Approved Code No. 341 ·Registry No. 1612-04 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR co,MPETITION 

FOR THE 

FIBRE AND METAL WORK 

CLOTHING BUTTON 

MANUFACTURING INDUSTRY 

AS APPROVED ON MARCH 17, 1934. 

WE DO OUR PART 

1 1 I 

UNITED STATES 

GOVERNMENT PRINTING OFFICE / 

WASHINGTON : 1934 

For sale by the Superintendent of Documents, Washington, D.C. - - - - - - - - Price 5 cenla 

V 
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, 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 Commerce 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 East Plume Street. 

Philadelphia, Pa. : 422 Commercial Trust Building. 

Pittsburgh, Pa. : Chamber of Commerce Building. 

Portland, Oreg. : 215 New Post Office Building. 

St. Louis, Mo.: 506 Olive Street. 

San Francisco, Cn.lif. : 310 Customhouse. 

Seattle, Wash.: 809 Federal Office Building. 
Approved Code No. 341 

CODE OF FAIR COMPETITION 

FOR THE 

FIBRE AND METAL WORK CLOTHING BUTTON 

MANUFAC'rURING INDUSTRY 

As Approved on March 17, 1934 

ORDER 

CODE OF FAIR COMPETITION FOR THE FIBRE AND METAL w ORK 

CLOTHING BUTTON MANUFACTURING INDUSTRY 

An application having been duly made pursuant to and in full 

compliance with the provisions of Title I of the National I ndustrial 

Recovery Act, approved June 16, 1933, for approYal of a Code of 

Fair Competition for the Fibre and Metal vVork Clothing Button 

Manufacturing Industry, and hearings having been duly held thereon 

and the annexed report on said Code, containing findings with re.- spect thereto, having been made and directed to the President: 

NOW, THEREFORE, on b0 half of the P resident of tlie United 

State , I, l-Iugh S. Johnson, Administrator for I ndustrial Recovery, 

pur uant to authority vested in me by Executive Orders of the Presi- dent, 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 Code complies in all respects with the 

pertinent provisions and will promote the policy and purposes of 

aid Title of said Act; and do hereby order that said Code of Fair 

Comp~tition be and it is hereby approved, subject to the _following 

pron ions: 

1. That the pro Yi ion of Article VII, Section (a), insofar as they 

pre cribe a waitino- period between the filing of the Code Authority 

and the effective elate of price lists, as originally filed and/ or r(}vised 

price lists or revised term and conditions of sale be and they are 

hereby stayed, pending my further -order either within a period of 

ixty (60) day, from the effective date or until such time as there 

shall be a completion of the study of open price associations now 

being conducted by the .r ational Recovery Administration. 

2. That the application of Article V, Section 7, of the said Code 

be stayed for a period of thirty (30) days from the effective date of 

thi Code and further until such time as there shall be a hearing to 

47019 °-425-99-34 (155) 
156 

determine rules and regulations of the home work provisions contained in said Code and the determination by the Administrator 

thereon. 

HUGH 8. JOHNSON, 

AdJministrato'r /01· lnd'U)Strial Reoovery. 

Approval recommended: 

A. D. WHITESIDE 

Division Admiirdstrator. 

w ASIDNGTON, D.C. 

M arrch 17, 1934. 

• 
REPORT TO THE PRESIDENT 

THE PRESIDENT, 

The lV hite House. 

Srn: The Public Hearing on the Code o:f Fair Competition :for the 

Fibre and Metal Work Clothing Button Industry as proposed by 

the American Fibre and Metal Work Clothing Button Manufacturers 

Bureau was conducted in Washington on October 12, 1933. Every 

person who requested an appearance was fairly heard in accordance 

with the regulations of the National Recovery Administration. The 

Code has the approval of the Industrial, Labor, and Consumers' 

Advisory Boards of the National Recovery Administration and of 

the Legal Division. The Secretary of the American Fibre and Metal 

Work Clothing Button Manufacturers Bureau, upon the written and 

telegraphic authorization of all the members of the Industry, has 

also indicated his approval of the final draft of the Code on behalf 

of the Industry. 

It was attempted first by the National Recovery Administration 

to combine all the button industries under one Code. This proved 

to be impossible at the present time, but there is included in each 

Code a provision for the establishment of a General Button Manufacturers Coordinating Council, which at some future time will 

enable a joint cooperative administration of the various Codes. 

The Industryhas defined in the Code, includes the manufacture of 

metal work-clot ing "sew-on" buttons and hoof and/ or horn workclothing ' sew-on" buttons. It also includes the manufacture of 

fibre button which may be used for the closing of garments or for 

ornamentation or other purposes. The number of concerns engaged in the Industry increased from 

4 in 1928 to 7 in 1933. The aggregate number of employees in 1928 

was 223, and in 1933 was 258. The sales volume in 1928 was $670,000. In 1933 it was $500,000. This indicates that although the sales 

volume has decreased, the number of employees has increased. 

The Submitting Bureau represents approximately 85% of the Industry by number of concerns, and approximately 90% by volume 

of busines . 

RESUME OF THE CODE 

Article I states the purposes of the Code. 

rticle II et forth certain definitions. 

Article III pre cribes the maximum number of hours. 

Article IV sets the minimum wage for the Industry. 

Article V contains the general labor provisions. 

Article VI creates the Code Authority and defines its powers and 

duties. 

Article VII contains provisions for open price lists. 

(157) 
158 

Article VIII defines certain trade practices which are unfair and 

which shall be eliminated. 

Article IX tates that thi Code hall not permit monopolie . Article X provides for the modification of thi Code. 

Article XI tates the general policy of limitation on price 

mcrea es. 

Article XII ets the effective date of the Code at the tenth day 

after it approval. 

FINDINGS 

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

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

I find that: 

(a) Said Code is well designed to promote the policie and purpo e of Title I of the J ational Industrial Recovery Act, including 

removal of ob tructions 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 maintainmg united action of labor and manaaement under adequate governmental sanctions and supervision, by 

eliminating unfair competitive practices, by promoting the fullest 

possible utilization of the present productive capacity of industries, 

by avoiding undue restriction of production ( except as may be temporarily required), by increasing the consumption of industrial and 

agricultural products through increasing purchasing power, by reducing and relieving unemployment, by improving standards of 

labor, and by otherwise rehabilitating industry. 

(b) Said Indu try normally employs not more than 50,000 employees; and is not classified by me as a major industry. 

( c) The Code a approved complies in all respects with the pertinent provi ions of aid Title of aid Act, including without limitation Sub ection (a) of Section 3, Subsection (a) of Section 7, and 

Subsection (b) of Section 10 thereof; and that the applicant group 

i an indu trial group truly representative of the afore aid industry; 

and that said group impo es no inequitable restrictions on admission 

to menLbership therein. 

( d) The ode is not de igned to and will not permit monopolies 

or monopoli tic practice . ( e) The Code is not de igned to and will not eliminate or oppress 

mall enterprises and will not operate to discriminate against them. 

(f) Tho e e·ngaged in other steps of the economic proce have not 

been deprived of the right to be heard prior to approval of said 

Code. 

For the e rea ons the Code has been approved. 

MAR H 17, 1934. 

HuoH S. JoH soN, 

A.(bninistrator. 
CODE OF FAIR COMPETITION FOR THE FIBRE AND 

METAL WORK CLOTHING BUTTON MANUFACTURING 

INDUSTRY 

ARTICLE I-PURPOSE 

To effectuate the policies of Title I of the National Industrial 

Recovery Act, the following provisions are established as a Code of 

Fair Competition for the Fibre and Metal Work Clothing Button 

Manufacturing Industry, and shall be the standard of fair competition for such Industry and shall be binding upon every member 

thereof. 

ARTICLE II-DEFINITIONS 

1. The term " Industry " as used herein, includes the manufacture 

of metal work-clothing "sew-on" buttons and hoof and/or horn 

work-clothing "sew-on" buttons. This term shall also include the 

manufacture of fibre buttons which may be used for the closing of 

garments or for ornamentation or other purposes, and such other 

products as may fron1 time to time be included under this Code 

by the Administrator after such notice and hearing as he may 

prescrjbe. 

2. The term "employee" as used herein includes any person engaged in any phase of the Industry in any capacity, irrespective of 

the nature or method of payment of compensation, or his interest 

otherwise in said Industry. 3. The term" employer" as used herein includes anyone f or whose 

benefit such an employee is engaged. 

4. The term "member of the Industry" as used herein includes 

any individual, partnership, association, corporation, or other person engaged in the Industry either as an employer or on his own 

behalf. 

5. The terms "President", "Act", and "Administrator" as used 

herein shall mean respectively, the President of the United States, 

Title I of the National Industr.ial Recovery Act: and the Administrator for Industrial Recovery. 

ARTICLE III-HouRs OF L ABOR 

1. Except as hereinafter provided, no employee shall be permitted 

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

that for not more than sixteen (16) weeks in any one calendar year 

overtime may be permitted when seasonal or peak demand, or breakdown places an unusual or temporary burden upon an employer, provided that such overtime shall in no case exceed eight (8) hours 

in any one (1) week, and, provided further, that all such overtime shall be paid :for at the rate of one and one half (11⁄2) times the 

hourly rate of such employee. 

(150) 
160 

2. The maximum hours fixed in the foregoing shall not apply to 

employees engaged in emere;ency maintenance or repair work, provided such employees are paid one and one half (11⁄2) times the usual 

hourly rate for all hours in exce s of forty ( 40). 

3. The provisions of this Article shall not apply to employees 

engaged in research work or in an executive, mana<Yerial or supervisory capacity, and receiving more than thirty-five dollars ($35.00) 

per week; nor to outside salesmen. 

4. No employee engaged as a fireman or watchman shall be permitted to work more than fifty-six (56) hours in any one (1) week 

unless one and one half (11⁄2) times the hourly rate is paid for such 

overtime. 

5. No employer shall knowingly engage any employee for any 

time which, when totaled with that already performed with another 

emplo er or employers in this Industry, exceeds the maximum 

permitted herein. 

6. Any employer who does the work of an employee shall be 

subject to the provisions o:f this Code as to hours of labor. 

7. The Code AuthoritY. may provide for overtime in addition to 

that hereinbefore prescribed, such additional overtime to be under 

such conditions and upon such terms as the Administrator may 

approve. 

ARTICLE IV-WAGES 

1. Except as provided hereinafter, no male employee shall be paid 

less than at the rate of sixteen dollars ($16.00) per week for a 

forty ( 40) hour week and no female employee shall be paid less 

than at the rate of thirteen dollars ($13.00) per week for a forty 

( 40) hour week. 

2. The foregoing section shall not be construed as a discrimination 

by reason of sex. Female employees performing substantially the 

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

male employees. 

3. Learner may be paid at not less than the rate of eighty per 

cent ( 80%) of th minimum wage contained herein provided that 

the number of such learners shall not exceed five per cent ( 5%) of 

the total number of employee"' of the employer and that learners 

shall not be employed as such for a period in excess of ten (10) 

weeks, irrespective of whether they are employed by one or more 

employers. 

4. o accounting clerical, office, service or sales employee shall be 

paid at le s than the rate of fifteen dollars ($15.00) per week for a 

forty ( 40) hour week when employed in cities of mor than 500,000 

population; nor les than at the rate of fourteen dollars ($14.00) 

per week for a forty ( 40) hour week in cities or place of 500,000 

population or less. 

5. Thi Article e tablishe a minimum rate of pay, which shall 

apply regar Hess of whether an employee is compen ated on a time 

r ate piece work, or other basis. 

6. Equitable adjustment in pay schedules of all employees shall 

be made within thirty (30) days after the effective date of this Code 

by any employer who has not heretofore made such adjustments 
161 

under the National Industrial Recovery Act or the President's Reemployment Agreement. Within sixty (60) days after the effective 

date all such adjustments made under the Act or Agreement shall 

be reported to the Code Authority and the Administrator. In no 

case shall rates be reduced. 

7. A person whose earning capacity is limited becau e of age, 

physical or mental handicap, or other infirmity, may be employed 

on 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 

such person's employment at such wages and for uch hours as 

shall be stated in the certificate. 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 maximum hours of work for 

such employee. 

ARTICLE V-GENERAL LABOR PROVISIONS 

1. No person under sixteen (16) years of age shall be employed 

jn the industry. No person under eighteen (18) years of age shall 

be employed at operations or occupations which are hazardous in 

nature or detrimental to health. The Code Authority shall submit 

to the Administrator within ninety (90) days of the effective date 

of this Code a list of such operations or occupations. 

2. Ern.ployees shall have the right to organize and bargain collectively, through representatives of their own choosing and shall 

be free from the interference, restraint, or coercion of employers of 

labor or their agents, in the designation of such representatives or 

in self-organization or in other concerted activities for the purpose 

of collective bargaining or other mutual aid or protection. 

3. No employee and no one seeking employment shall be required 

a.s a condition of employment to join any company union or to 

refrain from joining, organizing, or assisting a labor organization 

of his own choosing. 

4. Employers shall comply with the maximum hours of labor, 

minimum rates of pay, and other conditions of employment approved or prescribed by the President. 

5. No employer shall reclassify employees or duties of occupations 

performed or engage in any subterfu ge so as to defeat the provisions 

of the Act or of this Code. 

6. No provision of this Code shall super·sede aify law within anv 

state which imposes more stringent requirements on employers a.,s 

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

or sanitary regulations, or insurance, or fire protection, or general 

working conditions, than are imposed by this Code., 

7. No homework shall be permitted by members of the Industry.1 

8. All employers shall post complete copies of Articles III, IV, 

and V of this Code in conspicuous places accessible to employees. 

9. No provisions in this Article shall modify established practices for privileges as to vacation periods, leaves of absence, or temporary absence from work heretofore guaranteed to office employees. 

1 See paragraph 2 (2) of order approving this Code. 
162 

ARTICLE VI-ORGANIZATION, PowERS AND DuTIEs OF THE CoDE 

AUTHORITY 

ORGANIZATION AND CONSTITUTION 

1. There shall forthwith be constituted a Code Authority consisting of: 

(a) Five ( 5) representatives of the industry or such other number as may be approved from time to time by the Administrator, to 

be selected as hereinafter provided. 

(b) Such additional members, without vote, not to exceed three, 

as the Administrator may appoint to represent such groups or interests or such governmental agencies and for such periods as he may 

designate. 

2. The repre entatives of the Industry shall be selected in the 

following manner: 

(a) The five ( 5) representatives of the Industry shall be selected 

by the American Fibre and Metal Work Clothing Button Manufacturers Bureau. 

3. Each trade or industrial association directly or indirectly participating in the selection or activities of the Code Authority shall 

(1) impose no inequitable restrictions on membership, and (2) submit to the Administrator true copies of its articles of association, 

by-laws, r egulations, and any amendments when made thereto, together with such other information as to membership, organization, 

and activities as the Administrator may deem necessary to effectuate 

the purposes of the Act. 

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

representative of the industry and in other respects comply with the 

provisions of the Act, the Administrator may prescribe such hearings 

as he may deem proper; and thereafter if he shall find that the 

Code Authority is not truly representative or does not in other 

respects comply with the provi ions of the Act, may require an 

appropriate modification in the method of selection of the Code 

Authority. 

5. l\1embers of the industry shall be entitled to participate in and 

share the benefits of the activities of the Code Authority by assenting 

to and complyin(J' with the requirements of this Code and sustaining 

their reasonable hare of the e:xpen es of its administration. Such 

reasonable share of the expense of the admini tration shall be 

determined by tht Code Authority, ubject to review by the Administrator, on the basi of volume of business and/ or uch other factors 

as may be deemed equitable. 

6. Nothing ontained in thi ode hall constitute the member 

of the Code Authority partner for any purpo e. Nor shall any 

member of the Code Authority b liable in any manner to anyone 

for any act of any oth r memb r, offic r, agent or employe of the 

Cod Authority, nor hall an. m mber of the Co le Authority, exer- cising reasonabl dilia nc in th condu t of his duties hereunder be 

liable to anyone for any a tion or mi ion to act under this Code, 

except for hi own wilful mi fea ance or non-feasance. 

7. If the Admini trator ha11 1 termine that any section of a 

code authority or any agency thereof may be unfair or unju t or 
163 

contrary to the public interest, the Administrator may require, that 

such action be suspended, to afford an opportunity :for investigation 

of the merits of such action and :further consideration by such code 

authority or agency pending final action which shall not be effective 

unless the Administrator approves or unless he shall fail to disapprove after thirty days' notice to him of intention to proceed with 

such action in its original or modified form. 

POWERS AND DUTIES 

8. The Code Authority shall have the following powers and 

duties: 

(a) To insure the execution of the provisions of this Code and to 

provide, subject to rules and regulations established by the Administrator, :for the compliance o:f the industry with the provisions o:f 

1.he Act: Provided, however, that this shall not be construed to 

deprive duly authorized governmental agencies of their power to 

enforce the provisions of this Code or of the Act. 

(b) To adopt by-law~ and rules and regulations for its procedure 

and for the administration and enforcement of the Code. 

( c) To obtain :from members of the industry such information 

and reports as are required :for the adn1inistration o:f the Code, and 

in addition to information required to be submitted to any Code 

Authority all or any of the persons ·subject to this Code shall furnish such statistical information as the Administrator may deem 

necessary for the purposes recited in Section 3 (a) of the Act, to 

such Federal and State agencies as the Administrator m.ay designate; nor shall anything in any code relieve any person of existing 

obligations to furnish reports to government agencies. No individual reports shall be disclosed to any other member of the indus- try or any other party except to such governmental agencies as may 

be directed by the Pr sident. ( d) To use such trade associations and other agencies as it 

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

:for herein, provided that nothing herein shall relieve the Code 

Authority of its duties or responsibilities under this Code and that 

such trade associations and agencies hall at all times be ubject to 

and comply with the provi ion · hereo:f. 

( e) To make recommendations to the Admini trator for the coordination of the admini tration of this Code with uch other codes, 

if any, as may be related to the industry. 

(f) To provide ways and means for financing the operations of 

said Code Authority and to determine an equitable method o:f apportioning in the Industry the cost o:f administering this Code. Money 

raised in any manner shall not exceed in amount such reasonable 

c:ost. 

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

any N.R.A. insignia solely by those members of the indu try who 

have assented to, and are complying with, this Code. 

(h) To recommend to the Administrator any action or measures 

deemed advisable, including further :fair trade practice provisions to 

govern member of the industry in their relations with each other 

or with other indu -tries, measures for industrial planning, and 
164 

stabilization of employment; and including modifications of this 

Code which hall become effective as part hereof upon approval by 

the dmini trator after uch notice and hearing as he may specify. 

(i) To investigate competitive articles imported in the United 

tates on such terms and under uch conditions as to render ineffective or seriou ly endanger the maintenance of this Code and to act 

as the agency for making complaints to the proper governmental 

agency on behalf of this Industry. 

(j) To coordinate the administration of this Code with such 

other codes as may be related to the Industry the Code Authority 

may d ignate repre entatives for the purpo e of meeting with like 

repre entatives de~ignated by the ode uthorities of the related 

odes referred to above. Such repre entatives shall be duly authorized to constitute a committee, which com.mittee shall, as soon as 

practicable, submit to the Administrator such reports and recommendations with respect to: 

1. The establishment and method of selection of a General Button 

Manufacturers Coordinating Council. 

2. The jurisdiction, as well as the admini trative powers and 

authority to be delegated to such Coordinating Council by the Code 

Authorities represented. 

Upon approval by the Administrator after uch hearings and 

notice as he shall prescribe, such recomm.endations of the Council, 

selected in the manner above· provided for the Code Authorities 

repre ented hall be subject to the jurisdiction, rules, regulations, 

and by-laws of the General Button Manufacturers Coordinating 

Council in the form and manner approved by the Administrator, any 

express or implied delegation of power or duty in this Code to the 

Code Authority notwithstanding. 

(k) To cause to be formulated an accounting y tem and methods 

of co t finding and/ or e timating capable of u e by all members of 

the industry. After such system and methods have been formulated: 

full details concerning them shall be made available to all members. 

Thereafter all members hall determine and/or estimate costs in 

accordance with the principles of such methods. 

ARTICLE VII-OPE~ PRICE LISTS 

Ev ry m mber of the indu try, who manufacture and ells any 

product of the indu try not refabricat d by him elf o as to form 

part of another product hall file with the secretary of th ode 

Authorit a net price li t and/ or a price li t and di count heet individually prepared b him howing his urrent pric and/ or 

price and li ount (in ludin<Y all di count for whole ale or for 

quantity fr io-ht allowance and term of payment and the ecr tarv 

hall imm cliately encl opie th r of to all other member of thi' 

indu try. 

~a) . 1emb r . of the indu try ma hange an. price li t an 1/ or 

price h t and d1 count h t fil d bv him by filino- with th ecretary f th . de J\uth rity a r vi' d pri ··e list which hall not 

become ff tive until five days after the filing date. Copi of all 
165 

new price lists filed with the secretary with the effective date specified shall be immediately sent to all members of this industry, who 

thereupon may file, if they so desire, revisions of their price lists 

which may become effective on the same date the first revised price 

list which was filed shall go into effect. 2 

(b) No member of the industry shall make any sale or quotation 

of any product in this industry at a price or under terms and conditions more favorable to the purchaser thereof than the price, tenns 

and conditions so filed by such member in accordance with the provisions of this section and in effect at the time of such ale; nor shall 

any member of the industry make any contract or sale of any product 

of the industry l:l,t a price or on terms or conditions more favorable 

to the purchaser thereof than the price, terms and condition established as aforesaid and in effect at the time of the making of such 

contract or sale. 

ARTICLE VIII-TRADE PRACTICE PROVISIONS 

1. No member of the industry shall make or give to any purchaser 

of any product any guarantee or protection in a.ny form again~ decline in the market price of such product after date of shipment. 

2. No member of the industry shall insert in any invoice a false 

record, wholly or in part, of the transaction represented on the face 

thereof, nor shall any such member withhold from any invoice any 

record customarily inserted in an invoice for the purpose of avoiding any of the provisions of this Code. 

3. No member of the industry shall ship goods on consignment, 

exoept under circun1stances to be defined by the Code Authority, 

subject to the approval of the Administrator, where peculiar circum- stances of the Industry require the practice. 

4. No member of the Industry 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 agent of the represented body, without the 

knowledge of such employer, principal, or party. Commercial 

bribery provisions shall not be construed to prohibit a general distribution of articles commonly used for advertising, except so far 

as such articles are actually used for commercial bribery as hereinabove defined. 

5. No member of the Industry shall brand or mark any commodity 

in a manner which tends to mislead or deceive purchasers with respect 

to the grade, quality, quantity, origin, size, material content, or 

preparation of such commodity. • 6. No member of the Industry shall use advertising or other representation which reters inaccurately in any material particular to any 

compet~tors or their products, prices, values, credit terms, policies, 

or services. 

7. No n1ember of the Industry shall publish or circulate unjust or 

unwarranted threats of legal proceedings which tend to or have 

2 See paragraph 2 (1) of ol'der approving this Code. 
166 

the effect of harrassing competitors, or intimidating any of their 

cu tomers . . (a) o member of the Industry shall sell any article at a price 

below his individual cost. However, any m,ember of the Industry 

may meet the price of any competing member of the Industry for 

products of an equal grade and quality who e co t, under this provi ion is lower, and may ell dropped lines or distress merchandise 

below uch co t provided the facts of such sale are reported at once 

to the Code Authority. o t for the purpose of the provision shall 

be determined in accordance with Section 8 (k) of Article VI of this 

Code. 

(b) When the Code uthority determines that an emergency 

exist in this Industry and that the cause thereof is de tructive 

price-cutting uch as to render ineffective or seriously endanger the 

maintenance of the provisions of this Code, it may cause to be determined the lowest reasonable cost of the products of this Industry, 

such determination to be subject to such notice and hearing as the 

Administrator may require. The Administrator may approve, disapprove, or modify the determination. Thereafter, during the 

peritd of the emergency, it shall be an unfair trade practice for 

any member of the Industry to sell or offer to sell any products 

of the Industry 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 co t of 

such products. When 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. 

9. No member of the Industry shall offer for sale any product, 

not covered by the provisions of this Code, at a price below co t, 

in order to influence the sale of products of this Industry. 

ARTICLE IX-MONOPOLIES 

This Code shall not be con trued or applied to promote or permit 

monopolies or monopoli tic practices or to eliminate or oppress 

5mall enterprises or to di criminate against them. 

ARTICLE X-1\f ODIFICATIONS 

1. This ode and all the provi ions thereof are expre ly made 

subj ct to the right of the Pre ident, in accordance "ith the pro-

,i ion of ub ction (b) of Section 10 of the ational Indu trial 

H.e overy 4- t, :from time t o time to cancel or modify any order 

ap1 roval he n , rul or r o-ulation is ued under Title I f . ail • 

A t and pe ifi ally, but without limitation, to the rio-ht of the 

Pr id nt to anc 1 r mo lif his approval of thi. od or an 

con lition impo ed b him upon hi approval thereof. 

2 .. Thi od xc. pt a t 1.rovi ion r quired by the ct, may be 

m d~fi d ~:m the ba 1 f xp ri nc or chancre in ircum tan e , such 

m hfication to b ba d upon appli ation to th Admini trator and 

such notice of h aring a he shall p cify, and to become effective on 

a1 proval by the Pre id nt. 
167 

ARTICLE XI-PRICE INCREASES 

Wherea the policy o:f the Act to increase real purcha ing power 

will be made impossible o:f consumation i:f prices of goods and ervices increase as rapidly as wages, it is recognized that price increases 

shall be delayed. But when made such increases should so far as 

possible, be limited to actual increases in the sellers co ts. 

ARTICLE XII-EFFECTIVE D .A TE 

This Code shall become effective on the tenth day after its 

approval. 

Approved Code No. 341. 

Registry No. 1612-04. 

0 

• 
UNIVERSITY OF FLORI DA 

II I II IIIIII Ill 1111111111111 111111 111111111111 IIIIII Ill Ill lllll I I 

3 1262 08851 8096