Evening star., 1935-05-03
A. F. |. REQUESTS
n. A. EXTENSION
Labor Leaders Tell Presi-
dent Senate Plan Would
Peril Recovery.
Continued From First Page.)

Continued From First Page)
be repealed" he said. IF it is good,
it ought to be extended long enough
TO remove doubt.
Frankly, I doubt that the House
would accept an eight or nine month
extension. And 1 think the Ways
and Means committee probably would
prefer two years.
Il have observed a change In senti-
ment about N. r. A. even in my own
district In every mail I get letters
from business men asking its exten-
sion. OF course. there are a few who
oppose it. and some who want modifl-
tions, but that is the general send-
ment.
There has been a change all over
the country
Representative OConnor Of New
York, chairman of the Rules Commit
tee and another Democratic leader,
said:
II haven't yet received letter that
opposed extension"
Richberg In Court.
Questions from the Supreme Court
bench brought from Donald r. Rich
berg, head of N. r. A, statement
that price fixing in the automobile in
dustry "limits the liberty Of contract
OF two people"
Before one of the largest crowds
ever assembled in the small court
room, Richberg took up the Govern
ment's argument to support the valid
ity of the recovery act where Solicitor
General Stanley Reed left on yester-
day
The price e-fixing angle, not involved
in the Schechter poultry case under
argument, was brought up while Rich
berg was stressing that all codes were
voluntary and had been drawn up by
trade associations representing the
majority of businesses in an industry.
Questioned by Justices.
such an agreement" interposed
Justice Stone, considered one of the
courts liberals, previously would have
been considered a violation Of fair
trade practices, wouldn't it,"
Not unless it involved restraint of
trade" said Richberg.
IF it involved price fixing, 1t
would" said Stone.
II know of no code providing for
price fixing as monopolistic prac-
tice," said Richberg.
How about the automobile code?"
put in Justice Sutherland, so-called
conservative.
Richberg said in that industry. only
the trade in price of used automobiles
in the sale Of new cars was fixed.
Admits Contract Limited.
The N. r. A. chieftain said this was
intended to insure fair competition in
new-car sales, but he pointed out that
a used-car owner could sell his car out
right without being bound by the
code.
But it does prohibit the dealer and
the owner from agreeing upon price"
said Sutherland, "and thus limits the
liberty of contract between two people"
YES" said Richberg, smiling. 1T
does to that extent"
Sutherland said he realized the au-
tomobile code was not involved in the
present case, but that he desired Rich
berg's views on the question.
Should the Senate pass the resolu-
ton to extend the recovery unit only
until next April-as contrasted with
the original plan of administration
men to prolong it two years-the
House would be counted upon to pass
, a measure more satisfactory to the
White House.
Senate Plan Under Fire.
Attempts would be made by Roose-
velt men to get the House to approve
a two-year extension and other
changes in the hope the Senate then
would change its stand. One argu-
ment would be when Congress meets
next year it will be an election year;
why not get the whole problem set
tied in an off-year?"
Meanwhile, the proposal for short
extension of the law was subjected
to a cross-fire from some industrialists,
labor leaders and administration OH
cials.
Senators friendly to N. r. A. said
they were receiving protests from in
dustrial leaders, on the ground that
the plan would not remove uncer-
tainty as to the Blue Eagles future.
N. r. A. officials were protesting
that the resolution reported by the
Senate Finance Committee meant the
death of the Blue Eagle and were de-
manding a broadening of the defini-
ton of interstate commerce.
Their fight was taken up by Sen
ators Barley, Democrat. of Kentucky.
and Walsh, Democrat, of Massa-
chusetts, who sought to obtain an
amendment to permit codes to cover
intrastate business that 'is of such
character and dimensions as ma
terially and substantially to affect" in
terstate commerce.