Approved Code No. 347-Supplement No. 11 Registry No. 1326-03 

NATIONAL RECOVERY ADMINISTRATION 

SUPPLEMENTARY 

C·ODE OF FAIR COMPETITION 

FOR THE 

CONTRACTORS' PUMP 

INDUSTRY 

(A Division of the Machinery and Allied Products Industry) 

AS APPROVED ON JUNE 5, 1934 

WE DO O..,R P/JlT 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

W ASIDNGTON: 1934 

For sale by the Superintendent or Documents, Washiniton, D.C. - - - - - - - • Price 5 centa 

✓ 
This publication ls for sale by the Superintendent of Documents, Government 

J>rlnting Office, Washington, D.C., and by district offices of the Bureau of 

Foreign and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 504 Post Office Building. 

Birmingham, Ala. : 257 Federal Building. 

Boston, Mass. : 1801 Customhouse. 

Buffalo, N.Y.: Chamber of Commerce Building. 

Charleston, S.C. : Chamber of Commerce Building. 

Chicago, Ill.: Suite 1706, 201 North Wells Street. 

Cleveland, Ohio : Chamber of Commerce. 

Dallas, Tex. : Chamber of Commerce Building. 

Detroit, Mich. : 801 First National Bank Building. 

Houston, Tex. : Chamber of Commerce Building. 

Indianapolis, Ind.: Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commei°ce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Calif. : 1163 South Broadway. 

Louisville, Ky.: 408 Federal Building. 

Memphis, Tenn. : 229 Federal Building. 

Minneapolis, Minn. : 213 Federal Building. 

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

New York, N.Y.: 734 Customhouse. 

Norfolk, Va.: 406 East Plume Street. 

Philadelphia, Pa. : 422 Commercial Trust Building. 

Pittsburgh, Pa. : Chamber of Commerce Building. 

Portland, Oreg. : 215 New Post Office Building, 

St. Louis, Mo.: 506 Olive Street. 

San Francisco, Calif. : 310 Customhouse. 

Seattle, Wash.: 809 Federal Office Building. 
Approved Code No. 347-Supplement No. 11 

SUPPLEMENTARY CODE OF FAIR COMPETITION 

FOR THE 

CONTRACTORS'PUMPINDUSTRY 

As Approved on June 5, 1934 

ORDER 

SUPPLEMENTARY CoDE OF FAIR COMPETITION FOR THE CoNTRACToRS' 

PUMP INDUSTRY 

A DIVISION OF THE MACHINERY 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 Contractors' Pump Subdi vision of Machinery and Allied Products Industry, and hearings 

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: 

NOvV, 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 Supplemental 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 

Supplemental Code of Fair Competition be and it is hereby approved subject to the condition that the provisions of Article VIII, 

Section (a), insofar as they prescribe a waiting period between the 

filing with the Code Authority ( or such agency as may be designated 

in the Supplemental Code) and. the effective date of price lists, as 

originally filed and/or revised price lists or revised terms and conditions of sale, be and they hereby are stayed pending my further 

order. 

HUGH s. JOHNSON, 

Administrator for Industrial Recovery. 

Approval recommended: 

A. R. GLANCY, 

Di1Jision Admimstrator. 

w ASIDNGTON, D.C., 

Ju1ie 5, 1934. 

6~840°-657-24--34 (1) 
REPORT TO THE PRESIDENT 

THE PRESIDENT, 

The White House. 

Sm: This is a report on the Supplemental Code of Fair Competition for the Contractors' Pump Subdivision of the Machinery and 

Allied Products Industry, public hearing having been conducted 

thereon in Washington, D. C., December 21, 1933 in accordance with 

the provisions of Title I of the National Industrial Recovery Act. 

Every person who filed a request for an appearance was freely heard 

in public and all statutory and regulatory requirements were 

complied with. 

GENERAL STATEMENT 

· The Contractors' Pump Manufacturers Institute, being truly representative of this Subdivision of the Machinery and Allied Products 

Industry, has elected to avail itself of the option of submitting a 

Supplemental Code of Fair Competition, as provided in paragraph 

( 2) , Article I of the Basic Code for the Machinery and Allied Products Industry approved by you on the seventeenth day of March, 

1934. 

This Subdivision represents a part of the capital goods industry, 

n1anufacturing and selling dewatering and pressure pumps of the 

following types: diaphragm, standard centrifugal up to 8" in size 

and self priming centrifugal up to 6" in size for dewatering purposes; plunger and piston type trench pumps; contractors' water 

~upply pumps, and road pumps and parts thereof, intended for use 

by contractors in the construction industry. 

ECONOMIC EFFECT 

In 1929 this Subdivision of the Industry employed approximately 

341 persons including office e1nployees. Approximately 282 are estimated to have been factory wage earners. Since 1929, total employment declined from 341 persons to about 135 as of October 15, 

1933, or 60%. 

Estimated annual sales in 1929 amounted to $1,705,000. In 1930, 

they increased to $2,010,000 and declined thereafter to $645,000 in 

1932, or 67%. 

The minimum hourly rates in the approved Basic Code (of which 

this is a supplement) consist of one differential for the South and 

three city population differentials for all other sections of the United 

States: 

Over 50,000 population ___________________________ 40 cents per hour. 

10,000 to 50,000 population ____________________________ -_____ 38 cents per hour. 

10,000 and under __________________________________________ 36 cents pe:r hour. 

South _________________________________________________ 32' cents per hour. 

(2) 
3 

In addition to the minimum wage rates shown above, the Basic 

Code provides that women engaged in substantially the same work as 

men shall receive the same rate. of pay as such men employees; that 

the minimum wage for women employees engaged in plant operations shall be not less than 87 .5 per cent of the proper rate for the 

locality in which employed as specified; and that the minimum in 

the South shall be not less than 32 cents per hour. 

Based on the distribution in June 1933 and on the specified percentages of the number of factory workers receiving less than the 

designated rates shown in the table below, the adopt10n of the proposed minimum rates will probably cause an increase in factory payrolls. The estimated increase in June 1933, regardless of location of 

the workers, will probably, under the most favorable conditions, not 

exceed about 4 per cent, assuming only upward adjustment in the 

brackets below the 40-cent minimum and no change in man-hour 

requirements. 

Estimated, numfJer of factory worker8 receiving les8 than aesign.atea 1w-url11 

rates 

Propos2d minimum hourly rates 

40 cents ~other U.S.). ____ -----------------------------·-------------------·-------··-· 38 cents other U.S. _ ------------------------------------------------------------------- 86 cents other U .s3 _ ------------------------------------------------------------------- 82 cents (South) ___ • ___ --------------------------------------------------------------·_ 

RESUME OF THE SUPPLEMENTAL CODE 

Distribution of 

factory workers 

receiving less 

than the minimum regardless of location 

Approx- ~pprox- imate imate 

Percent num- ber 

54.3 

35. 7 

17.3 

5. 0 

75 

49 

24 

7 

Article I states the purpose of the Supplemental Code. 

Article II accurately defines specific terms employed in this 

Supplemental Code. 

Article III. The labor provisions of the Basic Code for the 

Machinery and Allied Products Industry as approved March 17, 

1934, are incorporated by reference as the labor provisions of this 

Supplemental Code. 

Article IV ado~s the relevant portions of Article II, " Definitions " 

and Article VI, 'Administration"; and Articles VIII, "Modifications and Termination", and IX, "Withdrawal" of the Basic Code 

for the Machinery and Allied Products Industry, as approved March 

17, 1934. . Article V establishes a Code Authority consisting of five members. 

The Administrator in his discretion may appoint one additional 

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

Article VI provides for an accounting system and methods of cost 

finding and/or estimating. 

Article VII provides that when an emergency exists in this Subdi vision and when the cause thereof is destructive prioo-cutting, such 
4 

as to render ineffective and seriously endanger the maintenance of 

the provisions of this Supplemental Code, the Code Authority may 

cause to be determined the lowest reasonable cost of the products of 

this Subdivision. The Administrator may approve, disapprove or 

modify the determination. 

Article VIII provides methods of setting up and revising price 

lists. 

Article IX provides certain standards as to conditions of sale 

peculiar to this Subdivision, with a view to eliminating unfair competition in this Subdivision. 

Article X sets forth the unfair trade practices which have been 

especially designed to restrain unfair competition in this Subdi vision. 

Article XI defines export territory and provides that filed price 

lists are not applicable to export shipments. 

Article XII contains the mandatory provisions contained in Section 10 (b) of the Act and also provides for the submission of proposed amendments to the Supplemental Code. 

Article XIII provides for the withdrawal of this Subdivision from 

jurisdiction of the Basic Code and for the continued functioning of 

this Subdivision as an individual industry under its own code. 

Article XIV stipulates that there shall be no inequitable restrictions and provides against monopolies. 

Article XV gives the effective date of this Supplemental Code. 

FINDINGS 

The Deputy Administrator in his final report to me on said Supplemental Code having found as herein set forth and on the basis of 

all the proceedings in this matter: 

I find 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 comm~rce 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 unem_-ployment, 'by improving 

standards of labor, and by otherwise rehabilitating industry. 

(b) Said Subdivis'ion normally employs not more than 50,000 

employees, and is not classified by me as a major industry. 

( 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 institute is an industrial institute truly representative of 
5 

' the aforesaid Subdivision of the industry; and that said institute im• 

poses 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, I have approved this Supplemental 

Code, provided that certain provisions relating to price publication 

a.re stayed as stated in the Order. 

Respectfully, 

JUNE 5, 1934. 

HUGH s. JOHNSON' 

Administrator. 
'SUPPLEMENTARY CODE OF FAIR COMPETITION FOR 

THE CONTRACTORS' PUMP INDUSTRY 

A DIVISION OF THE MACHINERY AND ALLIED 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 Contractors' Pump Subdivision o.f the 

Machinery and Allied Products Industry, and together with the 

Code of Fair Competition of Machinery and Allied Products Industry shall be the ::;tandard of fair competition for this Subdivision and shall be binding on every employer therein. 

ARTICLE II-DEFINITIONS 

"Applicant" means the Contractors' Pump Manufacturers Institute, a Trade organization, which organization is truly representative of this Subdivision, all members of which are engaged 

in the manufacture for sale of the products of the Contractors' 

Pump Subdivision of the Machinery and Allied Products Industry. 

" Indu::;try " means the Machinery and Allied Products Industry, 

as defined in its Code o.f Fair Competition as approved by the President March 17, 1934, and as such definition may from time to time 

be amended. 

" Subdivision" means this Contractors' Pump Subdivision of 

the Machinery and Allied Products Industry as defined and set 

forth in Paragraph (7) of Article II of the National Industrial 

Recovery Code of •the Machinery and Allied Products Industry 

as follows: 

"Contractors' Pump Subdivision means the manufacture for sale 

of dewatering and pressure pumps of the following types : diaphra~, standard centrifugal up to 8" in size and self priming 

centrifugal up to 6" in size for dewatering purposes; plunger and 

piston type trench pumps; contractors' water supply pumps, and 

road pumps and parts thereof, intended for use by contractors in 

the construction industry, and includes all those engaged in such 

manufacture for sale.'·' 

"Code" means the Code of Fair Competition for the Machinery 

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 timste~ i:i bankruptcy, a receiver, 

or other entity. 

" Employer " means any person engaged in this Subdivision either 

on his own behalf or as an employer of labor. 

(6) 
7 

"Employee" means anyone who is employed in the Subdivision 

by any such employer. 

" The Act " means Title I of the National Industrial Recovery Act. 

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

"The Administrator" means the Administrator for Industrial 

Recovery. 

" 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. 

" Group Code Authority " means the Code Authority for any 

group or product classification within this Subdivision. 

" Publish " means to make available to the public. 

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 wr-e written into this Supplemental 

Code. 

ARTICLE IV-A.ooPTION OF OTHER PROVISIONS OF ConE 

The following Articles of the Code, viz : Article II, " Definitions " 

and 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 " 11:odifications 

and Termination"; and Article IX "Withdrawal"; are hereby 

adopted and made a part of this Supplemental Code with the same 

effect as if they were written into this Supplemental Code. 

ARTICLE V-ADMINISTRATION 

A Code Authority is hereby constituted to effectuate the administration of this Supplemental Code. 

(a) During the period, not to exceed sixty days following the 

effective date of this Supplemental Code, the Executive Committee 

of the Applicant shall constitute a temporary Code Authority. This 

temporary Code Authority shall consist of five members and the 

Administrator, in his discretion, may appoint one additional member 

( without vote and without expense to the Subdivision) . For the purpose of electing a permanent Code Authority the temporary Code Authority shall, within sixty (60) days after the effective date of this Supplemental Code, call a meeting to which all 

known employers shall be invited, (on at least ten (10) days notice 

by registered mail) with the right to vote either in person or by 

proxy. This permanent Code Authority shall consist of five ( 5) 

members, and the Administrator in his discretion, may appoint one 

additional member ( without vote and WlH1out expense to the Subdivision). 

The members of the Code Authority shall be elected by a vote of 

the employers present in person, or by proxy, each employer to have 

one vote only. 
8 

Members of Code Authority shall hold office for one year or until 

their successors are elected. 

Action by employers in any Subdivision meeting for the adoption 

of procedural rules, revisions or additions to this Supplemental Code, 

or the transaction of other business of the Subdivision, shall be by 

vote of employers entitled to vote as provided in this Article V, 

who 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. 

Any employer in the Subdivision shall be eligible for membership 

in the Applicant . .AJ.iy employer in the Subdivision shall be entitled to vote on, 

and share in the benefits of, the activities of the Code Authority 

and participate in any endeavors of the Code Authority in the 

preparation of any revisions of, or additions or supplements to, 

this Supplemental Code, by paying his proper prorata share 0f the 

reasonable cost of admin1ster1ng it, as determined by the Code 

Authority. 

(b) Aggregations of employers having a common interest and 

common problems may be grouped by Code Authority for administrative purposes into various groups or product classifications. In 

each group or product classification, there may be a Group Code 

Authority, approved or appointed by Code Authority. 

If formal complaint is made to Code Authority that provisions 

of this Supplemental Code have been violated by any employer, the 

Code Authority or proper Group Code Authority may, to the extent 

permitted by the Act, cause such investigation or audit to be made 

as may be deemed necessary. If such investigation is made by the 

Group Code Authority, it shall report the results of such investigation or audit to Code Authority for action. 

The Code Authority shall, to the extent perm.itted by the Act, 

have the right to investigate and analyze any transaction coming 

under the scope of this Supplemental Code, on which any unfair 

comI_>etition 'is alleged. 

( c) 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 Administrator may provide such hearings as he may deem proper; and thereafter if he shall find that the 

Code Authority is not truly representative or does not in other respects comply with the provisions of the Act, may reguire an appropriate modification in the method of selection of the Code Authority, 

or any Group-Code Authority. 

Any vacancy on the Code Authority, due to death, resignation, or 

because a member thereof has ceased to be connected with this Subdivision, shall be filled at a meeting of employers called by the Code 

Authority on at least ten days' notice by registered mail sent to all 

known employers in this Subdivision, and by a vote similar to the 

vote by which the retired member was originally selected. 

(d) The Code Authority may appoint a Trade Practice Committee which shall meet with the Trade Practice Committees appointed under 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 
9 

this Supplemental Code and under such others to the extent that such 

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

ARTICLE VI-AccouNTING AND CosTING 

The Code Authority shall cause to be formulated an accounting 

system and methods of cost finding and/or estimating capable of 

use by all employers of the Subdivision. After such system and 

methods have been formulated, full details concerning them shall 

be made available to all employers. Thereafter, all employers shall 

determine and/or estimate costs in accordance with the principles 

of such methods. 

ARTICLE VII-SELLING BELOW REASON ABLE CosT 

When the Code Authority determines that an emergency exists 

in this Subdivision and that the cause thereof is destructive pricecutting such as to render ineffective or seriously endanger the maintenance of the provisions of this Supplen1ental Code, the Code 

Authority may cause to be determined the lowest reasonable cost 

of the products of this Subdivision, such determination to be subject to such 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 employer of the Subdivision to 

sell or offer to sell any products of the Subdivision for which the 

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

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

than the lowest reasonable cost of such products. 

When it appears that conditions have changed, the Code Authority, upon its own initiative or upon the request of any interested 

party, shall cause the determination to be reviewed. 

ARTICLE VIII-PRICE μSTS 

(a) If and when the Code Authority determines that in any group 

of the Subdivision it has been the generally recognized practice to 

sell a specified product on th~ basis of net price lists, or price lists 

with discount sheets, and terms of sale and payment, each employer 

engaged in the manufacture of such product shall, within ten (10) 

days after notice of such determination, file with Code Authority, a 

net price list, or a price list with discount sheet, as the case may be, 

individually prepared by him, showing his current prices, or prices 

and discounts, and terms of sale and payment and the Code Authority shall immediately publish and send copies thereof to all known 

employers who are cooperating under this Su,pplemental Code and 

engaged in the manufacture of such specified products. 

Revised price lists and/or discount sheets and/or terms of sale 

and payment may be filed from time to time thereafter with the Code 

Authority by any such employer, to become operative upon the date 

specified therein, but such revised price lists and/or discount sheets 

and/or terms of sale and payment shall be filed with Code Authority 
10 

ten (10) days in advance of the OJ?erative date. Copies thereof, 

with notice of the operative date specified, shall be immediately published and sent to all known employers who are cooperatin~ under 

this Supplemental Code, any of whom may file, if he so desires, revisions of his price lists and/or discount sheets and/terms of sale 

and payment, which shall become effective upon the date when the 

revised price list and/or discount sheets and/or terms of sale and 

payment first filed shall go into effect.1 

(b) If and when the Code Authority shall determine that in any 

group of the Subdivision not now selling its product on the basis of 

price lists, with or without discount sheets, with fixed terms of sale 

and payment, the distribution or marketing conditions in the group 

are the same, or similar to, the distribution or marketing conditions 

in a group where the use of price lists, with or without discount 

sheets and fixed terms of sale and payment is well recognized, and 

that a system of selling on net price lists or price lists and discount 

sheets with fixed terms of sale and payment should be put into effect 

in such group, then each employer in such group shall within twenty 

(20) days after notice of such determination, file with the Code Authority net price lists or price lists and discount sheets, with fixed 

terms of sale and payment, showing his J>rices and discounts and 

terms of sale and payment, and such price lists and/or discount sheets 

and/or terms of sale and payment may be thereafter revised in the 

manner hereinabove provided. Provided that Code Authority shall 

1nake no determination to place any product of the Subdivision (not 

now on a price list basis) on a price list basis, as provided in this 

paragraph (b) of Article VIII unless affirmative consent to such determination is given by a 66%% vote of employers who are cooperating in this Supplemental Code and who are at that time engaged in 

manufacturing such product. The eligibility requirements, method, 

and effect of such voting shall be the same as provided in the Code 

and in Article V hereof. 

( c) Code Authority, for the purpose of determining the lowest 

reasonable cost, shall, to the extent permitted by the Act, have power, 

on its own initiative, or on the complaint of any employer, to investigate any price or the terms of sale and payment for any product; 

a.nd, for the purpose of the investigation thereof, to require such employer to furnish such inf orm.ation concerning the cost of manufacturing and selling such product as Code Authority shall deem necessary or proper for such purpose, and as the Act may allow. 

No employer shall sell directly or indirectly by any means whatsoever, any product of the Subdivision covered by provisions of this 

Article V'iII at a price or at discounts, or on terms of sale and 

payment, different from those provided in his own current net price 

lisUJ, or price lists and discount sheets, and terms of sale and 

payment. 

ARTICLE IX-CoNDITIONS OF SALE 

SECTION 1. Published prices shall include shipping weights and 

all prices shall be f.o.b. employers works; provided, however, that 

any employer may quote a delivered price to the Federal Government. 

er any State, County, or Municipal Government, on any product of 

1 See paragraph 2 of order approving this Code. 
11 

the Subdivision, which price shall not be less than the lowest filed 

.f.o.b. factory price plus the actual transportation charges from the 

plant most favorably located with relation to point of delivery. 

SECTION 2. On sales from warehouse stocks, the price shall not be 

less than the published price together with the freight at the carload 

rate to place of delivery. 

SECTION 3. In the sale of products no express guaranty of materials and workmanship shall be made to be effective beyond six (6) 

months after date of shipment. 

ARTICLE X-UNFAIR TRADE PRACTICES 

Each of the :following acts and practices is deemed to be inimical 

to the best interests of the Subdivision and of the public, and each 

is, therefore, hereby declared to be, and to constitute, an unfair 

method of competition and is hereby prohibited; viz: · (a) The renting of any ne:w product with the object of conv~r:ting the transaction into a sal~, provided? however, that th~s .P;'-'Ov1s10n shall not prevent the renting of products of the Subd1v1s10n 

on bailment leases in those states ·where such transactions are legally 

recognized. 

(b) Selling any new product subject to acceptance after a trial 

or demonstration on the purchaser's job, except that in the case of the 

first new product of any distinctly new type or size, with new model 

designation, if no product of the same type and size has previously 

been sold, or in any case where a product may be sold to -be employed 

for a distinctly recognized new use, any employer may include in 

the contract of sale a provision permitting rescission of the contract 

by the customer within ninety (90) days from date of shipment. 

(c) Agreeing upon, by option or otherwise, with any prospective 

purchaser of any new product, the price of a future sale; or agreeing to give any purchaser of any new product any reduction in the 

contract sales price contingent on future price reductions. 

( d) The sale or offering for sale of any discontinued or non-current model product as a new model or current machine, provided, 

however, that when a discontinued or non-current model machine is 

offered for sale, the quotation to the prospective purchase1· shall show 

in writing the age of the di~ontinued or non-current model product, 

and the serial number and price ·thereof. 

( e) The sale of any product upon other than a unit price basis. 

(f) No employer of the Subdivision shall require that the purchase or lease of any products of the Subdivision be a prerequisite 

to the purchase or lease of wy other products. 

(g) So long as the maker of any product of this Subdivision bearing the maker's name or trademark, which has required sp€Cial 

designing, research or development expense ( or his successor in business) continues to make and supply such spare, repair and replacement parts therefor, it shall be an unfair trade practice for any 

other person to manufacture any repair parts for such product of the 

Subdivision unless the name of such other person manufacturing 

such repair part shall be plainly marked on the part (or, if th.is be 

impracticable, on the package or tag) so that the ultimate user may 

be clearly informed that such repair part was not made by the 
12 

original maker ( or successor to such maker) of the product of the 

Subdivision for which said repair part is manufactured. 

(h) The secret payment or allowance of a rebate, refund, commission, credit, unearned discount, or excess allowance in the form of 

money or otherwise, or the offering or extending to any customer any 

special privilege not extended to all customers of the same class, for 

the ;I_>Urpose of influencing a sale. 

(i) The payment, or promise to pay, to any agent, fiduciary, or 

representative, of money or valuable thing, with or without the 

knowledge of his principal for the purpose of influencing any sale to 

his principal. This provision shall not be construed to prohibit free 

and general distribution of articles commonly used for advertising 

except so far as such articles are actually used for commercial bribery 

as hereinabove defined. 

(j) No employer of the Subdivision 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, trade-mark, w.ade, quality, quantity, origin, size, 

substance, charactar, nature, firush, material, content or preparation) 

or credit terms, values, policies, services, or the nature or form of the 

business conducted. 

(k) The publishing or circularizing of any threat or suit for 

infringement of patents or trade-marks, or of any other legal J?roceedings7 not in good faith which would tend to harass competitors 

or intimidate their customers. 

(1) Any discrimination between purchaser,s of the same class, 

by the sale of any article having a published price, at any price 

below the seller's published price, by means of direct or indirect 

price conce8$ions, or by means of any privilege not extended to 

such purchasers generally. 

(m) The engaging in destructive price-cutting by any employer 

in the Subdivision. 

ARTICLE XI-SALES FOR EXPORT 

The provisions of this Supplemental Code concerning pricing 

and marketing (Articles VII, VIII and IX) shall not apply to 

direct export sales of a,ny product or to sales of any product destined ultimately for export. The term " export " shall include all 

shipments to all place;s without the several states of the United States 

and the District of Columbia; provided, however, that no shipment 

to any territory or possession of the United States shall be considered an export when any employer is engaged in the Subdivision in such territory or possession. 

ARTICLE XII-MODIFICATIONS 

(a) As provided by Section 10 (b) of the Act, the Pre;sident may 

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

rule or regulation issued under Title I of the Act. 

(b) Any amendments, additions, revisions, or. supplements of 

this Supplemental Code, proposed by Code Authority, and ap-
13 

proved by 66%% of the employers, shall be in full .force and effect 

upon approval by the President. The eligibility requirements, 

method, and effect of such voting shall be the same ~ provided in 

the Code and in Article V hereof. 

ARTICLE XIII-vv ITHDRA w AL 

Upon thirty (30) da_ys' notice to Basic Code Authority and to 

the Administrator this Subdivision may, upon the concurring affirmative vote of employers within the 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 juri;3diction of Basic Code Authority. The eligibility of 

voters and the method and effect of such voting shall be in accordance with the provisions of Section ( d) of Article VI of the Code 

and with the provisions of this Supplemental Code. Thereafter. this Supplemental Code, together with the provisions of the Code 

except such portions of Articles I, II, VI and VII as are not pertinent thereto, as determined by the Code Authority and the .Admin-1 

istrator, shall become and be the code governing this Subdivi;3ion, 

and the Code Authority shall for this Subdivision become and be 

the only Code Authority, and shall perform all the .functions with , respect thereto. 

ARTICLE XIV-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 ~hall not be so construed' 

or applied as to oppress or eliminate small enterpri;3es or discriminate against them, and is designed to effectuate the policy of the 

Act. 

ARTICLE XV-EFFECTIVE DATE 

This Supplemental Code shall become effective and binding on all 

persons engaged in the Subdivision on the eleventh day after its 

approval by the President. 

Approved Code No. 347-Supplement No. 11. 

Registry No. 1326----03. 

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UNIVERSITY OF FLORIDA 

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