NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR C·O·MPETITION 

FOR THE 

CHEMICAL WATER TREATMENT 

MANUFACTURING INDUSTRY 

AS SUBMITTED ON AUGUST 30, 1933 

REGISTRY No. 699-15 

The Code for the Chemical Wat.er Treatment Manufacturing Industry 

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

industry, and none of the provisions contained therein are 

I A t 

u., 

to be regarded as having received the approval of 

the National Recovery Administration 

as applying to this industry 

WE DO OUR PART 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1933 

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CODE OF FAIR COMPETITION FOR THE CHEMICAL WATER 

TREATMENT MANUFACTURING INDUSTRY 

To EFFECTUATE THE PoLICY oF TITLE I OF THE NATIONAL INn usTRIAL REcovERY AcT, THE FoLLOWING PRovisioNs ARE EsTABLISHED AS A ConE oF FAIR CoMPETITION FOR THE CHEMICAL 

WATER TREATMENT MANUFACTURING INDUSTRY 

DEFINITIONS 

(1) Wherever used in this Code, the term "the Industry" means the 

business of compounding chemicals and selling such compounds for 

the treatment of water used in the generation of steam and in other 

industrial operations to prevent, eliminate, or minimize scale formation, pitting, corrosion, foaming, or embrittlement, or to reduce or 

change the mineral cont~nt of such water. 

(2) The term "Member of the Industry" used herein means any 

person, firm, or corporation owning or leasing and operating a plant 

in the Industry. 

(3) The term "Employee" as used herein means any employee 

in the Industry. 

(4) The term "Effective Date" as used herein means the second 

Monday after the approval of this Code by the President of the 

United States. 

(5) The term" Pay Roll" as herein used shall mean and include the 

pay of all employees directly engaged in production in the Industry 

and that proportion of the pay of all employees and other personnel, 

including supervisory, administrative, engineering, development, 

sales, servicing, and executive, that is properly chargeable to the 

business of the member in the Industry. Such proportion shall be 

that part of the total dollar gross sales of the member for all products 

manufactured or sold by the member which is realized from sales of 

the member's products in the Industry. 

(6) The term "Member in Good Standing" as herein used means a 

member who has complied with this Code and all rules and regulations issued in connection therewith. 

HOURS OF LABOR, RATES OF PAY, AND OTHER CONDITIONS OF 

EMPLOYMENT 

(1) Pursuant to subsection (a) of Section 7 of the National Industrial Recovery Act and so long as the Code shall be in effect, the 

Code shall be subject to the following conditions: 

(a) That employees shall have the right to organize and bargain 

collectively through representatives of their own choosing, and shall 

be free from interference, restraint, or coercion of employers of 

labor, or their agents, in the designation of such representatives or 

in self-organization or in other concerted activities for the purpose 

of collective bargaining or other mutual aid or protection. 

(b) That no employee and no one seeking employment shall be 

required as a condition of employment to join any company union or 

8682-33 (1) 
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to refrain from joining, organizing, or assisting a labor organization 

of his own choosing, and 

(c) That employers shall comply with the maximum hours of 

labor, minimum rates of pay, and other conditions of employment, 

approved or prescribed by the President. 

(2) On and after the effective date no member of the Industry 

shall employ any employee excepting outside salesmen, emergency repair crews, superintendents, and supervising employees more than 

forty hours per week. 

(3) On and after the effective date no member of the Industry 

shall pay any employee other than outside salesmen at a rate less 

than 35 cents per hour. 

(4) No member of the Industry shall employ any person under six- teen years of age. 

PUBLICATION OF PRICES 

(1) Each member of the Industry shall, on or before the effective 

date, file with the Secretary of the Code Committee a list of all his 

products in the Industry and the minimum prices thereof to all classes 

of customers, including all quantity differentials or other discounts, 

all terms of pay1nent, freight allowances, prepayments, and equalizations. Such prices shall be available to any member of the Indu try 

on request of the Secretary of the Code Committee. 

(2) No member of the Indu try shall make any reduction in the 

minimum price of any product on the li t on file with the ecretary 

effective less than ten days after such revi ed price shall have been 

filed with the Secretary. 

(3) The sale of any product by any member of the Indu try at le s 

than the effective pri e of such member for such product then on file 

with the Secretary shall be a violation of thi Cod . (4) Each member agrees that he will not ell a product of the Indu - try to a purchaser for resale who shall not agree to re ell said product 

at prices equal to or in excess of the lowe t ultimate con umer"' price 

therefor filed with the S cretary by any member. 

UNFAIR PRACTICE 

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(d) Maliciously enticing away the employees of competitors with 

the purpose or effect of unduly hampering, injuring, or embarrassing· 

competitors in their business. 

(e) Securing information from competitors concerning their business 

by false or misleading statements or representations, or by false imper-· sonations of one in authority, and the wrongful use thereof to unduly 

hinder or stifle the competition of such competitors. 

(f) Paying or allowing or offering to any purchaser or prospective 

purchaser any secret or discriminatory rebate, commission, credit, discount, adjustment, or similar concession. 

(g) Inducing or attempting to induce by any means any party to 

a contract with a member of the Industry to violate such contract. 

(h) Any misrepresentation as to the quality, quantity, origin, or 

other material condition of any product or service. 

(i) Acceptance of any form of paper or security in payment at 

more than the true value thereof. 

(j) The shipm.ent of any product to any person without a definite 

advance order therefor from such person. 

MEMBERS 

(1) To the extent required or permitted by or under the provisions 

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

the Code shall apply to and be binding upon every member of the 

Industry whether or not such member shall be a member of the Code. 

(2) Every member of the Industry who shall signify in writing his 

acceptance of the Code and \vho shall not be in default in the payment 

of any assessment or the observance of any provision of the Code 

shall be a member of the Code. 

(3) Meetings of members of the Code may be called fron1 time to 

tin1e by the Chairman of the Code Committee, by a majority of the 

members of the Code Con1mittee, or by members of the Code having 

not less than, 30% of the voting p,ower. Fifty percent of the voting 

power of the members of the Code shall be necessary for a quorum, 

but less than a quorum n1ay adjourn any meeting to any time. 

(4) Notice of the time and place of holding any meeting of the 

members of the Code shall be sent to each member of the Industry 

as then listed by the Code Committee not less than ten days before 

such meeting. 

VOTING P OWER 

(1) At each meeting of the members of the Code each member 

thereof in good standing shall have as many votes as shall equal the 

quotient obtained by dividing by 1,000 the aggregate amount of 

dollars of the payroll in the Industry of such members during the 

preceding calendar year. Fractions shall be disregarded; provided, 

however, that each rnember of the Industry shall have at all times at 

least one vote. All questions as to the number of votes that each 

member nf the Code shall be entitled to cast in any rneeting of the 

members thereof shall be determined by the Code Committee. 

(2) Each member of the Code shall file with the Secretary a statement sworn to by a responsible officer of such member, setting forth 

the pay roll on the basis of which the voting power of such member 

shall be determined. 
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CODE COMMITTEE 

(1) The members of the Code shall elect a Code Committee at the 

Annual Meeting, composed of five members, all of whom shall be 

officers or other representatives of the members of the Industry. 

(2) Pending a meeting of the members of the Code the following 

persons in the Industry are constituted the Code Committee to serve 

as such until the first meeting of the mmnbers of the Code amd until 

their respective successors are elected and qualified: 

George R. Carr W. E. Ridenour 

L. F. Edwards F. H. Thorne 

Donald Rathbun 

(3) Any member of the Code Committee may designate an alternate to act in his absence at any meeting of the Code Committee. 

(4) The Code Committee shall be the general planning and coordinating agency for the Industry and shall have the following 

powers and duties: 

(a) To represent the members of the Industry at all conferences, 

hearings, and other negotiations with the President of the nited 

States or his representatives with respect to the approval of thi ode 

or any amendment thereof, or any of its provi ions, or any matt r 

relating thereto. 

(b) To employ such agents, clerks, and attorneys as may be nece - sary or desirable to administer this Code or to advi e and represent 

the Committee in any of its functions. 

(c) To provide itself with offices and make the nece ary expenditures in connection therewith. 

(d) To select a Chairman, Vice Chairman, 

Treasurer. 

(e) To make investigations upon written omplaint or upon i 

own initiative of violation of the Code and to levy appropriate 

penalties, which in the case of sales shall not exceed 25% of the ellinO' 

price. The C de Committee may .al o refer any complaint of iolations of t.hi Code to the Presid nt of the United tat or hi r pr - sentative for the in1po ition of the penal ie pro ided by h ti n I 

Indu trial Recov ry Act. 

(f) To 1 vy uch a e sment on the m mb r of h Indu try in 

proportion to their re pective pay roll during the pr ding y nr 

rna. be n essary to cov r the expense of th admini · n f h 

Cod and r a onable re erve . (g) To mak uch rul and r O'Ul ion b ar. f r 

th admini tration and enfor em nt f thi 

(h) To etermine wh h r a m mb r 1 

tanding. 

( ) A maj rity of th f th d nuni t hall 

c n titut qu rum. 

E ER L PR 

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in the request therefor by the Code Committee, or in event the 

Code Committee shall be of the opinion that any such report when 

filed by any such member shall not have been prepared in the manner specified herein or fails properly to reflect the pay roll of said 

member, said Code Committee shall have the right during reasonable 

business hours to cause the books and records of any one or more of 

such members of the Industry to be examined by a reputable firm 

of disinterested Certified Public Accountants in order to compute 

the pay roll of such member or members to determine whether any 

report theretofore prepared and filed by such member was accurately 

prepared in accordance with the proper application of the terms of 

this Code. 

(3) In the event said Certified Public Accountants shall investigate 

and verify the accuracy of said report, the expense of the examination 

of the books of said member shall be borne by the members of the 

Code. In the event said Certified Public Accountants shall find 

said report or reports to be substantially erroneous and to reflect improperly the actual pay rolls of said member, the expense of such 

examination shall be borne by the member making such erroneous 

report. ' 

AMENDMENTS 

(1) This Code may be amended at any time on the recommendation of the Code Committee by a meeting of the n1embers of the 

Code which shall be called for such purpose upon notice given of the 

substance of the proposed amendment in accordance with the provisions of the Code. If at such meeting at least 75% of all the votes 

cast at such meeting shall be in favor of the adoption of such amendment, such amendment shall be submitted by the Code Committee 

to the President of the United States for approval, if approval thereof 

by him shall then be required by law. 

(2) Each such ameJ).dment shall take effect as a part of the Code 

upon the adoption thereof by the members of the Code and the approval thereof by the President of the United States as above provided. 

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UN IVERSITY O F FL O RIDA 

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