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Approved Code No. 21-Amendment No. 2 Registry No. 930- 1- 01 

NATIONAL RECOVERY ADMINISTRATION 

AMENDMENT◄ TO 

CODE OF FAIR COMPETITION 

FOR THE 

LEATHER INDUSTRY 

AS APPROVED ON OCTOBER 3, 1934 

WE DO OUR PART 

I - • 

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--------.-....-...1, U.S. DEP~Tr--ny 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1934 

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Approved Code No. 21-Amendment No. 2 

AMENDMENT TO CODE OF FAIR COMPETITION 

FOR THE 

LEATHER INDUSTRY 

As Approved on October 3, 1934 

ORDER 

MODIFICATION OF CODE OF FAIR COMPETITION FOR THE LEATHER 

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 modification of 

a Code of Fair Competition for the Leather Industry, and hearings 

having been duly held thereon and opportunity to be heard having 

been given and the annexed report on said modification, containing 

findings with respect thereto, having been made and directed to the 

President: 

NO"\V, TI-IEREFORE, on behnlf of the President of the United 

States, The N a.tional Industrial Recovery Board, pursuant to authority vested in it by Executive Orders of the President, including 

Executive Order No. 6543-A, dated December 30, 1933, and othenvi8e; 

does hereby incorporate, by reference, said annexed report and does 

find that said modification and the Code as constituted after being 

modified comply in all respects with the pertinent provisions and 

·will promote the policy and purposes of said Title of said Act, 

and does hereby order that said modification be and it is hereby 

approved, and that the previous approval of said Code is hereby 

modified to include an approval of said Code in its entirety as modified. This order shall become effective on October 16, 1934, unless 

prior to that time good cause to the contrary be shown to the National 

Industrial Recovery Boa.rd and it shall issue a subsequent order to 

that effect. 

NATION AL INDUSTRIAL RECOVERY BOARD, 

By G. A. LYNCH, Administrative Officer. 

Approval recommended : 

PRENTI s L. COONLEY, 

Acting Division Adniinistrator. 

WASHINGTON, D. c., 

October 3, 1934. 

89221°-1244-10-34 (1) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White House. 

Sm: This is a report on the Amendments to the Code of Fair 

Competition for the Leather Industry, and on the hearing conducted 

thereon in 1"\ ashington, D. C., l\1arch 30 1934, and on the Opportunity to be Heard published July 12, 1934, in accordance with the 

provisions of Title I of the National Industrial Recovery Act. 

GENERAL STATEMENT 

The Leather Industry, through the General Planning Committee, 

its Code Authority, has availed itself of provisions in Article XV 

of the Code of Fair Competition for the Leath0 r Industry approved 

by you on the seventh day of September, 1933, which recites in part: 

"It is contemplated that from time to time supplementary provisions to this Code or additional codes will be submitted for the 

approval of the President to prevent unfair competition in prices 

and other unfair and destructive competitive practices and t o effectuate the other purpo es and policie of Title I of the National Industrial RecoYery Act consistent with the provisions hereof." 

RESU:i\IE OF MODIFICATIONS 

I. The r 0 vision of Article II is the addition of specific definitions 

covering the Yarious sub-divisions of the Industry, as provided for 

in Article X . 

II. The revision of Article XIV-Trade Terms- is a liberalization of the trade t erms. It was predicated upon the recognition of 

a situation which involved the smaller producers in the Industry 

and the maller consumers of lea .. her. The e modifications were 

presented after s0 veral conferences b0 tween the Code Authority of 

this InchLtry and that of the Boot and Shoe :Manufacturing Industry, which Jndu try purchases appro:'.:imately eighty-five (85) per 

cent of the output of the Leather Indu try. The Amendment herein proposed was drafted and mutually agreed upon by the above 

mentioned Code Authoritie in accordance with the expressed policy 

of the Administration of the NRA. 

III. The addition of a new article, to be known as Article XVI, 

brino-s into effect certain trade practices which were deemed necessary and found lacking in the Code as it stands. 

IV. The addition of this paragraph of Article IV, Section 3', 

affords protection from wage reductions for those employees r eceiving above thirty (30) dollars per week and le s than forty-five 

( 45 ) dollars, which class has been without protection to this time. 

(2) 
3 

The Deputy Administrator, in his final report on said Amendments to said Code, having found as herein set forth and on the 

basis of all the proceedings in this matter: ,v e find that: 

(a) The Amendments to the said Code and the Code as amended 

are well designed to promote the policies and purposes of Title I 

of the National Industrial Recovery Act, including the 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 trade groups, by inducing 

and maintaining united action of labor and management under ade- quate governmental sanction and supervision, by eliminating unfair 

competitive practices, by promoting the fullest possible utilization 

of the present productive capacity of the industries, by avoiding undue restrictions of production ( exce:pt as may be temporarily required), by increasing the consumpt10n 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) The Code as amended complies in all respects with the pertinent provisions of said Title of said Act, including without limitation Sub-section (a) of Section 3, Sub-section (a) of Section 7 

and Sub-section (b) of Section 10 thereof. 

( c) The Code empowers the Tanners Council to present the aforesaid modifications on behalf of the industry as a whole. · ( d) The Amendments and the Code as amended are not designed 

to and will not permit monopolies or monopolistic practices. ( e) The Amendments and the Code as amended are 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 Amendments. 

Respectfully, 

OCTOBER 3, 1934. 

NATION AL INDUSTRIAL RECOVERY BOARD, 

By G: A. LYNoH, Adniinistratime Officer. 
A~fE ~D:ME JT TO CODE OF F AIR COTh1PETITION FOR 

THE LEATHER INDUSTRY 

I. To modify Article II of the Code of Fair Competition for the 

Leather Industry by adding the following to the first paragraph of 

said article : 

"The 'leather industry' is hereby classified into the following 

di Yi ions : 

'"Bag Gase and Strap.-Tanners of leather made from. cattle hides 

of Yarious types for the manufacture of traYeling bags, luggage and 

strap leather for various purposes. 

" Oalf and Kip.- Tanners of leather made from calfskin and 

cattle hide largely for the manufacture of shoes. 

"Fancy.-Tanners of leather made from various types of hides 

and skins of animals, including reptilian leathers, suitable for f ancy 

articles such as pocketbooks, suit-cases, handbags, etc. "Goat and Oabretta.- Tanners of leather from goatskins and 

cabretta skins, mainly suitable for shoe purpose . 

"Harness and Oollar.-Tanners of leather from cattle hides suit- able for horse equipment. 

"Sheep and Glove.- Tanners of sheep skins suitable largely for 

garments, gloves and shoe linings; also hat and capsweat leather~ 

a produced by the National Hat and Capsweat Leather Asso~iation. "Sole and Belting.-Tanners of leather made from cattle hides 

for the manufacture of hoes and industrial belting. 

" Up7Je1·, East, lVest.-Tanners of leather, including japanners 

(finisher ) largely made from cattle hides and kips (small cattle 

hide ) suitable for the manufacture of shoes. '• U plwlstery.- Tanners of cattlehicle leather suitable for use in 

the manufacture of furniture, automobiles, etc. 

"Leathe1· Belting Division.-]Hannfacturers of industrial belting, 

lace leather and leather laces, miscellaneous straps, packings (hy- draulic and otherwise) and mechanical leathers (wholly or principally of leather) for use on industrial machinery excluding such 

leathers that a machinery manufacturer may produce for use on 

equipment of his own manufacture. 

" Cut Soles.-Tanners and/or cutter and producers of leather 

sole u. ed in the manufacture of shoes. " llT elting.-Tanner and manufacturers of welting leather and/or 

leather welting u ed in the manufacture of shoes. 

"Grain Insoles, 001ud 1·s, Fox Toes and Heels.-Tanners and/or 

manufacturer of leather n eel in these products and/ or manufac- turer of the e product themselye used in the manufacture of hoes. 

"The term 'member of the industry ' as used hereii'l includes but 

,Tithout limitation any indiYidual, partnership, a sociation, corporation or other form of enterpri e engaged in the industry either as an 

employer or on his or its own behalf." 

(4) 
5 

II. To substitute the following for rticle XIV of the Code of Fair 

Competition for the Leather Industry: 

"A. All invoices covering dome tic sales in the leather irdu try 

including sales of labor or contract work, shall, except as noted 

below under paragraph C, be due and payable in thirty (30) days ; 

thereafter shall be payable net, w·ith interest at the legal rate, not to 

exceed six per cent (6%) per annum. 

' B. Discount hall be for payment in ca c::h only and shall not 

exceed two per cent (2%). No seller may anticipate disc unt by 

invoicing at an equivalent net price any cla s of leather which he 

customarily sells subject to discount. No datings shall be gi, en. 

"C. The following exceptions may be made at seller's option : 

" 1. Buyer may be granted privilege of payment on or before the 

10th of the following month for all invoices dated from the 1st to the 

15th inclusive, and on or before the 25th of the following month 

for all invoices dated from the 16th to the last day of the month. 

This privilege may be granted only on a permanent basis; it shall not 

be extended from time to time as may be to advantage of buyer. "2. Seller may permit anticipation at not to exceed six per cent 

(6%) per annum on bills paid prior to due or discount date. \Vhere 

privilege of payment on or before the 10th or the 25th is granted, 

for purposes of anticipation all invoices of the 1st to the 15th, inclusive, shall be considered as dated the 10th of the month of charge, 

and all invoices from the 16th to the last day of the month shall be 

considered as dated the 25th of the month of charge. 

"3. Seller may grant three calendar days of grace during which 

discount may be allowed, and during which no intere t shall be 

charged, provided payment is made within this three calendar day 

period. 

"4. Where terms of 2% 30 days or 2% 10th or 25th proximo are 

granted, seller may permit payment in sixty (60) days from invoice 

date with discount not to exceed one per cent ( 1 % ) . After sixty 

(60) days from date of invoice such bills shall be due and payable 

net and interest shall be added as provided under Paragraph A. "D. Forward Orders shall be booked only under the terms of a 

Uniform Sales Contract, the conditions of which shall have been 

approved by the Admini trator. 

"E. None of the provisions of Article XIV shall apply to the 

Leather Belting Divi ion except on leather sold in competition with 

other divisions of the Leather Industry." · III. A new article to the Code of Fair Competition for the Leather 

Industry, to be known as Article XVI and entitled " Trade Practices", shall contain the following provisions: 

"A. Any alteration, adjustment or cancellation of a sales contract 

or conditions 0£ sale may be reported, with the fact. pertinent thereto, 

to the Divisional Planning Committee, or, if the Division so elects, 

to the Trade Practice Committee. 

" B. A signed uniform sales contract as provided in Article XIV, 

paragraph D, 0£ the code, or the immediate dispatch by seller to 

buyer of confirmation of sale conforming to the conditions of that 

contract, shall be required on all orders, except orders filled by an 

immediate single shipment, on which the invoice itself shall be suffi-
UNIVERSITY OF FL O RIDA 

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cient confirmation. The terms and conditions of sale shall appear 

on all such invoices. 

" C. No order shall be accepted unless it accurately designates 

quantities, grades, weights and prices with the final and ultimate 

date of delivery. "D. No goods except bona fide samples as determined by each 

Divi ·ional Planning Committee shall be sent on memorandum or 

consigned to other than a bona fide selling agent or subsidiary organ- jzation of the seller. "E. All inYoices shall be dated as of date of shipment or of 

fl or delivery, and shall describe accuratdy the merchandise shipped. 'F. Tone of the proYi ions of this Article shall apply to the 

Leather Belting Division, except on leather sold in competition with 

other divisions of the Leather Industry." 1, . \..rticle IV Section 3, to be amended by the addition of the 

following paragraph : 

A. On and after October 1, 1934, no employee ( other than those, 

listed in paragraphs (a) and ( c) of Section 2, Article VI) receiving on April 1, 1933, for the standard work week, between $30. and 

$45. per -n-eek shall receive less per piece or hour than he received 

on April 1, 1933." 

Approved Code No. 21-Amendment No. 2. 

Registry No. 930-1-01. 

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