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NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
ELECTRO PLATING AND METAL
POLISHING AND METAL FINISHING
(A Division of the Fabricated Metal Products
Manufacturing and Metal Finishing
and Metal Coating Industry)
AS APPROVED ON AUGUST 22, 1934
GOVERNMENT PRINTING OFFICE
For sale by the Superintendent of Documents, Washington, D.C. Price 5 cents
Approved Code No. 84-Supplement No. 46
Registry No. 1213-15
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 TIll DEPARTMENT OF COMMERCE
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Boston, Mass.: 1801 Customhouse.
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Approved Code No. 84-Supplement No. 46
SUPPLEMENTARY CODE OF FAIR COMPETITION
ELECTRO PLATING AND METAL POLISHING AND
METAL FINISHING INDUSTRY
As Approved on August 22, 1934
APPROVING SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE
ELECTRO PLATING AND METAL POLISHING AND METAL FINISHING
A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AND
METAL FINISHING AND METAL COATING INDUSTRY
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, and in accordance with the
provisions of Section 1 of Article VI of the Basic Code for the Fab-
ricated Metal Products Manufacturing and Metal Finishing and
Metal Coating Industry, approved November 2, 1933, for approval
of a Supplementary Code of Fair Competition for the Electro Plat-
ing and Metal Polishing and Metal Finishing Industry, and hearing
having been duly held thereon and the annexed report on said Sup-
plementary Code, containing findings with respect thereto, having
been made and directed to the President:
NOW, THEREFORE, on behalf of the President of the United
States, I. Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in me by Executive Orders of the Presi-
dent, 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 Supplementary Code complies in all
respects with the pertinent provisions and will promote the policy
and purposes of said Title of said Act; and do hereby order that said
Supplementary Code of Fair Competition be and it is hereby ap-
proved; provided, however, that the provisions of Subsection (d) of
Section 4 of Article IV be deleted.
HUGH S. JOHNSON,
Adrmirstrator for Industrial Recovery.
BARTON W. MURRAY,
Au gust 22, 1934.
81812"- 1044-101- 34
REPORT TO THE PRESIDENT
The White HouRve.
SIR: This is a report on the Supplementary Code of Fair Competi-
tion for the Electro Plating and Metal Polishing and Metal Fin-
ishing Industry, a Division of the Fabricated Metal Products Manu-
facturing and Metal Finishing and Metal Coating Industry, the
hearing having been conducted thereon in Washington, D.C., May
18, 1934, in accordance with the provisions of Title I of the National
Industrial Recovery Act.
The L.:i.-.tro Plating and Metal Polishing and Metal Finishing
Industry, being truly representative of this division of the Fabricated
Metal Products Manufacturing and Metal Finishing and Metal Coat-
ing Industry, has elected to avail itself of the option of submitting a
Supplementary Code of Fair Competition, as provided for in Section
1 of Article VI of the Basic Code, for the Fabricated Metal Products
Manufacturing and Metal Finishing and Metal Coating Industry
approved by you on the Second day of November, 1933.
RESUME OF THE CODE
Article I states the purpose of the Supplementary Code.
A rtile II accurately defines specific terms employed in the Supple-
Article III. This Industry is a division of the Fabricated Metal
Products Manufacturing and Metal Finishing and Metal Coating
Industry and the-labor provisions of its Basic Code, as approved
November 2,. 1933, are the labor provisions of this Supplementary
Article IV establishes a Supplementary Code Authority consist-
ing of fourteen (14) members, twelve (12) of whom shall be the
Executive Committee of the Master Electro Platers Institute, or its
successor, and two (2) of whom shall be elected from the non mem-
bers of the Institute by the members of the Industry at a meeting
called by the Temporary Supplementary Code Authority, and gives
the Administrator the authority to appoint one additional member
without vote and provides machinery for obtaining statistics and
the administration of the Supplementary Code.
Article V provides for the formulation of an accounting system
and inlthods of cost finding and "or estimating.
Article VI provides the determination of minimum prices to
miitigite conditions constituting an emergency.
Article VII provides for the filing of prices for products of the
Article VIII sets forth the unfair trade practices of this Supple-
mentary Code avoidance of which is especially designed to offset
unfair competition in this division of the Industry.
Article IX contains the mandatory provisions contained in Sec-
tion 10 (b) of the Act and also provides for the submission of pro-
posed amendments to the Supplementary Code.
Article X provides against monopolies and monopolistic practices.
Article XI states the effective date and duration of this Supple-
The Assistant Deputy Administrator in his final report to me on
said Supplementary Code having found as herein set forth and
on the basis of all the proceedings in this matter:
I find that:
(a) Said Supplementary Code is well designed to promote the
policies and purposes of Title I of the National Industrial Recovery
Act, including removal of obstructions to the free flow of interstate
and foreign commerce which tend to diminish the amount thereof
and will provide for the general welfare by promoting the organi-
zation of industry for the purposes of cooperative action among
the trade groups, by inducing and maintaining united action of labor
and management under adequate governmental sanctions and super-
vision, by eliminating unfair competitive practices, by promoting
the fullest possible utilization of the present, productive capacity
of industries, by avoiding undue restriction of production (except as
may be temporarily required), by increasing the consumption of
industrial and agricultural products through increasing purchasing
power, by reducing and relieving unemployment, by improving
standards of labor, and by otherwise rehabilitating industry.
(b) Said industry normally employs not more than 50,000 em-
ployees; and is not classified by me as a major industry.
(c) The Supplementary Code as approved complies in all respects
with the pertinent provisions of said Title of said Act, including
without limitation Subsection (a) of Section 3, Subsection (a) of
Section 7, and Subsection (b) of Section 10 thereof; and that the
.applicant Institute is an industrial Institute truly representative of
the aforesaid Industry; and that said Institute imposes no inequi-
table restrictions on admission to membership therein.
(d) The Supplementary Code is not designed to and will not
permit monopolies or monopolistic practices.
(e) The Supplementary Code is not designed to and will not
eliminate or oppress small enterprises 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 Supplementary Code.
For these reasons, therefore, I have approved this Supplementary
Code; provided, however, that the provisions of Subsection (d) of
Section 4 of Article IV be deleted.
HUGH S. JOHNSON.
AUoUST 22, 1934. Administrator.
SUPPLEMENTARY CODE 'OF FAIR COMPETITION FOR
'THE ELECTRO PLATING AND METAL POLISHING AND
METAL FINISHING INDUSTRY
A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AND
METAL FINISHING AND METAL COATING INDUSTRY
To effectuate the policies of Title I of the National Industrial
Recovery Act, the following provisions are ;established as a Supple-
mentary Code of Fair Competition for the Electro Plating and
Metal Polishing and Metal Finishing Industry pursuant to Article
VI of the Basic Code of Fair Competition for the Fabricated Metal
Products Manufacturing and Metal Finishing and Metal Coating
Industry approved by the President on the 2nd -day of November,
1933, 'and the provisions of this Supplementary Code shall be the
standards of Fair Competition of such Industry and shall be binding
'upon every member of the Industry.
SECTION 1. The term Electro-Plating and Metal Polishing and
Metal Finishing Industry or the Industry as used herein means
the grinding, polishing, and buffing of :any metal part or metal
product and 'or the electro or chemical deposition of any metal on
any metal as a commercial process far sale; including the grinding,
polishing, buffing, and/or electro-plating of purchased metal parts
for the sole purpose of selling same as plated articles. This does
not include the grinding, polishing, buffing, and or plating in cases
where the party completely fabricates the metal part or uses the
same as a minor part in assembling the products manufactured by
SECTION 2. The term "employee as used herein includes any and
all persons engaged in the Industry, however compensated, except
a member of the Industry.
SECTION 3. The term "employer ", as used herein, includes anyone
by whom such employee is compensated or employed.
SECTION 4. The term "' member of the Industry ", as used herein,
includes, but without limitation, any individual, partnership, associa-
tion, corporation, or other form of enterprise engaged in the In-
dustry either as an employer or on his or its own behalf.
SECTION 5. The terms President", "Act", and "Administrator"
as used 'herein mean respectively, the President of the United States,
Title I of the National Industrial Recovery Act, and the Adminis-
trator for Industrial Recovery.
SEcTION 6. The term Basic Code ", as used herein, is defined to
mean the Basic Code of Fair Competition for the Fabricated Metal
Products Manufacturing and Metal Finishing and Metal Coating
Industry as approved by the President on the second day of Novem-
SECTION 7. The term Basic Code Authority as used herein,
means the Executive Committee of the Fabricated Metal Products
SECTION 8. The term Supplementary Code Authority", as used
herein, means the Agency, which is to administer this Supplementary
Code as hereinafter provided.
SECTION 9. The term Institute ", as used herein, is defined to
mean the Master Electro Platers Institute, or its successor.
SECTION 10. The term Federation ", as used herein, is defined to
mean the Fabricated Metal Products Federation or its successor.
ARTICLE III-EM1PLOYMENT PROVISIONS
This Industry is a division of the Fabricated Metal Products Manu-
facturing and Mletal Finishing and Metal Coating Industry and with-
out limitation the wage, hour and labor provisions in Article III of
its Basic Code as approved by the President, November 2, 1933,
including Section 1 of said Article III, by which the provisions of
sub-sections (1), (2) and (3) of Section 7 (a) of Title I of the Act
are made conditions of this Supplementary Code, are specifically
incorporated herein and made a part hereof as the wage, hour and
labor provisions of this Supplementary Code.
ARTICLE IV-ORGANIZATION, POWERS AND DUTIES OF SUPPLEMENTARY
SECTION 1. There shall be established a Supplementary Code
Authority consisting of 14 members, twelve (12) of whom shall be
the Executive Committee of the Institute, and two (2) of whom
shall be elected by and from among the members of the Industry who
are non-members of the Institute.
Within sixty (60) days following the effective date of this Supple-
mentary Code the Executive Committee shall call a meeting of the
members of the Industry who are non-members of the Institute on 10
days' notice sent by mail to all such members of the Industry, whose
names may be ascertained after diligent search, for the purpose of
electing the above mentioned two (2) members. At any such meeting
voting may be either in person, by proxy, or by letter ballot. The
two (2) persons receiving the greatest number of all votes cast
whether in person, by proxy, or by letter ballot shall be deemed to
In case the non-members of the Institute shall fail to elect the
non-member representatives on the Supplementary Code Authority as
hereinabove provided, the Administrator shall appoint such non-
member representatives from a list of four (4) non-members of the
Institute to be furnished to the Administrator by said Executive
During the period from the effective date of the Supplementary
Code and until the election of the said two (2) non-member repre-
sentatives on the Supplementary Code Authority the Executive Com-
mittee of the Institute shall act as a temporary Code Authority with
the powers herein given to the Supplementary Code Authority.
A Vacancy in the membership of the Supplementary Code Au-
thority, resulting from the death, resignation,, or inability to act
of a member of the Executive Committee, shall be filled by a major-
ity vote of the remaining members of the Executive Committee; and
a vacancy in the membership of the Supplementary Code Authority,
resulting from the death, resignation, or inability to act of a non-
institute member, shall be filled by a majority vote of the remaining
members of the Supplementary Code Authority, provided, however,
that the person filling such vacancy shall be a member of the In-
dustry who is a non-member of the Institute.
In addition thereto the Administrator may appoint a member
of the Supplementary Code Authority who shall be without vote
and shall serve without expense to the Industry. The representa-
tive appointed by the Administrator shall be given reasonable
notice of and may sit at all meetings of the Supplementary Code
SECTION 2. Each trade or industrial association directly or in-
directly participating in the selection or activity of the Supplemen-
tary Code Authority shall (1) impose no inequitable restrictions on
memberships, and (2) submit to the Administrator true copies of its
Articles of Association, By-Laws, Regulations, and any amendments
when made thereto, together with such other information as to mem-
bership, organization, and activities as the Administrator may deem
necessary to effectuate the purposes of the Act.
SEC(TION 3. In order that the Supplementary Code Authority
shall, at all times., be truly representative of the Industry and in
other respects comply with the provisions of the Act, the Adminis-
trator may prescribe such Hearings as he may reasonably deem
proper; and, thereafter, if he shall find that the Supplementary
Code Authority is not truly representative or does not in other
respects comply with the provisions of the Act, may require the re-
moval of any or all of the members thereof, and nmay make appro-
priate modification or modifications of the Supplementary Code
SECrION 4. It being found necessary in order to support the ad-
ministration of the Supplementary Code and to maintain the stand-
ards of fair competition established hereunder and to effectuate the
policy of the Act, the Supplementary 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 Supplementary 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
to support such budget shall be contributed by members of the
Ind ust ry.
(c) After such budget and basis of contribution has been ap-
proved by the Administrator, to determine and obtain equitable
contribution as above set forth by all members of the Industry, and
to that end, if necessary, to inMtitute legal proIcedings th erefor in
its own name.
(d) The Code Aufth'.rity is authorized to make application for
the termination of the exemption conferred in paragra1ph 3 of Ad-
ministrative Order X-:30 dated Mai.y 26, 10;i and to take such action
as may be nece.-sary to obtain the approv:al of such application.'
Each member of the idrlu-try shall pay his or its equitable contri-
bution to the expense of the maintenance of the Sulpplementary
Code Authority, determined as hereiinailove provided, and .iibject to
rules and regulations pertaining thereto issu.!ed by the Ad. inii tator.
Only members of the Industry complying with the Supplemenitary
Code and contributing to the expenses of its administration as here-
inabove provided, unless duly exempted from making such contri-
butions, shall be entitled to participate in the selection of members
of the Supplementary Code Authority or to receive the benefits of
any of its voluntary activities or to make use of any emblemi or in.sig-
nia of the National Recovery Administration.
The Supplementary Code Authority shall neither incur nor pay
any obligations in excess of the amount thereof as estimated in its
approved budget, except upon approval of the Adiminitrator, first
obtained and no subsequent budget shall contain any deficiency
item for expenditures in excess of prior budget estimates except
those which the Administrator shall have so approved.
SECTION 5. Nothing contained in this Supplementary Code shall
constitute. the members of the Supplementary Code Authority part-
ners for any purpose. Nor shall any member of the Supplementary
Code Authority be liable in any manner to anyone for any act of any
other member, officer, agent, or employee of the Supplementary Code
Authority. Nor shall any member of the Supplementary Code Au-
thority be liable to anyone for any action or omission to act under
this Supplementary Code, except for his own willful nalfea-ance
: SECTION 6. The Supplementary Code Authority shall also from
time to time furnish to the Basic Code Authority, designated in said
Basic Code, such information as may be required to be furnished
under the terms of said Basic Code.
SECTION 7. The Supplementary Code Authority shall have all the
powers and duties which shall be necessary or proper to enable it to
fully administer this Supplementary Code and to effectuate its pur-
Without limitation to the foregoing or any other powers or duties
provided for in this Supplementary Code, the Supplementary Code
Authority shall have the following specific duties:
(a) To adopt by-laws and rules and regulations for its procedure.
(b) To obtain from members of the Industry such information
and reports as are required for the administration of the Supple-
mentary Code. In order to assure confidential treatment of indi-
vidual figures, all reports and information which the Supplementary
I Deleted. See pargrarpli 2 of order appioring this Code.
Code Authority is empowered to collect or receive, shall be collected
or received by an impartial agency appointed by the Supplementary
Code Authority, not a member of nor connected with a member of
the Industry. The agency so collecting or receiving any such reports
or information shall keep the same confidential as to individual
reports and shall not disclose the same to any member of the Indus-
try, but all such information shall be available at all times to the
In addition to information required to be submitted to the Sup-
plementary Code Authority, members of the Industry, subject to the
Supplementary Code, shall furnish such statistical information as
the Administrator may deem necessary for the purposes recited in
Section 3(a) of the Act, to such Federal and State Agencies as he
may designate; provided that nothing in this Supplementary Code
shall relieve any member of the Industry of any existing obligations
to furnish reports to any government agency. No individual report
shall be disclosed to any other member of the Industry or any other
party, except to such other governmental agencies, as may be directed
by the Administrator.
(c) To appoint within 90 days after the effective date of this
Supplementary Code a committee so constituted as to give consumer
and governmental representation satisfactory to the Administrator,
to make a study with a view to the establishment of classifications and
standards of size (including thickness of deposit) and quality
(grades) of staple products and services of the Industry wherever
such standards are deemed feasible. The findings and recommenda-
tions of this committee shall be submitted to the Industry and to the
Administrator, within one year after the effective date of this
Supplementary Code. If a majority of the members of the Industry
approve of the findings and recommendations, and after such hear-
ings and investigations as the Administrator may designate, and upon
approval by the Administrator, such findings and recommendations
shall he made a part of this Supplementary Code and shall be binding
upon every member of the Industry.
(d) To use such trade associations and other agencies as it deems
proper for the carrying out of any of its activities provided for here-
in, provided that nothing herein shall relieve the Supplementary
Code Authority of its duties or responsibilities under this Supple-
mentary Code and that such trade associations and agencies shall
at all times be subject to and comply with the provisions hereof.
(e) To make recommendations to the Administrator for the co-
ordination of the Administration of this Supplementary Code with
such other codes, if any, as may be related to or affect members of the
(f) To recommend to the Administrator any action or measures
deemed advisable, including further fair trade practice provisions
to govern members of the Industry in their relations with each other
or with other Industries; measures for industrial planning, and
stabilization of employment; and including modifications of this
Code which shall become effective only as hereinafter provided in
making amendments hereto.
(g) To appoint a Trade Practice Committee which shall meet
with the Trade Practice Committees appointed under such other
codes as may be related to the Industry for the purpose of formu-
lating fair trade practices to govern the relationships between em-
ployers under this Supplementary Code and under such other codes
to the end that such fair trade practices may be proposed to the
Administrator as amendments to this Supple:ni:ntary Code and such
(h) To provide for local Administration of the Supplementary
Code through the selection of District Code Cour-nittce-i for thi,
various Industry Districts as hereby created and -et forth in Ex-
hibit "A" attached hereto. Each .cich District Committee shall be
selected by and from the members of the Indusi~ry re'idin g within the
District, in a manner truly representative of the mem jbers of the
Industry within that District and subject to review by the
The District Code Committees shall administer the Supplementaiy
Code in their respective districts and shall have such powers in the
administration of the Supplementary Code as may be delegated to
them by the Supplementary Code Authority, provided, that nothing
herein shall relieve the Supplementary Code Authority of its duties
or responsibilities under this Supplementary Code; and that such
District Code Committees shall at all times be subject to and com-
ply with the provisions of the Supplementary Code.
SECTION 8. Each member of the Industry may report to the Dis-
trict Code Committee for his.district, or its appointees, any com-
plaints regarding an alleged violation of this Supplementary Code by
a member of the Industry within a district. The District Code
Committee shall attempt to settle the disputes and, if unsuccessful,
shall forward its recommendations to the Supplementary Code Au-
thority. Any complaint of an alleged violation of this Supplemen-
tary Code made by a member of the Industry against another member
of the Industry located in another district shall be reported to the
Supplementary Code Authority.
SECTION 9. To the extent permitted by the Act and subject to such
rules and regulations as the Administrator may prescribe, any and
all information furnished to the Supplementary Code Authority by
any member of this Industry pursuant to the provisions of this Sup-
plementary Code shall be subject to verification by an impartial
agency agreed upon by the Supplementary Code Authority and the
member of the Industry in question, and, failing such agreement,
such impartial agency shall be selected by the Administrator, which
impartial agency may check so much of the pertinent books, ac-
counts and records of such member of the Industry as may be re-
quired to verify the accuracy of the information so furnished.
SECTION 10. If the Administrator believes that any action of the
Supplementary Code Authority or any agency thereof is unfair or
unjust or contrary to the public interest, the Administrator may re-
quire that such action be suspended to afford an opportunity for
investigation of the merits of such action. Further action by such
Supplementary Code Authority or agency regarding the matter
complained of may be taken if approved by the Administrator, but
shall not be taken if disapproved by the Administrator within thirty
(30) days of notice to him of intention to proceed with such action.
SECTION 11. Every employer shall make reasonable provisions for
the safety and health of employees during the hours and at the
places of their employment. Standards of health and safety shall
be submitted by the Supplementary Code Authority to the Admin-
istrator within three (3) months after the effective date of the
ARTICLE V-COST FINDING
The Supplementary Code Authority shall cause to be formulated
methods. of cost finding and accounting capable of use by all mem-
bers of the Industry, and shall submit such methods to the Admin-
istrator for review. If approved by the Administrator, full infor-
mation concerning such methods shall be made available to all mem-
bers of the Industry. Thereafter, each member of the Industry shall
utilize such methods to the extent found practicable. Nothing
herein contained shall be construed to permit the Supplementary
Code Authority, any agent thereof, or any member of the Industry
to suggest uniform additions, percentages or differentials or other
uniform items of cost which are designed to bring about arbitrary
uniformity of costs or prices.
ARTICLE VI-COSTS AND PRICE CUTTING
SECTION 1. If the Administrator, upon application of the Supple-
mentary Code Authority or any member of the Industry, after
investigation, shall at any time find that as to this Industry or as
to any district within the Industry both (1) that any emergency
has arisen within the Industry or within the district adversely
affecting small enterprises or wages or labor conditions, or tending
toward monopoly or other acute conditions which tend to defeat
the purposes of the Act; and (2) that the determination of stated
minimum prices for a specified product or service within the Indus-
try or within the district for a limited period is necessary to miti-
gate the conditions constituting such emergency and to effectuate
the purposes of the Act, the Supplementary Code Authority may
cause an impartial agency to investigate the costs and to recom-
mend to the Administrator a determination of the stated minimum
price of the product or service affected by the emergency and there-
upon the Administrator may proceed to determine such stated
SECTION 2. When the Administrator shall have determined such
stated minimum price for a specified product or service for a stated
period, which price shall be reasonably calculated to mitigate the
conditions of such emergency and to effectuate the purposes of the
National Recovery Administration, he shall publish such price.
Thereafter during such stated period no member of the Industry
shall sell such specified products or services within any district for
which such price has been fixed at a net realized price below said
stated minimum price, and any such sale shall be deemed destructive
price cutting and an unfair method of competition. From time to
time the Supplementary Code Authority may recommend a review
or reconsideration, or the Administrator may cause any determina-
tion hereunder to be reviewed or reconsidered and appropriate
ARTICLE VII-PUBLICATION OF PRICE
SECTION 1. The District Code Committee in any district may pre-
pare a list of all articles which are standard articles upon which the
service of plating, re-plating, finishing, or re-finishing, is generally
performed within that district and shall submit such list to the
members of the Industry located within the district as a tentative
list of products upon which each member of the Industry perform-
ing industry services for customers residing within the district
shall be required to publish his prices and terms and conditions of
sale. Whenever the members of the Industry operating within such
district who employ at least. 60% of the employees engaged by the
members of the Industry in that district, shall have approved such
list of standard products or any modification thereof and the same
shall have been approved by the Administrator, the District Code
Committee shall disseminate such approved list to all mllembers of
the Industry known to be located within the district or doing indus-
try services for customers within the district, as the list of standard
products on which each member must file with the District Code
Connmittee, his prices, terms and conditions of sale on such services
for customers residing within the district. Within ten days after
the dissemination of such list each member of the Industry located
within the district or performing any industry services for custom-
ers located within such district shall file with the District Code
Committee or its designated agency such member's prices for the
plating, re-plating, finishing and re-finishing of all said standard
articles and shall so publish and file all subsequent changes therein
or revisions thereof, which shall be effective immediately upon
receipt thereof by the filing agency. When any member of the
Industry has filed any revision such member shall not file a higher
price within 48 hours. Such prices, terms and conditions of sale,
and changes therein or revisions thereof, as aforesaid so filed, shall,
for the purpose of this Supplementary Code, be treated as the pub-
lished prices, terms and conditions of sale within such districts on
said standard products of the member filing the same and shall be
at all times-during business hours open, at the office of said District
Code Committee or its said designated agency, to all interested
parties. Promptly after receipt thereof the District Code Commit-
tee, or its designated agency, shall send, or cause to be sent, a copy
of all such prices, terms and conditions of sale and all changes
therein or revisions thereto to each member of the Industry known
to be located within the District or doing ,work for customers
located within the district, or who shall have so filed his prices,
terms and conditions of sale or to any other interested party who
shall have registered his name and address with the filing agency and
who shall pay the cost involved.
SECTION 2. NO member of the Industry shall offer for sale, quote
on, or sell to any customer or prospective customer residing within
the district, any of its products or services at a price or upon terms
and conditions other than those stated in such member's published
prices, terms and conditions of sale and changes therein or revisions
thereof published and filed by such member in such district, except
to another member of the Industry who is complying with the provi-
sions of the Supplementary Code and paying his pro rata share of
the expense thereof.
SECTION 3. If at any time hereafter the Administrator shall give
his approval to the requirement that subsequent changes or revisions
of any prices, terms or conditions of sale, as provided in Section 1
hereof, shall be filed a specific period of time prior to the effective
date thereof, the Supplementary Code Authority may provide that
all changes in such price lists, terms or conditions of sale, or revisions
thereof thereafter filed, shall be published or filed ten days, or such
other period of time as may be approved by the Administrator, prior
to the effective date of any such subsequent changes or revisions. All
the provisions of Section 1 of this Article, with respect to making
prices, terms and conditions of sale so filed, open to all interested
parties and with respect to dissemination of the same, and all provi-
sions of Section 2 of this Article shall be applicable as to any prices,
terms or conditions of sale fried in accordance with this Section 3.
Any member may file with the said District Code Committee or its
said agency such changes in his prices or terms and conditions of
sale as may re required to meet the changes filed by another member.
Changes so filed shall become effective on the same date as the
effective date for the changes of such other member first filing as
aforesaid, or, if those changes shall have already become effective,
then the changes subsequently filed as aforesaid shall become effective
immediately upon receipt thereof by the filing agency.
ARTICLE VIII-UNFAIR TRADE PRACTICES
Superseding all of the unfair trade practices covered by Article
V of the Basic Code the following described acts shall constitute
unfair trade practices and any member of the Industry who shall,
directly or indirectly through any officer, employee, agent, or repre-
sentative, use or employ any of such unfair practices shall be guilty
of a violation of this Supplementary Code.
- RULE 1. No member of this Industry shall sell industry products
or perform any services within the scope of the Industry upon terms
more favorable than 1 percent for cash payment within 10 days, 30
days net; provided, however, that the cash discount may be allowed
for cash payment on or before the 25th day of the month on all
invoices issued from the first, to the fifteenth day of the month, both
inclusive, and the 1 percent discount may be allowed for cash pay-
ment on or before the 10th day of the following month on all invoices
issued from the 16th day to the last day of the month, both inclusive.
RULE 2. No member of the Industry shall make or cause or know-
ingly permit to be made or published any false, materially inaccurate,
or deceptive statement by way of advertisement, or otherwise, con-
cerning the grade, quality, quantity, thickness of deposit, substance,
character, nature, or finish or preparation of any product of the
Industry or the credit terms, policies, or services of any member of
the Industry, or otherwise, having the tendency or capacity to mislead
or deceive customers or prospective customers.
RULE 3. No member of the Industry shall knowingly withhold
from or insert in any contract, quotation, or invoice, any statement
that makes it inaccurate in any material particular.
RULE 4. No member of the Industry shall give, permit to be given
or offer to give, anything of value for the purpose of influeiicing or
rewarding the action of any employee, agent, or representative of
another in relation to the business of the employer of such employee,
the principal of such agent or the represented party, without the
knowledge of such employer, principal or party. This provision
shall not be construed to prohibit free and general distribution of
articles commonly used for advertising except so far as such articles
are actually used for commercial bribery as hereinabove defined.
RULE 5. No member of the Industry shall secretly make or offer
to make any payment or allowance of a rebate, refund, commission
credit, unearned discount or excess allowance, whether in the form of
money or otherwise, nor shall a member of the Iidustry secretly offer
or extend to any customer any special service or privilege not ex-
tended to all customers of the same class for the purpose of infln-
encing a sale.
RULE 6. No member of the Industry shall willfully induce or
attempt to induce the breach of existing contracts between conmpeti-
tors and their customers by any false or deceptive nicans, or interfere
with or obstruct the performance of any such contractual duties
or services by any such means, with the purpose and effect of ham-
pering, injuring, or embarrassing competitors in their business.
RULE 7. No member of the Industry shall defame a competitor
by falsely imputing to him dishonorable conduct, inability to per-
form contracts, questionable credit, standing, or by other false rep-
resentation, or by falsely disparaging the grade or quality of his
goods or services.
RULE 8. No member of the Industry shall brand or mark or pack
any product of the Industry in any manner which has a tendency
to or does deceive or mislead purchasers with respect to the brand,
grade, quality, quantity, origin, size, substance, character, nature,
finish, thickness of deposit, material content or preparation of such
product of the Industry.
RULE 9. NO member of the Industry shall imitate or simulate the
trade mark, trade name, package, wrapper, or label of a competitor's
product to such a degree as to deceive or have a tendency to deceive
RULE 10. No member of the Indunstry shall procure, otherwise
than with the consent of any member of the Industry, any infor-
mation concerning the business of such member which is properly
regarded as a trade secret or as confidential within its organization.
RULE 11. Standard forms of quotations and contracts may be
adopted by the Supplementary Code Authority, sublje,.ct to approval
by the Administrator. All quotations shall thereafter be made in
accordance with the terms and conditions of such forms of quota-
tions and all contracts shall be made in accordance with the terms
and conditions set forth in any standard form of contract so adopted,
and any departure by a member of the Industry from said standard
terms and conditions in the making of any quotation or contract
in any transaction is an unfair method of competition.
SETION 1. As provided in Section 10 (b) of the Act, the President
may from time to time cancel or modify any order, approval, license,
rule, or regulation issued under Title I of the Act.
SECTION 2. Such of the provisions of this Supplementary Code as
are not required to be included herein by the Act may, upon sub-
mission to the Industry by the Administrator and approval by the
President, after such hearing as the Administrator may prescribe, be
modified or eliminated as changes in circumstances or experience
may indicate. It is contemplated that, from time to time, supple-
mentary provisions to this Supplementary Code may be submitted
by the Industry for the approval of the President to prevent unfair
competition in price and other unfair and destructive practices, and
to effectuate the other purposes and policies of Title I of the Act,
and any such supplementary provisions, after submission to the In-
dustry and approval by the President, and after such hearing as
the Administrator may prescribe, shall become a part of the Supple-
mentary Code and effective as such.
No provision of this Supplementary Code shall be so applied as
to permit monopolies, or monopolistic practices, or to eliminate,
oppress, or discriminate against small enterprises.
ARTICLE XI-EFFECTIVE DATE AND DURATION
This Supplementary Code shall become effective at 12:01 o'clock
A. M. on the tenth day after it is approved by the President and
shall continue in effect until June 16, 1935, or the earliest date prior
thereto on which the President shall, by proclamation, or the Con-
gress shall, by joint resolution declare that the emergency recognized
by Section 1 of Title I of the Act, has ended.
Approved Code No. 84-Supplement No. 46.
The Districts referred to hereinbefore in Article IV, Section 7 (h) are the
Districts as defined below:
DISTRICT I. The states of Washington, Oregon, California, Nevada, Arizona,
Utah, Wyoming, Idaho, Montana, and the territories Alaska and Hawaii.
DISTICT II. The states of North Dakota, South Dakota, Nebraska, Colo-
rado, Kansas, New Mexico, Oklahoma, Texas.
DISTRICT III. The states of Minnesota, Wisconsin, Iowa.
DISTRICT IV. The states of lissouri, Arkansas, Louisiana, Mississippi, the
extreme western portions of Tennessee and Kentucky lying west of the Tennes-
DISTRICT V. Those portions of the states of Tennessee and Kentucky which lie
east of the Tennessee River, except Jefferson County, Ky., the states of
North Carolina, South Carolina, Georgia, Florida, Alabama, and Puerto Rico.
DISTRIcT VI. The states of Maine, New Hampshire, Vermont, Mas.achu-
setts, Rhode Isla nd, and Connecticut.
DISTRICT VII. That portion of the State of New Jersey lying north of but
excluding Mercer County and North and east of but exclu.ling Burlington
County, greater New York City, Long Island and that portion of New York
State which is bounded on the east by Connecticut, on the west by New Jersey
and Pennsylvania and on the north by a straight line drawn as if continuing
the northern boundary line of Penusylv'ania in an easterly direction to the
Connecticut state line.
DIrSTnICT VIII. The state of Virginia and West Virgina excepting Marshall,
Ohio, Brooke and Hancock counties; the District of Columbia, the states of
Delaware, Maryland, and that portion of the state of Pennsylvania lying east
of a line drawn through and includinii the cities of Gettysburg and Williams-
port, Pennsylvania, and that portion of New Jersey lying southwest of and
including the counties of Mercer and Burlington.
DISTRICT IX. That portion of Puennsylvanifa excepting the county of Erie,
Pennsylvania, which lies west of a line intersecting the state and drawn
through, but excluding, Gettysburg and Williaumport; those pi'rtioins of the
state of Ohio and Indiana south of a line iriter,'cting said states from east
to west through and including Carrollton, Ohio, and Lima, Ohio, and thence
through and excludingi Logansport, Ind. and Kentland, Ind., to the Illinois
state line. District IX shall also include the Counties of Marshall, Ohio,
Brooke and Hancock in the state of West Virginia; and the county of Jefferson
in the state of Kentucky.
DISTRICT X. New York State lying to the north of the Pennsylvania state
line and of a straightt line drawn as a continuation thereof across New York
State to the Connecticut boundary.
DISTRICT XI. The state of Michigan; that portion of the states of Indiana
which lies east of a line drawn through the cities of Michigau City, La Porte,
and Logansport, and lying north of a line drawn through Logausport, Ind.,
Lima, Ohio, and Carrollton, Ohio, to the Pennsylvania state line. The city of
Logansport, Ind. is included in District XI, but the cities of Mitlli:an City
and La Porte, Ind. and of Lima and Carrollton, Ohio are excluded therefrom.
District XI shall also include the county of Erie, Pennsylvania.
DI:)TIIT'r XII. The state of Illinois; and that portion of Indiana which lies
west of a line drawn from Michigan City, Indiana, through La Porte, Ind.
to Logansport, Ind.; and that portion of Indiana which lies north of a line
intersecting Indiana from East to West drawn from Lima, Ohio through
Logaiinport and Kentland, Indiana to the Eastern Boundary of the State of
Illinois. The cities of Michigan City, Ind., La Porte, Ind., and Kentland, In-
diana are included in District XII, but the city of Logansport, Indiana is
UNIVERSITY OF FLORIDA
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