Approved Code No. 347-Supplement No. 15 Registry No. 1399-46 

NATIONAL RECOVERY ADMINISTRATION 

SUPPLEMENTARY 

CODE OF FAIR COMPETITION 

FOR THE 

PULVERIZING MACHINERY 

AND EQUIPMENT INDUSTRY 

(A Division of the Machinery and Allied Products Industry) 

AS APPROVED ON JUNE 9. 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 
This publication is for sale by the Superintendent of Documents, Government 

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

and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 504 Post Office Building. 

Birmingham, Ala. : 257 Federal Building. 

Boston, l\lass. : 1801 Customhouse. Buffalo, N.Y.: Chamber of Commerce Building. 

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

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

Cieveland, Ohio: Chamber of Commerce. Dallas, Tex. : Chamber of Commerce Building. 

Detroit, Mich.: 801 First National Bank Building. 

llou ~ton, Tex.: Chamber of Commerce Building. 

Indianapolis, Ind.: Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, 1\10.: 1028 Baltimore A venue. 

Los Angeles. Calif.: 1163 South Broadway. 

Louisville, Ky.: 408 Federal Builcling. 

Memphis, Tenn.: 229 Jfecleral Building. 

Minueapolis, Th1inn. : 2] 3 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. 

Pittsburgb, 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. 
Approved Code No. 347.-Supplement No. 15 

SUPPLEMENTARY CODE OF FAIR COMPETITION ~ 

FOR THE 

PULVERIZING MACHINERY AND EQUIPMENT 

INDUSTRY 

As Approved on June 9, 1934 

ORDER 

SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE PULVERIZING 

MACHINERY AND EQIDPMENT INDUSTRY 

A DIVISION OF THE MACHINERY AND ALLIED PRODUCTS 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 Supplemental Code of Fair Competition for the Pulverizing Machinery and 

Equipment Subdivision of Machinery and Allied Products Industry, and hearings having been duly held thereon and the annexed 

report on said Supplemental 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, I{ugh S. Johnson, Administrator for Industral 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 Supplemental 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 Supplemental Code of Fair Competition be and it is hereby 

approved subject to the followino- conditions: 

( 1) Th11 t the provisions of Article VIII, Section (a) insofar 

as they prescribe a waiting period between the filing with the Code 

Authority ( or such agency as may be designated in the Supplemental Code) and the effective date of price lists, as originally filed 

and/or revi.:ed price lists or revised terms and conditions of sale, be 

and they hereby are stayed pending my further order. 

(2) That the provisions of the second paragraph of Article VIII, 

Section ( d) be and they hereby are stayed pending the submission 

of satisfactory evidence concerning distribution of the products of 

the Subdivision to the Administrator. 

60335°-657-77-34 (1) 
2 

(3) That the prov1s1on of Article I X, Sections 5 t o 10 inclu- siYe; be and they hereby are stayed for a period of fifteen (15) 

days; th n to become effective unfoss I, by my further order other- '\Yise direct; within which time cau e may be shown, if any there be, why the above provi ions should not become effective; and that the 

Temporary Code Authority send notice of the stay of these provisions an of the opportunity to show cause why they should not 

become effectiYe to all known employers of the Subdivision. 

HUGH s. JOH.i:-SON, 

Adniinistrator f01· l nd·ustrial R ecovery. 

Approval recommended : 

A. R. GLANCY, 

Division Adm)nist?>ator. 

"\VASIDNGTON, D.C., 

June 9, 1934. 
REPORT TO TI-IE PRESIDENT 

The PRESIDENT, 

T lie White House. 

Sm: This report relates to the Supplemental Code 0£ Fair Competition for the Pulverizing 1\1:achinery and Equipment Subdivision 

of J\1achinery and Allied Products Industry as proposed by the 

Pulverizing l\fachinery and Equipment Association. 

A public hearing was held in Washington, D.C. on December 4, 

1933 and reconvened on December 21, 1933. The public hearings 

were conducted in accordance with the provisions of Title I of the 

National Industrial Recovery Aet and all persons were given full 

opportunity to be heard. 

GENERAL STATEl\IENT 

The Pulverizing lVIachinery and Equipment Subdivision, bejng 

truly representative of the manufacturers 0£ the products defined in 

Article II of the Supplemental Code, has elected to formulate and 

submit a Supplemental Code of Fair Competition as provided in the 

second paragraph of Article I of the Code of Fair Competition for 

the Machinery and Allied Products Industry, approved by you on 

the seventeenth day of l\1arch, 1934. 

Th~ Subdivision as defined in the Supplemental Code includes the 

design, manufacture, contracting for or subletting the manufacturing 

for the sale of ball, tube, roller and attrition types of pulverizing 

machines, air separators or classifiers of dry materials, and auxiliary 

equipment including spare, repair, and replacement parts thereof, 

and includes all those so engaged 7 provided that the Subdivision shall 

not include fuel-pulverizing eqmpment or spare, repair or replacement parts thereof. Employers otherwise engaged in the Farm 

Equipment Industry may manufacture for sale, and sell hammer 

n1ills, feed grinders and similar equipment for use on f arms, under 

the Code of the Farm Equipment Industry and not under the 

provisions of this Code. 

ECONOMIC EFFECT 

Annual sales in 1932, according to the Association, were approxin1ately 84 per cent below the 1929 level. They declined from 

$5,448,000 in 1929, to $864,000 in 1932. Sales as reported for the 

first six months of 1933 are 69.1 per cent of the total sales for 1932. 

This may r epresent an upward trend in business provided sales are 

not seasonal. I nvested capital declined approximately 15 per cent 

since the peak year, 1930, while the production capacity has r emained 

cons+ant. 

(3 ) 
4 

E stimates of approximate employment for the entire industry submitted by the trade association, indicate that employment had declined from 630 in 1929 to 215 in 1933, or 65.9 per cent. 

Average hours per week were reported to be 46.8 in June, 1929; 

30.6 in June, 1933 ; and 35.0 in October, 1933. In October, 1933u 

the aver aBe hours were 25 per cent less than the June, 1929 average. 

The effect of the 40-hour provision with production at more normal levels may be estimated on a basis of the 1930-1931 average of 

t otal man-hours per week divided by the number of hours prescribed 

in the Code. After 1929, man-hours declined steadily from 29,484 to 

a minimum of 8,017 in 1933 (first six months), or approximately 

72.8 per cent. Since then, man-hours increased to 14,105, or 75.9 

per cent. 

If it is assumed that the 18,300 average man-hours for 1930-1931 

are representative of the volume of production for those years, and 

a reasonable measure of man-hour r equirements in a more normal 

period, the adoption of the 40-hour week would require a force of 

approximately 460 employees, or 73.0 per cent of the 1929 working 

level. 

However, considering all employees of the Subdivision would not 

work the full 40-hour week, the average work week would be shorter; 

with 36 assumed effective hours, and employment correspondingly 

greater, viz., 510 workers will be required to produce the 1930-1931 

volume. 

The minimum wage provisions proposed for the Subdivisions 

which are operating under the Code of the J\fachinery and Allied 

Products Industry are based on a flat minimum hourly rate of 32 

cents per hour for the South and the following city population diff erentials for all other sections of the United States: Over 50,000 

population, 40 cents per hour; Over 10,000 to 50,000 population, 38 

cents per hour; 10,000 population and under, 36 cents per hour. 

In addition to the minimum wage rates shown above, the Code 

provides that women engaged in substantially the same work as 

men shall receive the same rate of pay as such men employees; that 

the minimum wage for women employees engaged in plant operations shall be not less than 87 .5 per cent of the proper rate for the 

locality in which employed as specified; and that the minimum in the 

South shall be not less than 32 cents per hour. 

E stimated number of factory workers r eceiving l ess than designated hourly 

rates 

Proposed minimum hourly rates 

40 cents (other U.S.) __ ------------·-·------------------···--··-····-·-·-·--····. 38 cents ( other U. S.) _ .. -·-···.·····- __ .. _ ... _______ ... _________________________ _ 36 cents (other U.S.) ____________ ________________________ ------------------------ 32cents (south) __ ______________________________________________________________ _ 

Distribution of factory workers receiving le5s 

than the miuimum 

regardles£ of location 

Approximate percent 

12.0 

8.5 

4.8 

2. 1 

Approxi• 

matc1 number 

18 

12 

7 

3 
5 

Based on the distribution as of June 15, 1933 and on the specified 

percentages of the number of factory workers receiving less than the 

designated rates shown in the above table, the adoption of the proposed minimum rates will probably cause an increase in factory payrolls. The es6mated increase as of June 15, 1933, regardless of 

location of the workers, will probably, under the most fovorable 

conditions, not exceed 1.5 per cent, assuming only upward adjust1nent in the brackets below the 40-cent minimum and no change in 

man-hour requirements. 

Distribution of the number of factory workers receiving classified 

rates in the specified areas are not available. Consequently, it is 

only possible to estimate the approximate number of f actory workers who will receive the benefit of the proposed minimum hourly 

r ates, regardless of lo:::-ation, on the basis of the number of f actory 

workers receiving less than the designated hourly rates as of June 

15, 1933. 

RESUME OF SUPPLEMENTAL CODE 

Article I states the purpose of the Supplemental Code. 

Article II accurately defines specific terms applicable to the Subdivision as used in this Supplemental Code. 

Article III provides for the adoption of the employment provisions of the National Industrial Recovery Code of the :Machinery 

and Allied Products Industry, as approved by you, and as from time 

to time amended. 

Article IV provides for the adoption of Articles II, VI, VIII, and 

IX of the National Industrial Recovery Code of the Machinery and 

Allied Products Industry, in accordance with the conditions of this 

Article governing their adoption. · 

Article V provides for the establishment of a Code Authority and 

defines its powers and duties. 

Art~cle VI provides for an accounting system and methods of cost 

finding and/or estimating. 

Article VII provides that no products of the Subdivision shall 

be sold or exchanged below a reasonable cost when the Code Authority determines that an emergency exists. 

Article VIII provides for methods of setting up, revising and 

filing price lists and discount sheets and terms of sale and payment. 

Article IX sets forth trade practices for the Subdivision. 

Article X states that no provision of this Supplemental Code relating to pricing and marketing shall apply to Export sales as 

defined by the term " Export " in this Article. 

Article XI provides that this Supplemental Code and all the 

provi ions 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 said Act. Provision is also 

made that modifications may be submitted by the Code Authority 

to the Administrator for approval. 

Article XII. No provision of this Supplemental Code shall be so 

applied as to permit monopolies, or monopolistic practices, or to 

eliminate, oppress, or discriminate against sm.all enterprises. 

Article XIII st~tes the effective date of this Supplemental Code. 
6 

FINDINGS 

Tb~ Assistant Deputy Administrator in his final · report to me on 

said Supplemental Code having found as herein set forth and on 

the basis of all the proceedings 1n this matter: 

I find that: 

(a) Said Supplemental Code is well designed to :promote the 

policies and purposes of Title I of the National Industrial Recovery 

Act, including r emoval 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 f or the purpose of cooperative action among the 

trade groups by inducing and maintaining united action of labor 

and management under adequate governmental sanctions and supervisions, by eliminating unfair competitive · practices, by promoting 

the fullest possible utilization of the present productive capacity 0£ 

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 redn ing and relieving unemployment, by improving 

standards of labor, and by otherwise rehabilitating industry. 

(b) Said Subdivision normally employs not more than 50,000 

employees; and is not classified by me as a major industry. 

( c) The Supplemental Code as approved complies 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 thereof; and that the 

applicant association is an industrial association truly representative of the aforesaid Subdivision; and that said association imposes 

no inequitable restrictions on admission to membership therein. 

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

mono po lies or monopolistic practices. 

( e) The Supplemental 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 pro.cess have 

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

Supplem.ental Cocte. 

For these reasons, therefore, I have approved this Supplemental 

Code, provided that certain provisions relating to price publication, 

trade practices, and Article VIII, Section ( e) are stayed, as stated 

in the order. 

Respectfully, 

J UN'n 9, 1934. 

HUGH s. JOHNSON, 

Adrrvinistrator. 
SUPPLEMENTARY CODE OF FAIR COMPETITION 

THE PULVERIZING MACHINERY AND EQUIPM

INDUSTRY

A DIVISION OF THE MACHINERY AND ALLIED PRODUCTS INDUS

ARTICLE I-PURPOSES

To effectuate the policy of Title I of the National Ind

Recovery Act, the following provisions are established as a S

mental Code of Fair Competition for the Pulverizing Mac

and Equipment Subdivision of the Machinery and Allied Pr

Industry and together with the Code of Fair Competition f

Machinery and Allied Products Industry to which it is a S

ment shall be the standard of fair competition for this Subdi

and shall be binding on each employer therein.

ARTICLE II-DEFINITION

"Applicant" means the Pulverizing Machinery and Equi

Association, a trade organization, all members of which are en

in the manufacture for sale of the products of the Pulve

Machinery and Equipment Subdivision of the Machinery and 

Products Industry, which organization is truly representati

this Subdivision.

" Industry " means the Machinery and Allied Products Ind

as defined in its Code of Fair Competition as approved by the 

dent, March 17, 1934 and as such definition may from time t

be amended.

" Subdivision " means the Pulverizing Machinery and Equi

Subdivision of the Machinery and Allied Products Industry 

fined and set forth in Paragraph (22) of Article II of the C

Fair Competition for the Machinery and Allied Products In

as follows:

"Pulverizing Machinery and Equipment Subdivision, mea

design, manufacture, contracting for or subletting the manufac

for the sale of ball, tube, roller and attrition types of pulverizin

chines, air separators or classifiers of dry materials, and aux

equipment including spare, repair, and replacement parts th

Equipment not ment of this andfeed the includes include Code." grinders parts Farm Indust-ry fuel-pulverizing thereof. all Equipment and those similar mayso Employers engaged; manufacture equipment Industry equipment (7)provided otherwise and for for not useor sale that spare, on under engaged and farms, the repair sell the Subdivision under hammer in provisioor the thre
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" Code " means the Code of Fair Competition for the M

and Allied Products Industry, as approved by the Presid

as from time to time amended.

" Person " means a natural person, a partnership, a cor

an association, a trust, a trustee, a trustee in bankruptcy, a 

or other entity.

" Employer " means any person engaged in this Subdi

the Industry, either on his own behalf or as an employer of 

" Employee " means ainy one who is employed in the Su

by any such employer.

SThe Act " ieas Title I of the National Industrial 

Act.

" The President " means the President of the United Stat

" The Administrator " means the Administrator for I

Recovery.

" Basic Code Authority means the Code Authority 

Machinery and Allied Products Industry as constituted by 

" Code Authority " means the Code Authority constituted 

Subdivision as provided by the Code and by this Supplemen

" Group Code Authority " means the Code Authority 

group or classification of products within this Subdivision

tuted under the authority of Article V of this Supplementa

" Publish " means to make available to the public.

" Principles " means all essential characteristics.

ARTICLE III-EMPLOYMENT PROvISIoNS

The following Articles of the Code, viz: Article III, "

Hours "; Article IV, " Wages "; and Article V, " Gener

Provisions ", are hereby made a part of this Supplemental C

the same effect as if they were written into this Supplemen

ARTICLE IV-ADOPTION OF OTHER PROvISIONs OF COD

The following Articles of the Code, viz: Article II, " Defi

Article VI, "Administration ", to the extent that they sha

plicable to this Supplemental Code as such or as it may her

administered as an autonomous Code; Article VIII, " Mod

and Termination "; Article IX, " Withdrawal"; are hereby 

part of this Supplemental Code with the same effect as if t

written into this Supplemental Code.

ARTICLE V-ORGANIZATION AND ADMINISTRATION

To administer and supervise, and facilitate the performan

provisions Code Nuthority of this Supplemental Code, there is hereby esta

thun not Equipment tli', (a) (1) (2) approval members seven TheOneCode Executive members. additional Association, of of the the Authority ". Administrator, Applicant, Committee member consisting for to this who be ofof by elected Subdivision the arnot employers Pulverizing cooperating less in than anyshall in fourair this Machiin consimanand this Su
9

mental Code, as described in Section (e) hereof, if so desired, b

non-members.

(3) The Administrator may, at his discretion appoint one 

tional member (without vote and without expense to the 

division).

(b) Each trade or industrial association directly or ind

participating in the selection or activities of the Code Authorit

(1) impose no inequitable restrictions on membership, and (2) 

to the Administrator true copies of its articles of association, b

regulations, and any amendments when made thereto, togethe

such other information as to membership, organization, and 

ties as the Administrator may deem necessary to effectua

purposes of the Act.

(c) In order that the Code Authority shall at all times b

representative of the Subdivision and in other respects compl

the provisions of the Act, the Administrator may provide such

ings as he may deem proper; and thereafter if he shall fin

the Code Authority is not truly representative or does not in 

respects comply with the provisions of the Act, may require an 

priate modification in the method of selection of the Code Aut

or any Group-Code Authority.

The Code Authority may adopt rules and regulations 

procedure and employ such personnel as it may deem necessa

(d) Any employer in this Subdivision shall be eligib

membership in Pulverizing Machinery and Equipment Asso

(e) Any employer in this Subdivision shall be entitled t

subject to the provisions of Section (a) hereof, at the election 

share in the benefits of the activities of the Code Authority an

participate in any endeavors of the Code Authority, in the pr

tion of any revisions of, or additions or supplements to, this S

mental Code, by paying his proper pro rata share of the reas

cost of creating and administering it, as determined by the 

Authority, such vote of employers in this Subdivision to be 

mined subject to the provisions of Section (a) hereof, by a 

employers who are at that time engaged in manufacturing such p

uct, and are at that time cooperating in this Code, as above de

in this Section (e) of this Article V, cast concurrently in each 

two following methods: (1) by one vote of each employer, 

vote of employers weighted on the basis of one vote for each 

of sales booked of such products of said employers who are 

time engaged in manufacturing such products, made in the pre

five calendar years, as reported to the Code Authority of this 

vision. Each employer shall be entitled to at least one such 

Except as otherwise provided in this code any action taken 

meeting of employers shall be by a majority vote, cast and com

common trative fications. a sions in Group-Code In (g) (feach each of Employers If purposes of this problems, formal Groupthe Splemental Authority two into Subdivision, complaint in methods may this various be approved, Subdivision Code grouped hereinabove is Group o madehave product or by Subdivisions, to been having appointed, Code Code provided. classification, violated Authority a Authority, common by or by Code product any there for interethat Autemadp
10

the Code Authority or proper Group-Code Authority, m

such investigation or audit to be made, to the extent permitt

Act, as may be deemed necessary. If such investigation is 

Group-Code Authority, it shall report the results of such 

tion or audit to Code Authority for action.

Unless Basic Code Authority shall take jurisdiction, the 

thority shall have the right to investigate to the extent per

the Act, and analyze any transaction coming under the sco

Supplemental Code, on which any unfair competition is a

show evidence of any violation of this Supplemental Code, 

any such alleged violation to the proper authorities for ac

ARTICLE I-ACCOUNTING AND COSTING

The Code Authority shall cause to be formulated an a

system and methods of cost finding and/or estimating capa

by all employers of the Subdivision. After such system and 

have been formulated, full details concerning them shall 

available to all employers. Thereafter all employers shall 

an(/or estimate costs in accordance with the principles 

inethods.

ARTICLE VII-SELLING BELow REASONABLE COST

(a) When the Code Authority has reason to believe that 

gency exists as to any product or products of the Subdivi

that the cause thereof is destructive price-cutting such as 

ineffective or seriously endanger the purposes or the ma

of the provisions of this Supplemental Code, the Code 

may cause an investigation of costs and pricing to be ma

impartial agency in order to determine the existence of 

gency and the Code Authority may cause to be determined 

reasonable cost of the product or products of this Subdivi

determination to be subject to such notice and hearing a

ministrator may require. The Administrator may approv

prove, or modify the determination. Thereafter, during t

of emergency, no employer of the Subdivision shall sell o

sell any products of the Subdivision for which the lowest r

cost has been determined at such prices or upon such term

ditions of sale that the buyer will pay less therefor than 

reasonable cost of such products.

When it appears that conditions have changed, the Cod

ity, upon its own initiative or upon the request of any 

party, shall cause the determination to be reviewed.

ARTICLE VIII-PICE LIsTs

mines the basis fixedAuthority the (10) (a) case generally terms days of that If may netand a inafter of net be, price recognized when any sale individually notice price branch lists, and the list, of Code payment, practice or or such or price group pepared Authority a determination, to price eahlists of sell by the list employer with a of him, specified Subdivision this andiscount showing file Subdivisdiscount shall, produwith shit hw
11

prices, or prices and discounts, and terms of sale and paymen

such specified product, and the Code Authority shall immed

publish and send copies thereof to all kiown employers wh

cooperating in this Supplemental Code as described in Sectio

of Article V hereof.

Revised price lists and/or discount sheets and/or terms o

and payment for such product may be filed from time to 

thereafter with the Code Authority by any employer, but 

revised price lists and/or discount sheets and/or terms of sal

payment shall be filed with the Code Authority ten (10) 

in advance of the effective date. Copies of such revised pric

and/or discount sheets and/or terms of sale and payment, fo

product, with notice of the effective date specified, shall be im

ately published and sent to all known employers who are coo

ing in this Supplemental Code as described in Section (

Article V hereof, any of whom may file, if he so desires, to b

effective upon the date when the revised price list and/or di

heet and/or terms of sale and payment first filed shall go 

effect, revisions of his price lists and/or discount sheets and/or 

of sale and payment establishing prices or prices and discoun

lower or terms of sale and payment not more favorable than 

established in the revised price lists and/or discount sheets a

terms of sale and payment first filed. Nothing in the fore

shall constitute a limitation upon the right of any employer 

revised lists fixing his own prices, discounts and terms of sal

payment, which prices and discounts may be either more o

favorable than those contained in any other price list, to be ef

as provided in the first sentence of this paragraph.'

(b) If and when the Code Authority shall determine that 

branch or group of the Subdivision not now selling its produ

the basis of price lists, with or without discount sheets, with 

terms of sale and payment, the distribution or marketing cond

in said branch or group are the same as, or similar to, the dis

tion or marketing conditions in a branch or group of the Subdi

where the use of price lists, with or without discount sheet

fixed terms of sale and payment, is well recognized, and that a s

of selling on net price lists or price lists and discount sheets 

fixed terms of sale and payment for such product should be pu

effect in such branch or group, then each employer of such bran

group shall within ten (10) days after notice of such determin

file with the Code Authority net price lists or price lists and di

sheets, containing fixed terms of sale and payment, and such p

lists and/or discount sheets and/or terms of sale and payment m

b

thereafter revised in the manner hereinabove provided; pro

however, that the Code Authority shall make no determinati

place any product of the Subdivision (not now on a price list b

VIII, have the on facturing eligibility 1 See a same price given paragraph unless as such requirements, list provided their the 2 product basis, (1) employers affirmative of order in as and section provided method approving are who consent at (e) are and this that in of Code. at this effect Article to time that such paragraph cooperating of time V.such determination. engaged voting (b) in of this in shAb
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Each employer shall prepare and shall furnish the Code 

for distribution with such number of copies of his price li

discount sheets and terms of sale and payment as Code 

may prescribe.

(c) No employer shall sell directly or indirectly by 

whatsoever, any product of the Subdivision covered by 

of this Article VIII at a price or at discounts, or on ter

and payment, different from those provided in his own c

price lists, or price lists and discount sheets, provided th

in the above shall prevent an employer from adding t

price and/or price list and discount sheets by increasing hij

to include unusual selling, engineering, servicing, financing

risks, or other similar special charges, (except as provided 

VII above), provided, however, that in the event of an 

quoting a higher price than the price published in his 

list and/or price list and discount sheets, to take care o

selling, engineering, servicing, financing, financial risks

similar special charges, he shall not subsequently quote a l

on said prospective sale than that price first quoted, except 

ance with revised price lists duly filed or unless he simu

eliminates part or all of the unusual engineering, servicing, 

financial risks or other special charges, for which a corr

reduction only may be made.

(d) No employer shall sell to, or through any broker, jo

mission account or sales agency, (this is known in the 

"pooled buying "), who or which is in fact an agent for 

zation of industrial consumers, with the result that any 

consumer secures a discount, allowance or price other tha

count, allowance or price provided for in the employer's o

net price lists or price lists with discount sheets.

No employer shall evade any provision of this Code by 

or through any dealer, jobber, distributor or other selli

which shall fail to agree to resell in accordance with the 

of Articles VII, VIII and IX of this Supplemental Code

(e) Wherever by the provisions of this Article VII

ployer is or may be required to or permitted to file term

and payment, such terms shall mean usual or standard t

to cover any special and/or unusual terms definite for

determining such special and/or unusual terms shall be fi

(f) If and when Code Authority shall determine that 

sirable to continue the filing of net price lists and/or price 

discount sheets and/or fixed terms of sale and payment on 

uct in respect of which such filing has heretofore been 

such filing shall cease and the provisions of this Article 

apply to such product unless and until Code Authority s

determine to is, method 3 2 Each the See S,, therefore, paragraph paragraph best of of that comlpetitiol, the interests; hereby 2 following such (2) (3) ARTICLE of of filing of order odclared this viz: acts approving approving be IX--TRADE Subdivision, made. and tothis this practices be, Code. Code. PRACTICES and and to is of deemed constitute, the 3 publicto b
13

1. The secret offering or making, to any customer, agent, fid

or representative of customer, of any payment or allowanc

rebate, refund, commission, credit, credit subsidy, unearned d

or excess allowance, whether in the form of money or otherw

any special service or privilege, for the purpose of influencing 

No employer of the Subdivision shall give, permit to be giv

offer to give, anything of value fcr the purpose of influenc

rewarding the action of any employee, agent, or representat

another in relation to the business of the employer of such em

or the principal of such agent without the knowledge of su

ployer or principal, provided that no provisions of this Cod

be construed to prohibit free and general distribution of 

commonly used for advertising, except so far as such articl

actually used for commercial bribery as hereinabove defined.

2. Any discrimination between purchasers, by the sale of an

cle having a published price, at any price other than the 

published price, by means of direct or indirect price concessi

by means of any privilege not extended to purchasers generally

3. Untruthfully advertising, representing, or marking any p

with intent to deceive or mislead.

4. The publishing or circularizing of threat of any suit 

fringement of patent or trade mark, or of any other legal pr

ings, not in good faith, which would tend to harass a compet

intimidate his customer.

5. The taking in trade or accepting in trade any secondh

old equipment in part payment for new, provided, however, th

provision shall not be construed to prohibit in any way the r

within six months of the date of shipment, to the Vendor a

allowance of any fair adjustment thereon by the Vendor of any p

uct which shall not meet the purposes for which it was sold

employer may, however, assist in finding a bona fide buyer f

equipment, but shall in no case take any financial interest in i

6. So long as the maker of any product of this Subdivision b

the maker's name or trade mark, which has required special 

ing, research or development expense (or his successor in bu

continues to make and supply such spare, repair and repla

parts therefor, supplying repair parts for such product of th

division unless (a) the name of the maker of such copie

genuine repair parts shall be plainly marked on each part 

this is impracticable on the package or tag) so that the u

user is clearly informed by marking on such parts, package

and in catalogues, price lists, quoted prices, advertisements 

vertising literature of the manufacturers of such copied non-g

parts that said parts were not made by the original maker 

products of the employer of this Subdivision.

7. The furnishing to any purchaser, and/or his agent, dire

the by indirectly division with competitor's standing, 8. written Administrator Disseminating the Code without ability of notice products, detailed Authority to to filing disapprove perform the false shop sellingmployer. a which statement or drawings work, the prices, misleading may transaction or approve of reputation, labor of such the information conditions. or products within proposed with credit the tn of appror relattrans(10thif
UNIVERSITY OF 

14 3 1262 0858

7

9. inducing or attempting to induce a breach or abandon

contract covering the purchase or sale of the products of t

division; provided, however, that nothing in this Secti

be construed to prohibit the attempt on the part of the o

or licensee under any patent to induce a purchaser or fut

p

chaser of any product which shall infringe said patent, t

such purchase.

10. It shall be an unfair trade practice for any employe

t

gage in destructive price cutting.

ARTICLE X-SALES FOR EXPORT

The provisions of this Supplemental Code concerning pri

marketing (Articles VII, VIII and IX) shall not apply t

export sales of any product. A similar exemption may be 

by the Code Authority of this Subdivision as to sales of any p

destined ultimately for export. Unless otherwise determ

b

the Code Authority the term-" export " shall include all ship

t

all places without the several states of the United States 

t

District of Columbia; provided, however, that no shipmen

t

territory or possession of the United States shall be consi

export when any employer is engaged in the industry in sut

tory or possession.

ARTICLE XI-MoDIFICATIONS

(a) As provided by Section 10 (b) of the Act, the Presid

m

from time to time cancel or modify any order, approval, l

rule or regulation issued under Title I of the Act.

(b) Study of the trade practices of this Subdivision will b

tinued by Code Authority, with the intention of submittin

f

time to time, after its effective date, amendments or addi

t

or revisions of, or supplements to, this Supplemental Code.

Any such amendments, additions, revisions, or suppleme

p

posed by Code Authority, and approved by a vote of the em

shall be in full force and effect upon approval by the P

The eligibility requirements method, and effect of such voti

be the same a provided in Section (e) of Article V.

ARTICLE XII-MONoPOLES

The Supplemental Code presented by Applicant is not 

to promote monopoly, and shall not be so construed or ap

to oppress or eliminate small enterprises or discriminate 

them, and is designed to effectuate the Policy of the Act.

all itsApproved Registry This approval persons Supplemental No. Code engaged by 1399-46. No. the ARTICLE 347-Supplement President. in Code this XIII-EFFECTI-vE shall Subdivision 0No. become 15. on effective the DATEeleventh and bind