Approved Code No. 405 Registry No. 322-01

NATIONAL RECOVERY ADMINISTRATION

CODE OF FAIR COMPETITION

FOR THE

SHOE LAST AND SHOE FORM

INDUSTRIES

AS APPROVED ON APRIL 23, 1934

MEMBER

U.S.

WE DO OUR PART

UNITED STATES

GOVERNMENT PRINTING OFFICE

WASHINGTON: 1934

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Approved Code No. 405

CODE OF FAIR COMPETITION

FOR THE

SHOE LAST INDUSTRY

As Approved on April 23, 1934

ORDER

APPROVING CODE OF FAIR COMPETrIION FOR THE SHOE LAST INDUSTRY

AND SUPPLEMENTAL CODE FOR THE SHOE FORM 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 Shoe Last Industry, and Supplemental

Code for the Shoe Form Industry, and hearings having been duly

held thereon and the annexed report on said Codes, containing findings with respect thereto, having been made and directed to the

President:

NOW, 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 Codes comply 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 Codes of Fair

Competition be and they are hereby approved.

HuGu S. JOHNSON,

A dm 8ra~t or for In dustrial Reco'very.

Approval recommended:

A. R. GLANcY,

Division Adminiistrator.

WASHINGTON, D.C., April 03, 1934.

544O20-482-146-34 (451)
REPORT TO THE PRESIDENT

The PRESIDENT,

The White Haosse.

SIR: This is a report on the Code of Fair Competition for the

Shoe Last Industry and the Supplemental Code of Fair Competition

for the Shoe Form Industry. The hearing on the Code for the

Shoe Last Industry was conducted in Washington, D.C., on February 13, 1934, in accordance with the provisions of the National

Industrial Recovery Act. At the same hearing, without public

notice having been given, the Supplemental Code for the Shoe Form

Industry was presented for the consideration of the Administrator

but the formal hearing on this Code was conducted in Washington, D.C., on March 12, 1934, in accordance with the provisions of the

National' Industrial Recovery Act.

PROVISIONS ON HOURS AND WAGES

The maximum hours provided in this Code for both the Shoe Last

and the Shoe Form Industries are forty (40) hours per week and

eight (8) hours per day. It is also provided that employees (except

watchmen and those engaged in emergency maintenance or emergency repair work) may be employed only six (6) days in any seven

(7) day period. During seasonal or peak operations for eight weeks

in each six (6) months' period a tolerance of five (5) hours per

week is allowed and during these peak operations ten hours' work

per (lay is permitted in order to care for the rush seasonal orders

from shoe manufacturers. Employees engaged in executive or managerial capacities who regularly receive a salary of $35.00 a week or

more and outside salesmen are exempted from hourly limitations.

Employees who are model makers, pattern graders, tackers and

working foremen are permitted a tolerance of 12 % of the maximum weekly hours prescribed for both regular and peak seasons

and are permitted to work 10 hours per day during regular seasons

and 11 hours per day during peak seasons. It is provided that employees of this group who regularly receive less than $35.00 per

week shall be paid at one and one-third tines their normal rate of

pay for all hours worked in excess of eight (8) per day or in excess

of the weekly maxima prescribed.

Shipping clerks, outside truckmei, engineers and firemen are perMitted by the Code a tolerance of 192%,1 of the maximum hours per

week and may be permitted to work not more than 10 hours per day.

Watchmen may be permitted to work not more than 56 hours per

week.

Employees engaged on emergency maintenance or emergency

repair involving breakdowns or protection of life or property shall

be exempt from the hourly limitations prescribed in this Code but

(452)
453

shall be paid one and one-third times their normal rate of pay for all

hours worked in excess of 8 hours in any one day or of forty (40)

hours in any one week.

The minimum wage specified for this Industry is 40 cents per hour.

Messengers, office boys and office girls between the ages of 16 and 18

years and learners may be compensated at 80% of the prescribed

minimum wage rate but such employees shall not exceed 5% of the

total number of employees of an employer at any one time. Employees of limited capacity may be employed at less than the minimum rate under the usual prescribed conditions. Equitable adjustment of wages above the minimum is provided.

CHILD LABOR

The minimum age provided in this Code is 16 years but in machine

operations this age limit is increased to IS years.

ECONOMIC EFFECT OF THE CODE FOR THE SHOE LAST INDUSTRY

The majority of employees of this Industry are skilled workers.

There has been a decrease in the total number of employees of this

Industry during the last decade due to change in the manufacturing

process of the shoe industry so that fewer lasts are required and due

to increased productivity because of mechanical improvements. The

number of employees decreased from 1284 in 1929 to 700 in the

fourth quarter of 1932. This was increased to 791 in the third quarter of 1933 under the President's Reemployment Agreement but

declined to 742 in the fourth quarter after the peak season in the

Shoe Industry had passed. Before the President's Reemployment

Agreement became effective 79% of the employees worked in excess

of forty hours per week the maximum prescribed in this Code, but

practically all the members of the Industry have reduced their working hours under that agreement. The hours prescribed in the Code

will not, therefore, tend to increase employment above the present

figure.

The minimum rate of wages paid in this Industry before the President's Reemployment Agreement ranged upward from the 15 to 19.9

cents interval. In November, 1933, the minimum rate ranged upward

from the 25 to 29.9 cents interval. A small proportion of the employees of this Industry are unskilled and paid the minimum wage

rate, but in June, 1933, there were 15.7% of the employees receiving

less than 40 cents per hour, the minimum rate prescribed in this Code.

The equitable adjustments of wage rates above the minimum provided in the Code should somewhat increase the payrolls of this

Industry and the purchasing power of the employees.

ECONOMIC EFFECT OF THE CODE FOR THE SHOE FORM INDUSTRY

There are only seven members in this small industry, and one of

the seven is also a member of the Shoe Last Industry. Employment

is highly seasoinable following closely the seasons of the shoe industry. Factory employment decreased from 275 persons in 1929 to

135 persons in 1933 and sales decreased from approximately $600,-

000 in 1929 to approximately $400,000 in 1933. In June, 1933, approx-
454

imately 56.5% of the total factory workers were employed more than

the 40 hours prescribed as the maximum week in this Code but the

average work week was only 34.5 hours, many of the employees

working less than 20 hours per week.

While the maximum hours prescribed in this Code will not greatly

increase employment, the work will probably be spread more equitably. Substantially increased employment will only be assured by an

increased demand for the product. Because of the highly seasonal

nature of this industry the same tolerances in daily and weekly hours

which are permitted to the Shoe Last Industry are permitted to this

industry. The product is manufactured entirely on order and cannot

be manufactured for stock.

In June, 1933, approximately 24% of the factory workers received

less than the minimum wage of 40 cents per hour prescribed in this

Code, but two-thirds of these employees received wages ranging

between 35 and 39.9 cents per hour. This prescribed minimum with

equitable adjustment of wages above the mininmin should therefore

increase the weekly payrolls of this industry only slightly on the

present basis of production.

FINDINGS

The Assistant Deputy Administrator in his final report to me on

said Code and Supplemental Code having found as herein set forth

and on the basis of all the proceedings in this matter:

I find that:

(a) Said Code and Supplemental Code are 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 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 reducing and relieving unemployment, by improving standards of labor, and by otherwise rehabilitating industry.

(b) Said industries normally employ not more than 50,000 employees; and are not classified by me as major industries.

(c) The Code for the Shoe Last Industry and the Supplemental

Code for the Shoe Form Industry as approved comply 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 in

the case of the Shoe Last Industry the applicant association is an

industrial association, which, supplemented by non-members of the

association who cooperated in appointing the Code Committee and

in making application for a Code is truly representative of the

aforesaid industry; and that said association imposes no inequitable

restrictions on admission to membership therein; and that in the
455

case of the Shoe Form Industry in which no industrial association

exists the applicant group is truly representative of that industry

and has imposed no inequitable restrictions upon participation

therein.

(d) The Code and Supplemental Code are not designed to and

will not permit monopolies and monopolistic practices.

(e) The Code and Supplemental Code 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 steps of the economic process have

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

Code and Supplemental Code.

For these reasons, therefore, this Code and Supplemental Code

have been approved.

Respectfully,

HUGH S. JOHNSON,

Administrator.

APRIL 23, 1934.
CODE OF FAIR COMPETITION FOR THE SHOE LAST

INDUSTRY

ARTICLE I-PURPOSES

To effect the Policies of Title I of the National Industrial Recovery

Act, this Code is established as a Code of Fair Competition for the

Shoe Last Industry, and its provisions shall be the standard of fair

competition for such industry and shall be binding upon every

member thereof.

AIZmTE II--DEFINITIONS

SECTION 1. The term " Shoe Last Industry " as used herein is defined to mean the manufacture of shoe lasts, shoe trees, shoe stretchers,

tree feet, sole patterns, last templates and remodeled lasts; and such

related branches or subdivisions as are defined in supplements to

this Code or as may from time to time be included under the provisions of this Code by the Administrator after such notice and hearing as he may prescribe, but excluding metal lasts manufactured

for use by the rubber goods industry and also excluding the products

of this industry made by shoe manufacturers exclusively for their

own use.

SECTION 2. The term " member of the Industry " includes, but

without limitation, any individual, partnership, association, corporation, or other person engaged in the industry as above defined, either

as an employer or on his or its own behalf.

SECTION 3. The term " Employee " as used herein includes anyone

engaged in the industry in any capacity, excepting a member of

the industry, receiving compensation for his services, irrespective of

the nature or method of payment of such compensation.

SECTION 4. The term "Association " as used herein is defined to

mean the American Last Association.

SECTION 5. The terms "Act " and "Administrator " as used herein

shall mean, respectively, Title I of the National Industrial Recovery

Act and the Administrator for Industrial Recovery.

ARTICLE 11-HOURS

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

forty (40) hours in any one week, nor more than eight (8) hours

in any one day, except as provided in Section 2 of this Article, nor

more than six (6) days in any seven (7) day period.

SECTION 2. The maximum hours prescribed in Section 1 of this

Article shall not apply to:

(a) Employees engaged in excutive or managerial capacities who

regularly receive a salary of $35.00 a week or more, and outside

salesmen.

(456)
457

(b) Employees, during seasonal or peak operations, for any

eight (8) weeks of each six (6) months' period who may be permitted to work not more than forty-five (45) hours a week or more

than ten (10) hours a day.

(c) Model Makers, Pattern Graders, Tackers and working Foremen, who may be permitted a tolerance of twelve and one-half

(12%) per cent of the maximmu hours prescribed in Section 1, or

Section 2, Sub-section (b) of this Article during regular and peak

seasons provided that such employees shall not be permitted to work

more than ten (10) hours in a-,y one day during regular seasons,

nor more than eleven (11) hours in any one day during peak seasons

and provided further that such employees who regularly receive less

than $35.00 per week shall be paid not less than one and one-third

(113) times their normal rate of paty for all hours worked in excess

of eight (8) hours in any one day and for all hours worked in 1ny

one week in excess of the maximum hours prescribed in Section 1,

or Section 2, Sub-section (b) of this Article.

(d) Shipping clerks, outside truckmen, engineers, and fi remen,

who may be permitted a tolerance of twelve and one-half (121)

per cent of the maximum hours prescribed in Section 1, )1 Sectioin 2,

Sub-section (b) of this Article during regular and peak seasons but

who may not be permitted to work more than ten (10) hours ini any

one day.

(e) Employees oi emergency maintenance or emergency repair

work involving breakdowns or protection of life or property, providing time and one-third is paid for hours worked in excess of

eight (8) hours per day or in excess of forty (40) hours per week.

The limitations as to six (6) days in any one week as prescribed in

Section 1 of this Article shall not apply to such employees.

(f) Watchmen shall not be employed more than fifty-six (56) hours per week. The limitations as to six (6) days in any one week

as prescribed in Section 1 of this Article shall not apply ti Such

employees.

SECTION 3. All time worked on Sundays and legal holidays by

employees engaged in production shall be compensated at one and

one-half (11%)) times the normal rate.

SECTION 4. No employer shall engage any employee for any time

which, when totaled with that already performed with another emiployer or employers, exceeds the maximum hours prescribed in this

Article.

A 1mJLE, IV-W AGES

SECTION 1. No employee shall be paid at less than the rate of

forty (40) cents per hour or the rate of sixteen (16) dollars per

week.

SECTION 2. This article establishes minimum rates of pay, regardless of whether an employee is compensated on a time-rate, piecework,

or other basis.

SECTION 3. Female employees performing substantially the same

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

employees.

SECTION 4. Messengers, office boys or office girls between the ages

of 16 and 18, and learners shall be paid not less than 80% of the

54402*---482--146-2
458

minimum wage. providing that the number of all such employees

shall not exceed 5% of the total number of employees at any one

time and that no learner shall be compensated at less than the mininmum rate for a period in excess of two months.

SECTION 5. A person whose earning capacity is limited because

of age or physical or mental handicap may be employed in light

work at a wage below the minimum established by this Code if the

employer obtains from the State Authority designated by the United

States Department of Labor a certificate authorizing his employment

at such wages and for such hours as shall be stated in the certificate.

Such authority shall be guided by the instructions of the United

States Department of Labor in issuing certificates to such persons.

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

all such persons employed by him, showing the wages paid to, and

the maximnm hours of work for each employee.

SECTION 6. All employees who receive a compensation in excess

of the miiinmm shall receive an equitable adjustment in rate of

pay over the rate of pay in effect on June 16, 1933, unless such

equitable adjustments have been made since that date. Within

thirty (30) days after the. effective date of this Code, members of

the Indiustry shall report to the Code Authority and to the Administrator for his approval, all such equitable adjustments which have

beeni made since June 16, 1933.

ARTICLE V-GENERAL LABOR PRovIsIONs

SECTION 1. No person under 16 years of age shall be employed

in the Industry. No person under 18 years of age shall be employed

at machine operations. 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 issued by the authority in such

State, empowered to issue employment or age certificates or permits

showing that the employee is of the required age.

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

bargain collectively, through representatives of their own choosing, and shalt 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 11o one seeking employment shall be required

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.

(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.

SEcrIoN 3. 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, than are imposed by this Code.

SECTION 4. No employer shall reclassify employees or duties of

occupations performed or engage in any other subterfuge for the
459

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

this Code.

SECTION 5. Every employer shall make reasonable provisions for

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

hours of their employment. Within ninety days after the effective

date of this Code, the Code Authority shall submit reasonable

standards for safety and health to the Administrator for his approval. After such standards have been approved each employer

shall comply therewith.

SECTIoN 6. No member of the Industry shall permit aniy employees

to engage in any contract or contracts with another person or other

persons, whereby such person or persons work for such emnployee in

connection with the business of the member of the Industry.

SECTION 7. All employers shall post and thereafter maintain comnplete copies of the wage, hour, and other labor provisions of this

Code in conspicuous places accessible to employee.

ARTICLE VI-ORGANIZATION, POWERS A)ND DUTIEs OF THE CODE

AUTHORITY

A. ORGANIZATION

SECTION 1. A Code Authority, is hereby constituted to cooperate

with the Administrator in the administration of this Code.

SECTION 2. The Code Authority shall consist of seven (7) members

of the Industry and one member representing the Administrative

Agency of each Code of Fair Competition which is hereby or may

hereafter be approved as a Supplemental Code to this Code. Such

representative shall be the chairman or other Dmember designated

by each such Administrative Agency to represent it on the Code

Authority. The election of the seven (7) members of the Code Authority who represent the Shoe Last Industry shall be conducted

by a fair method to be approved by the Administrator. In addition thereto the Administrator, in his discretion, may appoint one

to three ion-voting members to the Code Authority to represent the

Administrator. The representatives who may be appointed by the

Administrator shall serve without expense to the Industry, and together with the Administrator shall be given notice of and may

attend all meetings of the Code Authority.

SECTION 3. Pending the selection of the Code Authority, the Code

Committee shall act as a temporary Code Authority for a period

not to exceed ninety (90) days from the effective date of this Code,

shall formulate and secure the approval of a fair method of electing

the Code Authority, and shall conduct such election.

SECTION 4. Any trade association, directly or indirectly participating in the selection or activities of the Code Authority, shall:

(a) Impose no inequitable restriction on membership; and

(b) Submit to the Administrator true copies of the Articles of

Association and By-Laws, regulations, and any amendments when

made thereto, together with such other information as to membership, and organization activities as the Administrator may deem

necessary to effectuate the purpose of the Act.

SECTION 5. In order that the Code Authority shall at all times

be truly representative of the Industry, and in other respects com-
460

ply 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, may require

an appropriate modification in the method of the selection of the

Code Authority.

SECTION 6. Each member of the Industry participating in and

sharing the benefits of the activities of the Code Authority and/or

participating in the selection of the members thereof, shall pay its

reasonable share of the expenses of its administration. Such reasonable share of the expenses of administration shall be determined

by the Code Authority, subject to review by the Administrator, on

the basis of volume of business and/or such other factors as may

be deemed equitable.

SECTION 7. Nothing contained in this Code shall constitute the

members of the Code Authority partners for any purpose; nor

shall any member of the Code Authority be liable in any manner

to anyone for an act of any other member, officer, agent, or employee of the Code Authority ; nor shall a member of the Code

Authority who is exercising reasonable diligence in the pursuance

of his duties hereunder, be liable except for his wilful misfeasance

or non-feasance.

B. POWERS AND DUTIES OF THE CODE AUTHORITY

The Code Authority shall have the following powers and duties,

subject to the right of the Administrator, on review, to disapprove

any action taken by the Code Authority.

SECTION 1. To adOpt by-laws and rules and regulations for its

procedure and for the administration of the Code, in accordance

with the powers herein granted, and to submit the same to the

Administrator for his review or disapproval, together with copies of

any amendments or additions when made thereto, minutes of meetings, and such other information as to its activities as the Administrator may deem necessary to effectuate the purposes of the Act.

SECTION 4. To coordinate the administration of this Code throughout the Industry, and with such other related Codes, if any, as may

affect the Indlstry.

SECTION 3. To present to the Administrator, either on its own

initiative or at the request of an interested party, recommendations

based on conditions in the industry as may develop from time to

time, for modification of or additions to the provisions of this Code.

Wheni any interested party presents proposals for amendments to

the Code Authority, the Code Authority shall present such proposals

to the Administrator, together with its recommendations for approval or disapproval. Upon approval by the Administrator and

after such notice and hearings as lie may prescribe, such amendments

shall become integral parts of this Code.

SECTION 4. Adinisistrative Agencies of supplemental codes may

make such rules and regulations as may be necessary to administer

this Code in their respective Divisions.

SECTION 5. The Code Authority may appoint such conmnittees or

agents as it may deem necessary and may delegate to them such of
461

its powers and duties as it may deem proper for the administration

of this Code; provided, however, that it shall reserve final responsibility as to any powers or duties so delegated. The Administrative

agencies hereby designated to administer the provisions of any supplemental codes of fair competition shall be the agencies prescribed

in such supplemental codes.

SECT1oN 6. Members of the Industry shall file with a neutral

agent or agents, selected by the Code Authority, at such time and in

such manner as may be, prescribed, statistics covering number of

employees, wage rates, employee earnings, hours of work, and such

other data as may be required for the administration of this Code.

All individual reports submitted shall be kept confident ial and only

general summaries thereof may be published, provided, however,

that any individual reports may be published with the written consent of anyone submitting such reports, or if necessary to legally

enforce the provisions of the Code.

SECTION 7. Such investigation as shall be necessary pursuant to

complaints of violation of provisions of this Code shall be Perforled

for the Code Authority by a disinterested agent or agents.

SECTION 8. If the Administrator shall determine that any action

of the Code Authority or any agency thereof may be 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 bv such

Code Authority or agency pending final action which shall not be

effective unless the Administrator approves or unless he shall fail

to disapprove after thirty (30) days' notice to him of intention to

proceed with such action in its original or modified form.

SECTION 9. In addition to information required to be submitted to

the Code Authority members of the Industry shall furnish statistical

information that the Administrator may deem necessary for the

urposes recited, in Section 3 (a) of the Act, to such Federal and

State Agencies as the Administrator may designate; no provision

of this Code shall relieve any member of the Industry of any existing obligation to furnish reports to Government Agencies.

SECTION 10. The Code Authority shall study the Industry with a

view to formulating a plan for the payment of compensation to employees for all idle time which such employees are required to spend

at the place of employment. Within ninety (90) days after the

effective date of this Code, the Code Authority shall submit its

recommendations with respect to such study and plan to the Administrator, who may, after such notice and hearing as he may prescribe,

approve such recommendations and/or plan which shall thereafter

become an integral part of this Code.

SECTION 11. The Code Authority may be incorporated as a nonprofit corporation.

ARTICLE VII-COsTS AND PRICEs

SECTION 1. The Code Authority shall formulate, within sixty (60)

days of the effective date of this Code, a uniform method of cost

inclusion and application, which shall specify the items which shall

be included in determining cost of production of each member of

the Industry. Upon the adoption by the Code Authority of such
462

method of cost inclusion and application and upon approval thereof

by the Administrator, complete advice concerning it shall be distributed by the Code Authority to every member of the Industry.

SECTION 2. Within twenty (20) days after the approval of this

Code, each member of the Industry shall publish to the trade and

file with the Code Authority a price list for all products of the Industrv sold or offered for sale by him, together with the discounts, if

any, allowed therefrom, and terms of payment. Revised price lists

or revised discounts or terms and conditions of sale may be filed with

the Code Authority and published to the trade from time to time

thereafter by any member of the Industry, provided, however, that

such revision shall become effective immediately upon telegraphic

acknowledgment to be made by the Code Authority the same day

such revision is received. No member of the Industry shall sell or

offer for sale any products of the Industry at prices other than at

the prices noted in his price list or on terms and conditions of sale

other than the terms and conditions of sale previously published to

the trade and filed by such member with the Code Authority in

accordance with the foregoing provisions and in effect at the time

of such sale.

SECTION 3. No member of the Industry shall sell the products of

the Industry at such prices or upon such terms and conditions of sale

as will result in the purchaser's paying for such products, less than

the cost thereof to the seller, except to meet the competition of another

member of the Industry, who is not selling in violation of this Code,

provided that notice of such price to meet competition shall be sent to

the Code Authority and provided that such competitive price may

be used only until such time as the Code Authority determines after

investigation, and notifies such member that sales below his allowable

costs are no longer necessary to meet competition. After the uniform

method of cost inclusion and application specified in Section 1 of this

Article shall have been approved by the Administrator, the cost below

which a member of the Industry shall not sell shall be determined

in accordance with this uniform method. Until such uniform method

of cost inclusion and application shall have been approved by the

Administrator the cost below which a member of the industry shall

not sell shall be determined by whatever cost accounting or bookkeeping system is employed b such member.

SECTION 4. No provisions N this Code relating to prices or terms

of selling shall apply to export trade or sales or shipments for export trade provided that the containers of all products sold for export shall be clearly labeled to indicate that such products are designed

for export shipment or trade.

ARTICLE VIII-TRADE PRACTICES

SECTION 1. The following practices constitute unfair methods of

competition and are prohibited:

(a) To publish advertising (whether printed, radio, display, or

of any other nature) which is misleading or inaccurate in any material particular or in any way misrepresents any commodity (including its use, trade mark, grade, quality, quantity, origin, size, material

content or preparation) or credit terms, values, policies, services, or
463

the nature or form of the business conducted, or differences in prices

on account of the transportation or selling costs.

(b) To knowingly withhold from, or insert in, any quotation or

invoice any statement that makes it inaccurate in any material

particular.

(c) To brand or mark or pack any commodity in any manner which

tends to deceive or mislead purchasers with respect to the brand,

grade, quantity, origin, size, material content, or preparation of such

commodity.

(d) To publish advertising which intentionally refers inaccurately

in any material particular to any competitors or their commodities,

prices, values, credit terms, policies or services.

(e) To publish or circularize unjustified or unwarranted threats

of legal proceedings which tend to or have the effect of harassing

competitors or intimidating their customers, and failure to prosecute

diligently such threats of legal proceedings. shall be evidence of such

harassment or intimidation.

(f) To secretly offer or make any payment or allowance of a rebate, refund, commission, credit, unearned discount, or excess allowance, whether in the form of money or otherwise, for the purpose of

influencing a sale, or to secretly extend to any customer any special

service or privilege not extended to all customers of the same class.

(g) To 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 representative of another in relation to the business of the employer of such employee, the principal of such agent

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

principal, or party. This provision shall not be construed to prohibit

free and general distribution of articles commonly used for advertising except so far as such articles are actually used for connercial

bribery as herein above defined.

(h) To give free samples of shoe lasts or sole patterns (wood, tin,

paper, or iron).

(i) To directly or indirectly discriminate in prices to different

purchasers of any product provided that nothing herein shall prevent differences in prices to allow for differences in grade, quality,

or quantity of the product.

SECTION. 2. No member of the Shoe Last Industry shall sell shoe

lasts, shoe trees, shoe stretchers, tree feet, sole patterns, last templates, and remodeled lasts on more favorable terms of credit than

five (5) per cent 10th proximo, net sixty (60) days.

ARTICLE IX-APPEALS

SECTION 1. Any interested party shall have the right of complaint to the Code Authority and prompt hearing and decision

thereon under such procedure as it shall prescribe in respect to any

rule, regulation, order, or finding made or course of action pursued

by the Code Authority.

SECTION 2. Any interested party shall have the right of appeal to

the Administrator under such procedure as he shall prescribe in respect to any decision, rule, regulation, order, or finding made or

course of action pursued by any agency pursuant to this Code.
464

ARTICLE X-MONOPOLIES

No provision of this Code shall be interpreted or applied in such a

manner as to promote or permit monopolies or monopolistic practices

or to eliminate, oppress, or discriminate against small enterprises.

ARTICLE XI-MODIFICATIONS

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 National' Industrial

Recovery Act, from time to time to cancel or modify any order, approval, license, rule, or regulation issued under Title I of the said

Act and specifically but without limitations to the right of the President to cancel or modify his approval of this Code 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 shall specify, and

to become effective on approval of the Administrator.

ARTICLE XII

SECTION 1. The provisions of the Supplemental Code of Fair Competition for the Shoe Form Industry are hereby made a part of this

Code; this Code shall apply to members of the Shoe Form Industry

as defined in Article II of that Supplemental Code to the extent

that the provisions of this Code are not inconsistent with the provisions of that Supplemental Code.

ARTICLE XIII-E=FcTIvE DATE

This Code shall become effective on the second Monday after it

shall have been approved by the Administrator.

Approved Code No. 405.

Registry No. 322-01.
SUPPLEMENTARY CODE OF FAIR COMPETITION FOR

THE SHOE FORM INDUSTRY

A DIVISION OF THE ShoE LAST INDUSTRY

ARTICLE I

The provisions prescribed in the Code of Fair Competition for the

Shoe Last Industry to which this Code is a supplement are made

conditions of this Supplemental Code and are specifically incorporated herein and made a part hereof and shall be binding upon every

member of the Shoe Form Industry as defined in Article II except

in so far as the provisions of this Supplemental Code constitute exemptions from or are inconsistent with the provisions prescribed in

the said Code of Fair Competition for the Shoe Last Industry.

ARTICLE II-DEFINITIONS

SECTION 1. The term " Shoe-Form Industry'* as used herein is

defined to mean the manufacture for sale of Shoe Forms and Hosiery

Forms made of Fibre, Celluloid. Wood, or any other material.

ARTICLE III-ORGANIZATION, POwERS, AND DUTIES (I THlE ADM INI;-

TRATIVE AoENCY

Article VI, A, Section 1 and 2 of the Code of Fair Competition for

the Shoe Last Industry shall not be applicable to the Shoe Form Industry and Sections 1 ain( 2 as hereinafter set forth shall be substituted therefor.

SECTION 1. An Administrative Agency hereinafter referred to as

the Agency is hereby constituted to cooperate with the Administrator in the administration of this Supplemental Code.

SECTION 2. The Agency shall consist of one designated representative of each member of the industry who assents to this Code. In

addition thereto, the Administrator, in his discretion, may appoint

one to three non-voting members to this Agency to represent the

Administrator. The representatives who may be appointed by the

Administrator shall be given notice of and may attend all meetings

of the Agency. Members appointed by the Adhministirator shatl

serve for terms of from six months to one year, provided, however,

that the terms of such members shall not expire at the same time.

Within ten days after the approval of this Code the meniber of the

Industry who has been authorized to approve the Code for the

Industry shall call such representatives together at a specified time

and place for the purpose of organizing as the Administrative

Agency of this Code. The Chairman, or other designated representative of this Agency, shall be a member of the Code Authority of

the Shoe Last Industry and represent the Shoe Form Industry

thereon.

(465)
466

B. POWERS AND DUTIES OF THE ADMINISTRATIVE AGENCY

The Administrative Agency shall have the same powers and

duties with respect to the Shoe Form Industry to the extent permitted by the Act as those established for the Code Authority of

the Shoe Last Industry in Article VI B of the Code of Fair Competition for the Shoe Last Industry of which this Code is a

supplement.

ARTICLE IV

SECTION 1. The Shoe Form Industry shall not be governed by

the provisions relative to open prices set forth in Article VII, Section 2 of the Code of Fair Competition for the Shoe Last Industry

to which this Code is a supplement.

ARTICLE V-TRADE PRACTICES

SECTION 1. Article VIII, Section 1, subsection (h) of the Code

of Fair Competition for the Shoe Last Industry shall not be applicable to the Shoe Form Industry and the following shall be substituted therefor:

To give free samples other than one-half pairs of shoe forms, hosiery forms or shoe trees for the purpose of illustrating definite

quotations.

SECTION 2. Article VIII, section 2, of the Code of Fair Competition for the Shoe Last Industry, shall not be applicable to the

Shoe Form Industry and the following shall be substituted therefor:

No member of the Shoe Form Industry shall sell shoe forms on

more favorable terms of credit than 2% 10th proximo, net 30 days

E.O.M.

SECTION 3. No member shall fail to charge customers at cost on

the original order for the first pair of each style, size and width

of Shoe Form Models or Moulds used in the production of Shoe

Forms. Such charge shall be specified in the invoice covering such

forms.

ARTICLE VI-EFFECTIVE DATE

This Code shall become effective on the second Monday after it

shall have been approved by the Administrator.

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UNIVERSITY OF FLORIDA

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