Citation
Amendment to code of fair competition for the cotton garment industry as approved on August 16, 1934

Material Information

Title:
Amendment to code of fair competition for the cotton garment industry as approved on August 16, 1934
Portion of title:
Cotton garment industry
Creator:
United States -- National Recovery Administration
Place of Publication:
Washington, D.C
Publisher:
United States Government Printing Office
Publication Date:
Language:
English
Physical Description:
13 p. : ; 24 cm.

Subjects

Subjects / Keywords:
Clothing trade -- Law and legislation -- United States ( lcsh )
Cotton fabrics -- United States ( 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:
"Registry no. 217-1-06."
General Note:
"Approved Code No. 118--Amendment No. 5."

Record Information

Source Institution:
University of Florida
Rights Management:
This item is a work of the U.S. federal government and not subject to copyright pursuant to 17 U.S.C. §105.
Resource Identifier:
005024528 ( ALEPH )
63654217 ( OCLC )

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Full Text






NATIONAL RECOVERY ADMINISTRATION




AMENDMENT TO

CODE OF FAIR COMPETITION
FOR THE

COTTON GARMENT INDUSTRY


AS APPROVED ON AUGUST 16, 1934


WE DO OUR PART


UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON: 1934


For sale by the Superintendent of Documents, Washington, D.C. - Price 5 rents


Approved Code No. 118-Amendment No. 5


Registry No. 217-1-06

























Thls 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

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San Francisco, Calif.: 310 Customhouse.
Seattle. Wash.: 809 Federal Office Building.












Approved Code No. 118-Amendment No. 5


AMENDMENT TO CODE OF FAIR COMPETITION
FOR THE

COTTON GARMENT INDUSTRY

As Approved on August 16, 1934


ORDER

AMENDMENT TO THE CODE OF FAIR COMPETITION FOR THE COTTON
GARMENT INDUSTRY
An application having been duly made pursuant to and in full
compliance with the provisions of Title I of the National Indus-
trial Recovery Act., approved June 16, 1933, for approval of amend-
ments to a Code of Fair Competition for the Cotton Garment In-
dustry, and hearings having been duly held thereon, and the an-
nexed 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 amendments and the Code as con-
stituted after being amended, comply in all respects with the perti-
nent provisions and will promote the policy and purposes of said
Title of said Act, and do hereby order that except as hereinafter pro-
vided said amendments 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, HOWEVER, that the approval of the amendment
granted hereby does not extend to Section 32 of Schedule E cover-
ing the Washable Service Apparel Industry; it is
FURTHER ORDERED that said amendments shall become effec-
tive as part of the Code ten (10) days after the date hereof.
HUGH S. JOHNSON,
Administrator for Industrial Recovery.
Approval recommended:
WILL AM P. FARNSWORTH,
Acting Division Administrator.
WASHINGTON, D.C.,
August 16, 1934.
81150"---104-80----34 (1)













REPORT TO THE PRESIDENT


Tho PRESIDENT,
Tile White House.
Sin: The Public Hearing on amendments to the Code of Fair Com-
petition for the Cotton Garment Industry as proposed by the Code
Authority for this Industry was conducted on Tuesday, May 22, 1934,
in the Sun Parlor, Washington Hotel, Washington, D.C.
Every person who reque-ted an appearance was fairly heard in
accordance with the requirements of the Natiinal Recovery Admin-
istration. Present were authorized representatives of the Code Au-
thority for this Industry, representatives of each of the Sub-Divi-
sional Trade Associations, representatives of the National Reta.il Dry
Goods Association and representative members of the Industry.
The Amendments are drafted as a new Article XIX of the Code
of Fair Competition and completes the Code inasmuch as up to this
time the Cotton Garment Code has had no Fair Trade Practices.
The Deputy Administrator in his final report to me on said amend-
ment to said Code having found has herein set forth and on the basis
of all the proceedings in this matter:
I find that:
(a) The amendment 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 among trade groups, by inducing and main-
taining united action of labor and management under adequate gov-
ernmental sanction and supervision, by eliminating unfair competi-
tive 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 re-
habilitating industry.
(b) The Code as amended complies in all respects with the perti-
nent provisions of said Title of said Act, including without limitation
Subsection (a) of Section 3, Subsection (a) of Section 7, and Sub-
section (h) of Section 10 thereof.
(c) The Code empowers the Code Authority to present the afore
.aid amendment on behalf of the industry as a whole.
(d) The amendment and the Code as amended are not. designed
to and will not permit monopolies cr monopolistic practices.
(2)






3

(e) The amendment. 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
amendment.
For these reasons these trade practice provisions have been ap-
proved.
Respectfully,
HUGH S. JOHNSON,
Administrator.
AUGUST 16, 1934.












AMENDMENT TO CODE OF FAIR COMPETITION FOR
THE COTTON GARMENT INDUSTRY

The Code of Fair Competition for the Cotton Garment Industry
approved Norember 17, 1933, as amended, is hereby further amended
by adding thereto a new article to be known as Article XIX, to read
as follows:
ARTICLE XIX

SECTION 1. To further remove obstruction to the free flow in
industry and commerce in the Cotton Garment Industry and the
subdivisional indu.itries thereof, to eliminate unfair competitive
practices, to improve standards of labor, to rehabilitate the industry
and more fully effectuate the policy of Title I of the National
Industrial Recovery Act, the following shall constitute fair trade
practices under the Code:
SECTION 2. Nothing in this Article with respect to fair trade prac-
tices shall be construed for any purpose or under any circumstance
as superseding the provisions of this Code as amended, but it. shall
be construed as supplemental to this Code as amended and any pro-
vision of this Article made a part hereof. found to be in conflict with
any of the provisions of this Code as amended shall be null and void.
SECTION 3. The respective trade associations for the industry shall
be the agencies to cooperate with the Code Authority and the Ad-
ministrator in the administration of this Article, provided, however,
that:
(a) The Code Authority under such Rules and Regulations as
may be approved by the Administrator may assign to the trade
associations the general supervision, subject to review by the Code
Authority, of the administration of this Article, or any part thereof.
(b) The Code Authority immediately upon the approval of this
Article shall notify the respective trade associations of the sub-
divisional industries affected and each such association may file with
the Code Authority an application that such subdivisional trade
association be set up as the administrative agency with respect to the
administration of this Article, or any part thereof.
(c) Any trade association approved both by the Code Authority
and the Administrator under the Code is an agency in the admin-
istration of the provisions of this Article and at all times shall be
bound by the Rules and Regulations of the Code Authority, or the
Administrator. No act of any association in the conduct of its duties
shall violate any of the provisions of this Code.
(d) Any act of any trade association to which there shall have
been assigned by the Code Authority any power, duty, or function
under the provisions of this Article, shall be at. all times subject to
review and disapproval by the Code Authority and the Admin-
istrator, and nothing herein sh4ll be construed as granting to any
trade association any power or authority except that specifically







assigned by the Code Authority, nor shall any provision herein be
construed to relieve the Code Authority of its ultimate responsibility
for the proper administration of the Code.
SECTION 4. The Code Authority may disburse to any trade associa-
tion, approved as an aid in the administration of this Article, from
its funds such amounts as from time to time may be necessary and
proper to defray the expenses of such association in the administra-
tion of, and compliance with this Article.
SECTION 5. Inacurate Adrertisin.g.-No member of the industry
shall publish advertising (whether printed, radio, display or of any
other nature), which is misleading or inaccurate in any material
particular, nor shall any member in any way misrepresent any goods
(including but without limitation its use, trade-mark, grade, quality,
quantity, origin, size, substance, character, nature, finish, material
content or preparation), or credit terms, values, policies, services, or
the nature or form of the business conducted.
SECTION 6. False Billing.-No member of the industry shall know-
ingly withhold from or insert in any quotation or invoice any state-
ment that makes it inaccurate in any material particular.
SECTION. 7. Inaccurate Labeling.-No member of the industry shall
sell, brand, mark or pack any goods in any manner which is in-
tended to or does deceive or mislead purchasers with respect to the
prices, brand, grade, quality, quantity, origin, size, substance, char-
acter, nature, finish, material content or preparation of such goods.
SECTION 8. Defaamation.-No member of the industry shall defame
a competitor by falsely imputing to him dishonorable conduct, in-
ability to perform contracts, questionable credit standing, or by
other false representation, or by falsely disparaging the grade or
quality of his goods.
SECTION 9. Threats of Law Suits.-No member of the industry
shall publish or circulate unjustified or unwarranted threats of legal
proceedings which tend to or have the effect of harassing competitors
or intimidating their customers.
SECTION 10. Bribing Em.ployees.-No member of the industry shall
give, permit to be given, or offer to give, anything of value for the
purpose of influencing 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, princi-
pal 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 brib-
ery as hereinabove defined.
SECTION 11. Inducing Breach of Existing Contracts.-No member
of the industry shall wilfully induce or attempt to induce the breach
of existing contracts between competitors and their customers by any
means, or interfere with or obstruct the performance of any such
contractual duties or services by any means, with the purpose and
effect of hampering, injuring or embarrassing competitors in their
business.
SECTION 12. Consignment.-No member of the industry shall ship
or sell goods on open order subject to consignment, or by sales
agencies, or by any other method which has the effect of selling on








consignment or memorandum guaranteeing retail or wholesale turn-
over.
SEC('ION 13. Keeping of Records.-All members of the industry
and all agencies thereof shall be required to keep a. substantial
record of all transactions.
SECTION 14. Arbitration.-Any question or dispute which may
arise between or among any persons, or between or among any of
them and other persons, firms, or corporations, for the settlement
of which provision has not or shall not. have been made in this Code
may be submitted to arbitration to or under the auspices of any
institution of recognized standing having adequate facilities for the
conduct of such arbitration; provided all parties involved agree to
such method of arbitration, and the decisions of such arbitration
shall be final and binding upon all parties.
SECTION 15. ('oMM.it, On Oin Contlractors.-The Administrator shall
forthwith aplpointl a commission of three persons, one of whom shall
represent labor and shall be nominated by the Labor Advisory
Board of NRA. one of whom shall represent the manufacturers and
one the contractor',. to investigate all industries engaged in the dis-
tribution of work to contractors. The commission shall study and
investigate the conditions within the industry in order to determine
what shall be a fair compensation to be paid by the manufacturers to
contractors, and the entire question of the relationship between man-
ufacturer and contractor. The commission shall study the above
mentioned subject and report thereon to the Administrator within
three-months after the approval of Article XIX of this Code. Upon
receipt of the report, the Administrator may hold hearings to con-
sider such report. The decision rendered by the Administrator as
a result of the said hearing shall be effective as of the date approved
by the Administrator. The expenses of the said commission shall be
paid by the Code Authority, pro rated among such subdivisional
industries as affected by this Section.
SECTION 16V. Standlard,'s.-The Fair Trade Practice Complaints
Committee hereafter to be set up in accordance with NRA Bulletin
No. 7 entitled Manual for the Adjustment of Complaints may set
up an agency to work in conjunction with the Bureau of Standards
of the United States Government to promulgate regulations to pre-
vent misrepresentation and submit to the Code Authority for sub-
rmision to the Administrator for his approval a set of standards,
which, upon their approval, shall become part of this Code and vio-
lations will be subject to the penalties of the Act.
SECTION 17. Returned Goods.-No merchandise purchased and
shipped in good faith and in accordance with the buyer's specifica-
tions within the specified time shall be permitted to be returned to
the seller after ten days after its receipt by the purchaser, except on
account of clerical or delivery error or faulty merchandise. This
Section shall be construed as supplementary to special provisions
in the schedule for subdivisional industries hereinafter set forth.
SECTION 18. Advertising Alowcan.ces.-No member of the industry
shall give any advertising allowance to a customer in excess of fifty
per cent of the cost of said advertising for the purpose of promoting
the resale of products of said member. Nor shall any member of the
industry give any advertising allowance to any customer for the pur-








pose of promoting the resale of said member's products below the
price at which said member has sold his products to the customer.
This shall not be construed to prohibit the giving of display matter.
No member of the industry shall give any advertising allowance to
a customer for any advertising which is intended to promote the
resale of any products of any person other than that of said member
of the industry.
This provision shall not apply to the Oiled Cotton Garment
Industry.
SECTION 19. Rebates.-No rebate, bonus, excess discount, freight,
or other allowance shall be allowed unless the same are made avail-
able to all customers under like terms and conditions.
This provision shall not apply to the Nurses', Maids' and Women's
Apron and Uniform Manufacturing Industry.
SECTION 20. Elimination of Cut, Make and Tiim.-No manufac-
turer or contractor shall make products of his subdivisional industry
from fabrics and 'or other materials owned or supplied by a jobber, a
retail distributor, or the agent., representative, or corporate sub-
sidiary or affiliate of any such retail distributor; nor shall he manu-
facture such products from fabrics and '"or other materials, the pur-
chase of which is made upon the credit of, or payment for which
is guaranteed by, such retail distributor or agent, representative
or corporate subsidiary or affiliate of such retail distributor.
The provisions of this Section shall apply only to:
The Men's and Boys' Shirt and Blouse Industry except work
shirts with the exception of shirt makers making shirts to measure
for retailers' custom shirt departments.
The Men's and Boys' Pajama and Night Shirt Industry.
The Sheep Lined and Leather Garment Industry.
The Cotton Undergarment and Sleeping Garment Industry.
The Work Shirt Manufacturing Industry.
The Work Clothes Manufacturing Industry.
SECTION 21. Shipienti of Prison. Made Goods_.-No member of the
industry shall ship any merchandise or goods manufactured by
prison labor into any State where the sale of said goods is prohibited
or restricted by State law, and in the event that State laws shall
require other conditions such as branding, then the same member of
the industry shall conform with all of the local requirements of the
particular State.
The violation of any of the provisions of schedules hereinafter
set forth by any member of the subdivisional industry affected shall
constitute an unfair trade practice, and shall be deemed to be a vio-
lation of this code. It shall also be an unfair trade practice and a
violation of this code to enter into any agreement, arrangement or
understanding, the result of which shall be to avoid or violate any
provisions of this code, or to employ any subterfuge whatsoever to
avoid, evade or circumvent any provisions hereof.

SCHEDULE A
MEN 8 AND BOYS' SHIRT AND BLOUSE INDUSTRY EXCEPT WORK SHIRTS
SETION 22. Terms.-No terms of sale shall be in excess of 3/10
days E.O.M., or 2/10-60 extra. No extra dating shall be allowed,








nor sliall any other subterfuge or change in these terms be used,
except that merchandise shipped on or after the 25th of any month
may be dated as of the first of the following month. In no case
shall anticipation of payment exceed 6 per cent per annum.
SECTION 23. ll4srep'/es,~-tatio-n and Irregulars.-(a) Manufactur-
ers shall not designate material on any shirts unless it represents
a major portion of the fabric of such shirt.
(b) Manufacturers shall place on shirts not. of first quality such
marking as may be directed by the Code Authority under general
rules and regulations applicable to all manufacturers, indicating
such shirts as irregulars in indelible ink on the center of the
neckband of the shirts where it may be seen by purchaser. Such
stamping shall be plainly legible.

SCHEDULE B
MEN S AND BOYS' PAJAMA AND NIGHT SHIRT INDUSTRY
SECTION 24. Term4..-No member of this subdivisional industry
shall give terms of sale in excess of 2 10-60 extra, or 3/10 E.O.M.,
in which latter case delivery made after the 25th of any month may
be dated as of the first of the following month.
SEC. 25. No member of this subdivisional industry shall affix to
any of his products inaccurate, fictitious or misleading resale prices.

SCHEDULE C
OILED COTTON GARMENT INDUSTRY
SEC. 26. Termf..--No member of this subdivisional industry shall
grant terms in excess of 2. 10 E.O.M.
SEC. 27. No member of this subdivisional industry shall give
customers' labels of any kind free of charge.

SCHEDULE D
THE UNION-MADE GARMENT INDUSTRY
SEc. 28. Tei-n..-(a) No member of this subdivisional industry
shall grant terms in excess of net 30 days, or 10 prox. from date of
shipment; no extra dating.
(b) Orders for seasonal merchandise may be shipped prior to
shipping date and invoice may be dated as of the shipping date speci-
fied on the order. Seasonal merchandise consists of light garments
for Spring and heavy garments for the Fall. In no case shall ship-
ment be made prior to 30 days in advance of shipping date.
SECTION 29. All seconds and imperfect garments shall be identi-
fied as such by stamping legibly and indelibly the word "second"
on the ticket and the white pocket, or if the garment has no white
pocket, stamping shall be done on some other conspicuous place.
SECTION 30. Returned Goods. (a). No member of this subdivisional
industry shall accept returned goods of any stock in exchange for
new stock.
(b) The return of used merchandise because of weak fabrics and
materials and/or faulty construction will be permissible, but no gar-









meant shall be accepted in return if it has been destroyed or mutilated
maliciously or damaged by acids, chemicals, oils and grease, or dam-
aged through tears, snags, or rips, result of carelessness or damaged
by rotting or mildew or damaged by improper washing, or if the
garments have been worn, or if the garments are alleged to have
shrunk, except where sold as pre-shrunk, and except for latent
defects.
SCHEDULE E
WASHABLE SERVICE APP.\RE, INDUSTRY
SjcaIoN 31. TI'erna.-No member of this subdivisional industry
shall grant cash discounts in excess of 2 10 e.o.m., net 60 days, or
2.30 days, net 60 days, irrespective of quantity purchases, distribu-
tion, or extension of delivery dates. Shipments on or after the
25th of any month of e.o.m. terms may be dated as of the first of
the following month.
SECTION 32. ForwarCd Contracts.-No member of this subdivisional
industry shall make contracts, other than with hospitals. Federal,
State, or municipal institutions where the delivery period exceeds
four months from the date of such contracts. No member shall
post-date or falsely date contracts or invoices to frustrate the pro-
visions of this Section.'
SECTION 33. Prop::ery Marking ard Lab-ling.-No member of this
subdivisional industry shall mark or stamp with ink any goods for
a linen.supply customer. No member of this subdivisional industry
shall pay for labels of any kind, for any customer.

ScrrnDUL F
SHEEP LINED AND LEATIJIE GARMENT INDUSTRY
SECnON 34. Term..-The following are the maximum terms to
apply to sales for men's and boys' garments in this industry:
(a) Jobbers, Mail Order Houses and Chain Store Tern''.-All
sales of merchandise in January, February and tup to March 10th
may have dating as of March 10th net 30 days. From March 11th
to May 31st net 30) days. June 1st to August 10th may have dating
as of August 10th net 30 days. After August 11th net. thirty days:
no dating.
(b) Retailers Tcrnus.-All sales of merchandise from October 1st
of current year to May 31st of the following year not to exceed
2% ten days e.o.m. After June 1st the terms granted may be
2% ten days e.o.m. as of September 1st. Merchandise shipped after
the twenty-fifth (25) day of any month nty be dated as of the first
day of the following month.
On sales of ladies' leather garments in this subdivisional industry,
it shall be unfair trade practice to sell at a cash discount in excess
of eight (8%) per cent ten days e.o.l., except that merchandise
shipped after the twenty-fifth (25th) day of any month may be
dated as of the first day of the following month.
No order shall be accepted without stipulating the sale price,
terms and date of shipment. No sale shall be made by any member
See paragraph 3 of order npprovlng this Amendment.









on any other terms except those expressly set forth in the order, con-
tract of sales, or the invoice pertaining to such sale.
All orders for jobbers on drop shipments comprising fifty gar-
ments or less shall bear an additional charge of five -(5#) cents per
garment.
The following sizes shall be the standard sizes of garments in
this subdivisional industry:
(a) len's and Boys' Garments:
1 Juvenile, Sizes 3-8
2 Boys, Sizes 6-18
Men's Suede Garments, Sizes 34-46
Men's Horsehide and Sheep Lined Garments, Sizes 34-48
(b) Ladies' Garments:
1 Juvenile, Sizes 2-6
2 Girls, Sizes 8-14
3 Misses, Sizes 14-20
4 Ladies, Sizes 34-42
It shall be an unfair trade practice to sell garments of sizes larger
than the standard sizes hereinabove set forth at less than the addi-
tional cost for such larger sizes.
SECTION 35. All manufacturers who let out or cause their garments
to be made by contractors shall file with the Cotton Garment Code
Authority the names and addresses of all such contractors.
SECTION 36. All sales must be f.o.b. factory except for shipments
within metropolitan districts from factories located within that area.
SECTION 37. No member of this subdivisional industry shall give
customers' labels of any kind free of charge.

SCHEDULE G
COTTON WASH DRESS INDUSTRY
SECTION 38. Terms.-All members of this subdivisional industry
shall sell merchandise on the shipping tens of f.o.b. city of manu-
facture, or one central shipping point, whichever the manufacturer
elects and which election shall apply to all transactions but shall
include free delivery to any shipping or forwarding point or one
central shipping point or store within the city in which the manu-
facturer is located or in which the one central shipping point is
located. In case of disputed claims on return merchandise transpor-
tation charges shall be paid by whichever disputant loses the decision.
SECTION 39. Terms and Discounts.-It shall be unfair trade prac-
tice to sell merchandise at a cash discount in excess of 8 percent 10
days e.o.m., except that merchandise shipped after the 25th day of
any month may be dated as of the first day of the following month.
Anticipation shall not be allowed at a rate in excess of 6 percent
per annum.
SECTION 40. Returned Goods.-No member of this subdivisional
industry shall accept returned merchandise for credit under any cir-
cumstances except in accordance with the following:
(a) Members of this subdivisional industry may accept mer-
chandise for credit which has been shipped by a customer within
five working days from the date of receipt by the customer in his
store, only for the following reasons: Errors in shipment, delay in








delivery, defective material or workmanship or any breach of con-
tract. Members of this subdivisional industry shall not accept mer-
chandise for credit unless accompanied by a letter or regular return
form mailed by the customer to the manufacturer and received by
the manufacturer prior to the arrival of the merchandise, stating
the contents of the package, reason for the return and the date on
which the merchandise was received. Any dispute may be subject
to arbitration in accordance, with procedure agreed upon by the
Cotton Garment Code Authority vnd the National Retail Code
Authority.
(b) Members of this subdivisional industry shall not accept mer-
chandise for credit shipped after the stated five working days un-
less accompanied by a letter or regular return form mailed by tho
customer to the manufacturer wherein he states that a duplicate,
has been mailed to the Cotton Garment Code Authority, at 40 Worth
Street, New York, N.Y., and received by the manufacturer prior to
the arrival of the merchandise, stating the contents of the package,
the reason for the return and the date the merchandise was received,
and no such return shall be accepted except for breach of contract,
or defect not discoverable on reasonable inspection.
(c) Merchandise returned after the stated five days' period in
areas designated by the Code Authority shall be held intact or un-
opened by the manufacturer, subject to examination by an impartial
representative of the Cotton Garment Code Authority, who shall
direct the acceptance by the manufacturer or the return of She mer-
chandise to the customer. Any appeal from the decision of the
impartial representative shall be subject to arbitration in accordance
with procedure agreed upon by the Code Authority of the Cotton
Garment Indn9try and the National Retail Code Authority. This
provision shall not become effective until the Code Authority shall
have completed organization to administer the same.
SECTION 41. Exchangedl Merchta.nd.qe.-It shall be an unfair trade
practice for any member of this subdivisional industry to accept
returned merchandise for the purpose of exchange.
SECTrON 42. Canrcelafior.s.-No member of this subdivisional in-
dustry shall sell merchandise except, under contract which shall
provide:
! (a) That no purchase order for merchandise shall be subject. to
cancellation before the specified and agreed upon shipping date
written on said order;
(b) That no purchase order shall be subject to cancellation
after the agreed upon shipping date unless cancellation is in writ-
ing, and it. permits the manufacturer three additional working days
from the date of receipt of such cancellation to complete and ship
any and all merchandise in work at that time;
(c) That if no notice of cancellation is received by the manufac-
turer from the customer, all merchandise remaining on order shall
be cancelled by the manufacturer two (2) weeks after the expiration
date of order.
SECTION 43. Retail Sel.ing.-It. shall be an unfair trade practice
for those members of the Cotton Wash Dress Industry, normally
selling to the trade for resale, to sell merchandise to anyone except
to established and recognized wholesale or retail distributors. This








shall not prevent, however, bona fide sales by members to their own
employees of merchandise which is for the personal use of such em-
ployees, or to retail buyers for their own personal use at not less
than the regular wholesale prices, provided the buyers are employed
in the department in which the merchandise of the members of the
industry is usually sold.
SECTION 44. Payment of Labels.-No member of this subdivisional
industry shall give customers' private labels of any kind free of
charge.
SCHEDULE H

COTTON UNDERGARMENT AND SLEEPING GARMENT MANUFACTURING
INDUSTRY
SECTION 45. Terms.-No member of this subdivisional industry
shall grant cash discounts in excess of 8/10 e.o.m. All merchandise
shipped from the first of the month to the 24th of the month inclu-
sive shall be due and payable on the tenth (10th) of the following
month. Bills for merchandise shipped on or after the twenty-fifth
(25th) of the month will carry dating .as of the first (1st) of the
following month. There shall be no additional dating nor shall it
be permitted to build up terms in excess of S, 10 e.o.m.
Manufacturers of flannelettes, manufacturing goods for Fall de-
livery, may have the privilege of granting terms for flannelette wear
as of August 1st, 8%--10 days e.o.m., making said invoice payable
September 10th.
No member of this subdivisional industry shall ship goods on terms
other than f.o.b. point of origin or central shipping point. Mem-
bers of this subdivisional industry may, however, make free deliveries
within the confines of the city limits of the point of origin or central
shipping point.
SECTION 46. No bonus or other consideration other than quantity
discount at time of invoice may be granted in consideration of a
specific volume of business. No allowance of free goods or consid-
eration of any other nature whatsoever other than the quantity dis-
count referred to above may be granted in exchange for volume of
business.
SECTION 47. No member of this subdivisional industry shall ac-
cept the return of any stock in exchange for new stock.
SECTION 48. No member of this subdivisional industry shall give
customers' labels of any kind free of charge.

SCHEDULE I
WORK SHIRT MANUFACTURING INDUSTRY
SECTION 49.-All merchandise shall be sold and billed f.o.b. ship-
ping point. The term shipping point" is defined to mean the place
where manufacturing plant or stock room is maintained for the
actual distribution of merchandise. In any city where a manu-
facturer has a shipping point, it shall be optional with the manu-
facturer whether or not there shall be charges for delivery within
that metropolitan district.







SECTION 50. Ter'ms.-No member of this subdivisional industry
shall grant cash discounts in excess of 1 10 net 60 days to the
recognized jobbing trade, mail order houses, and chain stores oper-
ating ten or more stores, nor in excess of 2 '10 net. 30 days to retail-
ers, other than those mentioned above. AnticiIpation for prepayment
shall not. exceed six (6%) per cent per annum.
SECTION 51. No member of this subdivisional industry shall give
or accept listings.
SECTION 52. No member of this subdivisional industry shall give
or accept options-
SCHIEDULE J
NURSES', MAIDS', AND WOMEN S APRON AND UNIFORM MANUFACTURING
INDUSTRY
SECTION 53. Tenrms.-No member of this subdivisional ind-ustry
shall grant cash discounts in excess. of S '10 e.o.m.
Shipments made on or after the twenty-fifth (25th) day of any
month may be dated as of the first day of the following month.
SECTION 54. No member of this subllivisional industry hall falsely
designate as job lots merchandise which does not. consist of dis-
continued styles or seconds.
SECTION 55. No member of this subdivisional industry shall pay
to any purchaser of merchandise or purchaser's agent any commis-
sion unless it be a regular salesman or sales organization employed
by the manufacturer.
SECTION 56. No member of this subdivisional industry shall give
customers' labels of any kind free of charge.
SECTION 57. Rebates.-No rebate, bonus, or excess discount. shall be
allowed.
SCHEDULE K

WORK CLOTHES MANUFACTURING INDUSTRY

SECTION 58. Terms.-No member of this subdivisional industry
shall grant cash discounts in excess of net 30 days.
SECTION 59. All merchandise shall be shipped f.o.b. factory.
SECTION 60. Standard sizes on open stock for this subdivision
shall be as follows:
1. Youths' sizes shall not exceed age 16 (or size 34) on all gar-
ments except shirts. Shirt sizes shall not exceed size 1414.
2. Men's extra sizes shall begin with: Waist 44 for overalls, pants,
and breeches. Size 48 for coats, combination suits, blazers, wind-
breakers, vests and other similar garments. Size 171, for shirts.
3. It shall be an unfair trade practice to sell garments of sizes
larger than the standard sizes hereinabove set forth at less than
cost for such larger sizes.
Approved Code No. 118-Amendment No. 5.
Registry No. 217-1-06.





UNIVERSITY OF FLORIDA
I 3 II i1262 08482 8994lllll llllllllllll
3 1262 08482 8994




Full Text

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Approved Code No. 118-Am e ndment No. 5 R e gi s tr y No. 217-106 NAT I ONAL RECO V E R Y ADl V HN I S T RA TI O N A ME NDMENT TO CODE OF FAIR COMPETIT I ON FOR THE COTTON GARMENT INDUSTRY AS APPROVED ON AUGUST 16, 1934 WE DO OUR PART UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON: 1934 For sale by the Sup er int e nd e nt of Documents, Wa s hington , D.C. Pr i c e 5 ce n ts

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This publicat!on is for sale by the Superintendent of Documents, Government Printing Office, Washington, D.C., and by di s trict offices of the Bureau of Foreign and Domestic Commerce. DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE Atlanta, Ga.: 5'1 Post Office Building. Birmingham, Ala.: 257 Federal Building. Bo ston, Mass. : 1801 Customhouse. Buffalo , N.Y.: Chamber of Commerce Building. Charleston, S.C.: Chamber of Commerce Building. Chicago, Ill.: S uite 170 0, 201 North Wells Street. Cleveland, Ohio : Chamber of Commerce. Dalla s, Tex. : Chamber of Comm e rce Building. D etroit, Micb. : 80 1 First National Bank Building. Hou ston, Tex. : Chamber of Commerce Building. Indian apo li s, Incl. : C h a mber of Commerce Building. Jack sonv ill e, Fla. : Chamber of Commerc e Builc1ing. Kansas City, Mo.: 1028 Baltimore Avenue. Los Angeles, Calif.: 1163 South Br o adway. L ouisv ill e , Ky.: 4 08 Federal Building. Memphis, Tenn. : 229 Fec1ernl Building. Minneapoli s, Minn.: 213 Federal Buildin g . New Orleans, La.: Room 225-A, Customhouse. New York, N.Y.: 734 Customhouse. Norfolk, Va.: 406 East Plume Street. Philadelphia, Pa.: 422 Commercial Tru s t Building. Pittsburgh, Pa.: Chamber of Commerce Building. Portland, Oreg.: 215 New Post Office Building . St. Louis, Mo.: 506 Olive Street. San Francisco, Calif. : 310 Cu sto mhouse. Seattle, Wash.: 809 Federal Office Building.

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Approved Code N o. 118--Am endment No. 5 AMENDMENT TO CODE OF FAIR COMPETITION FOR THE COTTON GARMENT INDUSTRY As Approved on August 16, 1934 ORDER Al\IENDMENT TO THE ConE OF F AIR CoMFETITION FOR THE CoTToN G ARMENT INDUSTRY An a.pplication having been duly made pursuant t o and in full compliance with the provisions of Title I of the National Indus trial Reco'7"ery Act, appro-ved June 16, 1933, for approval of amen 1ments to a Code of Fair Competition for the Cotton Garment In dustry, and hearings havin g been duly held thereon, and the an nexed report on sa id amendments, containing findings with r espect thereto, having been m ade and directed to the Pre s ident: NOW, THEREFORE, on behalf of the President of the United States, I, Hugh S. Johnson, Administrator for Indu stria l Recov e r y, pursuant to authority vested in me by Executive Ord e rs 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 amendments and the Code as con stituted after being amended, comply in all respects with the p er ti nent provisions and will promote the policy and purpo ses of c:;:aid Title of said Act, and do hereby order that except as her e inafter pro vided said amendments 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, HOvVEVER, that the approval of the amendm ent granted hereby does not extend to Section 32 of Schedule E cover ing the vVashable Service Apparel Industry; it is FURTHER ORDERED that said amendments shall become effec tive as part of the Code ten (10) days after the date hereof. HUGH s. JOHNSON, Administrato1 /01 lndust?-ial R ecoverzJ . Approval recommended : WILLIAl\I P. FARNSWORTH, Acting Division Administ1ator. WASHINGTON, D.C., August 16, 1934. 81150-l0H-80--34 (1)

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REPORT TO THE PRESIDEN T The PRESIDENT, Th e lVhit e Ho use . Srn: The Public H ea ring on amendments to the Code of Fair Com petition for the Cotton Garment Industry as proposed by the Code Authority for this Industry was conducted on Tue sday, May 22, 1934, in the Sun Parlor , Washington Hotel, Washington, D.C. Every person who reque st ed an appearance was fairly heard in accordance with the requirements of the N atidhal Recovery Admin istration. Pr ese nt were authorized repre se ntatives of the Code Au thority for th i s Inclu try, representatives of eac h of th e Sub-Divi sional Trade Associations, representatives o f the National Retail Dry Good s Association and repr esen tative memb e r s of the Indu s try. The Amendments are drafted as a new 1\ s t icle XIX o:f the Code of Fair Competition and completes the Code inasmuch as up to this time the Cotton Garment Code has had no Fair Trade Practices~ The Deputy Achninistrator in his final report to me on said aniend ment to sa id Code having found has herein set :fo rth and on the basis of all the proceeding s in this matter: I find that: (a) The amendment to sa id Code and the Code us amended are well designed to promote the policies and purposes of Title I of the National Indu str ial Recovery Act including the re : moval of obstruc tions to the free flow of inter s tate and foreign co. mmerce which tend to dimini s h the amount th ereo f, and will provide for the genera l welfare by promoting the organization of industry for the purpose of cooperative action among trade groups, by inducing and main taining unit 0 d action of labor and managem ent under adequate gov ernmental sanct ion and supervision, by eliminating unfair competi tive practice , by promoting th 0 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 con Ymption of industrial and agricultural products thr ough increasing purchasing power, by reducing and relie ring un employment, by improving standards of l abor, and by otherwise re habilitating indu st ry. (b) The Code as amended complies in all re '"'pccts with the pert nent provisions of sa id Title of sai d Act, including without limitation Sub ect ion (a) oSection 3, Subsection (a) of S e ction 7 , and Sub . ' ection (b) of Section 10 thereof. ( c ) The Code empowe rs the Co le Authority to present the a -forP , aid amenclnient on behalf of the jndustry as a whole. ( d) Thn amendment and the Code as amended are not de s igned to and w ill not permit monopolies '-~I:' monopoli sti practi ces . (2)

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( e) The amendment and th Code as amended are not designed to and will not eliminate or oppre s mall 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 amendment. For these reasons these trade practice provisions have been ap proved. Respectfully, AUGUST 16, 1934. HUGH s. JOHNSON, A dmin/is tr,ator:.

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:A.M:ENDMENT TO CODE OF FAIR COMPETITION F O R THE COTTON GARMENT INDUSTRY The Code of Fair Competition for the Cotton Garn1ent Industry approved Noven1ber 17, H)33, as amended, is hereby further amended by ,aclding thTeto a new article to be known as Article XIX, to read as :follows: ARTICLE XIX SE TION 1. To further remove obstruction to the :free flow in industry and commerce in the Cotton Garment Indu try and the subdjvi ional industries thereof, to eliminate unfair competitive practic 0 s, to jmprove standards of labor, to rehabilitate the industry and more fully effectuate the policy of Title I of the National Indu s trial Recovery Act, the following shall con titute fair trade practices under the Code: SECTION 2. Nothing in this Article with re pect to fair trade prac tices shall be construed for any purpose or under any circumstance as superseding the provisions of this Code as amended, but it shall be construed as supplemental to this Code as amended and any pro vision of this Article made a part hereof~ found to be in conflict with any of the provisions of this Code ns amended shall be null and void . SECTION 3. The respective t~ade associations for the industry shali be the agencies to cooperate with the Code Authority and the Ad ministrator in the administration of this Article, provided, however, that: (a) The Code Authority under such Rules and Regulations as may be approved by the Administrator may as ign to the trade associations the general supervision, subject to review by the Code Authority, of the administration of this Article, or any part thereof . (b) The Code Authority immediately upon the appro-, al of this Article shall notify the respective trade associations of the sub divisional industries affected and each such association may fi l e with the Code Authority an application that such subdivisional trade association be set up as the adrn . inistrative agency ,,'ith respect to the admini tration of this Article, or any part ther e of. ( c) Any trade association approved both b y the Coc 1 e Authority and the A lministrator under the Code is an ag e ncy in the admin istration of the provisions of this Article and at all time shall be bound by the Rules and Regulations of the Code Authority, or the Administrator. No act of anv as s ociation in the conduct of it duties shall violate any of the provisions of this Cod . (cl) Any act of any trade association to which there hall have been assigned by the Code Authority any power, luty or function under the provi ion of this Article , s hall b e at all time s subje c t to review and cli c:: approval by the Code Authority and the Admin istrator, and nothing herein s lmll be consL. u cl a s granting to any trade a s socj::-. ti on any power or authority exc e pt that pecifically (4)

PAGE 7

5 assigned by the Code Authority, nor shall any prov1s10n herein be construed to reli e v e the Co l e Authority of it ultimat e re s poosibility for the proper administration of th e Cod e . SECTION 4. Th e Code Authority may di. burse to any trade associa tion, approved as an aid in the admini s tration of this Article, from its funds such amounts as from time to time may be nec e ssary and proper to cl fray the expenses of such association in the administra tion of, and complian ce with this Article. SECTION 5. lna co u.rat e Advertising.-No member of the industry shall publi h :ulvertising ( whether printed, radio, display or of any other nature), which is misleading or inaccurate in any material particular, nor shall any member in any way misrepresent any goods (including but without limitation its use, trade-mark, grade, quality, quantity, origin, ize, substance, charact e r, nature, finish, matBrial content or preparation), or credit terms, values, policies, services, or the nature or fo-rm of the business conducted. SECTION 6. False Billing.-No member of the industry shall know ingly withhold from or insert in any quotation or invoice any state ment that makes it inaccurate in any material particular. SECTION. 7. lnacc-u , rat e Labeling.-No member of the industry shall sell, brand, mark or pack any goods in any manner which is in tended to or does deceive or mislead purchasers with respect to the prices 1 brand, grade, quality, quantity, origin, size, substance, char acter, nature, finish, material content or preparation of such goods. SECTION 8. Def c11mation.-N o memoor of the industry shall defame a competitor by falsely imputing to him dishonorable conduct, in ability to perform contracts, questionable credit standing, or by other false representation, or by falsely disparaging the grade or quality of his goods. SECTION 9. Threats of Law Suits.-No member of the industry shall publish or circulate unjustified or unwarranted threats of legal proceedings which tend to or have the effect of harassing competitors or intimidatin otheir customers. SECTION 10. EJ?ibing E1nployees.-N o member of the industry shall give, permit to be given, or offer to give, anything of value for the purpose of influencing 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 t _ he represented party, without the knowledge of such employer, prin . ci pa.l 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 brib ery as hereinabove defined. SECTION 11. Inducing Breach of Existing Oontracts.-No member of the industry shall wilfully induce or attempt to induce the breach of existing contracts between competitors and their customers by any 1neans, or interfere with or obstruct the performance of any such contractual duties or services by any means, with the purpose and effect of hampering, injuring or embarrassing competitors in their business. SECTION 12. Oonsign1nent.-No member of the industry shall ship or sell goods on open order subject to consignment, or by sales agencies, or by any other method which has the effect of selling on

PAGE 8

6 consignment or me,norandum guarant e eing retail or wholesale turn~ o v er. SE O't'ION 13. l{ eepi n g o f R e co r d s .-All members of the industry ancl ull agen c ie s th e r e of h a ll be requir e d to keep a substantial re c ord o f all tran sa c t i o n s . S E CTION 14. A r b i tr a t i on.-Any que s tion or di pute which may ari se b e twe e n o r am o ng any persons, or betwe e n or among any of them und o th e 1 p e r s ons, firm s , or corporation s , for the settlement of w hi c h pro v i sio n h as n ot o r hall n o t hav e be e n mad e in this Code ma y be s nbuutt e cl to n . r b i t r at ion to or under the au s pic e s of any in s titu tio n of rec og niz 1 . ta ncUng having a d e quate facilitie s for the condu ct of s u c h ar b itra t i o n; provi ded all p a rti e s involv e d [l g r e e to su " h n1ethocl of arb it r a tion , and th e d ec i sio n s of s u c h m:bitruti o n shall be fin a l a:nd bindi ng upon a ll parti es . SEc~ rr o N H > . Commission on O o nf.1 acto1• . . -Tlrn Adrn.ini s tra.tor shall f o r t h w i th a p po in t a comm i ss ion of t hr e e per sons , one of whom s hall rep re e nt la b or a n cl sha ll b e n o min a t e d b y th e L abor Advisory B oa r d of N R A , o n . o .E w h om s hall r epr es ent th e manufactur e r s and o n e th e cont r ac t or :=: , t o i nve s t iga te a ll indnstri e s e nga ge d in th e di s tr i bnti o n o f 1Y or k to ont ructor s . Th e c om mif s ion s hall study and inv e sti ga t e th e c o n diti o n . within th e indu st r y i n o rder to d e t er mine what s hall b e a f a j r compe nsati o n to be paid b y th e manufn c tur e r:::; to c on tra c to r::; an d t h e e n ti r qu es tion of th e r e lation hip b e tw ee n man uf ac tur e r an 1 c ontractor. Th e c o m111i ss ion s hall strn.1y the above m en t io n e d s ubj e ct and r ep ort ther e on to th e Admini s tra t or within thr ee .n1 o nth s aft e r th e ap p r o val of A rticl B XIX o f thi s Cod e . Upon re ce ipt of th e. r e p or t, the Admini s trator may hold h e ari..T1gs to con sider s uch report. The decision renrl e red by the Administrator as a res ult of the s aid h e aring s hall b e e :ff ctive a s of the date approved b y the. Admi n istrator. The expen ses of the said commi ss ion s h.all be paid b y th e Co d e Authorit y , pro rated amonosuch subdivi s ional in d u st rie s as affect e d by this S e ction. SEC T IO N 16. St a n d a , r d s .-The Fair Trade Practi"e Complaints C o m m i tt e e h e r e a ft er to be se t up in ac c ordan c e with NRA Bulletin N o . 7 n ti tl d ' 1YI :1nual f o r th e Adju s tment of Complaints" 1nay set u p a n ag ency to work in conjunction with tlrn Bureau of St l1ndarc1s of t h e United Sta tes Go ve rnm e nt to promulg a t e re g ul a tions t o pre vent mi s r e pr ese nta t io n and submit to the Code uthority for snb mi rn i on to th e A d m ini s trator for his appro v :11 a se t of standards,. whi c h, upon their approval, shall bBcon1.e part of this Code and vio la t i o ns will b e subject to the penalti e s of the Act. SE C TION 17. R e tu rn e d Goods.-No merchandi s e purchased and s hi p p e d in good faith a nd in accordance with the buyer's specifica ti o n s within the specified time shall be permitted to be returned to th e s eller after ten days after its receipt hy the purchaser, except on accoun t of clerical or delivery error or faulty merchandis e . This Sec ti on s hall be construe l a s snpple.mentary to sp ec jal provisions in t h e sc hedule f o1 subdivisional industries hereinafter et forth. SE C TI O N 18. Adv e 1•ti . s ing Allow ance s.-No memb e r of the indu s try s hall i v e any a d ve rti in o allowan ce to a custom e r in exces s of .fifty per c en t of the c o st of aid advertising for the purpo s e of promoting the :r ale o:f produ c ts of said member . Nor shall any member of the indu tr y give any ad v ertising allowance to any customer for the pur

PAGE 9

7 pose of promoting the re sa le of said member's products beiow the price at which said member has so ld his products to the customer. This s hall not be construed to prohibit the giving of display matter. No member of the indu stry shall give any advertising allowance to a customer for any adve rtising whic h is intended to promote the resale of any products of any person other than that 0 said member of the indu stry . This provision s hall not apply to the Oiled Cotton Ga1ment Industry. SECTION 19. Rebates.-N o rebate, bonu s, excess discount, freight, or other allowance shall be allow ed unl ess the same are made avail abl e to all customers under lik e terms and conditions. This provision s hall not apply to the Nurses', Maids' nnd vVomen's Apr o n and Uniform Manufacturing Indu s try. SEC TION 20. Elin iina t i on of Oir,t, 111 B;ke and Trim.-N o manufac tur er or contractor shall make produ c ts of hi s su bdi v isional indu s try from fabrics and / or other material s owned or supplied by a jobber, a. r eta il distributor, or the ag e nt, repre se ntative, or corporat e s ub sidiary or affiliate of any such retail distributor; nor shall he manu fa ct ur e such products from fabrics and / or other materials, the pur cha se of which i s made upon the credit of, or payment for which is guaranteed by, such retail distributor or agent, representative or corporate subsidiary or affiliate of such retail distributor. The provisions of this Section shall apply only to: The Men's and Boy s' Shirt and Blou s e Industry except work shirts with the exce . ption of shirt maker s making s hirts to measure for retailers' custom _ shirt departments . Th e Men's and Boys' Pajama and Night Shirt Indu stry . The Sheep Lined and Leath e r Garment Industry. The Cotton Undergarment and Sleeping Garment Industry. The Work Shirt Manufacturing Industry. The Work Clothes Manufacturing Industry. SECTION 21. Shiprn en t of Prison Mad e_ Goocls.-No member of the industry shall ship any merchandise. or goods manufactured by prison labor into any State where the sale of said goods is prohibited or restricted by State law, and in the event that State laws shall require oth er conditions such as branding, then the same 1nember of the industry shall confonn with all of the local requirements of the parti c ular State. The violation of any of the provisions of schedules hereinafter set forth by any member of the subdivisional industry affected shall constitute an unfair trade practice, and shall be deemed to be a vio lation of this code. It shall also be an unfair trade practice and a violation of this code to enter into any agree111 e nt, arrangement or understanding, the result of which shall be to avoid or violate any provisions of this code, or to employ any subterfuge whatsoever to avoid, evade or circum, ent any provisions hereof. SCHEDULE A l\IEN'S AND BOYS' SHIRT AND BLOUSE INDU ST RY EXCEPT WORK SHIRTS SECTION 22 . T e rm.,s .To terms of sale hall be in excess of 3 /10 day s E.0.J\1., or 2 / 10-60 extra. No extra dating shall b e allowed,

PAGE 10

8 nor sliall any othnr subterf uge or change in these terms be used, except that merchandise sh ipped on ur after the 25th o:f any month may be dated as of the first of the following month. In no case shall anticipation of payment e xceed G per cent per annum. SECTION 23. ll-f is1epr e s e ntation ancl hregi1,!a , rs .-( a) i1anufactur ers shall not designate material on any sh irts unless it represents a major portion of the fabric of such shirt. (b) Manufacturers s hall place on shirts not of first quality s uch marking as may be di rected by th e Code Authority under ge n eral rules and regulation s applicable to all manufacturers, indicating such shirts as " irreo ular . " in indelible ink on the center of the neckband of the shirts where it may be seen by purchaser. Such stamping shall be plainly legible. S CHEDUL E B MEN'S AND BOYS' PA.JAM A AND NIGHT SHIRT INDUSTRY SECTION 24 . T errns .-No member o:f thi s subdivisional indm;try shall give terms o f sa le in excess of 2 / 10-60 extra, or 3 / 10 E.O. : M., in which latter case delivery m a de after the 25t h of any month may be dated a s of t he first of the following month. SEc. 25. No member of thi s s ubdivi s ional industry sha ll affix to any of his products inaccurate, fictiti o u s or misleading resale prices. SCHEDULE C OILED COTTON GARMENT INDUSTRY SEC. 26. Terms.-No 1n embe r of this subdivisiona l indu stry sha ll grant terms in excess of 2 / 10 E.O.M : . SEc . . 27. No m ember of this subdivisional industry sha ll give customers' labels of any kind free of charge . SCHEDULED THE UNION MADE GARMENT INDUSTRY SEc. 28. T er1ns .-(a) No 1nember of this subdivisional industry shall grant terms in excess of net 30 days, or 10 prox. from :I.ate of shipm ent; no extra dating. (b) Orders for seasona l merchandise may be shipped prior to shipping date and invoice may be dated as of the shipping date spec fied on the order. Sea s onal merchandise consists of light garme nts for Spring and heavy garments for the Fall. In no case shall ship ment be made prior to 30 days in advance of shipping date. SECTION 29. All" seconds" and imperfect garments shall be identi fied as such by s tamping l egibly and indelibly the word "second" on the ticket and the white pocket, or if the garment has no white pocket, stamping shall be done on some other conspicuous place. SECTION 30. R eturne d Goods. (a). No member of this subdivisiona l industry shall accept returned goods of any stock in exchange for ne,v stock. (b) The return of used merchandise bee.a use of weak fabrics and materials and/or faulty construction will be permi s ible, but no gar

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9 m-ent shall 'be accepted in return i:f it has been destroyed or mutilated maliciou s ly or damaged by acids, chemicals, oil and grease, or da1n aged th.rough tears, snags, or rip, re s ult of carelessness or damaged by rotting or mildew or da1naged by im proper washing, or if the garments have been worn, or if the garment are a ll eged to have shrunk, except where sold as pre-shr1.o1nk, and e:x;cep t for latent defects. SCHEDULE E WASHABLE SETI VICE APP.\ . RF .. L INDUSTRY SECTION 31. J'. e1nis .-N o member of this subdiv i sio n a l indu stry shall grant cash discounts in 0 xcess of 2 / 10 e..-0.m., net 60 days, or 2 / 30 day s, net 60 days, irr espective of quantity purcb.a es, distribu tion, or extension of delivery date . Shipments on or after the 25th of any month of e .o.m. terms may be da.ted as of the first of the following m ont h. SECTION 32. Forw anl Oontracts .-No member of this ubdivisional industry sha ll m.ake cont ract s . , 0th.er than with ho pitals, F ederal , State, or municipal in st itutions where th e delivery period exceeds four months from the date of such coutracts . No member hall post-date or f.alsely dafo contract or invoi ces to frustrate th e pro visions of this Section.1 SECTION 33. Prop e rty jJJ a ' rking and Lab.eling.-N o member of this subdivisional indu st.ry hall ma.rk or tamp with ink any .goods for a linen supply c u stom . er. No mem . ber of this ubdivisional indu st ry shall pay for label of any kind, for any customer~ SCHEDULE F SHEEP LINED AND LEATHER GAR.l\'IENT IND USTRY SECTION 34. Term,s.-T:he followillg are the maximum terms to apply to sales for men's and boys' gannents in this indu stry : (a) Jobb e rs, Mail 01der Floitses and Chain Store T rm,s .-All sal-es of merchandise in January, February and up to ~1arch 10th may have c1atino as of :l\1arch 10th net 30 da_y . From J\1arch 11th to May 31st net 30 days. June 1st to 1'A.ugust 10th may hav-e dating as of Augu st l0tb l:let 30 days. Aftex Augu t 11th net thirty days: no dating. (b) R e tail rs T e ?'7n,/J .-All sa les of me1chandi e from October 1st of current year t o fa,y 31st of th 0 following year not to exceed 2 % ten duys e .0 .111 . Aft.er June lf,t thr te.rms . granted m.ay he 2 % ten days e .o~m. a.:., of Septe1uber 1st. Merchandise shipped after the twenty-fifth (25) day of any month nrny be dated as of the first day of the following month. On s ales of la he' leather garment in this subdivisional in ]u try, it shall be m1f.ua trade practice to sell at a cash discount in exce s of eight (8 % ) per cent ten day e.o.m., except that 1n erchand ise shipped after the tvrenty-fifth (25th) day o:f any month 1nay be dated as of the fir t day 0 the following month. No order s hall be accept ed without -tipulating the sale price, terms a:ncl dat of hipm e nt. No ale ~hall be made by any m e mber 1 Sec pnrag-ra'Pll 3 of order npproving this Amendment.

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10 on any other term except tho e express ly set forth in the order, con tract of ales, or the jnvoice pertain~~g to such sale. Ali orders for jobbers on drop shipments comprising fifty gar ments or les s shall bear an additional charge of five ( 5) cents per garment. The following sizes shall be the standard sizes of garments in this subdivisiona l industry: (a) Jlll en 's and Boys' Garments : 1 Juvenile, Sizes 3-8 2 Boys, Sizes 6---18 Men's Suede Garments, Sizes 34-46 Men's I-Iorsehide and Sheep Linect' Garments, Sizes 34--48 (b) Ladi es ' Garm , ents: 1 Juvenile, Sizes 2-6 2 Girls, Sizes 8-14 3 Misses, Sizes 14-20 4 Ladies, Sizes 34-42 It shall be an unfair trade practice to sell gannents of sizes larger than the standard sizes hereinabove set forth at less than the addi tion al cost for such larger sizes. SECTION 35. All manufacturers who let out or cause their garment.a to be made by contractors sha ll file with the Cotton Garment Code Authority the names and addresses of all such contractors. SECTION 36. All sales must be f.o.b. factory except for shipments within metropolitan districts from :factories located within that area. SECTION 37 . No member of this subdivisional industry shall give customers' labels of any kind free of charge. SCHEDULE G COTTON WASH DRESS INDUSTRY SECTION 38. Ternis.-All members of tb1.is subdivisional industry shall sell merchandi se on the shipping tenns of f.o.b. city of manu fa cture, or one central shipping point, whichever the manufacturer elects and which election shn, ll apply to all transactions but shall includ e free delivery to any shippi ng or forwarding point or one central shipping point or store within the c ity in which th manu facturer is lo cated or in which the one central shipping point is located. In case of disputed claims on return merchandise transpor tation charges shall be paid by whichever disputant loses the decision. SECTION 39. T er nis and Discounts.-It s hall be unfair trade prac tice to sell merchandise at a cash discount in excess of 8 percent 10 days e.o.m., except that nrnrchandise shipped after the 25th day of any month may be dated as of the first day of the following month. Anticipation sha ll not be allowed at a rate in excess of 6 percent per annum. SECTION 40. Returrned Goods.-N o member of this subdivisional industry shall accept returned merchandise for credit under any cir cumstances except in accordance with the following: (a) ]dembers of this subdivisional industry may accept mer chandise for credit which has been shipped by a customer within five wo :r king days from the date of receipt by the customer in his store, only or the following reasons : Errors in shipment, delay in

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11 delivery, defectiYe material or work.mun hip or any breach of con tract. M embers of this subd ivi sional industry shall not accept mer chandise for credit unless accompanied by a letter or regular return form mailed by the customer to the manufacturer and received by the manll:facturer prior to the arriva l of the merchandise 1 stat ing the contents of the package, reason for the return and the date on which the merchandise was 1eceivd. Any dispute may be subject to arbitration in accordance with procedure agreed upon by the Cotton Garment Code A uth ority nnd the National Retail Code Authority. (b) Members o:f this subdivis i ona l industry sha ll not accept mer chandise for credit shipped afteT the stated five working days un l ess accompanied by a letter or regular return form mailed by the customer to the manufacturer wherein he states that a duplicate has been mailed to the Cotton Garment Code Authority, at 40 Worth Str eet, New York, N.Y., and received by the manufacturer prior to th e arrival of the rnerchandis.o, stating the contents of the package, the r 0 a on for the reiurn and th e date the merchandise was received, and no nch rturn ... hall be accepted except for breach of contract, or d efect n ot di coverableon r"a s onable inspection. ( c) :Merchandise returned aftr the stated five days' period in ar eas de. ignated by the Code Authority sha ll be held intact or un opened by the manu:factn rer, subject to examinat i on by an impartial repre entat ive of t h e Cotton Garment Code Authority, who shall direct the acceptance by th-e manufacturer or the return of j-,he mer chandi e to the customer. Any appeal from the d ec ision of t he impartial representative s hall b e subject to arbitration in accordance with procedureagreed upon by the Code A u thority of the Cotton Gannent Indu st ry a nd the N at ional R e-tai l Code Authorit3 . This pr' i ion haH :not become e-ff ctive until the Code Authority sh all hav e complete d organization to administer the same . 8:EC'flON 41. E wclwnged i lf erchanclise. -It shall be an unf air trade pra ctice for any m ember of thi s s ubdivi s i o n a l indn stry to accept return ed merchandise for the purpose of exchange. SwTTON 42. Oancellations.-No member of this subd i v i siona l in du stry sha ll seH merchu.n c 1. i se except under contract which . ha ll pro v. ide: . (a) That no purchase order for merchandise shall be s ubj ec t to cancellation before the specified and agre~d upon shipping date written on said order; (b) That no pur c ha se order shall he su bject to cancellation a:fter the a.greed upon shipping date unle ss cance llation is in writ ino. and it perm it s the manufacturer three additional working days fr o 1 11 th 0 elate of receipt of s u c h cancellation to complet e and sh ip any and all merchan li e in work at that time; (c) That if no notice of cancellation is received by the man ufac tur er om the c u to m all merchandise remainin; on order , hall be cane lled by the manuL.cturer two (2) weeks after the expira.tion date of order. ;E T10X 43. R etail Sellinq.-lt shall be an unfair trade practice :for tho •:. m 0 mbers of th Cotton ,Vash Dre s Industry, normally selling to the trad e for resale, to sell merchandise to anyon except to established and recogniz ed hole saL;; or r tai l distributors. This

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12 shall not p reve n t , howe v e r , bon a fid e a les by members to their own emp loyees of m e r chan di .'e whi c h i for th e p erso nal u s 0 of such em plo yees, or t o ret, t i l bu ye r s f or th e ir o wn p e r on a l use at not less th a n th e regul a r w hol es al e pr ices , pr o vided the buyers are employed in the clepartn1 e n t i n w hi c h th e mer c handise of the m e mber s o-f the jndu s try is u s u a lly s old. SE C TION 44. Pa y m ,e n t of L a b e ls.-N o member of this subclivisional indu s try s hall giv e cu s t o m e r s' private labels of any kind free of ch a rge. S C HEDULE H COTTON UNDERGARMENT AND SLEEPING GARM"ENT M_.ANUF ACTURING INDUSTRY SECTION 45. T e r1 n s.-N o m e mb e r of this subdiYisional industry shall grant ca s h di sc ount s in ex cess of 8 / 10 e.o.m. All merchandi s e. shipped fr o m th e fir s t of the month to the 24th of the month inclu sive s hall be due and payable on the tenth (10th) of the following month. Bill s for mer c handise shipped on or after the twenty-fifth (2 5 th) of th e m o nth will carry dating , as of the first (1st) of the :following month . There s hall b e no additional dating nor shall it be permitted to build up term s in exce ss of 8/ 10 e.o.m. Manufa c turer s of flannel e tt e s, manuf a cturing goods for Fall de liv e r y, may have the privilege of granting terms for flannelette wear as of August 1st, 8 % -10 days e.o.m., making said invoice payable Sept e mb e r 10th. No memb e r of this subdivisional industry shall ship goods on terms oth e r than f.o.b. point of origin or central shipping point. . Iviem ber s of this subdivi s ional industry may 2 however, make free deliveries within the confines of the city limits ot the point of origin or central shipping point. SE C TION 46. No bonus or other consideration other than quantity discount at time of invoice may be granted in consideration of a spe c ific volume of business. No allowance of f.rree goods or consid eration of any other nature whatsoever other than the quantity dis count referred to above 1nay be granted in exchange for volume of bu s iness. SECTION 47. No member of this subdivisional industry shall accept the return of any stock in exchange for new sto c k. , SECTION 48. No member of this subdivisional industry shall give customers' labels of any kind free of charge. SCHEDULE I WORK SHIRT MANUFACTURING INDUSTRY SECTION 49.-All merchandise shall be sold and billed f.o.b. ship ping point. The term " shipping point" is defined to mean the place where manufacturing plant or stock room is maintained for the actual distribution of merchandise. In any city where a manu facturer has a shipping point, it shall be optional with the manu facturer whether or not there shall be charges for delivery within that metropolitan district.

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13 SECTION 50. T e'f'ms .-No member of this sub divisional industry shall grant cash discounts in excess of 1 / 10 net 60 days to the recognized jobbing trade, mail ord e r hou ses, and chain stores oper ating ten or more stores, nor in exc ess of 2 / 10 net 30 days to retail ers, other than those mentioned above. Anticipation for prepaym e nt ~hall not exceed s ix ( 6 % ) per cent per annum. SECTION 51. No member of this subdiv isional industry shall give or acc-ept listings. SECTION 52. No me1nber of this subd ivi s ional industry shall give or accept opt i ons_ SCHEDULE J NURSES', MAIDS', AND WOl\.IEN'S APRON A ND UNIFORM: MANUFA CT URING INDUSTRY SE c .rroN 53. T e1 11 M .No member of this su bdivi siona l industry shall grant cash discounts in excess of 8/1 0 e.o.m. Shipments made on or after the twenty fifth (25th) day of any month may be dated a s of the fir s t day of th e following n1onth. SE C TION 54. No member of thi s subdivisional indu str y sha ll falsely designate as job l ots merchandis e which does not consist of dis continued styl es or seconds . SECTION 55. No member of this subdivisional industry shall pay to any purchaser of 1nerchandi se or purchaser's ag e nt any comm i s sion unless it be a regular salesman or sales organization employed by the manufacturer. SECTION 56. No member of this subdivisional industry shall give customers' labels of any kind free of charge . SECTION 57. Reba . tes.-N o rebate, bonus, or excess discount shall be allowed. SCHEDULE K WORK CLO'.fHES MANUFACTURING I NDUSTRY SECTION 58. Ter1ns.-No member of this subdivisional indu str y shall grunt cash discounts in exce ss of net 30 days. SECTION 59. All m.erchandise shall be shipped f.o.b. factory. SECTION 60. Standard sizes on open stock for this subdivision shall be as follows : 1. Youths' sizes shall not exceed age 16 ( or size 34) on all gar ments except shi rt s . Shirt s iz es shall not exceed size 14. 2. :Men's extra sizes s hall begin with: vVaist 44 for overalls, pants, and breeches. Size 48 for coats, combination suits, blazers, wind breakers, vests and other simi l ar garments. Size 17 for shirts . 3. It shall be an unfair trade practice to sell garments of sizes larger than the standard sizes hereinabove set forth at less than co s t for such larger sizes . Approved Code No. 118-Amendment No. 5. Regi stry No. 217-1-06. 0

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UNIVERSITY OF FLORIDA 111 \\ 11111n11\111\111\111 \\ \\i\1i\1i11\1 \\\\\ 11\1111\11111 \ 3 1262 08482 8994