UNIVERSITY OF FLORIDA 

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3 1262 08486 7869 

Registry No. 226-1-06 

NATIONAL RECOVERY ADMINISTRATION 

C·ODE OF FAIR COMPETITION 

FOR THE 

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NOVELTY CURTAIN DRAPERIES 

BEDSPREADS, AND NOVELTY ~ILLOW 

INDUSTRY 

AS APPROVED ON NOVEMBER 1, 1933 

BY 

1 a • 1 Q : 

PRESIDENT ROOSEVELT 

WE DO OUR PART 

1. Executive Order 

2. Letter of Transmittal 

3. Code 

UNITED STATES 

GOVE RNMENT PRINTING OFFICE 

WASHINGTON : 1933 

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\ I I I I ( I I 

For sale by the S uperi n tenden t of Documents, Washington, D .C. - - - - - - - - Price 5 cents 

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This publication is for sale by the Superintendent of Documents, Government 

Printing Office, Washington, D.C., and by district offices of the Bureau of 

Foreign and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 504 Post Office Building. 

Birmingham, Ala.: 257 Federal Building. 

Boston, Mass.: 1801 Customhouse. 

Buffalo, N.Y.: Chamber of Commerce Building. 

Charleston, S.C.: Chamber of Commerce Building. 

Chicago, Ill.: Suite 1706, 201 North Wells Street. 

Cleveland, Ohio: Chamber of Commerce. 

Dallas, Tex.: Chamber of Commerce Building. 

Detroit, Mich.: 2213 First National Bank Building. 

Houston, Tex.: Chamber of Commerce Building. 

Indianapolis, Ind.: Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Calif.: 1163 South Broadway. 

Louisville, Ky.: 408 Federal Building. 

Memphis, Tenn.: 229 Federal Building. 

Minneapolis, Minn.: 213 Federal Building. 

New Orlean~~ La.: Room 225-A, Customhouse. 

New York, .N.Y.: 734 Customhouse. 

Norfolk, Va.: 406 East Plume Street. 

Philadelphia, Pa.: 933 Commercial Trust Building. 

Pittsburgh, Pa.: Chamber of Commerce Building. 

Portland, Oreg.: 215 New Post Office Building. 

St. Louis, Mo.: 506 Olive Street. 

San Francisco, Calif.: 310 Customhouse. 

Seattle, Wash.: 809 Federal Building. 

(TI) 
EXECUTIVE ORDER 

CoDE oFF AIR CoMPETITION FOR THE NovELTY CuRTAINS, DRAPERIES, 

BEDSPREADS AND NOVELTY PILLOW INDUSTRY 

An application having been duly made, pursuant to and in full 

compliance with the provisions of title I of the National Industrial 

Recovery Act, approved June 16, 1933, for my approval of a Code 

of Fair Competition for the Novelty Curtain, Draperies, Bedspreads 

and Novelty Pillow Industry, and hearings having been held thereon 

and the Administrator having rendered his report containing an 

analysis of the said code of fair competition together with his recOinmendations and findings with respect thereto, and the Administrator 

having found that the said code of fair competition complies in all 

respects with the pertinent provisions of title I of said act a.nd that 

the requirements of clauses (1) and (2) of subsection (a) of section 3 

of the said act have been met: 

NOW, THEREFORE, I, Franklin D. Roosevelt, President of the 

United States, pursuant to the authority vested in me by title I of 

the National Industrial Recovery Act, approved June 16, 1933, and 

otherwise, do adopt and approve the report, recommendations, and 

findings of the Administrator and do order that the said code of fair 

competition be and it is hereby approved. 

THE WHITE HousE, 

November 1, 1933. 

Approval recommended: 

HuGH S. JoHNsoN, 

Administrator. 

The PRESIDENT, 

The White I-Iouse. 

FRANKLIN D. ROOSEVELT. 

SIR: This is a report of the Hearing on the Code of Fair Competition for the Novelty Curtains, Draperies, Bedspreads, and Novelty 

Pillows Industry, conducted in the Carlton Room of the Carlton 

Hotel, on October 2, 1933, in accordance with the provisions of the 

National Industrial Recovery Act. The Code which is attached 

was presented by duly qualified and authorized representatives of 

the Industry, complying with the statutory requirements, said to 

represent 80 percent in number and 90 percent in volume of the 

capacity of the Industry. 

THE INDUSTRY 

. The Industry comprises between 250 and 300 plants, having an 

mvestment of over $15,000,000. The number of employees is estimated to have increased from 8,500 to above 10,000. Aggregate 

annual sales are estimated at $25,000,000 for 1932, the estimate for 

the years of 1928, 1929, and 1930 being $32,000,000. 

18931°-188-130-33 (III) 
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It was specifically stated that the minimum wage had been as low 

as $7.00 per week and it is thought that rates in some sweat shops 

were even below this. 

Briefs have been submitted to show that change of operations to 

conform to the provisions of the code has resulted in an hourly increase averaging about 70 percent in one of the largest plants in the 

Industry. 

FROVISIONS OF THE CODE 

The Code provides for a minimum of 32 X¢ an hour or at a rate of 

$13.00 per week of 40 hours. Office workers are limited to an average 

of 40 hours, but in no case more than 48 hours per week. Productive 

employees are limited to 40 hours per week while certain maintenance 

employees are permitted to work up to 44 hours. Employees, however, are to receive one and one half times the regular rate of pay for 

such excess above 40 hours. Provision is made for the maintenance 

of differentials between wages above the minimum. Reports of increases made in accordance with the provisions of this code are 

specifically required by its provisions. 

Operations will be limited to one shift of 40 hours each. The 

Administration of the code is organized along regional lines. Provisions with respect to representation of nonmembers of the association leave this problem largely in the hands of the Administration. 

Provision is made for the reporting of any pertinent information desired by the Administration. Trade practices are quite extensive, 

but not in any respect objectionable. 

FINDINGS 

I find that-

(a) This code complies in all respects with the pertinent provisions 

of Title I of the Act, including Without limitation subsection (a) of 

Section 7 and subsection (b) of Section 10 thereof. 

(b) The National Association of Manufacturers of Novelty Curtains, Draperies, Bedspreads, and Novelty Pillows Incorporated to 

be truly representative of the Novelty Curtains, Draperies, Bedspreads and Novelty Pillows Industry. The By-Laws of this association provide no inequitable restrictions to membership. 

(c) The code is not designated to promote monopo]ies or to eliminate or oppress small enterprises and will not operate to discriminate 

against them and will tend to effectuate the policy of Title 1 of the 

National Industrial Recovery Act. 

(d) While not attaining a~level of wages comparable to conditions 

existing prior to the depression, the wage level represents a most 

substantial rise over conditions prevailing prior to the recovery 

movement. 

(e) The trade practices should be helpful in bringing greater 

orderliness into a highly competitive market. 

I recommend that the code be approved. 

Respectfully, 

HuGH S. JoHNSON, 

Administrator. 
CODE OF FAIR COMPETITION FOR THE NOVELTY CURTAIN, DRAPERIES, BEDSPREADS, AND NOVELTY PILLOW 

INDUSTRY 

ARTICLE I-PURPOSES 

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 Novelty Curtain, Draperies, Bedspreads, 

and Novelty Pillow Industry and shall be the standard of fair competition for such industry and shall be binding upon every member 

thereof. · ARTICLE II-DEFINITIONS 

1. The term "Industry" as used herein means and includes the ·using or hiring of equipment, or the engaging or hiring of anyone 

owning or hiring equipment, to perform the operation of making 

piece goods into novelty curtains, draperies, bedspreads (made by 

cutting apart and/or sewing together out of the same materials, or 

out of the same materials in combination with other materials 

employing plain or fancy stitching, embroideries, laces, or appliques 

in conjunction therewith, but excluding bedspreads made out of 

one piece of material cut apart for size only), and novelty pillows. 

2. The term "Association" as used herein means the National 

Association of Manufacturers of Novelty Curtains, Draperies, Bedspreads, and Pillows, Inc., of 7 East 44th Street, New York City. 

3. The term "Employee" as used herein includes anyone engaged 

in the Industry in any capacity receiving compensation for his services 

irrespective of the nature or method of payment of such cmnpensation. 

4. The term "Employer" as used herein, includes anyone by whom 

such employee is compensated or employed. 

5. The term "Member of the Industry" as used herein includes 

anyone engaged in the Industry as above defined, either as an employer or on his own behalf. 

6. The term "President", "Act", and "Administrator", as used 

herein, shall mean, respectively, President of the United States, the 

National Industrial Recovery Act, and the Administrator of Title I 

of said Act. 

ARTICLE III-HouRs 

1. No office employee in the Industry shall be permitted to work 

more than an average of forty (40) hours per week over each nine (9) 

week period but not more than forty-eight (48) hours in any one 

week during such J?eriod nor more than eight (8) hours in any twentyfour (24) hour penod. 

2. No other employee except outside sales people and executives 

earning a salary in excess of thirty-five dollars ($35.00) per week shall 

be permitted to work in excess of forty (40) hours in any one week 

or eight (8) hours in any twenty-four (24) hour period. 

{1) 
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3. The maximum hours fixed in the foregoing sections shall not apply to employees engaged on emergency maintenance or emergency 

repair work involving breakdowns or protection of life or property. 

No employee permitted under this section to work in excess of 

forty (40) hours per week shall be compensated at less than one and 

one third times his or her regular rate of pay for such excess. 

4. No machinery in the Industry shall be operated for more than one 

shift of forty (40) hours per week. 

ARTICLE IV-WAGES 

1. No employee shall be paid at less than the rate of thirteen dollars 

($13.00) per week of forty (40) hours or thirty-two and one half 

cents (32%¢) per hour. 

2. This Article establishes a minimum rate of pay, regardless of 

whether an employee is compensated on a time rate, piecework or 

other basis. 

3. The compensation for employment now in excess of the minimum 

wages herein provided shall not be reduced notwithstanding that the 

hours worked in such employment shall be hereby reduced, and 

rates of pay for such employment shall be increased by an equitable 

readjustment of all pay schedules. 

Within thirty (30) days after this Code becomes effective employers 

shall report to the Code Authority action taken by them since July 1, 

1933, with respect to adjustments of wages above the minimum. 

ARTICLE V-GENERAL LABOR PROVISIONS 

1. No person under the a.ge of sixteen (16) years shall be employed 

in the Industry. 

2. 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 selforganization or in other concerted activities for the purpose of collective bargaining or other mutual aid or protection. 

3. No employee and no one seeking employment shall be required 

as a condition of employment to join any company union or to refrain 

from joining, organizing, or assisting a labor organization of his own 

choosing. 

4. Employers shall comply with the maximum hours of labor, 

minimum rates of pay, and other conditions of employment, approved 

or prescribed by the President. 

5. Within each State this Code shall not supersede any laws of such 

State imposing more stringent requirements on employers regulating 

the age of employees, wages, honrs of '~ ork, or health, fire, or general 

working conditions than under this Code. 

6. Employers shall not reclassify employees or duties of occupations 

performed by employees so as to defeat the purposes of the Act. 

7. Until adoption of further provisions of the Code that may prove 

necessary in order to prevent any improper speeding np of the work 

(stretch-outs) no manufacturing employee in the Industry shall be 

required to do any work in excess of the practice as to the class of 

work of such employee prevailing on July 1, 1933, or prior to the 
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Share-The-Work movement unless such increase is submitted to and 

approved by the Code Authority created bv Article VI, Section 1, 

of this Code, and by the Administru.tor. 

8. Each employer shall post in conspicuous places full copies of 

this Code. 

ARTICLE VI-ADMINISTRATION 

1. To further effectuate the policy of the Act a Code Authority is 

hereby designat(}d to cooperate with the Administrator in the administration of this Code. The Code Authority shall consist of the Board 

of Directors of the Association and such additional representatives of 

the Industry as shall be selected by a fair method of selection to be 

approved by the Administrator, or as the Administrator shall prescribe; and up to three advisory members without vote who may be 

appointed by the Administrator. 

As soon as the essential facts of the Industry are gathered by the 

Code Authority from the various geographical districts, such districts 

shall be given such proportionate representation on the Code Authority as is equitable and as shall be approved by the Administrator. 

Each trade or industrial association directly or indirectly participating in the selection or activities of the Code Authority shall: (1) 

Impose no inequitable restrictions on membership, and (2) submit to 

the Administrator true copies of its articles of association, bylaws, 

regulations, and any amendments when made thereto, together with 

such other information as to membership, organization, and activities 

as the Administrator may deem necessary to effectuate the purposes 

of the Act. 

In order that the Code Authority shall at all times be truly representative of the industry and in other respects comply with the provisions 

of the Act, the Administrator may provide 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 comply with 

the provisions of the Act, may require an appropriate modification 

in the method of selection of the Code Authority. 

2. The Code Authority shall have the following duties and powers 

to the extent permitted by the Act, subject to the right of the Administrator on review to disapprove or modify any action taken by it: 

(a) It shall interpret the provisions of the Code for the members of 

the Industry, subject to the approval of the Administrator, and shall, 

under the general supervision of the Administrator, make investigation as to the functioning and observance of the provisions of this 

Code; or it may, at its own instance or on a complaint by any person 

affected, make such investigation and send a copy of its report to 

the Administrator. 

(b) It shall also from time to time make such recommendations to 

the Administrator as will best effectuate the purpose of this Code and 

the policy of the Act. Such recommendations when approved by the 

Administrator, after such notice and hearing as he shall specify, shall 

have the same force and effect as any other provisions of this Code. 

(c) It may from time to time appoint such committees as it shall 

deem necessary or proper in order to effectuate the purposes of the 

Code and delegate to any such committee, its general or any particular 

power hereunder. Such committees shall be appointed with a view 

to geographical representation. The Code Authority shall appoint 
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regional committees to represent each of the geographical districts set 

up in the following section, which committees shall be nominated by 

trade associations or other trade or~anizations truly representative of 

the Industry in such geographical district, and shall delegate to such 

regional committees all the powers of executive authority hereunder 

required to enable such regional committees to administer the Code 

in such geographical district under the general jm·isdiction of the Code 

Authority. 

3. For the pw·pose of administration of this Code, the Industry is 

divided into the following geographical districts: 

(a) Eastern and South Atlantic District. This district shall include 

members whose principal place of business 1s located within the 

following area: 

New York Georgia Delaware 

District of Columbia West Virginia New Jersey 

Virginia North Carolina Pennsylvania 

Maryland South Carolina Florida 

(b) Middle West District. This district shall include members 

whose principal place of business is located within the following area: 

Michigan South Dakota Indiana 

W yarning Minnesota Colorado 

Illinois Nebraska Iowa 

Ohio North Dakota Wisconsin 

(c) Western District. This district shall include members whose 

principal place of business is located within the following area: 

Oregon 

Utah 

California 

Nevada 

Arizona 

Washington 

Montana 

(d) New England District. This district shall include members 

whose principal place of business is located within the following area: 

Maine Massachusetts Rhode Island 

New Hampshire Connecticut Vermont 

(e) Southern District. This district shall include members whose 

principal place of business is located within the following area: 

Alabama 

Kansas 

Missouri 

Kentucky 

Mississippi 

Texas 

Louisiana 

Arkansas 

Tennessee 

Oklahoma 

4. With a view to keeping the President informed as to the observance of this Code of Fair Competition, and as to whether the industry 

is taking appropriate steps to effectuate the declared policy of the 

Act, the Code Authority shall collect statistics of the Industry through 

its duly authorized secretary, not a member of the Industry, and all 

members of the Industry shall furnish same as follows: 

Duly certified reports containing information reasonably pertinent 

to the effectuation of the purposes of this Code shall be furnished in 

substance and in such form and at such intervals as the Administrator 

or as the Code Authority, subject to the approval of the Administrator, 

shall prescribe. Full protection shall be given to each member of the 

Industry as to the confidential nature of such data, but such information or copies the_reof shall be furnished to the Administrator upon his 

request. If so drrected or requested by the Administrator, or if it be 
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the policy of the Administrator, the regional committees shall collect 

and forward the reports to the Code Authority. 

5. The Code Authority may, subject to the approval of the Administrator, make regulations for the issuance and use of an N.I.R.A. 

label in accordance with the policies of the National Recovery 

Administration. 

6. In addition to information required to be submitted to the Code 

Authority, there shall be furnished to government agencies such statistical information as the Administrator may deem necessary for the 

purposes recited in Section 3 (a) of the Act. 

ARTICLE VII-TRADE PRACTICES 

The following practices constitute unfair methods of competition 

for members of the Industry and are prohibited: 

1. False Marking or Branding .-The false marking or branding of 

any product of the Industry which has the tendency to mislead or 

deceive customers or prospective customers, whether as to the grade, 

quality, quantity, substance, character, nature, origin, size, finish, or 

preparation of any product of the industry, or otherwise. 

2. Misrepresentation or False or Misleading Advertising.-The 

making or causing or knowingly permitting to be made or published 

any false, materially inaccurate or deceptive statement by way of 

advertisement or otherwise, whether concerning the grade, quality, 

quantity, substance, character, nature, origin, size, finish, or preparation of any product of the industry, or the credit terms, values, 

policies, or services of any member of the industry, or otherwise, 

having the tendency or capacity to mislead or deceive customers or 

prospective customers. 

3. Commercial Bribery.-Directly or indirectly to give, permit to 

be given, or offer to give, money or anything of value to agents, employees, or representatives of customers or prospective custmners, or 

to agents, employees, or representatives of competitors' customers or 

prospective customers, without the knowledge of their employers or 

principals, as an inducement to influence their employers or principals 

to purchase or contract to purchase from the makers of such gift or 

offer, or to influence such employers or principals to refrain from 

dealing or contracting to deal with competitors. 

4. Interference with Contractual Relations.-Maliciously inducing 

or attempting to induce the breach of an existing oral or written 

contract between a competitor and his customer or source of supply, 

or interfering with or obstructing the performance of any such 

contractual duties or services. 

5. Secret Rebates.-The secret payment or allowances of rebates, 

refunds, commissions, credits, or unearned discounts, whether in the 

form of money or otherwise, or the secret extension to certain purchasers of special services or privileges not extended to all purchasers 

on like terms and conditions. 

6. Dejamation.-The defamation of competitors by falsely imputing to them dishonorable conduct, inability to perform contracts, 

questwnable credit standing, or by other false representations or by 

the false disparagement of the grade or quality of their goods. 
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7. Substitution of Material.-The using or substituting of any 

material inferior in quality to that specified by the purchaser of any 

product. 

8. Date of Invoice.-Stating in the invoice of the sale of any product 

as the date thereof a date later than the date of the shipping of such 

product, except as herein specifically provided, or including in any 

invoice any product shipped on a date earlier than the date of such 

invoice, except as herein specifically provided. 

9. Description of Product.-Making any sale or contract of sale of 

any product under any description which does not fully describe 

such product in terms customarily used in the Industry. 

10. Size.-Failure to clearly indicate on bedspreads or draperies 

or on the packages containing bedspreads or draperies the sizes thereof. 

11. Sales Below Cost.-The selling or offering to sell any product of 

the Industry below cost as may be determined in accordance with 

this section, except (provided a statement is made to that effect on 

the invoice) (a) in sales to dispose of any stock in whole or in part for 

the purpose of discontinuing the sale of that particular line of merchandise, (b) in sales of goods that are damaged and that have deteriorated, (c) in bankruptcy sales or forced sales because of otherwise 

insolvent conditions of the seller. When a uniform and standard 

system of cost accounting, prescribed by the Code Authority, shall be 

approved by the Administrator, every member of the Industry shall 

install a system of accounting which conforms to the principles of and 

is at least as detailed and complete as such system. The Code 

Authority shall, subject to the approval of the Administrator, determine the cost factors to be included in the determination of such cost. 

(a) Taxes.-Any Federal, State, or other taxes that have been or 

shall hereafter be imposed upon any merchandise which the manufacturer thereof shall be required to pay shall be separately itemized on 

each invoice and the amount of such taxes added to the total of such 

InVOICe. 

12. Samples.-Supplying any samples, in excess of two percent 

(2%) of the initial order, below the cost thereof to the member of the 

Industry as defined in section 11 of this Article. 

13. Shipment.-The making of shipments other than F.O.B. city 

of origin, except that members of the Industry may make local storedoor deliveries in any local area. The word "local" as used herein 

may be defined from time to time by the regional committee subject 

to the approval of the Code Authority. 

14. Terms of sale.-Selling on more favorable terms than 3/10 

E.O.M. or 2/10/60 extra except that the terms for the Western District 

of the Industry shall be 3/10 or 2/30. Goods invoiced on and after the 

twenty-fifth day of any month may be dated as of the first day of the 

following month. 

15. Adherence to Contract Terms.-The making or completing of 

sales upon any terms exceJ?t as expressly set forth in the order, contract of sale, or in the invoice appertaining to such sale. 

16. Cons?:gnments, Etc.-The selling or offering to sell any product 

of the Industry on memorandum or on consignment or on conditional 

sale. 

17. Othe·r Unfair Practices.-Nothing in this Code shall limit the 

effect of any adjudication by the Courts or holding by the Federal 

Trade Commission on complaint, finding, and order, that any practice 
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or method is unfair, providing that such adjudication or holding is not 

inconsistent with any provision of the Act or this Code. 

ARTICLE VIII-MoDIFICATION 

1. This Code and all the provisions thereof are expressly made 

subject to the right of the Presidentf in accordance with the provisions 

of subsection (b) of Section 10 of the Act, from time to time to cancel 

or modify any order, approval, license, rule, or regulation issued under 

Title I of said Act and specifically, but without limitation, to the right 

of the President to cancel or modify his approval of this Code or any 

conditions imposed by him upon his approval thereof. 

2. This Code, except as to provisions required by the Act, may be 

modified on the basis of experience or changes in circumstances, such 

modification to be based upon application to the Administrator and 

such notice and hearing as he shall specify, and to become effective on 

approval of the President. 

ARTICLE IX-MONOPOLIES 

No provision of this Code shall be so applied as to permit monopo~ 

lies or monopolistic practices, or to eliminate, oppress, or discriminate 

against small enterprises. 

ARTICLE X-PRICE INCREASES 

W11ereas the policy of the Act to increase real purchasing power 

will be made impossible of consummation if prices of goods and serv~ 

ices increase as rapidly as wages, it is recognized that price increases 

should be delayed and that, when made, the same should, so far as 

reasonably possible, be limited to actual increases in the seller's 

costs. 

ARTICLE XI-EFFECTIVE DATE 

This Code shall become effective on the tenth day after its approval 

by the President. 

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