Approved Code No. 84-Supplement No. 39 Registry No. 1118-27 

NATIONAL RECOVERY ADMINISTRATION 

SUPPLEMENTARY 

CODE OF FAIR COMPETITION 

FOR THE 

PRISON EQUIPMENT 

MANUFACTURING INDUSTRY 

(A Division of the Fabricated Metal Products 

Manufacturing and Metal Finishing 

and Metal Coating Industry) 

AS APPROVED ON JULY 5, 1934 

WE DO OUR PART. 

f • I O :- --- • ~ #& I'<, 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

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

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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. 

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Approved Code No. 84-Supplement No. 39 

SUPPLEMENTARY CODE OF FAIR COMPETITION 

FOR THE 

PRISON·EQUIPMENT MANUFACTURING 

INDUSTRY 

As Approved on July 5, 1934 

ORDER 

APPROVING SUPPLEMENTARY CODE OF F AIR COMPETITION FOR THE 

PRISON EQUIPMENT MANUFACTURING INDUSTRY 

A DIVISION OF THE FABRICATED METAL PTIODUCTS MANUFA.CTURING 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 Article VI of the Basic Code fo,r 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 Prison Equipment Manufacturing Industry, and hearing having been duly held 

thereon; and the annexed r eport on said Supplementary Code, containing findings with respect thereto, having been ma.de 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 approYed. 

HUGH s. JOHNSON' 

Aclminisfrator for Industrial Recovery. 

Approval recommended: 

BARTON w. MURRAY, 

Dvvision Administrator. 

w ASHINGTON, D.C., 

July 5, 1934. 

72197°-829-24-84 (1) 
REPORT TO THE PRESIDENT 

THE PRESIDENT, 

The White House. 

Srn : This is a report on the Supplementary Code of Fair Competition for the Prison Equipment Manufacturing Industry, a division 

of the Fabricated Metal Products Manufacturing and I\1etal Finishing and Metal Coating Industry, the hearing having been conducted 

thereon in vVashington, D. C., June 5, 1934, in accordance with the 

provisions of Title I of the National Industrial Recovery Act. 

GENERAL STATEMENT 

The Prison Equipment Manufacturing I ndustry being truly representative of this division of the Fabricated 1fetal Products 11anufacturing and Metal Finishing and Metal Coating Indu try, has 

elected to avail itself of the option of submitting a Supplementary 

Code of Fair Competition, as provided for in Section 1 of Article VI 

of the Basic Code, for the Fabricated Metal Products Manufacturing 

and Metal Finishing and Metal Coating Industry approved by you 

on the second day of November, 1933. 

RESUME 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 Ba ic Code, as approved 

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

Code. 

Article IV establishes a Supple1nentary Code Authority consisting of five (5) members to 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 the Supplementary Code. 

Article V provides for an accounting system and methods of cost 

finding and/or estimating. 

Article VI covers the selling below cost provisions but does not 

prohibit sales below cost to meet competition. 

Article VII sets forth the unfair trade practices of this Supplementary Code which has been especially designed to offset unfair 

competition in this division of the Industry. 

Article VIII provides for bidding practices. 

Article IX provides against monopolies and monopolistic 

practices. 

(2) 
3 

Article X contains the mandatory prov1 10ns contained in Section 10 (b) an l al o proviclel for the ubmi ion of pr po eel am ndment to the upplementary od . 

rticl XI, rec gnize that pric in rease be limited to a tual additional in rea e in the sell r' co t. 

Article XII tates the effective date and duration of this Sup1 le- mentary Code. 

FINDINGS 

Th A si tant Deputy Admini trator in his final r eport to me on 

said upplementary Code having found as herein set forth and on 

the ba i of all the proceeding in this matter: 

I find that: 

(a) Said Supplementary Code is well desi<Yned to promote the 

policie and purpo e of Title I of the ational Industrial Recovery 

Act, including removal of ob tructions to the free flow of inter tate 

an l foreign commerce which tend to diminish the amount thereof 

and will provide for the general welfare by promoting the organiza- tion of industry for the purpo e of cooperati, e action am.ong the 

trade groups by inducing and maintaining unite l action of labor 

and management under adequate governmental sanction and supervi ion, by eliminating unfair competitive practices, by promoting 

the fulle t po ible utilization of the present productive capacity of 

industrie , by avoiding undue restriction of production ( except as 

may be temporarily required), by increasing the con umption o-f 

indu trial and agricultural products through increasing purcha ing 

power, by re lucing 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 cla sified 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, inclu ling 

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

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

applicant Association is an industrial Association truly representative of the afore aid Industry; and that said Association imposes 

no inequitable restrictions on admission to member hip therein. 

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

permit monopolies or monopolistic practices. 

( e) 'I he Supplementary Code is not designed to and will not 

eliminate or oppress small enterprises and will not operate to discriminate against them. 

( f) Tho e engaged in other steps of the economic proce s have 

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

Supplementary Code. 

For the e rea ons, therefore, I ha-v-e approved this Supplementary 

Code. 

Respectfully, 

HuGH S. JorrNsoN, 

A dminist1·ator. 

JULY 5, 1934. 

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SUPPLEM:ENTARY CODE OF FAIR COMPETI TION FOR 

THE PRIS ON EQUIPMENT MANUFACTUR I NG 

INDUSTRY 

A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AND 

METAL FINISHING AND METAL COATING INDUSTRY 

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 Prison Equipment Manufacturing Industry, pursuant to Article VI of the Basic Code of 

Fair Competition for the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, approved by 

the President of the United States on the second day of November, 1933, and the provisions of this Supplementary Code shall be the 

standards of fair competition for the Industry and shall be binding 

upon every m-ember thereof. 

ARTICLE I I-DEFINITIONS 

SECTION 1. (a) The term "Prison Equipment Manufacturing I ndustry" or the "Industry", as used herein, is defined to mean the 

manufacturing and/or offering to sell, and/ or selling and/or installation by the member of the Industry in whole or in part, of industry 

products and/or parts for use in connection therewith or incident 

thereto. 

(b) The term "industry products ", as used herein, is defined to 

mean and include cells, cell fronts, locking and operating devices, 

locks, cell furnishings, windows, window guards, grilles, gratin~ and 

plate partitions and doors, and related specialties and parts of corrective institution equipment for jails, prisons, reformatories, asylmns and other penal and/ or corrective institutions, in which public 

peace and safety require inmates to be confined and prevented from 

escape by all possible mechanical safeguards. 

SECTION 2. The terms "President", "Act", and "Administrator" 

as used herein shall mean, respectively, the President of the United 

States, Title I of the National Industrial Recovery Act, and the Administrator for Industrial Recovery. 

SECTION 3. The term "member of this Industry" as used herein 

includes but without limitation any individual, partnership, associa- tion, corporation or other form of -enterprise engaged in this Industry either as an employer or on his or its own behalf in manufacturing, and/or offering to sell, and/ or selling and/ or installation in 

whole or in part of industry products. 

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

mean the Basic Code of Fair Competition for the Fabricated Metal 

(4) 
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Products Manufacturing and Metal Finishing and Metal Coating 

Industry a approved by the President of the United States on the 

second day of November 1933. 

SECTION 5. The term "employee" as used herein includes any and 

all persons engaged in the Indu try, however compensated, except :1 

member of the Industry. 

SECTION 6. The term "employer" as used herein includes anyone 

by whom any uch employee is compensated or employed. 

SECTION 7. The term "Supplementary Code Authority" as used 

herein means the ao·ency which is to administer this Supplementary 

Code as hereinafter provided. 

SECTION 8. The term " Supplementary Code Committee " as used 

herein is defined to mean the com.mittee authorized to present this 

Supplementary Code. 

SE TION 9. The term "Confidential Agent" as used herein is 

define l to mean the impartial agency designated by the Supplementary Code Authority. 

SECTION 10. The term. "Association" is defined to mean the Corrective In titution Equipment Association or its successor. 

SECTION 11. The term " Federation" as used herein is defined to 

mean the Fabricated ~fetal Products Federation or its successor. 

AnTICLE III-EMPLOYMENT PnovrsIONS 

This Industry is a division of the Fabricated Metal Products 

~Ianufacturing and l\1etal Finishing and JVIetal Coating Industry 

and without limitation 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 sub-sections (1), (2) and (3) of Section 7 (a) of Title I 

of the Act are made conditions of this Code, are specifically incorporated herein and made a part hereof as the wage, hour and labor 

provisions o:f this Supplementary Code. 

ARTICLE IV-ORGANIZATION AND Anl\IINISTRATION 

SECTION 1. During the period not to exceed sixty (60) days following the effective date of this Supplementary Code, the Supplementary Code Committ€e of the Industry shall constitute a temporary Supplementary Code Authority until the Supplementary Code 

Authority is elected. There shall be constituted within the sixtyday period a Supplementary Code Authority consisting of five ( 5) 

members to be elected by the members of the Industry, at a meeting 

called by the Temporary Supplementary Code Authority. The 

111.embers of the Supplementary Code Authority first elected shall 

serve until the following annual meeting of the Association, and 

thereafter members of the Supplementary Code Authority shall be 

elected at each annual meeting of the Industry to be held at the time 

and pla·ce of each annual meeting of the Association to serve for 

one year and until their successors are elected and qualified; ten days' 

advance notice of all meetings to be held hereunder shall be sent 

by regi tered mail to all members of the Industry, whose names may 

be ascertained after diligent search, who may vote either in person 

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or by proxy. The members 0£ the Supplementary Code Authority 

shall be elected in the following manner : 

(a) One member who shall be a member 0£ the Industry by a 

majority vote 0£ all members 0£ the I ndustry present in person or 

by proxy, each member to have one vote. 

(b) Four members who shall be members of the Industry and also 

members of the Association, by a fifty-one percent vote of the mem- bers of the Industry, present in person or by proxy, weighted on the 

basis of one vote for each member and one additional vote for each 

$100,000 of annual sales of industry products averaged over the pre- ceding five calendar years reported to the Supplementary Code Authority. Provided, however, that no one member may cast more 

than 20 percent of the total number of votes cast. 

A vacancy in the membership of the Supplementary Code Authority shall be filled by a majority vote of the remaining members 

of the Supplementary Code Authority, provided, however, that the 

member of the Supplementary Code Authority who is chosen to fill 

such vacancy shall be selected :from the class of memhershi p in which 

the vacancy occurred. 

In addition thereto the Administrator may appoint a member of 

the Supplementary Code Authority who shall be without vote and 

shall serve without expense to the Industry, unless the Supplementary 

Code Authority agrees to pay such expense. The representative who 

may be appointed by the Administrator shall be given reasonable 

notice of, and may sit at, all meetings 0£ the Supplementary Code 

Authority. 

SECTION 2. Any trade association directly or indirectly participat- ing in the selection or activities of the Supplementary Code Authority 

shall (1) impose no inequitable restrictions on membership, and (2) 

shall use due diligence in submitting to the Administrator true copies 

of its Articles of Association, By-Laws, regulations 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. 

SECTION 3. In order that the Supplementary 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 pre cribe such Hearings as he may deem proper; and, thereafter, 

if he shall find that the Supplementary Code Authority is not truly 

representative or does not in other respects comply with the pro- visions of the Act, may make · an appropriate modification of the 

Supplementary Code Authority. 

SECTION 4. It being found necessary in order to support the administration of this Supplementary Code and to maintain the 

standards of fair competition established hereunder and to effectuate 

the policy of the Act, the Supplem·entary Code Authority is 

authorized: 

(a) To incur such reasonable obligations as are necessary and 

proper for the foregoing purposes and to meet such obligations out 

of funds which may be raised as hereinafter provided and which 

shall be held in trust for the purposes of the Supplementary Code. 

(b) To submit to the Administrator for his approval, subject to 

such notice and opportunity to be heard as he may deem necessary: 

(1) an itemized budget of its estimated expenses for the foregoing 
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purpo e and (2) an equitable basis upon which the funds necessary 

to support uch budg t shall be contributed by members of the 

Indu try. . 

( c) After uch budget and ba is of contribution has been approved 

by the Administrator, to determine and obtain equitable contribu- tion a above set forth by all members of the Indu try, and to that 

end if nece sary, to in titute legal proceedino·s therefor in its own 

name. 

Each member of the Industry shall pay his or its equitable contribution to the expen es of the maintenance of the Supplementary 

Code· Authority determined as hereinabove provided, and subject 

to rules and regulations pertaining thereto is ued by the Administrator. Only members of the Industry complying with the Sup- plementary Code and contributing to the expen es of its administration as hereinabove provided, shall be entitled to participate in 

the selection of members of the Supplementary Co le Authority or 

to receive the benefits of any of its voluntary activities or to make 

use of any emblein or in ignia of the National Recovery Administration. 

The upplementary Code Authority shall neither incur nor pay 

any obligations in excess of the amount thereof as estimated in its 

appro-,ed budget, except upon approval of the Administrator, first 

obtaine L and no subsequent budget shall contain any deficiency item 

for expenditures in exce of prior budget estimates except those 

which the Administrator shall have so approved. 

SECTION 5. Nothing contained in this Supplementary Code hall 

constitute the members of the Supplementary Coda Authority partners for any purpo e. Nor shall any member of the Supplementary 

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

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

Code Authority. Nor hall any 1nember of the Supplementary Code 

Authority, exercising reasonable diligence in the conduct of his 

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

act under this Supplementary Code, except for his own willful 

malfeasance or non-feasance. 

SECTION 6. The Supple11J.entary Code Authority shall also from 

time to time furnish to the Basic Code Authority, designated in 

said Ba ic Code, uch information as may be require l to be furnished 

under the term of said Basic Code. 

SECTION 7. The Supplementary Code Authority shall have all the 

powers and luties which shall be necessar_y and proper t enable it 

to fully aclmini ter this Supplementary Code and to effectuate its 

purposes. 

"'\Vithout limitation to the foregoing or any other powers or duties 

proYided for in thi Supplementary Code, this Supplementary Coclo 

Authority shall have the following further powers an l duties : 

(a) To adopt by-laws and rules and regulations for, and keep 

records of it procedure and the admini tration of this Supplementary Code. 

(b) 'l'o obtain frmn members of the Indu try, through its Confi-- dential Agent, such information and r eports as required for the 

administration of this Supplementary Code. In addition to information required to be submitted to the Supplementary Code Au7 
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thority, the members of the Industry, subject to this Supplementary 

Code, shall furnish such statistical information as the Adrn.inistrator 

may deem necessary for the purposes recited in Section 3 (a) of the 

Act, to such Federal and State Agencies as he may design~te; provided that nothing in this Supplementary Code shall relieve any 

member of the Industry of any existing obligation to furnish reports 

to any Governmental Agency. No individual report shall be disclosed to any other member of the Industry or any other party 

except to such other Governmental Agencies as may be directed by 

the Administrator. 

( c) To use such tr~de associations and _other ~g;e:1-cies as ~t deems 

proper for the carrying <;>ut of a_ny of its ~ctivities provided for 

herein provided that nothing herein shall relieve the Supplementary 

Code .Authority of its duties or responsibilities under this Supplementary Code and that trade associations and agencies shall at all 

times be subject to and comply with the provisions hereof. 

( d) To appoint a Trade Practice Committee which shall meet 

with the trade practice committees appointed under such other codes 

as may be related to the Industry for the purpose of formulating 

fair practices to govern the relationships between employers under 

this Supplementary Code and under such others to the end that 

such fair trade practices may be proposed to the Administrator as 

amendments to this Supplementary Code and such other codes. 

( e) To make recommendations to the Administrator for the coordination of the administration of this Supplementary Code with 

such other codes, if any, as may be related to or affect the members 

of the Industry. 

(f) To recommend to the Administrator further fair trade practice provisions to govern members of the Industry in their relations 

with each other or with other industries and to recommend to the 

Administrator measures for industrial planning, including stabilization of employment. 

SECTION 8. To the extent permitted by the Act and subject to 

such rules and regulations as the Administrator may prescribe, any 

or all information furnished to the Supplementary Code Authority 

by any member of this Industry pursuant to the provisions of this 

Supplementary Code shall be subject to verification by an impartial 

agency agreed upon by the Supplementary Code Authority, and the 

member of the Industry in question, and, failing such agreement 

such impartial agency shall be selected by the Administrator, which 

impartial agency may check so much of the pertinent books, accounts 

an~ records of such members of the Industry as may be required to 

verify the accuracy of the information so furnished. 

SECTION 9. To the extent permitted by the Act, and subject to 

such rules and regulations as_ the A 1ministrator may prescribe, the 

Supplementary Code Authority shall have the power to investigate 

all complaints filed with it by one member of the Industry against 

ano_ther memb~r of the Industry. In the event of complaint being 

registered against any corporate member of the Industry, allegina 

a violation of this Supplementary Code, the Supplementary Cod~ 

Authority may cause an investigation to be made by a person rnntually agreed upon by the Supplementary Code Authority and the 

member of th£ Industry against whom the complaint is filed, or, 
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if they are unable to agree within a reasonable time, by a disinterested person appointed by the Administrator upon request by the 

Supplementary Code Authority. The Supplementary Code Authority may require the member complained again t to file with such 

investigator, within such rea onable time after receipt of a copy of 

the complaint, if the Supplementary Code Authority shall determine, an answ r to uch complaint accompanied by supporting data. 

Both answer and data shall be verified by affidavit. The investigator shall examine so much of the pertinent books and records 

of such member as may be required to verify the statements contained in aid answer and/or the accuracy of the data supporting 

such statements. If the matter cannot thereafter be satisfactorily 

adjusted within the Industry the facts may be placed before the 

Basic Code Authority to be presented to the Administrator for 

such procedure as he may deem advisable under the Act. 

SECTION 10. If the Administrator believes that any action of the 

Supplementary Code Authority or any agency thereof is unfair or 

unju t 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. Further action by such 

Supplementary Code Authority or agency regar ding the matter 

complained of may be taken if a pp roved by the Administrator but 

shall not be taken if disapproYed by the Administrator within thirty 

days of notice to him of intention to proceed with such action. 

SECTION 11. Every employer shall provide for the safety and 

h ealth of employees during the hours and at the places of their 

employment. Standards for safety and health shall be submitted by 

the Code Authority to the Administrator within six months after 

the effective date of the Supplementary Code. 

ARTICLE V-AccouNTING, CosTING AND EsTIMATING 

SECTION 1. The Supplementary Code Authority hall cause to be 

formulated an accounting sy tem and methods of cost finding and/ or 

estimating capable of use by all members of the Industry. After 

such system and n1ethods have been formulated and approved by 

the Administrator full details concerning thein shall be made available to all members of the Industry. Thereafter all members of 

the Industry shall determine and/or estimate costs in accordance 

with the principles of such method . 

SECTION 2. When the Administrator determines that an emergency 

exists in this Industry and that the cau e thereof is destructive price 

cutting, such as to render ineffective or seriously endanger the maintenance of the provisions of this Supplem.entary Code, the Supplementary Code Authority may cause to be determined the lowest reasonable co t of the products of this Industry, such determination to 

be subject to uch notice and hearing as the Administrator may require. The Administrator may approve, disapprove, or modify the 

determination. Thereafter, during the period of the emergency, it 

shall be an unfair trade practice for any member -1f the Industry 

to sell or offer to sell any product of the Industry for which the 

lowest reasonable cost has been determined, at such priee or upon 

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

than the lowest reasonable cost of such products. 
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When it appears that conditions have changed, the Supplementary 

Code Authority or the Administrator, upon its or his own initiative, 

or upon the request of any interested party, may cause the 

determination to be reviewed. 

ARTICLE VI-SELLING BELOW CosT 

No member of this Industry shall sell or exchange or offer to sell 

or exchange any products of this Industry at a price or upon terms 

and conditions, which will result in the purchaser paying for the 

goods received, less than the cost thereof to the seller, determined 

in accordance with a uniform method of costing and/or estimating 

above described in Article V; provided, further, however, that a 

member of the Industry may sell below his own cost to meet competition from products of equivalent design, quality, or specifications, 

provided the competitor jg not violating this Supplementary Code, 

and provided that when a member of the Industry sells, or wishes to 

sell, below his own cost to meet such competition, he shall so report 

to the Supplementary Code Authority and shall cite the competition 

which caused him to take this action. 

ARTICLE VII-UNFAIR TRADE PRACTICES 

In addition to the Unfair Trade Practices covered by Article V of 

the Basic Code except Section A, B, F and G thereof as though 

herein repeated and set forth at length, and for all purposes of this 

Supplementary Code, the following described acts shall constitute 

unfair practices. Any member of the Industry who shall directly or 

indirectly through any officer, employee, agent or representative use 

or employ any of such unfair practices shall be guilty of a violation 

of this Supplementary Code. 

RuLE 1. False Advertising.-No member of the Industry shall 

publish advertising ,(whether printed, radio, display or of any other 

nature), which is misleading or false in any material particular, nor 

shall any member orally or in any other way misrepresent any 

goods (including but without limitation its use, grade, quality, 

quantity, origin, size, substance, character, nature, finish, material, 

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

the nature or form of the business conducfa:d. RuLE 2. Secret R ebates.-N o member of the Industry shall secretly offer or make to any customer and/ or customer's agent any 

payment or allowance of a rebate, refund, commission, credit, unearned discount or excess allowance, whether in the form of money 

or otherwise, nor shall a member of the Industry secretly offer or 

extend to any customer any special service or privilege not extended 

to all customers of the same class, for the purposes of influencing 

a sale. 

RULE 3. Alternate Proposals.-No member of the Industry shall 

submit an alternate and/ or revised proposal unless the privilege of 

alternate and/ or revised proposals is extended to all bidders who 

have qualified and who have fully complied with all plan, specification and bidding requirements at the time of opening the bids. 

RULE 4. Substitution of M aterials.-N o member of the Industry 

shall depart from the plans and/ or specifications, for the purpose 
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and/or with the effect of misleading the buyer as to the grade, 

quality, or quantity of pro iucts offered or sold, or by the quotation 

of any substitute material without clearly identifying the nature of 

such substitute material. 

R LE 5. Credit T e1°11is.- No member of the Industry shall fail to 

charge the legal rate of interest on all delinquent accounts and 

balances. 

ARTICLE VIII- BIDDING PRACTICES 

SECTION 1. It shall be the policy of members of the Indu try to 

bi l Erectly to Federal and State Governments and Governmental 

Sub-divisions thereof on all purchases and/or in tallations of 

Industry products. SECTION 2. The :following acts shall constitute unfair trade practices and shall be violations of this Supplementary Code: 

(a) Failure to comply fully and rigidly with all plan, specification and/ or bidding requirements: 

(b) Failure to prote t to the awarding authorities the opening of 

any irregular bid and/or proposal not in full compliance with the 

plan, specifi ation and/ or bidding requirements : 

( c) Failure by a member to file with the Confidential Agent within 

twenty-four (24) hours after tbe time set for opening, a true copy of 

each bid submitted by him. 

ARTIOLE IX- MONOPOLIES 

No provision of this Supplementary Code shall be so applied as to 

permit monopolies or 1nonopolistic practices, or to eliminate, oppress 

or discriminate against small enterprises. 

ARTICLE X-MODIFICA TION s 

SECTION 1. As provided in Sub-section (b) of Section 10 of the 

Act, the President may from time to time cancel or modify any 

order, approval, license, rule or reguhition issued under Title I of 

said Act. 

SECTION 2. This Supplementary Code, except as to provisions 

required by the Act, may be modifie l or amended on the basis of 

experience or chane;es in circumstances, such modifications or amendments to be based upon application by the Supplementary Code 

Authority or other representative group within the Industry to the 

Administrator and such Notice and H earing as he shall specify and 

to become e:ffecti ve and be a J art of this Supplementary Code on 

approval by the President, and/or the Administrator. 

ARTICLE XI-PRICE INCREASES 

"\Vherea the policy of the Act to increase real purchasing power 

will be made more difficult of consummation 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, and when made, such increa es should, so far as 

possible, be limited to actual additional increases in the seller's costs. 
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ARTICLE XII-EFFECTIVE DATE AND DURATION 

This Supplementary Code shall become effective at 12: 01 o'clock 

A.M., Eastern Standard Time, on the tenth day after it is approved 

by the President and shall continue in effect until June 16, 1935, or 

the earliest date prior thereto on which the President shall, by proclamation, or the Congress shall, by joint re olution declare that the 

emergency recognized by Section I of Title I of the National 

Industrial Recovery Act, has ended. 

Approved Code No. 84--Supplement No. 39. 

Registry No. 1118-27. 

_Q 

UNIVERSITY OF FLORIDA 

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