/), ;V 

Approved Code No. 443 Registry No. 1201-04 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

NICKEL AND NICKEL ALLOYS 

INDUSTRY 

AS APPROVED ON MAY .24, 1934 

WE DO OUR PART 

. -·--

L.------:~UNIT D STATES 

• OI~NM;Wit PRINTING OFFICE 

WASHINGTON: 1934 

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

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

and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

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Boston, Mass. : 1801 Customhouse. 

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

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Cleveland, Ohio : Chamber of Commerce. 

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Approved Code No. 443 

CODE OF FAIR COMPETITION 

FOR THE 

NICKEL AND NICKEL ALLOYS INDUSTRY 

As Approved on May 24, 1934 

ORDER 

CoDE OF FAIR CoMPETITION FOR THE N rcKEL AND N rcKEL ALLoYs 

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 Nickel and Nickel Alloys 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: 

NOvV, THEREFORE, on behalf of the President of the United 

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

pursuant to authoriqr vested in me by Executive Orders of the President, including 'Executive Order No. 6543:-A., dated December 30, 

193'3, and otherwise; do hereby incorporate by reference said annexed report and do find that said Code complies in all respects with 

the pertinent provisions anti 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. 

Approval recommended: 

HuGHS. JoHNsoN, 

Administrator for Industrial Recovery. 

K. M. SIMPSON' 

Division Administrator. 

WASHINGTON, D.C., 

May 24, 1~34. 

6~287°----544-141----34 (381) 

I /, 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White House. 

Srn: The original code for the Nickel and Nickel Alloys Industry 

was submitted on August 21, 1933, by the Nickel Alloys Association, 

Incorporated, organized in 1933 representing in excess of 90% of the 

known members of the Industry and 90% of the volume of production. Several revisions of the code were made prior to the public 

hearing which was held on April 18, 1934. This code was revised 

during the recess of this heanng and was submitted in its present 

form for approval. Every person who requested an appearance 

was properly heard in accordance with statutory and regulatory 

requirements. 

The Nickel and Nickel Alloys Industry includes (a) the primary 

production of Nickel or Nickel Alloys having a nickel content of 

over 30% andjor the production of semifinished products and/or 

the subsequent processing of such semifinished products into wrought 

industry products, and (b) , the original sale in the United ~tates 

either directly or indirectly through subsidiary andj or affiliated 

companies or agents of industry products by any Individual, partnership, association, corporation or other form of enterprise engaged 

in (a) above. Industry products include various forms of nickel 

or nickel alloys having a niCkel content of over 30%, namely, reduced 

nickel, electrolytic nickel, shot, blocks, pellets, grain, powder, ingots, 

blooms, billets, slabs, bars, rods, shapes, forgings, plates, sheets, 

tubing and hot rolled strip; ribbon, wire and cold rolled strip only to 

the extent that the production thereof for specific application is not 

covered by other approved Codes of Fair Competition. Wrought 

industry products are the products produced by the processes of 

rolling, forging, dra·wing, andj or similar processes as in contradistinction to "finished castings", the production of which is governed 

by other Codes of Fair Competition. 

The United States uses over one-half of the world production of 

nickel and except for the small quantity recovered as secondary metal 

and that produced by electrolytic copper refineries, imports its 

needs chiefly from Canada. Imports which can be satisfactorily 

compared only on a value basis reached a total value of $19,000,000 in 

1929, and $10,500,000 in 1933. 

Nickel finds application in special alloy steels used in automobiles, 

machines, and in many other products, and has proved indispensable to modern industry in many of its alloys other than the ferrous 

group. Possibly the most important is the direct-smelted alloy containing approximately two-thirds nickel and one-third copper, 

known to the trade as " Monel " metal. These nonferrous alloys are 

distinguished by their resistance to stain, their workability and their 

strength. Nickel silver, an alloy containing nickel, copper and zinc 

(382) 
383 

continues to be used extensively as a base for silver-plated ware, flat 

keys, plumbing fixtures and many other uses. Electroplating, an 

old use for nickel, has been superseded to some extent by chromium 

plating. It has, however, been found necessary to apply a heavy 

plate of nickel before applying the chromium plate to obtain the best 

results. In fact more nickel is consumed per unit area for chromium 

plating- than was formerly used for nickel plating. Nickel-clad steel 

plate IS made by rollplating pure nickel on steel. The resulting 

sheets have a surface highly resistant to chemical attack but otherwise have the qualities of steel. The use of nickel in combination 

with chromium as alloy constituents are the bases of a "stainless 

steel". Various combinations of chromium and nickel are also 

the alloy constituents for various heat resisting alloys. The use of 

nickel in coins, catalyzers, Edison storage batteries, electrical resistance alloys and chemical salts are among the many industrial demands ·for nickel. 

The three companies who are the proponents of this code represent the entire industry included under the code and normally employ about 1,500 persons of whom 1,200 are employed at present. 

The code makes provision for a basic 40 hour week which represents 

a reduction from . the erstwhile 48 hour week. There are the usual 

exceptions from the basic 40 hour week, with some provisions for 

peak periods and continuous operations. These exceptions however 

are covered by provisions of time and one-half for overtime. The 

maximum of 40 hours per week as outlined in this code and the new 

minimum rates per hour for the industry, as well as the provision 

for adjustment of wages above -the minimum, should result in a 

further spread of not only the available work among the workers, 

but also increase consumers' purchasing power. 

ARTICLE I. States the purpose of the code. 

ARTICLE II. Accurately defines specific terms applicable to the 

Nickel and Nickel Alloys Industry as used in this Code. 

ARTIOLE III. The maximum hours are limited to 40 hours per 

week · ex-cept thftt during six weeks in any six months period of a 

calendar year in order to meet seasonal or peak demand, employees 

may be ~ermitted to work not more than 48 hours per week with 

the proviso that time and one half shall be paid for any employee 

so employed for hours worked in excess of 40 hours per week. Office, 

salariad and other employees not covered by the above who receive 

less than $35 per week shall not be permitted to work in ex'Cess of 40 

hours in any one week except that they may be permitted to work 48 

hours in any one week in any 4 weeks' period. Watchmen may be 

~rmitt:ed to work either 84 hours in any 14 day period or 56 hours 

in a'll.Y seven day period, provided that such employees shall have 

at least one day's rest in every seven. Employees engaged in an 

executive, managerial or supervisory capacity who receive not less 

than $35 per week and those engaged in emergency repairs or maintenance where the safety of life, or health, or the protection of property demands longer hours, a~e not subject to hourly limitations. No 

employee shall be perniitted to work more than six days ·in any 

seven day period exce~t as otherwise provided. 

ARTICLE IV. The minimum wages for employees shall not be less 

than 40¢ per hour. No person employed in clerical or office work 
884 

shall be paid less than at the rate of $15.00 per week except that 

office boys and girls and messengers may be paid 80% of the established minimum for office employees. The minimum rate of pay :fo]\" 

work performed for any pay period shall apply irrespective of 

whether an employee is actually compensated on a time rate, piece 

work or other basis. Provision is made for the employment of handicapped persons. Provision is also made for the adjustment of wages 

above the minimum if such adjustment has not been made prior to 

March 15, 1934. 

ARTICLE V. Provides that no employer shall employ any person 

under 16 years of age and that no person under 18 years of age shall 

be employed except in clerica~ office, salest sales service, technical 

and en¢neering departments. This article also sets forth mandatory 

provisiOns respecting the riehts of employees to organize and bargain 

collectively. It also provides for matters having to do with reclassification of employees, standards for safety and health, the observance 

of state laws and the posting of complete copies of this code so that 

they are accessible to employees. 

ARTICLE VI. Establishes a Code Authority consisting of seven 

members, six of whom are to be selected from and by the Board of 

Directors of the Nickel Alloys Association and one member to be 

selected by the :Members of Industry who are not members of the 

association by a fair method of election to be proposed by the association to and with the approval of the Admimstrator. In addition to 

the seven members above mentioned there may be one or three representatives without vote and without compensation from the Industry 

to be appointed by the Administrator for such terms as he may 

specify. In addition to the organization of the Code Authority the 

powers and duties thereof are also outlined in this Article. 

ARTICLE VII. Sets forth Trade Practices for the Industry. 

ARTICLE VIII. No provision of this code relating to terms of selling, shipping, or marketing shall apply to export trade or sales or 

shipments for export trade, or transactions in the foreign commerce 

of the United States. 

ARTICLE IX. This code and all the provisions thereof are expressly made subject to the right of the President in accordance with 

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

Act, may be modified on the basis of experience or changes in circumstances; such modification to be based upon application to the 

Administrator and such notice and hearing as he may specify, provided, however, that all proposals for such modification shall first 

be referred to the Code Authority for its recommendation thereon. 

ARTICLE X. No provision of this Code shall be so applied as to 

promote monopolies or monopolistic practices, or to eliminate, oppress or discriminate against small enterprises. 

ARTICLE XI. Makes provision that this Code shall become effective 

t.en days after its approval by the Administrator. 

The Deputy Administrator in his final report to me on said Code 

having found as herein set forth and on the basis of all the proceedings in this matter: 
385 

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 cooperative 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 undue 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 complies in all respects with the pertinent provisions of said Title of said Act, including without lin1itation Subsection (a) of Section 3, Subsection (a) of Section 7, and 

Subsection (b) of Section 10 thereof; 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 opp:-ess 

small enterprises and will not operate to discriminate against them. 

(f) Those engaged in other stBps 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, 

MAY 24, 1934. 

HuaH S. JoHNSoN, 

Administrator. 
CODE OF FAIR COMPETITION FOR THE NICKEL AND 

NICKEL ALLOYS INDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the _policies of Title 1 of the National Industrial 

Recovery Act, this Code is established as a Code of Fair Competition for the Nickel and Nickel Alloys Industry, and its provisions 

shall be the standards of fair competition for such Industry and 

be binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

Wherever used in this Code or any supplement appertaining 

thereto, the terms enumerated in this Article shall have the meanings 

herein defined unless the context shall otherwise clearly indicate: 

SECTION 1. The term " President " means the President of the 

United States of America. 

SECTION 2. The term "Act " means Title I of the National Industrial Recovery Act. 

SECTION 3. The term "Administrator " means the Administrator 

for Industrial Recovery. 

SECTION 4. The term " Nickel and Nickel Alloys Industry " or 

" Industry " as used herein includes (a) the primary production of 

nickel or nickel alloys having a nickel contRnt of over 30% and/or 

the production of "semifinished products" andjor the subsequent 

processin?, of such "semifinished products" into "wrought industry 

products ', where such production or processing is performed in a 

"nickel plant", and (b), the original sale in the United States, 

either directly or indirectly through subsidiar~ andjor affiliated 

companies and/ or agents, of "industry products' by any individual, 

partnership, association, corporation or other form of enterprise 

en aaged in (a) above. 

(a) The term "industry products" includes the following forms 

of nickel or nickel alloys having a nickel content of over 30%: 

Reduced nickel, electrolytic nickel, shot, blocks, pellets, grain, powder, ingots, blooms, billets, slabs, bars, rods, shapes, forgings, plates.; 

sheets, tubing, and hot rolled strip. Ribbon, wire, and cold rolled 

strip are only included within this definition to the extent that the 

production thereof for specific applications is not covered by other 

apr.roved Codes of Fair Competition. 

(b) The term "wrought industry products" means the products 

produced by processes of rolling, forging, drawing, and other similar processes as in contradistinction to "finished castings", the production of which is governed by other Codes of Fair Competition. 

(c) The term " semifinished products " includes the following industry products-to wit: Ingots, blooms. billets and slabs. ' 

(386) 
387 

(d) The term " nickel plant " means: 

( 1) A hot rolling mill, or, 

(2) A melting shop operated in conjunction with a hot rolling 

mill, or 

(3) All other equipment used in processes and operated in conjunction with a rolling mill :for the production or processing o:f industry products, " semifinished products" and/or "wrought indus~ 

try products" as hereinabove defined. 

SECTION 5. The term "Member o:f Industry" includes, but without 

limitation any individual partnership, association, corporation or · 

other form of enterprise engaged in the Industry, either as an employer or on his or its own behalf. 

SECTION 6. The term "Employee" means and includes any indi~ 

vidual engaged in the Industry in any capacity receiving compensation for his services, irrespective of the nature or method of pav~ 

ment of such compensation, except a Member of Industry. ~ 

SECTION 7. The term " Employer" means and includes anyone by 

whom any such employee is employed or compensated. 

SECTION 8. The term "Association" means the Nickel Alloys Association, Inc., a membership corporation organized under the laws 

of the State of New York. 

ARTICLE III-HouRs OF LABOR 

MAXIMUM HOURS 

SECTION 1. No employee shall be permitted to work in excess of 

forty ( 40) hours in any one ( 1) week or ejght ( 8) hours in any twenty~four (24) hour period except as herein otherwise provided. 

HOURS FOR CLERICAL AND OFFICE EMPLOYEES 

SECTION 2. No person employed in clerical or office work shall be 

permi ttecl to work in excess of forty ( 40) hours in any one ( 1) week, 

except that during any one (1) week in any four (4) weeks' period 

such ·employee may be permitted to work a maximum of forty-eight 

( 48) hours. A normal work day shall not exceed eight (8) hours. 

EXCEPTIONS TO HOURS 

SECTION 3. The limitation as to hours of labor as specified in Sections 1, 2 and 4 of this Article III shall not apply to the following: 

(a) Employees engaged in emergency maintenance or emergency 

repair work involving breakdown or protection of life or property; 

provided that in such special cases not less than one and one-half 

(11/2 ) time the normal wage rate for any employee so employed shall 

be paid for all hours worked in excess of forty ( 40) hours in any 

one (1) week or eight (8) hours in any one (1) day. 

(b) Outside c:ales and outside sales service employees. 

(c) Person in a managerial, executive, supervisory or technical 

capacity and their immediate assistants, provided that this exception 

shall apply to no such employee who is paid less than at a rate of 

$35.00 per week. 

62287°----544-141----34----2 
388 

(d) vVatchmen, who may be permitted to work not in excess of 

eighty-four (84) hours in any fourteen (14) day period or fifty-six 

(56) hours in any seven (7) day period; provided, that no such employee hall be p~rmitted to work more than six ( 6) days in any 

seven ( r) day periOd. 

(e) Employees engaged in the preparation, care and maintenance 

of machinery and production facilities, heaters, engineers, firemen, 

stock and hipping employees, and truckmen engaged in outside 

delivery and pick-up service, who may be permitted to work not in 

excess of 10% additiOnal hours over the maximtun hours allowed in 

any one (1) week, provided, however, that such employee so employed shall be paid not less than one and one-half (11;2) times his 

norn1al wage rate f6r all hours worked in excess of forty ( 40) hours 

in any one (1) week, or eight (8) hours in any one (1) day. 

(f) Skilled employees in continuous processes where the restriction 

of hours of labor of such employees would unavoidably reduce or 

interrupt production because of demands inherent or peculiar within 

the processes themselves; provided that in such cases such employees 

shall not work more than forty-eight ( 48) hours ih any one (1) 

week, and provided further, that such employees so employed shall 

be paid not less than one and one-half (11j2 ) times his normal wage 

rate for all hours worked in excess of forty ( 40) hours in any one 

(1) week, or eight (8) hours in any one (1) day. 

(g) During any period in which a concentrated demand upon any 

division of the Industry shall place an unusual or temporary burden 

for production work upon its facilities or to meet seasonal or peak 

requirements, or production emergencies, any employee of any such 

division may be permitted to work not more than forty-eight. ( 48) 

hours per week in not more than six (6) weeks in any six (6) 

months of a calendar year; provided, that in such cases such employees so employed shall be paid not less than one and one-half 

(Vh) times his normal wage rate for all hours worked in excess of 

forty (40) hours in any one (1) week or eight (8) hours in any one 

(1) day. 

STANDARD WEEK 

SECTION 4. No employee shall be permitted to work more than six 

(G) days in any seven (7) day period. · 

EMPLOYMENT llY SEVERAL EMPLOYERS 

SECTION 5. No employer shall knowingly permit any employee to 

work for any time, which, when totalled with that already performed 

with another employer or employers in this Industry or other 

Industries exceeds the maximum permitted herein. 

ARTICLE IV-WAGES 

MINIMD1VI WAGES 

SECTION 1. No employee, except as herein otherwise specified, shall 

be paid in any pay period less than at the rate of forty cents ( 40¢) 

per hour. The minimum.rates herein provided shall be construed as 
389 

the hiring rates applying to totally unskilled or common labor. 

Other classes of labor shall be compensated at rates above such minimum. .1\iinimum rates in effect on March 15, 1934, which were above 

the minimum specified shall in no case be reduced. 

CLERICAL AND OFFICE EMPLOYEES 

SECTION 2. No accounting, clerical, sales, or service employees 

workino· on a ·weekly basis in any office shall be paid less than at the 

rate of Fifteen (15) Dollars per week; provided, however, that 

office boys and girls and messengers may be paid not less than at a 

rate of 80% of the minimum her·einabove specified; and provided 

further, that the number of such boys and girls and messengers so 

paid shall constitute not n1ore than 5% of the total number of office 

employees of any office of any one employer, but in any case each 

employer shall be entitled to employ at least one such employee. 

PIECEWOlll~ C0:\1PENSA TION-MINIMU:M 'V AGES 

SECTION 3. This Article establishes a minimum rate of pay for any 

pay period which shall apply, irrespective of whether an employee is 

actually compensated on a time rate, piecework, or other basis. 

F'J!:l\IALE EMPLOYEES 

SEcTION 4. Female employees perfonning substantially the same 

work as male employees shall receive the same rate of pay as male 

employees, and, when they displace male employees they shall receive 

the same rate of pay as· the men whom they displace. The Code 

Authority shall, within ninety (90) days after the effective date of 

this Code, file. with the Administrator a list of all occupations in the 

Industry in which both men and women are employed. 

WAGES ABOVE THE MINIMUM: 

SECTION 5. Equitable adjustments with re pect to rates above the 

minimum shall be made within thirty (30) days after the effective 

date of this Code by each employer who has not heretofore made 

such adjustment under the National Indu trial Recovery Act in 

Pvery case where such adjustments are required to give effect to the 

purposes and intent of the National Recovery program. In no event, 

however, shall hourly rates be reduced in making such equitable adjustments. vVithin thirty (30) days after the effective date of this 

Code each Member of Industry shall make a report of such adjustment whether made prior to or sub equent to date of approval o:f 

thi Code to the Code Authority. 

H ANDICAPPED PERSONS 

SECTION G. A per on who e earning capacity is limited becau e o:f 

age, physical or mental handicap, or other infirmity, may be employed on li o·ht work at a waae below the uinimum o tablished by 

this Code, if the employer obtains from the State Authority, desig-
390 

nated by the United States Department of Labor, a certificate authorizing such person's employment at such wages and for such hours 

as shall be . tated in the certificate. Such Authority shall be guided 

by the instructjons of the United States Department of Labor in 

issuin?' certificates to such persons. Each employer shall file monthly 

with the Code Authority a list of all such persons employed by him, 

showinc:r the wages paid to, and the maximum hours of work for 

such employee. 

PAYMENT OF WAGES 

SECTION 7. Each employer shall make payment of all wages in 

lawful currency or by negotiable check therefor, payable on demand. 

These wages shall be exempt from any payments other than those 

voluntarily ordered paid by the wage earner, or required by law. 

Wages . ·hall be paid at no greater interval than one-half month, and 

balaries a.t no greater interval than one month. No employer shall 

withhold wages, except as otherwise proviued by law. 

ARTICLE V-G.ENERAL LABOR PROVISIONS 

CHILD LABOR 

SEcTION 1. No person under 18 years of age shall be employed except in clerical, office, sales, sales service, technical, and engineering 

departments, and no person under 16 years of age shall be employed 

in uny capacity. In any state an employer shall be deemed to have 

complied with this provision as to age if he shall have on file a certificate or permit duly signed by the Authority in such state empowered to issue employment or age certificates or permits showing 

that the employee is of the required age. 

PROVISIONS OF THE ACT 

SECTION 2. (a) Employees shall have the right to organize and 

bargain collectively through repre entat.ives of their own choosing, 

and shall be free from the interference, restraint, or coercion of employers of labor, or their agents, in the designation of such representatives or in self-organization or in other concerted activities for 

the purpose of collective bargaining or other mutual aid or 

protection. 

(b) No employee and no one seeking employment shall ha ree]uired 

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

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

own choosing, and, 

(c) Employers shall comply with the maximum hours of labor, 

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

or prescribed by the President. 

RECLASSIFICATION OF EMPLOYEES 

SECTION 3. No employer shall reclas ify employe-es or duties of 

occupations performed, or engage in any other subterfuge for the 

purpose of defeating the purposes or provisions of the Act or of this 

Code. 
391 

STANDARDS FOR SAFETY AND HEALTH 

SECTION 4. Every employer shall make reasonable provision for 

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

hours of their employment. Standards for safety and health for this 

Industry shall be submitted to the Administrator by the Code 

Authority within six ( 6) months after approval of this Code. 

STATE LAWS 

SECTION 5. No provision in this Code shall supersede any State or 

Federal law which imposes on employers more stringent requirements 

as to age of employees, wages, hours of work, or as to safety, health, 

sanitary or general working conditions, or insurance, or fire protection, then are imposed by this Code. 

POSTING 

SECTION 6. All employers shall post and keep posted complete 

copies of this Code and all amendments thereto in conspicuous places 

accessible to employees, and shall comply with all rules and regulations relative to posting which may from time to time be prescribed 

by the Administrator. 

COMPANY TOWNS AND STORES 

SECTION 7. Employees other than maintenance or supervisory men, 

or those necessary to protect property, shall not be required as a 

condition of employment, to live in houses rented from or specified 

by the employer. No employee shall be required, as a condition of 

employment, to trade at a store owned or specified by an employer. 

ARTicLE VI-ORGANIZATioN, PoWERS AND DUTIEs OF THE ConE 

AUTHORITY 

ORGANIZATION AND OONSTITOTION 

SEar:roN 1. A Code Authority to administer this Code is hereby 

constituted and shall consist of seven (7) voting members who 

shall hold office for a term of one ( 1) year or until their successors 

are elected and· qualified. Six ( 6) of such members shall be selected 

from and by the Board of Directors of the Association and the one 

(1) remaining member shall be selected by the members of Industry, 

who are not members of the Association, by a ,fair method of election 

to be proposed by the Association to and approved by the Administrator. Within thirty (30) days after the effective date of this 

Code, in the event that the seventh member is not so selected by the 

non-members of the Association, the Administrator may then appoint such member to the Code Authority. Each group may fill 

any vacancy at the expiration of terms of office or when vacancies 

otherwise occur. 

SECTioN 2. In addition to the above membership there may be not 

more than three ( 3) additional members without vote and without 
392 

compensation from the Industry to be appointed by the Administrator to serve for such terms as he may specify. 

SECTION 3. Each trade or industrial association directly or indirectly participating in the selection or activities o-f the Code Authority shall, 

(1} Impose no inequitable restrictions on membership, and, 

(2) Submit to the Ad·ministrator true copies of its Articles of 

Association, By-Laws, Rules and Regulations, and any amendments 

when made thereto, together with such other in-formation as to 

membership, organization, and activities as the Administrator may 

deem necessary to effectuate the purposes of the Act. 

SECTioN 4. In order that the Code Authority shall at all times 

be truly representative of the Industry and in other respects comply 

with the provisions of the Act, the Administrator may prescribe such 

hearings as he may deem proper; and, thereafter, if he shall find 

that the Code Authority is not truly representative or does not in 

other respects comply with .the provisions of the Act, he may require 

an appropriate modification in the method of selection of the Code 

Authority. · SECTION 5. Nothing contained in this Code shall constitute the 

members of the Code Authority partners for any purpose. Nor 

shall any member of the Cods Authority be liable in any manner to 

anyone for any act of any other member, officer, agent, or employee 

of the Code Authority. ,Nor shall any member of the Code Authority be liable to anyone ior any act or omission to act on his own 

part under this Code, except for his own individual wilful misfeasance or nonfeasance. 

POWERS AND DUTIES 

SECTION 6. Subject to such rules and regulations as may be issued 

by the Administrator and to the extent permitted by the Act, the 

Code Authority shall have the following further powers and duties: 

(a) To make investigations as to the functioning and observance 

of any provisions of this Code at its own instance or upon complaint 

of any person affected and to re~ort thereon _to the Administrator. 

(b) To insure .the execution oj_ the provisions of this Code and 

·provide for the compliance of the Industry with the provisions of 

the Act. 

(c) To adopt By-Laws and Rules fl.nd Regulations for its procedure and for the administration 9f this Code. The ·code Authority 

shall promptly furnish to the Administrator true copies of the 

By-Laws, Rules and Regulations adopted pursuant to this paragraph. 

(d) To obtain from Members of Industry such information and 

reports as are required for the administration of this Code. In addition to information required to be submitted to the Cod~ Authority, 

members of the Industry, subject to this Code, shall furnish such 

statistical informati®n as the Administrator may deem necessai'Y 

for the purposes recited in Section 3 (a) of the Act to such Federal and State agencies as he may designate; provided that nothing 

in this Code shall relieve any Member of the Industry of any existing obligations to furnish reports to any government agency. · No 

jndividual report shall be disclosed to any other Member of Industry 
393 

or any other partY except to such other governmental agencies as 

ma,Y be directed by the Administrator. 

(e) To use such trade associations and other agencies as it deems 

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

herein; provided, that nothing herein shall relieve the Code Authority of its duties or responsibilities under this Code and that 

such trade associations and agencies shall at all times be subject to 

and comply with the provisions hereof. 

(f) 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. 

(g) To cooperate with the Administrator in regulating the use of 

any N.R.A. insignia solely by those Members of 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 Industry in their relations with 

each other or with other Industries, and concerning control of production through voluntary agreement and to recommend to the 

Administrator measures for industrial planning, including stabilization of employment. 

SECTION 7. It being found necessary to support the administration 

of this Code, in order to effectuate the policy of the Act and to maintain the standards of fair competition established hereunder, the 

Code Authority is authorized: 

(a) To incur such reasonable obligations_ as are necessary and 

proper for the foregoing purposes and to meet such obligations out 

of funds which shall be held in trust for the purposes of the Code 

and raised as hereinafter provided: 

(b) To submit to the Administrator for his approval, subject to 

such notice and opportunity to be heard as he may deem necessary: 

1. An itemized budget of its estimated expenses for the foregoing 

purposes, and 

2. An equitable basis upon which the funds necessary to support 

such budget shall be contributed by all Members of Industry 

receiving the benefits accruing from the maintenance of such standards, and the administration thereof; and 

(c) After such budget and basis of contribution have been approved by the Administrator, to determine and collect equitable contributions as above set forth from all such Members of Industry, and 

to that end, if necessary, to institute legal proceedings therefor in its 

own name. 

SECTION 8. Only Members of Industry complying with the Code 

and contributing to the expenses of its administration, as provided in 

Section 7 hereof, shall be entitled to partici:pate in the selection of the 

members of the Code Authority or to receive the benefits of its voluntary activities or to make use of any N.R.A. insignia. 

SECTION 9. If the Administrator shall determine at any time that 

any action of the Code Authority or any agency thereof is unfair or 

unjust or contrary to the public interest, the Administrator may 

require that such action be suspended to afford an opportunity for 

investigation of the merits of such action and further consideration 

by such Code Authority or agency pending final action which shall 

not be effective unless the Administrator approves or unless he shall 
394 

fail to disapl?rove after ~hi~ ,(30). d~ys' notice i? him of intention 

to proceed with such actiOn m 1ts origmal or modified form. 

ARTICLE VII-MARKETING AJ'I.~ TRADE PRACTICE RULES 

TRADE PRAC7I:CE RULES 

Violation of any of the following sections of this Article VII by 

any member of Industry, either directly or indirectly through an 

officer, agent or employee, shall be deemed an unfair method of 

competition. 

IN ACCURATE ADVERTISING 

SEcTioN 1. No Member of Industry shall publish adverti~ing 

(whether printed, r adio, display, or of any other nature), which is 

misleading or inaccurate in any material particular, nor shall any 

member in any way misrepresent any goods (including, but without 

limitation, its use, trade mark, grade, quality, quantity, origin, size, 

substance, character, nature, material, or content), or credit terms, 

values, policies, services, -or the nature or form of the business 

conducted. 

INACCURATE LABELLJNG 

SECTION 2. No Member of Industry shall brand or mark or pack 

any goods in any manner which is intended to or does deceive or 

mislead purchasers, with -respect to the brand, grade, quality, quantity, origin, size, substance, character, nature, material, content, or 

preparation of such goods. 

INACCURATE REFERENCES TO COMPETITORS 

SECTION 3. No Member of Industry shall publish advertising 

which !refers inac-curately in any material particular to any competi~ors or their goods, prices, values, Cl'edit terms, policies, or 

services. 

FALSE BilLING 

SECTION 4. No Member of Industry shall knowingly withhold from 

or insert in any quotation or invoice any statement that makes it 

inaccurate in any material particular. 

THREATS OF LAW SUITS 

SECTION 5. No Member of Industry shall publish or circulate unjustified or unwa.rranted threats of -.legal proceedings wpich tend to 

or have the effect of harassing competitors or intimidating their 

customers. Failure to prosecute in due course shall be evidence that 

any such threat is unwarranted or 1mjustified. 

BRIBING EMPLOYEES 

SECTION 6. No Member of Industry shall give, permit to be given, 

or directly offer to give, anything of value for the purpose of influencing or rewarding the action of any employee, agent or repre-
395 

sentative of another in relation to the business of the employer o:f 

such employee, the principal of such agent or the represented party, 

without the knowledge of such employer, principal, or party. This 

commercial bribery 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. 

INTERFERENCE WITH ANOTHER'S CONTRACTS 

SECTION 7. No Member of Industry shall attempt to induce the 

breach of any existing contract between a competitor and his customer or source of supply; nor shall any Member of Industry interfere with or obstruct the performance of such contractual duties. 

COERCION 

SECTION 8. No Member of Industry shall require that the purchase 

or lease of any goods be a prerequisite to the purchase or lease of any 

other goods. 

ARTICLE VIII-ExPORT TRADE 

No provision of this Code relating to prices or terms of selling, 

shipping or marketing, shall apply to export trade or sales or shipments for export trade. " Export Trade " shall be as defined in the 

Export Trade Act adopted April 10, 1918. 

ARTICLE IX-MODIFICATION 

SECTION 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, and specifically, but without limitation, 

to the right of the President to cancel or modify his approval of this 

Coqe or any conditions imposed by him upon his approval thereof. 

SECTION 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 may specify, provided, 

however, that all proposals for such modification shall first be referred to the Code Authority for its recommendation thereon. 

ARTICLE X-MONOPOLIES 

No provision of this Code shall be so applied as to promote manop. 

olies or monopolistic practices, or to eliminate, oppress, or discriminate against small enterprises. 

ARTICLE XI-EFFECTIVE DATE 

This Code shall become effective ten (10) days after its approval 

by the Administrator, and shall continue in effect until the close o:f 
396 

business on June 16, 1935, or to the earliest date prior thereto on 

which the President or the Congress shall declare that the emergency 

recognized by Section 1 of the National Industrial Recovery Act 

has ended. 

Approved Code No. 443. 

Registry No. 1201-04. 

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UNIVERSITY OF FLORIDA 

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