimum plrescribecd by
this Code, provided the State Authority or other agelny (ldeignated
by the United States Department of Labor shall have i.sued a
certificate authorizing his employment on .u'ih basis. Each member
shall file with the Code Authority a list of all such per.-on- employed
by him. The provision of this Section requiring a certificate of
authority shall not become effective until sixty (60) days after the
effective date of this Code.

ARTICLE V-GENERAL LArOR PROVISIONS
SECTON 1. No person under sixteen (16) years of age shall be
employed in the Industry. No person under eighteen (18) years
of age shall be employed at operations or occupations which are
hazardous in nature or dangerous to health. The Code Authority
shall submit to the Administrator within sixty (60) days after the
effective date of this Code a list of such operations or occupations.
In any State an employer shall be deemed to have complied with
this provision as to age if he shall have on file a certificate or permit
duly signed by the authority in such State empowered to issue
employment or age certificates or permits, showing that the employee
is of the required age.
SECTION 2. 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. of
labor, or their agents, in the designation of such representatives or
in self-organization or in other concerted activities for the purpose
of collective bargailinng or other mutual aid or protection. No
employee and no one seeking employment shall be required 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. Employers shall comply with the ma ximunl hours
of labor, minimum rates of pay, and other conditions of employment
approved or prescribed by the President.
SECTION 3. NO provision in this Code shall supersede any State or
Federal law which nimpouses on employers more stringent. require-
ments as to age of employees, wages, hours of work, or as to : fety,
health, sanitary or general working conditions or insurance or fire
protection, than are imposed by this Code.
SECTION 4. No employer shall reclas-.ify employees or duties of oc-
cupations performed or engage in any other subterfuge for the pur-
pose of defeating the purpo.-es or provisions of the Act or of this
Code.
SECTION 5. All employers shall poIt complete copies of the labor
provisions of this Code in conspicuous places accessible to employees.
SECTION 6. Every employer shall make reasonable provisions for
the safety and health of his employees at the place and during the
hours of their employment. Standards for safety and health shall
be submitted by the Code Authority to the Administrator within
six (6) months after the effective date of this Code.







92

SECTION 7. The Code Authority shall make a study of conditions
in the Industry to determine the feasibility of the adoption of a
shorter working week and shall, within three (3) months after the
effective date of this Code, make a report of its findings to the
Administrator. The Code Authority shall also submit to the
Adminlistrator within six (6) months after the effective date of this
Code, a plan for the stabilization and regularization of employment.
SECTION 8. The nianufact tre or partial manufacture of any product
of the Industry in homes shall be prohibited.

ARTICLE VI-Accou.NTI NG--SELLING
SECTION 1. The Code Authority shall, as soon as practicable, for-
mulate a standard method of accounting and costing for the Industry
and submit the same to the Admlinistrator. When it shall have been
approved by the Administrator, every member shall use an account-
ing and co.,ting 'y .tem which conforms to the principles of, and is
at least as detailed and complete as, such standard method.
SECTION 2. The Code Authority may from time to time determine
that an open price plan of selling, such product or products of the
Industry as it shall specify, shall be put into effect on such date as
it shall fix. Notice of such determination shall be announced to all
known members of the Industry, who manufacture such products,
not less than thirty (30) days prior to the date so fixed.
SECTION 3. At least ten (10) days prior to such date, every
such member shall file with the Code Authority a schedule of prices
and terms of sale for all such products, or in the alternative, shall
be deemed to have filed a schedule conforming in respect to prices
and terms of sale with the schedule at any time on file which states
the lowest price and the most favorable terms.
SECTION 4. All such schedules shall be in such form as the Code
Authority shall prescribe and shall contain all information necessary
to permit any interested person to determine the exact net price per
unit after all discounts or other deductions have been made, whether
pertaiining to a single order, a commitment for future delivery, or a
contract. All such original schedules shall become effective on the
date fixed by the Code Authority as provided in Section 2 hereof.
SECTION 5. A revised schedule or schedules, or a new schedule or
schedules, or a notice of withdrawal of a schedule previously filed,
may be filed by a member with the Code Authority at any time, pro-
vided, however, that any membnler who withdraws a schedule without
substituting a new schedule therefore shall be deemed to have filed a
schedule conforming in respect to price and terms of sale with the
schedule at any time thereafter on file which states the lowest price
and the most favorable terms. Any schedule or notice filed here-
under shall become effective five (5) days after the date of filing,
provided, however, that an increased price may become effective at
such earlier (late as the niemnber filing the same shall fix.
SECTION 6. The Code Authority shall promptly supply all mem-
bers of the Indul.try, who manufacture any particular product, with
copies of all schedules, revised schedules, and notices of withdrawal,
which pertain to such product. Tmnnediately upon receipt of infor-
mation relative to the withdrawal of a price for any product, any









nmelber may file notice of withdrawal of his own price for the same
product effective as of the same date as the notice of withdrawal of
such other number. Immediately on receipt, of information that a
schedule then on file has been revised or that a new sclhdul. has been
filed, any member may file a revised schedule conforming as to price
and terms to the schedule of such other member and effective on the
same date, or he may notify the Code Authority that he adopts as
his own the schedule of such other member. In the latter event, he
shall be deemed to have filed a revised schedule conforming to the
revised schedule of such other member.
SECTION 7. No such schedule of prices and terimi of sale filed by
any member or in effect at any time, shall be such as to permit the
sale of any product at less than the cost thereof to such member
determined in the manner provided in Section 11 hereof, provided,
however, that any member may by notice to the Code Authority
adopt as his own a lower price filed by another designated menhmber.
Such adoption shall become automatically void upon the withdrawal
or revision upward of the price adopted.
SECTION 8. No member who shall have filed a price or adopted
as his own a price filed by another member for any product of the
Industry, shall sell such product for less than such price or upon
terms or conditions more favorable than stated in such price sched-
ule. No member who shall have failed to file a price for any product
for which the open price plan is in effect, shall sell such produc-t at
a lower price or on terms more favorable than the lowest price and
most. favorable terms stated in any price schedule for isuch product
then on file.
SECTON 9. The Code Authority shall furnish at cost to any non-
member requesting them, copies of any price schedules which have
been filed with it. Such price schedules shall be made available to
non-members at the time that they are sent to members.'
SECTION 10. No member shall sell any product of the Industry
for which no open price plan is in effect at less than the (cost thereof
to such member determined as provided in Section 11 hereof, except
to meet the price of a competitor whose price does not violate such
Section.
SECTION 11. Cost, for the purposes of this Article, shall be deter-
mined pursuant to the method of accounting and costing prescribed
as provided in Section 1 hereof as soon as such method is adopted
and approved, and theretofore pursuant to the method employed
by such member subject to such preliminary rules as the Code
Authority shall from time to time prescribe with the approval of
the Administrator.
SECTION 12. For the purpo:-e of determiining whether Sections 7
and 10 hereof have been complied with, every member shall upon
the request of the Code Authority furnish a designated agency of
the Code Authority, in respect to closed transactions only, with
complete information in regard to any quotation, order, contract or
sale of any prodnet, of the Industry, including information as to
specifiention.s, qllantities, price,, conditions of storan'e, tranr.-pt)rta-
tion or delivery, terms of billing, cash or trade discounts allowed,
and other pertinent facts relating to .-.nch quotation, contract or sale.
1See paragraph 2 of order approving this Code.









SECTION 13. Nothing herein contained shall be construed to pre-
vent the disposition of distress merchandise required to be sold to
liquidate a defunct or insolvent business or of discontinued lines,
damaged goods or seconds, in such manner, at such price and on
such terms and conditions as the Code Authority and the Adminiis-
trator may approve.
SECTION 14. Nothing herein contained shall be construed to pre-
vent the fulfillment of a bona fide contract existing on the effective
date of this Code.

ARTICLE VII-REPORTS AND STATISTICS
SECTION 1. Each member shall prepare and file with the Execu-
tive Secretary of the Code Authority at such times and in such man-
ner as it may prescribe, such statistics, data and information relat-
ing to plant capacity, volume of production, volume of sales in units
and dollars, orders received, unfilled orders, stocks on hand, inven-
tory both raw and finished, number of employees, wage rates, em-
ployee earnings, hours of work and other matters, as the Code
Authority or the Administrator may from time to time require.
Any or all information so furnished by any member shall be subject
to checking for the purpose of verification by an examination of the
books and accounts and records of such members by any disinter-
ested accountant or accountants or other qualified person or persons
designated by the Code Authority.
SECTION 2. Except as otherwise provided in the Act or in this
Code, all statistics, data and information filed or required in accord-
ance with the provisions of this Code shall be confidential and the
statistic- data and information of one member shall not be revealed
to another member. No such data or information shall be published
except in combination with other similar data and in such a manner
as to avoid the disclosure of confidential information. The Code
Authority shall arrange in such manner as it may determine for the
publication currently to members, totals of orders received, unfilled
orders, shipments, stocks of finished goods on hand and production.
SECTION 3. The Code Authority shall make such reports to the
Administrator as he may from time to time require.
SECTION 4. In addition to information required to be submitted
to the Code Authority there shall be furnished to Government
Agencies such statistical information as the Administrator may deem
necessary for the purposes recited in Section 3 (a) of the Act. Noth-
ing contained in this Code shall relieve any member of any existing
obligations to furnish reports to any Government Agency.

ARTICLE VIII-RECOMMENDATIONS
SECTION 1. The Code Authority may from time to time present
to the Administrator recommendations based on conditions in the
Industry which will tend to effectuate the operation of this Code
and the policy of the Act. Such recommendations, when approved
by the Administrator, shall have the same force and effect as the
other provisions of this Code.









AnT'i.i: IX-TI.\iE PIH.\(TU E.
SC"r'ION 1. No member shall sell i-,r.,nd-hand or reconditioned reels
unlet- -ich. reels are billed as such and plainly marked on the two
protrluding ends in legible type Reconditioned Reel."
SECTION 2. No member of the Industry shall pnili-h advertising
(whether printed. radio, display or of any other nature) which is
misleading or inaccurate in any material particuIl:r, nor shall any
menimer in any way mi .represent any ,!id.t includingg. but without
limitation, their use, trade-mark, gr quality, quait ntity, origin, size,
substance, character, nature, finish, materi:ld. content or preparation)
or credit terms, valle-, policies, services, or the ii;t tii'r or form of the
business conducted.
SECTION 3. No member of the Indul-try shall withhold from or
insert in any quotation or invoice any statement that makes it in-
acciirate in any material particular.
SECTION 4. No member of the Indu-try shall brand or mark or
pack any goods in any manner which is intenlled to or does deceive
or mislead purch'a ers with respi-ct to the brand, grade. quality, quan-
tity. origin, size, -utb.stanne, character, nature, finish, material, con-
tent or prepa rat ion of suich goods.
SECTION 5. No member of the Industry shall publish advertising
which refers inaccurately in any material particular to any com-
petitors or their goods price.-, values, credit terms, police, or
services.
SECTION 6. No member of the Industry shall publish or circulate
unjustified or u nwa1 rranted threats of legal proceed ings which tend to
or have the effect of 1hamraing competitors or intimidating their
customers. Failure to prosecute in due course shall be evidence that
any such threat is unwarranted or unjustified.
SEECTION 7. NO Inelinber of the Industry shall -ecretlh offer or make
any payment or allowance of a rebate, refund, comnnission. credit,
unearned discount or excess allowance, whether in the form of
money or otherwise, nor shall a member of the Indusitry secretly
offer or extend to any customer any special service or privilege not
extended to all cuiitofin'rs of the same class, for the purpo, of
influencing a sale.
SEcrTrIN 8. No member of the Industry shall ship goods on con-
s-ign ment. except umi,-lpr circuiiii-tances to be d(fiii.d by the Code
Authority where peculiar circumlsi-tances of the Indluit-y require the
practice.
SECTIO-s 9. No member of the Industry shall give, permit to be
given, or directly offer to give, anything of value for the purpose
of influencing or rewarding the action of any employee, age-lnt, or
repre-entative of another in relation to the buiine-. of the employer
of such employee, the principal of such agent or the represented
party, without the knowledge of such employer, principal or party.
The foregoing provision shall not be construed to prohibit free and
general di.stributiotin of articles commonly used for advertising
excepting so far as such articles are actually used for coninnercial
bribery as herein defined.
SEEcTION 10. No menlmber of the Industry shall attempt to induce
the breach of an exi-ting contract between a competitor and his








employee or customer or source of supply, nor shall any such mem-
ber interfere with or obstruct the performance of such contractual
duties or services.
SECTION 11. No member of the Industry shall require that the
purchase or lease of any goods be a prerequisite to the purchase or
lease of any other goods.
SECTION 12. No member of the Industry shall join or participate
with other miiemlers of the Industry who, with such member, con-
stitute a substantial number of members of the Industry or who
together control a substantial percent of the business in any spe-
cific product or products of the Industry, in any transaction known
in law as a black list, including any practice or device (such as a
white list) which accomplishes the purpose of a black list.

ARTICLE X-GENERAL PIr\'ISICONS
SECTION 1. If any member is also a member of another industry,
the provisions of this Code shall apply to and affect only that part
of his 1uiine-ss which is included in this Industry.
SECTION 2. Any work or process incidental to and carried on
by a member at his plant as a part of the manufacture of any
product of the Industry, shall be regarded as a part of this Industry.
SE(TION 3. Such of the provisions of this Code as are not required
to be included therein by the Act, may, with the approval of the
Administrator, be modified or eliminated as changes in circumstances
or experience may indicate.
SECTION 4. This Code and all the provisions thereof are expressly
made subject to the right of the President, in accordance with the
provisions of Section 10 (b) of the Act, from time to time to cancel
or modify any order, approval, license, rule or regulation issued
under Title I of said Act, and specifically, but without limitation, to
the right of the President to cancel or modify his approval of this
Code or any conditions imposed by him upon his approval thereof.
SECTION 5. This Code shall become effective on the second Monday
after the date upon which it shall be approved by the President of
the United States.
Approved Code N-,. 289.
Registry No. 405-35.







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