Approved Code No. 347-Supplement No. 37 Registry No. 1399-52 

NATIONAL RECOVERY ADMINISTRATION 

SUPPLEMENTARY 

CODE OF FAIR COMPETITION 

FOR THE 

CONCRETE MIXER INDUSTRY - (A Division of the Machinery and Allied Products Industry) 

AS APPROVED ON AUGUST 1, 1934 

WE DO OUR PAR? 

0 :- . ,. ,, . ~---

' .DEP~~~~ UNITED STATES 

GOVERl\TMENT PRINTING OFFICE 

W ASIDNGTON: 1934 

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

Printing Office, Washington, D.O., 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, Mass. : 1801 Customhouse. 

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

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

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

Cleveland, Ohio : Chamber of Commerce. 

Dallas, Tex.: Chamber of Commerce Building. 

Detroit, Mich.: 801 First National Bank Building. 

Houston, Tex. : Chamber of Uommerce Building. 

Indianapolis, Ind. : Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Calif.: 1163 South Broadway. 

Louisville, Ky.: 408 Federal Building. 

Memphis, Tenn. : 229 Federal Building. 

Minneapolis, Minn. : 213 Federal Building. 

New Orleans, La.: Room 225-A, Customhouse. 

New York, N.Y.: 734 Customhouse. 

Norfolk, Va.: 406 EJast Plume Street. 

Philadelphia, Pa.: 422 Commercial Trust Building. 

Pittsburgh, Pa. : Chamber of 0Qmmerce Building. 

Portland, Oreg.: 215 New Post Office Building. 

St. Louis, Mo.: 506 Olive Street. 

San Francisco, Calif. : 310 Ou tomhouse. 

Seattle, Wash.: 809 Federal Office Building. 
• Approved Code No. 347-Supplement No. 37 

SUPPLEMENTARY CODE OF FAIR COMPETITION 

FOR THE 

CONCRETE MIXER INDUSTRY 

As Approved on August 1, 1934 

ORDER 

APPROVING SuPPLEMENTARY CoDE OF FAIR CoMPETITION FOR THE CoNCRETE MIXER 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 Concrete Mixer Subdivision of Machinery and Allied Products Industry, and a hearing 

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 : 

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 Supplemental Code complies in 

all respects with the pertinent provisions and will promote the policy and purpose 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 th~ following conditio_ns: 

( 1) That the provisions of Article VIII, Sections (a) and (b), 

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 revised price lists or revised terms and conditions 

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

and 

(2) That the provisions of Article IX, Sections 8, 11-A and 12 

be and they hereby are stayed pending my further order. 

HuoH S. JoHNsoN, 

Administrator for Inrltustrial Recovery. 

Approval recommended : 

BARTON w. MURRAY, 

Division Administrator. 

wASHINGTON, D.C., 

August 1, 1934. 

77615°----1044-12----34----1 (1) 
REPORT TO THE PRESIDENT 

The PREsiDENT, 

The White House. 

Srn: This is a report on the Supplemental Code of Fair Competition for the Concrete Mixer Subdivision of Machinery and Allied 

Products Indu try, a public hearing on which was held in W ashinS"-

ton, D.C., on December 21, 1933. The hearing was conducted 1n 

full accordance with the provisions of Title I of the National Industrial Recovery Act. 

GENERAL STATEMENT 

The Concrete Mixer Subdivision, being truly representative of the 

manufacturers of 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 

March, 1934. 

This Subdivision includes the manufacture for sale of concrete 

mixers of the building mixer, paving mixer, truck mixer and agitator 

type, and parts thereof. 

ECONOl\110 EFFECT 

The Annual sales of this Subdivision for the years 1928 to 1933 

were as follows: 1928, $11,968,000; 1929, $11,686,000; 1930, $8,583,000; 

1931, $6,043,000; 1932, $2,345,000. 

Annual sales in this Subdivision declined steadily from $11,6861

-

000 in 1929 to a minimum of $2,345,000 in 1932, or 80 per cent. Estimated sales for the first seven months in 1933 were placed at $7 41,000, 

and on this basis are not like~y to equal the 1932 level. 

As of June 15, 1929, the Subdivision employed 1,697 persons including offi.ce employees; as of October 15, 1933; total employment 

had declined to 337 persons, or 80 per cent below the previous period. 

Factory employmtmt, as of June 15, 1929, declined from 1,404 to 

266 workers as of June 15, 1933, or 81 per cent. Thereafter employment increased again to approximately 273 workers, or 3 per cent 

as of October 15, 1933, the latest date for which figures are available. 

Since 1929, man-hours decreased from 67,673 to 6,727, or 90 per 

cent. The latest available figure on factory employment for the 

fourth quarter in 1933, is 273 workers and assuming that the Department of Labor figures are representative of the hours worked in this 

Subdivision, total estimated man-hours have increased 36 per cent 

since October 15, 1933. Based on man-hour requirements as of the 

latest date reported, the 40-hour week provision in the Code will 

cause little further employment in this Subdivision in 1934 until 

production increases. If it is assumed that 20,000 man-hours are 

representative of the volume of increased production activity and a 

reasonable measure of man-hour requirements in a more normal 

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

(2) 
3 

approximately 500 factory employees, or 35.6 per cent of the June 

15, 1929 level. 

The probability that all employees in this Subdivision will be 

working to the limit of the maximum 40-hour provision is remote; 

consequently, the average work week is likely to be shorter, say 36 

assumecL effective hours, and employment correspondingly greater ; 

viz., 556 workers will be required to produce the 20,000 man-hour 

volume. 

The minimum wage provisions for the Subdivisions which are 

operating under the Code of the Machinery 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 differentials 

for all other sections of the United States: Over 50,000 population, 

40 cents per hour; 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 operation 

shall be not less than 87.5 per cent of the proper rate for the locality 

in which employed as specifi ed ; and that the minimum in the South 

shall be not less than 32 cents per hour. 

Estimated number of factory workers reoeivmg less than designated hourly rates 

Distribution or factory workers receiving Jess than the minimum reProposed minimum hourly rates gardless of location 

Approximate Approximate 

percent number 

-

40 cents (other U.S ~ ___ --------------------------------------------------- 19.9 53 

38 cents ~other U.S. --------------------------------------------------- 15. 8 42 

36 cents other U.S. ____ ----------------------- _ --- ___ ----------_ ------ 11. 6 31 

32 cents (South)----------------------------------------------------- 4. 6 12 

Based on the distribution as of J un.e 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 estimated increase as of June 15, 1933, regardless of 

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

conditions, not exceed about 2 per cent assuming only upward 

adjustment in the brackets below the 40-cent minimum and no 

change in man-hour requirements. 

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 Code of Fair Competition for the Machinery and 

Allied Products Industry. 
4 

Article IV provides for the adoption of Articles IT, VI, VIII, 

and IX of the Code of Fair Competition for the Machinery and 

Allied Products Industry. 

Article V provides for the establishment of a Code Authority and 

defines its powers and duties. 

Article 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 offered for sale below a reasonable cost when the Code Authority determines that an emergency exists within the Subdivision. 

Article VIII provides for methods of setting up, revising and filing 

price lists and discount sheets and terms of sale and ~ayment. 

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. 

Article XI provides that this Supplemental Code and all the provisions thereof are expressly made subj'ect 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 subniltted 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 small enterprises. 

Article XIII states the effective date of this Supplemental Code. 

FINDINGS 

The 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 in this matter: 

I find that: 

(a) Said Supplemental. Code is well ~esigned to promote the 

policies and purposes of Title I of the N atwnal Industnal 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 co:rupe.titive practices, by promotinO' 

the fullest possible utilization of the present productive capacity of 

industries, by avoiding undue restriction of production (except as 

may be tem1Jorarily 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 Subdivision normally employs not more than 50,000 

em.Ployees; 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 
5 

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 

monopolies or monopolistic practices. 

(e) The Supplemental Code is not designed to and will not elimi· 

nate 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 

Supplemental Code. 

For these reasons, therefore, I have approved this Supplemental 

Code, proYided that certain provisions relating to price publication 

are stayed as stated in the Order. 

Respectfully, 

HuaH S. JoHNSoN, 

A dn1inis trat or. 

AuausT 1, 1934. 
SUPPLEMENTARY CODE OF F.AIR COMPETITION FOR 

THE CONCRETE MIXER INDUSTRY 

A DIVISION OF TH.E MACHINERY AND .ALLIED PRODUCTS INDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the policy o± Title I of the National Industrial Recovery Act~ the following provisions are established as a Supplemental Code of Fair Competition for the Concrete Mixer Subdivision of the Machinery and Allied Products Industry, and together 

with the Code of Fair Competition for the Machinery and Allied 

Products Industry, to which it is a SupJ?lement, shall be the standard of fair competition for this Subdivision, and shall be binding 

on each employer therein. 

ARTICLE II-DEFINITIONS 

"Applicant" means the Concrete Mixer Manufacturers Institute, all members of which are engaged in the manufacture for sale 

of the products of the Concrete Mixer Subdivision of the l\tlachinery 

and Allied Products Industry. 

" I ndW3try" means the Machinery and Allied Products Industry, 

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

President March 17, 1934, and as such definition may from time 

to time be amended. 

"Subdivision" means this Concrete Mixer Subdivision of the 

Machinery and Allied Products Industry as defined and set forth 

in Paragraph (6) of Article II of the Code of Fair Competition for 

the Machinery and Allied Products Industry as follows: 

"Concrete :Mixer Subdivision means the manufacture for sale 

of concrete mixers of the building mixer, paving mixe.r, truck 

mixer, and agitator type, and parts thereof, and includes all those 

engaged in such manufacture for sale." 

"Code" means the Code of Fair Competition for the Machinery 

and Allied Products Industry, as approved by the President, and 

as from time to time amended. 

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

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

or other entity. 

"E1nplrYyer" means any person engaged in this Subdivision of 

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

"Employee " means any one who is employed in the Subdivision 

by any such employer. 

"The Act" means Title I of the National Industrial Recovery 

Act. 

"The President" means the President of the United States. 

(6) 
7 

"The Aitrninistrator" means the Administrator for Industrial 

Recovery. 

"Basic Code Authority" means the Code Authority for the Machinery and Allied Products Industry as constituted by the Code. 

" Code Authority " means the Code Authority constituted for 

this Subdivision as provided by the Code and by this Supplemental 

Code. 

"Group Code Authority" means the Code Authority for any 

group or classification of products within this Subdivision, constituted under the authority of Article V of this Supplemental 

Code. 

"Publish" means to make available to the public. 

ARTICLE III-EMPLOYMENT PROVISIONS 

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

Hours "; Article IV, " Wages "; and Article V, " General Labor 

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

with the same effect as if they were written into this Supplemental 

Code. 

ARTICLE IV-ADOPTION o~ OTHER PRoVISIONs oF CoDE 

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

Article VI, "Administration", to the extent that they shall be applicable to this Supplemental Code as such or as it may hereafter be 

administered as an autonomous Code: Article VIII, "Modifications 

and Termination"; Article IX, "vVithdrawal "; are hereby made a 

part of this Supplemental Code with the same effect as if they were 

written into this Supplemental Code. 

ARTICLE V-ORGANIZATION AND ADMINISTRATION 

A Code Authority is hereby constituted to effectuate the administration of this Supplemental Code. 

1. (a) During the period not to exceed sixty days following the 

effective date of this Supplemental Code, the Executive Committee 

of the Concrete ~1ixer Manufacturers Institute shall constitute a temporary Code Authority. This Comn1ittee shall consist of five members, and the Administrator, in his discretion, may appoint one 

additional member (without vote and without expense to the Subdivision). 

To permit representation of employers who are not members of 

the Applicant, the latter shall, within sixty days after this Supplemental Code shall become effective, set up a permanent Code Authority to succeed the temporary Code Authority. Such permanent 

Code Authority shall be elected at a meeting of employers called by 

the Temporary Code Authority. Ten (10) days' notice of such 

meeting shall be sent by registered mail to !\II known employers in 

this Subvision and the notice shall specifically state that voting at 

the meeting may be in person or by proxy. This permanent Code 

Authority shall consist of five members, and in addition thereto, the 

Administrator's appointee (if any) as referred to in the paragraph 

next above. 

77615°----1044-12----34----2 
8 

'Any vacancy on the Code Authority due to death, resignation, or 

because a member thereof has ceased to be connected with the Subdivision, shall be filled at a meeting of employers called by the 

Code Authority on at lea t ten days' notice by registered mail sent 

to all employers in this Subdivision, and by a vote similar to the 

vote by which the retired member was originally selected. 

The members of the Code Authority shall be elected by a vote of 

the employers, voted by person or proxy at such a meeting, as 

follows: 

Three members shall be elected by a simple majority vote, one 

of whom shall be chosen from those companies who manufacture 

building mixers, one of whom shall be chosen from those companies 

who manufacture paving mixers, and one of whom shall be chosen 

from companies manufacturing truck or agitator mixers. 

Two members shall be elected from the membership at large by 

a 51% vote weighed on the basis of one vote for the first $250,000.00 

sales of products of the Industry and a second vote for sales in 

e~cess of this amount, made in the two preceding calendar years 

as reported to the Secretary of the Applicant, but each employer ~hall have at least one vote. 

Members of the Code Authority shall hold office for one year 

or until their successors are elect-ed and qualified. 

Any employer in the Subdivision shall be eligible for membership 

in Applicant. 

(b) Aggregations of employers having a common interest and 

common problems may be grouped by Code Authority for administrative purposes into various groups, or product classifications. 

In each group or product classification there may be a Group 

Code Authority approved, or appointed, by Code Authority. If 

formal complaint is made to Code Authority that provisions of 

this Supplemental Code have been violated by any employer, the 

Code Authority or proper Group Code Authority may cause such 

investigation to be made, to the extent permitted by the Act, as 

may be deemed necessary, and if the investigation has been made 

by Group Code Authority it shall report the results of such investigation to Code Authority for appropriate action. 

The Code Authority shall, to the ·extent permitted by the Act, 

have the right to investigate and analyze any transaction coming 

under the scope of this Supplemental Code, on which any unfair 

competition is alleged, to show evidence of guilt or . innocence of 

the employer so charged. 

2. It being found necessary in order to support the Administration 

of this Supplemental Code and to maintain the standards of Fair 

Competition established hereunder and to effectuate the policy of the 

Act, 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 may be raised as hereinafter provided and which 

shall be held in ~rust for the purposes of the Supplemental Code; 

(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 
9 

to support such budget shall be contributed by employers of the 

Subdivision; 

(c) After such budget and ba is of contribution have been approved by the Administrator, to determine and obtain equitable contribution as above set forth by all employers of the Subdivision, and 

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

its own name. 

3. Each employer of the Subdivision sh all pay his or its equitable 

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

and regulations pertaining thereto issued by the Administrator. 

Only employers of the Subdivision complying with the Supplemental Code and contributing to the expenses of its administration 

as hereinabove provided, unless duly excepted from making uch 

contributions, shall be entitled to participate -in the selection of members of the Code Authority or to receive the benefits of any of its 

voluntary activities or to make u e of any emblem or insignia of the 

National Recovery Administration. 

4. The Code Authority shall neither incur nor pay any obligation 

in excess of the amount thereof as estimated in its approved budget, 

except upon approval of the Administrator; and no subsequent 

budget shall contain any deficiency item for expenditures in excess 

of prior budget estimates except those which the Admini trator shall 

have so approved. 

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

representative of the Subdivision and in other respects comply with 

the provisions of the Act, the Administrator may provide 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 selection of the Code 

Authority, or any Group Code Authority. 

ARTICLE VI-AccouNTING AND CosTING 

Code Authority shall cause to be formulated an accounting system 

and methods of cost finding and/or estimating capable of use by all 

employers of the Subdivision. After such system and methods have 

been formulated, full details concerning them shall be made available 

to all employers. Thereafter all employers shall determine and/or 

estimate costs in accordance with the principles of such methods. 

ARTICLE VII-SELLING BELow REASON ABLE CosT 

SECTION 1. When the Code Authority determines that an emergency exists in this Subdivision and that the cause thereof is destructive price-cutting such as to render ineffective or seriously endanger 

the maintenance of the provisions of this Supplemental Code, the 

Code Authority may cause to be determined the lowest reasonable 

cost of the products of this Subdivision, -such determination to be 

subject to such notice and hearing as the Administrator may require. 

The Admini trator may approve, disapprove, or modify the determination. Thereafter, during the period of the emergency, it shall 
10 

be an unfair trade practice for any employer o£ the Subdivision to 

sell or offer to sell any products of the Subdivision for which the 

lowest reasonable cost has been determined at such prices or upon 

such terms or conditions of sale that the buyer will pay less therefor 

than the lowest reasonable cost of such products. 

vVhen it appears that conditions have changed, the Code Authority, 

upon its own initiative or upon the request of any interested party, 

shall cause the determination to be reviewed. 

SECTION 2. The foregoing Section (1) shall not apply to (a) 

dropped lines, or (b) seconds, or (c) inventories which must be. con- verted into cash to meet emergency needs, all of which may be disposed of by any employer at any price and on any terms or conditions, but only if such employer, not less than two weeks before such 

proposed dispo al, has filed with Code Authority, a statement in 

writing setting forth the facts of, and reasons for, such proposed 

dispo al and the price and terms and conditions of sale, and Code 

Authority has not, (with the approval of the Administrator), before 

the termination of such two week period, in writing, disapproved 

the proposed disposal. Notice of such dispo al, if not disapproved, 

shall be sent immediately to all employers manufacturing products 

of equivalent design, character, quality or specifications, who may 

sell such products at prices and on terms and conditions as favorable 

as those stipulated in the proposed disposal, when meeting the competition of such proposed disposal. 

SECTION 3. The foregoing Section (1) shall not apply to a sale 

made in order to meet competition on products manufactured outside the United States. For such disposal, any employer may sell, 

at prices and on terms and conditions as favorable as those of the 

competing foreign product, but only if he has first reported to the 

Code Authority his intention so to sell, and the facts as to the competition which justifies such action. 

ARTICLE VIII-PRICE LISTS 

(a) If and when the Code Authority determines that in any group 

of the Subdivision it has been the generally recognized practice 

io sell a specified product on the basis of net price lists, or price lists 

with discount sheets, and fixed terms of sale and payment, each 

manufacturer of such product shall, within ten (10) days after 

notice of such determination, file with Code Authority a net price 

list, or a price list with discount sheet, as the case may be, individually 

prepared by him showing his current prices, or prices and discounts, 

and terms of sale and payment, and the Code Authority shall immediately publish and send copies thereof to all known manufacturers of such specified products who are cooperating under this 

Code as described in Article V, Section (a) . Revised price lists and/ or discount sheets and/or terms o£ sale 

and paYJnent may be filed from time to time thereafter with the 

Code Authority by any manufacturer of such product, to become 

operative upon the date specified therein, but such revised price 

lists and/or discount sheets andjor terms of sale and payment shall 

be filed with the Code Authority ten ( 10) days in advance of the 
11 

operative date. Copies thereof, with notice of the operative date 

specified, shall be rmmediately published and sent to all known 

manufacturers of such product, any of whom may file, if he so 

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

terms of sale and paym~mt, which shall become effective upon the 

date when the revised price lists andjor discount sheets andjor 

terms of sale and payment first filed shall go into effect.

1 

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

group of the Subdivision not now selling its products on the basis of 

price lists, with or without discount shoots, with terms of sale and 

payment, the distribution or marketing conditions in the group are 

the same as, or similar to, the distribution or marketing conditions in 

a group where the use of price lists, with or without discount sheets, 

and terms of sale and payment is well recognized, and that a system 

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

terms of sale and payment should be put into effect in such group, 

then each manufacturer of the product or products o£ such group 

shall within twenty (20) days after notice of such determination, 

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

·sheets, with terms of sale and payment, showing his prices and discounts and terms of sale and payment, and such price lists andjor 

discount sheets andjor terms of sale and payment may be thereafter 

revised in the manner hereinbefore provided; and such methods of 

pricing and revisions thereof shall be " published and sent " as described in Article VIII (a). Provided that Code Authority shal~ 

make no determination to place any product of the Subdivision (not 

now on a price list basis) on a price list basis, as provided in this 

paragraph (b) of Article VIII unless affirmative consent to such 

determination is given by a 6~%% vote of the employers who are cooperating in this Code and who are at that time engaged in manufacturing such product. The eligibility requirements, method, and 

effect of such voting shall be the same as is provided by Article V. 

No employer shall sell directly or indirectly by any means whatsoever, any product of the Subdivision covered by provisions of this 

Article VIII at a different price, or on more favorable terms of sale 

and payment, than those provided in his own current net price lists, 

or price lists. and discount sheets, and terms of sale and payment.1 

An'I'ICLE IX-TRADE PRACTICES 

Definition of" neta " and" u.sed" Products.-In this Supplemental 

Code, the phrase "new ,. product shall mean any product which has 

not previously been sold and placed in the possession of the pur- chaser and which product has not been used, exclusive of discontinued 

models and repair parts. In this Supplemental Code, the phrase 

"used" product shall mean a product which has previously been 

used by a purchaser, or renter, or used as a demonstrator prior to 

the date of this Supplemental Code, or a discontinued model. 

SECTION 1. Published Prices.-Published prices shall include shipping weights and all prices shall be f.o.b. employer's works, subject 

to the provisions of Section 9. 

1 See paragraph 2 (1) of order approving this Code. 
12 

SECTION 2. Firm Orders R equired.-New products shall be sold 

only under firm sales contracts or firm purchase orders, and such 

contracts or orders shall provide for shipment within ninety (90) 

days of the date of contract or order, with the exception of orders or 

contracts for shipment of pavers, truck mixers or agitators before 

April 15th of any year when taken between the preceding October 

15th and January 15th, and accom_panied by a cash deposit of not 

less than 10% of the price of the product so to be shipped. 

SECTION 3. Payments in (Jash.-Terms of payment shall specify 

that all payments on account of the purchase price of a new product 

shall be made when due in cash or negotiable check. 

SECTION 4. Down Paym,ent in DefeT·red-Paymrent Sales.-In the 

case of a sale to the user of a new product on deferred payment terms, 

the contract of sale shall- call for a ca h down payment of not less 

than 25 % of the total f.o.b. sales price either before the time of 

shipment or by sight draft with bill of lading attached. 

SECTION 5. Installments in Def erred-PaynMnt .8ales.-In the case 

of a sale to the user of a new product on deferre-d payment terms, 

the contract of sale shall require that the un paid balance of the 

purchase price be payable in equal installments due no less frequently 

than monthly, the first installment to be payable in not more than 

thirty (30) days from the date of shipment, the last installment 

to be payable in not more than nine (9) months from date of shipment in respect to sales of paving mixers, truck mixers and agitators, 

and four ( 4) months from the date of shipment in regard to sales 

of building mixers ; each installment shall be evidenced by a note 

bearing interest at not less than the rate of six per cent ( 6%) per 

annum unless the State law governing the contract specifies a lower 

maximum rate of interest from the date of shipment. 

SECTION 6. 0 Mh Discount.-Cash discount terms on sales of new 

products shall not exceed five percent (5 % ) for cash within ten (10) 

days after shipment, or sight dra-ft against bill of lading. Cash 

discounts shall be figured upon the f.o.b fa ctory price. 

SECTION 7. 0Mh .8ales.-No employer shall make sales of new 

products on a cash basis, where no cash discount is involved, unless 

the contract of sale requires that full payment in cash be made by 

the purchaser within thirty-five (35) days from the date of shipment. 

SECTION 8. Guarantees.-N o employer shall guarantee any product 

except against defective material and workmanship, and no guarantee on any product shall extend over a period exceeding six (6) 

months from date of shipment of such product.2 

SECTION 9. Governmental Oontracts.-In view of the legal and 

other requirements of Governmental bodies in a warding contracts 

for the purchase of machinery by such bodies, and in order that 

members of the Subdivision may be in a position to bid fairly on 

such contracts without violating the applicable provisions of this 

Supplemental Code, any employer may quote a delivered price to 

the Federal Government, or any State, County, or Municipal Government, on any product of the Subdivision, which shall be not less 

than tl~e lowest delivered price for any competing product of the 

same s1ze and sptcification. The term "delivered price" as used 

2 See paragraph 2 (2) of order approving this Code. 
13 

herein shall mean tlie published price of the com~eting product plus 

actual transportation charges on such product from its factory to 

point of delivery; provided further that any employer may quote, 

under the circumstances described hereinabove, cash discount terms 

from date of acceptance at destination. 

SECTION 10. Repairs and Replacement Parts.-So long as the 

maker (or his successor in business) of any product of the Subdivision bearing the maker's name or trademark, which has required 

special design, research or development expense, continues to make 

and supply such spare, repair and replacement parts therefor, it 

shall be an unfair trade practice for any other employer to manufacture any repair parts for such product of the Subdivision unless 

the name of such other person manufacturing such repair part shall 

be plainly marked on the part (or, if this be impracticable, on the 

package or tag) so that the ultimate user may be clearly informed 

that such repair part was not made by the original maker (or successor to such maker) of the product of the Subdivision f or which 

said repair part is manufactured. 

SECTION 11. Further Unfair TraJCle P1YJJctices.-Ench of the following practices is prohibited as constituting unfair competition: 

A. Rentals.-The renting of any new :product, with the exception of building mixers up to and including the 10-S size, which 

may be rented, provided that no rental paid on such products shall 

be applied against the purchase price of such products ; provided 

further that the renting of truck mixers is not prohibited where sold 

under a lease form of contract where full list price is paid and 

where title to the equipment at no time passes to the customer; and 

provided further, however, that this paragraph shall not apply to 

the first installation of a new product of an experimental nature. 

This provision shall not prevent the selling of products of the Subdivision on bailment leases in those States where such transactions 

are legally recognized. 3 

B. Trials and De1nonstration.s.-Selling any new product subject 

to acceptance after a trial or demonstration on the purchaser's job, 

provided, however, that in any case of the fiTst new product of any 

distinctly new type or size, with new model designation, if no machine of the same type and size has previously been sold, or in any 

case where a machine may be sold to be employed for a distinctly 

recognized new use, any employer may include in the contract of sale 

a provision permitting recision of the contract by the customer within 

ninety (90) days from date of shipment. C. Trade-ins.-Taking or purchasing any used machil'le or attachment, used equipment or any othe.r propert:>:, iJ?- trade on ~he 

purchase price of a new product, or directly or 1ndrrectly making 

any allowance thereon, or granting credit therefor. 

D. Lu1np Sum Bidding and Contingent Selling.-The sale of ~n.y 

product upon other than a unit price basis. This sha~l not prohi~It 

the granting of quantity discounts in accordance with filed pnce 

lists. 

The making of any contract for the furnishing ?f any product 

contingent upon the sale or purchase of any other thing. 

a See paragraph 2 (2) of order approving this Code. 
14 

E. Dwcontinued or Non-Current Model M achines.-The sale or 

offering for sale of any discontinued or non-current model product 

as a new model or current machine; provided further that when a 

discontinued or non-current model machine is offered for sale, the 

quotation to the prospective purchaser shall show, in writing, the 

age of the discontinued or non-current model product, and the serial 

number and price thereof. 

F. S ecret Reba.tes.-N o employer shall 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, nor shall an employer of the Subdivision secretly offer 

or extend to any customer any special service or privilege not extended to all customers of the same class, for the purpose of influencing a sale. 

G. B'ribing E1nployees.-N o employer shall give, permit to be 

given, or 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 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 commercial bribery as hereinabove defined. 

H. Inaccurate Advertising.-No employer shall publish advertising (whether printed, radio, display or of any other nature) which is 

misleading or inaccurate in any material particular, nor shall any 

employer in any way misrepresent any goods (including but without limitation its use, trademark, grade, quality, quantity, origin, 

size, substance, character, nature, finish, material, content, or preparation) or credit terms, values, policies, services, or the nature or 

form of the business conducted. 

I. Patent lnfringement.-The publishing or· circularizing of any 

threat of suit for infringement of patent or trademark, or of any 

other legal proceedings, not in good faith, which would tend to harass 

competitors or intimidate their customers. 

J. Detailed Drawings.-The furnishing to any purchaser, and/or 

his agent, directly or indirectly of detailed drawings of the products 

of this Subdivision without filing a statement of such proposed 

transaction with the Code Authority which shall approve or with 

the approval of the Administrator disapprove the transaction within 

ten (10) days by. written notice to the employer. 

K. Destructive Price o~"tting.-lt shall be an unfair trade practice for any employer to ·engage in destructive price-cutting. 

SECTION 12.-Sales Other Than From Factory Stoclc.-Where a 

building mixer is sold from other than factory stock, the price to 

the user shall not be less than the f.o.b. factory price, plus a freight 

charge that shall not be less than the carload rate of freight from 

the factory to the job, and plus a charge to cover warehousing and 

handling which shall be a percentage of the published selling price, 

said percentage to be determined hy the Code Authority and approved 

by the Administrator. 4 

'See paragraph 2 (2) of order approving this Code. 
15 

ARTICLE X-SALES FOR ExPoRT 

The provisions of this Supplemental Code concerning pricing and 

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

export sa.les of any product, or to any product destined ultimately 

for export. The term "export" shall mclude all shipments to all 

places without the several states of the United States and the District of Columbia; provided, however, that no shipment to any territory or possession of the United States shall be considered an export 

when a_ny employer is engaged in the Industry in such territory or 

possessiOn. 

ARTICLE XI-MoDIFICATIONs 

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

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

license, rule or regulation issued under Title I of the Act. 

(b) .Any amendments, additions, revisions, or supplements o:f 

this Supplemental Code, proposed by Code Authority, and approved 

by a 66%% of the employers shall be in full force and effect upon 

approval by the President. The eligibility requirements, method, 

and effect of such voting shall be the same as provided by Article V. 

ARTICLE XII-MONOPOLIES 

Applicant imposes and shall impose no inequitable restrictions 

on membership therein. The Supplemental Code presented by it 

is not designed to permit monopoly, and shall not be so construed 

or applied as to oppress or eliminate small enterprises or discriminate against them, and is designed to effectuate the policy of the 

Act. 

ARTICLE XIII-EFFECTIVE DATE 

This Supplemental Code sha11 become effective and binding -on all 

persons engaged in the Subdivision on the eleventh day after its 

approval by the President. 

Approved Code No. 347-Supplement No. 87. 

Registry No. 1399-52. 

0 


UNIVERSITY OF FLORIDA 

II I II IIIII\ Ill 1\111\111\111 \I \11\11 II \\1\11 Ill Ill\ II\ \Ill 11\11 I\ 

3 1262 08585 2936 

/