UNIVERSITY OF FLORIDA

3 1262 08486 7810

pprovtu -UU . Registry No. 299-50

NATIONAL RECOVERY ADMINISTRATION

CODE OF FAIR COMPETITION

FOR THE

LIGHT SEWING INDUSTRY

EXCEPT GARMENTS

AS APPROVED ON JANUARY 23, 1934

MEMBER

R

WE DO OUR PART

UNITED STATES

GOVERNMENT PRINTING OFFICE

WASHINGTON: 1934

For sale by the Superintendent of Documents, Washington, D.C. - - - - - - - - - Price 5 cents
This publication is for sale by the Superintendent of Documents, G

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

F

and Domestic Commerce.

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE

Atlanta, Ga.: 504 Post Office Building.

Birmingham, Ala.: 257 Federal Building.

Boston, Mass.: 1801 Customhouse.

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

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

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

Cleveland, Ohio: Chamber of Commerce.

Dallas, Tex.: Chamber of Commerce Building.

Detroit, Mich.: 801 First National Bank Building.

Houston, Tex.: Chamber of Commerce Building.

Indianapolis, Ind.: Chamber of Commerce Building.

Jacksonville, Fla.: Chamber of Commerce Building.

Kansas City, Mo.: 1028 Baltimore Avenue.

Los Angeles, Calif.: 1163 South Broadway.

Louisville, Ky.: 408 Federal Building.

Memphis, Tenn.: 229 Federal Building.

Minneapolis, Minn.: 213 Federal Building.

New Orleans, La.: Room 225-A, Customhouse.

New York, N.Y.: 734 Customhouse.

Norfolk, Va.: 406 East Plume Street.

Philadelphia, Pa.: 422 Commercial Trust Building.

Pittsburgh, Pa.: Chamber of Commerce Building.

Portland, Oreg.: 215 New Post Office Building.

St. Louis, Mo.: 506 Olive Street.

San Francisco, Calif.: 310 Customhouse.

Seattle, Wash.: 809 Federal Office Building.

(II)
Approved Code No. 226

CODE OF FAIR COMPETITION

FOR THE

LIGHT SEWING INDUSTRY EXCEPT GARM

As Approved on January 23, 1934

ORDER

APPROVING CODE OF FAIR COMPETITION

FOR THE

LIGHT SEWING INDUSTRY EXCEPT GARM

An application having been duly made pursuant to anif

compliance with the provisions of Title I of the National I

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

Fair Competition for the Light Sewing Industry Except G

and hearings having been duly held thereon and the annex

r

on said Code, containing findings with respect thereto, hav

b

made and directed to the President:

NOW, THEREFORE, on behalf of the President of thU

States, I, Hugh S. Johnson, Administrator for Industrial R

pursuant to authority vested in me by Executive Order

t

President, including Executive Order No. 6543-A, dated D

30, 1933, and otherwise; do hereby incorporate by refere

annexed report and do find that said Code complies in all r

with the pertinent provisions and will promote the policy 

p

poses of said Title of said Act; and do hereby order that s

of Fair Competition be and it is hereby approved.

HUGH S. JOHNSO

Administrator for Industrial Re

Approval WASHINGTON, 35368 A. D. Division --- 0 recommended: WHITESIDE, January 313-113-34 D.C., Advbinistrator. 23, 1934. (403)
THE PRESIDENT,

The White Hoise.

SIR: This is a report on the Hearing on the Code of Fair 

petition for the Light Sewing Industry Except Garments, h

i

accordance with the provisions of the National Industrial Re

Act, in the Chinese Room of the Mayflower Hotel, on Novem

2

1933. The Code which is attached was presented by duly qu

and authorized representatives of the Industry, complying wit

utory requirements, said to represent 75 percent or more in vol

each division of the Industry.

In accordance with the customary procedure every person w

h

filed a request for an appearance was freely heard in public, 

statutory and regulatory requirements were complied with.

This Code is a combination of a number of separate Codes 

nally submitted to the Administration. These separate Codes 

have placed several divisions of this Industry under completely 

rate documents. Should these Codes have been put through 

rately, manufacturers of more than one of the articles now in

within this Code would have been obliged to operate under 

Codes. Furthermore, a large number of small sewn articl

n

listed specifically in any proposed Code niight not have been b

under the jurisdiction of the Act.

The tendency of Industry Groups and Associations was to 

Codes for their principal items of manufacture, but to overl

fail to include the many small items made by them. It wo

b

almost impossible to enumerate these many small items in se

Codes. Had they been included in the definition of the large

rate sewing codes other than garments, manufacturers would h

found themselves operating under a multiplicity of such codes

A

cordingly, the Code submitted herewith is designed to coordin

sewn articles other than garments that have not or are not b

granted separate Codes.

THE INDUSTRY

The Industry as represented by the seven divisions now spec

included in the Code comprises about 232 concerns, having an i

ment in 1933 of $16,323,400. In 1928 the Industry provided e

ment for 10,821 employees. This figure has declined to abou

workers during 1933. The aggregate annual sales have fallen f

$42,55370 be Employees The paid Code at tlhe' in provides 1928 the rate Fabric to offor $30,534,100 PROVISIONS 30 cents a Auto mmuinimn per (404) Equipment OF in hour THE 1932. wage CODE in the Division, of 32%, South. cents howeveThe per hmw
405

compensation for employment in excess of the mininmum 

provided in this Code shall not be reduced although the h

work have been reduced and provision is made for increa

pay for such employment by an equitable readjustment of 

schedules.

Office employees are permitted to work 48 hours in any o

provided they do not work more than 40 hours per week a

over a period of two months. Hours of work for factory em

are limited to 40 hours in any one week and 8 hours in any 

period except that these employees are permitted to work 4

per week for not more than six weeks in any six months' per

vided that the number of hours shall not be in excess of 40 h

week averaged over a six months' period, and provided furt

all hours worked in excess of 40 hours in any one week shall 

for at not less than one and one third (11/3) times the norm

Employees in a supervisory capacity receiving $35 per week 

watchmen and outside salesmen are not limited as to hour

ployees on emergency repair work are excepted from the m

hour provisions but are to be paid time and one third for o

work. Maintenance employees are permitted to work 44 h

week. Operations are limited to one shift of 40 hours in the M

Cover Division and two shifts of 40 hours each per week in 

other divisions.

Hours of work have been reduced from 47 to 40 by the 

tion of this Code. According to the Division of Resear

Planning, the actual number of hours that this Industry will 

under the provisions of the Code will be approximately 37 ho

week, so that the effect will be to reduce the hours of work 

15 and 20 percent and increase employment in the same pro

Average wages in this Industry will be increased from $

approximately $15.00 per week. This represents a substan

crease since the minimum wages must be raised consider

account for this change in average wages.

Representation on the Code Authority is provided for all m

of the Industry. The Code sets up Divisional Committees to 

ister the supplemental fair trade practices for the separate d

of this Industry.

There are no highly restrictive provisions in the Cod

Provision is made for prohibiting the sale of merchandis

cost in certain divisions when and if a uniform and standard 

of cost accounting is approved by the Administrator. N

provision, however, will become effective without further a

of the Administrator.

FINDINGS

purposes commerce vide try by ing I (a) inducing removal find for for Said thethe that: of which Title purpose general welfare of obstructions Code and tend I maintaining is of of the well to cooperative diminish the National to designed to by the united promoting free Industrial action among action of amount flow promote the of organization Recovery interstate thereof laborthe the trade and wand policAct, andom
406

ment under adequate governmental sanction and supervis

eliminating unfair competitive practices, by promoting the 

possible utilization of the present productive capacity of ind

by avoiding undue restriction of production (except as 

temporarily required), by increasing the consumption of in

and agricultural products through increasing purchasing po

reducing and relieving unemployment, by improving stand

labor, and by otherwise rehabilitating industry.

(b) Said Industry normally employs not more than 50,

ployees; and is not classified by me as a major industry. (c) The Code as approved complies in all respects with th

nent provisions of said Title of said Act, including witho

tation Subsection (a) of Section 3, Subsection (a) of Se

and Subsection (b) of Section 10 thereof; and that the ap

associations are industrial associations truly representative 

aforesaid Industry; and that said associations impose no ine

restrictions on admission to membership therein.

(d) The Code is not designed to and will not permit mo

or monopolistic practices.

(e) The Code is not designed to and will not eliminate or 

small enterprises and will not operate to discriminate again

(f) Those engaged in other steps of the economic process h

been deprived of the right to be heard prior to approval 

Code.

For these reasons, this Code of Fair Competition for th

Sewing Industry Except Garments has been approved.

Respectfully,

HuGi S. JohNsoN

Administ

JANUARY 23, 1934.
CODE OF FAIR COMPETITION

FOR THE

LIGHT SEWING INDUSTRY EXCEPT GARMEN

ARTICLE I-PURPOSES

To effectuate the policies of Title I of the National In

Recovery Act, the following provisions are established as 

of Fair Competition for the Light Sewing Industry Exc

ments, and shall be the standard of fair competition 

Industry and shall be binding upon every member thereof.

ARTICLE II-DEFINITIONS

1. The term "Light Sewing Industry Except Garme

" Industry " as used herein includes the manufacture and 

sale of all sewn textile articles and/or table pads and/or ta

except wearing apparel and excepting such articles as are 

by the provisions of other codes of fair competition, a

include such related branches or subdivisions as may from 

time be included under the provisions of this code by the P

of the United States after such notice and hearing as 

prescribe. 2. The terms " table pad " and " table mat " as used he

defined to mean any mat manufactured for use in protecting 

face of tables against heat, liquids, or marring, compos

water-proof surface and an insulating element such as asbest

pasteboard, felt paper, or corrugated paper. 3. The term " member of the Industry " includes, but 

limitation, any individual, partnership, association, corpor

other form of enterprise engaged in the Industry either a

ployer or on his or its own behalf, and includes anyone w

nishes or contracts for labor as a part of a larger or further o

in the process of manufacturing any of the products of this I

4. The term " employee as used herein includes any and 

sons engaged in the Industry however compensated, except a 

to the of the any and 5. 6(a) (b) hand-needle The term such The Industry. divisions For term employee the " " Quilting Comfortable productive of employer work this is compensated equipment, Industry Division: " machinery as Division: Hand-guided used (407) is and Quilting or defined: herein " automatic emn-ployed. as used includes machines. herein quilting anyone sewig and macas bm
408

(c) Fer the Covered Carpet Padding Division: Carpet lining,

sewing and quilting machines, garnetts, lappers, pickers, stitching

and bending machines, and cloth-cutting machines.

7. The term "Act " and "Administrator " as used herein mean

respectively Title I of the National Industrial Recovery Act and the

Administrator for Industrial Recovery.

ARTICLE 111-HoURS

1. No office employee shall work or be permitted to work in excess

of forty (40) hours per week, averaged over a period of two months,

or forty-eight (48) hours in any one week or eight (8) hours in any

twenty-four (24) hour period.

2. No other employee, except as hereinafter provided, shall work

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

or eight t (8) hours in any twenty-four (24) hour period, except that

such employees may be permitted to work forty-eight (48) hours per

week for not more than six (6) weeks in any six-month period, provided that the number of hours shall not be in excess of forty (40)

hours per week averaged over a six months' period. Work done in

excess of forty (40) hours in any one week, however, shall be paid

for at not less than one and one third (1%) times the normal rate.

3. The maximum hours fixed in the foregoing sections shall not

apply to:

(a) Executives and employees in a managerial or supervisory capacity who receive thirty-five dollars ($35.00) or more per week, watchmen, and outside salesmen.

(b) Repair-shop crews, engineers, electricians, and firemen, who

shall be permitted to work not in excess of forty-four (44) hours per

week.

(c) Employees on emergency maintenance or emergency repair

work involving breakdowns or protection of life or property, but in

any such special case overtime shall be paid for at not less than one

and one third (11/) times the normal rate.

At the end of each calendar month every employer shall report to

the Code Authority hereinafter provided for, in such detail as may

be required, the number of man-hours worked in that month in cases

of emergency and the ratio which said emergency man-hours bear to

the total number of man-hours of labor during said month.

4. Members of the Industry shall not operate for more than two

(2) shifts of forty (40) hours each per week, except as provided

hereafter in supplemental provisions.

5. No employee shall work or be permitted to work for a total

number of hours in excess of the number of hours prescribed for

each week and day, whether employed by one or more employers.

ARTICLE IV-WAGES

1. No employee shall be paid at less than the rate of 321/2 cents

per hour except that employees in the Fabric Auto Equipment Division may bo paid at the rate of not less than 30 cents per hour in the

Southern States., which shall include only the States of Virginia,

North Carini ma. SOuth Carolina, Georgia, Florida, Alabama, Mis-
409

sissippi, Tennessee, Kentucky, Louisiana, Arkansas, Okl

Texas, and the District of Columbia.

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

whether an employee is compensated on a time-rate, piecew

other basis.

3. The weekly rate of compensation for employment now in 

of the minimum wages herein provided shall not be reduced 

withstanding that the hours worked in such employment m

hereby reduced), and the pay for such employment sh

b

increased by an equitable readjustment of all pay schedules.

4. Female employees performing substantially the same w

male employees shall receive the same rates of pay as male emp

5. A person whose earning capacity is limited because of 

physical or mental handicap may be employed on light wo

wage below the minimum established by this Code if the em

obtains from the State authority designated by the United 

Department of Labor a certificate authorizing his employm

such wages and for such hours as shall be stated in the cer

Each employer shall file with the Code Authority a list of a

persons employed by him.

ARTICLE V-GENERAL LABOR PROVISIONS

1. No person under sixteen (16) years of age shall be empl

this Industry. In any State any employer shall be deemed 

h

complied with this provision if he shall have on file a certifi

permit duly issued by the Authority in such State, empow

issue employment or age certificates or permits, showing t

employee is of the required age.

2. Employees shall have the right to organize and bargain 

tively through representatives of their own choosing, and s

b

free from the interference, restraint, or coercion of emplo

labor, or their agents, in the designation of such representative

self-organization or in other concerted activities for the purp

collective bargaining or other mutual aid or protection.

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

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

from joining, organizing, or assisting a labor organization of 

choosing.

4. Employers shall comply with the maximum hours of labo

mum rates of pay, and other conditions of employment, appro

prescribed by the President.

5. Within each State members of the Industry shall comp

any laws of such State imposing more stringent requireme

employers or tions employees prove 6. 78. health, Employers Each Until 35368*-313-113-34-- performed necessary fire, full regulating employer adoption or copies in by shall general order employees shall of of the not reclassify this further to working age post prevent Code. so of in as provisions of employees, conditions to any conspicuous employees defeat improper the wages, than or this purposes places speeding duties of under hous Code acces

of tthithup of 
410

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

Share-The-Work movement, unless such increase is submitted to and

approved by the Code Authority created by this Code, and by the

Administrator.

9. No employer shall have work done or labor performed on any

article produced in this Industry in the home of a worker, except

hand work only as follows:

(1) Candlewick bedspreads.

(2) Hand quilted textiles for a period of six months, but thereafter only if specifically exempted by the Administrator.

ARTICLE VI-ADMINISTRATION

There shall forthwith be constituted a Code Authority.

1. Organization and constitution of Code Authority:

(a) The membership of the Code Authority shall include seven

(7) members (which number may be increased to ten (10) members

if and when necessity arises therefor by further inclusion of additional Divisions within this Code) to be selected in a manner

approved by the Administrator from the following Divisions:

Quiltin,. 1 Member.

Mattress Covers, 1 Member.

Comfortables, 1 Member.

Fabric Auto Equipment, 2 Members.

Other Members of the Industry, 1 Member.

In additon to the membership as above provided, there may be

three (3) additional members without vote appointed by the Administrator, one of whomni may be appointed on the nomination of the

Labor Advisory Board of the NRA.

(b) Divisional Committees consisting of not more than seven (7)

members each shall be selected by each of the following divisions of

this Industry in a manner approved or prescribed by the Administrator: Comfortable Division, Covered Carpet Padding Division,

Fabric Auto Equipment Division, Mattress Cover Division, Table

Pad Division, and Quilting Division. New divisions of the Industry

may be established on the recommendation of the Code Authority

with the approval of the Administrator. The Administrator may

appoint up to three members, without vote, to each of the Divisional

Committees.

(c) In order that the Code Authority and the Divisional Committees 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 or the Divisional

Committees are not truly representative or do 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 or

of the Divisional Committees.

(d) Each trade or industrial association directly or indirectly

participating in the selection or activities of the Code Authority

or a Divisional Committee shall (1) impose no inequitable restric-
411

tions on membership, and (2) submit to the Administrato

copies of its articles of association, bylaws, regulations, an

amendments when made thereto, together with such other in

tion as to membership, organization, and activities as the Ad

trator may deem necessary to effectuate the purposes of th

2. The Code Authority and the Divisional Committees sha

h

the following duties and powers:

(a) The Code Authority shall cooperate with the Admini

in the administration of the provisions of this Code. The Div

Committees, subject to the general approval of the Code Aut

shall cooperate with the Administrator in the administrat

the supplemental provisions applicable to their respective Div

(b) The Code Authority may from time to time present 

Administrator recommendations based on conditions in the In

as they may develop which will tend to effectuate the operat

the provisions of this Code. The Divisional Committees may p

to the Administrator recommendations concerning their resp

supplemental provisions. Such recommendations, when ap

by the Administrator, after notice to and after opportunity 

to the Divisional Committees of all Divisions affected to be 

shall have the same force and effect as any of the provisions 

Code. Such recommendations may include recommendation

use by all members of the Industry in their respective Div

of an N.R.A. label and for the establishment of the nec

machinery to manufacture and issue the same.

(c) The Code Authority shall collect statistics covering n

of employees, wage rates, employee earnings, hours of wor

such other data as may be prescribed or approved by the Ad

trator and may designate the Divisional Committees as the a

to collect such statistics.

(d) Members of the Industry shall be entitled to share 

selection of the members of the Code Authority and of the

propriate Divisional Committees by assenting to the require

of this Code and of any supplemental provisions thereto, and bp

ing their reasonable share of the expenses of the administrat

this Code and of such supplemental provisions.

The reasonable share of the expenses of the Code Authority 

be determined by the Code Authority on the basis of dollar v

of business, subject to review by the Administrator. Such ex

shall be collected by the appropriate Divisional Committee 

members of the Industry who are members of the above-men

Divisions and by the Code Authority from members of the In

not ipembers of such Divisions.

The reasonable share of the expenses of the Divisional Com

shall the ministrator. Divisional Divisional act ofny (e) the basis of purpose, be Nothing Code any determined of Committee. Committees other dollar Authority nor Such contained shall member, volume expenses by or of the any be the in liable of member officer, this appropriate shall business, Divisional in Code agnt, or be any of the collected subject shall manner Divisional Code Committees constitute employee to by Authority to review any the Commit

the of partneone approby the or mthfA
412

Authority, or of the Divisional Committees, nor shall any member

of the Code Authority, or of the Divisional Committees, exercising

reasonable diligence in the conduct of his duties hereunder be liable

to any one for any action or omission to act under this Code, except

for his own willful misfeasance or nonfeasance.

3. In addition to the 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.

4. If the Administrator shall determine that any action of a

Code Authority, Divisional Committe, or any agency thereof is

unfair or unjust or contrary to public interest, the Administrator

may require that such action be suspended for a period of not to

exceed thirty days to afford an opportunity for investigation of

the merits of such action, and further consideration by such Code

Authority, Divisional Committee, or agency, pending final action

which shall be taken only upon approval by the Administrator.

ARTICLE VII--TRADE PRACTICES

1. The violation of any provision of this Code or of any supplemental provisions thereto shall constitute an unfair trade practice.

ARTICLE VIII-MODIFICATION 

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

subject to the right of the President, 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 said Act.

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

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

such modifications to be based upon application to the Administrator, and such notice and hearing as he shall specify, and to become

effective on aproval of the Administrator.

ARTICLE IX-MONOPOLIES

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

ARTICLE X-EFFECTIVE DATE

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

Approved Code No. 226.

Registry No. 299-50.
COMFORTABLE DIVISION

Division No. 1

I-DEFINITION

The term " Comfortable Division" as used herein incl

members of the Industry producing comfortables and comfo

11-TRADE PRACTICES

1. No member of the Division shall sell or exchange or 

sell any product of the Division below his own cost, whe

same may be determined as herein provided, except to meet 

petition of any member of the Division whose price for a p

of equivalent quality is not less than his own cost. When a 

and standard system of cost accounting, prescribed by the D

Committee, shall be approved by the Administrator, every 

of the Division shall use a system of accounting which 

to the principles of such system. The Divisional Committ

subject to the approval of the Administrator, determine 

factors to be included in such system.

The Divisional Committee shall have the power to susp

operation of the provisions of this Section and to make p

for the disposal of discontinued lines, seconds, and other sa

b

excepted from the application of this Section.

2. Members of the Division shall file with the Division

mittee a schedule of prices and terms of sale for the produc

Division, within thirty (30) days after the effective date 

Code. Such price lists may be revised only upon five (5) day

by registered mail to the Divisional Committee. The D

Committee shall immediately send copies of all price lists fi

members of the Division.

Members of the Division shall not sell their products 

prices or on more liberal terms than set forth in their own p

When any member of the Division revises his price list, a

member of the Division may revise his price list accordinglb

come effective on the same date as the revised price list first 

The following may be sold without filing revised price lis

for, but shall be reported to the Divisional Committee imm

after operation iion anything action of The3. (a) to The following sale: Giving, Divisional the any of of business dropped the value employee, permitting provisions Committe forf Unfair lines the the agent, or and employer to purpose of Trade shallbe seconds. this (413) given, representative Section. Practices have the power to of of such influencing or or directly empoyee, are of prohibited

offering another rewathe susprp
414

of such agent or the represented party, without the knowledge of

such employer, principal, or party. This provision shall not be construed to prohibit free and general distribution of articles commonly

used for advertising except so far as such articles are actually used

for commercial bribery as hereinabove defined.

(b) Using or substituting any material inferior in quality to that

specified by the purchaser of any product.

(c) 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.

(d) The secret payment or allowance 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.

(e) The branding or iarking of any product of the Division in

any manner which tends to deceive or mislead purchasers, with

respect to the grade, quality, quantity, origin, size, material content,

or preparation of such product.

(f) Selling on more liberal terms than 3/10 E.O.M.

(g) The failure to plainly mark seconds.

(h) 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 Division, or the credit terms, values, policies, or services of any member of the Division, or otherwise, having the tendency or capacity to mislead or deceive customers or prospective customers.

(i) Making sales upon any other terms than expressly set forth

in the invoice pertaining to such sales.

4. The selling or offering for sale of any product of the Division

on memorandum or on consignment or on conditional sale shall be an

unfair trade practice.

The Divisional Committee shall have the power to suspend the

operation of the provisions of this Section.
MATTRESS COVER DIVISION

Division No. 2

I-DEFINITION

The term " Mattress Cover Division " as used herein incl

members of the Industry producing mattress covers.

11-TRADE PRACTICES

1. No member of the Division shall sell or exchange or t

sell any product of the Division below his own cost, when and i

may be determined as herein provided, except to meet the 

tition of any member of the Division whose price for a pro

equivalent quality is not less than his own cost. When a u

and standard system of cost accounting, prescribed by the Di

Committee, shall be approved by the Administrator, every m

of the Division shall use a system of accounting which conft

the principles of such system. The Divisional Committee sh

ject to the approval of the Administrator, determine the cost f

to be included in such system.

The Divisional Committee shall have the power to susp

t

operation of the provisions of this Section and to make p

for the disposal of discontinued lines, seconds, and other sal

tb

excepted from the application of this Section.

2. Members of the Division shall file with the Divisiona

mittee a schedule of prices and terms of sale for the productt

Division, within thirty (30) days after the effective date 

t

Code. Such price lists may be revised only upon five (5

notice by registered mail to the Divisional Committee. ThD

sional Committee shall immediately send copies of all price li

f

to all members of the Division.

Members of the Division shall not sell their products al

prices or on more liberal terms than set forth in their own pr

l

When any member of the Division revises his price list, an

member of the Division may revise his price list accordint

become effective on the same date as the revised price list first f

The. Divisional Committee shall have the power to slspet

operation of the provisions of this Section. tion anything action of such 3. (a) Giving, such to The employer, of any the agent, following of business value employee, permitting or pincipal, the for of Unfair represented the agent, or to employer of purpose Tade party. be or (115) given, representative party, Practices of This influencing such employee, or without provision directly are prohibited: of the or offering shall another rewad

knowlthe not pttirb
416

strued 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.

(b) Using or substituting any material inferior in quality to that

specified by the purchaser of any product.

(c) 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.

(d) The secret payment or allowance 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.

(e) The branding or marking of any product of the Division in

any manner which tends to deceive or mislead purchasers, with respect to the grade, quality, quantity, origin, size, material content,

or preparation of such product.

f) Selling on more liberal terms than 3/10 E.O.M.

g) The failure to plainly mark seconds.

(h) 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 Division, or the credit terms, values, policies, or services of any member of the Division, or otherwise, having the tendency or capacity to mislead or deceive customers

or prospective customers.

(i) Making sales upon any other terms than expressly set forth

in the invoice pertaining to such sales.

4. The selling or offering for sale of any product of the Division

on memorandum or on consignment or on conditional sale shall be

an unfair-trade practice.

The Divisional Committee shall have the power to suspend the

operation of the provisions of this Section.

III-HouRs

1. Members of the Division shall not operate for more than one

shift of forty (40) hours.
TABLE PAD DIVISION

Division No. 3

I-DEFINITION

The term " Table Pad Division " as used herein includes al

m

bers of the Industry producing table pads and/or table mats.

II-TRADE PRACTICES

1. No member of the Division shall sell or exchange or o

t

sell any product of the Division, except small novelty mats, b

his own cost of labor and raw materials except to meet the co

tion of any member of the Division whose price for a prod

equivalent quality is not less than his own cost. When a u

and standard system of cost accounting, prescribed by the Div

Committee, shall be approved by the Administrator, every mem

the Division shall use a system of accounting which conforms t

principles of such system. The Divisional Committee shall, 

to the approval of the Administrator, determine the cost fac

t

be included in such system.

The Divisional Committee shall have the power to suspet

operation of the provisions of this Section and to make pro

for the disposal of discontinued lines, seconds, and other saletb

excepted from the application of this Section.

The Administrator may suspend the operation of the pro

of this Section after giving notice to the Division.

2. Members of the Division shall file with the Divisional Co

tee a schedule of prices and terms of sale for the products t

Division, except small novelty mats, within thirty (30) day

the effective date of this Code. Such price lists may be revise

upon five (5) days notice by registered mail to the Divisional 

mittee. The Divisional Committee shall immediately send 

of all price lists filed to all members of the Division.

Members of the Division shall not sell their products at 

prices or on more liberal terms than set forth in their own p

list. When any member of the Division revises his price li

other member of the Division may revise his price list accor

to operation of anything The 3. become (a) this The Giving, Divisional Administrator Section following of efective the value after permitting provisions Committee on for Unfair giving the may suspend the same to purpose of notice Trad Practices be shall this date (417) given, to Section. as have of the the the influencing or operation Division. the revised directly are power prohibited: price ofr offering to the rewardilist suspeprofirsttt
41S

action any e:j 1-ybv. agent. or rep -entative of another in relation t- th1 ?:i , the employer of -uch employee. the principal

of 0u1 1 aLt. 7r the reprented party. without the knowlede of

mh empi xer. prin~ir a!. c r party. Thi- provision shall not be con-

*tr :e 1 To r.t _ ree and _neral dstribtion of articles commonly

u-Pe x t s far a- iuch articev are actually used

b L rb-ti't=ting mv material inferior in quality to that

pec:ne I s the purchar of any product.

MaiiEi indu ne or attenpting to induce the breach of an

-t~In ral . r written contract between a competitor and his customner or u c r LC ITa . or imtererence with or onstructing the

A The cret paYment or almwance of rebates. refunh. commisr-. rredts. or un~earned dcournt. whether in the form of money

r othe: -e. or the e r-t extensi-n to certain purchasers of special

_erv!es r prvilega not exten.ded to all purcha-er. on like terms

e The I ran ,g or :marking of any prI lqct d the Division

in an maner Whih teis to dSeceive or niAlad purchasers. with

repeu to, the er: le. quality. quantity. .. rigin. Aze. maaterial content.

f SIing un mnre liberal tvrm- than Y 1? day . end of month,

i )The failure to plainlx- mark scuds.

h The making or cauig or krnowingly permitting to be made

r11 pub ishe any ale. materially mnacu!rate- or deceptive -tatement

by -ay of aer-tien.t r otherwise, whether c mn erring the grade.

quality. quantity. subVtarne. chara cr. nature. origin, ize. fnih. or

preplaratio n of any Y prou t of the Diviion. or the credit terms.

Yaltes. p IcIeX. or service of any member oi the Division. or otherwise. hanr the tendncy or capacity to miled or deceive custmer - r pro etIX cutOmer 

MI~ i Mkng sales upon any other term- thin expre-sly wet forth

in te in yc pertining to *su h pale-.

jMaki any alL wance1 or di-jount1 for advertiing or for

ymet fir pae in nwpaper . magazine. guide, or directories on

blhaif of any retailer to be used in promoting the sale of mierchandise to the cn-umier. The -up plying of cut . matrices, or window

cardN -1hall, h vwever. not be included in such prohibition. This

prcvii n 1hall not be iroumvented by adveribing dire:tlVy for the

bernent f ar e uarcaser or particular group of pur.chaser-. Nothing

herein. I evr. hal be deemd to prohibit any member of the Division Iro. natienally or enrrallv advertising his merchandise so

as to -eei l f hstrad oceually
QUILTING DIVISION

Division No. 4

I-DEFiNITION

The term "Quilting Division as used herein includes all m

of the Industry producing quilting and quilting products.

II-TRADE PRACTICES

1. No member of the Division shall sell or exchange or offer 

any product of the Division below his own cost, when and 

may be determined as herein provided, except to meet the c

tion of any member of the Division whose price for a prod

equivalent quality is not less than his own cost. When a u

and standard system of cost accounting. prescribed by the Div

Committee. shall be approved by the Adini-trator, every m

of the Division >hall use a system of aeounting which conf

the principles of such system. The Divisional Committee -ha

ject to the approval of the Administratotr, determine the cost 

to be included in such system.

The Divisional Committee shall have the power to suspe

operation of the provisions of this Section and to make pr

for the disposal uf discontinued lines. seconds. and other pale

excepted from the application of thi, Section.

2. Members of the Division shall file with the Divisiona

mittee a schedule of pries and term> of sale for the proIi-- 

Division. within thirty (30) days after the effective date 

Code. Such price lists inay be revi ?d only upon five (5) days 

by registered mail to the Divisional Conimittee. The Div

piu .f Committee all price list> shall filed immediately !end o 

to all members of the Division.

Members of the Division shall not sell their prodht, at 

prices or on iore liberal term , than set forth in their own pr

'When any member of the Division revise- isz police list. an

member of the Division may revie his price list according

become effective on the same late a- the revi-ed price list fir

The following may be sold without filing revi-ed price list- 

for. after operation anything action The 3. (a) but The sale: Giving, of Divisional shall following any of dropped the value be employee, perinittingz provisions reported Committee shall for Unfair lines the agent, and to to purpose of Trade Practices the this seconds. e or given. Divisional representative Section. of have influencing or the directly (l'l are pow,?, prohibited: nlitttae of or anio&ther tc' rewardi

in u1dlate

>.pit
420

tion 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 provision shall not be construed to prohibit free and general distribution of articles commonly

used for advertising except so far as such articles are actually used

for commercial bribery as hereinabove defined.

(b) Using or substituting any material inferior in quality to that

specified by the purchaser of any product.

(c) 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.

(d) The secret payment or allowance 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.

(e) The branding or marking of any product of the Division in

any manner which tends to deceive or mislead purchasers, with

respect to the grade. quality, quantity, origin, size, material content,

or preparation of such product.

(f) Selling on more liberal terms than 3/10 E.O.M.

(g) The failure to plainly stamp seconds.

(h) 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 Division, or the credit terms, values, policies, or services of any member of the I)ivision, or otherwise, having the tendency or capacity to mislead or deceive customers

or prospective customers.

(i) Making sales upon any other terms than expressly set forth in

the invoice pertaining to such sales.

4. The selling or offering for sale of any product of the Division

on memorandum or on consignment or on conditional sale shall be

an unfair trade practice.

The Divisional Committee shall have the power to suspend the

operation of the provisions of this Section.
FABRIC AUTO EQUIPMENT DIVISION

Division No. 5

I-DEFNITION

The term " Fabric Auto Equipment Division " as used h

includes all members of the Industry producing auto seat and 

covers, tire covers, top covers, side curtains, auto awnings, and 

accessories for automobiles.

II-TRADE PRACTICEs

The following Unfair Trade Practices are prohibited:

(a) Giving, permitting to be given, or directly offering to 

anything of value for the purpose of influencing or rewardin

action of any employee, agent, or representative of another in r

tion to the business of the employer of such employee, the prin

of such agent or the represented party, without the knowled

such employer, principal, or party. This provision shall n

construed to prohibit free and general distribution of articles 

monly used for advertising, except so far as such articles are ac

used for commercial bribery, as hereinabove defined.

(b) The branding or marking of any product of the Divis

any manner which tends to deceive or mislead purchasers, wi

r

spect to the grade, quality, quantity, origin, size, material conte

preparation of such product.

(c) The making or causing or knowingly permitting to be 

or published any false, materially inaccurate, or deceptive stat

by way of advertisement or otherwise, whether concerning the 

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

or preparation of any product of the Division, or the credit 

values, policies, or services of any member of the Division, or 

wise, having the tendency or capacity to mislead or deceive cust

or prospective customers.

(d) The failure to plainly stamp seconds.

(e) Rendering a bill or statement of account which is inac

in any particular.

(f) Failure to show the present 2% excise tax on the invo

a separate item, excepting in the case of those members of the 

sion who sell to the jobbing or wholesale trade, who shall in

the sion be operation The (g) (h)i) anexcise on unfair Failure The selling Selling Divsional memorandum of tax tradehe inon to provision their invoice more Committee or pactice. orffering selling liberal on samples of consignment price. ths shall terms for (421) of Section. sale have than complete of or the 2%any on 10 power products. product conditional days to E.O.M. of suspenthe sale n
COVERED CARPET PADDING DIVISION

Division No. 6

I-DEFINITION

The term " Covered Carpet Padding Division " as used herein includes all members of the Industry producing padded, quilted, paper, and/or cloth covered carpet and rug linings and stair pads.

II-TRADE PRACTICES

1. No member of the Division shall sell or exchange or offer to sell

any product of the Division below his own cost, when and if same

may be determined as herein provided, except to meet the competition of any member of the Division whose price for a product of

equivalent quality is not less than his own cost. When a uniform

and standard system of cost accounting, prescribed by the Divisional

Committee, shall be approved by the Administrator, every member of

the Division shall use a system of accounting which conforms to the

principles of such system. The Divisional Committee shall, subject

to the approval of the Administrator, determine the cost factors to

be included in such system.

The Divisional Committee shall have the power to suspend the

operation of the provisions of this Section and to make provision for

the disposal of discontinued lines, seconds, and other sales to be

excepted from the application of this Section.

2. Members of the Division shall file with the Divisional Committee a schedule of prices and terms of sale for the products of the

Division, within thirty (30) days after the effective date of this

Code. Such price lists may be revised only upon five (5) days

notice by registered mail to the Divisional Committee. The Divisional Committee shall immediately send copies of all price lists

filed to all members of the Division.

Members of the Division shall not sell their products at lower

prices or on more liberal terms than set forth in their own price list.

When any member of the Division revises his price list, any other

member of the Division may revise his price list accordingly, to

become effective on the same date as the revised price list first filed.

The following may be sold without filing revised price lists therefor, but shall be reported to the Divisional Committee immediately

after sale: dropped lines.

The Divisional Committee shall have the power to suspend the

operation of the provisions of this Section.

3. The following Unfair Trade Practices are prohibited:

(a) Giving, permitting to be given, or directly offering to give, anything of value for the purpose of influencing or rewarding the

(422)
423

action of any employee, agent or representative of another in r

to the business of the employer of such employee, the princ

,such agent or the represented party, without the knowledge 

employer, principal, or party. This provision shall not be co

to prohibit free and general distribution of articles common

for advertising except so far as such articles are actually u

commercial bribery as hereinabove defined.

(b) Using or substituting any material inferior in quality 

specified by the purchaser of any product.

(c) Maliciously inducing or attempting to induce the breach 

existing oral or written contract between a competitor and h

tomer or source of supply, or interference with or obstructi

performance of any such contractual duties or services.

(d) The secret payment or allowance of rebates, refunds

missions, credits, or unearned discounts, whether in the fo

money or otherwise, or the secret extension to certain purcha

special services or privileges not extended to all purchasers 

terms and conditions.

(e) The branding or marking of any product of the Divi

any manner which tends to deceive or mislead purchasers

respect to the grade, quality, quantity, origin, size, material c

or preparation of such product.

(f) Selling on more liberal terms than 5/10 or 4/10/60 E

(g) The making or causing or knowingly permitting to be m

published any false, materially inaccurate, or deceptive statem

way of advertisement or otherwise, whether concerning the 

quality, quantity, substance, character, nature, origin, size, fin

preparation of any product of the Division, or the credit 

values, policies, or services of any member of the Division, or 

wise, having the tendency or capacity to mislead or deceive cus

or prospective customers.

(h) Making sales upon any other terms than expressly se

in the invoice pertaining to such sales.
MOTOR ROBE DIVISION

Division No. 7

I-DEFINITION

The term " Motor Robe Division" as used herein in

members of the Industry producing motor robes exclusive 

finished, fringed steamer rugs.

II-TRADE PRACTICES

1. All deliveries shall be F.O.B. factory or within the 

tan District thereof.

2. The following Unfair Trade Practices are prohibite

(a) Giving, permitting to be given, or directly offerin

anything of value for the purpose of influencing or rew

action of any employee, agent or representative of anoth

tion to the business of the employer of such employee, the 

of such agent or the represented party, without the kno

such employer, principal, or party. This provision sh

construed to prohibit free and general distribution of art

monly used for advertising except so far as such articles a

used for coiumercial bribery as hereinabove defined.

(b) The secret payment or allowance of rebates, refu

missions, credits, or unearned discounts, whether in the 

money or otherwise, or the secret extension to certain pur

special services or privileges not extended to all purchase

terms and conditions.

(c) Selling on more liberal terms than 2% 10 days E.O

that for shipments made to points west of the Rocky 

terms shall be 2% 10 days E.O.M. or 2% 10 days after 

goods. Goods invoiced on and after the twenty-fifth of 

may be dated as of the first day of the following month. 

ipation shall be allowed at a greater rate than 6% per an

(d) Making guarantees against price fluctuations.

(424)

0