Approved Code No. 84-Supplement No. 36 Registry No. 1316-01 

NATIONAL RECOVERY ADMINISTRATION 

SUPPLEMENTARY 

CODE OF FAIR COMPETITION 

FOR THE 

·LIFT TRUCK AND PORTABLE 

ELEVATOR MANUFACTURING 

INO.USTRY 

(A Division of the Fabricated Metal Products 

Manufacturing and Metal Finishing 

and Metal Coating Industry) 

AS APPROVED ON JUNE 23, 1934 

WE DO OUR PART 

UNIV. OF FL LIB. 

0OCU ,J;NTS DEPT. 

1· - _:_- '' · ' I ___ .._ 

UNITED ST A TES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

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

Printing Office, Washington, D.C., and by district offices of the Bureau of 

Foreign and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 504 Post Office Building. 

Birmingham, Ala.: 257 Federal Building. 

Bo ton, l\la s. : 1 ' 01 Customhouse. 

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

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

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

Cleveland, Ohio: Chamber of Commerce. 

Dallas, 'Tex. : Chamber of Commerc Building. 

Detroit, l\Iich.: 801 First National Bank Building. 

Houston, Tex.: Chan ber of Commerce Building. 

Indianapolis, Ind.: Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, l\fo.: 1028 Baltimore A,·enue. 

Los Angeles, Calif.: 1163 South Broadway. Louisville, Ky.: 408 F deral Buildin°. 

l\Iemphis, Tenn.: 229 Federal Building. 

l\linneapolis, i\linn. : 213 Federal Building. 

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

New York. N.Y.: 73-! Customhouse. 

Norfolk, Va.: 406 East Plume Street. 

Philadelnbia. Pa.: 422 Commercial 'Trust Building. 

Pitt burgh, Pa. : bamber of ommerce Buildi11g. 

Portland, Or g.: 215 New Post Office Building. 

St. Louis. Mo.: 506 Olive Street. 

San Franci ·o, Calif. : 310 Cu tomhouse. 

Seattle, Wash.: 09 Federal Office Building. 
Approved Code No. 84-Supplement No. 36 

SUPPLEMENTARY CODE OF FAIR COMPETITION 

FOR THE 

LIFT TRUCK AND PORTABLE ELEV ATOR 

MANUFACTURING INDUSTRY 

As Approved on June 23, 1934 

ORDER 

APPROVING SUPPLEMENTARY CoDE OF FAIR CoMPETITION FOR THE LIFT 

TRUCK AND PORTABLE ELEVATOR MANUFACTUTII1'G INDUSTRY 

A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AND 

METAL FINISHING AND METAL COATING lNDUSTRY 

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, and in accordance with the 

provisions of Section 1 of Article VI of the Basic Code for the 

Fabricated Metal Products :Manufacturing and ]\fetal Finishing an'l 

Metal Coating Indu try, approved November 2, 1933, for approval 

of a Supplementary Code of Fair Competition for the Lift Truck and 

Portable Elevator Manufacturing Industry, and hearing having been 

duly held thereon; and the annexed report on said Supplementary 

Code, containing findings with respect thereto, having been made 

and cl irectecl to the Pre. ident: 

No,v, THEREFORE, on behalf of the President of the United 

States, I, Hugh S. Johnson, Administrator for Industrial Recovery, 

pur uant to authority vested in me by Executive Orders of the 

Pre ident, including Executive Order No. 6543-A, dated December 

30, 1933, and otherwise; do hereby incorporate by reference said 

annexed report and do find that said Supplementary Code complies 

in all respects with the pertinent provisions and will promote the 

policy and purposes of said Title of said Act; and do hereby order 

that said Supplementary Code of Fair Competition be and it is 

hereby approved; provided, however, that the provisions of Article 

VII, Section 1, insofar as they prescribe a waiting period between 

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

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

originally filed and/ or revised price lists or revised terms and condi696930-657-139-84-l (1) 
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tions o:£ sale, be and they hereby are stayed pending my further 

Order. 

HuoH S. JoH -soN, 

Administrator for Industrial R ecovery. 

Approval recommended: 

BARTON \V. MunRAY, 

Acting Division Administ1'ator. 

w ASHINGTON D.C., 

J une 23, 1934. 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White Howse. 

Srn: This is a report on the Supplementary Code of Fair Compe• 

tition for the Lift Truck and Portable Elevator Manufacturing 

Industry, a Division of the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, the hearing 

havinO' been conducted thereon in Washington, D.C., April 9, 1934, in 

accordance with the provisions of Title I of the National Industrial 

Recovery Act. 

GENERAL STAIT~IENT 

The Lift Truck and Portable Elevator Manufacturing Industry, 

being truly representative of this division of the Fabricated Metal 

Products Manufacturing and l\1etal Finishing and Metal Coating 

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

Supplementary Code of Fair Competition, as provided for in Section 1 of Article VI of the Basic Code, for the Fabricated Metal 

Products Manufacturing and Metal Finishing and Metal Coating 

Industry approved by you on the Second day of November, 1933. 

RESUME OF THE CODE 

Articfo I states the purpose of the Supplementary Code. 

Article II accurately defines specific terms employed in the Supplementary Code. 

Article III. This Industry is a division of the Fabricated Metal 

Products Manufacturing and Metal Finishing and Metal Coating 

Industry and the labor provisions of its Basic Code, as approved 

November 2, 1933, are the labor provisions of this Supplementary 

Code. 

Article IV establishes a Supplementary Code Authority consisting 

of five (5) members to be elected by the members of the Industry 

at a meeting called by the Temporary Supplementary Code Authority, and gives the Administrator the authority to appoint one additional member without vote and provides machinery for obtaining 

statistics and the administration of the Supplementary Code. 

Article V provides for the formulation of an accounting system 

and methods of cost finding and/or estimating. 

Article VI provides for selling below cost as determined by a 

uniform method of costing, except in the cases of dropped lines or 

seconds or inventories which must be liquidated to meet emergency 

needs and in order to meet competition. 

Article VII provides for the filing of prices for products of the 

Industry. 

Article VIII sets forth the unfair trade practices of this Supple• 

mentary Code which has been especially designed to offset unfair 

competition in this division of the Industry. 

(3), 
4 

Article IX sets forth that no provision relating to prices or terms 

shall apply to export trade. 

Article X contains the mandatory proYi ions contained in Section 

10 (b) of the Act and also provides for the submission of proposed 

amendments to the Supplementary Code. 

Article XI provides against monopolies and monopolistic practices. 

Article X II recognizes that price increases be limited to actual 

additional increases in the seller's costs. 

Article XIII states the effective date of this Supplementary Code. 

FINDINGS 

The Assistant Deputy Administrator in his final report to me on 

said Supplementary Code having found as herein set forth and on 

the ba is of all the proceedings in this matter : 

I find that: 

(a) Said Supplementary Code is well designed to promote the 

policies and purposes of Title I of the National Industrial Recovery 

Act, including removal of obstructions to the free flow of interstate 

and foreign commerce. which tend to diminish the amount thereof 

and will provide for the general welfare by I romoting the organization of industry for the purposes of cooperative action among the 

trade groups, by inducing and maintaining united action of labor 

and management under adequate governmental anctions and supervision, by eliminating unfair competitive practices, by promoting 

the fullest possible utilization of the present productive capacity of 

industries, by avoiding undue restriction of production ( except as 

may be temporarily required), by increasing the consumption of 

industrial and agricultural products through increasing purchasing 

power, • by reducing and relieving unemployment, by improving 

standards of labor, and by otherwise rehabilitating industry. 

(b) Said Industry normally employs not more than 50,000 em~ 

ployees; and is not cla sified by me as a major industry. 

( c) The Supplementary Code as approved complies in all respects with the pertinent provisions of aid Title of said Act, 

including without limitation Sub ection (a) of Section 3, Subsection 

(a) of Section 7, and Subsection ( b) of Section 10 thereof; and 

that the association is an industrial a sociation truly representative 

of the aforesaid Industry; and that said association imposes no 

inequitable restrictions on admission to membership therein. 

( d) The Supplementary Code is not designed to and will not 

permit monopolies or monopolistic practices. 

( e) The Supplementary Code is not designed to and will not 

elimmate 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 

Supplementary Code. 

For these reasons, therefore, I have approved this Supplementary 

Code. 

Respectfully, 

JUNE 23, 1934. 

HuoH S. JOHNSON, 

Administrator. 
SUPPLEMENTARY CODE OF FAIR COMPETITION FOR 

TI-IE LIFT TRUCK AND PORTABLE ELEV ATOR MANUFACTURING INDUSTRY 

A DIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AND 

METAL FINISHING AND METAL COATING INDUSTRY 

ARTICLE I-PU RPOSES 

To effectuate the policy of Title I of the National Industrial 

Recovery Act, the following provisions are established as a Supplementary Code of Fair Competition for the Lift Truck and Portable 

Elevator Manufacturing Industry, pursuant to Article VI of the 

Basic Code of Fair Competition for the Fabricated Metal Products 

:Manufacturing and l\1etal Finishing and l\1etal Coating Industry, 

approved by the President of the United States on the second day 

of November, 1933, and the provisions of this Supplementary Code 

shall be the standards of fair competition for such Industry and 

shall be binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

The term" The Lift Truck and Portable Elevator Manufacturing 

Industry", hereinafter referred to as the Industry, means and indudes the manufacture for sale of all types of hand lift trucks, skid platforms, palettes, portable elevators of the type commonly 

known 3:s Stackers or Tiering ]Wachi1ies, storage or barrel racks, an l 

accessories. The term "member of the Industry" as used hfrein includes, but 

without limitation, any individual, partnership, association, corporation or other form of enterprise engaged in the Industry, either 

as an employer or on his or its own behalf. 

The term " employee" as used herein includes any and all persons engaged in the Industry, however compensated, except a member of the Industry. 

The term "employer" as used herein includes anyone by wh01n 

such employee is compensated or employed. 

The terms "President", "Act" and "Administrator" as used 

herein shall mean respectively the President of the United States, 

Title I of the National Industrial Recovery Act, and the Administrator for Industrial Recovery. 

The term " Basic Code " as used herein is defined to mean the 

Basic Code of Fair Competition for the Fabricated Metal Products 

Manufacturing and Metal Finishing and Metal Coating Industry, 

as approved by the President on the second day of November 1933. 

The term "Supplementary Code Committee" as used herein is 

defined to mean the committee authorized to present this Supplementary Code. 

_{5) 
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The term" Supplementary Code Authority" as used herein means 

the agency which is to administer this Supplementary Code, as 

hereinafter provided. 

The term "Association" as used herein is defined to mean the 

Association of Lift Truck and Portable Elevator Manufacturers, or 

its successor. 

The term "Federation" as used herein, is defined to mean the 

F abricated Metal Products Federation, or its successor. 

The term "Confidential Agent" as u eel herein, is defined to mean 

the Secretary of the Association of Lift Truck and Portable Elevator 

Manufacturers. 

ARTICLE III-EMPLOYMENT PROVISIONS 

This Industry is a division of the F abricated ]\fetal Products 

Manufacturing and Metal Finishing and ]\fetal Coating Industry 

and without limitation the wage, hour, and labor provisions in Article 

III of its Basic Code as approved by the President November 2, 

1933, including Section 1 of said Article III by which the provisions 

of subsection (1), (2), and (3) of Section 7 (a) of Title I of the 

Act are made conditions of this Code, are specifically incorporated 

herein, and made a part hereof as the wage, hour, and labor provisions of this Supplementary Code. 

ARTICLE IV-ORGANIZATION A D AmvnNISTRA TION 

SECTION 1. During the period not to exceed ixty (60) days following the effective date of this Supplementary Code, the Supplementary Code Committee of the Indu try shall constitute a temporary Supplementary Code Authority until the Supplementary Code 

Authority is elected. There shall be constituted within the sixty 

( 60) day period a Supplementary Code Authority consisting of five 

( 5) members to be elected by the members of the Industry, at a 

meeting called by the temporary Supplementary Code Authority, 

upon ten (10) days notice sent by regi tered mail to all members of 

the Industry whose names may be ascertained after diligent search, 

who may vote either in person or by proxy. The members of the 

Supplementary Code Authority first elected shall serve until the 

following annual meeting of the Association, and thereafter, members of the Supplementary Code Authority shall be elected at a meeting of the members of the Industry to be held at the time and place 

of each annual meeting of the Association to serve until the following annual meeting. The members of the Supplementary Code 

Authority shall be elected in the following manner: 

(a) Four (4) mem~rs wh-0 shall be members of the Industry and 

shall be members of the Association by a majority vote of all members of the Industry present in person or by proxy, each member to 

have one (1) vote. 

(b) One (1) member who shall be a member of the Industry and 

a non-member of the Association by a majority vote of all members 

of the Industry who are non-members of the Association. In the 

event that the non-members of the Association fail to elect a member on the Supplementary Code Authority, the names of three (3) 
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such member~ shall be submitted by the members of the Association, one (1) of whom shall be appointed by the Administrator. 

( c) A vacancy in the membership 0£ the Supplementary Code 

Authority shall be filled by majority vote of the remaining members 

of the Supplementary Code Authority; provided, however, that the 

vacancy shall be filled from the class of membership in the Supplementary Code Authority in which such vacancy occurs. 

( d) The Administrator, in addition thereto, may appoint a member of the Supplementa:ry Code Authority to serve without vote 

and without expense to the Industry unless the Supplementary Code 

Authority shall agree to pay such expenses. The member appointed 

by the Administrator shall receive reasonable notice of and may 

sit at all meetings of the Supplementary Code Authority. 

SECTION 2. Each trade association directly or indirectly participatin.g in the selection or activities of the Supplementary Code Authority shall (1) impose no inequitable restrictions on membership, 

and (2) submit to the Administrator true copies of its Articles of 

Association, By-Laws, 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. 

SECTION 3. In order that the Supplementary Code Authority shall 

at all times be truly representative of the Industry and in other respects comply with the provisions of the Act, the Administrator may 

prescribe such hearings as he may deem proper; and thereafter if 

he shall find that the Supplementary Code Authority is not truly 

representative or does not in other respects comply with the provisions of the Act, may require an appropriate modification of the 

Supplementary Code Authority. 

SECTION 4. Nothing contained in this Supplementary Code shall 

constitute the members of the Supplementary Code Authority partners for any purpose ; nor shall any member of the Supplementary 

Code Authority be liable in any manner to anyone for any act of 

any other member, officer, agent, or employee of the Supplementary 

Code Authority. Nor shall any member of the Supplementary Code 

Authority, exercising reasonable diligence in the conduct of his duties 

hereunder, be liable to anyone for any action or omission to act under 

this Supple1rn:mtary Code, except for his own wilful malfeasance or 

nonfeasance. 

SECTION 5. The Confidential Agent shall also, from time to time, 

furnish to the Basic Code Authority, designated in said Basic Code, 

such information as may be required to be furnished under the terms 

of said Basic Code. 

SECTION 6. To the extent permitted by the Act and subject to 

such rules and regulations as the Administrator may prescribe, any 

or all information furnished to the Supplementary Code Authority 

by any member of this Industry pursuant to the provisions of this 

Supplementary Code shall be subject to verification by an impartial 

agency agreed upon by the Supplementary Code Authority aRd the 

n1ember of the Industry in question, and, failing such agreement, 

such impartial agency shall be selected by the Administrator, which 

impartial agency may check so much of the pertinent books, ac-
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counts and records of such member of the Industry as may be re~ 

quired to verify the accuracy of the information so furnished. 

SECTION 7. The Supplementary Code Authority shall haYe power 

to investigate complaints of violations of the Supplementary Code 

file l with it by any member of the Industry. 

SECTION 8. Subject to such rules and regulations as may be issued 

by the Administrator, the Supplementary Co le Authority shall have 

the following power and dutie , in addition to those authorized 

by other provi ions of this Supplementary {;ode : 

(a) To insure the exc ution of the proYi ion of this Supplementary Code and to provide for the compliance of the Indu try with 

the provisions of the Act. (b) To adopt By-Law and Rule and R gulation for its 

procedure. 

( c) To obtain from member of the Industry such information 

and report a are required for the a lmini tration of the Supplementary Code. In addition to the information required to be ubmitted 

to the Supplementary Code Authority member of th Inclu try ubject to thi Supplem ntary Code . hall furni h uch tati tical information a the Admini trator may deem ne e ary for the purpo es 

re ·ited in Section 3 (a) of the Act to such Ad mini trative and/or 

Government ao-encie · a h may de ignatf' · proYided that nothing in 

thi · Supplementary Code ·hall relie e any memb r of the Indu try 

of any exi ting obligation to furni h report · to any G vernment 

ngency. No indivi lual reports ·hall be di , lo eel to any other m mber of the Inclu try or any other party xc pt to uch other Govern1nent agencies a may be directed by the Admini trator. 

( cl) To n e ueh trade a ociation and other ao·encie a it deems 

proper for th carr ing out of any of it · actiYitie provided for 

herein, provided that n()thina her in hall rcli Ye the upplementary 

Cod Authority of it dutie or re.-pon ibilitie under thi 'upplementary Code and that uch trade a ·ociation · an l aaencies shall 

at all time be ·ubject to and comply with the provi ion her of. 

( e) To make recommendation to the Admini tr a tor f r the coordination of the aclmini tration of thi 'upplem ntary ode with 

i:-:uch other code, , if any, a ma , be r lated to or a.ffe -t members of 

the Industry. 

(f) 1. It being foun l nece ary in order to upport the a lmini tra- tion of thi Supplementary Cod and to maintain the tandards of 

fair competition e tablishe l hereunder and t effectuate the policy of 

the A ·t, the Supplementary Code Authority i authorized : 

(a) To incur such rea onable oblio-ations a are nece ary and 

proper for the foregoing purpo e and to meet such obligation out 

of funds which may be rai ed as hereinafter provided an l "'·hich 

$hall b held in trust for the purpo es of the Supplementary Code; 

(b) To submit to the Admini trator for his approval, subject to 

such notice and opportunity to be heard as he may deem nece ary, 

( 1) an itemized budget of it estimated exp nse for the foregoing 

purpo..:es, and (2) an equitable ba is upon which the fun ls nece sary 

to c:upport such budget shall be contributed by members of the 

Industry; 

( c) After such budget and basis of contribution have been approved by the Administrator, to determine and obtain equitable 
9 

contribution as above set forth by all members of the Industry, and 

to that end, if neces ary, to institute legal proceedings therefor in 

its own name. 

2. Each member of the Industry shall pay his or its equitable contribution to the expenses of the maintenance of the Supplementary 

Code Authority, determined as hereinabove provided, and subject to 

rules and regulations pertaining thereto issued by the Administrator. 

Only members of the Industry complying with the Supplementary 

Code and contributing to the expenses of its administration as hereinabove provided, shall be entitled to participate in the selection of 

members of the Supplementary Code Authority or to receive the 

benefits of any of its voluntary activities or to make use of any 

emblem or insignia of the National Recovery Administration. 

3. The Supplementary Code Authority shall neither incur nor pay 

any obligation in excess of the amount thereof as estimated in its 

approved budget, except upon approval of the Administrator; and 

no subsequent budget shall contain any deficiency item for expenditures in excess of prior budget estimates except those which the 

Administrator shall have approved. 

(g) To recommend to the Administrator any action or measures 

deemed advisable, including further fair trade practice provisions 

to govern members of the Industry in their relations with each 

other or with other industries; measures for industrial planning and 

stabilization of employment; and including modifications of this 

Supplementary Code which shall become effective as part hereof 

upon approval by the Administrator after such notice and hearing 

as he may specify. 

(h) To appoint a trade practice committee which shall meet with 

,the trade practice committees appointed under such other codes as 

may be related to the Industry for the purpose of formulating fair 

trade practices to govern the relationships between employers under 

this Supplementary Code and under such other codes to the end 

that such fair trade pra.ctices may be proposed to the Administrator 

as amendments to this Supplern.entary Code and such other codes. 

(i) Every employer shall provide for the safety and health of 

employees during the hours and at the places of their employment. 

Standards for safety and health shall be submitted by the Supplementary Code Authority to the Administrator within six (6) months 

after the effective date of the Supplementary Code. 

SECTION 9. If the Administrator believes that any action of the 

Supplementary Code Authority or any agency thereof is unfair 

or unjust or contrary to the public interest, the Administrator may 

require that such action be suspended to afford an opportunity for 

investigation of the merits of such action. Further action by such 

Supplementary Code Authority or agency regarding the matter complained of may be taken if a pp roved by the Administrator, but 

shall not be taken if disapproved by the Administrator, within 

thirty (30) days of notice to him of intention to proceed with 

such action. 

ARTICLE V-ACCOUNTING AND COSTING 

The Supplementary Code Authority shall cause to be :formulated 

an accounting system and methods of cost finding and/or estimating 
10 

capable of use by all n1embers of the Industry. After such sys- tem and methods have been formulated and approved by the Administrator, full details concerning them shall be made available to 

all n1embers. Thereafter all members shall determine and/or estimate -costs in accordance with the principles of such methods. 

ARTICLE VI- SELLING BELOW CosT 

No member of the Indu try shall sell or exchange any product 

of the Industry at a price, or upon terms and conditions, which will 

result in the purchaser paying for the goods received, less than the 

cost thereof to the seller, determined in accordance with a uniform 

method of costing above describe :l in Article V; provided, however, 

that dropped lines or seconds, or inventorjes which must be converted into cash to meet emergency needs may be disposed of by 

any member of the In :lu try, at any price and on any terms and 

conditions, but only if uch member of the Industry, before such 

disposal, has filed with the Supplementary Code Authority, a statement in writing, setting forth the fact of, and reasons for, such proposed disposal; and provided further, that upon notification to the 

Supplementary Code Authority, any member of the Industry may 

sell below his costs in order that he may meet competitive prices 

tiled in accordance with the provi ions of Article VII of this Supplementary Code, or to meet competition from products of equivalent 

design, character, quality or specifications . 

.ARTICLE VII-PRICE LISTS 

SECTION 1. Each member of the Industry shall, within ten (10) 

days after the effective date of this Supplementary Code, file with 

the Supplementary Code Authority, through its onfidential Agent, 

a net price list or price li t and di count heet and/or all other conditions of sale, in such form and for such products as the Supplementary Code Authority may pre crib , and the Supplementary Code 

Authority shall immediately send copies thereof to all known members of the Industry who manufacture such products, and such lists 

shall be made available to all intere ted parties at the office of the 

Confidential Agent. 

Revised, new or additional price list and/or discount sheets and/ 

or all other conditions of sale, if made, shall be filed from time to 

time thereafter with the Supplementary Code Authority by any 

member of the Industry, to become effective ten (10) days after 

actual receipt by the Supplementary Code Authority. Copies of 

such revi ed li ts and/ or discount sheets and/ or all other conditions 

of sale, with notice of the effective date thereof, shall be immediately 

sent to all known members of the Industry who manufacture such 

products, and shall be available at the office of the Supplementary 

Code Authority to all interested parties; and any member of the 

Industry n1ay file, if he so desires, revisions of his price list and/or 

discount sheets and/or conditions of sale, which shall become effec- tive as of the date when the revised ist first filed becomes effec- tive, provided that he shall not establish prices lower, nor discounts 

greater, nor conditions of sale more favorable than those contained 

in the revised list first filed. 
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Each member of the Industry shall furnish the Supplementary 

Code Authority, for distribution, such number of copies of his price 

lists and/or discount sheets and any revisions thereof, as the Supplementary Code Authority may prescribe. 

The provisions of this Section shall apply to any additional products of the Industry which the Supplementary Code Authority may 

from time to time prescribe; provided, however that the Supplementary Code Authority shall make no determination to place any 

such additional product of the Industry on a price list basis, unless 

two thirds of the members who are at that time engaged in manufacturing such products shall affirmatively consent that such deter111ination be made and such determination is approved by the 

Administrator .

1 

SECTION 2. No member of the Industry shall sell or off er for sale 

any product of the Industry at prices or terms and conditions of sale 

other than the prices noted in his price lists or terms and conditions 

of sale previously filed by such member with the Supplementary Code 

Authority, in accordance with the provisions of Section 1 of this 

Article and in effect at the time of such sale. 

ARTICLE VIII-UNFAIR TRADE PRACTICES 

In addition to the Unfair Trade Practices covered by Article V 

( excepting Sections A, F and G) of the Basic Code, as though herein 

repeated and set forth at length, and for all purpo es of this Supplen1entary Code, the following described acfas shall constitute unfair 

practices. Any member of the Industry who shall directly, or indirectly through any officer, employee, agent or representative, use 

or employ any of such unfair practices shall be guilty of a violation 

of this Supplementary Code. 

RuLE 1. I naccu1·ate advertising.-No member of the Industry shall 

publish advertising (whether printed, radio, display, or of any 

nature) which is misleading or inaccurate in any material particular, 

nor shall any member in any way misrepresent any goods (including 

but without limitation, its use, trade mark, grade, quality, quantity, 

origin, size, substance, character, nature,· finish, material, content, or 

preparation) or credit terms, values, policies, services, or the nature 

or form of business conducted. 

RULE 2. Inaccu.rate description of product.-No member of the 

Industry shall describe any product or any part of any product 

in any manner which is intended to or does deceive or mislead 

purch~asers with respect to the brand, grade, quality, quantity, origin, 

size, substance, character, nature, finish, material, content, or preparation of such goods. 

RULE 3. Threats of litigation.-No member of the Industry shall 

publish or circulate unjustified or unwarranted threats of legal proceedings which tend to or have the effect of harassing competitors 

or intimidating their custo1~ers. 

RuLE 4. Inducing breach of existing contracts.-No member of the 

Industry shall wilfully induce or attempt to induce the breach of 

existing contracts between competitors and their customers by any 

false or deceptive means, or interfere with or obstruct the perform1 See paragraph 2 of order appr,oving this Code. 
12 

ance of any such contractual duties or services by any such means, 

with the purpose and effect of hampering, injuring or embarrassing 

competitors in their business. 

RULE 5. Price guarantees.-N o member of the Industry shall offer 

or extend a guarantee against decline or advance in the selling price 

of products. 

RuLE 6. I nvoice dating.-No member of the Industry shall date 

an invoice other than the date of shipment. 

RuLE 7. Transportation al,lowances.-N o member of the Industry 

shall make an allowance for all or any portion of transportation 

costs, except where transportation charges are figured as a part of the 

original co ts and are included in the selling price. 

RuLE 8. Consequential damages.-No member of the Industry shall 

enter into any agreement to assume responsibility for consequential 

damages and other items of expense which normally cannot be anticipated in original co ts or selling prices. The term " consequential 

damages " is defined to mean any damages ( 1) other than, or in 

excess of, the reasonable cost of repairing or replacing any defective 

machinery, equipment or parts furnished by the employer under the 

contract, or (2) other than stipulated, liquidated damages relating to 

delivery, completion and/or performance. Nothing contained in this 

paragraph shall be construed to limit an employer's legal liability 

for negligence. 

ARTICLE IX-EXPORT TRADE 

No provisions of this Supplementary Code relating to prices or 

term of selling, shipping or marketing shall apply to export sales 

or shipments for export trade within the meaning of the term "export trade ", as is used in the Export Trade Act, adopted April 10, 

1918; provided, however, that exceptions due to particular circumstances shall be submitted to the Supplementary Code Authority for 

~ts consideration and determination, and its decision shall be subject 

to the approval of the Admini trator. 

ARTICLE X-MODIFICATIONS 

SECTION 1. This Supplementary Code and all the provisions 

thereof are expressly made subject to the right of the President, jn 

accordance with the provi ions of sub-section (b) of Section 10 of 

the Act, from time to time to cancel or modify any order, approval, 

license, rule, or regulation issued under Title I of the said Act. 

SECTION 2. This Supplementary Code, except as to provisions re 4 

quired by the Act, may be modified on the basis of experience or 

changes in circumstances, such modification to be based upon application by the Supplementary Code Authority to the Administrator 

and such notice and hearing as he shall specify; and to become effective and be a part of this Supplementary Code on approval by the 

Administrator. • 

ARTICLE XI-J\ifoNOPOLrns, ETc. 

No provision of this Supplementary Code shall be so applied as to 

permit monopolies or monopolistic practices, or to eliminate, oppress 

or discriminate against small enterpr,ises. 
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ARTICLE XII-PRICE INCREASES 

Whereas the policy of the Act to increase real purchasing power 

will be made more difficult of consummation if prices of goods and 

services increase as rapidly as wages, it is recognized that price ,increases except such as 1nay be required to meet individual cost 

should be delayed, and when made such increases should, so :far as 

possible, be limited to actual additional increa~es in seller's costs. 

ARTICLE XIII-EFFECTIVE D ATE OF SuPPLEl\IENTARY CooE 

This Supplementary Code shall become effective at 12: 01 A.M. 

o'clock on the tenth day after it is approved by the President. 

Approved Code No. 84-Supplement No. 36. 

Registry No. 1316-01. 

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UNIVERSITY OF FLORIDA 

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