Approved Code No. 84-Supplement No.5 Registry No. 1414-11 

NATIONAL RECOVERY ADMINISTRATION 

SUPPLEMENTARY 

CODE OF FAIR COMPETITION 

FOR THE 

RAILWAY CAR APPLIANCES 

INDUSTRY 

A Division of the Fabricated Metal Products 

Manufacturing and Metal Finishing 

and Metal Coating Industry 

AS APPROVED ON FEBRUARY 9, 1934 

U iV. OF FL Ll · 

DQCUWENTS D 

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WE DO OUR PARr 

L--..:.:.~------r ITTIED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1934 

For sale by the Superintende nt of Documents, Washington, D .C. - - - - - - - - Price 5 ce::ats 

v 
This puhlication is for ale by the Superintendent of Documents, Government 

Printing Office, \rashington D. C., and by district offices of the Bureau of 

Foreign and Dome tic Commer ce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 504 Post Office Building. 

Birmingham, Ala.: 257 Federal Building. 

Boston, Ma .: 1 01 Cu tomhouse. Buffalo, ~ . Y.: Chamber of Commerce Building. 

harleston, S.C. : Chamber of Commerce Building. Ch icago, Ill.: , uite 1706, 201 North Wells Street. 

Cleveland, Ohio: Chamber of Commerce. 

Dalla . , Tex.: Cham her of Commerce Building. Detroit, Mich.: 801 Fir t National Bank Building. 

Hou -ton , Tex. : Chamber of Commerce Building. 

Indianapolis, Ind.: hamber of Commerce Building. J acksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Calif.: 1163 South Broad·way. 

Louisville Ky.: 408 Federal Building. 

Memphi , Tenn.: 229 Federal Building. Minneapolis, Minn.: 213 Federal Building. 

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

e"· York, r.Y.: 734 Customhouse 

Torfolk Va. : 406 East Plume Street . 

Philadelphia, Pa.: 422 Commercial Trust Building. Pitt burgh, Pa.: Chamber of ommerce Building. 

Portland, Oreg.: 215 Tew P ot Office Building. 

St. Louis, Mo.: 506 Olh·e Street. 

San Francisco, Calif.: 310 Customhou e. 

Seattle, Wa h.: 809 Federal Office Building. 
Approved Code No. 84-Supplement No.5 

SUPPLEMENTARY CODE OF FAIR COMPETITION 

FOR THE 

RAILWAY CAR APPLIANCES INDUSTRY 

As Approved on February 9, 1934 

ORDER 

APPROVING SuPPLEMENTARY ConE oF FAIR CoMPETITION FOR THE 

RAILWAy CAR APPLIANCES INDUSTRY 

A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURIJ\'G 

AND METAL FINISHING AND METAL COATING 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, and in accordance with the 

provisions of Section 1 of Al·ticle VI of the Basic Code for the Fabricated Metal Products Manufacturing and Metal Finishing and 

Metal Coating Industry, approved November 2, 1933, for approval of 

a supplementary Code of Fair Competition for the Railway Car 

Appliances Industry; and hearings having been duly held thereon; 

and the annexed report on said Supplementary 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 Supplementary 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 

Supplementary Code of Fair Competition be and it is hereby approved. 

Approval recommended. 

w. A. HARRIMAN, 

HuGHS. JoHNSON, 

Administrator for Industrial Recovery. 

Division Administrator. 

wASHINGTON, D .C., 

February 9, 1934. 

39359°----3/6-39----34 (1) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White House. 

SrR: This is a report on the Supplementary Code of Fair Competition 

for the Railway Car Appliances Industry, a division of the Fabricated 

Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, the hearing having been conducted thereon in Wash- ington, D.C., January 8, 1934, in accordance with the provisions of 

Title I of the National Industrial Recovery Act. 

GE ERAL STATEMENT 

The Railway Car Appliances Industry, being truly representative 

of this division of the Fabricated Metal Products Manufacturing and 

Metal Finishing and Metal Coating Industry, has elected to avail 

itself of the option of submitting a Supplementary Code of fair practice 

as provided for in Section 1 of Article VI of the Basic Code, for the 

Fabricated 1\1etal Products Manufacturing and Metal Finishing and 

Metal Coating Industry approved by you on the second day of 

November 1933. 

R~SUM~ OF THE CODE 

Article I states the purpose of the Supplementary Code. 

Article II accurately defines specific terms employed in the Supple- mentary Code. 

Article III. This Industry is a division of the Fabricated Metal 

Products Manufacturing and Metal Finishing and Metal Coating 

Industry and the labor provisions of its Basic Code, as approved 

November 2, 1933, are the labor provisions of this Supplementary 

Code. 

Article IV establishes a Supplementary Code Authority consisting 

of five (5) members who shall be elected by the members of the Industry at a meeting called by the Temporary Supplementary Code Authority, and gives the Administrator the authority to appoint one 

additional member without vote and provides machinery for obtaining 

statistics and the administration of this Code. 

Article V sets forth the fair trade practices of this Supplementary 

Code which has been especially designed to effect fair competition in 

this division of the Industry. 

Article VI contains the mandatory provisions contained in Section 

10 (b) of the Act. 

Article VII provides against monoplies and monopolistic practices, 

and recognizes that price increases be limited to actual additional 

increases in the seller's costs. 

Article VIII provides for the submission of amendments to the 

Supplementary Code. 

Article IX states the effective date of this Supplementary Code. 

(2) 
3 

FINDINGS 

The Assistant Deputy Administrator in his final report to me on 

said Supplementary Code having found as herein set forth and on the 

basis of all the proceedings in this matter-

! find that: 

(a) Said Supplementary 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 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 maintainiug united action of labor and managmnent 

under adequate governn1ental sanctions and supervision, by ebminat- ing unfair competitive practices, by promoting the fullest possible 

utilization of the present productive capacity of industries, by avoid- ing 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 other- vvise reha bili ta ting indus try. 

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

(c) The Supplementary Code as approved complies in all respects 

with the pertinent provisions of said Title of said Act, including 

without limitation Subsection (a) of Section 3, Subsection (a) of 

Section 7, and Subsection (b) of Section 10 thereof; and that the 

applicant association is an industrial association truly representative 

of the aforesaid Industry; and that said association imposes no inequitable restrictions on admission to membership therein. 

(d) The Supplementary Code is not designed to and will not 

pern1it monopolies or monopolistic practices. 

(e) The Supplementary 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 

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

Code. 

Respectfully, 

HuGH S. JoHNSON, Administrator. 

FEBRUARY 9, 1934. 
SUPPLE1\1ENTARY CODE OF FAIR COMPETITION FOR 

THE RAILWAY CAR APPLIANCES INDUSTRY 

A DIVISIO OF THE FABRICATED METAL PRODUCTS MANUFACTURING 

A ID METAL FINISHING AND METAL COATING I TDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the policies of Title I of the National Industrial 

Recovery Act, the following provisions are established as a Supple- mentary Code of Fair Competition for the Railway Car Appliances 

Industry. Pursuant to Article VI of the Basic Code of Fair Competi- tion for the Fabricated 11etal Products Manufactw·ing and Metal 

Finishing and 11etal Coating Industry, approved by the President of 

the United tates on the second day of November 1933, the provi- ions of this upplementary Code shall be the standard of fair compe- tition for and in place of the Ba ic Code and shall be binding upon 

eyery member thereof. 

ARTICLE II-DEFL ITIONS 

The term "Railway Car Appliances Industry", as u ed herein, 

mean the manufacturing, assembling, and n1arketing of articles 

compo ed principally of ferrous metal specially designed for use in the 

con truction or repair of railway cars, except by car builders and 

except ca ting , wheel , springs, draft gears, steel tires, brake beams, 

and articles covered under the Code of the Railway Safety Appliance 

Indu try. . The term 1 member of the Indu try ' as used herein includes but 

without limitation any individual; partner hip, a sociation, corporation or other form of enterpri e engaged in the Industry either as an 

employer or on his or it own behalf. 

The terms " Pre ident ", 1 Act", and Admini trator ' as used 

herein hall nwan respectively the President of the United States, 

Title I of theN ational Indu trial Recoyery Act, and the Administrator 

for Indu trial Recovery. 

The term "Ba ic Code ' as u ed herein, is defined to n1ean the 

Basic Code of Fair Competition for the Fabricated 11etal Products 

1vlanufacturing and 1\Ietal Finishing and Metal Coating Industry, as 

approved by tbe President on the second day of November 1933. 

The term "employee" as u ed herein includes anyone engaged in 

the Indu try in any capacity receiving compensation for his services, 

irre pective of the nature or rnethod of payment of such compensation. 

The term "employer" as u ed herein includes anyone by whom any 

snch employ e is compensated or employed. 

The term 11 A ociation ", a u ed herein, is defined to n1ean the 

Railway Car Appliance As ociation or its uccessor. 

The term "Supplementary Code Authorit " a used herein is 

defined to mean the agency which i to admini ter thi upplementary 

Code a hereinafter pro ided. 

(-!) 
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The term "Federation" as used herein is defined to mean the 

Fabricated Metal Products Federation or its successor. 

ARTICLE III-EMPLOYMENT 

This Industry is u division of the F[l bricated 11eta.l Products 

Manufacturing a:c.d Metal Finishing and Metal Coating Industry 

and the wage, hour and labor provisions in Article III of its basic 

code as approved by the President November 2, 1933, including 

Section 1 of said Article III by which the provisions of Subsections 

(1), (2) and (3) of Section 7 (a) of Title I of the Act are 1nade conditions 

of this Code, are specifically incorporated herein and made a part 

hereof as the wage, hour and labor provisions of tlus Supplementary 

Code. 

ARTICLE IV- ORGA1TIZATION AND AD:\>IINrTRATION 

SEcTION 1. During the period not to exceed 60 days following the 

effective date, the Supplementary Code Committee of the Association shall constitute a Ten1porary Supplementary Code Authority 

until the Supplementary Code Authority is elected. 

There shall be constituted within the 60-day period a Supplementary Code Authority consisting of 5 rnembers, to be elected by 

the members of the Industry, at a meeting called by the Temporary 

Supplementary Code Authority, upon 10 days' notice sent by registered mail to all known members of the Industry who may vote either 

in person or by proxy. The members of the Supplementary Code 

Authority first elected shall serve until the following annual meeting 

of the Association, and thereafter men1bers of the Supplementary 

Code Authority shall be elected at each annual meeting of the 

Association to serve until the following annual meeting. 

The members of the Supplementary Code Authority shall be elected 

in the following manner: 

(a) One member who shall be a member of the Industry by a majority vote of all known members of the Industry present in person or by 

proxy, each member to have one vote. 

(b) One member who is not a member of the Association by a n1ajority vote of all known members of the Industry, present in person or by 

proxy, each member to have one vote. (c) Three members by a fifty-one percent vote of members of the 

Association, present in person or by proxy, on the basis of one vote 

for each member of the Association and one additional vote for each 

One Hundred Thousand Dollars of net sales in the Industry made by 

such member during the calendar year ended on the December 31st 

next preceding; provided, however, that no one member may cast 

more than thirty-three and one-third percent of the total number of 

votes cast. 

A vacancy in the member hip of the Supplementary Code Authority 

n1ay be filled by a majority vote of the remaining rnembers of the 

Supplementary Code Authority. 

Provided, however, that no member of the Industry who is delinquent in the payment of his share of the expenses of the Administration of this Supplementary Code shall hBve the right to vote. 

In addition to the membership as above provided, the Administrator may appoint one member without vote and without expense to the 
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Industry unless the Supplementary Code Authority agrees to bear 

such expense, to serve with the Supplementary Code Authority in its 

administration of this Supplementary Code. Such member, when 

appointed, shall be given reasonable notice of each meeting of the 

Supplementary Code Authority. 

SEc. 2. With a view to keeping the Administrator informed as to 

the observance or nonobservance of this Supplementary Code, and as 

to whether the Industry is taking proper steps to effectuate, in all 

respects, the declared policy of the National Industrial Recovery 

Act, each member of the Industry shall furnish to the Association for 

transmission in composite form to the Fabric.ated Metal Products 

Federation on forms prescribed by it duly certified reports covering 

employment ~tnd production statistics. The statistics covered by 

this section shall conform with those which may be required by the 

Administrator. 

SEc. 3.-The Association is hereby constituted the agency to collect 

and receive such reports. SEc. 4. Neither the Association nor the Fabricated Metal Products 

Federation nor its successors shall disclose any individual report, but 

may make and distribute composites and averages. 

SEc. 5. To further effectuate the policies of the Act, the Supple- mentary Code Authority shall administer this Supplementary Code 

and shall hold itself in readiness to assist and keep the Administrator 

fully advised and to meet with the Admini trator's representative from 

time to time as requested ; to consider and study any suggestions or 

proposals presented upon behalf of the Administrator or any member 

of the Industry regarding the operation, observance, or administration 

of this Supplementary Code. 

SEc. 6. There shall be no inequitable restrictions imposed on admission to membership in the Association and the Association shall 

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

bylaws, regulations, and any amendments wben n1ade thereto, to- gether with such other inforn1ation as to membership, organization, 

and activities as the Administrator may deem necessary to effectuate 

the purposes of the Act. 

SEc. 7. If the Administrator, after such bearings and notice as 

he may deem proper, finds that the Supplementary Code Authority 

is not truly representative of the members of the Industry or does 

not in other respects comply with the provisions of the Act there 

shall be a reasonable and appropriate modification of the n1ethod of 

selection of the Supplementary Code Authority by the n1embers of 

of the Industry, which .shall not become effective until approved by 

the Administrator. 

SEc. 8. When formal complaint is made to the Supplementary 

Code Authority by any member of the Industry that any of the 

provisions of this Supplementary Code have been violated by any 

employer or group of employers, the Supplementary Code Authority 

may make or cause to be made such investigation as is necessary to 

establish the facts pertaining to the complaint and attempt to adjust 

the same and if unsuccessful shall report the same to the Adminis- trator, provided, however, the Supplementary Code Authority shall 

not knowingly take any action in violation of any lawful rules and 

regulations promulgated by the Administrator relating to the 

administration of this Supplementary Code. 
7 

SE?· 9. Nothing contained in this Supplementary Code shall 

constitute the members of the Supplementary Code Authority 

partners for any purpose; nor shall any member of the Supplementary 

Code Authority be liable in any m.anner to anyone for any act of 

any other member, officer, agent, or employee of the Supplementary 

Code Aythority . . ~or shall any nleJ:??er of t!1e Supplementary Code 

Authonty, exerci Ing reasonable diligence m the conduct of his 

duties hereunder, be liable to anyone for any action or omission to 

act under this Supplementary Code, except for his wilful misfeasance 

or nonfeasance. 

SEc. 10. All members of the Industry shall be entitled to participate in and share the benefits of the activities of the Supplementary 

Code Authority; shall be entitled to vote in the selection of those 

members of the Supplementary Code Authority deseribed in subparagraphs (a) and (b) of Section 1 of this Article IV; and shall pay 

their reasonable share of the expenses of the administration of this 

Supplementary Code, such rea onable share to be determined by the 

Supplementary Code Authority on the basis of net volume of sales 

in the Industry during the calendar year ended on the December 31st 

next preceding. Whenever a sales company substantially owns or is 

substantially owned by a manufacturing con1pany, both the sales 

company and the manufacturing company shall be regarded as one 

entity for the purposes of this Supplementary Code. 

SEc. 11. If the Administrator shall determine that any action of a 

code authority or any agency thereof may be unfair or unjust or 

contrary to the public interest, the Administrator may require that 

such action be suspended to afford an opportunity for investigation 

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

n,uthority 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. 

ARTICLE V-TRADE PRACTICE RU:!:.,ES 

The following acts as described shall constitute unfair methods of 

competition in lieu of the Trade Practice provisions of the Basic 

Code. Any member of the Industry who shall directly or indirectly, 

through any officer, employee, agent, or representative, use or employ 

any of such unfair methods of competition shall be guilty of a violation of this Supplementary Code. 

A. The sale of any product below the cost of such product to the 

individual member of the Industry. In determining all overheads, 

selling, collection, distribution, and delivery expense, the percentages 

applicable to the year 1926 may be used if lower than current figures. 

This rule A shall not apply to products sold. for experimental qr test 

purposes, nor to samples, nor to products sold for repair purposes in 

small quantities. Selling below cost to meet existing competition 

shall not be deemed a violation of this rule A. 

B. To imitate or simulate the trade n1ark or trade name of a 

competitor's product to such a degree as to deceive or have a tendency 

to deceive customers. 

C. The false marking or branding of any product of the Industry, 

which has the tendency to mislead or deceive customers or prospective 
8 

customers, whether as to grade, quality, quantity, subst nce~ character, nature, origin, size, finish, or preparation of any product of the 

Industry. 

D. The causing or knowingly permitting to be published any intentionally and materially false or incorrect statement by way of advertisement, whether concerning the grade, quality, quantity, substance, 

character, nature, origin, size, finish, or preparation of any product 

of the Industry. 

ARTICLE VI-MoDIFICATION 

SECTION 1. This Supplementary Code and all the provisions thereof 

are expressly made subject to the right of the President, in accordance 

with provisions of 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. 

SEc. 2. No person consenting to this Supplementary Code shall be 

held to have consented to any modification hereof. 

ARTICLE VII-MoNOPOLIES 

SECTION 1. No provision of this Supplementary Code shall be 

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

eliminate, oppress, or discriminate against small enterprises. 

SEc. 2. This Supplementary Code shall not affect patent rights. 

SEc. 3. Whereas the policy of the Act to increase real purchasing 

power will be made more difficult of eonsummation if prices of goods 

and services increase as rapidly as wages, it is recognized that price 

increases except such as may be required to meet individual costs 

should be delayed, but when made, such increases should, so far as 

practicable, be limited to actual additional increases in the seller's 

costs. 

ARTICLE VIII-AMENDMENTS-TERMINATION 

This Supplementary Code, except as to provisions required by the 

Act, may be amended or modified from time to time, such amend- ments and modifieations to be based upon application by the Sup- plementary Code Authority or representative members of the Industry, to the Administrator and such notice and hearing as he shall 

specify and to become effective as part of this Supplementary Code 

on approval by the Administrator. 

Tllis Supplementary Code shall continue in effect until June 16, 

1935, unless prior thereto Title I of the National Industrial Recovery 

Act ceases to be in effect. 

ARTICLE IX-EFFECTIVE DATE 

This Supplementary Code shall become effective on 12:01 A.M . on the fust Monday after the fourth day after its approval by the 

President. 

Approved Code No. 84, Supplement No. 5. 

Registry No. 1414-11. 

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UNIVERSITY OF FLORIDA 

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