Citation
Code of fair competition for the processed or refined fish oil industry as approved on August 8, 1934

Material Information

Title:
Code of fair competition for the processed or refined fish oil industry as approved on August 8, 1934
Portion of title:
Processed or refined fish oil 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:
p. 39-55 : ; 24 cm.

Subjects

Subjects / Keywords:
Fish oil industry -- Law and legislation -- United States ( lcsh )
Genre:
federal government publication ( marcgt )
non-fiction ( marcgt )

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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. 612-01."
General Note:
"Approved Code No. 500."

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:
004938343 ( ALEPH )
63654774 ( OCLC )

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Full Text




Approved Code No. 500 Registry No. 612-01


NATIONAL RECOVERY ADMINISTRATION




CODE OF FAIR COMPETITION

FOR THE

PROCESSED OR REFINED

FISH OIL INDUSTRY


AS APPROVED ON AUGUST 8, 1934


UNIV. OF FL LiB.




U.S. DEPt.C-..o




UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON: 1934


r e the Superintendent o Document, Wa on, D.CPrice 5 ent
For sale by the Superintendent of Documents, Washington, D.C. - Price 5 rents


Approved Code No. 500


Registry No. 612-01

























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
At;liiin, Ga.: 50.1 Post Office BLuibliug.
Iirininiuham, Ala.: 257 Federal Building.
Bo.-ton, 3Mass.: 1S01 Custumhouse.
Bufftalo, N.Y.: Chamber of Commerce Building.
Clarleston,. S.C.: Chamber nf Commerce Building.
ChiiaiCo, Ill.: Suite 17(G, 201 North \Wells Street.
Clevelan.d. Ohio: Chlamber oif Commerce.
Dallas, Tex. : ClIm!Ibler O.f ColIIjmLrcLe Building.
Detroit, Mich.: S01 First National Bank Building.
Houston, Tes.: Chamber of Commerce Building.
Indian'apolis, Ild.: :Chamber of Commerce Building.
Jacksonville. Fla.: Chamber of Commerce Building.
Kanlsas City, M.o.: 1028 Baltimore Avenue.
Los Angeles. Calif.: 1163 South Broadway.
Louisville. Ky.: -l10 Federal Building.
Memilpis, Tenn.: 229 Federal Building.
Iin-'lcai-olis, Mminn.: 213 Federal Building.
New Orlenns, La.: Room 225-A, Custumlouse.
New York. N.Y.: 734 Customhouse.
Norfolk. Va.: 406 East Pluime Street.
Philadelhiiia. Pa.: 422 Commercial Trust Building.
Pittsburgh, Pa.: Cha:lmber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, 1Mo.: 506 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, Waslh.: 809 Federal Office Building.














Approved Code No. 500


CODE OF FAIR COMPETITION
FOR THE

PROCESSED OR REFINED FISH OIL INDUSTRY

As Approved on August 8, 1934


ORDER

APPROVING CODE OF FAIR COMPETITION FOR THE PROCESSED OR
REFINED FISH OIL INDUSTRY
An application having been duly made puirsnant to and in full
compliance with the provisions of Title I of the National Industrial
Recovery Act, approved June 16, 1933, for approval of a Code of
Fair Competition for the Processed or Refined Fish Oil Industry,
and hearings having been duly held thereon and the annexed report
on said code, containing findings with respect thereto, having been
made and directed to the President:
NOW, THEREFORE, on behalf of the President of the United
States, I, Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in me by Executive Orders of the Presi-
dent, including Executive Order No. 6543-A, dated December 30,
1933, and otherwise; do hereby incorporate by reference said annecx-d
report and do find that said 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 code of fair
competition be and it is hereby approved.
HUGH S. JOHNSON,
Administrator for Indwutrial Recovery.
Approval recommended:
ARMIN W. RILEY,
Division Administrator.
WASHINGTON, D.C.,
August 8, 1934.
79269'--104 4-45---34-1 (39)













REPORT TO THE PRESIDENT


The PRESIDENT,
The White House.
SIR: Tlis, is a report on the Code of Fair Competition for the
Processed or Refined Fish (il Industry, as revised after the Public
Hearing held in Washington, D.C., on March 17, 1934, in accordance
with the provisions of the National Industrial Recovery Act.
I. DESCRIPTION OF THE INDUSTRY
The industry covers the refining of fish oil by various processes
as outlined in the code, and the selling of the resultant product as
refined or processed fish oil. The improvement. in the technical refin-
ing methods during recent years lha-, permitted the use of refined fish
oils in a wider range of products than wats formerly the case. A
large, but unknown, quantity of crude fish oil is refined by operators
who use t.he refined oils in their own further mianu1facture. Such
operators are not covered by the code as they do not sell the refined
oils as such.
Most of the refined oil- produced by this indu-stry are used by
manufacturers of paints and floor coverings. The manufacture of
vitamin tested oils solely for therapeutic purpose- is not included
in this indu-;try, but when such oils are sold in competition with
ordinary refined or processed fish oils, the ciNde provisios shall be
applicable therto. For paint and floor covering uses, the refined
fish oils are in direct, competition with linseed, perilla,, and other
vegetable drying oilS,, niost of which are of foreign origin.
The refineries are generally fairly large iand are located either
near the sources of supply or near the points where their products
are used. There are a number of business organizations which are
brogilit. in part. under the provisions of this code due to the fact
that they do soIme refining or processing of fish oil at the same time
they carry on other operations. In order to maintain fair competi-
tive conditions, it is believed that both the refiners- who refine as their
p inicipal business and tlose who refine incidentally to other opera-
tions should work under the same conditions.
There are al:(out ten distinct business entities in the industry, oper-
ating some twenty plant-. The value of the refined or processed oil
produr-',d annually is alpproximately five million dollars, which
roughly clluals tlie invested capital. The employees in the industry
number between 600; and 700 according to reliable estimates.
II. LABIiR PiROVISKINS
The code provisions will result in a considerable reduction in work-
ing holl and should increase employment, by some 2L0 or 25 percent.
Wages in the indlistry have been high and there will be but. little
(-40)




"!'**










increase in the individual pay as a result of the code provisions.
The wages proposed are up to or above those generally provided in
codes.
III. UNFAIR METHODS OF COMPETITION

The code contains the usual unfair trade practices, including the
new provisions relative to open prices. In addition, the code pro-
vides for the elimination of future contracts containing a guarantee
against price declines, and also makes a provision for the establish-
ment of grades and standards.

IV. ADMINISTRATION

The code attempts to provide for the protection of the large,
medium arid small size operators by establishing a code authority
of four members made up in a designated manner to represent each
of these groups, with a fifth member from outside the industry, to
be elected by the four others. Reports of annual production are
required from all members, and these are to be used in classifying
members as large, medium and small size. Assessments for the
expenses of code administration are based on the annual production
of each member.
V. FINDINGS

The Deputy Administrator in his final report to me on said code,
having found as herein set forth and on the basis of all the proceed-
ings in this matter:
I find that:
(a) Said code is well designed to promote the policies and pur-
poses 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 provide
for the general welfare by promoting the organization of industry
for the purpo-e of cooperative action among the trade groups, by
inducing and maintaining united action of labor and mnanrgement
under adequate governmental sanctions and supervision, by eliminat-
ing unfair competitive practices, by promoting the fullest possible
utilization of the present. productive capacity of industries, by avoid-
ing undue restriction of production (except as may be temporarily
required by increasing the consumption of industrial, fishery, 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 code as approved complies in all respects with the per-
tinent provisions of said Title of said Act, including without limita-
tion Subsection (a) of Section 3, Subsection (a) of Section 7, and
Subsection (b) of Section 10 thereof; and that the applicant asso-
ciation is an industrial association truly representative of the afore-
said industry; and that said association imposes no inequitable
restrictions on admission to membership therein.








42

(d) The code is not designed to and will not permit monopolies
or monopolistic practices.
(e) The code is not designed to and will not eliminate or oppress
small enterprises and will not operate to discriminate against them.
(f) Those engaged in other steps of the economic process have
not been deprived of the right to be heard prior to approval of
said code.
For these reasons, therefore, I have approved this code.
Respectfully,
HUGH S. JOHNSON,
Admin istrator.
AUGUST 8, 1934.














CODE OF FAIR COMPETITION FOR THE PROCESSED OR
REFINED FISH OIL INDUSTRY

ARTICLE I-PURPOSE

SECTION 1. To effectuate the policies of Title I of the National
Industrial Recovery Act, the following provisions are established
as a code of fair competition for the processed or refined fish oil
industry, and shall be the standards of fair competition for such
industry, and shall be binding upon every member thereof.

ARTICLE II-DEFINITIONS

SECTION 1. As used in this code:
(a) The term "President means the President of the United
States.
(b) The term "Act and the term "Administrator" mean re-
spectively Title I of the National Industrial Recovery Act, and the
Administrator for Industrial Recovery.
(c) The term processed or refined fish oil industry" or "indus-
try means the business of processing or refining fish oil (either
directly or through the emplloyment of an independent contractor,
an agent, or through any other instrumentality) for sale or delivery
as processed or refined fish oil; and such related branches or subdi-
visions as may from time to time be included under the provisions of
this code.
(1) The term processing'" means the blowing of air through or
into fish oil to oxidize or polymerize it; treating such oil with heat
or organic or inorganic chemicals; deodorizing such oil with steam,
air, or chemicals: bleaching such oil with inert earths or chemicals;
and. or destearinizing such oil by removing to any degree therefrom
the fats contained therein which have a high melting point.
(2) The term refining means the treatment of fish oils by alka-
line substances or acids (organic or inorganic) or by inert earths.
(d) The term member of the industry includes any individual,
partnership. association, corporation, or other form of enterprise en-
gaged in the industry, either as an employer or on his or its own
behalf.
(e) The term employeee means any individual engaged in the
industry in any capacity, however compensated, except a member of
the industry.
(f) The term employer means any member of the industry by
whom any such employee is compensated or employed.
(g) The term State includes the several states, the District of
Columbia, the several Territories of the United States, and the in-
sular possessions or other places under the jurisdiction of the United
States.
(43)









(h) The term subsidiary means any member of the industry of
or over whom a member of the industry has, either directly or in-
directly, actual or legal control, whether by stock ownership or in
any other manner.
(i) The tern affiliate means any ilember of the industry who
has, either directly or indirectly, actual or legal control of or over
a member of the ind!litry, whether by stock ownership or in any
other 1i1::nI1n'r.
(j) The term outside salesmann means any salesman who per-
forms exclusively elline functions outside the establishment of a
memIber of the iwlustry, and does not deliver.
(k) ThiAi term watchman moan- an employee whose principal
function is watchlin, or uar ding the plremise.- or property of his
employer.
(1) The term i Codle Authority means the processed or refined
fish oil induitry control auithlrity created under Article VII hereof.
(m) The terin price term.i" means prices, discounts, rebates,
allowances, and all therer t-rm.s ,r conditions of -ale.

A:nTCLI: III-Hor-s OF LAIOr

SECTION 1. No eJlmloyee -hll 1, permitted to work in excess of
the normal houir.- stated below for the particular occupations speci-
fied, except as p1rovilded in Section 6 of this Article.
SECTION 2. 'Thie normal hour for chaiuffeurs, deliverymen, engi-
ne"r.s, and firemen shall be forty-eight. (4S) hours per week.
SECTIsN 3. The normal hours fior employees engaged in the dual
capacity of filremanl or engineer and watchman shall be forty-eight
(48) hours per week, and eight (S) hours per day provided, that
such employees are paid not. less than $30.00 per week.
The normal lhurs for employees eng.!agd solely as watchmen shall
be fifty-.ix (50) hours per week, eight (S) hours per da:y, and seven
(7) days per week.
SECTIONx 4. The normal hours for clerical, accounting and other
office employees .hall be forty (40) hours per week auid eight (8)
hours per day.
SECi( 'iN 5. The normal hours for all other employees shall be
thirty-six (36) hours per week and eight (8) hours per day.
S:cTION 6. In cases of peak productions, inventory periods,
financial closing periods., and unusual conditions beyond the control
of the employer, employees may work in excess of the normal num-
ber of working hours per day or per week provided in this code
for the class of work perfiormedl by such employees. Such overtime
shall not exceed six (6) hours in any week or eight (8) weeks in
any year, except in cases of emergency repair work involving break-
downs or protection of life and property, an(d shall be compensated
by at least time and one-third the normal rate. Office employees
receiving thirty-five dollars ($35.00) per week or over are not en-
titled to overtime payment. This Section shall not apply to em-
ployees engaged solely as watchmen, except in cases of emergency
repair work involving break-downs or protection of life and
property.









SECTION 7. No employer shall knowingly permit any employee to
work for any time which when totaled with that already performed
with another employer or employers in this industry (or otherwise)
exceeds the maximum permitted herein.
SECTION 8. No employee, except watchmen, shall be permitted to
work in excess of six (6) days in any seven (7).
SECTION 9. The provisions of this Article shall not apply to persons
employed as managers, executives, chemists or supervisor. who earn
thirty-five dollars ($35.00) per week or more, or to outside salesmen.

ARTICLE IV-WAGES

SECTION 1. No clerical, accounting, or other office employee shall be
paid at a rate less than sixteen dollars ($16.00) per week, except that
office boys and messengers may be employed at a rate not less than
fourteen dollars ($14.00) per week. Office boys and messengers shall
not exceed five per cent (5%) of all office employees, but at least one
office boy or messenger may be employed in each office.
SECTION 2. No watchman shall be paid at a rate less than eighteen
dollars ($18.00) per week.
SECTION 3. No other employee shall be paid at a rate less than
forty-five cents (450) per hour.
SECTION 4. This Article establishes a minimum rate of pay, regard-
less of whether an employee is compensated on a time-rate, piece-
work, or other basis.
SECTION 5. Female employees performing substantially the same
work as male employees shall receive the same rates of pay as male
employees.
ARTICLE V-GENERAL LABOR PROVISIONs

SECTION 1. Employees shall have the right to organize and bargain
collectively through representatives of their own choosing, and shall
be free from the interference, restraint, or coercion of employers of
labor, or their agents, in the designation of such representatives or
in self-organization or in other concerted activities for the purpose
of collective bargaining or other mutual aid or protection.
SECTION 2. No employee and no one seeking employment shall be
required as a condition of employment to join any company union
or to refrain from joining, organizing, or as!i-ting a labor organi-
zation of his own choosing.
SECTION 3. Employers shall comply with the maximum hours of
labor, minimum rates of pay, and other conditions of employment,
approved or prescribed by the President.
SECTION 4. No individual under sixteen (16) years of age shall be
employed in the industry, nor anyone under twenty-one (21) years
of age at operations or occupations hazardous in nature or detri-
mental to health. The Code Authority shall report a list of such
operations or occupations to the Administrator within thirty (30)
days after the effective date of this code.
SECTION 5. Within each State this code shall not supersede any
Federal laws or the laws of such State imposing more stringent
requirements on employers as to the age of employees, wages, hours
79023 -1044-45-34----2







46

of work, or health and general working conditions, or as to insurance
and fire protection than are imposed under this code.
SECTION 6. Employers shall not change the method of payment
of employees' compensation or reclassify employees or duties so as
to defeat the purposes of the Act or the provisions of this code.
SECTION 7. Whenever the adoption of the minimum rates of pay
of this code results in lessening the differential between unskilled
labor and skilled occupations, equitable readjustments in the wages
above the minimum shall be made, and in no case shall weekly wages
be reduced as a result of the adoption of this code. The Code
Authority shall make to the Administrator a report of all readjust-
ments made pursuant to this Section.
SECTION 8. Each employer shall post in conspicuous places full
copies of this code or of Articles III to V inclusive of this code, in
English or such other language as may be required, together with
the name and address of the Chairman of the Code Authority to
whom reports of alleged violations of the provisions of the code
may be addressed.
SECTION 9. Wages shall be exempt from fines; and from charges
and deductions, except charges and deductions for employees' vol-
untary contributions to insurance, pension or benefit funds, and
except as required by State legislation enacted for the benefit of
employees. Deductions for other purposes may be made only when
an agreement covering the same is reduced to writing and kept on
file by the employer for a period of six months open to the inspec-
tion of the Administrator. Wages shall be paid at. least twice a
month, in cash, or negotiable check payable on demand.
SECTION 10. 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 three (3) months
after the effective date of this code. Nothing in this section shall
be construed so as to add to the civil liability of the employer to
the employee.
ARTICLE VI-UNFAIR METHODS OF COMPETITION

SECTION 1. The following practices constitute unfair methods of
competition and it shall be a violation of this code for any member
of the industry:
(a) False Measures.--To use slack weights or slack measures, or
overweights or overmeasures, or to fail to observe any standard of
weight or of measure adopted by the Code Authority, with the
approval of the Administrator, as a standard of weight or measure.
(b) False Advertising.-To publish or disseminate in any manner
any false advertising of any product of the industry.
(c) Misbraanding.-To brand or mark or pack any product of the
industry in any manner which is intended to or does deceive pur-
chasers with respect to the brand, grade, quality, quantity, origin,
size, substance, character, nature, material content, or preparation of
such product.
(d) Secret Rebates.-To secretly pay or allow rebates, refunds, '
credits, or unearned discounts, whether in the form of money or



a..









otherwise; or to secretly extend to certain purchasers special services
or privileges, not extended to all purchasers under like terms and
conditions.
(e) Unearned Service Paym.entis.-To pay a trade buyer for a
special advertising or other distribution service by such buyer (1)
except in pursuance of a written contract made in good faith and
explicitly defining the service to be rendered and the payment for it;
and (2) unless such service is rendered and such payment is reason-
able and not excessive in amount; and (3) unless such contract is
separate and distinct from any sales contract, and such paynient is
separate and distinct from any sales price and is not designed or
used to reduce a sales price; and (4) unless such payment is equally
available for the same service to all competitive trade buyers in the
same competitive market; and (5) unless a copy of each such con-
tract is retained on file for a period of one year. In order to investi-
gate alleged violations of this paragraph, the Administrator may
require a member of the industry to report such contracts made by
him and/or to produce a copy thereof for inspection.
(f) Combination Sales.-To require that the purchase of any
product be prerequisite to the purchase of any other product.
(g) Comnmercial Bribery.-To give, permit to be given, or directly
offer to give, anything of value for the purpose of influencing or
rewarding the action of any employee, agent, or representative of
another in relation to the business of the employer of such employee,
the principal of such agent or the represented party, without the
knowledge of such employer, principal or party. This paragraph
shall not be construed to prohibit free and general distribution of
articles commonly used for advertising except so far as such articles
are actually used for commercial bribery as hereinabove defined.
(h) Free Deals.-To grant free deals, whether in the form of
money, money's worth, or service.
(i) False Stateents.-To render false invoices, statements of
account, orders, or acknowledgements; or to falsely report sales,
whether or not the accounting concerning such sales is accurate.
(j) Allowances for Claims.-To allow any claim or make an
adjustment of an invoice price without obtaining a statement from
the buyer certifying to the facts on which the claim is made and
without reporting forthwith to the Code Authority a full statement
of the details of the settlement.
(k) Guarantees against Price Declines.-To make a contract for
future delivery of products of the industry except on one of the
two following bases:
(1) On the filed price on the date of quotation or acceptance of
the contract; or
(2) On the filed price in effect on the date of shipment.
(1) Storage Charges.-To carry oil without having received pay-
ment therefore beyond the contract period without invoicing the
buyer at the rate of six percent (6%) per annum (for the excess
period of carriage) on the invoice price as compensation for storage
and delay in payment.
(m) Annual Sales Statemen.t.-To fail to furnish a statement of
the total annual sales to the accountants selected by the Code Au-









thority as provided for in Article VII, Title A, Section 3, paragraph
(a), hereof.
(n) Payment of Assessments.-To fail to pay the assessments for
code administration as provided for in Article VII, Title C, hereof.
(o) Disparagement of Competitors.-To disparage competitors
by falsely imputing to them dishonorable business conduct, inability
to perform contracts, questionable credit standing; or to falsely
represent the grade or quality of their products.
(p) Conmpliance with Standards and Specifications.-To fail to
apply the standards and specifications which may be established by
the Code Authority pursuant to the provisions in Article VII, Title
B, Section 1, paragraph (k), hereof.
(q) Filing Prices.-To fail to file with a confidential and dis-
interested agent of the Code Authority, or if none, then with such
an agent designated by the Administrator, identified lists of all of
his price terms, which lists shall completely and accurately conform
to and represent the individual pricing practices of the member
filing same. Said price terms shall in the first instance be filed
within fifteen days after the approval of this code. Price terms
and revised price terms shall become effective immediately upon
receipt thereof by said agent.
(r) Increased Prices.-To file a higher price within forty-eight
(48) hours after having filed a revision in price terms.
(s) Adherence to Filed Prices.-To sell or offer to sell any prod-
ucts of the industry except in accordance with such price terms
as filed in accordance with the provisions of Article VI, Section 1,
paragraph (q), hereof.
(t) Agreement on Prices.-To enter into any agreement, under-
standing, combination or conspiracy to fix or maintain price terms,
or cause or attempt to cause any member of the industry to change
his price terms by the use of intimidation, coercion, or any other
influence inconsistent with the maintenance of the free and open
market which it is the purpose of this Article to create.
(u) Destructive Price Cutting.-To engage wilfully in destruc-
tive price cutting. Any member of the industry or of any other
industry or the customers of either may at any time complain to the
Code Authority that any filed price constitutes unfair competition
as destructive price cutting, imperiling small enterprise or tending
toward monopoly or the impairment of code wages and working
conditions.
(v) Enmergency Basis for Prices.-To sell below the stated mini-
mum price for any given product when an emergency exists as to
any such product in accordance with the following provisions:
(1) If the Administrator, after investigation shall at any time
find both (a) that an emergency has arisen within the industry
adversely affecting small enterprises or wages or labor conditions,
or tending toward monopoly or other acute conditions which tend
to defeat the purpose of the Act; and (b) that the determination of
the stated minimum price for a specified product within the indus-
try for a limited period is necessary to mitigate the conditions con-
stituing such emergency and to effectuate the purposes of the Act,
the Code Authority may cause an impartial agency to investigate
costs and to recommend to the Administrator a determination of the


P1









stated minimum price of the product affected by the emergency and
thereupon the Administrator may proceed to determine such stated
minimum price;
(2) When the Administrator shall have determined such .tated
minimum price for a specified product for a stated period, which
price shall be reasonably calculated to initigato the conditions of such
emergency and to effectuate the purposes of the Act, he shall publish
such price. Thereafter, during such .stated period, no member of
the industry shall sell such specified products at a net realized price
below -aid stated minimum price and any such sale shall be deemed
destructive price cutting; and provided that
(3) When no declared emergency exists as to any given product,
there is to be no fixed minimum basis for pric'.. It is intended
that sound cost estimating methods should be used and that con-
sideration should be given to costs in the determination of pricing
policies.
(w) Cost Findinl.-To fail to utilize, to the extent found prac-
ticable, the co-lt finding and accounting methods promulgated pur-
suant to Article VII, Title B, Section 1, paragraph (r), hereof.
No member of the industry shall suggest uniform addit.ion-, per-
centages or differentialn or other uniform items of cost which are
designed to bring about arbitrary uniformity of costs or prices.

ARTICLE VJI--ADMI NISTRATION

TITLE A. ,COI)E AUTIIHOITY, SELECTION

SECTION 1. A Code Authority consisting of five (5) voting mem-
bers who are to be elected by the industry shall be e-t:a lishl d to
administer this code, and to effecluate in the industry the purposes
and policies of the Act. The Administrator may appoint from one
to three nonvoting members of the Code Authority as his repre.-tcita-
tives, for such periods respectively as he shall designate, to attend
all meetings of the Code Authority without expense to the industry.
The Code Authority shall be elected immediately upon the approval
of this code at a meeting which may be attended by all members. of
the industry, of which meeting due notice shall be given, and at
which each member of the industry shall be entitled to one vute
which may be cast in person, by proxy duly appointed, or by mail.
SECTION 2. The members of the Code Authority so chosen shall
continue in office until their successor., are duly elected and qualified.
SECTION 3. For the purposes of this Title, members of the industry
shall be classified into three groups in the following manner:
(a) Each member of the industry shall within sixty (60) days
after the effective date of this code and during the first ninety (90)
days of each year thereafter, beginning with January 1, 1935, report
to such accountants (certified, chartered, or other lawful practtiioners
of accountancy) as may be elected by the Code Authority the num-
her of tons of processed or refined fish oil sold by him in the preced-
ing year. Such reports shall be held by said accountants in strict
confidence except as to the Admiinistrator. On the receipt, of -uch
reports, or inimediately upon the expiration of the stated period,
said accountants shall determine from the reports received the aver-









age number of tons per member of such products sold during the
preceding year and shall then determine the members who are to be
classified in Group A, being such members who have, as shown by
their respective reports, sold during the preceding year one hundred
fifty percent (1501c ) or more of such average number of tons; said
accountants shall also determine the Group B members, being those
who have, according to their respective reports, sold during the pre-
ceding year more than seventy-five percent (75%) but less than one
hundred fifty percent (150%') of such average number of tons; and
said accountants shall al-o determine the Group C members, being
those who have, as shown by their respective reports, sold during
the preceding year seventy-five percent (75%T ) or less of such average
number of tons. The determination of such groups by said account-
ants shall be final and conclusive and no person shall have any right
to investigate or check such determination except the Administra-
tor, who may do so either on his own initiative or on the com-
plaint of any member of the industry claiming to be injured thereby.
SECTION 4. When and as said classifications have been made by said
accountants, they shall report to the members of the industry the
personnel of the several groups. Within thirty (30) days after the
making of each such report, a meeting of the members of the indus-
try shall be held and notice thereof shall be given by the Code
Authority specifying the time and place of each meeting. At such
meeting Group A members shall as a class, be entitled, to elect two
of the five (5) voting members of the Code Authority; Group B
shall be entitled, as a class, to elect one (1) of the voting members
of the Code Authority; and Group C members shall be entitled, as
a class, to elect the remaining voting member of the Code Authority.
The four members of the Code Authority so chosen shall select the
fifth voting member, who shall not be a member of the industry or
an employee, partner, or officer thereof. A voting member of the
Code Authority may. but need not, be associated with a member of
the industry, but no two (2) members of the Code Authority shall
be directly associated with the same member of the industry or any
of his subsidiaries or affiliates.
SECTION 5. If any vacancy shall occur in the membership of the
Code Authority by reason of rejection or disapproval of any member
by the Administrator, or by resignation or death, or for any other
reason, the remaining members of the Code Authority, except those
appointed by the Administrator, may, by a majority vote of their
number, appoint a member to the Code Authority for the unexpired
term, subject however to the approval of such appointment by the
Administrator. In filling such vacancies, the representation of the
respective groups; viz, A. B, and C, provided for in Section 4 of this
Article shall be maintained.
SECTION 6. The vote in person, by proxy, or by mail of a majority
of the members of the industry classified in any of said groups shall
be necessary for the election of the members of the Code Authority
to be chosen by that group.
SECTION 7. If the business of any two or more members of the in-
dustry is so combined, whether because of relationship as subsidiary,
affiliate or otherwise, as to constitute, in the opinion of the Code
Authority, one unified enterprise for practical purposes; then, such



AL*':i









members so combined shall have one vote at meetings of the imem-
bers of the industry and shall, in classifying such members into
Groups A, B, and C, be treated as though constituting one member
of the industry.
SECTION 8. Each trade or industrial ads(ciation directly or indi-
rectly participating in the selection or activities of the Code Author-
ity shall (1) impose no inequitable restrictions on im elleship, and.
(2) submit to the Adlninistrator true copies of its articles of as~oci.i-
tion, by-laws, regulations, and all amendments thereto as made, to-
gether with such other information as to nn uiibbrship, organization,
and activities as the Administrator may deem necessary to effectuate
the purposes of the Act.
SECTION 9. In order that the Code Authority shall at all times
be t.ru'y representative of the industry and in other respects comply
with the provision. of the Act, the Admliniistrator may prescribe
such hearings as he may deem proper; and thereafter if he shall find.
that the Code Authority is not truly representative or does not in
other respects complyy with the prtoviions of the Act, may require
an appropri'inte modifirtion in the method of selecttiin of the Code
Authority.
SECTION 1). Nothing contained in this co- ,l slihll constitute the
members of the Code Authority partners for any purpose. Nor
shall any mi.-mbner of the Code Authority be liable in any manner to
anyone for any act of any other member, officer, agent or employee
of the Code Anthority. Nor shall any member of the Code Au-
thority, exercising reasonable diligence in the conduct of his duties
hereunder. beI liable to anyone for any action or omi--ion to act
under this cod,.. ex,.'pt for his own wilful malfta'sance or non-
feasance.
TITLE B. CODE AUT-tHORITY, POWERS AND DUTIES

SECTION 1 1. Th Code Authority shall be charged with the admin-
istration of the proviion-, of this code and shall have the following
powers and duties in addition to those nflth orized by other provi-
sion-. of this code, subject to such rules and regulations as may be
prescribed by the Adm~inistrator:
(a) To in.sur, the oblervance of the provisions of this coide, and
the compliance of the industry with the provi-ions of the Act. Any
charge of a specific alleged violation coming to the knowledge of a
member of the industry shall be submiitted to the Code Authority
in a written s.tatemlent, .pc;ifying such alleged violation and con-
taining substantiating evidence thereof. If the imeiiiLer submitting
such charge requests that his action in so doing be kept in confidence ,
the Cod, Authority shall make every effort to do so. provided that
such action on its part s all not hinder or ,obstruiict the ensuing
invest nation and the enforcement of this code against the member
charged.
(b) To investigate any charge aforesaid and any other specific
charges or information relating to violations of the code which shall
come to its knowledge from any source which it deems reliable. The
Code Authority may investigate such nmtter. by calling upon any
member of the industry, including the one whose actions are under









investigation; and may secure from any member of the industry a
statement with respect to any alleged violation.
(c) To receive complaints from any member of the industry or of
anv other industry or the customers of either at any time that any
filed price constitutes unfair competition as destructive price cutting,
imperiling -,mall enterprises or tending toward monopoly or the im-
panirment of code wages and working conditions.
(d) To adopt by-laws and rules and regulations for its procedure.
(e) To obtain from members of the industry such information and
reports as are required for the administration of this code. In addi-
tion to information required to be submitted to the Code Authority,
member, of the industry shall furnish such statistical information as
the Administrator may deem necessary for the purposes recited in
Section 3 (a) of the Act to such Administrative and, or government
agencies as the Administrator may designate: Provided however,
that nothing in this code shall relieve any member of the industry
(or any existing obligation to furnish reports to any government
agen-rc'c. No individual report. shall be disclosed to any other mem-
beL (if tlhe industry or any other party, except to such government
agencies ai nmy be directed by the Administrator.
f ) To use such other agencies as it deems proper for the carrying
out of any of its activities provided for herein; but nothing herein
shall relieve the Code Authority of its duties or responsibilities under
thi, co.de. and such agencies .hall at. all times be subject to and com-
ply with the provisions hereof.
tg) To make recommendations to the Administrator for the co-
ordination of the administration of this code with such other codes,
if any. a, may be related to or affect members of the industry.
(h) To cooperate with the Administrator in regulating the use of
any N.R.A. insignia solelv by those members of the industry who are
complyl)ing with this code.
(i) To recommend to the Administrator such changes and modi-
fications in this code as experience shall prove necessary and desirable.
(j) To establish, subject to the approval of the Administrator,
specifications and standards for the classification of various kinds of
proces-ed or refined fish oils into several grades.
(k) To require that each member of the industry, in selling or
promoting the sale of such oil, processed or refined by him, shall
classify the product in accordance with said specifications and stand-
ards when and as the Code Authority shall so establish same; and
.shall comply with the requirements set forth in paragraph (1) of this
Section and such other regulations as the Administrator may approve
in this connection.
(1) If any member of the industry shall have established or shall
(de-ire to establish a special trade name for any particular type or
grade of oil sold by him which has a peculiar quality or property,
distinct in any way from any of the established grades, he may
market, such oil under said special trade name or as a separate or
distinct grade. buit, in so doing, shall not make any unfounded or
misleading st'-tements or claims concerning the properties, charac-
teristics. or capabilities of such branded oil or special grade. Any
member of the industry who now markets or hereafter proposes to
market any such special type of oil shall report the fact to the Code









Authority, together with a statement of the peculiar properties
claimed therefore, and if the Code Authority shall find that such
special oil has no peculiar qualities or capabilities to distinguish it
from one of the standard grades established by the Code Authority,
such member shall not make any statements or claims to the contrary
and shall in filing the schedules required of him under paragraph
(q), Section 1 of Article VI, hereof, classify said oil in accordance
with the standard grade to which it belongs but may continue to sell
the oil under the trade name or brand.
(m) From and after the tiime that the Code Authority shall so
establish specifications or standard, for the classification of any kind
of refined or processed oil in the various grades and shall announce.
such classification, each member of the industry proposing to sell any
grade of such kind of oil shall include in the price terms at which
he proposes to sell any of the established grade.s. or any special grade,
or any grade bearing a special trade name a.i above provided at least
(1) the price at which each grade will be offered in the various unit
quantities, e.g., tank car, drum, ton, pound, carload lots, or less than
carload lot; (2) whether or not such price includes any transporta-
tion, handling or similar charge to be paid by the seller; (3) any
quantity or other di-count, which will be permitted from any of the
sales lpriceS set forth in said schedule, and the amount or extent
thereof: (4) the period or periods within which deliveries will be
made at .-uch prices; and (5) the terms of cr(iedit upon which the
various grades of oil will be sold. Such report shall bt made on such
forms as tie Code Authority may find necessary in order that there
may be a uniifornm nld comparable system of reporting in the
industry.
(1) lTo) dTeiginte a confidential and di:-interested a,.et, for the
purpose of carrying out the provisions of Article VI, S'ctinii 1, para-
gra)ph (q), hereof. Said agent shall receive price terms filed by
nmenmber.- of the indu.,try in acLordlalce with ArticlI VI, Section 1,
paragraph (q), hereof, and ininediately upon receipt tlier trf, said
agent sl:hll by telegraph or other cqually prompt means notify said
member of the time of such receipt. Such lists and revisions,
together with the effective time thereof, shall upon receipt be imme-
diately and simultaneously distributed to all members of the industry
and to all their customers who have applied therefore and have
offered to defray the co,.st actually incurred ,by the CodI Authority
in the preparatir.in and. distribution there'f and be availublb for
inspection by any of their custom-trs at the office of such agent. Said
lists or revision or any part, thereof shall not be mnade available to
any person until released to all members of the industry and their
customers, a as aforeaid ; provided, that prices filed in the fir-t instance
shall not be relea-.ed until the expiration of the fifteen (15) day
period after the approval of this code provided for in Article VI,
Section 1, paragraph (q), hereof.
(o) The Code Authority shall maintain a permanent file of all
price terms filed as herein provJided, and hall not destroy any part
of such records except upon written consent of the Administrator.
Upon request the Code Authority shall furnish to the Administrator
or any duly designated agent of the Admninistrator, copies of any
such lists or revisions of price terms.







54

(p) Upon receipt of a complaint under Article VI, Section 1, 2
paragraph (u), hereof, the Code Authority shall within five days
afford an opportunity to the member of the industry filing the price
(alleged to constitute destructive price cutting) to answer such coin-
plaint and shall within fourteen (14) days make a ruling or adjust-
ment thereon. If such ruling is not concurred in by either party
to the complaint, all papers shall be referred to the Research and
Planning Division of the N.R.A. which shall render a report and
recommendation thereon to the Administrator.
(q) To recommend from time to time the review or reconsidera-
tion of any determinations effected under Article VI, Section 1,
paragraph (v), subparagraph (2), hereof, or the Administrator may
cause the same to be reviewed or reconsidered and appropriate action
taken.
(r) To cause to be formulated methods of cost finding and ac-
counting capable of use by all members of the industry. When such
cost finding and accounting methods shall have been formulated
same shall be submitted to the Administrator for review. If ap-
proved by the Administrator, full information concerning such
methods shall be made available to all members of the industry.
Nothing herein contained shall be construed to permit the Code
Authority to suggest uniform additions, percentages or differentials
or other uniform items of cost which are designed to bring about
arbitrary uniformity of costs or of prices.
SECTION 2. If the Administrator shall at any time determine that
any action of the Code Authority or any agency thereof may be
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 and further considera-
tion by the Code Authority or such agency pending final action
which shall not be effective unless the Administrator approves or
unless he shall fail to disapprove after thirty (30) days' notice to
him of intention to proceed with such action in its original or
modified form.
TITLE C. EXPENSES
SECTION 1. The Code Authority shall, prior to the meeting of the
member- of the industry in each year, fix an estimate or budget of
its probable financial needs for the administration of this code for
the ensuing year, and shall submit the same to such meeting for
approval. Unless the budget is revised by such meeting (and it
shall have that power) the same as determined by the Code Au-
thority shall become effective immediately after its approval by the
Administrator. When the budget has been so determined and ap-
proved, the Code Authority shall empower the accountants selected
by the Code Authority under the provisions of Title A, Section 3,
paragraph (a) of this Article, to apportion the expenses therein set
forth among the members of the industry, using for this purpose the
ratio of the annual sales of each member of the industry to the total
sales of the industry for the preceding year; and after the basis of
contribution has been approved by the Administrator shall empower
them to collect the same. Such apportionment and collection of .
expenses among the members of the industry shall be held by such
accountants in strict confidence except as to the Administrator.









Such accountants may be subjected to adequate bond before assuming
any function under the provisions of this Tile.
SECTION 2. If the Code Authority shall at any time deem that ex-
traordinary expenses should be incurred by it in the performance of
its functions hereunder, it shall thereupon estimate the amount
thereof and submit the same to a meeting of the members of the in-
dustry for approval, revision or rejection. The notice of any such
meeting shall specify the plrpo)-e thereof, and the nature and amount
of the requested appropriation. If such meeting is so called and
shall, either for a lack of quorum or otherwise, fail to revise or re-
ject the request of the (ode Authority, the action of the Code Au-
thority .shall then he final and coniclusiv'e as to m1Inbhiers of the
industry. Such proposed extraordinary budget shall be subject to
the approval of the Administrator in any ev.nt. Assessments on the
members of the industry shall then be apportioned by said account-
ants on thmesame basis a.- sperified in Section 1 of this Title, and,
after the basis, of contribution has been approved by the Adminis-
trator, collected in like 1wainner..
SECTION 3. Any fiinils remaniinl" on hand, upon the termination
of this code or at the discretion of the Code Authority, -hill, after
the liabilities of the C-ode Authority have been paid, be 'pron.L"ti
and returned to, the memuber-s of the inldus-try by said accountants
in accordaince with such recognized principles of accountancy as will
allow due! consideration to their respective contributions to such
balance.
A RICLE.I V 111-AMONOPOLIES
SECTION 1. No provi.-sion of this code shall be so applied as to
permit mniuoplolie.s or monopolistic practices, or to eliminate, oppress,
or di-criminate against .small enterprises.

AlETICLE I X- iODIFICATION
SECTION 1. It is conteilllated that from time to time amendments
will be submitted for the approval of the President, to effectuate the
policies of the Act and to prevent unfair competition. After such
notice and hearings as the Administrator shall specify, and with
the approval of the President, the proposed amendments shall be-
come parts of this code.
SECTION 2. This code and all the provisions thereof are expre.-ly
made subject to the right of the President, in accordance with the
provisions of Section 10, suhbection (b) of the Act, from time to time
to cancel or modify any order, approval, license, rule, or regula-
tion issued under the Act; and specifically, but without limitation,
to the right of the Preident. to cancel or modify his approval of this
code or any conditions imposed by him upon his approval thereof.

ARTICLE X-EFFECTIVE DATE
SECTION 1. This code shall become effective on the second Monday
following its approval by the President.
Approved Code No. 500.
Registry No. 612-01.






UNIVERSITY OF FLORIDA


3 1262 08584 7571




1 '




Full Text

PAGE 1

Approved Code No. 500 Reg i st r y N o. 6 12 -0 1 NATIONAL RECOVERY ADMINISTRATION CODE OF FAIR COMPETITION FOR TH E PROCESSED OR REFINED F I SH OIL INDUSTRY AS APPROVED ON AUGUST 8, 1934 UNITED STATES GOVERNM EN T PRI NT I N G OFFI C E WASHINGTO N : 1934 Fo r sa l e b y the S u peri n ten d e nt of Docum e nts, Washington, D.C. Pr i ce 5 ce n ts

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This publication is for sale by the Superintendent of Documents , Government Prin t in g Office , Wa~hington, D.C., and b y districtoffices of the Bureau of Foreign and D omestic Commerce. DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE Atluutu , Ga.: 50-1 Post Office Bu il ding. Binningham, Ala.: 257 Federal Building. Bo s ton, Muss. : 1 801 Customhouse . Buffalo, N.Y.: Chamber of Commerce Bu ilding. Charleston, S.C. : Ch amb er of Commerce Building. Chicago, Ill.: Su i te 17 0 6, 20 1 North Wells Street. Clevelanu, Ohio: Chamber of Comme r ce . Dallas, T e x. : Chamber of Comm l'Ce Building. Detroit, l\lich. : S01 First National Bank Build ing. Hou sto n, Tex. : Chambe r of Commerce Building. I ndianapol i s, Ind.: Cha mber of Commerce B u il< li11g . J acksonville, Fla.: Cha mber of Commerce nuildi u g . Kansas City, M:o . : 1028 Bnltimore .A.,enue . Los Angeles, Calif. : 1163 So uth Broadway. L o ui. ville, Ky .: 40 Federa l Buildin g . l\Iem phis, 'l' e nn. : 220 Federa l Building. l\Iinn eapolis , Minn . : 2::)..3 Fede r a l Building. New Orleans, La.: Room 225 -A, Customho u se . N e w York, N . Y.: 73-:l: Customhouse . Norfolk, Va.: 406 East Plum e Street. Philad e lphia , Pa. : 422 Commercial Trust Builuing. Pitt sbu rgh , Pa.: Chamber of Commerce Building. Portl a nd, Oreg.: 215 New Po st Office Building. St. Louis, Mo.: 50G Olive Street. San Francisco, Calif. : 310 Customhouse. Seattle, Wash.: 809 Federal Office Building.

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Approved Code No. 500 CODE OF FAIR COMPETITION FOR THE PROCESSED OR REFINED FISH OIL INDUSTRY A.s Approved on August 8, 1934 ORDER APPROVING CODE OF FAIR COMPETITION FOR THE PROCESSED OR REFINED Fi sH OIL IND STRY An application having been duly made pursuant to and in fuH complian ce with the provisions of Title I of the National Industrial Recovery Act, approved June 16, 1933, for approval of a Code of Fair Competition for the Processed or Refined Fish Oil Industry, and h ear ing . ha v ing been duly held thereon and the annexed report on said code, co ntaining findings with respect thereto, ha ving been made and dire cted to the President: NOV\ T THEREFORE, on behalf of th 0 President of the United State s, I, Hugh S. John so n , Administrator for Indu strial Recovery, pursuant to authority vested in me by Executive Orders of the Pre dent, includin g Executive Order No. 6543-A, dated December 30, 1933, and otherwise; do hereby incorporate by reference said anne x ed report and do find that sa id code comp lie s in all respects with the pertinent provi s ions and will promote the policy and purposes of said Title of sa id Act; and do h ereby order that said code of fair competition be and it is h ereby approved. Approval recommended: ARMIN w. RILEY, HUGH 8. JOHNSON, Ad?nin.istrator fo r /ndU;St rial Recovery. Di vui on Ad;,ministr(J)tor. WASHINGTON, D.C., A ugwst 8, 1934. 79269 -1044~5-34 -1 (39)

PAGE 4

.. REPORT TO THE PRE S IDENT Th e PRE SIDENT, Th e White House . Srn: Thi ,s i s a report on th e Code of F a ir Competition . for the Pr ocessed or R e fin e d. Fi s h Oil Indu st r y, as revi ed afte r the Public H eari n g held in 1 1/ ash in gton, D.C., on 1\1arch 17, 1934, in acco rdance with the provisions 0 the Nat ional Indu s trial Recovery Act . I. DESCRIPTION OF THE INDUSTRY Th e indu try cover t h e refining of fish o il by vario u s processes as outlined in the code, and the se lli ng of the re nltant product as refined or proc essed fish oi l. The improvement in the techn i ca l refin ino methods during rec e nt years has p 0 rmitt ed the use of r e fined fish ojls in a wider rang e of p r oducts than wa s fonne.rly the case . A lar ge, but unknown quantity of cr ud e fis h oil i refined by operators who u e the refined oi l s in their own further man11fact ur e . Suc h perator , s are not co Y r ed by t h e code as they do not se ll the refined oils a suc h. l\fo t of t1 e refined oi l . produced by thi indn s try are used by manufacturers of paints and floor coverings . T he n1anufacture of vitamin tested o il s olely for therapeutic purposes i not included in this incln. . try, but -when such oils are so l l in competition w ith ordinary refined or proce sed fi h oi l s, the code pr visions s hall be applicable th er"to . For paint and floor cover in g u , the refined fi h oil are in dire t competition with lins eect peri ll a , and other veoetable drying oil mo t. of which n-re of f o reign or i g i n. The refinerie. are generally fairl y laro e a nd are l ocated either near the ~ ources of , upply or near the point s whe e thei r products are n ed. Th re are a number of busine organizations which are brought in part under the provision of th i code due to the f act that they do some refining or proces ng of fi s h oil a.t the ame time they c rry on other operation s . In or l r to maintain fair compet ti'v e condit ions, it is believed that both th e refiner ,s who r efine a their prin c ipal bu in ec;: and tho e who refine inciden ta lly to other opera tion . houl 1 work und er t h e same conditions . Ther e ur e about ten di~tinct bu ines s entit i e in the in dustry, oper ating so me twenty plant . Th e va lu e of the r efine l o r pro ce e el oil produ ed nnnually i s approx i mate l y five m illi on dollars, which roughly equa l s the inve tel ca pital. The employees in the indu try number betwe e n 600 and 7 0 0 uccordinrr t r liable estimates . II. L..I\.BOR FTIOVI"'IONS The code provisions will result in a considerab l e r duction in wor ing h ur s and shou l d increas e employment by some 20 or 25 p e rcent . vVage s in the ind ust ry have been high and thpre will be but little ( 40)

PAGE 5

41 increase in the individual pay as a result of the code prov1s10ns. The wages proposed are up t o or above those generally provided in codes . III. UNFAIR METHODS O F COMPETITION The code contains the u s ual unfair trad e practices, including the new provisions relativ e to open pri ces. In addition, the code pro v id es for the e liminati on of future contracts conta inin g a guarantee against price declines, and also make s a provision for the establish ment of grades and sta ndard s. IV. ADMINISTRATION Th e code attempts to provide for the protection of the larg e, medium afld s mall s ize operators by establishing a code authority of four m em bers made up in a designated manner to represent each of these groups, ,.,, ith a fifth member from outside the indu try, to be e l ected by the four others . R eports of annual production are required from all members, and these are to be used in classifying member s as larg e, medium and sma ll size . Asse ss ments for the expen'=es of co le a lministration are based on th e annual production of each member. V. FINDINGS The D ep uty Admini -trator in hi s fin a l report to me on said code, having fonnd as herein set f o rth and on the basis of all the proceed in gs in thi s matter: I find that: ( a) Said code i s well designed to promote the policies and pur pos es of Titl e I of th e National I ndustrial Recovery Act, including r emoval of obstructions to the free flow of inter tate and foreio-n commerce which tend to diminish the amount thereof and provide for the general welfare by pr moting the organization of indu st ry for the purpo se of cooperative action among the trade groups, by inducing and maintaining unit ed action of lab o r and manaoe ment under adequate governmenta l sa n ctions and supervision, by eliminat ing unfair competitive practi ces, by promoting the full es t po s ible utilization of the present produ c tive capac ity of industries, by a, oid ing undue re str iction _ of production ( except as may be temporarily requred) , by in crea ing !he consumption of industrial , fi she ry, and agricultura l produ c t s through in creas ing purchasing power , by reducing and r e li ev ing . unemployment , by improving s tandard s of l abor and by otherwise r e habilitating industry. (b) Said industry normall y employs n ot more than 50,000 em ployees ; and i not cla ss ifi ed by me as a major industry. ( c) The code as approved complies in all respects with the per tinent provisions of said Title of said Act, including without limita tion Sub 0 c tion (a) of Section 3, Sub ec ti on (a) of Section 7, and Subsection (b) of Section 10 ther eof; and that the applicant a sso ciatio n i an industrial association truly repres entative of the afore said indu stry; and that sa id asso iation imposes no inequitable restrictions on admission to memb ership therein .

PAGE 6

42 ( cl) The code is not designed to and will not permit monopolies or monopolistic practices. ( e) The code is not designed to and will not eliminate or oppress small enterprises and will not operate to discriminate against them. (f) Those engaged in other steps of the economic process have not been deprived of the right to be heard prior to approva l of said code . For these reasons, therefore, I have approved this code. Respectfully, AUGUST 8, 1934. HUGH s. JOHNSON' Administrato1.

PAGE 7

C OD E O F FA IR C O MPET I TION FOR THE PROCESSED OR REFINED FISH OIL INDUSTRY ARTICLE I-PURPOSE SECTION 1. To effectuate the policies of Title I of the National I ndustrial Recovery Act, the following provisions are established. as a code of fair competition for the processed or refined fish oil industry, and shall be the. standards of fair competition for such industry, and sha ll be binding upon every memb e r thereof. ARTICLE II-DEFINITIONS SECTION 1. As used in this code : (a) The term "President" means the President of the United States . ( b) The term " Act " and the term " Administrator " m e an re spectively Title I of the National Industrial Recovery Act, and the Administrator for Industrial Recovery. ( c) The term "processed or refined fish oil industry " or "indus try" means the business of proce s sing or refining fi h oil ( either directly or through the employment of an independent c ontractor, an agent, or through any other instrumentality) for sale or delivery as processed or refined fish oil; and such related branches or s ubdi visions as may from time to time be included under the provisions of this code. ( 1) The tenn " processing " means the blowing of air through or into fish oil to oxidize or polymerize it; treating such oil with heat or organic or inorganic chemicals; deodorizing s uch oil with steam, air, or chemicals; bleaching such oil with inert earths or chemicals; and / or deste.arinizing such oil by removing to any degree therefrom the fats contained therein which have a high melting point. (2) The term" refining" means the treatment of fi s h oils by alka line sub s tances or acids ( organic or inorganic) or by inert earth s . ( d) The term "member of the industry" includes any individual~ partnership, association, corporation, or other form of enterprise en gaged in the industry, either as an employer or on his or its own beha l f. ( e) The term "emp l oyee" means any individual engaged in the industry in any capacity, however compensated, except a member of the industry. The term "emp l oyer" means any member of the industry by whom uny such emp l oyee is compen ated or employed. (g) The term _ " State" includes the several states, the Di s trict of Co l umbia, the several Territories of the Unite l State , and the in sular possession s or other places under the jurisdiction of the United States . (43)

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44 ( h ) The term ,: subs i d i a r y " m ea n s a ny m e mb e r of th e indu s try of o r over whom a member o f t h e i nd u s t ry h as, e ith e r dir ec tl y or in d i rectly, actual or l ga l cont r o l , w het h e r b y stoc k own e r s hip or in any other ma , nner . , . . (i) The term "affi h at " mea n s a n y m embe r o f th e indu s tr y w ho has, either directly or ind ir ec tl y , ac tual or l ega l co ntrol of o r ov e r a member of the i ndustry, ,Yhe t her by s t ock ow n ers hip o r in a ny other maimer . (j) The term "011tside s a l esman" mea n a n y l es m a. n w h o p e form s exclll ively selling :f u nctions o n tc= i de the e ~ tab l ishmen t of a member of the industry, and does not deli.ve r. (k) The term "watchman" mean::; an emp l oyee whose pr i nc ip a l function is ,vatc h ing or guard i ng J-11e premises o r proper t y o f hi s employer . (1) The trrm "Code Aut h o r ity" means t h e processed or r e fi ned fi s h oil indn tr y control authority created under Articl"' VI I hereof . (m) Th e t e rm "pric terms" mean. _ pr i cs, di counts, r ebates, allowancas, and all other t e rms or cond i t i ons of sale . Ar.ncu ~ III-I-IouRs OF L . \non SECTION 1. .l', o emp l oyee s h all be permitted to wor k in exce ss of the normal hC>urstated b low for the particu l ar oncupat i ons speci fi e d , except as pro v ided in Section 6 of this Article. SECTION 2 . The normal hours for chauffeurs, deliYerymen, eng n eer , and firemen s hall be forty eight ( 48) h ours I er we e k . SECTION 3 . The normal hours for employee engaged i n t h e d u a l capacity of fireman or eno j neer an 1 watchman shall be forty eig ht ( 48) hour s per week, and eight (8) hours per day; I rovided, that suc h emp l oyee a are paid not le ss t h an $30 . 00 per week. Th e . normal hours for employees e ngaged solely as watc h men sha ll be fifty s i x (56) hours per week, e j ght (8) hours per day, and seven ( 7) clays per week . SECTION 4 . The normal hours for cl e rical, accounting and other office emp loy ee shall be f o rty ( 40) hours per w ee k and eight ( 8) h o ur s per da y . SECTION 5 . The norma l hours for all other employees s h a ll be thirt yix (36) hours per week and e i gh t (8) hours per day . SECTION 6 . In ca es of peak productions, inventory periods, financia l closing period , and unu ua l condit i ons beyond the contro l of the employer, employees may work in excess of the n orma l num ber of working hour per day or per wee k prov i ded i n th is code for the clas s of w o rk performed by such emp l oyees . S u c h overt i me s hall not exceed six (G ) ho u rs in any week or eight (8 ) wee k s in any year, except in cases of emergency repai r work involving brea down s or protection of li f e and prope r ty, und s h all be compe n sate d by at lea t time and on e third the norma l rate . Office emp l oyees r ece iving thirty-five do ll ars ($35.00 ) per wee k or over are no t en titled to overtime payment. T h is Section sha ll n o t ap pl y t o em ployees engaged so l ely as watchmen, except i n cases of emerge n cy re p air w ork i nvo l ving b r eak downs o r p rotectio n o f l i f e a nd p ropert y.

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45 SECTION 7. No employer shall knowingly permit any employee to work :for any time which when totaled with that already perform e d with another employer or employers in this indu s try ( or otherwi s e) exceeds the maximum permitted herein. SECTION 8. No employee, except watchmen , shall be p e rmitt e d to work in excess o: six (6) days in any s e ven (7). SECTION 9. The provisions o: this Article shall not apply to p e r s ons employed as managers, executives, c hemists or sup e rvi s or s who earn thirty-five dollars ($35.00) per week or more, or to outside salesmen. ARTICLE rv-,v AGEs SECTION 1. No clerical, accounting, or other office employee shall b~ paid at a rate less than sixteen dollars ($16.00) per week, except that office boys and messengers may be employed at a rate not le s s than :fourteen dollars ($14.00) per week. Office boys and messengers shall not exceed five per cent (5%) o: all office employees, but at least one office boy or messenger may be employed in each office. SECTION 2. No watchman shall be paid at a rate less than eighte e n dollars ($18.00) per week. SECTION 3. No other employee shall be paid at a rate le s s than :forty-five cents ( 45) per hour. SECTION 4. This Article establishes a minimum rate o:f pay, regard less o: whether an employee is compensated on a time-rate, piece work, or other basis. SECTION 5. Female employees performing sub s tantially the same work as male employees shall receive the same rates o: pay as male employees. ARTICLE V-GENERAL LABOR PROVISIONS SECTION 1. Employees shall have the right to organize and bargain collectively through representatives o: their own choo s ing , and shall be free :from the interference, restraint, or coercion o:f employ e rs of labor, or their agents, in the designation o: such repre se ntati ves or in self-organization or in other con ce rted activitie s :for th e purpo s e o: collective bargaining or other mutual aid or prote c tion. SECTION 2. No ern . ployee and no one s ee king emplo y m e nt s hall be required as a condition o: employment to join any comp a ny union or to refrain from joining, organizing, or a ss i s ting a labor organization of his own choosing. ' SECTION 3. Employers shall comply with th e m a ximum hour s of labor, minimum rates of pay, and other conditions of employm e nt, approved or pre s cribed by the President. SECTION 4. No individual under sixteen (16) years of a 9 e shall be employed in the industry, nor anyone under twenty-one ~21) y e ars of age at operations or oc c upations hazardous in nature or detri mental to health. The Code Authority shall report a list of such operations or occupations to the Administrator within thirty (30) days after the effective date of this code. SECTION 5. ,vithin each State this code shall not supersede any Federal laws or the laws of such State imposing more stringent requirements on employers as to the age of employees, wages, hours 79260 -1044-45. -34-2

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46 of work or health and general working conditions, or as to insurance and fire' protection than are imposed under this code. SECTION 6. Employers shall not change the method of payment of employees' compensation or reclassify eml?l?yees or ~uties so as to defeat the purposes of the Act or the prov1s10ns of this code. SECTION 7. ,vhenever the adoption of the minimum rates of pay of this code results in l essening the differential between unskilled labor and skilled occupations, equitable readjustments in the wages above the minimum shall be made, and in no case s hall weekly wages be reduced as a result of the adoption of this code. The Code Authority shall make to the Administrator a r epor t of all readjustments made pursuant to this Section. SECTION 8. Each employer s hall post in conspicuous places full copies of this code or of Articles III to V inclusive of this code, in English or such other language as may be required, together with the name and address of the Chairman of the Code Authority to who1n reports of alleged violations of the provisions of the code may be addressed. SECTION 9. Wages shall be exemp t from fines; and from charges and deductions, except c har ges and deductions for employees' vo untary contributions to insurance, pension or benefit funds, and except as required by State l eg i s lation enacted for the benefit of employees. Deductions for other purposes may be made only when an agreement covering the same is reduced to writing and kept on file by the emp loyer for a period of six months open to the inspec tion of the Administrator. Wages shall be paid at least twice a month, in cash, or negotiable check payable on demand. SECTION 10. Every employer shall provide :for the safety and health of emp loy ees during the hours and at the places of their employment. Standards for safety and health shall be s ubmitted by the Code Authority to the Administrator within three (3) months after the eff e ctive date of this code. Nothing in this section s hall be construed so as to add to the civil liability of the employer to the emp lo yee. ARTICLE VI-UNFAIR METHODS OF COMPETITION SECTION 1. The following practices constitute unfair methods of compe tition and it sha ll be a violation of this code for any member of the industry: (a) Fal se M easure s.-To use slack we ights or slack measures, or overweights or overmeasures, or to fail to observe any standard of weight or of measure adopted by the Code Authority, with the ap12roval of the Administrator, as a standard of weight or measure. ( b) Fal se Adverti,sing .-To publish or disseminate in any manner any false advertising of any product of the industry. (c) M is b randing. -To brand or mark or pack any product of the industry in any manner which is intended to or does deceive pur chasers with respect to the brand, grade, quality, quantity, origin, size, substance, character, nature, material content, or preparation of such product. ( d) S ecre t Rebates.-. _ To secretly pay or allow rebates, refunds, credits, or unearned discounts, whether in the form of money or

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47 otherwise; or to secretly extend to certain purchasers specia l services or privileges, not extended to all purchasers under like terms and conditions. (e) Vnearrned Service PaJJ1n ents .-T o pay a trade buyer :for a special advertising or other distribution service by such buyer (1) except in pursuance o: a written contract made in good :faith and explicitly defining the service to be render ed and the payn1ent for it; and (2) unless such service is rendered and such payment is reason able and not excessive in amount; and (3) unless such contract is separate and distinct from any sa les contract, and such payment is separate and distinct from any sales price and is not designed or used to reduce a sales price; and (4) unl ess such payment is equally available for the same service to all competitive trade buyers in the same competitive market; and ( 5) unless a copy of each such con tract is retained on file for a period of one year. In order to investi gate alleged violations of this paragraph, the Administrator may require a member of the industry to report such contracts made by him and/ or to produce a copy thereof fo-r in spectio n. (f) Oombinmtion Sales.-To require that the purchase of any product be prerequisite to the purchase of any other product. (g) Oomm eroial Bribe7"!f.-To give, permit to be given, or directly offer to give, anything of value for the purpose of influencing or rewarding the action of any employee, agent, or representative of another in relation to the business of the employer of such emp l oyee, the principal of such agent or the represented party, without the knowledge of such employer, principal or party. Thi s paragraph shall not be construed to prohibit free and general distribution of articles commonly used for advertising except so far as such articles are actually used for commercial bribery as hereinabove defined. (h) Free De(]Jls.-To grant free deals, whether in the form of money, money's worth, or service. . (i) False Statements.-To render false invoice s, statements of account, orders, or acknowledgements; or to fal se ly report sales, whether or not the accounting concerning such sales is accurate. (j) Allowances for Olaims.-To allow any claim or make an adjustment of an invoice price without obtaining a statement from the buyer certifying to the facts on which the claim is made and without reporting forthwith to the Code Authority a full statement of the details of the settlement. (k) Guarantees against Price D eclines. -To make a contract for future delivery of products of the industry except on one of the two following bases: (1) On the filed price on the date of quotation or acceptance of the contract; or (2) On the filed price in effect on the date of shipment. (1) Storage Oharges.-To carry oil without having received pay ment therefor beyond the contract period without invoicing the buyer at the rate of six percent (6%) per annum (for the excess period of carriage) on the invoice price as compensation for storage and delay in payment. (m) Annual Sales Staternent.-To :fail to furnish a statement of the total annual sales to the accountants selected by the Code Au

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48 thority as provided for in Article VII, Title A, Section 3, paragraph (a), hereof. (n) Payment of Assess1nents.-To fail to pay the assessments for code administration as provided for in Article VII, Title C, hereof. (o) Disparagement of 001npetitors.-To disparage competitors by falsely imputing to them dishonorable business conduct, inability to perform contracts, questionable credit standing; or to falsely represent the grade or quality of their products. (p) 001nplwn.ce with Standards and Specifications.-To fail to apply the standards and specifications which may be established by the Code Authority pursuant to the provisions in Article VII, Title B, Section 1, paragraph (k), hereof. ( q) Filing Prices.-To fail to file with a confidential and dis interested agent of the Code Authority, or if none, then with such an agent designated by the Administrator, identified lists of all of his price terms, which lists shall completely and accurately conform to and represent the individual pricing practices of the member filing same. Said price terms shall in the first instance be filecl within fifteen days after the approval of this code. Price terms and revised price terms shall become effective immediately upon receipt thereof by said agent. (r) Incr e as e d Prices.-To file a higher price within forty-eight ( 48) hours after having filed a revision in price terms. ( s) Adherence to Fil e d Prices.-To sell or offer to sell any prod ucts of the industry except in accordance with such price terms as filed in accordance with the provisions of Article VI, Section 1, paragraph ( q), hereof. (t) Agre e 1n e nt on Pric e s.-To enter into any agreement, under standing, combination or conspiracy to fix or maintain price terms, or cause or attempt to cause any member of the industry to change his price terms by the use of intimidation, coercion, or any other influence inconsistent with the maintenance of the free and open market which it is the purpose of this Article to create. (u) D es tructive Price Oidting.-To engage wilfully in destruc tive price cutting. Any member of the industry or of any othei:t indu s try or the customers of either may at any time complain to the Code Authority that any filed price constitutes unfair competition as destructive price cutting, imperiling small enterprise or tending toward monopoly or the impairment of code wages and working conditions. (v) E1n e rgency Basis for Prioes.-To sell below the stated mini mum price for any given product when an emergency exists as to any such product in accordance with the following provisions: (1) If the Adnunistrator, after investigation shall at any time find both (a) that an emergency has arisen within the industry adver s ely affecting small enterprises or wages or labor conditions, or tending toward monopoly or other acute conditions which tend to def e at the purpose of the Act; and (b) that the determination of the stated minimum price for a specified product within the indus try for a limited period is necessary to mitigatB the conditions con s tituing such emergency and to effectuate the purposes of the Act, the Code Authority may cause an impartial agency to investigate costs and to recommend to the Administrator a determination of the

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I I _ 49 stated minimum price o f the pr oduct affected by the emergency _ an~ th_ er~up on t~e Administrator may proceed to determine s uch s tated muumum pnce; (2) When th e Administrator sha ll have determined such sta ted minimum price for a s pecified product for a stated period, which price sha ll be reasonably calculated to mitigat e the conditions of uch emergency and to effectuate the purpo ses of the Act, he shall publish such price. Thereafter, durinosuch stated period, no member of th e indu st ry shall sell s uch speci fied product s at a net realized price below sa id stated minimum price and any such sale sha ll be deemed de tructive price cutting; and provided that (3) "\Vhen no declared emergency ex i sts as to any given product, there i s to be no fixed minimum basi for prices. It is intended that sound cost estimating methods s hould be us ed and that con sideration sho uld be given to costs in the determination of pri c ing policies. ( w) 0 os,t Finding .-To fai l to utiliz e, to the extent found prac ticabl~, the cost finding and accounting method s promulgated pur nant to Article VII, Titl e B, Section 1, paragraph (r), her eo f. No member o f the indu stry shall s ug gest uniform additions, per centages or differentials or other uniform it ems of cost w hi ch are de signed to bring about arbitrary uniformity of costs or prices. ARTICLE VII-AmnINISTRA TION TITLE A. CODE AUTHORITY, SELECTION SECTION 1. A Code Authority consisting of five ( 5) voting m e m~ ber s who are to be elected by the indu s try shall b e established to admin i ste r thi s code, and to effect uate in the industry the purpo es and policies of the Act . The Admin i stra tor may appoint from one to three nonvotin g men1bers o:f the Code Authority as his repre se nta tiv es, for such periods r e spect i ve ly as he shall designat 0 , to attend all meetings of the Code Authority without expense to the indu stry . The Code Authority shall be e lected immediat ely upon the approval of this code at a meeting which may be atte nd ed by all members of the indu stry, of which meeting due notice shall be given, and a t which each member of the indu stry sha ll be entitled to one vote which may be cast in person, by proxy duly appointed, or by mail. SECTION 2 . The members of the Code Aut hority so chosen shall continue in office until their successo r s are duly e l ected and qualified. SECTION 3 . For the purpo ses of this Title, members of the industry s h all be classified into three g roups in the following manner: (a) Ea ch member of the indu stry shall within sixty (60) days after the effect iv e date of this code and during the first ninety (9 0) days of each year thereafter, beginning with Janu ary 1, 1935, report to such acc ountants ( certified, chartered, or other lawful practition e rs of accountancy) as may be s elected by the Code Authority the num ber of ton s of processed or refined fi h oil so ld by him in the preced in g year . Such reports shall be held by sa id accountants in strict confiden ce except as to the Administrator . On the receipt of such r eports, or immediat ely upon the expirat i on of the stated period, said accountants s hall determine from the report s received the aver

PAGE 14

50 age number of tons per member of s uch products so ld during the preceding year and shall then determine the members who are to be classified in Group A, being such members who have, as shown by th ei r respective reports, sold during the preceding year o n e hundr ed fifty percent (150 % ) or more of suc h average number of ton s ; said accountants r.:hall also determine the Group B members, being those who have, according to their respective reports, so l d during the pre ceding year more than seve nty-five percent (75%) but less than one hundred fifty percent (150 % ) of such average number of tons; and said accountants shall a l s o determine the Group C memb ers, being those who have, as show n by their respective reports, so ld du ring the preceding year seventy-five percent (75 % ) or l ess of s uch average number of ton . The determination of s uch groups by said account ~ ants sha ll be final and concl u s iv e ai1cl no person sh all hav e any right to investigate or check suc h determination e2,._"t:ept the Administra tor, who may do o eithe r on hi s own initiative or on the com plaint of any member of the indu stry laiming to be injur ed thereby. SECTION 4. ,V11 en and as aid classifications have been made by said accountants, they hall report to the members of the industry the personne l of the everal groups. ,vithin thirty (30) days after the making of each such report , a meeting of the members of th e indus tr y shall b e held ancl notic e thereof shall be given by the Code Authority specifying the time and place of each meeting. At s uch me e ting Group A memb e rs shall as a cla ss, be entitled, to elect two of the five ( 5) voting memb er of the Code Authority; Group B hall be entitled, as a cla s , to e lect one ( 1) of the voting members of the Code Authority; and Group C m e mb e r s hall b e entitled, as a class, to e l ect the remaining voting memb e r of the Code Authority. The four member of the Code Authority o chose n s hall se le ct the fifth voting member, who s hall not be a member of the industry or an employee, partner, or officer thereof. A voting member of the Code Authority may, but ne ed not, be a ociated with a 1nember of the indu try , but no two (2) memb ers of the Code Authority sha ll be directly a ociated with the ame member of the indu st ry or any of his subsidiarie. or affiliates. SECTION 5. If any vacancy shall occur in thi:> membership of the Code Authority by rea on of rejection or disapproval of any member by the Admini s trator , or by re ignation or death, or for any other reason, the remaining members of the Code Authority, except those appointed by th e Adm.inistrator, may , by a majority vote of their number, appoint a member to the Code Authority for the unexpired term, sub j ect however to the approval of uch appointment by the Administrator . In filling such vacancie s, the representation of the respective group ; viz, A , B, and C provided for in Section 4 of this Article shall be maintained. SECTION 6. The vote in per on, by proxy, or by mail of a majority of the members of the industry cla sified in any of said groups s hall be necessary for the election of the members of the Code Authority to be chosen by that group. SECTION 7. If the business of any two or more members of the in dustry is so combined, whether becau se of r e lationship a sub icliary, affiliate or otherwise, as to con titute, in the opinion of the Code Authority, one unified enterprise for practical purpo es; then, suc h

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5i memb e rs s o combined sha ll h ave one vote at meetings of the mem b ers of the in dustry and s h a ll , in classifying suc h member into Group s A, B , and C, be tr e ated a though constit utin P one member of the industry. n SECTION 8. Each trade or industrial association directly or indi rectly participating in the se l ect ion or a tiviti es of the CoL1e Author ity shall (1) impose no inequitable re -triction on member hip, and (2) su bmit to the Administrator true cop ie s of it articles of as ocia tion, by -l aws regulations and all amendment s thereto a made, to gether w ith s u c h other info rmat ion as to membership, organization 1 and activities a the Administrator may de em necessary to e ffe ct uate the purpos es of the Act. SECTION 9. In order that the Code Authority shall nt all times be truly r ep res entat iv e of the indu stry and in other re s pect comp l',7 with the provisions of the Act, the Aclmini:::i tra tor may pre scribe such hearing s a he may deem proper; and thereafter if he . hall find that the Code Authority i s not truly representative or does not in other r e pects comply w ith the provi ions of the Act, may require an appropriate modifirntion in th e method of se l ect ion of th e Code Authority. SECTION 10 . Nothing contained in thi . code shall constitute the members of the Code Authority partner : for any purpo se . Nor shall any m e mber of the Code Authority be liable in any mann r to anyone for any act of any other m embe r, officer, agent or employee of the Code Authority . Nor s hall any m e mber of the Code Au thority exercising rea onable liligence in the conduct of hi s duties hereunder, b e liabl e to anyone for any action or omis s ion to act und er this cod~. ex e pt for hi own wilful m alfea ance or non feasance. TITLE B. CODE AUTHORITY, POWERS AND DUTIES SECTIOX 1. The Code Authority s hali b e " harg e d with the admin istrati on of the provi ions of thi s code anc1 s hall hav e th e following powers and dutie s in addition to those authorized by oth er provi sion s of this code , ubject to such rule s and regulations a may be pre scr ib ed by the Administrator : (a) T o in sure the observance of the provi sions of thi s code, and the comp lian ce of the industry ith the provi ions of the Act. Any charg e of a specific alleged violation con1ing to the know l edge of a member of the indu stry s hall be submitted to th e Code Authority in a ,vritten s tatement specifying such all ged vio la tion and con tainin g s ub stantiating evidence thereof. I:f th e memb er submitting such charge reque ts that his action in so doing be kept in confidence , th e Cod e Authority s hall make e...-ery effort to do so, provided that such action on it s part shall not hind r or obstn1ct the ensuing inve st igati on and the enforcement of this code against the member charged. (b) To investigat any charg 0 aforesaid and any other specific charges or information relating to violations of the code which sha ll c ome to its knowledge fr om any source which it deems re li able . The Cod e Authority may inve ~ tigate such matt ers by calling upon any member of the industry, including the one whose action are under

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52 investigation; and may secure from any member of the industry a statement with r es pect to any alleged vio lation . ( c) To receiv e compla int s from any member o f the indu stry or of any oth e r industry or the customers of. e ither at any time that any filed price constit utes unfair competition as destructive price cut ting , imperiling s mall enterprises or tending toward monopoly or the im pairment of code wages and working conditions. ( cl) To adopt by-law s and rules and regulations for its procedure. ( e) To obta in from m embe rs of the industry such information and reports as are required for the administration of this code . I n addi tion to information required to be submitted to the Code Authority, m e mb e rs of the industry s hall furni s h suc h statistical information as th e Administrator may deem necessary for the purpo ses recited in Section 3 (a) of the Act to s uch Administrative and / or governmen t ag e ncies as the Administrator may designate: P roviiled how ever, that nothing in this code s hall relieve any member of the industry of a ny existing obligation to furni s h report s to any government agency . No individual reports sha ll be disclosed to any other mem ber of th e industry or any other party, excep t to such governmen t agericies as may be directed by the Administrator. ( f) To u se suc h other agencie as it deems proper for the ca rrying out of any of its activities provided for h ere in; but nothing herein clrnll reli eve the Code Auth or ity of it s duties or responsibilities under thi s code, and s uch agencies s hall at all tim es be subject to and com ply with the provisions hereof. (g) To make r eco mmendations to the Administrator for the co ordination of the admini tration of this code with s u c h ot h er codes, if any, a may b e related to or affect members of the industry. (h) To cooperate with the Administrator in r egu lating the use of a.ny N.R.A. in s ignia s olely by those members of the industry who are complying with this code. (i) To r eco mmend to the Administrator suc h changes and modi fication s in thi code as experience s hall prove necessary and desirab l e. (j) To estab li h, subject to th e approval of the Administrator, spec ific at ion s and s tandards for the classification of various kinds of proces ed or r e fined fi sh oi l s into several grades. (k) To require that each member of the industry, in se lling or promoting the sale of such oil , proces se d or refined by him, sha ll classify the product in accordance with said speci fication s and s tand ards when and as the Code Authority sha ll so establish same; and s hall comp l y with the requirements s et forth in paragraph (1) of this Section and s uch other regulations as the Administrator may approvP in this co nnection. (1) If any member of the indu stry s hall h ave establi~hed or shall desire to es tabli s h a special trade name for any particular type or grade of oil so ld by him which has a peculiar quality or property, di s tinct in any way from any of the estab li shed grades, he may market s uch oil under said special trade nam . e or as a separate or di st inct g rade, but , in so doing, sha ll not make any unf ounded or mi sle ading statements or claims concerning the properties , charac teri st ics , or capabilities of such branded oil or special grade. Any m em ber of the indu stry who now markets or hereafter proposes to market any uch specia l type of oil shall report the fact to the Code

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53 Authority, tog ethe r with a statement of the pe cu liar properties claimed therefor, and if the Code Authority s hall find that such spec ial oil ha s no peculiar qualities or capabilities to di tinauish it from one of the standard grade established by th e Code Authority, such membe _ r sha ll not make any tatenient s o r claim . s to the contrary and sha ll in filing the sched ul e requir ed of him under paragraph ( q), Section 1 of Article VI , hereof, clas ify said oil in a.<:cordance with th standa rd grade to which it b e long s but may continue -to se ll th e oi l under the trade nam e or brand . (m) From and after the time that the Code Authority shall o e tabli h pecifications or :S tandard s for the classification of any kind of refined or proce eel oil in the various grades and . hall announce , uch clas ifica.tion, eac h m embex of the industry proposino to sell any grade of c::uch kind of oil sha ll include in the price terms at which he propo e to e ll any of the established grade , or any pecial gra le, or any grade hearing a pec ial trade name a above provided at l east (1) the price at wluch each grade will be offered in th e variou unit quantities, e . a . , tank car, lrum , ton, pound, carload lots, or l ess than carload lot; (2) whet h r or not u ch price include s any tran porta tion , handling, or imilar charge to be paid by th 0 eller; ( 3) any quantity or other h count 11 hich will h 0 permitted from any of the sa l es prices set forth in . aid schedule, and the amoun t or extent th ereof; ( 4) the perio l or perio.ds within wh i ch deli Y eries will be made at suc h prices; and ( 5) the term of credit upon which the various grades of oil will be sold . Such report hall be made on s uch form as the Code Authority may find nee ~s ary in order that there may be a uniform and comparable system 0 reporting in the industry . (n) To designate a confidential and di.J interested agent for t he purpose of carry:u1g out the provi ion of Article VI , S ction 1, para graph ( q), hereof. Said agent hall receive pric e terms fil ed by members of the indu s try in ac co rdance 1Yith Ar tic l e VI, Section 1, paragraph ( q), her of, and immediately upon receipt thereof, sa id agent sha ll by telegraph or other equa ll y I rompt m ea n notify sa id member of the time of such receipt . Such li t s an l revi ions, to gether i\ it h th e effective time ther eo f, hall upon receipt be imme diat ely and s imultan eou l y di tributed to all members of the indu str y and to all their customers who have applied therefor and have offered to defray the co t actually incurred by the Code Authority in the prt>paration an] distribution thereof and be aYailable for in pection by any of their customers 3.t the oflic of s uch ag.e nt. Said li.,t or revi ions or any part thereof s hall not be made available to any person until relea eel to all m e mbers of thB indu s try and their cu tom er., as aforesaid; provided, that prices filed in the firc:t instance s h all not be r eleased until the expiration of the fifteen ( 15) day period after th.e approva l of this code provided for in Article VI, Section 1 , paragraph ( q), l rnreof. ( o) The Code Autl1ority shall maintain a permanent file of all pr i ce terms filed as herein provided, and sha ll not des+-roy any part of s uch records except up on written con s ent of the Administrator. pon rque.,t the Code Authority shall furn ish to the Administrator or any duly designated agent of the Administrator, copies of a ny s u ch li sts or revisions of price terms.

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54 (p) Upon receipt of a complaint under Article VI , S ect i o n 1, para.graph (u), hereof, the Code Authority sha ll with i n fi ve day s afford an opportunity to the member of t h e industry fi lin g t h e p r ic e ( alleged to constitute destructive price cutting) to answer such com plaint and shall within fourteen (14) days make a ru l ing o r ad ju s ment thereon. If such ruling is not concurred i n by eit h er pa rt y to the complaint, all papers sha ll be referred to the R esearch and Planning Division of the N . R . A. which sha ll render a report and recommendation thereon to the Administrator. ( q) To recommend from time to time the review or r econsidera tion of any determination effected under Article VI, Sect i on 1, paragraph (v), subparagraph (2), hereof, or the Admin i strator may ca.use the same to be reviewed or reconsidered and appropriate action taken . (r) To cau e to be formulated methods of cost finding and ac counting capable of use by all members of the industry. \ iVhen such cost finding and accounting methods shall have been formu l ated same shall ~ be submitted to the Administrator for review. I f ap proved by the Administrator, fu ll information concerning such method s shall b e made available to all members of the industry. Nothing herein contained shall be construed to permit the Code Authority to suggest uniform additions, percentages or differentials or oth e r uniform items of cost which are designed to bring abo u t arbitrary uniformity of costs or of prices . SECTION 2. If the Administrator shall at any time determine that any action of the Code Authority or any agency thereof may be unfair or unj u t or contrary to the public interest, the Administrator may require that such action be su s pended to afford an opportunity for inve s tigation of the merits of such action and further considera tion by the Code Authority or such agency pending final action which shall not be effective unless the Admini trator approves or unle s he shall fail to di s approve after thirty (30) days' notice to him of intention to proceed with such action in its original or modified form. TITLE C. EXPENSES SECTION 1. The Code Authority shall, prior to the meeting of the member of the industry in each year, fix an estimate or budget of its probable financial needs for the administration of this code for the ensuing year, and shall submit the same to such 1neeting for approval. Unless the budget is revised by such meeting (and it shall have that power) the same as determined by the Code Au thority shall become effective immediately after its approval by the Administrator. When the bud.get has been so determined and ap proved, the Code Authority shall empower the accountants selected by the Code Authority under the provisions of Title A, Section 3, paragraph (a) of this Article to apportion the expenses therein set forth among the members of ti1e industry, using for this purpose the ratio of the annual sales of each member of the industry to the total sales of the industry for the preceding year; and after the basis of contribution has been approved by the Administrator sha ll empower them to collect the same. Such apportionment and collection of expenses among the members of the industry shall be he l d by such accountants in strict confidence except as to the Administrator .

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55 S uch accountants may be ubjected to adequate bond before as:3llming any function under the provisions of thi Title . 8 ' ECTION 2 . If the Code Authority shall at ~ny time deem that ex traordinary expen. e should be incurr ed by it in the performan ce of its functions hereund e r, it s hall thereupon estimate the amount thereof and , ubmit the same to a meeting of the members of the in dustry for approval, revision or rej ect ion. The notice of c_ny suc h meeting shall specify the purpose thereof, and the nature and amount of the requested appropriation. If su h meeting i:s so called and shall, either for a lack of quorum or otherwi ~ e, fail to r ev i se or re ject the . reque st of the Code Authority, the action of the C o de Au thority sha ll then be final and co n c lu sive a tu members of t he industry. Such proposed extraordinary bndget s hall be , ubject to the approval of the .... dministrator in any event . Assessments o n the members of th e indu stry sha ll th en be apportioned by aid account ants on the same basis as spec ifi e d in Section 1 of this Title, and, after the basi.s of contribution has been approved by th e .... \.clminis trator, collected in like manner. SECTION 3. Any funds remaining on hand , u pon the t e rmination of this code or at the discretion of the Code Authority , shall, after the liabili ties of the Code Authority hav e be.en pa i d, be prorated and returned to the members of th e jndu stry by aid accountants in accordance with such recognized principles of accountancy as will allow du e con icleration t o their respective contribution to suc.h balance. AnTI" ' LE VIII-1\fo.i: OPOLIEs SECTION 1. No provj,sion of this code s hall be so applied as to permit monopolies or monopolistic pra c tic 0 s, or to eliminate, oppress , or di..;criminate against small en t erpr i ses . ARTICLE IX-~(1 0DIFICATION SECTION 1. It i s contemp l ated that from time to time amendments will be submitte l for the approval of the President , to effectuate the policies of the Act and to pre ve nt unfair competition. Aftm s uch notice and hearings as the Ad mini strator shall pecify, and with the approval of the President, the propo eel amendments s h all be come parts of this code . SECTION 2. This code and all the pro vi ion thereof are expre sly made subject to the right of th e Presid nt., in accordance with the provisions o . f Section 10 , subsection (b) of the Act, from time to time to cancel or modify any order, approval, li cense, rule, or regula tion issued under the Act; and specifica,lly, but without limitation, to the right of the Pre ident to cancel or modify hi approval of this cocle or any conditions imp osed by him upon his approval thereof. ARTICLE X-EFF ECTIVE DATE SECTION 1. This code shall become effective on th e second 1'.Ionday following its approval by the Pre s ident. Approved Code No. 500. Regis t ry No. 6 1 2-0 1. 0

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UNIVERSITY OF FLORIDA 111 \\ 11111 \ Ill l \ 111 \ 111\111 \ I \ II \ \\ II \lll\1111\1\11111\111\ 1111 \ 3 1262 08584 7571