UNIVERSITY OF FLORIDA
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NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
AS SUBMITTED ON AUGUST 26, 1933
REGISTRY No. 202-1-04
The Code for the Canvas Waterproofing Industry
in its present form merely reflects the proposal of the above-mentioned
industry, and none of the provisions contained therein are
to be regarded as having received the approval of
the National Recovery Administration
as applying to this industry
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BRIEF SUBMITTED BY THE CANVAS WATERPROOFERS'
1. The attached Code is herewith submitted by the Canvas Water-
proofers' Association, an organization which has been in existence
for a number of years and which represents more than seventy-five
percent of the Canvas Waterproofers of the United States of
2. This Code was formulated at a meeting of the Canvas Water-
proofers' Association held in New York City on July 18 and 19, and
was unanimously accel)ted by the members present, which repre-
sented over seventy-five percent of the industry. The Association
agreed to adopt in principle, insofar as it applied to this Industry,
the Code of the Cotton Textile Industry, for the reason that the
Canvas Waterproofing Industry is so closely allied to that Industry,
and one third of the waterproofing is done at cotton textile Mills.
3. One of the many accomplishments of this Association was to
have enacted certain laws to eliminate unfair and dishonest practices
in the Industry, as outlined in the bulletin of Commercial Standards,
C.S. 28-32, of the United States Department of Coimmnierce.
4. It is the opinion of the members of the Canvas Waterproofers'
Association that the adoption of this Code would serve to increase
employment and wages in the industry.
CODE OF FAIR COMPETITION FOR CANVAS WATER-
UNDER THE NATIONAL INDUSTRIAL RECOVERY ACT AS SUBMITTED
BY THE CANVAS WATER-PROOFERS' ASSOCIATION
The members of The Canvas Water-proofers' Association, by
special methods of treating and coating waterproof canvas goods and
other textiles which are used by the manufacturers of canvas
To effectuate the policy of Title I of the National Industrial
Recovery Act, during the period of the emergency, by reducing and
relieving unemployment, improving the standards of labor, eliminat-
ing competitive practices destructive of the interests of the public,
employee, and employers, and otherwise rehabilitating the Canvas
Water-proofers Industry, and by increasing the consumption of
industrial and agricultural products by increasing purchasing power,
and in other respects, the following provisions are established as a
code of fair competition for the Canvas Water-proofers Industry.
I. On and after the effective date, which shall be two weeks after
the approval of this Code by the President, the minimum wage that
shall be paid by employers in the Canvas waterproofers industry to
any of their employees-except learners during an eight weeks' ap-
prenticeship-shall be at the rate of $12 per week when employed
in the southern section of the industry and at the rate of $13 per week
when employed in the northern section for 40 hours of labor, with
graduated scale of higher wages based on the relative productive
value of individual workers.
II. On and after the effective date, employers in the Canvas Water-
proofers industry shall not operate on a schedule of hours of labor for
their employees-except repair-shop crews, engineers, electricians,
firemen, office and supervisory staff, shipping, watchmen, and clean-
ers-in excess of 40 hours per week or 173 hours per month, and
shall not operate productive machinery for more than two shifts of
40 hours each in any one week.
III. Employers in the Canvas Waterproofers Industry shall com-
ply with the requirements of the National Industrial Recovery Act
"(1) That 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 bargaining or other mutual aid or protection; (2) that
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; and (3) that employers shall comply with the maxi-
mum hours of labor, minimum rates of pay, and other conditions
of employment approved or prescribed by the President."
IV. Sales and Cost.-The sale of any product of the Industry
below cost, whether this be in the form of additional discounts,
secret rebates, or gratuities, etc., is condemned by the Industry as
an unfair method of competition.
V. Secret Rebates.-The payment, or allowance of secret rebates,
refunds, credits, or unearned discounts, whether in the form of money
or otherwise, or the giving of premiums, is condemned by the Indus-
try as an unfair method of competition.
VI. Misbranding.-The marking or branding of products of the
Industry for the purpose or with the effect of misleading or deceiv-
ing purchasers with respect to the quality, grade, or substance of the
goods purchased is condemned by the Industry as an unfair method
of competition. Special regard should be taken of Commercial
Standard CS 28-32 of the Department of Commerce.
VII. Inducing Breach of Contract.-Inducing employees of com-
petitors to violate contracts or enticing away employees of com-
petitors is condemned by the Industry as an unfair method of
VIII. False Advertis;ig.-Advertising falsely or misleading as
to the nature of the sales outlet or making untruthful claims re-
.specting the quality, source, or method of preparation of comnmodi-
ties is condemned by the Industry as an unfair method of compe-
IX. Di.sparagin;g Competi;tors or Products.-Disparaging the of-
ficers, employees, or products of competitors or circulating false
rumors respecting the financial or business standing of competitors
is condemned by the Industry as an unfair method of competition.
X. Commercial Bribery.-Commercial bribery, whenever and
however practiced and with or without the knowledge of the em-
ployer, is condemned by the Industry as an unfair method of
XI. Guarantee Against Decline.-Guarantee against decline and
protection against advance in the price of products of the Industry
is condemned by the Industry as an unfair method of competition.
XII. Imitation of Trade-Marks.-The imitation of trade-marks
or trade names or the piracy of designs originated and used by a
competitor is condemned by the Industry as an unfair method of
XIII. Inducigq qSales by Other Products.-The practice of offer-
ing a product below cost to induce the purchase of one or more other
products is condemned by the Industry as an unfair method of
XIV. Deviation from Terms.-The Industry agrees that any de-
viation from terms and conditions of sale as set forth by the duly
authorized Committee of the Canvas Waterproofers Association is
condemned by the Industry as an unfair method of competition.
XV. Definition of Coat.-The industry agrees that the term
"cost" shall be interpreted to include among other items the cost
of raw materials, transportation thereof, labor, general overhead,
sales and administrative expense, etc., as set iup by the duly
authorized Committee of the Canvas Waterproofers Association.
XVI. Self-Endorsen t of Rule.-The Industry agrees through
the Canvas Waterproofers Association to set uip the necessary ma-
chinery for the purpose of supervising conformance with the
provisions of the trade rules set. forth herein.
XVII. M';.s'ead'ing Guaranties.-No one shall guarantee the lasting
qualities of their products, as such guaranty cannot truthfully be
made and constitutes unfair competition.
XVIII. Fmraidu.let and Deceptive Praotiee,.s.-With regard to
advertising which is untruthful or misleading, misbranding of prod-
ucts, etc., or the furnishing of grades and weights of material other
than those called for, are condemned by the Industry as an unfair
method of competition.
XIX. No provision in this Code shall be interpreted or applied
in such a manner as to provide monopolies, permit or encourage
unfair competition, eliminate, oppress, or discriminate against any
small enterprise. This Code, or any of its provisions, may be can-
celed or modified and any approved rule issued thereunder shall be
ineffective to the extent necessary to conform to any action by the
President, under Section 10 (B) of the National Industrial Recovery
XX. It is contemplated that from time to time supplementary
provisions to this Code or additional Codes will be submitted by the
Canvas Waterproofers Association for the approval of the President.
to prevent unfair competition in price and other unfair and destruc-
tive competitive practices and to effectuate the other purposes and
policies of Title I of the National Industrial Recovery Act consistent
with the provisions hereof.
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