Approved Code No. 327-Amendment No.2 Registry No. 1399-41 

NATIONAL RECOVERY ADMINISTRATION 

AMENDMENT TO 

CODE OF FAIR COMPETITION 

FOR THE 

MACHINE-APPLIED STAPLE 

AND STAPLING MACHINE 

INDUSTRY 

AS APPROVED ON NOVEMBER 22, 1934 

WE DO OUR PARr 

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U.S. DEPQe.TOAY . 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

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Approved Code No. 327-Amendment No. 2 

AMENDMENT TO CODE OF FAIR COMPETITION 

FOR THE 

MACHINE-APPLIED STAPLE AND STAPLING 

MACHINE INDUSTRY 

As Approved on November 22, 1934 

ORDER 

APPROVING AnrEND:\IENT OF ConE oF. FAIR Co:::\IPETITION FOR THE 

MAcHIXE-APPLII.:D STAPLE AND STAPLING l\IA.cmNE INDU TRY 

An application having been duly made pur uant to and in full 

compliance with the provi ions of Title I of the National Indu trial 

Recovery Act, approved June 16, 1933 for approval of an anl.endment to a Code f Fair Competition for the l\fachine-Applied 

Staple an l Stapling Machine Indu try, and a Notice of Opportunity 

to be H eard having been duly given thereon, and the annexed r eport 

on said amendm nt containing findings with re pect thereto, having 

been made and directe l to tho Pre ident : 

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

State ', the National Inclu trial Recovery Board, pur uant to authority vested in it by Executive Orders of the Pre ident, including 

Executive Order No. 6 59 and otherwi e doe hereby incorporate by 

reference sail annexed report and doe find that said amendment 

ancl the Cole a con tituted after b ing amended comply in all 

re pect!::l with the pertinent provi ion. and will promote the policy 

and purpo e of ail Titl of aid Act a.nd doe h ereby order that 

said. amendment be and it is hereby approved, and that the previous 

approval of said Code i hereby modified to inclu le an approval of 

said Code in it entirety as amended. 

NATIONAL INDUSTRIAL REcovERY BoARD, 

By \V. A. H.aRRI:i.\IAN, Adrninistrative Officer. 

Approval recommended : • 

KILBOURNE JOHNSTON, 

Acting Division Administrator. 

\V.asHINGTON D. C., 

N ovemb J' ~2 , 1934. 

9~U71°----1325-7U----~4 (1) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The lV hite H muse. 

Srn : An application has been duly ma.de pur uant to and in full 

compliance with the provisions of the National Industrial Recovery 

Act for an amendment of Article VI of the Code of Fair Competition for the l\1achine-Applied Staple and Stapling Machine Industry 

by the Code Authority for that Industry. 

The Code of Fair Competition for the l\1achine-Applied Staple 

and Stapling l\1achine Industry was approved on March 10, 1934. 

Article VI, Section 4, provides that the Code Authority shall ecure 

from the members of the. Industry an equitable and proportionate 

payment of the reasonable expenses of maintaining the Code Authority and its activities. 

The above in effect provides for voluntary contributions on the 

part of the members of the Industry. This method of providing 

funds for the proper administration of the Code has been found to 

be unsatisfactory. The amendment has, therefore, been proposed 

to create a legal obligation, on the part of the Industry Members, 

to pay their pro rata share of the expenses of the Code Authority. 

FINDINGS 

The Deputy Admini trator in his final report to the National 

Industrial Recovery Board on said amendment of said Code having 

found as herein set forth and on the basis of all proceedings in this 

matter: 

It has been found that: 

(a) The amendment of said Code and the Cod·e a amended are 

"\Yell designed to promote the policies and purposes of Title I of 

the National Inclu trial Recovery A t including the removal of obtructions to the free flow of interstate and foreign commerce which 

tend to dimini h the amount thereof, and will provide for the general welfare by promoting the organization of industry for the purpo c of cooperatiYe action of labor and management under adequate 

governmental sanction and supervision, by eliminating unfair competitive practices, by promoting th fullest possible utilization of 

the pre ·ent productive capacity of .indu trjes, by avoiding undue retriction of production ( excopt as may be temporarily required), 

by increa ing the consumption of indu trial and agricultural products through increasing purchasing power, by reducing and relieYino· unentployment, by improvina standards of labor, and by otherwi e rehabilitating inclu -try. 

(b) The Code as amended complies in all respects with the per inent proYision of said Title of said Act, including without limitation 

sub ection (a) of Section 3, sub-section (a) of Section 7 and s'lbsection (b) of Section 10 thereof. 

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(c) The Code empowers the Code Authority to present the afore~ 

said amendment on behalf of the industry as a whole. 

(d) The amendment and the Code as amended are not designed 

to and will not permit monopolies or monopolistic practices. 

(e) The amendment and the Code as amended are not designed 

to and will not eliminate or oppress small enterprises and will not 

operate to discriminate against them. 

(f) Those engaged in other teps of the economic proces have 

not been deprived of the right to be heard prior to approval of said 

amendment. 

For these reasons, the amendment has been approved. 

For the National Industrial Recovery Board: 

NOVEMBER 22, 1934. 

W. A. HARRIMAN, Adrministrative Otfice1'. 
AMEND1vfENT TO CODE OF FAIR COMP E TITION F OR 

THE MACHINE-APPLIED STAPLE AND STAPLI NG 

~1ACHINE INDUSTRY 

Delete Section 4 of Article VI and substitute in lieu thereof the 

following: 

SECTIO 4. (a) It being found necessary in order to support the 

administration of this Code and to maintain the standards of fair 

competition established hereunder and to effectuate the policy of 

the Act, the Code Authority is authorized: 

(1) To incur such reasonable obligations as are neces.sary and 

proper for the foregoing purpose , and to meet such obligations out 

of funds which may be raised as hereinafter provided and which 

shall be held in trust for the purposes of the Code; 

(2) To submit to the National Industrial Recovery Boar-:1 for its 

approval, subject to uch notice and opportunity to be heard as it 

may deem necessary (a) an itemized budget of its estimated expenses 

for the foregoing purpo es, and (b) an equitable basis upon which 

the funds nece sary to upport such budget shall be contributed by 

members of the industry; 

(3) After such budget and basis of contribution have been approved by the .r~ at.ional Industrial Recovery Board, to determine 

and obtain equitable contribution ns above set forth by all members of the industry, and to that end, if nece ary, to institute legal 

proceedings tharefor in its own name. (b) Each member of the industry shall pay his or its equitable 

contribution to the expen es of the maintenance of the Code Authority, determined as hereinabove provided, and subject to rules 

and regulations pertaining thereto s~ued by the National Industrial 

Recovery Board. Only members of the industry complying with the 

Code and contributing to the expenses of it.s administration as here- inabove provided unless duly exempted from making such contributions, shall be entitled to participate in the selection of members 

of the Code Authority or to receive the benefits of any of its voluntary activities or to make use of any emblem or insignia of the N ational Recovery Administration. (c) The Code Authority shall neither incur nor pay any obligation sub.stantially in excess of the amount thereof as estimated in 

its approved budget, and shall in no event exceed the total amount 

contained in the approved budget, except upon approval of the N ationa! Industrial Recovery Board; and no sub equent budget shall 

contain any deficiency item for expenditures in excess of prior budget 

estimates except those which the National Industrial Recovery Board 

shall have so approved. 

Delete Section 12 of Article VII. 

ApproYed Code To. 327-Amendment No. 2. 

Registry No. 1380-41. 

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