Registry No. 1314-01 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

FIRE EXTINGUISHING APPLIANCE 

MANUFACTURING INDUSTRY 

AS APPROVED ON NOVEMBER 4, 1933 

BY 

PRESIDENT ROOSEVELT 

WI DO OUR PART 

1. Executive Order 

2. Letter of Transmittal 

O i ::.::-

I A It • ... ...... 

a.-, _______ .._ ..... ED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

For sale by the Superintendent or Documents, Washington, D.C. - • • - - • - - Price 5 cents 
This publication is for sale by the Superintendent of Documents, Government 

Printing Office, Wa bington, D.O., and by di trict office. of the Bur au of 

Foreign and Dom tic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 504 Po t Office Building. 

Birmingham, Ala. : 257 Federal Building. 

Boston, Ma s. : 1801 ustomhou e. 

Buffalo, N.Y.: Chamber of ommerce Buildino-. 

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

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

Cle,eland, Ohio : hamber of Commerce. 

Dallas, Tex. : Chamber of Commerce Building. 

Detroit, Mich.: 2213 First National Bank Building. 

Hou ton, Tex.: Chamber of Commerce Building. 

Indianapolis, Ind. : Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo. : 1028 Baltimore A venue. 

Los Angeles Calif. : 1163 South Broadway. 

Louisville, Ky. : 408 Federal Building. 

Memphis, Tenn. : 229 Federal Building. 

Minneapolis, l\linn. : 213 Federal Building. 

New Orleans, La. : Room 225-A, Customhou e. 

New York, N.Y·.: 734 ·cu tomhouse. 

Norfolk, Va.: 406 East Plume Street. 

Philadelphia, Pa. : 933 Commercial Trust Building. 

Pittsburgh, Pa.: Chamber of Commerce Building. 

Portland, Oreg.: 215 New Po t Office Building. 

St. Louis, Mo.: 506 Olive Street. 

Sa:n Francisco, Calif. : 310 Customhouse. 

Seattle, Wash.: 809 Federal Building. 

(II) 
EXECUTIVE ORDER 

CoDE OF F .AIR COMPETITION FOR THE FIRE ExTr:NaursnrNG APPLIANCE 

1¥IANUF ACTURING INDUSTRY 

An application having been duly made, pursuant to and in full 

compliance with the provisions of title I of the National Recovery 

Act, approved June 16, 1933, for my approval of a Code of Fair 

Competition for the Fire Extinguishing Appliance Industry, and 

hearings having been held thereon and the Administrator having 

rendered his report containing an analysis of tlie said code of fair 

competition together with his recommendations and findings with 

respect thereto, and the Administrator having found that the said 

code of fair competition complies in all respects with the pertinent 

provisions of title I of said act and that the requirements of elauses 

(1) and (2) of subsection (a) of section 3 of the said act have boon 

met: 

NOW THEREFORE, I, Franklin D. Roosevelt, President of the 

United States, pursuant to the authority vested in me by title I of 

the National Industrial Recovery Act, approved June 16, 1933, and 

otherwise do adopt and approve the report, recommendations and 

findings of the Administrator and do order that the said code of 

fair competition be and it is hereby approved. 

THE WHITE HousE, 

N ove1nber 4, 1933. 

Approval recommended: 

HUGH 8. JOHNSON, 

Administrator. 

FRANKLIN D. ROOSEVELT. 

(III) 
NOVEMBER 3, 1933. 

The PRE IDENT 

Th White House. 

Sm: The propo d ode of Fair ompetition for the Fire Extingui hu10- Appliance ~Ianufac uring Indu try wa submitted to the 

Admini trator on Augu t 23 1933 by the hemical Fire Extingui her A sociation Inc. repre enting approximately 60% of the 

known manufa turers of the Industry and approximately 85% of 

the al olume. The hearing was conducted in W a hington on 

October 23, 1933, and the code was revised during the rece s of the 

Hearing and i submitted in its present form for approval. All 

})er on who reque ted appearances were properly heard in accordance ith statutory and regulatory requirements. 

The Industry, while relatively small in numbers of manufacturers, 

is of great importance to the entire country in the de elopment of 

device for extingui hment of fires. The research and development 

divisions of the Industry maintained by a substantial number of the 

members are constantly seeking to improve present fire-extinguishing 

de ices, and to discover through new chemical formulae and otherwise, more efficient appliances for the purpo e of reducing the 

enormous annual fire loss (1932, approximately $500,000,000). To 

this extent the Industry must be recognized as doing a constant 

public ervice, not only from the standpoint of reducing fire losses 

but in the reduction of fire-insurance rates on stores, factories, 

homes, etc. · During the past four yea.rs the Industry has experienced a drop in 

sales in excess of 70%, but in an attempt to spread the work among 

their employees have only decreased the number by 331/2 %- It is 

estimated that with a return of the average business of the 1928-

29-30 period and with the hours of work reduced from 46 hours to 

35 hours per week, the Industry would employ approximately 331/s % 

more workers than it employed during the period above. 

Article /.-Purposes. 

A1·ticle //.-Definitions. 

Article I I /.-Provides a 35 hour week, averaged over a 3 month ' 

period, and except only watchmen, outside sales and ervice men, 

and employee receiving a salary in excess of $35.00 per week. 

A1·twle /V.-Provi<le a minimum rate of 40 cents per hour for 

fa tory or me hanical workers or artisan . Female employees 

engaged in similar lines of work receive the same wage. An equitable adju table of wages above the minimum for all employee is 

pro id d. 

Article V.-Providc :Mandatory Labor Provi ion , minimum age 

requirements of 16 year , and prohjbition again t reclas ification of 

mployees. 

Article V/.-Provides a Cod Authority of v n members by the 

Industry with the right of the Administrator to appoint two addi-

<rv> 
V 

tional nonvoting members. The Code Authority upon approval and 

subject to the approval of the Administrator, will take steps immedi. 

ately to adopt (from data to be supplied by the members to an 

impartial agency) a representative cost of products of the Industry. 

The Industry agrees not to setl products below such representative 

cost as defined in this Article. 

Article VI /.-Provides Unfair Trade Practices. 

Article VI I /.-Publicity of Prices and Terms and Conditions of 

Sale. 

Article I X.-General Provisions. 

Article X.-Modifications. 

Article X/.-Monopolis. 

Article X//.-Effective Date. 

FINDINGS 

The Administrator finds: 'A. This Code complies in all respects 

with the pertinent phrases of Title I of the Act including without 

limitation subsection A of Section 7 and subsection B of Section 10 

thereof. B. The Chemical Fire Extinguisher Association, Inc., is 

truly representative of the Chemical Fire Extinguishing Appliance 

Manufacturing Industry, and the bylaws of this Associ3tion contain 

on inequitable restrictions on membership. C. The Code is not de• 

signed to promote monopolies or to eliminate or oppress small enter• 

prises and will not operate to discriminate against them and will 

tend to effectuate the policy of Title I of the National Recovery Act. 

It is recommended, therefore, that this Code be approved. 

Respectfully, 

HUGH s. JOHNSON, 

A dm,inistrator. 

CODE OF FAIR COMPETITION FOR THE FffiE EXTINGUISH• 

ING APPLIANCE MANUFACTURING INDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the policies of Title I of the National Industrial 

Recovery Act, the following provisions are submitted as a Code of 

Fair Competition for the Fire Extinguishing Appliance Manufacturing Industry, and upon approval by the President shall be the 

standard of fair competition for such Industry and shall be binding 

upon every member thereof. 

ARTICLE II-DEFINITIONS 

Wherever used in this Code or in any schedule or supplement 

appertaining thereto, the terms enumerated in this article shall have 

the meanings herein defined unless the context shall otherwise clearly 

indicate: 

SECTION 1. The term " the President " means the President of the 

United States of America. 

SEc. 2. The term "the Industry" as used in this Code shall mean 

the manufacturing in the United States and sale by manufacturers 

of fire-extinguishing appliances of all types, including hand-portable, 

two-wheeled portable, and stationary appliances, and devices therefor; and charging units and chemical compounds used therewith; 

and service parts; and such other products as may from time to time 

be included under this Code. This term is not intended to include 

motor fire apparatus or automatic-sprinkler systems. 

SEc. 3. The term "Code products" a$ used herein means the 

products enumerated in Section 2. 

SEc. 4. The term " member of the Industry " includes anyone engaged in the Industry as above defined, either as an employer or on 

his own behalf. 

SEc. 5. The term "Association " means the Chemical Fire Extinguisher Association, Inc., an incorporated association having its 

principal office at present at 7 East 44th Street, New York City. 

SEc. 6. The term" the Act" means the National Industrial Recovery Act as approved by the President June 16, 1933. 

SEc. 7. The term " the Administrator " means the Admini trator 

appointed by the President under the Act and at the time in office. 

SEc. 8. The term "primary market" means that in which the 

"distributor" or "jobber" purchases from the manufacturer. 

SEc. 9. The term" secondary market" means that which is served 

by the "distributor" or "jobber." 

SEC. 10. The term "employee" as used herein includes anyone 

engaged in the Industry in any capacity receiving compensation for 

his services, irrespective of the nature or method of such compensation. 

19905°-188-178-33 (1) 
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anyone by 

E TIO 1. No factory or mechani al worker or arti an shall be 

p rmitt d to work in excess of 8 hours in any tw nty-four (24) 

hour period nor in excess of 35 hours per week av raged over a 

thre months' p riod, with not more than 40 hour in any one 

week· no other worker shall be permitted to work in xcess of 40 

hour in any one week or 8 hours in any twenty-four (24) period; 

proYided however, that such limitation shall not apply to watchmen ou ide sales and service men and employees in a managerial 

or executive capacity who receive more than $35.00 per week. 

SE . 2. The maximum hours fixed in the foregoing section shall 

not apply to any employee on emergency maintenance or emergency 

repair work involving breakdowns or protection of life or property, 

but in uch special case at least one and one third (11/3 ) times his 

normal rate shall be paid for hours worked in excess of the maximum 

hours herein provided. 

SEc. 3. No employees shall work or be permitted to work for a 

total number of hours in excess of the number of hours prescribed 

for each week and day, whether employed by one or more employers; 

provided, however, that if any employee should be employed by 

more than one employer for an aggregate period in excess of such 

maximum without the knowledge or connivance of any one of such 

employers, such employer shall not be held to have violated this 

section. 

ARTICLE IX-WAGES 

ECTION 1. No factory or mechanical worker or artisan shall 

be paid at less than the rate of forty ( 40) cents per hour, nor any 

other employee at less than thirty-five (35) cents per hour, except 

out ide commission salesmen; and except that learners and apprenti e ( for a period of not to ex eed six ( 6) weeks), ca ual and 

young Q"irl employees engaged in mail room and mi c llaneou office 

work uperannuated or partially di abled employees an l pen ioners 

n1ay be paid at the rate of not les than 80 percent of the foregoing 

rates; provided, however, that the number of su h employe s who 

are factory or mechanical workers or artisans, shall not at any time, 

con titute more than 5% of the employee of any member of the 

industr. nor hall the total number of all uch emplo ees exceed 

10% of the emplo ee of any member of the In lu tr . SEc. 2. Female employees performing ub tantially the ame work 

as male employees shall recei e the sa.me rates of p y as ma.le 

employees. 
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SEc. 3. Minimum hourly rates of pay established by this Article 

shall apply regardless of whether an employee is compensated on 

a time-rate, piecework, or other basis. 

SEc. 4. An equitable adjustment shall be made of the wages of 

the employees now receiving more than the minimum wage as 

provided in this Code. In no case shall the rates be decreased. 

ARTICLE V-GENERAL LABOR PROVISIONS 

SECTION 1. No person under 16 years of age shall be employed in 

the Industry, and no minor under 18 years of age shall be engaged in 

any harzardous occupation. 

SEc. 2. Employees shall have the right to organize and bargain 

collectively, through representatives of their own choo ing, and shall 

be free from the interference, restraint, or coercion of employers o:f 

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

in self-organization or in other con~erted activities for the purpose 

of collective bargaining or other nutual aid or protection. 

SEo. 3. No employee and no one seeking employment shall be required as a condition of employment to join any company union or to 

refrain from joining, orga:qizing, or assisting a labor organization 

of his own choosing. 

SEc. 4. Employers shall comply with the maximum hours of labor, 

minimum rates of pay, and other conditions of employment approved 

or prescribed by the President. 

SEC. 5. Within each State, this Code shall not supersede any law~ 

of such State imposing more stringent requirements on employers, 

regulating the age of employees, wages, hours of work, or health, 

fire or general working conditions, than under this Code. 

SEc. 6. Employers shall not reclassify employees or duties of occupations performed by employees so as to defeat the purposes of 

the Act. 

SEc. 7. Employers shall post in a conspicuous place, accessible to 

all employees, the labor provisions of this Code. 

ARTICLE VI-ADMINISTRATION 

To further effectuate the policies of the Act, a Code Authority 

js hereby constituted to cooperate with the Administrator in the 

administration of this Code. 

SECTION 1. Organization and Constitution of Code Authority. 

(a) The Code Authority shall consist of seven (7) individuals 

representi;ng members of the Industry, selected by a method approved 

by the Administrator. The Administrator, in his discretion, may 

ap:eoint not more than two (2) additional members, without vote. 

(b) The Association and any other group or association directly or 

indirectly participating in the selection or activities of the Coda 

Authority shall: ( 1) impose no inequitable restrictions on membership, and (2) submit to the Administrator true copies of its articles 

of association, bylaws, 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. 
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(c) In rd r that th o e Authority hall at all tirn be truly 

r pr _entL ti\- of the IndtL r and in oth r re pect compl with 

the pr ,i ion of th .. A.ct the ... \..dmini trat r ma pr Yide uch 

heL rinCT a he ma de m proper· and th reaft r if he hall find that 

th ~ uthorit i not ruly r pre ntati,e or doe n in other 

p com ly with the prO\i i ns of the .... c m r quir an 

appropriat mo lification in the me h cl of ... election of the ode ... uthorit,. 

E . :.. h od ... \..uthorit hall ha.Te the follo ina du ie and 

power" t the ext nt permitted by the ct, subjec to the ri<Yht of 

th mini tra t r on r n w to di a ppro,e or modify an action 

tak n y the de uth rity: 

(a) 1\''ith a new to keeping the Pre ident and the AdminLtrator 

inforn1ed a to the b-erYance or nonob en-ance of the ode and 

a to whether the n1 mber f the Indu try are takina appropriate 

step~ to effectuate th declared policy of the ct, the ode uthority 

hall report to the dmini trator at u h time and concernincr uch 

condition in the Indu_try a he ma from time to time require, 

and each member of th Indu try hall file in the office of the A ociation or uch other office a the Code uthorit may desirnate and 

at uch time in uch form, and for such period a required b"' the 

aid ode Authorit reports with re pect to wages, hours of labor, 

condition" of employment number of employee , production. and 

other matter- pertinent to the proper upervision of the Industry 

as determined by the Code Authority. b .All information of an nature which may be required by the 

Code Authority hall be collected by the Association or throuoh a 

di intere ted and impartial agency selected by the ode Authority, 

and ~uch information shall be kept confidential by the agency except 

such a is required by the Code .Authority for the proper enforce- men of the ode and with the further exception that all such 

information hall be fully a,ailable to the Admini...trator. Only 

information which is e ential to the proper supervi ion of the In- du tr or to the enforcement of this Code may be so requested by the 

Code Authority. (c) The ode Authority shall desirnate an agent or aoent to 

in,estiaate complaint or nolation of the Code. I f upon uch 

in,e tigation any complaint of a violation of the ode shall be ~ub- stantiated in any material respect the member of the Indu try 

guilty of uch ,iolation ~hall be ubject to all penalties pronded 

for in the Act. 

( d) The ode A.uthorit hall study conditions in the Indu_try 

and hall make any recorn.menda tions from time to time to the Admini-trator which it deem de irable to further the policie of the 

Act including tho e ~pecifically mentioned below which upon ap- pro,al of the Pre ident and after such hearing a mav be pre-

~cribed hall become a part of this ode and hall ha,e full force 

and effect n pronsions hereof. 

(e) The ode uthority shall proceed to e tabli h a uniform y - tern of co t accountino in conformit:v with accepted tan larcL, f r 

u e by the memb r of the Indu try. pon appr ,al by th _ lmini -

trator. uch tern of co accountina hall be u ed hr ach member 

of the Indu try in determining hi co t . Each member of the In-
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dustry shall report his individual costs, computed in accordance with 

said system, to a disinterested and impartial agency de ignated by 

the Code Authority. Such agency shall determine the costs of that 

representative member of the Industry whose costs are lowest. Such 

representative costs shall be published to the Industry. No member 

of the Industry shall sell products of the Industry below such representative costs. Such representative costs shall be revi ed from time 

to time at reasonable intervals. The term " representative member 

of the Industry" is defined as being one who manufactures within 

his own plant a representative line of the products of the Industry, 

who maintains research and development departments for improvement in the art of fire extinguishment, and who through educational 

publicity and sales promotion broadens the market and develops 

business for all members of the Industry. 

(f) The Code Authority shall establish definitions of Trade Fae-. 

tors and such standard differentials in price to the various classes 

of Trade Factors thus defined, as may be necessary to preserve stability in the primary and secondary markets for the products of the 

Industry. Upon approval by the Administrator, such definitions 

and differentials shall be binding upon every member of the Industry. 

It is contemplated that such standard differentials will be based upon 

differences in cost in selling to the various classes of Trade Factors ·and differences in the services rendered thereby. 

(g) If the Code Authority should have reason to believe that any 

report submitted by any member of the Industry is inaccurate, it 

may designate a disinterested and impartial agency to verify such 

report by an examination of the relevant books and records of the 

member of the Industry concerned. 

(h) Members of the Industry shall be entitled to participate in 

and share the benefits of the activities of the Code Authority anci 

to participate in the selection of the members thereof by assenting 

to and complying with the requirements of this Code and sustaining 

their reasonable share of the expenses of its administration. The 

reasonable share of the expenses of administration shall be determined 

by the Code Authority, subject to review by the Administrator, on 

the basis of volume of business and/or such other factors as may be 

deemed equitable to be taken into consideration. 

SEc. 3. In addition to the information required to be submitted to 

the Code Authority, there shall be furnished to government agencies 

such statistical information as the Administrator may deem necessary 

for the purposes recited in Section 3 (a) of the Act. 

SEC. 4. Appeals. 

(a) Any interested party shall have the right of complaint to the 

Code Authority and a prompt hearing and decision thereon, under 

such rules and regulations as it shall prescribe, in respect to any 

act of any agent or agency designated by the Code Authority to 

act in its behalf. 

(b) .Any interested party shall have the right of appeal to the 

Administrator, under such rules and regulations as he shall pre cribe, 

with respect to any decision, rule, regulation, order, or finding made 

by the Code Authority, or in the event of failure of the Code Authority to take action within a reasonable time after a request or 

complaint by an interested party. 
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\..RTI LE \ II-U .. ·F IR TR,\DE PR.\ Tl 8 

n titut unfair m thod of comp tition 

f th Indu r and ar prohibite l. 

E~-~~· 1. Mi r pr ntation.- fi r pr ntati n on a pri list, 

qu tati n h t adv rti ino- matt r, t . : a to th a rao-e ei(Yht or 

any h r featur f a pr uu t; or the u e th r on of a mi 1 ading 

compari on with a comp titiv t p of product. A mi 1 ading 

statem nt a to he bu in int grit. , m rchandi e, policy, or financial tandino- of an omp titor. Mi r pre entation on a pla e or 

a lab 1 or oth rwi ither on the m r handise or on its carton, as 

to an ex lu iY pat nted or other featur . EC. 2. Faulty lnvoic-ing.-Fictitiou invoicinO' of merchandise; 

or 01ni ion from an in oice of any of the special features of tho 

product hipped a~ainst the invoice or of any of the terms pertainin<Y to the sale. Allowing terms of payment more favorable than 

2% cash discount 10th proximo or more favorable than net 30th 

proximo, or granting future invoice dating on any shipment of 

ode products ( except to "distributor "). 

SE . 3. lniproper Deductions.-Permitting a customer, in making 

his remittance, to ma.ke any deduction not covered by the terms of 

sale appearing on the invoice. 

SEc. 4. Extras.-Granting a rebate under the guise of an" extra" 

at no extra cost to the customer. 

SEc. 5. Excessive 01· Misleading Allowances.-Ofi'ering or granting 

to a customer an excessive allowance for alleged defective merchandise an alleged shortage, or for adjusting a complaint of any kind; 

or offering an unnecessary and/or unreasonable allowance on goods 

taken in tra.de; or offering goods minus some necessary item which 

it is the published and established practice of the manufacturer and 

of the Industry to include as a part of a Code product; or allowin<Y 

freight other than at lowest Le.I. freight rate effective on date of 

shipment, or on shipments of less than 100 pounds; or an allowance 

for cartage outside the nor1nal city delivery radius from a manufacturer's factory or factory branch stock. 

SEc. 6. Free Goods.-Offering to ship or the shipping or in any 

way delivering free goods of any kind to any customer for resale by 

that customer. 

SEc. 7. Subno1'1nal Pricing of Other Products.-The pricing of any 

product manufactured and/or sold by a manufacturer in this Industry, whether or not such product is included under the Code 

of Fair Competition of this Industry, at a price below the published 

prices of the manufacturer of that product, when such product is 

ordered or sold with Code products. 

EC. 8. Excessive W {JIM'anties.-Guaranteeing a product, whether 

voluntarily or n request, on condition more favorable to the purcha er than the following: Freedom from defects in material and 

workman hip under the u e and service for which the product is 

recommended by the manufa turer; obligation to r place or r pair, 

f.o.b. manufacturers factory, any part or parts r turned to his factory, transportation charg s prepaid, the manufacturer t b he 

judge of whether or not the alleged def ct is pr ent; no obli<Yation 

for con quential damages or other items of expen e which normally 
7 

cannot be anticipated and equitably comprehended in original costs 

or selling prices. 

SEC. 9. Discrimination B etween Purchasers.-Discrimination in 

prices or terms of sale between purchasers of the same class, whether 

by misclassification or otherwise. 

SEc. 10. Faulty Methods of Handling Orders and Quotations.- Handling orders or quotations as follows : 

(a) Accepting orders incomplete with respect to specifications, 

prices, terms, and the like. 

(b) Making quotations which are not contingent upon a change in 

the market, except (x) quotations to the Federal Government, a State 

Government, or a county or a municipality, in response to an official 

invit~tion for bids containing stated delivery requirements; and (y) 

quotations for a specified quantity of Code products £or a specific 

building or other construction project, if a r ecord of such quotation 

is filed with the Secretary of the Association. 

( c) Giving a purchaser the benefit of lower prices on orders received prior to or on the effective date of a price increase duly filed 

pursuant to Article VIII on this Code, unless shipment is made within tw~nty t20) days (Sundays and holidays excluded) following the 

effec_tive date ,<;>f such price increase. A postm_ark_ on a letter· or the 

filing time on a telegram shall be deeme¢l the date of receipt thereof. 

Pro:vided, however, that nothing in th~s paragraph ( c) shall apply to 

a written order from the Federal Government or ~ :_State Government 

or a county or municipality; or to a written order :for a specified quantity of Cod~ products for a specified building or other construction 

project; if a r:ecord of such order is filed with the Secretary of the 

.Association at the time of its acceptance. 

(4) Making guarantees against market advance or decline. 

SEc. 11. D_estructive Marketing.-Continuing to supply any trade 

factor whose practices are duly proved to be destructive qf the market, 

at prices which enable hi~ to continue destructive marketing. . 

SEc .. ~2. Se?ling· Belqw Pwblis!ied Prioes.-Selli~g at a price which 

is below current published prices, excepting that discontinued lines or 

surplus stocks or inventories which must be converted into cash to 

meet immediate ;needs, may oo sold at such prices as are necessary to 

move the merchandise into buyers' hands; provided, however, tltat 

all such stocks or inventories m.ust first be reported to the Code Author_ity, and be disposed of subject to the approval of the Code 

Authority. , SEc. 13. Other Unf(J;1,r PraJctices.-Nothing in this Code shall limit 

the effect of any adjudication by the courts, or holding by the Federal 

Trade Commission on complaint, finding and order that any practice 

or method is unfair, provided that such adjudication or holding is 

not inconsistent with any provision of the Act or of this Code. 

ARTICLE VIII-PUBLICITY OF PRICES, TERMS, AND CONDITION s OF S ALE 

SECTION 1. Each member of the Industry shall not before twenty 

(20) days but within thirty (30) days after the effective date of this 

Code, file in the office of the Association or such other office as may 

be designated by the Code Authority, for immediate distribution to 

all members of the Industry copies of his price lists or discount 
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she t howincr the prices ior all of the Code products which he 

n1.ark L an l fr m and aft r the ., piration of such thirty (30) days 

a h m mb r f the Industry shall at all tim 1naintain on file with 

aid offi pri li t or di ount heets showing the prices for all its 

aid l r du t and hall not make any chancre in uch prices except 

by filincr n ti c of such pri e chanO'e as her inaf r provided. 

n f th pri h ·n in an pri c li t or di ount h t 

filed b an m mber of th Indu try as herein provided, shall be 

chanrr d ex pt b th filing b~ u h meinb r of the Indu tr for 

imm liat di tribution to all m mbers of the Industry, copi s of 

hi n w pric Ii ts or di count sheets. 

E . 3. Ea h price Ii t or discount sheet shall state the date upon 

which it shall become ffective, whi h date shall be not less than ten 

(10) day after the date of filing such price Ii t or di count sheet 

with the aid office: P-rovided, howeve-r, That the first price lists or 

di count she ts filed by any member of the Industry, as above provided hall take effect on the date of filing tfiereof. 

SE . 4. In all instances, members of the Industry shall employ the 

pricing y tem of li t pri e subject to discount. 

SEO. 5. The operation of the foregoing shall at all times be subject 

to the approval of the Administrator. 

ARTICLE IX-GENERAL 

SECTION 1. Each member of the Indutsry shall be responsible for 

the observance of this Code by any controlled subsidiary or affiliate 

thereof. 

Ee. 2. If the operation of any provision of this Code should interfere with the exercise of existing lawful patent rights or of rights 

under an existing lawful patent rights or of rights under an existing 

lawful patent licensing agreement, any one affected thereby may 

apply to the Code Authority, which shall have power to grant an 

exemption, subject to the approve! of the Administrator. 

SEc. 3. Articles VII and VIII of this Code shall not apply to 

direct export sales of products of the Industry. The Code Authority, subject to the approval of the Administrator, shall have power 

to grant a similar exemption, upon application by a member of the 

Indu try, in regard to sales destined ultimately for export. 

SEc. 4. Nothing contained in the Code shall be deemed to constitute any of the members of the Industry partners for any purpose. 

SEC. 5. If any member of this Industry is also a member of another 

Industry, the provisions of this Code shall apply to and affect only 

that part of his business which is included in this Industry. 

ARTICLE X-MODIFICATIONS 

SECTION 1. This code and all the provisions thereof are expressly 

made subject to the right of the President, in accordance with the 

provi ion of subsection (b) of Section 10 of the Act, from time to 

time to cancel or mod)fy any order, approval, lie nse, rule, or regulation i sued under Title I of said Act, and specifically, but without 

limitation, to the right of the President to cancel or modify his 
9 

approval of this Code or any conditions imposed by him upon his 

approval thereof. 

SEc. 2. The Code Authority shall from time to time make to the 

Administrator such recommendations, including amendments of the 

Code, as in their judgment will aid the effective administration of 

this Code or may be necessary to effectuate within the Industry the 

purpose of the Act as administered. 

SEc. 3. Such of the provisions of this Code as are not required to 

be included therein by the Act may, with the approval of the President, be modified or eliminated as changes in circumstances or experiences may indicate. It is contemplated that from time to time 

~upplementary provisions to this Code will be submitted for the 

approval 0£ the President, including in particular, but without 

limitation thereto, supplementary provisions to prevent unfair competition in prices and other unfair or destructive competitive practices and to effectuate the other purposes and policies of Title I of the 

Act consistent with the provisions thereof. 

ARTICLE XI-MONOPOLIES, ETC. 

No provision of this Code shall be so applied as to permit monopolies or monopolistic practices, or to eliminate, oppress, or discriminate 

against small enterprises. 

ARTICLE XII-EFFECTIVE DATE 

Th1s Code shall become effective on the day of its approval by the 

President. 

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