Approved Code No. 347-Supplement No. 46 Registry No. 1414-15 

NATIONAL RECOVERY ADMINISTRATION 

SUPPLEMENTARY 

CODE OF FAIR COMPETITION 

FOR THE 

COAL CUTTING MACHINE 

INDUSTRY 

(A Division of the Machinery and Allied Products Industry) 

AS APPROVED ON JANUARY 4, 1935 

WI DO OUR PAftt 

UN\V. OP·FL Lll. 

UNITED STATES 

GOVERNHENT PRINTING OFFICE 

WASHINGTON : 1935 

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Approved Code No. 347-Supplement No. 46 

SUPPLEMENTARY CODE OF FAIR COMPETITION 

FOR THE 

COAL CUTTING MACHINE INDUSTRY 

As Approved on January 4, 1935 

ORDER 

SuPPLEMENTARY ConE OF FAIR CoMPETITION FOR THE CoAL CmNG 

MACHINE INDUSTRY 

A DIVISION OF THE MACIDNERY AND ALLIED PRODUCTS 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 Supplemental Code of Fair Competition for the Coal Cutting ~1achine Industry, and hearing having been duly held thereon and the annexed 

report on said Supplemental 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, the National Industrial Recovery Board, pursuant to authority vested in it by Executive Orders of the President, including 

Executive Order No. 6859, dated September 27, 1934, and otherwise; 

does hereby incorporate by reference said annexed report and does 

find that said Supplemental Code complies in all respects with the 

pertinent provisions and will promote the policy and purposes of 

of said Title of said Act; and does hereby order that said Supplemental Code of Fair Competition be and it is hereby approved, subject to the following conditions: 

( 1) That the provisions of Section 7 of Article VI be and they 

are hereby stayed. 

(2) That within sixty (60) days the Coal Cutting Machine Manufacturers' Association amends Section 3 of Article IV of its ByLaws by deleting the words "and further, assents to the Code or 

Codes of the Industry". 

NATIONAL INDuSTRIAL RECOVERY BoARD, 

By W. A. HARRI:M:AN, Adn1inistrative Officer. 

Approval recommended: 

BARTON W. MuRRAY, 

Division Adrninist1·ator. 

"\VASHINGTON, D. c., 

January 4, 1935. 

106413°----1465-16----35 (1) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The lV hite House. 

Sm: This is a report on the Supplemental Code of Fair Competition for the Coal Cutting J\iachine Subdivision of the J\fachinery 

and Allied Products Industry, Public Hearing having been conducted thereon in Washington, D. C., September 25, 1934:, in accordance with the provisions oi Title I of the National Industrial 

Recovery Act. 

GENERAL STA TFJ\fENT 

The Coal Cutting J\1achine Subdivision, being truly representative of the manufacturers of the products defined in Article II of the 

Supplemental Code, has elected to formulate and submit a Supplemental Code of Fair Competition as provided in the second paragraph of Article I of the Code of Fair Competition for the Machinery and Allied Products Industry, approved by you on the 

seventeenth day of March, 1934. 

The Subdivision includes the manufacturing andjor assembling 

for sale and selling by the manufacturer and/ or assembler, o.f coal 

cutting machines most commonly used underground in coal mines, 

but which may be used in the production of other minerals such as 

rock salt, potash, and gypsum. Included in the manufacturing 

and/or assembling for sale and selling of coal cutting machines are 

spare, repair and replacement parts thereof and supplies andjor 

equipment incident thereto when manufactured andjor sold by a 

manufacturer of such coal cutting machines. 

Statistical material bearing on this Subdivision was obtained 

from the code application submitted by the Coal Cutting Machine 

Manufacturers' Association. The above-mentioned association 

claims to repre;sent 95 per cent of the entire Subdivision measured 

by dollar volume of business. 

Annual sales in 1933, according to the association, declined to less 

than one-third the 1929 level. In 1929 sales were reported at $6,965,-

500 and in 1933 at $2,005,700. 

Estimates showing employment .for the entire subdivision, submitted by the association, indicate that employment declined from 

1482 in 1929 to 84:7 in 1933, or 42.8 per cent. 

RESUME OF SUPPLEMENTAL CODE 

Article I states the purposes of the Supplemental Code. 

Article II accurately define specific terms applicable to the Subdivision as u ed in this Supplemental Code. 

Article III provides for the adoption of the employment provi ions 

of the National Industrial Recovery Code of the :Machinery and 

(2) 
3 

Allied Products Industry, as approved by you, and as from time to 

time amended. 

Article IV provides for the adoption of Articles II, VI and VIII 

of the National Industrial Recovery Code of the Machinery and 

Allied Products Industry, in accordance with the conditions of this 

Article governing their adoption. 

Article V provides for the establishment of a Code Authority and 

defines its powers and duties. 

Article VI sets forth trade practices for the Subdivision. 

Article VII states that no provision of this Supplemental Code 

relating to pricing and marketing shall apply to export sales as 

defined by the term " Export " in this Article. 

Article VIII provides that this Supplemental Code and all the 

provisions thereof are expressly made subj-ect to the right of the 

President, in accQrdance with 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. Provision is also 

made that modifications may be submitted by the Code Authority 

to the National Industrial Recovery Board for approval. 

Article IX provides means for withdrawal of this Subdivision 

from the jurisdiction of the Basic Code Authority and its continuance under its own Code Authority. 

Article X states that no provision of this Supplemental Code shall 

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

to eliminate, oppress, or discriminate against small enterprises. 

Article XI states the effective date of this Supplemental Code. 

FINDINGS 

The Assistant Deputy Administrator in his final report to the 

National Industrial Recovery Board on said Supplemental Code 

having found .as he-rein set forth and on the basis of all the proceedings in this matter: 

The National Industrial Recovery Board finds that: 

(a) Said Supplemental 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 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 the National Industrial Recovery 

Board as a major industry. 
4 

(c) The Supplemental 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 Supplemental Code is not designed to and will not permit 

monopolies or monopolistic practices. 

(e) The Supplemental 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 

Supplemental Code. · 

For these reasons, therefore, the National Industrial Recovery 

Board has approved this Supplemental Code. 

For the National Industrial Recovery Board: 

JANUARY 4, 1935. 

w. A. HARRIMAN, 

Administrative Officer. 
SUPPLE~1ENTARY CODE OF FAIR COMPETITION FOR 

THE COAL CUTTING MACHINE INDUSTRY 

A. DIVISION OF THE MACHINERY AND ALLillD PRODUCTS INDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the policy of Title I of the National Industrial Recovery Act, the following provisions are established as a Supplemental Code for the Coal Cutting ~1achine Subdivision of the 

Machinery and Allied Products Industry, and together with the 

Code of Fair Competition for the :Machinery and Allied Products 

Industry, shall be the standard of fair competition for this Subdivision, and shall be binding on every em player therein. 

ARTICLE II-DEFINmoNs 

"Applicant" means the Coal Cutting Machine Manufacturers' 

Association, a trade organization, all members of ·which are engaged 

in the manufacture for sale of the products of the Coal Cutting 

Machine Subdivision of the Machinery and Allied Products Industry. 

"Industry" means the Machinery and Allied Products Industry, 

as defined in its Code of Fair Competition as approved by the 

President, and as such definition may from time to time be amended. 

"Subdivision" means this Coal Cutting Machine Subdivision of 

the Machinery and Allied Products Industry as defined and set forth 

in Definition No. 49, Article II of the Code of Fair Competition for 

the Machinery and Allied Products Industry, as follows: 

( 49) "Coal Cutting Machine Subdivision means the manufacturing and/ or assembling for sale and selling by the manufacturer 

and/ or assembler, of coal cutting machines most commonly used 

underground in coal mines, but which may be used in the production 

of other minerals such as rock salt, potash, and gypsum. Included 

in the manufacturing and/ or assembling for sale and selling of coal 

cutting machines are spare, repair and replacement parts thereof and 

supplies and/ or equipment incident thereto when manufactured 

and/ or sold by a manufacturer of such coal cutting machines." 

"Code" means the Code of Fair Competition for the ~1achinery 

and Allied Products Industry as approved by the President, March 

17, 1934, and as from time to time amended. 

"Person" means a natural person, a partnership, a corporation, an 

association, a trust, a trustee, a trustee in bankruptcy, a receiver, or 

other entity. 

"Employer" means any person engaged in this Subdivision either 

on his or its own behalf or as an employer of labor. 

"The Act" means Title I of theN ational Industrial Recovery Act. 

(5) 
6 

"The President" means the President of the United States. 

"Board" means the National Industrial Recovery Board, or its 

successor in office. 

"Basic Code Authority" means the Code Authority :for the Machinery and Allied Products Industry as constituted by the Code. 

"Code Authority" means the Code Authority constituted :for this 

Subdivision as provided by the Code and by this Supplemental 

Code. 

ARTICLE III-EMPLOYMENT PROVISIONS 

The following Articles of the Code, viz : Article III, " Working 

Hours "; Article IV, " Wages " ; and Article V, " General Labor 

Provisions ", are hereby made a part of this Supplemental Code, 

with the same effect as if they were written into this Supplemental 

Code. 

ARTICLE IV-.AnoPTION OF OTHER PRoviSIONS OF CoDE 

The :following Articles of the Code, viz : Article II, " Definitions ", Article VI, "Administration ", to the extent that they shall 

be applicable to this Supplemental Code as such or as it may hereafter be administered as an autonomous Code; Article VIII, "~1odifications and Termination", are hereby 1nade a part of this Supplemental Code, with the same effect as if they were written into this 

Supplemental Code. 

ARTICLE V-AnMINISTRATION 

(a) A Code Authority for this Subdivision is hereby constituted 

to administer, supervise, and :facilitate the enforcement of the Code 

and of this Supplemental Code in the manner and to the extent 

provided in the Code and in this Supplemental Code. 

(b) During a period not to exceed sixty (60) days :following the 

effective date and pending the election of the permament Code Authority, the executive cDmmittee of the Applicant shall constitute a 

temporary Code Authority. 

(c) The temporary Code Authority shall, by written notice sent 

by registered mail to all employers whose names have been obtained 

after reasonably diligent search, call a meeting of employers tD be 

held within sixty (60) days after the effective date for the purpose 

of adopting procedural rules and regulations :for the election, organization, and operation of the permanent Code Authority and 

electing a permanent Code Authority which shall consist of three 

(3) members, who shall be representative of em.ployers, provided 

however, that no one employer shall be represented by more than one 

member. The Board may, in its discretion, appoint one additional 

member (without vote and without expense to the Subdivision). 

The permanent Code Authority so elected and appointed shall immediately supersede the temporary Code Authority. 

(d) Any employer shall be entitled to vote at the election of the 

permanent Code Authority and at other meetings of employers and 

share in the benefits of the activities of Code Authority and may 
7 

participate in any endeavors of Code Authority in the preparation 

of any amendm nts or reYisions of, or additions or supplements to, 

this Supplemental Code by paying or agreeing to pay, as and when 

assessed, his proper pro rata share of the reasonable .cost of administering this Supplemental Code as determined by Code Authority. 

(e) Action by employers in any Subdivision meeting for the 

election of Code Authority shall be by vote of the employers entitled 

to vote as provided in Section (d) of this Article V, each such employer to have one vote only. Action by employers in any Subdivision mooting for the adoption of procedural rules, or the transaction of other business of the Subdivision under this Supplemental 

Code, except revisions or additions to the Supplemental Code, shall 

be by vote of the employers in the Subdivision who are entitled to 

vote thereat as provid·ed in Section (d), Article V of this Supplemental Code and are present in person or by proxy duly executed and 

filed with Code Authority; cast and computed in the manner provided in Section (d) , Article VI of the Code. All questions as to the 

number of votes which each employer shall be entitled to cast at any 

meeting of employers other than the meeting held to vote for the 

election of the permanent Code Authority shall be determined by 

Code Authority, in accordance with Section (d) Article VI of the 

Code. 

(f) In order that the Code Authority shall at all times be truly, 

representative of the Subdivision, and in other respects comply with 

the provisions of the Act, the Board may prescribe such hearings as 

it may deem proper; and thereafter if it shall find that the Code 

Authority is not truly representative, or does not in other respects 

comply with the provisions of the Act, may r equire an appropriate 

modification of the Code Authority. 

(g) If formal complaint is made to Code Authority that proviEions of this Supplemental Code have been violated by any employer, 

Code Authority shall proceed in accordance with the provisions of 

Section (h) of Article VI of the Code. 

(h) The Code Authority may appoint a Trade Practice Committee which shall meet with the Trade Practice Committees appointed unde.r such other Codes as may be related to the Subdivision 

for the purpose of formulating fair-trade practices to govern the: 

relationships between production and distribution employers under 

this Supplemental Code and under such others to the extent that 

such fair-trade practices may be proposed to the Board as amendments to this Supplemental Code and such other codes. 

(i) Each trade or industrial association directly or indirectly participating in the selection or activities of the Code Authority shall 

submit to the National Industrial Recovery Board true copies of its 

articles of association, by-laws and regulations. 

ARTICLE VI-TRADE PRACTICES 

(1) No employer shall secretly, directly or indirectly, offer or 

make 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 an employer secretly offer or extend to any customer any special service or privilege not extended 
8 

to all customers o:f the same class, for the purpose o:f influencing a 

sale. 

(2) No employer shall publish advertising (whether printed, 

radio, display, or of any other nature), which is misleading or inaccurate in any material particular, nor shall any employer in any 

way misrepresent any goods (including but without limitation its 

use, trademark, grade, quality, quantity, origi.n, size, substance, 

character, naturei finish, material, content or preparation) or credit 

terms, values, po icies, services, or the nature or form of the business conducted. 

(3) No employer shall publish or circulate unjustified or unwarranted threats of legal proceedings which tend to have the effect of 

harassing competitors or intimidating their customers. 

( 4) So long as the maker of any product of this Subdivision bearing the maker's name or trade mark, which has required special designing, research, or development expense (or his successor in business) continues to make and supply such spare, repair, and replacement parts therefor., no employer shall supply repair parts for such 

product of this Subdivision unless (a) the name of the maker of 

such copied nongenuine repair parts shall be plainly marked on each 

part (or if this is impracticable on the package or tag) so that the 

ultimate user is clearly informed by marking on such parts, packages, tags, and in catalogues, price lists, quoted prices, advertisements or advertising literature of the manufacturer of such copied 

nongenuine parts, that said parts were not made by the original 

maker of the products of the employer of this Subdivision. 

( 5) No employer shall furnish to any purchaser, a.nd/ or his agent, 

directly or indirectly, detailed shop drawings of the products of this 

Subdivision without filing a statement of such proposed transaction 

with the Code Authority, which may approve or, with the approval 

of the Board, disapprove the transaction within ten (10) days by 

written notice to the employer. 

( 6) No employer shall induce or attempt to induce a breach or 

abandonment of contract covering the purchase or sale of the products of this Subdivision; provided, however, that nothing in this 

Section shall be construed to prohibit the attempt on the part of the 

owner of or licensee under any patent to induce a purchaser or future 

purchaser of any product which shall infringe said patent, to avoid 

such purchase. 

(7) It shall be an unfair trade practice for any employer to engage 

in wilfully destructive price cutting for the purpose of injuring a 

competitor and where the effect may be substantially to lessen 

competition. 2 

ARTICLE VII-SALES FOR ExPORT 

The provisions of this Supplemental Code concerning pricing and 

marketing shall not apply to direct export sales of any product. A 

similar exemption may be granted by the Code Authority as to sales 

of any product destined ultimately for export. The term "Export" 

shall include all shipments to all places without the several states 

of the United States and the District of Columbia; provided, how-

~Stayed-See paragraph 2(1) of order approving this Code. 
9 

ever, that no shipment to any territory or possassion of the Unit"'d 

States shall be considered an export when any employer is engaged 

in the Subdivision in such territory or possession. 

ARTICLE VIII-MoDIFICATIONS AND .TERMINATIONS 

(a) As provided by Section 10 (b) of the Act, the President may 

from time to time cancel or modify any order, approval, license, 

rule or regulation issued under Title I of the Act. 

(b) Any amendm.ents, additions, revisions, or supplements of this 

Supplemental Code, propo ed by Code Authority, and adopted by 

t.he concurring affirmative vote of employers entitled to cast twothirds or more of all the votes that might be cast by all employers 

entitled to vote thereon shall be in full force and effect upon approval by the President. The eligibility requirements method and 

effect of such voting shall be as provided by Article V hereof. 

(c) This Supplemental Code shall terminate June 16, 1935, or 

on such date prior thereto when the Act shall be repealed or the 

President shall, by proclamation, or the Congress shall, by joint 

resolution, direct that the emergency recognized by section 1 of Title 

I of the Act has ended. 

ARTICLE IX-"VV ITHDRA w AL 

Upon thirty days' notice to the Basic Code Authority and to the 

Board this Subdivision may, upon the concurring affirmative vote 

of employers within the said Subdivision entitled to cast two-thirds 

or more of all the votes that might be cast by all employers within 

the Subdivision entitled to vote thereon, withdraw from the jurisdiction of the Basic Code Authority. The eligibility of voters and 

the method and effect of such voting shall be in accordance with the 

provisions of Article V hereof. After and in the event such withdrawal is accomplished this Supplemental Code, together with the 

provisions of the Code shall become and be the sole code governing 

this Subdiyision, and the Code Authority shall, for this Subdivision, 

become and be the sole Code Authority and shall perform all the 

functions with respect thereto. 

ARTICLE X-MONOPOLIES 

Applicant imposes and shall impose no inequitable restrictions on 

membership therein. The Supplemental Code presented by it is not 

designed to promote monopoly, and shall not be so construed or applied as to oppress or eliminate small enterprises or discriminate 

against them, and is designed to effectuate the policy of the Act. 

ARTICLE XI- EFFECTIVE D ATE 

This Supplemental Code shall become effective and binding on 

all persons engaged in the Subdivision on the eleventh day after 

its approval. 

Approved Code No. 347-Supplement No. 46. 

Registry No. 1414-15. 

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UNIVERSITY OF FLORIDA 

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