Approved Code No. 260 Registry No. 315-02 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

• 

ORNAMENTAL MOLDING 

CARVING, AND TURNING INDUSTRY 

AS APPROVED ON FEBRUARY 5, 1934 

WE DO OUR PART 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

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

v 
• 

Thi pul>Ji(·ation 1 for ale by the upel'intcnd nt of urn nl , Government 

Printing ffke. Wa ·hington, D.C., an 1 by eli. tri ·t offic of the Bureau of 

I<oreign and orne tic omm rce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga. : 504 Post Office Buildin"'. 

Birmingham, Ala. : 257 Federal Building. 

Bo ·ton, 1.\lass. : 1801 ustomhouse. Buffalo, N.Y.: Chamber of Commerce Building. 

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

hi ago, Ill.: Suite 1706, 201 North Wells Street. 

leYeland, Ohio: Chamber of Commerce. 

Dalla , Tex.: 'hamber of Commerce Building. 

D troit, Mich.: 801 Fir t National Bauk Building. 

Houston, Tex.: Chamber of Commerce Building. 

Indianapolis, Incl.: hamber of Commer e Building. 

J a cksonville, Fla.: Chamber of CoJTimerce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Ca lif.: 1163 South Broadway. Louisville, Ky. : 408 Federal Building. 

Memphis, Tenn. : 229 Federal Building. 

Minneapolis, Minn.: 213 li'ederal Building. 

New Orlean , La.: R oom 225-A, Cn tombou e. 

New York, N.Y. : 73-1 Customhouse. 

Norfolk, Va.: 406 East Plume Street. 

Philadelphia, Pa.: 422 Commercial Tru. t Building. 

Pittsburgh, Pa. : Chamber of Commerce Building. 

Portland, Oreg.: 215 New Post Office Building. 

St. Louis, Mo.: 506 Olive Street. 

San Francisco, Calif. : 310 Customhouse. 

Seattle, Wash.: 809 F ederal Office Building. 
Approved Code No. 260 

CODE OF FAIR COMPETITION 

FOR THE 

ORNAMENTAL 1\'IOLDING, CARVING, AND 

TURNING INDUSTRY 

As Approved on February 5, 1934 

ORDER 

APPROVING ConE OF FAIR CoMPETITION FOR THE 0RN AMENTAL 

MoLDING, CARVING, AND TuRNING 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 approval of a Code of 

Fair Competition for the Ornamental Molding, Carving, and Turning 

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: 

NO\V, THEREFORE, on behalf of the President of the United 

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

pursuant to authority vested in me by Executive Orders of the 

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

30, 1933, and otherwise; do hereby incorporate by reference said 

annexed report and do find that said 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; provided, however, that the pro':isions of Article VIII (Section 2), insofar as they 

prescribe a waiting period between the filing with the Code Authority and the effective date of revised price lists or revised terms and 

conditions of sale be, and they are hereby, stayed pending my further 

Order either within a period of sixty days from the effective date of 

this Code or after the completion of a study of open-price associations now being conducted by the National Recovery Administration. 

HuGHS. JoHNSON, 

Ad?ninistrator for Industrial R ecovery. 

Approval recommended: 

\V. A. HARRIMAN, 

Division Admim.strator. 

w A HIXGTON, D.C., February 5, 193/y. 

38142°----376-8----34 (205) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White House. 

Srn: Thi i a report on the Code of Fair Comp titian for the 

Ornamental l\Iolding Carvino· and Turnin Indu try in the United 

tate th h arino- beint-- c n lu ted in \Va ·hington D. . n De nlber 13, 19' 3, in accordance with the pro i ion of the ational 

In 1u trial R cov ry A t. 

PROVI ION N H ""GR AND WAGES 

Th maximum hour provi l cl in thi Code for emplo. ee are 

fort3 ( 40) h ur · per we k an 1 eight ( ) hour per da . vVhen production 1emand it, a tol ranee of five hour per we k i allowed 

) roYi led the forty ( 40) hour per week average in each ix month ' 

period i maintained. 

Employee. eng a creel in emero-ency maintenance and repair work are 

excepted from hourly limitations under pre cribed condition and 

ar allowed a on and one third overtime rate of pay. A tol ran e 

of ten (10) percent i allowed for firemen, engineer , and shippinocre" ·. \Yatchmen an l night firemen are permitted to 'Y rk fortyeight (4 ) hour per week averaged each two weeks. Truck driv r 

ar mal ·ubject to the provision of the Code for the appropriate 

clivi i n of the Trucking Indu try, when su h Code shall ha\e been 

approve 1. The usual exemption is granted to executive and . uperYi ory employee regularly receiving $35.00 or more per week to 

out ide ale. men, and al o to de igner receiving like compen ation. 

The minimum wag provide l for employees in de ignated outhern 

territory i thirty ( 30) cents per hour and for employees in all other 

territorie i thirty-four (34) cents per hour. 

Apprentice the num.ber not to exceed five ( 5) percent f the 

employee fan 1 one en1ployer at any one time, may be employed for 

a period n t to xceed three month at eighty (80) percent of the 

minimum rate . CHILD LABOR 

'I he minimum age provided in thi Code i 16 year but 1n 

hazardou. occupation thi age limit i increa e4 to 1 y ar . 

ECONO~IIC EFFECT OF THE CODE 

The volume of the output of thi indti try ha dropped nearl. 

70 per ent during the depre ion and a1 proximately 25 1 r ent f 

the concern c a ed to operat . There wa a mark d improvemen 

during the econcl half of 1933 but th mplo m nt un ler the 

Pre ·ident Reemploym nt greement und r 'Thi h pra ti ally th 

entire indu tr. op rat d wa till abo·ut .fift en (15) p r nt I ,· · 

than in 1929. Thi i partl du to the fact. that u h a laro- numlwr of con rn had cea ed to operat altoo· ther. In r a volume 

in part ha m ant more man hour for tho e emplo d but not an 

in r a. ed nun ber of empl y ufficient to ab orb all the 1 2 worken, in thi industry. In i w of th I e relation hi1 b tw n thi 

(2 6) 
207 

indu try and the furniture indu try it did not seem wise to provide 

les hour than allowed for that industry. 

\iVith fifteen (15) percent fe'IT"er employees than in 1929 it is not 

likely that the 1929 purchasing power of the workers in this industry as a group will be restored by the ''age provisions of this Code. 

A study of the material available by the Division of Research and 

Planning doe reveal, however, that the average purchasing power 

of the workers will be somewhat increased over that of 1929. The 

minimum "age specified in the Code is about twelve (12) percent 

higher than the a' erage minimum in 1929 and about thirty (30) 

percent higher than the a Yerage minimum in June 1933. 

FINDINGS 

The Assistant Deputy Administrator in his final report to me on 

said Code having found as herein set forth and on the basis of all 

the proceedings in this matter: 

I find that: 

(a) Said Code is well designed to promote the policies and purposes of Title I of the National Industrial Recovery Act, including 

removal of obstructions to the free flow of interstate and foreign 

commerce which tend to diminish the amount thereof and will provide for the general welfare by promoting the organization of industry for the purpose of cooperatiYe action among the trade groups, 

by inducing and maintaining united action of labor and management 

under adequate governmental sanctions and supervision, by eliminating unfair competitive practices, by promoting the fullest possible 

utilization of the present productive capacity of industries, by avoiding tmdue restriction of production (except as may be temporarily 

required), by increasing the consumption of industrial and agricultural products through increasing purchasing power, by reducing 

and relieving unemployment, by improving standards of labor, and 

by otherwise rehabilitating industry. 

(b) Said industry normally employs not more than 50,000 employees; and is not classified by me as a major industry. 

(c) The Code as approved com plies in all respects with the pertinent provisions of said Title of said Act, including without limitation Subsection (a) of Section 3, Subsection (a) of Section 7, and 

Subsection (b) of Section 10 hereof; and that the applicant association is an industrial association truly representative of the aforesaid 

industry; and that said association imposes no inequitable restrictions 

on admission to membership therein. 

(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, this Code has been approved. 

Respectfully, 

FEBRUARY 5, 1934. 

HucH S. JoHNsoN, 

Administrator. 
CODE F FAIR C011PETITIO FOR THE RNAME rTAL 

fOLDIN ARVING AND T RNI G .~. DU TRY 

AnTI LE I-P RPO E 

To e:ff t the poli ie of Titl I of th National In lu trial R cov r_ 

Act thi Code i e tnbli h d a a ode of Fair omp titian for th 

Ornamental ~Ioldino· arYing and Turning In lu try and it· provision , hall be the tanclarcL of fair competitj n for u ·h in lu -try 

and hall be binding upon ever member ther of. 

ARTI LE II-DEFIN ITIO -

SECTION 1. Onwmental Molding. Carving and Tur·ning Indu. tryThe term Ornamental ~Ioldino- Carving and Turning Indu try ' 

a u ed herein is defined to n1ean the manufacture for sale £ 1 ro lnct 

commonly known a ornamental, cut, carYed embo,~ ·eel or pre ~ e l, 

rope b ad metal-covered wood, Yeneer covere l and compo ition 

molding · embo sed or pre sed woo 1, compo iti n. fiber pindle. 

multipl . pinlle hand carved and and bla~ted ornament.- r ·atTino-.·. an l marquetry· wood knob and compo ition or fiber knob 

for ·ale to the radio an l furniture indu trie · · and glue dowel except 

a uch lowel may be pecifically included in the indu try d finition 

of an3 other Cod approved by the President; turning and plain 

wood mollino- for ·ale to the furniture industry. The ab ''e d finition hall not include the following: 

(a) Orio-inal :work of art carved bv hand in wood from model or 

from free-hand drawino·. for u e a architectural decoration in 

building . . 

(b) Dim n ion tock a covered by the Co 1 f r the Lumber and 

Timb r Pr duct Indu try. 

SE . 2. Members of the bulttstJ·y .-The term memb r of th 

indu tr includ , but without limitation, any individual r ent rpri e engaged in the indu try either a an employer or on hi or it 

own behalf. 

SE . 3. Employee .-The term ' employ e ' a u ed h r in 

inclu l any and all per ons engaged in th in ]u. try ex pt a 

"member f the indu tr ",however ompen at d. 

SE . 4. Pr sident, A t, and Adn~inist?·ato1·.-The term Pr ident ' " Act', and "Administrator " a u d herein hall m an 

re pe tiYely, the Pre ident of the United Stat Title 1 f th 

National Industrial R covery Act, and the Ad mini trator of 

sai ~ Act. 

E . 5. As oaiation.-The term " A sociation ' a u eel h r in i 

defin d to mean the Ornamental ~f lding arvjng and Turnin 

Manufacturer' A ociation, an Illinois corporation not for profit. 

(208) 
209 

ARTICLE III-HoURs 

SECTION 1. No employee in the industry shall be permitted to 

work in excess of an average of forty ( 40) hours per week during 

the period prior to April 1, 1934, and each six months' period thereafter but not more than forty-five (45) hours in any one week, except 

as hereinafter provided. All hours worked in excess of eight (8) 

in any one day hall be paid for at one and one-third times the 

regular hourly rate. 

(a) Firemen, engineers, and shipping crews shall be granted a 

tolerance of ten ( 10) percent in the hours specified above and 

therefore shall not be permitted to work in excess of an average of 

forty-four ( 44) hours per week during the period prior to April 1, 

1934, and ea.ch six months' period thereafter nor more than fortynine and one half ( 49lj2 ) hours in any one week. 

(b) Employees engaged in emergency maintenance and emergency 

repair work occasioned by breakdowns in production machinery or 

in work requiring the protection of life or property shall be permitted to work in excess of an average of forty ( 40) hours per week and 

may be employed more than forty-five ( 45) hours in any one week 

provided that all hours worked in excess of forty-five ( 45) hours in 

any one week or eight (8) hours in any one day shall be paid for at 

one and one third times the regular hourly rate. 

(c) Persons engaged in executive and/ or supervisory capacity 

and designers who are earning $35.00 or more per week, and traveling alesmen shall not be subject to hourly limitations of this Article. 

'\Vorking foremen are not excepted from the maximum hours specified above. 

(d) Watchmen and night firemen shall be permitted to work not 

to exceed an average of forty-eight hours per week in each two weeks' 

period. 

(e) Truck drivers operating on trips normally requiring more 

than eight hours, except in cases of unavoidable delay due to breakdown or accident, shall be subject to hours of labor of a code hereafter to be adopted for the appropriate divisions of the trucking 

industry. 

SEc. 2. No manufacturer aYailing himself of the averaging priYilege may use the device of temporarily laying off of successive groups 

of workers. 

SEc. 3. No employer shall knowingly engage any employee f or 

any time which, when totaled with that already performed with 

another employer or employers exceeds the maximum hours prescribed in this Article. 

SEc. 4. Where a member of this industry is a partnership, association, or trust, which consists of nwre than one person, not more 

than one individual of such partnership, association, or trust, shall 

work as an operator in excess of the maximum hours of labor as 

hereinbefore provided. 

ARTICLE IV-WAGES 

SECTION 1. Except as provided in Section 2 of this Article: 

(a) No employee in the States of Virginia, North Carolina, South 

Carolina, Tennessee, Kentucky, Georgia, Florida, Alabama, Missis-
210 

sippi, Loui iana Arkan as Oklahoma. and Texas, and that part of 

the State of 1\1i ouri outh an l ' t of an air line beginning at 

Thayer in r o-on County to Buffalo in Dalla C unty h nco 

direc ly we. t to he ICan a tat lin hall be paid at le s than the 

rate f thirt. c nt per hour. 

(b) 1 o th r m1loyee hall b I aid at le than th rat f thirtyfour ·ents per h ur. 

E . 2. Ar 1renti for a period f thr e month , which a] 1 rentice ·hi1 period hall be erv l not more than one in a lif tim of 

each apprenti e, hall be paid at the rate of not l than 0 I er nt 

of the minimum abe rate 1 r "Crib d in Section 1 of thi. rticle. 

The total number of such appr ntic . at an one time ·hall not . c ed 

fiYe p rc nt of th total number of fa tory worker mpl red by 

any employer. E . 3. No employee hall be paid a wage rate which will yield 

a le.· wage for a week of forty hour than emplo ee were receiving 

for the ame cia of work for the normal working w ek of fortyeight hour or over immeclia tely preceding June 16 1933. 

SE . 4. Thi · arti le establi ·he a minimum rate of pay, regardl s 

of whether an employee i compensated on a time rate, piec work, 

or other basi . . E . 5. An employer hall make payment of all wages due in lawful tnT ncy or by negotiable check therefor pa able on demand. 

The wage ·hall be exe1npt from any payments for pen ion in urance, or ·ick ben fits other than tho e voluntarily paid by the wageearner r required by tate law . All employment agreement hall 

require that wage be paid at least at the end of every two weeks' 

period, salarie at lea t at the end of every month, and that no 

employer . ·hall withhold wages due. 

ARTI LE V-GENERAL L ABOR PROYISIONS 

SE TION 1. No person under ixteen (16) year of abe hall be 

emplo eel in the industry nor an one under eighteen (18) year. of age 

at operation or occupation· hazardou in na.ture or detrimental to 

health. The ode Authority hall nbmit to the Admini trator within thirty (30) clay, after the effective date of thi Code a li t of uch 

occupation . In any State an emplo er hall be de med to have 

complied with thi provision if he shall haYe on file a certifi ate or 

permit duly i u d by the Authority in ·uch State mpowered to i ue 

employment or ag certificate or permit , hawing that the employee 

i. of the require 1 age. 

SEc. 2. Employ e hall haY the riaht to organize and argain 

call ctivel throtwh representative f their own chao ina, and hall 

be fr e from the inter£ renee r traint r coercion of m1l . r £ 

labor or their ag nts in the l ignation of uch r pre ntatiY 

in , elf-organization or in th r on rt cl activitie forth I urpo 

collecti e bargaining or oth r mutual aid or protection. 

SEc. 3. N mploye and n on e king mr l ym n hall be 

required a a nclition of empl m nt to j in any c mpan uni n r 

to refrain from joining, organizing, or u i ting a lab r rgani~ation 

of his own chao ing. 
211 

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

minimum rate of pay, and other condition ... of employment, approYed 

or pre cribed by the Pre ident. 

E . 5. Within each State this o :Ie hall not upersede any laws 

of u h State impo ing more stringent requirements on employers 

regulating the age f em loyee 11age , hour of work, or health, 

fire, or general working condition than under thi Code. 

SE . 6. No employer hall recla ·ify employee or duties of occupation · performed for the purpo e of defeating the provi ion of the 

Act or of thi Code. 

EC. 7. A per on who e earning capacity is limited because of age 

or phy icar or mental handicap may be employed on light work at a 

wage below the minimum e tablished by this Code if the employer 

btains from the State Anthority de ·ignated by the United States 

Department of Labor a certificate authorizing his employment at 

uch wage and for snch hours as shall be stated in the certificate. 

Each employer hall file with the Code Authority a li t of all such 

persons em plo} ed by him. 

SEc. 8. Each employer hall post in conspicuou places acce sible 

to employees full copies of th1s Code. 

SEc. 9. No employer shall aYoid or evade the labor provi ion. of 

thi Code by contracting his work to any per. on subj ect to labor 

regulation les stringent than those provided in this Code. 

SEc. 10. No member of the industry shall permit any product of 

the industry to be made in the home of any worker. · 

SEc. 11. Female factory employees shall be permitted to work only 

between the hours of 7 A.M. to 7 P .~f. 

SEC. 12. Female employees performing substantially the ame work 

as male employee shall receive the same rate of pay as male 

employees. 

SEc. 13. Every employer shall make reasonable provision for the 

safety and health of his employees at the place and during the hours 

of their ern ployment. Standards for safety and health ,hall be submitted by the Code Authority to the Administrator for approval 

within ix month after the effective da~ of this Code. 

ARTICLE \I-ORGANIZATION. PowERS, AND DuTIES OF THE CoDE 

AuTHORITY 

SEcTION 1. OrganiBation and Constitution.-Code Authority is 

hereby constituted to cooperate with the Administrator in the admini tration of this Code. 

EC. 2. The Code Authority shall consist of not less than five ( 5) 

member ... of the inclu try complying with the provisions of Section 8 

of thi Article, to be elected as follows: Four ( 4) members shall be 

elected by the A sociation; not le s than one ( 1) member shall be a 

nonmember of the A ociation, if there be any such member of the 

indu. try, and shall be elected by such nonmembers complying or 

agTeeing to comply with the provisions of Section 8 of this Article 

by per onal vote or by proxy at an election conducted by the 

A ociation. 

SEc. 3. One alternate may be selected for each member of the 

Code Authority in the same manner as the respective members of 
212 

the Code Authority. Should any matter come before the uthority 

which specifically involve acts, on ucts, or the intere t of a company with hich any member of the ode Authority i a ciate 

or mploy d, u h m mber shall i qualifi d t act in su h matt r 

an l a d i nated alternat may a t in u h di ualifi d members 

pla e. · 

EC. 4. Th A ociati n i h r by designated as the ao- n y to 

nduct an el tion f the m mber of the o e uthori within 

twenty (20) day after the :ff tive date of thi ode (and any 

ther ele tion of m m r of the ode Authority which may th r -

aft r be h ld). ~I mbers of the ode uthority ·hall b l ct l 

to erve for a term of one ( 1) year or until th ir u e · or ar 

elected at the next annual meeting f the indu try. In th event 

of any vacan y in th m mber hip f the od Authority, a special 

meeting of the m mbers of the indu try for an lection to fill th 

inc mpl te terms of uch member hall be call d. N otic of ea h 

election hall be sent to all members of the industry at lea t ten 

days in advance of such election, and voting at such election may 

be by person by pro:s: or by lett.e,r ballot. 

EC. 5. In addition to member hip as abo e provided there may 

be three (3) members, without vote, to be appointed by the A 1-

mini trator, to serve for terms of from six (6) to twelve (12) month 

from the date of appointment as the Administrator may designate. 

Such members shall be given notice of and may sit at all meetinb 

of the ode Authority. 

EC. 6. Each trade or industrial association directly or indirectly 

participating in the selection or activites of the Code Authority 

hall (1) impose no inequitable restrictions on member ·hip, and (2) 

submit to the Administrator true copies of its articles of as ociation 

bylaws regulations, and any amendments when made thereto tog ther with such other information as to member hip, organization 

and activities as the Admini h·ator may deem nece ary to ff ctuate 

th purpo e of the Act. 

EC. 7. In order that the Code Authority shall at all tim€ be 

truly r pre ·entative of the indu. try and in other re pects com1 ly 

with th provi ion of the Act, the Administrator rna. pre cribe 

such hearing as he may deem proper· and thereafter if he hall 

fin that the ode Authority i not truly r presentative or that any 

ele tion of m mbers of the Code Authority ha not b en condu t d 

in a fair an l quitable mann.e,r or do not in oth r r p t om ply "·ith the pro i ion of th Act may r quire an appropriat m lifi ation in th m thod of election of the ode Authority. 

E • . M mber of the indu try hall b ntitl to parti ipat in 

and har th benefit of the a tiviti s of the ode uth rit and 

to parti ipat in th el tion of the m mb r ther of b a nting 

t and mplying with the requir ntent of thi d and . u -

taining their r a onable har of th xpen e of its admini tration. 

Tho e wh participate in or a cept the b n fit of h a ti i i s 

of the de Authority or their r pectiv i i i nal cr n y hall 

pay th ir r a nabl hare of the c t of th a lmini trati n of thi 

de. u h r a. on bl hare of th xp n e of a mini trati n hall 

be det rmined by the ode Authority, subject to re iew by the 
213 

Admini trator on th of \olnme o£ u me. and/ or uch 

other fa tor a ma b 1 quitable. 

E . 9. M mb r of od . Authm'ity not Partner .-N thing containe l in thi ode hall on titut the member f the Code Authority partner for an; pnrp e. Nor hall any member of the 

ode Authority be liabl in any manner to anyone for any act 

of any other member, :fficer agent, or employee of the ode Authority. Nor hall any member of the Code Authority, exerci ing 

rea nable dilig nee in the on lnct of hi · dutie hereunder, be 

liabl to an3 one for any action or omi ion to act under thi Code, 

e_ cept for hi own willfulmj ·fea ance or n nfea ance. 

E • 10. P01.oe1's and Dutie of Code Autlw1'ity.-The Code Authority hall have the following further power and dutie · the 

e:s:erci of which shall be reported to the Admini trator and hall 

be ubject to hi right, on review, to clisapprov any action taken 

by the Code Authority: 

(a) To insure the execution of the provi ·ion of this Code and prm ide for the compliance of the industry with the provi ·ion of 

the Act. 

(b) To adopt bylaw and rule and regulation for it procedure 

und for the administration and enforcement of the Code. 

(c) To obtain from members of the indu try uch information 

and reports as are.required for the admini tration of the Code and 

to provide for submi sion by members of uch information and 

reports as the Admini trator may deem nece ary for the purpo es 

recite l in Section 3 (a) of Title I of the Act which information 

and reports shall be submitted by members to such admini, trative 

and/ or government agencies as the Administrator may de ignate; 

provided that nothing in this Code shall relieve any member of the 

indu try of any existing obligations to furnish reports to any government agency. No individual reports shall be disclosed to any 

other member of the industry or any other party except to such 

governmental agencies as may be directed by the Admini trator, and 

except to such impartial agency as may be necessary to facilitate 

the administration of this Code. 

(d) To use such trade a ociations and other agencie a it deems 

proper for the carrying out of any of it activities provided for 

herein provided that nothing herein shall relieve the Code Authority of its duties or re ponsibilities under this Code and that such 

trade associations and agencies shall at all time be subject to and 

comply with the provisions hereof. 

(e) To make recommendations to the Administrator for the coordination of the administration of this Code with such other codes, 

if any, as may be related to the industry. 

(f) To secure from members of the industry an equitable and 

proportionate payment of the rea onable expenses of maintaining 

the Code Authority and it activities. 

(g) To cooperate with the Administrator in regulating the u e 

of any N.R.A. insignia solely by those members of the industry who 

have assented to and are complying with this Code. 

(h) To recommend to the Administrator further fair-trade-practice provisions to govern members of the industry in their relations 

with each other or with other industries and to recommend to the 
214 

Admini tr·ator mea ures for . in u trial planning, in luding stabilization of mpl yment. 

(i) The ode Auth rity may appoint such ommitt or ag _n~s 

a it rna d em n c ary an may 1 aate to th m or t any D1v1- ... ional Ag n y u h of it pow r or dutie as it may d em proper for 

th a lnnni tration of this ode; provided, h wever, that it hall 

r erY final re pon ibility a to any powers or duties o d 1 gated. 

(j) To oo erat with the dmim trator in making inYe tiaations 

as to the fun tionina and observance of any provi ion of thi ode 

at it own in ·tan e r on complaint by any p r on affe ted, and to 

report ame to the Admini trator. 

(k.) To is ue rule , reaulations, procedure, and interpr tation , a may be ne e ary to eff ct the provisions of this ode. 

(1) In indivi ual ca es where the enforc ment of this Code would 

cr at undue hard hi , to modify, with the approval of the dmini trator, the application of provi ions of this ode exc pt those 

which are mandatory under the Act and the provi ions of Ar icles 

III I\ and V thereof. 

(m) To inve tigate and inform the Administrator a· to the importation of competitive products into the United States in sub tantial 

quantitie or in increasing ratio to domestic produ tion on su h 

term or under such conditions as to render ineffective or seriou ly 

to endanger the maintenance of this Code, and as an ag ncy for 

making omplaint to the Pre.sident on behalf of the Indu try under 

the provi ions of the Act, with respect thereto. (n) In order to assi t in eliminating unfair competition, the Code 

Authority may establish classifications and quality standards for 

the products of the industry, subject to the approval of the Admini tr·ator. No member of the indu.stry shall falsely r epre ent his 

produ ts as complying with any classifications or standards so 

e tabli hed. 

( o) To recommend to the Administrator the establi hment of an 

Ind u trial Relations Board. 

ARTICLE VII-CosTs 

E TION 1. It is hereby declared to be the policy to be followed 

by all member of the indu try to refrain from d tructive price 

cuttina. To memb r of the industry shall offer, sell or ex hange, 

or agr e to ell or xchange, products of the indu try a a pri or 

up n u h terms or conditions that will r sult in the cu t m r paying 

f r u h pro lu t · l than their co t to the memb r of the indu try, 

ex It: 

(a) To me t xi tina competition of lower t produ r n produ t f the arne or quival nt de ign, charact r quality r 

SI cifi ation · (b) Any member of the indu try may ell at any pri 

patt rn ( clo. e-ont ) ubj ct h w ver to the ri ht f h e 

Anth ri to requir r port f all uch al an with the ar 1 roval 

of the lmini trator to ad pt rul s to regulat the al of lo. e-outs 

t -pr Y nt unfair rade pr tice. 

SE . 2. The ode Authority is h r by mpow r to tabli h 

uniform o t ac oun ing m thod .for the indu try, subject to the 
215 

approval o:f the Administrator. Immediately after a12proval by 

the Admini trator information regarding the a onntlnO' ystem 

so approved .. hall be distributed to all member of the indu try and 

shall thereafter be adhered to by aU members of the in 1u try. 

"'E . 3. For the purpo e of encouraging accurate a. · ertainment 

of co ts, member of the indu try may report co, ts of products of 

the industry to the Secretary of the a ociation to b ummarized 

and 1\·hich may be mad available in con olidate l form to tho e 

contributing to the summary provided that the name of those 

reporting hall not be di ulged to any other member of the in lu try. 

ARTICLE VIII-PuBLICATION OF PRICE 

SECTION 1. Each member of the Industry hall within thirty (30) 

day after the effective date of this code file with a de ignatecl representative of the Code Authority a list of all his produ ts and the 

prices thereof, including all quantity or other di count , all terms 

of payment, freight allowances, prepayments, and equalizations. 

Such prices hall be available to any member of the industry or the 

purchasing trade on request to the designated repres ntative of the 

Code Authority. 

SEc. 2. A member of the industry may make any hange in uch 

price list on file with the designated representatiYe of the Code Authority to be effective within not more than five ( 5) days after uch 

price list shall have been filed with the designated representatiYe of 

the Code Authority. 

SEo. 3.1 The sale of any product by any me1nber of the industry at 

other than the effective price or terms of such member for-such product on file with the designated representative of the Code Authority 

at the time of such sale shall be a violation of this code. 

ARTICLE IX-TRADE PRACTICES 

The following practices constitute unfair method of competition 

for members of the industry and are prohibited: 

SE TION 1. Misrepresentation or False or Misleading Advertis- ing.-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, fini h, or 

preparation of any product of the industry, or the credit terms, 

values, policies, or services of any member of the industry, or otherwi e, having the tendency or capacity to mislead or deceive customers 

or pro pecti ve customers. 

SEc. 2. Sec?'et and Discriminatory R ebates.-The making of any 

ecr t or discriminatory allowance, rebate refund, commi. sion, 

credit, or unearned di count, whether in the form of money or other- wi e, or the extension to certain purcha ers of secret or discriminatory services or privil ges not extended to all purcha ·er on like 

terms and condition . SEc. 3. Giving G1·atuities or Re~vards to Employees.-The giving, 

permitting to be giYen, or directly offering to give, anything of value 

1 See paragraph 2 of order approving this Code. 
216 

for the purpo ·e of influencino- or r war incr the a tion of any emplo ee a<Y nt r r 1 r ntati\ of anoth r in r lation to the bu ine s 

of the mplo r of u h empl e th prin ipal of such agent or 

the r pre ente l par y Vi ithout h kn wl dCYe of uch mployer, 

prin ipal or part . omm r ial brib ry provi ion ·hall not b ontru d t prohibit fr e an gen ral di tribution of article commonly 

u ed f r acl\ rti ina x pt o far a u h arti l are actually u ed 

for ommercial brib ry a h r inabove defined. 

E • 4. opying of D igns.-Kn wingly copying and/ or r producing an ntiall original n w d icrn r n w 1 attern of any 

produ t f th indu try or knowingly appropriating the ential 

elling feature of any new de ign or new pattern of anoth r member 

of th indu tr} within four ( 4) years of the introduction thereof. 

Thi ection hall not super ede any tate or Federal Law but hall 

be uppr mental ther to. 

E • 5. False Invoicing.-The withholding from, or in ertion in, 

any invoi e of any tatem nt making the invoice ina curate in any 

material I articular, or which misrepresent the price or character of 

the material content of the mer handi e billed. 

EC. 6. Tenns of ale.-Selling on more favorable t rm than net 

30 day or 2% a h di ·count within 10 day from date of hipment; 

provided that " ·here it is the practice of a buyer to make monthly 

ettlement of all invoice , the member of the industry may allow the 

dedu tion of the ca h discount if payment is made not later than the 

lOth of the calendar month fol'lowing dates of .. hipment. 

E . 7. Interference lVith Another's Oont1·acts.-No member of the 

indu try hall induce or attempt to induce the breach of an exi ting 

contract between a competitor and his employee or customer or source 

of upply. 

E . . hip1nent of Oonwwdities on Oonsignrnent.-No member 

of the indu try shall ship commodities on con ignment, except to 

meet pecial condition or circum tances appro\ed by the Code Authority to meet special conditions. 

ARTICLE X-NEW DESIGNS AND PATTERNS 

E 'TIOX 1. Each member of the indu try may re<Yi ter with the 

Secretary of the A ociation the new de igns and th new patt rns 

which are original and eli tincti ve and which are developed by u h 

manufacturer after the effective date of this Code. 

ARTI LE XI-l\I NOPOLIE 

ECTION 1. No provi ion of thi Code hall be int rpret d or appli din uch manner a to promote or permit monopoli or nlOnopoli tic practic s or to eliminate oppre , or di riminat again t 

mall nt rpri 

ARTI L XII-l\IoorFr ATION 

ole and all the pro ision th r of are xpr ly 

mad ubj ct to th right f th Pr id nt in a cordanc with the 

provi ion of ub ection (b) of tion 10 of the a i nal In u trial 

Recovery Act, from time to time to cancel or modify any rder, 
217 

ttpproval licen e rule or reaulation is:uell under Title I of aid Act 

and pecifically, but without limitation, to the right of the President 

to cancel or mo lify hi ar proYal of thi Code or any conditions 

impo ed by him upon his apr roYal thereof. 

SE . 2. Thi Code except a to provi ion required by the Act, may 

be modified upon application to the Admini __ -trator by the Code Authority after uch notice an 1 hearing a the Admini trator hall 

pecify, uch mo lification to become effectiYe upon approval by the 

Pre ident. 

ARTICLE XIII-PRICE INCRE.\SES 

"\Vherea the policy of the Act to increase real purcha ing power 

will be made impossible of consummation if prices of goods and 

ervices increase as rapidly as wage , it i · recognized that price increa es hould be delayed and that, when male, the same should, o 

far a reasonably possible, be limited to actual increase in the seller's 

co. t.. 

ARTICLE XIV-EFFECTIVE DATE AND TERl\IINATION 

This Code shall become effective on the second Monday after it 

shall have been approved by the President. It shall continue in 

effect until June 16, 1935, or until such time prior thereto as the 

President, by proclamation, or the Congress shall by joint resolutioni 

declare that the emergency recognized by Section 1 of the N a tiona 

Recovery Act has ended. 

Approved Code No. 260. 

Registry No. 315-02. 

0 
UNIVER SITY OF FLORIDA 

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