Approved Code No. 204 Registry No. 1129-03 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

PLUMBING FIXTURES 

INDUSTRY 

AS APPROVED ON JANUARY 13, 1934 

WE DO OUR PART 

UNIV. Q,,fL Lll. 

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

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

For sale by the Superintendent of Documents, Washin~rton, D.C. - - - - - - - - Price 5 cents 
This publication is for sale by the Superintendent of Documents, Government 

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

Foreign and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTl\IENT OF COMl\'IERCil 

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.: 80'1 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 A venue. 

Los Angeles, Calif.: 1163 South Broadway. 

Louisville, Ky. : 4.08 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, Calif. : 310 Customhouse. 

Seattle, Wash.: 809 Federal Office Building. 
Approved Code No. 204 

CODE OF FAIR COMPETITION 

FOR THE 

PLUMBING FIXTURES INDUSTRY 

As Approved on January 13, 1934 

ORDER 

APPROVING CODE OF FAIR COMPETITION 

FOR THE 

PLUMBING FIXTURES 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 Plumbing Fixtures Industry, and hearings having been duly held thereon and the annexed report on said 

Code, containing findings with respect thereto, having been made 

and directed to the President: 

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

States, I, HughS. Johnson, Administrator for Industrial Recovery, 

pursuant to authority vested in me by Executive Orders of the 

President, including Executive Order No. 6543-A, dated Decem4er 

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 said Title of said Act; and do hereby order that said 

Code of Fair Competition be and it is hereby approved; provided1 however, that the application of the provisions of Section 7 ot 

Article VIII, in so far as they provide for the establishment of 

differential discounts as between wholesalers and other classes of 

purchasers (as defined in such section) and for wholesaler and 

other purchase price levels, be, and they hereby a.re, stayed for a 

period of sixty ( 60) days in order to afford consideration of the 

objections of any interested parties to such provisions, at the expiration of which period the said provisions shall become effective unless 

I shall, by my further order otherwise determine, or extend such 

stay. 

HuGHS. JoHNSON, 

Administrator for lndust1'ial R ecovery. 

Approval Recommended: 

MALCOLM MUIR, 

Division Administrator. 

WASHINGTON, D.C., 

January 13, 1934. 

83194°----313-77----84 (117) 
The PRESIDENT, 

The W kite House. 

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

Plumbing Fixtures Industry (including the Enameled Cast Iron 

Plumbing Fixture Industry, Vitreous China Plumbing Fixture Industry, Sanitary Seat Industry, and the Sanitary Brass Plumbing 

Fitting Industry) and on the public hearing conducted thereon in 

Washington, D.C., on August 30, 1933, in accordance with the provisions of the National Industrial Recovery Act. 

INDUSTRY BACKGROUND 

The Plumbing Fixtures Industry represents a composite group of 

manufacturers of sanitary plumbing products such as bath tubs, 

lavatories, sinks, brass fittings, and other related articles. In the 

industry's peak year, 1925, the total volume of business was estimated in excess o£ $200,000,000. To produce this volume, about 

35,000 workers were directly employed. In 1931, the most recent 

year for which statistics are available, the volume of business had 

dropped to approximately $86,000,000 and about 20,000 workers were 

employed on part-time basis. In June, the largest month of this 

year, approximately the same number of workers were employed 

on part-time basis as in 1931. 

• HOURS AND WAGES 

The Code establishes a 40-hour week. Minimum rates of wages 

established are 40 cents per hour for males over 21 years of age in 

the North and 35 cents per hour in the South; 35 cents per hour for 

females over 21 years of age; and for all employees under 21 years 

of age, 32 cents per hour or 80 percent of the minimum rate for 

adult male employees. Women employees at the same work will 

receive the same pay as male workers. The maximum hour provisions are not to apply to any employee in emergencies but in ea.ch 

special case, at least time and one half the normal rate shall be 

paid all employees working in excess of the maximum hours. 

Child labor is prohibited. 

There is also a clause providing that a "Safety and Health 

Manual" for the improvement o£ working conditions be submitted 

by the Code Authority for the approval of the Administrator. 

ECONOMIC EFFECT AND FEATURES OF THE CODE 

The Plumbing Fixtures Industry is largely dependent upon new 

construction for its volume. With new residential construction work, 

upon which this industry largely depends for a market, averaging 

between 10 and 15 percent o£ normal in 1933, this industry has 

subsisted primarily on modernization work which has not been 

(118) 
119 

sufficient to provide much production or increased employment. 

Despite the deplorable condition of the construction industry, the 

Code will increase employment within the industry about 15 percent 

with a larger percentage increase in the payrolls. A fact worthy 

of mention is that the Code does not add appreciably to the cost of 

construction. 

Another feature of the Code, worthy of note, is that providing for 

the elimination of the sale in the United States of all but first grade 

ware guaranteed against manufacturing defects. This provision 

protects the consumer against a long standing malpractice wherein 

he often received second grade products (commonly known as culls) 

though paying for first grade. 

A forward step in the stabilization of the plumbing industry was 

consummated by the coordination with this Code of those of the 

plumbing wholesaling and plumbing contracting fields by means of 

which action many differences and problems between the several elements of the industry have been eradicated or rectified. 

Furthermore, to achieve fair and equitable methods of distribution within the industry, separate wholesale and retail purchase 

levels are to be established by each manufacturer, such price levels 

to form the basis of cost detennination by plumbing wholesalers 

and contractors in arriving at their selling prices. 

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 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 amotmt thereof and will 

provide for the general welfare by promoting the organization of 

industry for the purpose of cooperative action amon~ the trade 

groups, by inducing and maintaining united action of labor and 

management under adequate governmental sanctions and supervision, by eliminating unfair competitive practices, by promoting the 

fullest possible utilization of the present productive capacity of 

industries, by avoiding undue restriction of production (except as 

may be temporarily required), by increasing the consumption of industrial and agricultural products through increasing purchasing 

power, by reducing and relieving unemployment, by improving standards of labor, and by otherwise rehabilitating industry. 

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

(c) The Code as approved complies in all respects with the pertinent provisions of said Title of said Act, including without limitation Subsection (a) of Section 3, Subsection (a) of Section 7, 

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

associations are industrial associations truly representative of the 

aforesaid Industry; and that said associations impose no inequitable 

restrictions on admission to membership therein. 

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

or monopolistic practices. 
120 

(e) The Code is not designed to and will not eliminate or oppress 

small enterprises and will not operate to discriminate against them. 

(f) Those engaged in other steps of the economic process have 

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

Code. 

For these reasons, therefore, I have approved this Code. 

Respectfully, 

JANUARY 13, 1934. 

HuGH S. JoHNSON, 

Administrator. 
CODE OF FAIR COMPETITION 

FOR THE 

PLUMBING FIXTURES 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 PlL1mbing Fixtures Industry including 

Enameled Cast Iron Plumbing Fixtures Industry, Vitreous China 

Plumbing Fixture Indu try, Sanitary Seat Industry, Sanitary Brass 

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

thereof. 

ARTICLE II-DEFINITIONS 

SECTION 1. Indwstry.-The term "industry", as used herein, includes the manufacture and sale of: 

(a) Enameled cast iron plumbing fixtures, such as bath tubs, 

shower receptors, lavatories, sinks, drinking fountains, laundry 

trays, closet tanks, accessories, and the likP · (b) Vitreous China plumbing fixtures, such as lavatories, drinking 

fountains, closet bowls, closet tanks, urinals, bath tubs, accessories, 

and the like; 

(c) Seats of whatever composition, for installation on and for use 

in connection with closet bowls and the like; 

(d) Sanitary brass plumbing fittings, such as bath fittings, shower 

fittings, lavatory fittings, sink fittings, drinking fountain fittings, and 

other completed fittings and trimmings for use in connection with 

plumbing fixtures and the like; 

(e) Such branches and subdivisions thereof and such related industries as may from time to time, with the approval of the Administrator, be included under the provisions of this Code. 

SEc. 2. Employee.-The term " employee " as used herein, includes 

anyone engaged in the industries in any cap:wity receiving compensation for his services irrespective of the nature or method of payment of such compensation. 

SEc. 3. Employer.-The term "employer" as used herein, includes 

anyone by whom any such employee is compensated or employed. 

SEc. 4. Manufacturer or Member of the lndustries.-The term 

"manufacturer" or "member of the industries" includes anyone 

engaged in the industries as above defined, or any portion thereof, 

either as an employer or on his own behalf. 

SEc. 5. President, Act, Administrator.-The terms "President", 

"Act", and "Administrator" as used herein hall mean, respectively, 

the President of the United States, Title I of the National Industrial Recovery Act, and the Administrator for Indu trial Recovery. 

(121) 
122 

SEc. 6. Association.-The term "Association " means, respectively: 

l

a) Sanitary Cast Iron Enamel \Vare Asso iation 

b) Vitreous China Plumbing Fixture A ociation 

c) Seat ~fanufacturers ' Association 

(d) Sanitary Bra s Manufacturers' Association 

(e) National Brass Association 

SEc. 7. United Stat s.-The terms "United States " or "thi country", .as used her in, include all of the territory of the United States 

of America, including its insular and maritim possessions, but 

exclu ling the Philippine Islands. 

ARTICLE III-11AXI1\1UM Ho Rs 

SEcTION 1. JJ;J aximum Hours of TV ork.-N o employee shall be permitted to work in ex ss of forty ( 40) hours in any one week, or 

eight (8) hours in any twenty-four (24) hour period, or regularly 

in exce s of six (6) day in any seven (7) day period. 

SEc. 2. E xernpt Employees.-The maximum hours fixed in the 

foregoing section shall not apply to salesmen in the field nor to employees in office or f actory in managerial, supervisory, executive, and 

technical capacities who r eceive comr ensation in excess of thirty-five 

dollars ($35.00) per week. All such employee · shall be listed by 

their employers with the Code Authority. 

SEc. 3. E1neTgencies.-The maximum hours fixed in the foregoing 

Section 1 shall not apply to any employee in emero·encies ; but in each 

special case, at least one and one half (1Jj2 ) times his normal r ate 

shall be paid for hours worked in excess of the maximum hour . At 

the end of each calendar month every employer shall report to the 

Code Authority, in uch detail as may be required, all such cases. 

AllTICLE IV-MINIMUM \V AGES 

SEcTION 1. Mini1nurn./ Hourly Rates.-The minimum rates of pay 

for all employees, except those provided for in Section 3 of this 

Article, shall be a follows : 

(a) No male employee over twenty-one (21) years of age shall 

be paid at a rate less than forty ( 40) cents per hour ~ except in the 

states of Virginia, North Carolina, South Carolina, Georgia, Florida, 

Alabama, Tenne ee, Mississippi, Arkansas, Louisiana, Oklahoma, 

Texas, New :Mexico, and Arizona no male employee over twenty-one 

{ 21) years of age shall be paid a.t a rate less than thirty-five ( 35) 

cent per hour. 

(b) No female employee over twenty-one (21) years of age shall 

be paid at a rate less than thirty-five (35) cents" per hour. 

(c) No employee tmder twenty-one (21) years of age shall be 

paid at the rate of less than 32¢ per hour or 80% of the minimum 

rate for adult male employees; provided, however, that the number 

of minor employees receiving less than the minimum rates for adult 

employees shall not exceed 5% of the total number of employees in 

any one factory. ~1inors in excess of said 5% may be employed 

provided that they be paid not less than the minimum rates for 

adult employees. 
123 

SEc. 2. I n<Jentive 0 ompensation.-The foregoing Section establishes a minimum rate of pay, regardle s of whether an employee 

- is compen ated on a time-rate, piecework, or other ba i . 

SEc. 3. Minirnwm Salary Rates.-N o employer .... hall pay any accounting clerical, or office employee at le s than the rate of fifteen 

dollars ($15) a week; provided however, that office boy and girls 

under twenty-one (21) years of age may be pail not le s than 0 % 

of such minimum wage; but the total number of uch office boys 

and girls receiving le s than fifteen dollars ($15.00) a week hall not 

exceed 5% of the total numb r of employees covered by the provisions of this paragraph. Minor office boys and girls in exce of ai<l 

5% may be employed provided that they be paid not le s than the 

minimum rate for adult employees. 

· . SEc. 4 .. Female Ernployees.-Female employees p rforming sub. 

stantially the same work as male employees hall receive the same 

rate of pay as male employees. 

SEc. 5. n ages ab(YVe the lJfinim,urn.-To the extent practicable, 

the differences in hourly rates of pay or hourly earnings above tho 

minimum existing on June 16, 1933, shall be maintained and in no 

case shall they be decreased. 'Vi thin thirty ( 30) days all such re· 

adjustments made since June 16, 1933, shall be reported to the 

Administrator through the Code Authority. 

ARTICLE V-GENERAL LABOR PROVISIONS 

SEcTION 1. Child L abor.-No person under sixteen (16) years of 

age shall be employed in the industry, nor shall anyone under eighteen (18) years of age be employed at operations or occupation3 

hazardous in nature or detrimental to health. The Code Authority 

shall submit to the Admini trat.or within ninety day after the 

approval of tllis Code, a list of such oecupations. In any State an 

employer shall be deemed to have complied with this provi ion if 

he shall h·ave on file a certificate or permit duly i ued by the au· 

thority in such State empowered to issue employment or age certificates or permits, showing that the employee is of the required age. 

SEc. 2. R equired Provisions.-(a) Employees shall have the right 

to organize and bargain collectively through repre entatives of their 

own choosing, and shall be free from the interference, re traint, or 

coercion of employers of labor or their agents in the designation of 

such representatives or in self-organization or in other concerted 

activitie for the purpose of collective bargaining or other mutual 

aid or protection. 

(b) No employee and no one seeking employment hall be re· 

quired, 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. 

SE . 3. Posting Oode.-Each employer shall post in conspicuous 

places full copies of this Code. 

SEc. 4. Recla.ssification.-Employers shall not recla ify employees 

or duties of occupations performed by employees so as to defeat the 

purpo es of the Act. 

83194"----313-77----84----2 
124 

SEc. 5. Reports.-(a) Ea<>h em.ployer in these industries shall furni. h monthly to the Code Authority on forms to be furnished by 

said Cod Authority, a worn report of the number of p-ersons employed, wafte rates in effect, and hours worked during the preceding 

month in his plant or plants, classified as to occupations, together 

with other sworn production or employment reports as the Code 

Authority may require from time to time, and an affidavit that the 

employer has complied with all the provisions of this Code. 

(b) Individual reports shall not be available to anyone except 

the Aclmini trator and the representatives of the Code Authority 

(who shall not be in the employ of any employer under this Code): 

provided, however, that in the event of a complaint the Code Authority shall have access to all jnformation pertinent to such com- plaint. Total iigures compiled from uch reports shall be availabl~ · to the member. of the Industry. 

SEc. 6 . .H eolth and Safety.-N o employer shall maintain in his 

plant standards of health, safety, and sanitation, or other conditions 

relating to employment lower than the standards approved for the 

Industry by the Administrator or provided by the laws of the 

jurisdiction. A " Safety and H ealth Manual " for the Industries 

shall be submitted by the Code Authority for approval by the 

Administrator. 

SEc. 7. State La·ws.-vVithin each State this Code shall not supersede any law ~ of such State imposing more stringent requirements 

on employer· regarding the age of employees, wages, hours of work, 

health, or general working conditions than provided by this Code. 

AnTICLE VI-ADMINISTRATION 

To further effectuate the policies of the Act, a Code Authority 

is hereby constituted to cooperate with the Administrator in the 

administration of this Code. 

SECTION 1. Organization and Constitution of Code Authority.-

(a) The Code Authority shall consist of seven (7) individuals~ 

or such other number as may be approved from time to tim.e by the 

Administrator, to be selected as hereinafter set forth. The Administrator, in his discretion, may appoint not more than three (3) 

additional members without vote to represent the Administrator or 

such groups or interests as may be agreed upon. 

(b) The following industries shall each have the following number of representatives : 

Industry : Representatives 

Enameled Cast Iron Plumbing Fixture Industry ____ 2 persons 

Vitreous China Plumbing Fixture Industry-------- 2 persons 

Sanitary Seat Indu try----------------------------- 1 person 

Sanitary Brass Plumbing Fitting Industry-------- 2 persons 

Each of the above industries' representatives on the Code Authority hall be nomina~d by the Chairman of that industry's 

association; except that in the Sanitary Brass Plumbing Fitting 

Industry one repre entative shall be nominated by the Chairman 

of the Sanitary Brass Manufacturers' Association and one by the 

Chairman of the National Brass Association and elec~d in the 

manner hereinafter described. 
125 

The members of the Code Authority shall be elected at meetings 

of the members of the industries culled immediately after the a pproval of this Code by the Admini trator and held inunediately 

prior to the effective date thereof. The meetings hall be all d by 

the respective associations and notice thereof shall be sent by registered mail to all members of the respective industries. Th notice 

hall pecifically state that voting at the meeting may be in per on 

or by proxy. The members of the Code Authority shall be elected 

by members of the industries present in person or by proxy at such 

meetings by a majority vote of members of the indu tries present 

in per on or by proxy as such. 

In the event that this Code shall be wholly adopted by related 

indu tries, provsions shall be made for their representation upon 

the Code Authority by election in the before-mentioned manner, and 

the number of members of the Code Authority hall be increa ed 

by one (1) for each such additional industry. 

(c) Each trade or industrial association directly or in dire tly participating in the selection or activitie of the Code Authority hall: 

(1) Impose no inequitable restrictions on membership, and (2) sub· 

mit to the Administrator true copies of its articles of as ociation, 

bylaws, regulations, and any amendments when made thereto, to· 

gether with such other information as to membership, organization, 

and activities as the Administrator may deem necessary to effectuate 

the purpose of the Act. 

(d) 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 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 comply with the 

provisions of this Code appropriate m.odification in the methods of 

selection of the Code Authority may be made. 

(e) Participation in any administrative activities or endeavors 

under this Code shall be based on the following: 

(1) Payment of the pro rata share of the cost of admini tering 

this Code by becoming a member of one of the A sociation ; or 

(2) Payment to the appropriate association of an equitable pro 

rata share of the expense incurred by such Association in administering this Code. 

SEc. 2. Duties and Powers of Oode Authority.-The Code Authority shall have the following duties and powers to the extent 

permitted by the Act, subject to the right of the Admini trator, on 

review, to di approve any action taken by the Code Authority. 

(a) The Code Authority hall cau e this Code to be enforced, 

and subject to review by the Administrator, hall designate uch 

agents and delegate uch authority to them as may be nece ary r 

convenient. 

(b) It shall investio·ate complaints of violations of this Code an 

shall take such teps as may be neces ary to cure an equitable di -

position of any such complaint. The Code Authority may pro' ide 

for it own organization, and may make such rules as to meeting , notices, waivers of notice, and other procedural matters a it may 

from time to time determine; provided however, that notice of meetings shall be sent to the Administrator sufficiently in ad ance of such 
126 

meetings to permit the Administrator or his representatives to attend 

su h meetings if desired. The Code Authority may, to such extent 

a it may determine: act by and through the Fair Competition Committee of each industry. 

(c) The Chairman of each Association shall nominate a Fair Competition Commitee con i ting of five members who shall be elected by 

a maJority vote of the members of each industry. This Committee 

shall be charo·ed with the duties of inve tigating complaints of 

unfair trade competition and adju ting same in the light of the 

provi. ions of this Code. In cases where anyone accu eel of unfair 

competition refu es to abide by a decision of a majority of the Fair 

Competition Committee, the Committee hall refer its findings and 

recommendations with respect thereto to the Code Authority for 

disposition. The final appeal within the Industries shall be to the 

Code Authority. Appeals from its decisions shall be referred to the 

Administrator for eli po ition. The decisions of the Code Authority 

under this paragraph shall be subject to review by the Admini tr·ator. 

(d) The Code Authority may require from time to time the industry or industries, subject to its authority, to submit in total figures 

for it own consideration and for transmittal to the Administrator 

uch reports, statistical data, and other information as it may require. 

Such information shall be held confidential and shall not be open to 

in pection except as to totals of the industry. The compilation of 

reports shall be performed by individuals who are not in any way 

connected with members of the Industry or Industries. 

(e) In addition to the information required to be submitted to the 

Code Authority as set forth in this Article there shall be furnished 

to government agencies such statistical information as the Administrator may deem necessary for the purposes recited in Section 3 

(a) of the National Industrial Recovery Act. 

ARTICLE VII-TRADE PRACTICES 

The following practices constitute unfair methods of competition 

for members of the industry and are prohibited : 

SECTION 1. Discri1nination.-To discriminate in prices, terms, discounts, allowances, auarantees, or in any other way between purchasers of the same la s, except as hereinafter set forth in Section 

7 of Article VIII hereof, whether the material is sold for purcha ·er' tock, for specific building operations, or for any other specific I urposes; provided, however, that nothing in this Code shall 

be construed to prevent any manufacturer from selecting within the 

cla. ses established his own customers in bona fide transactions. 

SEc. 2. S ecret Rebates.-Withholding from, or inserting in the 

invoice, or other sales documents, facts which make said documents 

fal e records, wholly or in part, of the transaction represented on 

the face thereof, except where modified arrangements are on file with 

the Code Authority. The secret payment or allowance of rebates, 

refund , commissions, credits, or unearned discounts, whether in the 

form of money or otherwise, or the secret extension to certain pur- ch:::~ s r of special services or privileges not extended to all purchasers 

on like terms and conditions. 

SE '. 3. Postdating arnd Predating.-Postdating or predating of 

quotations, orders, invoices, statements, or other sales documents. 
127 

SEc. 4. Inducing Breach of Oontract.-Inducing or attempting 

to induce the breach of a contract between a competitor and his 

cu tomer during the term of uch contract; provided, however, that 

nothing in this rule hall be taken to prevent a manufacturer who 

has quoted on the material involved from calling to the attention of 

the purcha er, ev n though the order has been placed and accepted, 

that the materials for which the order has been placed do not con- form in size, quantity, or quality to those on which the quotations 

were solicited. 

SEc. 5. Repudiation of OontrYxts.-Repudiation of accepted orders 

and other contracts or their attempted cancellation, except for legal 

ca.u e or by mutual con ent. 

SEc. 6. Lwmp sum and Oombi11ation Bidding.-Quoting a total 

price on any schedule of materials which does not show, and/or 

which is lo-wer than the tilll of, the reo·ular unit prices of the articles 

comprising the schedule. 'Vhere an article consists of two or more 

parts, which them ehes are considered units by the Industry, the 

unit price of the combination article shall not be less than the sum 

of the unit prices off-he articles which comprise it. 

SEc. 7. False 111 arlcing 01' Branding.-The failure to plainly and 

permanently brand or mark for identification with the name or 

trade mark of the manufacturer all products of the industries except 

parts; and the failure to supply facsimiles of such brands or trade 

marks by each manufacturer to the Code Authority. The fals 

marking or branding of any product of the industries which has the 

tendency to mislead or deceive customers or prospective customers, 

whether as to grade, quality, quantity, substance, character, nature, 

origin, size, finish, preparation, or otherwi ·e. 

SEc. 8. llfisr'epresentation or False or llfisleGJding Ad/vertising.- The mabng Oi' causing or knowingly permitting to be made or 

publishe l any false, materially inaccurate, or deceptive statement by 

way of advertisment or otherwi e, whether concerning the grade, 

quality, quantityJ sub tance, character, nature, origin, size, finish, 

or preparation ot any product of the indu tries or the credit t rms, 

values, policies, or services of any member of the indu tries or 

otherwi e, having the tendency or capacity to mislead or deceive 

customers or pro pective customer . SEc. 9. Substitution.-The furnishing of articles more or les expen ive, of better or inferior quality, or of larger or smaller size than 

specified without making the proper adjustments in the quoted price 

and clearly indicating the nature of the sub titution. 

SEc. 10. Defamation.-The defamation of competitors or members 

of other branches of the plumbing indu try by falsely imputing t 

them eli honorable conduct, inability to perform contracts, que tionable credit tanding, or by other fal e repre entations or by the fal e 

disparagement of the grade or quality of their good . SEc. 11. Oormnercial BribeTy.-To give permit to be given or directly offe~ to give, a.nything of Yalue for the purpo e of influe_ncin~ 

or reward1ng the actwn of any employee a ent, or repre entahve ot 

another in relation to the bu ine s of the mployer of such employe , the principal of such agent or the r pre nted party without th 

knowledge of such employer, prin ir al or part, . Commer ial bribery provision · shall not be con true<.l to prohibit free and gen ral 
128 

distribution o£ articles commonly used £or advertising except so far 

as such articles are actually used for commercial bribery as hereinabov defined. SEc. 12. Protection.-The sale or offering. for sale of materials for 

stock under any form of guarantee to a purchaser or prospective purchaser against either advance or decline in the price of said product, 

ex pt as herein otherwise provided. 

SEc. 13. T lureats of Litiqation.- The publishing or circulating of 

threats of suits for infringement of patents or trade marks or of any 

other legal proceedings not in good faith with the tendency or effect 

of hara sing competitors or intnnidating their customers. 

QEC. 14. Espionage of Oompet-/tors.-Securing confidential information concerning the business of a competitor by a false or misleading statement or representation, by a false impersonation of one in 

authority, by bribery, or by any other unfair method. 

SEc. 15. Used M aterials.-Inasmuch as the handling of both new 

and second-hand building materials by the same merchant encourage substitution and misrepresentation of products to the consumer, 

t o the detriment of both the consumer and the manufacturer, the sale 

of the products of this industry by manufacturers to anyone who 

buys for resale used or damaged building materials, plumbing product , heating products, andjor pipe fittings and valves. 

SEc. 16. Other Unfarir Practices.-N othing in this Code shall limit 

the effect of any adjudication by the Courts, or holding by the Federal Trade Commission on complaint, finding, and order, that any 

practice or method is unfair, providing that such adjudication or 

holding is not inconsistent with any provision of the Act or of this 

Code. 

ARTICLE VIII-MARKETING POLICIES 

The following practices shall be followed by all members of the 

industry or industries in the marketing of their products and deviation from such practices and rules shall constitute unfair competition and is prohibited. 

SECTION 1. Orders.-All orders over $100.00 shall be signed and 

cover specified articles to be delivered on or before a definite date. 

They shall be either accepted or rejected by the manufacturer when 

r eceived. Only orders for stock for shipment within thirty days 

of elate of receipt of order, and orders for specific jobs, will be 

accepted at the prices in effect at date of receipt of order. All 

other orders shall be subj ect to the prices in effect at date of shipment. The minimum size and maximum delivery time for specific 

job orders shall be prescribed from time to time, and exceptions to 

thi rule allowed by the Code Authority. 

SEc. 2. Invoices.-All sales shall be invoiced at the time of shipment and such invoices together with credit memoranda and all 

other documents relating to the sale, shall clearly and accurately 

state all of the essential elements of the sale, including types and 

sizes of products, quantities, prices, credit terms, discounts, allowances, date of order, date of acceptance, date of shipment, and other 

pertinent information. Copies of invoices, together with credit 

memoranda and aU other sales documents, shall be filed with the 
129 

Code Authority as and when directed by the Cod€ Authority, and 

in the event of a complaint, sworn copies of invoice , credit memoranda, and all other sales documents shall be sent inunediately to 

the Code Authority upon its request. • 

SEc. 3. Standardization of Products.-After uniform sizes, drillings, grading rules, and minimum specifications shall have been 

established by the industry subject to review by the Administrator, 

proper charge shall be made for deviation therefrom. 

SEc. 4. Grading.-No manufacturer shall sell in the United States 

other than first-grade products guaranteed against manufacturing 

defects. Such guarantee shall be uniform among all manufacturers, 

as specified by the Code Authority, and shall provide for furnishing new products of the same type and size to replace those which 

have proved defective on the same basis as the original purchase, 

but it shall not cover charges for labor or consequential damages, provided, however, that in exceptional cases, a manufacturer may 

make additional allowances because of defective materials upon 

filing a complete r_eport thereof with the Code Authority. 

SE.C. 5. Field lnspection.-No manufacturer shall allow credit 

for a defective articJe until the fact of such defect shall have been 

established by an authorized representative of the manufacturer and 

the article shall have been destroyed or returned to the manuf!:l.cturer, 

except as may be otherwise required by law, or a court of compet~nt 

jurisdiction. Deviation from this rule as to each industry may bs 

permitted by a majority vote of the members thereof. 

SEc. 6. 0 onsigned Stocks.-N o manufacturer shall consign stocks 

of the products of these industries to distributors, contractors, manufacturers' agents, andj or others. All consigned stocks in existence 

on the effective date shall be entirely liquidated by the consigning 

manufacturer as soon as practicable and within a period of not to 

exceed 90 days therefrom or at the expiration of contracts existing 

on tha.t date which by their terms can11ot be terminated within 90 

days, copie of such contracts to be filed with the Code Authority. 

SEo. 7. Distribution.-The functions of manufacturing, wholesaling, and retailing the products of these industries each constitute 

a separate business. 

In re ognition of the fact that the products of these industries 

manufactured by the signatories of this Code could not be installed 

in ultimate service without the assembling, warehousing, and bulk 

selling of accessory and complementary products performed by 

wholesalers in the plumbing industry, said wholesalers, in consideration of such service and in consideration of purchasing in wholesale quantities, shall be entitled to and shall receive a di count from 

published prices greater than the discount accorded to any person, 

firm, or corporation, that does not perfor1L th as embling, warehousing, and bulk selling functions hereinbefore described. Ths 

difference between the di co mt allowed to whole 'alers and the ui '-

count accorded to other purchasers i to be d termined by each 

individual manufacturer; but in no case is it to be le s than a p rcentage determined by the Code Authority, with he apr roval of the 

Administrator, and modifications made from tim to time, ba ed on 

a study of the value to the consumer of the distributing, a embling, 

and warehousing functions. Such study shall be made by an im-
130 

partial fact-finding agency under the direction of the Code 

Authority. 

No manufacturer may sell on the wholesaler purchase price level 

except to an individual, firm, corporation, or other person who buys 

and assembles at wholesale and sells plumbing supplies to retailers 

or to the retail division of his own business ; has a proper investment in his business; maintain an adequate showroom, a warehouse, 

and sufficiently complete stock of such commodities to meet the normal plumbing supply requirements of his trade in his territory and 

maiJ;ttains an adequate bookkeeping system, sales office, and delivery 

~erv1ce. 

Manufacturers' sales to all others who purchase the produds of 

these Industries for resale shall be on the retailer purchase price 

level, and no manufacturer shall sell the products of these Industries 

to any one other than for resale, except to employees for their own 

use. 

No manufacturer shall sell the products of these Industries to 

anyone except to manufacturers subject to this Code at better than 

his wholesaler purchase price level. Customers who qualify for such 

level may be further classified by eacli manufacturer on the basis of 

volume of purchases or on any other basis as specified in his published prices and other conditions of sale which he has filed with the 

Code Authority in accordance with Section 10 of this Article, but in 

no event shall the special discount exceed five ( 5%) percent beyond 

the net price for the wholesaler level. 

Each manufacturer shall file with the Code Authority, when required by it, but in confidence, the names of customers sold by him 

on each price level, his schedule of special discounts, and such other 

information as the Code Authority may require. If the Code Authority, after investigation, finds that any manufacturer has classified a customer contrary to the provisions of this Section, it shall 

so notify the manufacturer and require him thereafter to sell such 

customer on the proper level. 

Any manufacturer engaged in more than one level of the Plumbing lnd us try (manufacturing-wholesaling-retailing) shall conduct 

each bu iness separately and with an individual system of accounting 

for each in accordance with the respective codes for the various 

levels of the Industry. In order that the consumer may be informed of the fair prices of 

products of the Industries, each manufacturer shall publish and 

distribute a suggested fair price for sales to the consumer of each of 

his products, except parts and specialties.* 

SEc. 8. 0 ost Protection.-The Code Authority shall promptly 

cause to be developed and submitted to the Administrator a uniform 

y tern of cost accounting designed to make possible the accurate 

determination by each member of the Industries of his own individual co t. 

Upon approval by the Administrator of such system of cost accounting, necessary information concerning it shall be distributed 

by the Code Authority to all members of the Industries. 

Thereafter, no manufacturer shall sell or exchange his products 

in the United States (except on close-outs) at a price or upon such 

terms and conditions as will result in the customer paying for such 

• See paragraph 2 of order approving this Codo. 
131 

goods less than the cost to the seller of producing and marketing 

the same in this country as determined by the uniform cost accounting system; provided, however, that he may sell below his cost 

when necessary to meet the price of any equivalent product of any 

competitor against whom he is bidding for any specitic job or order. 

All such case are to be r eported i1mnediately to the Code Authority. 

When a manufacturer is engaged in nwre than one line of bu iness, each busine s shall be considered a separate unit for purposes 

of ascertaining costs, and general expenses of all kind. shall be properly and fa.irly allocated to the several business units. 

SEc. 9. Unifo1"m T ernM of Sale.-No manufacturer ...,hall sell his 

products on any basis more favorable to the purchaser than the 

credit tenns, ca h discounts for early payments and shovvroom d. scounts, established from time to time by the Code Authority in 

cooperation with the r e pective associations. 

SEc. 10. Published Zists.-\Vithin ten (10) days after the effective date of this Code, each manufacturer shall publish and distribute among each class of purchaser whom he sells, his price li ts 

applicable to that class for variou types und sizes of products, 

including in ·uch lists or in supplementary \\riting.:, copies of 

which must be filed with the Code ~-nthorit~·, all of his conditions 

of sale, including trade discounts, for such cla s of customers. All 

changes in such price lists, discounts, and conditions of sale shall 

be filed with the Code Authority im1nediately upon p ·blication 

thereof. The Code Authority shall distribute such price information 

except the special discounts provided in Section 7 of thi, Article 

to all manufacturers of the respective Industry. No manufacturer 

shall sell his products in the United States,· except on close-outs, 

to anyone, except to employees for their own use for any purpo e 

whatsoever, at any prices or on any terms and conditions other 

than those indicated in his publi._ hed ljsts; provided, however, that 

he may sell any of his products at the price of any eqniYalent product of any competitor who is offering to sell below his own published 

prices or terms. All such cases shall be r eported promptly to the 

Code Authority. 

SEc. 11. Olose-outs.-A manufacturer may ell, at less than h1s 

published prices, products acknc\\ledged by the Code Authority to 

be obsolete. Invoices for such sales shall be clearly marked " Special 

Price on Account of Close-out." 

ARTICLE IX-MODIFICATION 

SEcTION 1. Presidential M odification.-This Code and all the pro' isions thereof are expressly made subject to the right of the President1 in accordance with the provisions of sub ection (b) of Section 10 ot 

the National Industrial Recovery Act, from time to time to cancel 

or n1odify any order, approval, license, rule, or regulation issued 

under Title I of said Act and specifically, but without limitation, to 

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

Code or any conditions imposed by him upon hi approval thereof. 

By presenting this Code, however, the member of these Industries 

and others assenting hereto do not thereby con nt to any modification thereof, and t11ey reserve the right to object individually or 

jointly to any such modification. 
132 

SEc. 2. Amendment and T e7'mination.-Such of the provisions of 

this Code as are not required to be included therein by the Act may 

be modified, added to or eliminated, or this Code may be terminated 

in its entirety at any time in the manner hereinafter provided, subject, however, to the provisions of Section 7 of Article VIII. 

Proposals for modifying or eliminating provisions of this Code 

or for adopting additions to or substitutions :for the Code or for 

terminating the Code in its entirety may be made in writing tAl the 

Code Authority by any member of the Industries subject to this 

Code. The Code Authority shall include such proposal in full in 

the written notice o£ the next meeting of the Industries. The question o£ the adoption of such proposal shall be voted upon at such 

meeting, and, i£ a majority in plant capacity and number o£ the 

members of the Industries present vote in favor o£ such proposal, the 

Code Authority shall present such proposal to the N.R.A. for Presidential approval when such approval is required. Such proposal 

ehall provide for its effective date. The provisions of this paragraph 

shall not constitute a limitation upon any right to propose modifications or amendments to this Code which may be granted or conferred 

by the Act. 

ARTICLE X-MONOPOLIES, ETC. 

No provisions o£ this Code shall be so aJ?plied as to permit monopolies or monopolistic practices, or to elirrunate, oppress, or discriminate against small enterprises. 

ARTICLE XI-SUBTERFUGE 

No manufacturer shall use any subterfuge to frustrate the spirit 

and intent of this Code. 

ARTICLE XII-EFFECTIVE DATE 

This Code shall become effective on the first or the sixteenth day 

o£ the month, whichever shall first occur, after its approval by the 

President. 

Approved Code No. 204. 

Registry No. 1129-03. 

0 

UNIVERSITY OF FLORIDA 

1111111111111111111111111111111111111111111111111111111111111111 

3 1262 08584 2077 

.... ~