Approved ode No. 132 Registry No. II06-0~ 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

MALLEABLE IRON INDUSTRY 

AS APPROVED ON NOVEMBER 27, 1933 

i ' 

BY 

PRESIDENT ROOSEVELT 

WI DO DUR PARt 

T. 

1. Executive Order 

2. Letter of Transmittal 

3. Code 

NITED STATES 

GOVERNMEt'lT PRINTING OFFICE 

WASHINGTON : 1933 

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Approved Code No. 132 

CODE OF FAIR COMPETITION 

FOR THE 

MALLEABLE IRON INDUSTRY 

As Approved on November 27, 1933 

BY 

PRESIDENT ROOSEVELT 

Executive Order 

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 my approval of a Code 

of Fair Competition for the Malleable Iron Industry, and hearings 

having been held thereon and the Administrator having rendered 

his report containing an analysis of the said Code of Fair Competition 

together -vvith his recommendations and findings with respect theretb, 

and the Administrator having found that the said Code of Fair Com- petition complies in all respect with the pertinent provisions of 

title I of said Act and that the requirements of clauses (1) and (2) 

of subsection (a) of Section 3 of the said Act have been met: 

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

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

National Industrial Recovery Act, appro d June 16, 1933, and other- wi e, do approv the report and re ommendations and adopt the 

findings of the Administrator, and do ord r that the said ode of 

Fair Competitio~ be and it is hereby approved. 

Approval recommended: 

H GII . JoH r ON, 

Administrator. 

TnE HITE Ho E, 

Nocemb r 27, 1033. 

FRANKLIN D. ROOSEVELT. 

:l37 1°-244 100- 3:3 (303) 
NOVEMBER 14, 1933. 

The PRESIDENT, 

The lVhite House. 

SIR: This is a report upon the Code of Fair Competition proposed 

by the Malleable Iron Industry, and on the hearing conducted thereon 

in Washington, D.C., on October 2, 1933, in accordance with the provisions of the National Industrial Recovery Act. 

PROVISIONS OF THE CODE AS TO WAGES AND HOURS 

The Code provides for a 40-hour week, applicable to all employees, 

including clerical and office employees, ·with certain exceptions carefully limited both as to hours and numbers by the Code. 

Child labor is prohibited and employment of persons less than 18 

years of age in hazardous occupations. 

Minimum rates of pay are 35¢ and 40¢ per hour in the North and 

30¢ and 32?f¢ per hour in the South. 

Equitable adjustment of all pay schedules above the minimum is 

provided, and the same minimum rates for piece work as for work 

upon an hourly basis. 

Processes involved in production in this industry cannot always be 

completed within eight hours and may require an additional half or 

full hour in a working day. For a large part of this time the \vm·kers 

are not actively engaged because they must wait for furnace operations to develop. Therefore, while the industry recognizes the principle of the eight-hour day and has so stated in the Code proposed, it 

appears that an absolute requirement of eight hours would work an 

undue hardship. 

ECONOMIC EFFECT OF THE CODE 

The N[alleable Iron Industl'y includes all manufactures of malleable 

iron casting , whether for consumption by the producer, for transfer, 

or for sale. The industry is cyclical and unstable, its operations 

having dropped from 87% of capacity in early 1929 to 8% of capacity 

in August 1932. The present rate of capacity is 35%. 

The Code is presented by the Nialleable Founders' Society, which 

represents about 95% of the industry, with a total invested capital of 

about $105,000,000 and an estimated annual payroll in a normal 

year of approximately $55,000,000. 

Pertinent figures with respect to workers, hours, and wages, as presented by the industry, are as follows: 

(394) 
395 

fnr. 1926 (peak month) .... ---··-·----------··-----------------

JuJy 1926 ... --············-----------······-····-·-----·-------- 'oY. 1926 (low month) __ ______________________________________ _ rar. 1929 (p 11 k month) _______________________________________ _ 

July Der. 1929 . .. ........ ----------------------------------- -----·-·· 1929 (low month) _________________________________________ _ 

Jan. 1933 ......... ---------------------········--····------------ Iar. 1933.-----·-------------··--------------------········-··-· 

July 1933 ... ... --------·-------------------------------·····-·· · Aug. 1933 .. __ .. _ .. --------------.. ---.. ____ . ____ . ____ . _____ .. _ .. 

Sept. 1933 ..... -------------··--·--------------·····--····-······ 

Mar. 1926 (peak month).---------------------------------------

JuJy 1926 .... -- -· ·····-···------------------------------·····-·· NoY. 1926 (low month)---------------------------------·-··-··· Mar. 1929 (peak month)._ ... _ ... ___ ... _ .. ____ .. _. __ .... _ .. ___ .. 

JuJy Dec. 1929 .... ---········----------------------------------······ 1929 (low month} _______________________________________ __ _ 

Jan. 1933 --------·---------------------------------------- ------ 1Iar. 1933 .... ---······---·············--------------------------

July 193.'l ... ---------------------------------------------------· Aug. 1933 ... ------------------------------------·-········------ Sept. 1933 ..... -----------------------------------······--·---·-· 

• Estimate . 

rumb r of 

per om: em- ployed by 

companies 

as ent.ing to 

to the ode 

33, 45.'l 

26,610 

22, 09 

42,957 

36, 114 

22, 09 

14, llO 

13, 00 

22,200 

22,320 

24, 105 

Minimum 

wages paid common 

labor per 

hour 

(cents) 

32 

32 

32 

30 

30 

30 

1 

18 

18 

23 

23 

Averag 

wag paid 

per bour of all 

compani s covering all 

plant m- ployees 

(cents) 

56.4 

56. l 

57.0 

55. 1 

54.9 

53.9 

38. 2 

3 .2 

37.0 

37.5 

40. 5 

Average Approximate Average 

work week 

per wage 

worker 

aggregate rate of op- weekly pay roll erations in 

of all companies the indus-

(hours) 

50 

47 

45 

51 

51 

49 

29 

28 

36 

37 

40 

assenting to try (percent 

the Code of capacity) 

$943,:m 

701 ,626 

585,054 

1, 207, 136 

1,011,154 

602,40 

156, 311 

147, 605 

295, 704 

309,690 

3.0,501 

68.9 

52.9 

45. 9 

87. 7 

73.5 

47.3 

14.9 

11. 4 

36.3 

36.6 

• 34. 0 

These figures show an increase in employment since March 1933, 

of 10,305 workers, or approxim.ately 80%; an increase in the average 

week of 12 hours, which is approximately 43%; and an increase in the 

aggr gate weekly pay roll from $147,605 to $390,501, or about 160%. 

vVbil this latter incr a e i largely due t-D the increased number of 

workmen and the increa eel work week, it i estimated that und r 

operation under the Code a submitted, there will be an additional 

incren in employment f approximately 3,400 and a further increa e 

in th ng<Yregate w ekly pay roll of about $70,000. Th rate of operation in th indu ry ha not changelmaterially ince June 1933, and 

th ref r , it may rea onably b as urn d that op ration und r the 

od , bu ·eel on the ab v compari on, will . how an increa e in empi ·m nt in thi industry ns an eft' t of the National R cover Act 

f npproximat lv 5,300 per on , or 24o/c, and an incr a in th 

\ kly p y roll of $1 4,797, or 55%, and in the annual pay roll of 

pproximat l ,000,000. A r turn to operation ut 5 %of < P< i , 

i i c tim< t d will put ba k t ' rk all who were mploy in 1929. 

' h our l of ir t r f the 1 ci i con tituted th de 

Auth rit , nd it i pr id l that thr m mber , wit ut Y t , may 

in ad iti n b a1 p int d b. th Admini trator, to rv with the 

B ard. 

Th pu y Admini tra r find 

( ) The le us r omm n l d 

p rtin nt provi i n of Title I of t,h 

in all r p t ' i th the 

in luding, with ut limita-
396 

tion, subsection (a) of Section 7 and subsection (b) of Section 10 

thereof; and that 

(b) The applicant group imposes no inequitable restrictions on 

admission to membership therein and is truly representative of the 

1tfalieable Iron Industry; and that 

(c) The Code as recommended is not designed to promote manoplies or to elilninate or oppress small enterprises and will not operate to 

discriminate against them, and will tend to effeetuate the policy of 

Title I of the National Industrial Recovery Act. 

I believe that the Code as proposed is fair to Industry, to Labor, 

and to the Consumer, and in accordance with the intent and purpose 

of the National Industrial Recovery Act. Accordingly, I hereby reeommend the upprov~l of this proposed 

Code of Fair Competition for the Malleable Iron Industry. 

Respectfully> 

HuGH S. JoHNSON, 

AdministTator. 
CODE OF FAIR COMPETITION 

FOR THE 

MALLEABLE IRON INDUSTRY 

ARTICLE I-PURPOSE 

E TION 1. The Code is adopted pursuant to Title I of the National 

Indu trial R co ry Act. 

E . 2. Th purpo e of the Code is to effe tuate the policy of 

Title I of the ational Industrial Recovery Act insofar as it is 

appli able to the Industry. 

ARTICLE II-DEFINITIONS 

Wherever used in this Code or in any schedule appertaining hereto 

the terms hereinafter in this Article defined shall, unless the context 

shall otherwi e clearly indicate, have the respective meanings hereinafter in this Article set forth. 

SECTION 1. The term" the United States" means and includes all of 

the territory of the United States of America on the North American 

contin nt. 

SEc. 2. The term "the President " means the President of the 

Unites tates of America. 

EC. 3. The term "the Administrator" means the Administrator 

appointed by the President to administer Title I of the National 

Industrial Recovery Act and at the time in office. 

SEc. 4. The term "the Industry" means and includes the business 

of producing, in the United States, malleable-iron castings regardless 

of whether such castings are sold or used for the purposes of the producer, or u ed for the purpo es of an affiliate, subsidiary, or parent 

ompany of th produ er. 

SEc. 5. Th term "member of the Industry" means and in ludes, 

but without limitation, any per on, firm, association, corporation, or 

ther entity operating a plant or plants in the Unit d States for the 

produ ti n of malleable-iron a ting . SE . . The term "the Code" 1neans and includ this Cod and 

all schedules annexed hereto as originally appro ed by the Presid nt 

and amendments hereof n1ade as hereinafter in Article IX provided. 

EC. 7. Tho term " ociety" means the Malleable Founder ' 

ociety. 

E . . The term "Board of irector. " mean the Board of 

ir ct r f the oci ty. 

E . . The t rm u m mb r of th i ty ' m ans any 1nember of 

the In u try who has a sented to th ode by igning and deliYering 

t th cretary a letter substantially in he form et f rth in hcdul . othing in uch h .dulo A hall b on tru d to restrict the 

right of any m mb r o£ the ndu try to .·pr hi adher n e t or 

parti ipaLion in th ode in any other approp1iat mann r. 

E . 1 . Th tenn u the ffe tiv date f h ' de" n1c n' th 

tenth day after the dat n whi h the od h, ll ha' been appr Y l 

by the Pr sid nt pur uant to the T, tional Indu -trial R coYer ... \.ct. 

(397) 
398 

ARTICLE III- HouRs OF LABOR, RATES oF PAY, AND OTHER 

CoNDITIONS oF EMPLOYMENT 

SECTION 1. Pw·suant to subsection (a) of Section 7 of the National 

Industrial Recovery Act and so long as the Code shall be in effect: 

(a) Employees shall have the right to organize and bargain collectively through representatives of their own choosing, and shall be free 

from the 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 purposes of collective 

bargaining or other n1utual aid or protection; 

(b) No employee and no one seeking employment shall be required 

as a condition of employment to. join any company union or to refrain 

fron1 joining, organizing, or assisting a labor organization of his own 

choosing; and 

(c) Employers shall comply with the ma-\.rimum hours of labor, 

minimum rates of pay, and other conditions of employment approved 

or prescribed by the President. 

SEc. 2 (a) No member of the Industry shall cause or pernlit any 

employee, including clerical and office employees, to work more than 

forty (40) hours per week, subject to the following exceptions: 

(1) In peak periods of production factory employees may be employed not to exceed forty-eight (48) hours per week for a period of 

not more than four (4) weeks in any six (6) months and not more than 

six (6) days in any one week. 

(2) Melters and firemen, the number of whorn employed by any 

member of the Industry shall not exceed 3% of the total number 

of its employees, may be employed not more than 10% longer hours 

than other factory employees. 

(3) Repair-work employees, to the extent required by an emergency, may be employed not more than 10% longer hours than 

other factory employees. (4) Watchmen may be employed not more than fifty-six (56) hours 

per week. 

(5) All executives employed in directing or supervisory capacities 

and in technical work, and members of their respective staffs, 

individually receiving pay at the rate of $35.00 or more per week. 

(6) Outside Salesmen. 

(b) Whenever sufficient employees qualified for any type of work 

are not available to any member of the Industry in a particular 

locality, such hours of labor mav, with the approval of the Board of 

Directors and the Administrator, be increased to the extent required 

by such member of the Industry to perform Sl}-ch work. 

(c) After the date of the em.ployment by any n1ember of the 

Industry of any employee, such member shall not knowingly permit 

such employee who shall also have performed work for one or more 

other employers, to work for such member such number of hours as 

would result in a violation of the Code had all such work been performed for such member. 

SEc. 3. No member of the Industry shall employ in the Industry 

any person under sixteen (16) years of age, and no one under eighteen 

(18) years of age shall be employed in hazardous work. 

SEc. 4. It is recognized that geographical wage differentials have 

existed in the Industry. For the purpose of providing for geographical 
399 

wage di.ff r ntinl , the nitcd taL is divid into two di tricts. 

Di tri t o. 1 compri all that part of the nited tate ex pt the 

t te of T nne , 1i i ippi, rth ar linn, outh rolina, 

em'giu, Alabnma, and Florida. Di trict . 2 compri c all f the 

ub Ye-nmned tate . 

E .. 5. (a) Th minimum rate of pay p r hour ' hich shall be paid b~T m mb r of the Indn tr f r mule pl nt labor (not includinO' vatchmen, l arn r , minor b tween 16 nd 18 ear of age, superannuated 

and maim d empl ) in its employ in the Industry in Di trict 

o. 1 shall not be le than 40¢ p r hour, and in Di'strict No.2 shall 

not b le than 32 }~¢ per hour. 

(b) The minimum rate of pay per hour which hall be paid by memb rs of the Industr for watchmen, learners, minors between 16 and 

18 y ar of age, uperannuated and maimed employees shall not be 

le than O% of the minimum ra e of pay as h'-'reinbefore specified in 

pnnwraph (a) of this S ction. 

(c) The minimum rate of pay per hou • "hich shall be paid by memb rs of the Industry for fmnale labor in District No. 1 shall not be 

le than 35 per hour, and in Distri"t No.2 not less than 30¢ per hour. 

Where women perform in all respects the same kind and amount of 

work a men, they hall receive the same wages. 

(d) The number of learners, superannuated, and maim.ed employees 

mployed by any member of the Industry shall not exceed 5% of 

the total number of its en1ployees. Learners shall not be employed 

as such for a period in excess of 90 days irrespecti e of whether they 

ar emplo. d by one or more employers. 

(e) Equitable adjustment in all pay schedules of employee above 

the minimums herein prescribed shall be made on or before the effective dat of the Code by mployers who have not theretofore made such 

adju tment and the first n1onthly reports of wages required to be 

filed under the Code shall contain all wage increases made since June 

16, 1933. (f) In the ase of employee performing work for which they are 

paid for piecework performed, the minimum rate of pay which each 

member of the Industry shall pay for such work shall produce the 

minim run rates of pay per hour provided in paragrn.phs (a), (b), and 

(c) of thi e tion. 

(g) On and after th efiecti v-e date of the Code, the minin1um wage 

whi h hall be paid by any employ r to lerical and office employees 

shall be at the rut of fifteen dollar ($15 .00) per week; provided, 

howev r, that office bo ·s or girls may be paid not less than eighty ( 0) 

percent of uch minimun1 wage. The number of office boys and girls 

employed b any m mb r of the Industry shn.ll not xceed five (5) 

percent of th t tal number of it employe . 

EC. 6. ithin a h tate members of th Indu try hall comply 

with any I ws of su h state imposinO' more s ring nt r quir m nts 

r gulating the ag f mpl ye , wag s, h ur of work or health, fir , 

r g n ral w rkinO' onditi n , than und r the . 

EC. 7. Tho In ustr r gnizes the d irability of the eight ( ) 

hour \Vorking day f r labor and in ofar a it r a onably an will 

endea or to mploy i labor on that b is. EC. . All mpl y r hall p _ t mpl te p10 f tlli d in 

conspicuou pla e a essible to mploy os. 
400 

ARTICLE TV.-ADMINISTRATION oF THE CoDE 

SECTION 1. The administration of the Code shall be under the 

direction of the Board of Directors. 

SEc. 2. Any member of the Industry subject to the jurisdiction of 

this Code and receiving the benefits of the Code and/or the benefits of 

the activities of the Board of Directors shall pay to the Board of 

Directors his proportionate share of the expense incurred in the 

preparation and,'or administration of this Code. The Board of 

Directors shall from time to time make such assessments upon account 

of such expenses against members of the Industry as it shall deem 

proper and shall apportion such assessments upon the basis of the 

average annual shipments in net tons of each member of the Industry, 

including all malleable castings produced by any member of the 

Industry for its own use or that of any affiliated, parent or subsidiary 

company, for the three preceding calendar years. Such assessments 

shall be payable as such Board shall specify. In the event any 

member of the Industry shall not have been in operation during all 

of the three preceding calendar years such asse&:ments shall be based 

on such period as the member was in operation. 

SEc. 3. The Board of Directors may, from time to time, appoint 

such committees as it shall deem necessary or proper, in order to 

effectuate the purpose of the Code, and it may delegate to any such 

committee generally, or in particular instances, such of the powers 

and duties of the Board of Directors under the Code as such Board 

shall deem necessary or proper in order to effectuate such purpose. 

Any member of any such committee may be a member of the Board 

of Directors or an ·officer, director, or representative of a member of 

the Society. 

SEc. 4. There shall be no inequitable restrictions imposed on membership in the Society or its successor, and the Society shall 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. 

SEc. 5. The Administrator may appoint not to exceed three m.embers, without vote, to serve with the Board of Directors in its administration of this Code. Such members, if and when appointed, shall 

serve for a term of from six months to one year and their appointments 

shall be so arranged that they do not expire at the same time. 

ARTICLE V-SELLING BELow CosT 

Subject to the approval of the Administrator, the Board of Directors shall prescribe a cost-accounting system which conforms to the 

principles of and is at least as detailed and cmnplete as the uniforn1 

and standard method of cost finding set forth in the Manual of 

Accounting issued by the Society, with such modifications therein 

as may be promulgated from tilne to time by the Board. The Board 

of Directors shall in accordance with such cost-accounting systein 

and with the approval of the Administrator deternline periodically 

fair and reasonable costs of production in the Industry for different 

types of malleable iron castings. 
401 

Each m mb r of th In ustry shall in taJl and use su h costae onnting y t m a pr ribed and, ubj t to th approval f the _ mini trat r hall b furni h d by tb B ar of Dire tor:: with 

th p riodi al tabulation f o ts and cot difl' rcntials urri edatin 

accordance "'ith n h o t-accotmting pr cedure. Any member of 

the Ind u try who hall fail to in tall and u e the cost-ace un ting 

s t m o pre cribed or who hall s ll malleable iron castings below 

th fair and r a nabl co ts of produ tion as hown by the aforesaid 

tabulation hall be guilty of a violation of the Code. 

ARTICLE 'I-UNFAIR PRACTICE S 

For all purpo es of the Code, the acts described in Schedule B 

anne::s:ed h reto ball con titute unfair practices. Such unfair practice hall be deemed to be unfair methods of competition in com-. merce "ithin the meaning of the Federal Trade Commission act as 

amended, and the using or employing of any of them shall be deemed 

to be a violation of the Code and any member of the Industry who 

shall directly or indirectly, through any officer, employee, agent, or 

representati e, use or employ any of such unfair practices, shall be 

guilty of a violation of the Code. 

ARTICLE VII-REPORTS AND STATISTICS 

SECTION 1. The Board of Directors shall have power to require 

each member of the Industry to furnish to the Secretary of the So- ciety uch information concerning the production, shipment, sales, 

and past sale prices of such member, and the hours of labor, rates of 

pay, and other conditions of employment at the plant or plants of 

such member, and such other information as the Board of Directors 

shall deem necessary or proper in order to effectuate the purpose of 

the policy of Title I of the National Industrial Recovery Act, and to 

enable the Board of Directors to determine cost of production as set 

forth in Article V. The Board of Directors may require that any 

such information be furni hed periodically at uch times as it shall 

specify and may require that any r all information furni hed be 

sw rn to or otherwise verified or authenticated, as it shall pre cribe. 

Failur of any mem er of the Indu try promptly to furnish to the 

crctary of the Soci ty information required b the Board of Directors and sub tantiall in the form pr ribed by it, hall con titute a 

violati n f the ode. The Board of Director hu 1 not have power 

to requir any information regarding trade e ret or the names of 

the u tomer of n.n~ member of the Indu try. 

Ec. 2. Anv r all inf rmation furni bed to the e retar f th 

ciety by any m mb r of he Indu tr. h ll b subj ect to ch king 

for the purpo f verjfi ation b. an xamin .... ti n of the p rtin nt 

b oks and a counts UI d r cord f such m mbcr by any disinter st 

per on or per on mu Luallv agr ed upon by th Board f Dire t r 

and th m rnber f th Indu~ try wh b ok and a· unts and rec rcl 

ure to examined r 1 y n p ron or p rson n01ninn.t ~T the B r 

of Dir ctor and approved by th dmini trator. The c t f u h 

xuminution hall b r atcd a • n cxp n e f n.d rnini trrinu the c d ; 

pr vided howev r, that if up ,n 11 ,h ·nmination n.n~T uch inf rmation ball be h wn to have been in corr tin mr material r pe t, 
402 

such costs shall be paid by the member of the industry which furnished such information. 

SEc. 3. To the extent that such information is of a confidential 

character and that the publication thereof is not essential in order to 

effectuate the policy of Title I of the National Industrial Recovery 

Act, such information shall be treated as strictly confidential and no 

publication thereof shall be made in any other manner than in combination with similar information furnished by other members of 

the Industry, in which case the publication shall be made only in such 

manner as will avoid the disclosing separately of such confidential 

information. 

SEc. 4. In addition to the information required to be submitted to 

the Board of DirectoTs 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 National 

Industrial Recovery Act. 

ARTICLE VIII-GENERAL PROVISIONS 

SECTION 1. Any notice, demand, or request required or permitted 

to be given to or made upon any member of the Industry shall be 

sufficiently given if mailed, postage prepaid, addressed to such member 

at the address of such member on file with the Secretary of the 

Society; provided, however, that any member of the Industry may 

waive, in writing, the making or giving of any such notice, demand, 

or request. 

SEc. 2. Except as otherwise specifically provided herein 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 Society. No member of the Industry which shall not also be a 

member of the Society shall be entitled to vote at any meeting of 

members of the Society or to any other right, power, or privilege 

provided in the Code for the members of the Society. 

SEc. 3. The Board of Directors shall have the power to interpret 

the provisions of the Code, provided that nothing herein shall be construed to limit the rights of any member of the Industry or other person or entity to appeal to the Administrator to n1odify or rescind any 

interpretation of the Board of Directors. 

SEc. 4. The Code and the provisions thereof are expressly made 

subj ect to the right of the President, in accordance with the provisions 

of Subsection (b) of Section 10 of the National Industrial Recovery 

Act, from time to time to cancel or modify any order, approval, license, rule, or regulation issued under Title I of said Act and specifically, but without lilnitation, to the right of the President to cancel 

or modify his approval of the Code or any conditions imposed by him 

upon his approval thereof. 

SEc. 5. Any action taken by the Board of Directors or other group 

within the Industry relative to the administration of this Code except 

where otherwise specifically provided in this Code may, in the discretion of the Board of Directors or such other group, be submitted 

to the Administrator for review and shall in any case be subject to the 

disapproval of the Administrator. 
403 

ARTICLE IX-AME DME NTS 

ucb f th pr 'i i ~ f th od as ar not requir d to includ d 

ther in b · th r ~ti nal Indu trial Re o ry Act m y be am nded at 

any tim in th mann r in thi Arti 1 provid d. The am ndment 

hall b pr po ed by the Board of Dir ctor by ote of th majority 

of the member th reof at th time in office, which amendm nt hall 

be ubmitted t n duly called meeting of the members of tl e ociety. 

If at su h me ting, two thirds of the voting powe.l of the Society, 

with ut regar to numb r pr ent, shall vote in favor of the ad ption 

of uch am ndm nt, u h amendment shall be submitted by th Board 

of Dire tor to the President for approval if approval thereof by him 

shall b then r quired by law. E ry such fi.Dlendment hall take 

effect a part of the ode upon the adoption thereof by the members 

of the Society as above provided and the approval thereof by the 

President if approval by him shall be required as aforesaid. Any 

member of th Indu try may recommend amendments of the Code to 

the Board of Directors or to the Administrator. 

Upon termination of the Code all obligations and liabilities under 

the Code shall cease except those for unpaid assessments theretofore 

made in accordance with the provisions of the Code. 

Approved Code No. 132. 

Registry No. 1106-02. 
SCHEDULE A-FoRM oF LETTER oF AssENT TO ConE 

________________________________ , 193 _____ _ 

RoBERT E. BoLT, Secretary, 

111 alleable Founders' Society, 

Union Trust Building, Cleveland, Ohio. 

DEAR Sm: The undersigned, desiring to participate under the Code of Fair 

Competition in the Malleable Iron Industry, hereby assents to all of the provisions of said Code, and to such changes in the· same as may be made by the Board 

of Directors of the Society in order to meet the requirements of the National 

Recovery Administration. Effective on the date on which the Code is approved 

by the President of the United States as therein provided, or as of the date on which 

this letter is delivered, if delivery is made after such date of approval by the 

President, the undersigned, by the signing and delivery of this letter, becomes a 

participant under the Code and hereby agrees with every other person, firm, and 

corporation who shall then be or thereafter become a participant under said Code, 

that the Code shall constitute a valid and binding contract between the undersigned and all such other participants. 

For all purposes of the Code, the address of the undersigned, until written 

notification of change shall be filed with the Malleable Founders' Society, shall 

be as set forth at the foot of this letter. 

Very truly yours, 

(Name of official) (Title 

(404) 

, • • t • • •• 
SCHEDULE B 

u .. FAIR T RADE PRACTICES 

For all purposes of the Code, the following de cribed acts shall constitute 

unfair practic : 

1. elling ca tings other than F.O.B. the plant of the member of the Industry ; 

provid d ho\\· ver, that railroad freight, or trucking charge may be allowed t o 

de tination, at the option of the seller, and provided further that no allowance 

exceeding the prevailing carrying charges may be made where the buyer elects 

to call at the plant of the member for casting . 2. Allowing term of payment more favorable to the purchaser than net thirty 

(30) days from date of shipment or beyond the last day of the month following 

shipm nt, or granting any cash discount greater than one half of one percent for 

payment made \\ithin ten (10) days from date of shipment. 

3. l\Iaking piece price based on stated weights without a reYision of the price 

on any ,·ariation between the stated \\·eight and the actual weight. 4. l\Iaking, altering, or repairing pattern equipment (when repairs are not 

due to negligence of the m mber of the I ndu try) except at the expense of the 

customer; provided, howeYer, that if patterns in existence at the effective date 

of the Code are owned by members of the Industry and such members of the 

Industry furnish castings from such patterns without an adequate pattern charge, 

other members of the Industry may have the right to also furnish such patterns 

at their own cost, and provided further that if castings are made by a member 

of the Industry for the general trade, as distinguished from a pecific cu tomer, the patterns from which such castings are furnished may be made by such member 

at his own expense. 

5. Making or promising to any purchaser or prospective purchaser of malleable 

iron ca tings which require special fini hing, straightening, machining or other 

operations not commonly included in the manufacture of a commercial casting 

without making a charge for th cost of the dies, jigs, tool or other special 

equipment used in such operations; prodded, howeYer, that i · aid special equip- ment in exi tence at the effective date of the Code is owned by members of the 

I ndustry and such member of the Industry furnish castincrs from such special 

equipment without an adequate charge, other members of the Industry may have 

the right to al o furnish such pecial equipment at their own cost. 6. E:-..-tending to purcha ers without charge special privileges, concessions, or 

services not extending to all buyers under like terms and condition , or rendering 

any frees n ·ice of machining, painting galvanizing, or tinning. 

7. l aking or promising to any purchaser or prospective purchaser of any 

product, or to any officer, employee, agent, or rcpresentatiYe of any such pur- cha er or pro pectivc purchas r, any bribe, gratuity, gift, or oth r payment or 

remuneration dire~tly or indirectly for the purpo c of infl.u ncing a sale. . Procuring any information concerning the bu ine s of such member \Yhirh is 

prop rly regarded by it a a trade secret or confidential within its organization, other than information relating to a Yiola ion of any provision of the Code with 

the intent of injuring a com1 ctitor. 9. Imitating or simulating any de ign, tyle, mark, or brand u ed by any other 

member of the Industry with the intent of injuring a competitor. 

10. Paying or allowing t a purchas r in nnection with the sale of any product 

a .,ecret or discriminatory rebate, commissi n, redit, di count, adju tm nt, or 

oth r ecret or discriminatorv conces i n. 

11. Canceling, in "hole or ·in part, any contract for the ale of a pr duct xc pt 

for a fair con ·idcration , r effecting an adju tment of the laim of any purcha r 

in uch a manner a to r ult in a secret or eli criminatory allowance or conce sion. 

12. i minating, publi hing or circulating any fal e or misl ading information relative to any pr duct or pri for any produ t of any m rob r of the lndu try 

or the cr clit standing or ability of any member ther f to perform any work or 

manufacture or produce an; prod lCt or to th onditions of employment amon 

the mployee of any member th r of. 

13. I nducing r att mpting to indu ·e by any mean any party to a contract 

with a member of the Industry to violate uch contract. 

(405) 
II I II lllllllil\\1~1~~~~11111~~11 IIi [\\i\\~1\1 1 IIIII I I 

3 1262 08855 8928 406 

14. Making or giving to any purchaser of any product a ny guaranty or protection in any form against decline in the market price of such product. 

15. Stating in the invoice of any product as the date thereof a date later than 

the date of shipment of such product, or including in any invoice any product 

shipped on a date earlier than the date of such invoice. 

16. Purchasing from customers goods and/or services at prices higher than the 

market for such goods and/or services, for the purpose of influencing or inducing 

the purchase of malleable castings. 

17. Selling machined castings without charging for the cost of machining such 

castings. 

18. Voluntarily making any payment or allowing any credit or back charges 

for machine work, labor charges, or other expense incurred by the purchaser on 

castings rejected as defective. 

19. The giving of quantity discounts without obligation on the part of the 

buyer to take delivery of the quantities specified on the contract. 

20. Any misrepresentation in connection with the sale or advertisement for 

sale and/or marking of any malleable cast~ngs with the intent or effect of mis- leading or deceiving purchasers or prospective purchasers regarding their quality, 

composition, or service features. 

0