Registry No. 505--03 

NATIONAL RECOVERY ADMINISTRATION 

PROPOSED CODE OF FAIR COMPETITION 

FOR THE 

PICTURE PUBLISHERS AND 

IMPORTERS INDUSTRY 

AS SUBMITTED ON AUGUST 30, 1933 

u 

The Code for the Picture Publishers and Importers Industry 

in its present form merely reflects the proposal of the above-mentioned 

industry, and none of the provisions contained therein are 

to be regarded as having received the 1approval of· 

the National Recovery Administration 

as applying to this industry 

/ 

UNITED STATES . 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 1 

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

PICTURE PUBLISHERS AND IMPORTERS ASSOCIATION 

(II) 
THE FOLLOWING IS THE CODE OF FAIR COMPETITION 

UNDER THE NATIONAL INDUSTRIAL RECOVERY ACT 

(NIRA) ADOPTED BY THE PICTURE PUBLISHERS AND 

IMPORTERS ASSOCIATION 

ARTICLE I 

a. This code is set up to effectuate the purposes of the" NIRA" for 

Picture Publishers and Picture Importers. It has to do with unfair 

competition practices and administration machinery for enforcing 

the code. 

b. This association is truly repre entative of the entire busine s 

of publishing and importing pictures. 

c. This code does not promote a monopoly. 

d. This code does not oppress nor discriminate against any small 

enterprise. 

e. The code provides that the employer will comply with maximum hours, minimum rates of pay, and other condition of employment approved by the President of the United States. 

ARTICLE II 

Each firm or individual in this group7 as distinctive from every 

other group, trade, or industry, includes all those who publish or 

represent publishers, and import or represent importers, or are engaged in the publication or importation of "Pictures for resale." 

The expre ion "Pictures for Resale" among publi hers and importers has always been understood to mean pictures in the form 

of the pictorial and of the graphic arts for resale through art dealer 

as distingui hed from pictures in any form gratuitously distributed. 

ARTICLE III 

LABOR 

Publishers and Importers of pictures are primarily organization 

upplying employment and supportFir t. To originating artist 

Second. To others as follows : 

The individual character of a work of art nece sitates the u e of 

many method , each differing from the other to obtain the mo t 

faithful re ults. 

This group provides bu ine s and employment of labor in many 

diversified plants and to artisans all entirely apart and beyond the 

control of thi group. 

943Q-33 (1) 
2 

RTI LE IV 

P-1. .AD IINI TRATION 

A. The Ex cutiv ommitt of the Board of Dir c:t rs 

and the Officer . Th Officers hall be The President, Vice Pr ident, S cr tary, 

Tr a urer. 

Th cretary-Trea urer may be one an the same. The Board of Dir ctors hall con i t of thre m mbers. B. Officers and director hall be lect d by a majority vote an l 

by ballot of tho e who hall attend a me tino- ailed for thi purpo . N oti e of such meetin o- shall be ent by mail to the la t known 

addre s to all those mention d in Article II. Each firm andjor an indivi lual no-a ed in bu· iness of his own 

shall be entitled to only one vote at all meetings. C. An election of permanent officers shall be held after the code 

has been approved by the Government. 

P-2. POWERS OF .ADl\1INI TRATION 

A. To administer the provisions of thi code. 

B. To adopt Rules and Reo-ulation for the enforc ment th reof. 

C. To entertain and hear complaints arisino- out of any violation 

of this code or the NIRA., and where such complaint cannot b di - posed of otherwise, to cau e such complaint to be arbitrated a hereinafter provided. Charges must be submitted to the Executive Committee in writing and all evidence must be in writing. D. To initiate proceedings before the appropriate gov rnm ntal 

ag ncies to prevent andjor puni h violations of this code. 

E. In order that the President of the United State rna r be informed with respect to the ob ervance or nonobservance of thi ode 

by tho e to whom the same is applicable and whether they are complying with the policy and provisions of the National Indu trial 

R co very Act: 

The Executive Committee and/or it agents hall hav acce to 

all places of busines maintain l by any firm or individual to whom 

thi code is applicable and examine and determine the method of 

c t accounting elling invoicing and g n ral bu ine Ira tic 

p rtainino- to an complaint and may take uch tep a it may l m 

advi able to effect uch chano-e in m th d and practi e a hall 

place the bu iness of any such finn or individual upon a fair competitive ba i . It i anticipat d in all ca es requirina inv tio-ati n that the x - u6v ommittee hall appoint a its ao- nt or ag nt any p on r 

p r ons entirely out ide of thi group, or tho e who are not lir ctly 

camp titors of the firm or indivi ual. 

F. The ExeC'UJtive Oomn~ittee has po ?'.-(a) T 

an l reO'ulation for th di po al of i tr m r han i in u h a 

manner a not to di turb the t bility f th pi ture mark t. 

(b) To con io-n u h n n amp titiv it m a in the judcrm nt f 

th Ex cuti e C mmit e will cau e no po sible di turbance to the 

stability of the picture market. 
3 

ARTICLE v 

FAIR TRADE PRACTICES 

A. Oonsignments.-There has developed a growing evil common1 known as Delivery of pictures on consignment or memorandum 

to retailers, di tributors and others. This was accOiffiplished by any 

of the following methods : 

1. By billing on con ignment or on memorandum. 

2. By agreement to take merchandise back that remained unsold. 

3. By agreement that merchandise unsold after a given time may 

be changed for other merchandise. 

4. By agreement that merchandise unpaid for within a given time 

may be retained or returned. 

5. By making the distributor or dealer or retailer an agent of 

the Publisher or Importer in the sale of merchandise. 

6. And by various other agreements designed to weaken or modify 

the usual terms upon which an order for the producing and sale of 

merchandise is given. 

The foregoing practices result in unfair competition and are 

therefore prohibited. 

B. Sa1nple Shiprnents.- Submission of samples of not more than 

one copy of a subject may be made with the understanding that such 

samples are to be returned within seven days after receipt of same, 

but on condition that such samples will not be offered for sale at 

retail. All bills covering such samples must bear a notice to this 

effect. 

Noncompliance with aforementioned clause results in unfair competition and is therefore prohibited. 

C. P1·ices.-It is necessary that prices once established must be 

upheld, and that by establishing prices a certain minimum price 

level must be observed. The publication of pictures as well as importation of same is a highly speculative business and unavoidable 

failures must be covered by the profitable or successful publications: 

It is considered that the minimum basis for lowest net selling prices 

should be as follows : 

Mini1nwm Prices.-1. Prints published in the U.S. 200% above 

cost price to retailers, 100% above cost price to recognized jobbers. 

2. Prints imported into the U.S. 100% above cost price to retailers, 

50% above cost price to recognized jobbers. 

3. Etchings published in the U.S. 200% above cost pnce to 

retailers 100% above cost price to recognized jobbers. 

4. Etchings imported into the U.S. 100% above cost pnce to 

retailers 50% above co t price to recognized jobbers. 

The term "co t price" among publishers and importers has 

alway been under tood for imported merchandise, cost of merchandi e including duty, freight, and packing. For merchandise produced in the U.S., the cost of original, royalty, the cost of plates, 

paper, printing, and coloring. 

The sale of merchandise below the above-stipulated minimum selling prices re ults in unfair competition and i therefore prohibited. 

D. J obber.-The recognized jobber in accepting discounts agrees 

not to pass all or any part of these discounts on to the dealer. 
4 

Jobbers who pa any part of their eli count to the dealer are to 

be reported to the Executive Con1mitte and if th . do not top 

such practice they shall forfeit the right to r ceive jobbers eli count 

from every member of this group. 

Non compliance with the order to refu e j bbers' discounts to such 

firms or individuals re ults in unfair c mp tition and is therefore 

prohibited. 

E. Discounts, T·ransportation, etc.-1. All sale are to be made 

under the maximum term : Payment 2% 10 day EOM 30 clay net. 

2. Shipments F.O.B. uch city in which seller i located, or F.O.B. 

point of shipment. 

3. It is forbidden to give pictur gratuitously or to indulge in 

uch practices as allowing "seven for six" or "thirteen for twelve', 

etc. 

4. It is forbidden to accept payment of an account of an amount 

lower than the amount shown on the bill. 

5. No fall lating is to be grant€ 1 later than October 1st, to be 

payable strictly net not later than October 31st. No fall datinO' is 

to be allowed for shipments made prior to July 1st. There i to 

be no discounting or allowance for anticipation :for payments made 

before the net due date. 

Noncompliance with any of the foregoing condition re ·ults 1n 

unfair competition and is therefore prohibited. 

F. Allowances for Aevvertising.-Allowances for advertising or 

payment for space in newspapers, magazines, guides, directories, 

program , or catalogs to be used in promoting the sale of m rchandise is prohibited. 

The supplying of cuts, matrices, electrotypes, window card . or 

other lisplay pieces shall, however, not be included in such prohibition. 

G. JJ1is1·epTesemtation.-There has been a growing practice of 

using the innocence and inexperience of many d alers an l a oTeat 

part of the public as a help to sell inferior m rchandise r pre enting same as original works of art. Such practice were put in effect 

by various ways and means as: 

1. By giving reproductions names of processes which oun 1 like 

original hand-printed processes. 

2. By calling mechanical prints "etching ", etc . 

..,.uch practices are bound to upset the confidence of the bu. inO' 

public and must disturb the picture mark t. 

The Publish r and/or Import r and/ or th ir r pr . entati' e mu t 

offer their merchandi e under the true an l mmonl kn ' n proce s 

of reproduction. 

~1i representation of merchandis re ult m unfair mprtition 

and is therefore prohibited. 

H. Piracy.-The imitation of a pnblicati n t . u h an . t nt that 

it an ea ily be re gnized as an imitation l all b n id r 

pira y and an unfair bu in . pra ti e whi h i prohibit 1. 

ARTI LEVI 

OPYRIGIIT 

The Propriet r f a cop, ri o-ht hall b n itl . ive riD"ht to copy or r produce the whol r any 

to th .· luntial part £ 
5 

cop right work and al o the right to re train any 'imulation or 

imitation of ubject and appearance of su h work, and thjs hall 

apply not onl to the per on firm or corporation producing or 

publi hino- such imulation or imitation, but al o to any per on 

who hall produce, or offer for ale, or ell, or exhibit, or publish 

any uch simulation or imitation. 

ARTICLE VII 

ARBITRATI0.1 

Any and all complaints, difference , controversies, or question 

ari ino- under or out of thi code or concerning the interpretation 

or appreciation of any provision thereof, shall be submitted to 

arbitration in accordance with the rules of the American Arbitration Association. 

0 
Uf~IVERS ITY OF FLORIDA 

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