Citation
Supplementary code of fair competition for the prison equipment manufacturing industry (a division of the fabricated metal products manufacturing and metal finishing and metal coating industry), as approved on July 5, 1934

Material Information

Title:
Supplementary code of fair competition for the prison equipment manufacturing industry (a division of the fabricated metal products manufacturing and metal finishing and metal coating industry), as approved on July 5, 1934
Portion of title:
Prison equipment manufacturing 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:
12 p. : ; 24 cm.

Subjects

Subjects / Keywords:
Prisons -- Equipment and supplies -- United States ( lcsh )
Genre:
federal government publication ( marcgt )
non-fiction ( marcgt )

Notes

Additional Physical Form:
Also available in electronic format.
General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 1118-27."
General Note:
"Approved Code No. 84--Supplement No. 39."

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:
004938379 ( ALEPH )
63655231 ( OCLC )

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Approved Code No. 84-Supplement No. 39 Registry No. 1118-27


NATIONAL RECOVERY ADMINISTRATION


SUPPLEMENTARY
CODE OF FAIR COMPETITION
FOR THE

PRISON EQUIPMENT

MANUFACTURING INDUSTRY
(A Division of the Fabricated Metal Products
Manufacturing and Metal Finishing
and Metal Coating Industry)

AS APPROVED ON JULY 5, 1934


WE DO OUR PART


UNIV. OF FL LII.
DOCUMENTS DEPOT



U.S. DEPONITORY
UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON: 1934


e b Superintendent of Documents, Washington D.C.Price 5 cents
sr ale by the Superintendent of Documents, Washington, D.C. Price 5 cents


NP
L[':


Approved Code No. 84-Supplement No. 39


Registry No. 1118-27

























This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D.C., and by district offices of the Bureau of
Foreign and Domestic Commerce.
DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE
Atlanta, Ga.: 504 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Customhouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North Wells Street.
Cleveland, Ohio: Chamber of Commerce.
Dallas. Tex.: Chamber of Commerce Building.
Detroit, Mich: 801 First National Bank Building.
Houston, Tex.: Chamber of Commerce Building.
Indianapolis, Ind.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
Kansas City, Mo.: 1028 Baltimore Avenue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 40S Federal Building.
lMeinphis, Tenn.: 229 Federal Building.
Minneapolis, Minn.: 213 Federal Building.
New Orleans, La.: Room 225-A, Customhouse.
New York, N.Y.: 734 Customhouse.
Norfolk, Va.: 406 East Plume Street.
Philadelphia, Pa.: 422 Commercial Trust Building.
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis. Mo.: 506 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, Wash.: 809 Federal Office Building.




-_7


Approved Code No. 84-Supplement No. 39

SUPPLEMENTARY CODE OF FAIR COMPETITION
FOR THE

PRISON EQUIPMENT MANUFACTURING
INDUSTRY

As Approved on July 5, 1934


ORDER

APPROVING SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE
PRISON EQUIPMENT MANUFACTURING INDUSTRY

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
Fabricated 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 Prison Equip-
ment Manufacturing Industry, and hearing having been duly held
thereon; and the annexed report on said Supplementary Code, con-
taining findings with respect thereto, having been made and directed
to the President:
NOW, THEREFORE, on behalf of the President of the United
States, I, Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in me by Executive Orders of the
President, including Executive Order No. 6543-A, dated December
30, 1933, and otherwise; do hereby incorporate by reference said
annexed report and do find that said 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 approved.
HUGH S. JOHNSON,
Administrator for Industrial Recoverty.
Approval recommended:
BARTON W. MURRAY,
Division Administrator.
WASHINGTON, D.C.,
July 5, 1934.
72197--829-24--84 l 1













REPORT TO THE PRESIDENT

THE PRESIDENT,
The White House.
SI: This is a report on the Supplementary Code of Fair Competi-
tion for the Prison Equipment Manufacturing Industry, a division
of the Fabricated Metal Products Manufacturing and Metal Finish-
ing and iMetal Coating Industry, the hearing having been conducted
thereon in Washington, D. C., June 5, 1934, in accordance with the
provisions of Title I of the National Industrial Recovery Act.

GENERAL STATEMENT
The Prison Equipment Manufacturing Industry being truly repre-
sentative of this division of the Fabricated Metal Products Manu-
facturing and Metal Finishing and Metal Coating 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 tlhe purpose of the Supplementary Code.
Article II accurately defines specific terms employed in the Supple-
mentary Code.
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
Code.
Article IV establishes a Supplementary Code Authority consist-
ing of five (5) members to be elected by the members of the Industry
at a meeting called by the Temporary Supplementary Code Author-
ity, and gives the Administrator the authority to appoint one addi-
tional member without vote and provides machinery for obtaining
statistics and the administration of the Supplementary Code.
Article V provides for an accounting system and methods of cost
finding and,'or estimating.
Article VI covers the selling below cost. provisions but does not
prohibit sales below cost to meet competition.
Article VII sets forth the unfair trade practices of this Supple-
mentary Code which has been especially designed to offset unfair
competition in this division of the Industry.
Article VIII provides for bidding practices.
Article IX provides against monopolies and monopolistic
practices.









Article X contains the mandatory provisions contained in Sec-
tion 10 (b) and also provides for the submission of proposed amend-
ments to the Supplementary Code.
Article XI, recognizes that price increases be limited to actual addi-
tional increases in the seller's cost.
Article XII states the effective date and duration of this Supple-
mentary Code.
FINDINGS

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 tie 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 organiza-
tion of industry for the purpose 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 Association is an industrial Association truly representa-
tive of the aforesaid Industry; and that said Association imposes
no inequitable 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.
Respectfully,
A dLn;, istrator.
JULY 5, 1934.













SUPPLEMENTARY CODE OF FAIR COMPETITION FOR
THE PRISON EQUIPMENT MANUFACTURING
INDUSTRY

A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AND
METAL FINISHING AND METAL COATING INDUSTRY
ARTICLE I-PURPOSES
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 Prison Equipment Man-
ufacturing Industry, pursuant to Article VI of the Basic Code of
Fair Competition for the Fabricated Metal Products Manufactur-
ing and Metal Finishing and Metal Coating Industry, approved by
the President of the United States on the second day of November,
1933, and the provisions of this Supplementary Code shall be the
standards of fair competition for the Industry and shall be binding
upon every member thereof.
ARTICLE II-DEFINITIONS
SECTION 1. (a) The term Prison Equipment Manufacturing In-
dustry or the Industry ", as used herein, is defined to mean the
manufacturing and'or offering to sell, and,/or selling and 'or instal-
lation by the member of the Industry in whole or in part, of industry
products and or parts for use in connection therewith or incident
thereto.
(b) The term industry products ", as used herein, is defined to
mean and include cells, cell fronts, locking and operating devices,
locks, cell furnishings, windows, window guards, grilles, grating and
plate partitions and doors, and related specialties and parts of cor-
rective in-titution equipment for jails, prisons, reformatories, asy-
lums and other penal and, or corrective institutions, in which public
peace and safety require inmates to be confined and prevented from
escape by all possible mechanical safeguards.
SECTION 2. The terms President ", "Act ", and "Administrator"
as used herein shall mean, respectively, the President of the United
States, Title I of the National Industrial Recovery Act, and the Ad-
ministrator for Industrial Recovery.
SECTION 3. Tile term "' member of this Industry as used herein
includes but without limitation any individual, partnership, associa-
tion, corporation or other form of enterprise engaged in this Indus-
try either as an employer or on his or its own behalf in manufac-
turing, and. or offering to sell, and or selling and/or installation in
whole or in part of industry lpr(ducts.
SECTION 4. The term Basic Code as used herein is defined to
mean the Basic Code of Fair Competition for the Fabricated Metal







5

Products Manufacturing and Metal Finishing and Metal Coating
Industry as approved by the President of the United States on the
second day of November, 1933.
SECTION 5. The term employee as used herein includes any and
all persons engaged in the Industry, however compensated, except a
member of the Industry.
SECTION 6. The term employer as used herein includes anyone
: by whom any such employee is compensated or employed.
SECTION 7. The term Supplementary Code Authority" as used
herein means the agency which is to administer this Supplementary
Code as hereinafter provided.
SECTION 8. The term Supplementary Code Committee" as used
herein is defined to mean the committee authorized to present this
Supplementary Code.
SECTION 9. The term Confidential Agent." as used herein is
defined to mean the impartial agency designated by the Supple-
mentary Code Authority.
SECTION 10. The term "Association is defined to mean the Cor-
rective Institution Equipment Association or its successor.
SECTION 11. The term Federation" as used herein is defined to
mean the Fabricated Metal Products Federation or its successor.

ARTICLE III-ERILOYMENT PROVISIONS

This Industry is a division of the Fabricated Metal Products
Manufacturing and Metal Finishing and Metal Coating Industry
and without, 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 provi-
sions of sub-sections (1), (2) and (3) of Section 7 (a) of Title I
of the Act are made conditions of this Code, are specifically incor-
porated herein and made a part hereof as the wage, hour and labor
provisions of this Supplementary Code.
ARTICLE IV-ORGANIZATION AND ADMINISTRATION

SECTION 1. During the period not to exceed sixty (60) days follow-
ing the effective date of this Supplementary Code, the Supple-
mentary Code Committee of the Industry shall constitute a tem-
porary Supplementa ry Co.le Authority until the Supplementary Code
Authority is elected. There shall be constituted within the sixty-
day period a Supplementary Code Authority consisting of five (5)
members to be elected by the members of the Industry, at a meeting
called by the Temporary Supplementary Code Authority. The
members of the Supplementary Code Authority first elected shall
serve until the following annual meeting of the Association, and
thereafter members of the Supplementary Code Authority shall be
elected at each annual meeting of the Industry to be held at the time
and place of each annual meeting of the Association to serve for
one year and until their successors are elected and qualified; ten days'
advance notice of all meetings to be held hereunder shall be sent
by registered mail to all members of the Industry, whose names may
be ascertained after diligent search, who may vote either in person








or by proxy. The members of the Supplementary Code Authority
shall be elected in the following manner:
(a) One member who shall be a member of the Industry by a
majority vote of all members of the Industry present in person or
by proxy, each member to have one vote.
(b) Four members who shall be members of the Industry and also
members of the Association, by a fifty-one percent vote of the mem-
bers of the Industry, present in person or by proxy, weighted on the
basis of one vote for each member and one additional vote for each
$100,000 of annual sales of industry products averaged over the pre-
ceding five calendar years reported to the Supplementary Code Au-
thority. Provided, however, that no one member may cast more
than 20 percent of the total number of votes cast.
A vacancy in the membership of the Supplementary Code Au-
thority shall be filled by a majority vote of the remaining members
of the Supplementary Code Authority, provided, however, that the
member of the Supplementary Code Authority who is chosen to fill
such vacancy shall be selected from the class of membership in which
the vacancy occurred.
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, unless the Supplementary
Code Authority agrees to pay such expense. The representative who
may be appointed by the Administrator shall be given reasonable
notice of, and may sit at, all meetings of the Supplementary Code
Authority.
SECTION 2. Any trade association directly or indirectly participat-
ing in the selection or activities of the Supplementary Code Authority
shall (1) impose no inequitable restrictions on membership, and (2)
shall use due diligence in submitting to the Administrator true copies
of its Articles of Association, By-Laws, regulations and any amend-
ments when made thereto, together with such other information as
to membership, organization, and activities as the Administrator
may deem necessary to effectuate the purposes of the Act.
SECTION 3. In order that the Supplementary Code Authority shall,
at all times, be truly representative of the Industry and in other re-
spects comply with the provisions of the Act, the Administrator
may prescribe such Hearings as he may 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 pro-
visions, of the Act, may make an appropriate modification of the
Supplementary Code Authority.
SECTION 4. It being found necessary in order to support the ad-
ministration of this Supplementary Code and to maintain the
standards 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
Industry.
(c) After such budget and basis of contribution has been approved
by the Administrator, to determine and obtain equitable contribu-
tion as above set forth by all members of the Industry, and to that
end, if necessary, to institute legal proceedings therefore in its own
name.
Each member of the Industry shall pay his or its equitable con-
tribution to the expenses of the maintenance of the Supplementary
Code' Authority, determined as hereinabove provided, and subject
to rules and regulations pertaining thereto issued by the Adminis-
trator. Only members of the Industry complying with the Sup-
plementary Code and contributing to the expenses of its adminis-
tration as hereinabove provided, 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 emblem or insignia of the National Recovery Admin-
istration.
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 Administrator, 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
Authority, exercising reasonable diligence in the conduct of his
duties hereunder, be liable to anyone for any action or omission to
act under this Supplementary Code, except for his own willful
malfeasance or non-feasance.
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 and proper to enable it
to fully administer this Supplementary Code and to effectuate its
purposes.
Without limitation to the foregoing or any other powers or duties
provided for in this Supplementary Code, this Supplementary Code
Authority shall have the following further powers and duties:
(a) To adopt by-laws and rules and regulations for, and keep
records of its procedure and the administration of this Supple-
mentary Code.
(b) To obtain from members of the Industry, through its Confi-
dential Agent, such information and reports as required for the
administration of this Supplementary Code. In addition to infor-
mation required to be submitted to the Supplementary Code Au-







8

thority, the members of the Industry, subject to this 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; pro-
vided that nothing in this Supplementary Code shall relieve any
member of the Industry of any existing obligation to furnish reports
to any Governmental Agency. No individual report shall be dis-
closed 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 use such trade associations and other agencies as it deems
proper for the carrying out of any of its activities provided for
herein, provided that nothing herein shall relieve the Supplementary
Code Authority of its duties or responsibilities under this Supple-
mentary Code and that trade associations and agencies shall at all
times be subject to and comply with the provisions hereof.
(d) 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 formulating
fair practices to govern the relationships between employers under
this Supplementary Code and under such others to the end that
such fair trade practices may be proposed to the Administrator as
amendments to this Supplementary Code and such other codes.
(e) To make recommendations to the Administrator for the coor-
dination of the administration of this Supplementary Code with
such other codes, if any, as may be related to or affect the members
of the Industry.
(f) To recommend to the Administrator further fair trade prac-
tice provisions to govern members of the Industry in their relations
with each other or with other industries and to recommend to the
Administrator measures for industrial planning, including stabili-
zation of employment.
SECTION 8. To the extent permitted by the Act and subject to
such rules and regulations as the Administrator may prescribe, any
or all information furnished to the Supplementary ('ode Authority
by any member of this Industry pursuant, to the provisions of this
Supplementary 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, accounts
and records of such members of the Industry as may be required to
verify the accurnac of the information so furnished.
SECTION 9. To the extent permitted by the Act, and subject to
such rules and regulations as the Administrator may prescribe, the
Supplementary Code Authority shall have the power to investigate
all complaints. filed with it by one member of the Industry against
another member of the Industry. In the event of complaint being
registered against any corporate member of the Industry, alleging
a violation of this Supplementary Code, the Supplementary Code
Authority may cause an investigation to be made by a person mu-
tually agreed upon by the Suplplementary Code Authority and the
member of the Industry against whom the complaint is filed, or,




Mh7

9
if they are unable to agree within a reasonable time, by a disinter-
ested person appointed by the Administrator ulon request by the
Supplementary Code Authority. The Supplementary Code Au-
thority may require the member complained against to file with such
investigator, within such reasonable time after receipt of a copy of
the complaint, if the Supplementary Code Authority shall deter-
mine, an answer to such complaint accompanied by supporting data.
Both answer and data shall be verified by affidavit. The inves-
tigator shall examine so much of the pertinent books and records
of such member as may be required to verify the statements con-
tained in said answer and,'or the accuracy of the data supporting
such statements. If the matter cannot thereafter be satisfactorily
adjusted within the Industry, the facts may be placed before the
Basic Code Authority to be presented to the Administrator for
such procedure as he. may deem advisable under the Act.
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
require 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
days of notice to him of intention to proceed with such action.
SECTION 11. Every employer shall provide for the safety and
health of employees during the hours and at the places of their
employment. Standards for safety and health shall be submitted by
the Code Authority to the Administrator within six months after
the effective date of the Supplementary Code.
ARTICLE V-ACCOUNTING, COSTING AND ESTIMATING
SECTION 1. The Supplementary Code Authority shall cnuwe to be
formulated an accounting system and methods of co.t finding and/or
estimating capable of use by all members of the Industry. After
such system and methods have been formulated and approved by
the Administrator full details concerning them shall be made avail-
able to all members of the Industry. Thereafter all members of
the Industry shall determine and, or estimate costs in accordance
with the principles of such methods.
SECTION 2. When the Administrator determines that an emergency
exists in this Industry and that the cause thereof is destructive price
cutting, such as to render ineffective or seriously endanger the mainte-
nance of the provisions of this Supplementary Code, the Supple-
mentary Code Authority may cause to be determined the lowest rea-
sonable cost of the products of this Industry, such determination to
be subject to such notice and hearing as the Administrator may re-
quire. The Administrator may approve, disapprove, or modify the
determination. Thereafter, during the period of the emergency, it
shall be an unfair trade practice for any member if the Industry
to sell or offer to sell any product of the Industry for which the
lowest reasonable cost has been determined, at such prices or upon
such terms or conditions of sale that the buyer will pay less therefore
than the lowest reasonable cost of such products.







10

When it appears that conditions have changed, the Supplementary
Code Authority or the Administrator, upon its or his own initiative,
or upon the request of any interested party, may cause the
determination to be reviewed.

ARTICLE VI-SELLINO BELOW COST
No member of this Industry shall sell or exchange or offer to sell
or exchange any products of this Industry at a price or upon terms
and conditions, which will result in the purchaser paying for the
goods received, less than the cost. thereof to the seller, determined
in accordance with a uniform method of costing and/or estimating
above described in Article V; provided, further, however, that a
member of the Industry may sell below his own cost to meet competi-
tion from products of equivalent design, quality, or specifications,
provided the competitor is not violating this Supplementary Code,
and provided that when a member of the Industry sells, or wishes to
sell, below his own cost to meet such competition, he shall so report
to the Supplementary Code Authority and shall cite the competition
which caused him to take this action.

ARTICLE VII-UNFAIR TRADE PRACTICES
In addition to the Unfair Trade Practices covered by Article V of
the Basic Code except Section A, B, F and G thereof as though
herein repeated and set forth at length, and for all purposes of this
Supplementary Code, the following described acts shall constitute
unfair practices. Any member of the Industry who shall directly or
indirectly through any officer, employee, agent or representative use
or employ any of such unfair practices shall be guilty of a violation
of this Supplementary Code.
RULE 1. False Advertising.-No member of the Industry shall
publish advertising (whether printed, radio, display or of any other
nature), which is misleading or false in any material particular, nor
shall any member orally or in any other way misrepresent any
goods (including but without limitation its use, 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.
RULE 2. Secret Rebates.-No member of the Industry shall se-
cretly offer or make to any customer and or customer's agent any
payment or allowance of a rebate, refund, commission, credit, un-
earned discount or excess allowance, whether in the form of money
or otherwise, nor shall a member of the Industry secretly offer or
extend to any customer any special service or privilege not. extended
to all customers of the same class, for the purposes of influencing
a sale.
RULE 3. Alternate Proposals.-No member of the Industry shall
submit an alternate and, or revised proposal unless the privilege of
alternate and/or revised proposals is extended to all bidders who
have qualified and who have fully complied with all plan, specifica-
tion and bidding requirements at the time of opening the bids.
RuLE 4. Substitution. of Materials.-No member of the Industry
shall depart from the plans and, or specifications, for the purpose









and/or with the effect of misleading the buyer as to the grade,
quality, or quantity of products offered or sold, or by the quotation
of any substitute material without clearly identifying the nature of
such substitute material.
RULE 5. Credit Terns.-No member of the Industry shall fail to
charge the legal rate of interest on all delinquent accounts and
balances.
ARTICLE VIII-BIDDING PRACTICES

SECTION 1. It shall be the policy of members of the Industry to
bid directly to Federal and State Governments and Governmental
Sub-divisions thereof on all purchased and, or installations of
Industry products.
SECTION 2. The following acts shall constitute unfair trade prac-
tices and shall be violations of this Supl.plemnentary Code:
(a) Failure to comply fully and rigidly with all plan, specifica-
tion and, or bidding requirements:
(b) Failure to protest to tle awarding authorities the opening of
any irregular bid and 'or proposal not. in full compliance with the
plan, specification and or bidding requirements:
(c) Failure by a member to file with the Confidential Agent within
twenty-four (24) }hours after the time set for opening, a true copy of
each bid submitted by him.

ARTICLE I -MONOPOLIES

No provision of this Supplementary Code shall be so applied as to
permit monopolies or monoii,)polistic practices, or to eliminate, oppress
or discriminate against small enterprises.

ARTICLE X-M()DIFICATIthNS

SECTION 1. As lproided in Sub-.scti(,n (b) of Section 10 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
said Act.
SECTION 2. This Suppllementary Code, except as to provisions
required by the Act, may be modified or amended on the basis of
experience or changes in circumstances, such Inodifications or amend-
ments to be based upon application by the Suppl)i.ementary Code
Authority or other representative group within the Industry to the
Administrator and such Notice and Hearing as lie .-hall specify and
to become effective and be a part of this Suppllementary Code on
approval by the President, and or the Administrator.

ARTICLE XI-PRICE INCREASES

Whereas the policy of the Act to increase real purchasing power
will be made more difficult of consummation if prices O(f goods and
services increase as rapidly as wages, it is recognized that price
increases except such as may be required to meet. individual costs
should be delayed, and when made, such increases should, so far as
possible, be limited to actual additional increases in the seller's costs.







12 i

ARTICLE XII--EFFECTm DATE AND DURATION I

This Supplementary Code shall become effective at 12:01 o'clock
A.M., Eastern Standard Time, 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 procla-
mation, or the Congress shall, by joint resolution declare that the
emergency recognized by Section I of Title I of the National
Industrial Recovery Act, has ended.
Approved Code No. S4--Supplement No. 39.
Registry No. 1118-27.






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Approved Code No. 84-Supplement No. 39 Registry No. 1118-27 NATIONAL RECOVERY ADMINISTRATION SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE PRISON EQUIPMENT MANUFACTURING INDUSTRY (A Division of the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry) AS APPROVED ON JULY 5, 1934 WE DO OUR PART. f I O :#& I'<, UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON: 1934 l ( For sale by the Superintendent of Documents, Washington, D.C. Price 5 cents V

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This publication is for sale by the Supe rintendent of Documents, Government Printing Office, Washington, D.C., and by district offices of the Bureau of Foreign and Domestic Commerce. DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE Atlanta, Ga .: 504 Po st Office Building. Birm i ngham, Ala.: 257 Fede ral Building. Boston, Mass .: 1 801 Customhouse. Buffalo, N.Y.: Chamber of Commerce Build in g. Charleston, S.C. : Chamber of Commerce Building . Chicago, Ill.: Suite 1706, 201 North Wells Street. Cleveland, Ohio: Chamber of Commerce. Dallas. Tex. : Chamber of Commerce Building. Detroit, Mich : 801 First National Bank Building . Houston, Tex.: Chamber of Commerce Building. Indianapolis, Ind.: Chamber of Commerce Building . Jacksonville, Fla.: Chamber o f Commerce Building. Kansas City, Mo.: 1028 Baltimore Avenue. Lo s Angeles, Calif.: 1163 South Broadway. Louisville, Ky. : 408 F ed eral Building. Memphis, T e nn . : 229 Federa l Building. Minneapolis, Minn.: 213 Federa l Building. New Or l eans, La .: Room 225 -A , Customhouse. New York, N. Y.: 734 Customhouse. Norfolk, Va.: 406 Ea s t Plume Street. Philadelphia, Pa . : 422 Commercial Trust Building . Pittsburgh, Pa.: Chamb er of Commerce Building. Portland , Oreg.: 215 New Po st Office Building. St. Louis. Mo.: 506 Olive Street. San Franc i co, Calif.: 310 Cu stomho use. Seattle, Wash.: 809 Federal Office Building .

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Approved Code No. 84-Supplement No. 39 SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE PRISONEQUIPMENT MANUFACTURING INDUSTRY As Approved on July 5, 1934 ORDER APPROVING SUPPLEMENTARY CODE OF F AIR COMPETITION FOR THE PRISON EQUIPMENT MANUFACTURING INDUSTRY A DIVISION OF THE F A BRICATED METAL PTIODUCTS MANUFA.CTURING AND METAL FINISHING AND METAL COATING INDU STR Y An application having been duly m ade pursuant to and in full compliance with the provi sions of Title I of the National Indu stria l Re covery Act, approved June 16 , 1933, and in accordance with the provisions of S ect ion 1 of Article VI of th e Basic Code fo , r the Fabricated Metal Products Manufacturing and Metal Fini sh in g and :Metal Coating Industry, approved November 2, 1933, for approval of a Supplementary Code of Fair Competition for the Prison Equip ment Manufacturing Industry, and hearing having been duly h e ld thereon; and the annexed r eport on said Supplementa ry Code, con taining findings with respect thereto, h aving been ma.de and directed to the President : NOW, THEREFORE, on behalf of the President of the United States, I, Hugh S. Johnson, Administrat or f or Industrial R ecovery, pursuant to authority vested in me by Executive Order s of the Presid ent, includin g Executive Order No. 6543-A, dated Decemb e r 30, 1933 , and otherwise; do hereby incorporate by reference sa id annexed report and do find that sa id Supplementary Code complies in all respects with the pertinent provisions and will promote the policy and purposes of said Title of sa id Act; and do hereby order that said Supplementary Code of Fair Comp etit ion be and it is hereb y approYed. HUGH s. JOHN SON' Aclminisfrator for Industrial Recov er y. Approval recommended: BARTON w. MURRAY, Dvvision Administrator. w ASHINGTON, D.C., July 5, 1934. 72197 -8 29-24-84 (1)

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REPORT TO THE PRESIDENT THE PRESIDENT, The White House. Srn : This is a report on the Supplementary Code of Fair Competi tion for the Prison Equipment Manufacturing Industry, a division of the Fabricated Metal Products Manufacturing and I\1etal Finish i ng and Metal Coating Industry, the hearing having been conducted thereon in vVashington, D. C., June 5, 1934, in accordance with the provisions of Title I of the National Industrial Recovery Act . GENERAL STATEMENT The Prison Equipment Manufacturing I ndustry being truly repre sentative of this division of the Fabricated 1fetal Products 11anu facturing and Metal Finishing and Metal Coating Indu try, 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 o f the Basic Code, for the Fabricated Metal Products Manufactur i ng and Metal Finishing and Metal Coating Industry approved by yo u on the second day of November, 1 933 . RESUME OF THE CODE Articl e I states the purpo se of the Supplementary Code. Article II accurat e ly defines specific terms employed in the Supp l e mentary Code. Article III. This Industry is a division of the Fabricated Metal Products Manufacturing and Metal Fini s hing and Metal Coating Industry and the labor provisions of its Ba ic Code, as approved November 2 , 1933, are the labor provisions of this Supplementary Code. Article IV establishes a Supple1nentary Code Authority consist ing of five (5) members to be elected by the members of the Industry at a meeting called by the Temporary Suppl eme ntary Code Author ity, and gives the Administrator the authority to appoint one addi tional member without vote and provides machinery for obtaining statistics and the administration of the Supplementary Code . Article V provid es for an accounting system and method s of cost finding and /or estimating. Article VI covers the selling below cost provisions but does not prohibit sa l es below cost to meet competition . Article VII sets forth the unfair trade pract i ces of this Supple m entary Code which has be e n espec ially designed to offset unfai r competition in this division of the Indu st ry. Article VIII provides for bidding practices. Article IX provides a gai nst monopolies and monopo li stic practices. (2)

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3 Article X contains the mandatory prov1 10ns contained in Sec tion 10 (b) an l al o proviclel for the ubmi ion of pr po eel am nd ment to the u pp l emen tary od . rticl XI, r ec gnize th at pric in r ease be limit ed to a tual addi tional in rea e in the se ll r' co t. Article XII tates the effec tive date and duration of this Sup1 l e mentary Cod e . FINDINGS Th A s i tant Deputy Admini trator in his final r epo rt to me on said upplem enta ry Code having found as herein set forth and on the ba i of all the pro ceed ing in this matter: I find that: (a) Said Supplementary Code is well desi
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SUPPLEM : ENTARY CODE O F FAIR COMPET I TION FO R THE PRIS ON EQUIPMENT MANUFACTUR I NG INDUSTRY A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AN D METAL FINISHING AND METAL COATING INDUSTRY ARTICLE I PURPOSES To effect u at e the policies of Title I of the National Industria l R ecovery Act, the following provisions are established as a Supple m entary Code of Fair Competition for the Prison Equipment Man ufacturing Indu s try, pursuant to Article VI of the Basic Code o f Fair Competit ion for the Fabri ca ted Metal Products Manufa c tur in g and Meta l Finishing and Metal Coating Industry, approved by th e President of the United States on the second day of November , 1 933, and the provision s of this Supplementary Code s hall be the standards of fair competition for the Industry and shall be binding upon every m-ember thereof. ARTICLE I I-DEFINITIONS SECTION 1. (a) The term "Prison Equipment Manufacturing I n dustry" or the "Industry", as u se d her ein, is defined to mean the manufacturing and/or offering to sell, and / or selling and/or insta lation by the member of the Industry in whole or in part, of industry prod u cts and/o r parts for use in connection therewith or incident thereto . (b) The te rm "indu st ry produc ts ", as u se d her e in, is d e fined to mean and include ce ll s, ce ll fronts , locking and operating devices, locks, cell furnishings, windows, window guards, grilles, gratin~ and plate partitions and d oors, and related s p ec ialti es and parts of cor rective instit u tion eq ui pme nt for j a il s, prisons, reformatories, a s y lmns and other pena l and / or cor re ct ive in stit utions, in which pub l ic peace and safety require inmates to be con fin ed and prevent ed from escape by all possib le mechanical sa f eguar ds. SECTION 2. The terms "President", "Act", and "Administrator" as u sed herein shall mean, respectively, the Pre s ident of th e United States, Titl e I of the National Industrial Recovery Act, and the Ad ministrator for Indu stria l R ecover y. S E CTION 3 . The term "membe r of this Industry" as used herein includ es but without limitation any individual , partner s hip, associa tion, corp oration or other form of -enterpr ise engaged in this Indus try either as an employer or o n his or its own behalf in manufac turing, and /o r offering to sell, and / or selling and / or installation in whole or in part of industry products. SECTION 4 . Th e term " Basic Code " a s used her e in is defined to mean the Basic Code of Fair Comp et ition for the Fabricated Meta l (4)

PAGE 7

5 Products Manufacturing and Metal Finishing and Metal Coating Industry a approved by the President of the United States on the second day of November 1933. SECTION 5. The term "employee" as used herein includes any and all persons engaged in the Indu try, however compensated, except :1 member of the Industry. SECTION 6. The term "employer" as used herein includes anyone by whom any uch employee is compensated or employed. SECTION 7. The term "Supplementary Code Authority" as used herein m e ans the aoency which is to administer this Supplementary Code as hereinafter provided. SECTION 8. The term " Supplementary Code Committee " as used herein is defined to mean the com . mitt e e authorized to present this Supplementary Code. SE TION 9. The term "Confidential Agent" as used herein is define l to mean the impartial agency designated by the Supple mentary Code Authority. SECTION 10. The term. "Association" is defined to mean the Cor rective In titution Equipment Association or its successor. SECTION 11. The term " Federation" as used herein is defined to mean the Fabricated ~fetal Products Federation or its succes s or. AnTICLE III-EMPLOYMENT PnovrsIONS This Industry is a division of the Fabricated Metal Products ~Ianufacturing and l\1etal Finishing and JVIetal Coating Industry and without 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 provi sions of sub-sections (1), (2) and (3) of Section 7 (a) of Title I of the Act are made conditions of this Code, are specifically incor porated herein and made a part hereof as the wage, hour and labor provisions o:f this Supplementary Code. ARTICLE IV-ORGANIZATION AND Anl\IINISTRATION SECTION 1. During the period not to exceed sixty (60) days follow ing the effective date of this Supplementary Code, the Supple mentary Code Committe of the Industry shall con s titute a tem porary Supplementary Code Authority until the Supplem e ntary Code Authority is elected. There shall be constituted within the s ixty day p e riod a Supplementary Code Authority con s i s ting of five ( 5) memb e rs to be elect e d by the members of the Indu s try, at a m e e t ing called by the Temporary Supplementary Code Authority. The 111.embers of the Supplementary Code Authority fir s t elected shall serve until the following annual meeting of the A ss ociation, and thereafter members of the Supplementary Code Authority shall be elected at each annual meeting of the Industry to be held at the time and pla ce of each annual meeting of the A s sociation to s erve for one year and until their successors are elected and qualified; ten days' advance notice of all meetings to be held hereunder shall be sent by regi tered mail to all members of the Industry, whose names may be ascertained after diligent search, who may vote either in person 7

PAGE 8

6 or by proxy. The members 0 the Supplementary Code Authority s hall b e e l ected in the following manner : (a) One member w ho sha ll be a member 0 the Indu stry by a majority vote 0 a ll members 0 the I nd u stry present in person or by proxy, eac h member to have one vote . (b) Four m embers who shall be members of the Industry and also members of the As soc iation, by a fifty-one percent vote of the mem bers of the Industry, present in person or by proxy, weighted on the b asis of one vote for each member and one additiona l vote f or each $100 , 000 of annual sa l es of indu stry products averaged over the pre ceding five calendar years reported to the Supp l ementary Code Au thority. Provided, ho wever, that no one member may cast more than 20 percent o f the total number of votes cast. A vacancy in t he membership of the Supplementary Code Au thority shall be filled by a majority vote of the remaining members of the Supplementary Cod e Authority, provided, however, that the member of the Supplementary Code Author ity who i s chosen to fill such vacancy shall be selected :from the class of memhershi p in whic h the vacancy occurred. In addition thereto the Administrator may appoint a member of the Supplementary Code Authority who shall be without vote and shall se rve without expense to t h e In dustry, unless the Supplementary Code Authority agrees to pay such expense . The r epresentat i ve who may be appointed by the Administrator sha ll be given reasonable notice of, and may sit at, all meetings 0 the Supplementary Code Authority. SECTION 2. Any trade associat ion directly or indir ectly participat ing in the se l ect ion or activ iti es of the Supplementary Code Authority shall (1) impose no inequi table re s trictions on membership, and (2) sha ll use due diligence in s ubmitting to the Administrator true copies of it s Articles of Association, By-L aws, regulations and a ny amend ments when made thereto, together with such other information as to membership , organizat i on, and activities as the Administrator may d eem necessary to e ffectuate the purposes of the Act. SECTION 3. In order th a t th e Supplementary Code Authority shall, at all times, be truly representative of the Indu s try and in ot her re spects comply with the provisions o f the Act, the Administrator may pre cribe such Hearings as he may deem proper; and, thereafter, if he shall find that the Supplementary Code A u t ho rity is not truly repre se ntative or does not in oth e r respects comply with the pro visions of the Act, may make an appropriate modification of the Supplem e ntary Code Author ity. SECTION 4 . It b eing found necessary in order to support the ad ministration of this Supplementary Code and to maintain the standards of fair compet iti on established hereund er and to effectuate the policy of the Act, the Supplem entary Code Authority is authorized: (a) To incur such r easonab le obligations as are necessary and proper for the foregoing purposes and to meet such oblig a tions out of funds which may be raised as hereinafter provided and which shall be held in trust for the purposes o f the Supplementary Code. (b) To subm it to the Administrator for his approva l , subject to such noti ce and opportunity to be heard as h e may deem necessary: (1) an itemized budget of its estimated expenses for the for egoi ng

PAGE 9

7 purpo e and (2) an equitable ba s is upon which the funds necessary to support uch budg t shall be contributed by members of the Indu try. . ( c) After uch budget and ba is of contribution has been approved by the Administrator, to determine and obtain equitable contribu tion a above set forth by all members of the Indu try, and to that end if nece sary, to in titute legal proceedin o s therefor in its own name. Each member of the Industry shall pay his or its equitable con tribut ion to the expen es of the maintenance of the Supplementary Code Authority determined as hereinabove provided, and subject to rules and regulations pertaining thereto is ued by the Adminis trator. Only members of the Industry complying with the Sup plementary Code and contributing to the expen es of its adminis tration as hereinabove provided , shall be entitled to p a rticipate in the selection of members of the Supplementary Co l e Authority or to r eceive the benefits of any of its voluntary activitie s or to make use of any emblein or in ignia of the National Recovery Admin istration. The uppl ementary Code Authority shall neither incur nor pay any obligations in excess of the amount thereof as estimated in its appro-,ed budget, except upon approval of the Adm ini strator, first obtaine L and no subsequent budget shall contain any deficiency item for expenditures in exce of prior budget estimates except those which the Administrator shall have so approved. SECTION 5. Nothing contained in this Supplementary Code hall constitute the members of the Supplementary Coda Authority part ners for any purpo e . Nor shall any member of the Suppl ementa ry Code Authority be liable in any manner to anyone for any . act of any other memb er, officer, agent or employee of the Supplementary Code Authority. Nor hall any 1nember of the Supplementary Code Authority, exercising rea s onable diligence in the conduct of his duties hereunder , be li ab l e to anyone for any action or omission to act under this Supplementary Code, except for his own willful malfeasance or non fea s ance. SECTION 6. The Supple11J.entary Code Authority sha ll also from time to time furni s h to the Basic Code Authority, designated in said Ba ic Cod e, u c h information as may be require l to be furnished und er the term of said Basic Code. SECTION 7. The Supplementary Code Authority shall have all the powers and luties which shall be n ecessar_y and pr oper t enable it to fully aclmini ter this Suppl eme ntary Code and to effectuate its purposes. "'\Vithout limitation to the foregoing or any other powers or duties proYided for in thi Supp l ementary Code, this Supplementary Coclo Authority shall have the following further power s an l d uties : (a) To adopt by-laws and rules and regulation s for, and keep record s of it procedure and the admini tration of this Supple mentary Code. (b) 'l'o obtain frmn members of the Indu t ry , through its Confi dential Agent, such information and r eports as required for the admini stration of this Supplementary Code. In addition to infor mation required to be subm itted to the Supplementary Code Au7

PAGE 10

8 thority, the members of the Industry, subject to this Supplementary Code, s hall furni s h such statistical information as the Adrn.inistrato r may deem nece ssary for the purposes recited in Section 3 (a) of the Act, to such Federal and State Agencies as he may design~te; pro vided that nothing in this Supplementary Code shall relieve any member of the Industry of any existing obligation to furnish reports to any Governmental Agency. No individual report shall be dis closed 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 use such tr~de associations and _other ~g;e:1-cies as ~t deems proper for the carrying <;>ut of a_ny of its ~ctivities provided for herein provided that nothing herein sha ll relieve the Supplementary Code .Authority of its duties or responsibilities under this Supple mentary Code and that trade associations and agencies sha ll at all times be subject to and comply with the provisions hereof. ( d) To appoint a Trade Practice Committee which shall meet with the trade practice committees appointed und er such other codes as may be related to the Indu s try for the purpose of formulating fair practices to govern the relation s hips between employers under this Supplementary Code and under such others to the end that such fair trade practices may be propos e d to the Administrator as amendments to this Supplementary Code and such other codes . ( e) To make recommendations to the Administrator for the coor dination of the administration of this Supplementary Code with such other codes, if any, as may be related to or affect the members of the Indu stry. (f) To recommend to the Administrator further fair trade prac tice provisions to govern members of the Industry in their relations with each other or with other indu s tries and to recommend to the Administrator measures for indu stria l planning, including stabi li zation of emp loym ent . SECTION 8. To the extent permitted by the Act and sub j ect to such rules and regulations as the Administrator may pre sc ribe, any or all information furnished to the Supplem e ntary Code Authority by any memb e r of thi s Industry pur s uant to the provisions of this Supplementary Code s hall be subject to verification by an impartial agency agreed upon by th e Supplementary Code Authority, and the m ember of the Indu stry in qu est ion, and, failing such agreement such impartia l agency shall be selected by the Admini st rator, which impartial agency may check so much of the pertinent books, accounts an~ re cords of s uch memb e rs of the Indu st ry as may be r e quired to verify the accuracy of the information so furnished. SECTION 9. To the extent permitted by the Act, and subject to such rules and regulations as _ the A 1ministrator may prescribe, the Suppl eme ntary Code Authority s hall have the power to inv est igate all complaints fil ed wit h it by one m e mber of the Industry against ano_ther memb~r of the Industry. In the event of complaint being registered against any corporate memb e r of the Industry, allegina a violation of this Supplementary Code, the Supplementary Cod~ Authority may cause an inv est igation to be made by a person rnn tually agreed upon by the Supplementary Code Authority and the member of th Indu stry against whom the complaint is filed, or,

PAGE 11

9 if they a re unable to agree within a rea sonable time, by a disinter ested person appointed by the Administrator upon request by the Sup plementary Code Authority. The Supplementary Code Au th or it y may require the member complained again t to file with such in vestigator, within such rea onable time aft e r receipt of a copy of th e complaint, if the Supplementary Code Authority shall deter mine, an answ r to uch complaint accompanied by supporting data. Both answer and data shall be verified by affidavit. The inves tigator shall examine s o much of the pertinent books and records of s uch member as may be required to verify the statements con tained in aid answer and/or the accuracy of the data supporting such statements. If th e matter cannot thereafter be satisfactorily adjusted within the Indu st ry the facts may be placed before the Basic Code Authority to be presented to the Administrator for such procedure as he may deem advisable under the Act. SECTION 10. If the Administrator believes that any action of the Supplem entary Code Authority or any agency thereof is unfair or unju t or contrary to the public in terest, the Administrator may require that such action be suspen ded to afford an opportunity for in vestigation of the merits of suc h action. Fur ther action by such Supplementary Code Authority or agency rega r ding the matter complained of may be taken if a pp roved by the Administrator but s h a ll not be taken if disapproYed by the Administrator within thirty days of notice to him of intention to proceed with s u ch action. SECTION 11. Every employer sha ll provide for the safety and h ealth of employees during the hours and at the places of their emp l oyment . Standards for safety and health s hall be submitted by th e Code Authority to the Administrator within six months after the effective date of the Supplementary Code. ARTICLE V-AccouNTING, CosTING AND EsTIM ATING SECTION 1. The Supplementary Co de Authority hall cau s e to be f ormulated an accounting sy tem and methods of cost finding and / or e s timating capable of use by all members of the Industry. After such system and n1ethods have been formulated and approved by the Administrator full details concerning thein sha ll be made avai able to all members of the Indu stry. Thereafter all members of the Industr y shall d eterm in e and/or estimate costs in accordance with the principles of such method . SECTION 2 . When t he Administrator determines that an emergency exist s in this Indu stry and that the cau e the r eof is destructive price cutting, such as to render ineffective or seriously endanger the mainte nance of the provisions of this Supplem.entary Code, the Supple mentary Code Authority may cause to be d eterm in ed the lowest rea sonable co t of the products of this Industry , such determination to be s ubje ct to uch notice and hearing as the Administrator may re quire. Th e Administrator may approve, disapprove, or modify the determination. Thereaft e r, during the period of the emergency, it shall be an unfair trade practice for any member -1f the Industry to sell or offer to sell any product of the Industry for which the lo west reasonable cost has been determined , at such priee or upon su ch terms or conditions of sale that the buyer will pay l ess therefor th a n the lowe st reasonable cost of s uch products.

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10 When it appears that conditions have changed, the Supplementary Code Authority or the Administrator, upon its or his own initiative, or upon the request of any intere s ted party, may cause the determination to be reviewed. ARTICLE VI-SELLING BELOW CosT No member of this Industry shall sell or exchange or offer to sell or exchange any products of this Industry at a price or upon terms and conditions, which will result in the purchaser paying for the goods received, le ss than the cost thereof to the seller, d eter mined in accordance with a uniform method of costing and/or estimating above described in Article V; provided, further, however, that a member of the Industry may sell below his own cost to meet competi tion from products of equivalent design, quality, or specifications, provided the competitor jg not violating this Supplementary Code, and provided that when a member of the Industry se lls, or wishes to sell, below his own cost to meet such competition, he s hall so report to the Supplementary Code Authority and shall cite the competition which caused him to take this action. ARTICLE VII-UNFAIR TRADE PRACTICES In addition to the Unfair Trade Practices covered by Article V of the Ba s ic Code except Section A, B, F and G thereof as though herein repeated and se t forth at length, and for all purposes of this Supplementary Code, the following described acts sha ll const itute unfair practices . Any member of the Industry who shall directly or indirectly through any officer, employee, agent or representative use or employ any of such unfair practices shall be guilty of a violation of this Supplementary Code. RuLE 1. Fals e Adv e rtising. -No member of the Industry shall publish advertising , (whether printed, radio, display or of any other nature), which is misleading or fal se in any material particular, nor shall any member orally or in any other way misrepresent any goods (including but without limitation its use, grade, quality, quantity, origin, size, s ub st ance, character, nature, finish, material, content or preparation) or cred it terms, values, policies, services, or the nature or form of the bu si ness conducfa : d . R u LE 2. Secret R e bat e s .N o m e mber of the In dustry shall se cretly offer or make to any customer and / or customer's agent any paym en t or allowance of a rebate, refund, commission, credit, un earned discount or excess allowance, whether in the form of mon e y or otherwise, nor shall a m e mber of the Industry secretly offer or extend to any customer any spec ial se rvice or privilege not extended to all customers of the same class, for the purposes of influencing a sale. RULE 3. Alt e rnate Proposals.-No member of the Indu stry shall submit an alternate and / or revised proposal unless the privilege of alternate and / or revi sed proposals is extended to all bidders who have qualified a nd who have fully complied with all plan, specifica tion and bidding requirements at the time of opening the bids . RULE 4. Substitution of M aterials .-N o m em ber of the Indu stry shall depart from the plans and / or specifications, for the purpose

PAGE 13

11 and/or with the effect of misleading the buyer as to the grade, quality, or quantity of pro iucts offered or sold, or by the quotation o f any substitute material w i thout clearly identifying the nature of such s u bstitute material. R LE 5. Credit T e1is . No member of the Industry shall fail to charge the legal rate of interest on all delinquent accounts and balances . ARTICLE VIII BIDDING PR ACTICES SECTION 1. It shall be the policy of member s of the Indu try to bi l Erectly to Federal and State Governments and Governmental Sub divisions thereof on all purchases and/or in tallations of Industry produc ts . SECTION 2. The :following acts shall constitute unfair trad e prac tices and shall be violations of this Supplementary Code: (a) Failure to comply fully and rigidly with all plan, spec ifica tion and / or bidding requirements: ( b) Failure to prote t to the awarding authorities the opening of any irregular bid and/or proposal not in full compliance with the pla n , specifi ation and / or bidding requir ements : ( c) Failure by a memb e r to fil e with the Confidential Agent within twenty four (24) hour s after tbe time set for opening, a true copy of each bid submitted by him. ARTIOLE IX MONOPOLIES No provision of this Suppl ementary Code shall b e so applied as to permit monopolie s or 1nonopolistic practices, or to eliminate, oppress or di sc riminate against small enterprises. ARTICLE X-MODIFICA TION s SECTION 1. As provided in Sub-section (b) of Section 10 of the Act, the Presid ent may from time to time cancel or modify any order, approval, license, rule or r eg uhiti on issued und er Title I of said Act. SECTION 2. This Supplementary Code, except as to provisions required by the Act, may be modifie l or amended on the basis of experience or chane;es in circumstances, such modifications or amend ments to be ba sed up o n application by the Supplementary Code Authority or other repr esentative group within the Industry to the Administrator and such Notice and H earing as he sha ll spec ify and to become e:ffecti ve and be a J art of this Supplementary C ode on approval by the Presid ent, and/or the Administrator . ARTICLE XI-PRICE INCREA SE S "\ Vherea the policy of the Act to increa se real purcha sing power w i ll be made more difficult of consummation if pric es of goods and services increa se as rapidly as wages, it is recognized that price increases except such as may be required to meet individual costs should be delayed, and when made, such increa es should, so far as possible, be limited to actual additiona l increases in the seller's costs .

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12 ARTICLE XII-EFFECTIVE DATE AND DURATION This Supplementary Code shall become effective at 12: 01 o'clock A.M., Eastern Standard Time, on the tenth day after it is approved by the President and sha ll continue in effect until June 16, 1935, or the earliest date prior thereto on which the President shall, by procla mation, or the Congress shall, by joint re olution declare that the emergency recognized by Section I of Title I of the National Industrial Recovery Act, has ended. Approved Code No. 84--Supp l ement No. 39. Registry No. 1118-27. _ Q

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UNIVERSITY OF FLORIDA II I II IIIII I Ill Il l l lll l ll lll I I IIII II II II II II II 11 1 11 1 111 1111 11 111 1 3 1262 08584 7 456