Approved Code No. 84 — Supplement No. 49 Registry No. 1104—03 NATIONAL RECOVERY ADMINISTRATION SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE SOCKET SCREW PRODUCTS MANUFACTURING INDUSTRY (A Division of the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry) AS APPROVED ON SEPTEMBER 1, 1934 WE DO OUR PART UNIV. OF FL LIB. PQCMItf f TS QEPT. i * »i U.S. DEPOSITORY UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON : 193* For sale by the Superintendent of Documents, Washington, D.C Price 5 cull 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. Boston, Mass. : 1801 Customhouse. Buffalo, N.Y. : Chamber of Commerce Building. Charleston, S.C. : Chamber of Commerce Building. 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Approved Code No. 84 — Supplement No. 49 SUPPLEMENTARY CODE OF FAIR COMPETITION FOK THE SOCKET SCREW PRODUCTS MANUFACTURING INDUSTRY As Approved on September 1, 1934 ORDER Approving Supplementary Code of Fair Competition for the Socket Screw Products Manufacturing Industry a division of the fabricated metal products manufacturing and metal finishing and metal coating 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, and in accordance with the provisions of Section 1 of Article VI of the Basic Code for the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, approved November 2, 1933, for approval of a Supplementary Code of Fair Competition for the Socket Screw Products 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 di- rected to the President: ^ NOW, THEREFORE, on behalf of the President of the United States, I, Hugh S. Johnson, Administrator for Industrial Recovery, pursuant to authority vested in me by Executive Orders of the President, 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 com- plies 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, on condition that the Socket Screw Products Bu- reau amend its Articles of Organization to the satisfaction of the Administration within thirty (30) days after the effective date of tliis Code. Hugh S. Johnson, Administrator for Industrial Recovery. Approval recommended : Barton W. Mi rray, Division Administrator. Washington, D.C. SepU mber K 1934. 83874° 1181-4 31 (1) REPORT TO THE PRESIDENT The President, The White Home. Sir: This is a report on the Supplementary Code of Fair Com- petition for the Socket Screw Products Industry, a division of the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, the hearing having been conducted thereon in Washington, D.C., January 19, 1934, in accordance with the provisions of Title I of the National Industrial Recovery Act. GENERAL STATEMENT The Socket Screw Products Industry, being truly representative of this division of the Fabricated Metal Products Manufacturing and Metal 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 Article I states the purpose of the Supplementary Code. Article II accurately defines specific terms employed in the Supple- mentary 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 con- sisting of five (5) members to be elected at a meeting called by the Temporary Supplementary Code Authority, and gives the Adminis- trator the authority to appoint one additional member without vote and provides machinery for obtaining statistics and the adminis- tration of the Supplementary Code. Article V sets forth the open price provisions. Article VI sets forth the standards of fair competition with ref- erence to pricing practices. Article VII sets forth the unfair trade practices of this Supple- mentary Code which have been especially designed to offset unfair competition in this division of the Industry. Article VIII provides against monopolies and monopolistic prac- tices. (2) Article IX contains the mandatory provisions contained in Sec- tion 10 (b) of the Act and also provides for the submission of pro- posed amendments to the Supplementary Code. Article X recognizes that price increases be limited to actual addi- tional increases in the seller s costs. Article XI states the effective date of this Supplementary Code. FINDINGS The Acting Deputy Administrator in his final report to me on said Supplementary Code having found as herein set forth and on the basis 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 promoting the organi- zation 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 sanctions and super- vision, by eliminating unfair competitive practices, by promoting the fullest possible utilization of the present productive capacity ox industries, by avoiding undue restriction of production (except as may be temporarily required), by increasing the consumption of in- dustrial 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 classified by me as a major industry. (c) The Supplementary Code as approved complies in all respects with the pertinent provisions of said Title of said Act, including without limitation Subsection (a) of Section 3, Subsection (a) of Section 7. and Subsection (b) of Section 10 thereof; and that the applicant bureau is an industrial association truly representative of the aforesaid Industry; and that said association imposes no inequi- table restrictions on admission to membership therein. (d) The Supplementary Code is not designed to and will not per- mit monopolies or monopolistic practices. (e) The Supplementary Code is not designed to and will not eliminate or oppress small enterprises and will not operate to dis- criminate 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, Hugh S. Johnson, Administrator. September 1, 1934. SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE SOCKET SCREW PRODUCTS MANUFACTURING INDUSTRY A Division of the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry Article I — Purposes To effectuate the policies of Title I of the National Industrial Recovery Act, the following provisions are established as a Supple- mentary Code of Fair Competition for the Socket Screw Products Manufacturing Industry. Pursuant to Article VI of the Basic Code of Fair Competition for the Fabricated Metal Products Manufactur- ing and Metal Finishing and Metal Coating Industry, approved by the President of the United States on the 2nd day of November, 1933, the provisions of this supplementary code shall be the standard of fair competition for such Industry and shall be binding upon every member thereof. Article II — Definitions Section 1. 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. Section 2. The term " Industry " and/or " Socket Screw Products Industry " means and includes the business of manufacturing for sale Socket Screw Products. Section 3. The term " Socket Screw Products " is denned as Screw Products of a type well known to the trade, each item of which has a socket for the reception of a tightening instrument or wrench made to fit said socket; and also including the tightening instrument, or wrench, itself. This term is meant to include the classifications gen- erally known to the trade as Hollow or Safety Set Screws and Socket Head Cap Screws and Wrenches therefor as now proposed by the American Standards Association Bulletin B18i-, and also to include Hollow Pipe Plugs and Socketed Stripper Screws which are some- times termed Stripper Bolts or Socket Head Stripper Bolts or Stripper Plate Screws, and also modifications of any of the above types for special purposes. Section 4. The term " Member of the Industry " as used herein includes, but without limitation, any individual, partnership, associa- tion, corporation or other form of enterprise engaged in the Indus- try either as an employer or on his or its own behalf. Section 5. The term " product " means and includes Socket Screw Products, as the term is defined herein. (4) Section G. 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 payment of such compensation. Section 7. The term "employer" as used herein includes anyone by whom any such employee is compensated or employed. Section 8. 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 2nd day of November, 1933. Section 9. The term " Bureau " means Socket Screw Products Bureau, or its successor. Section J.O. The term " Supplementary Code Authority", as used herein, is defined to mean the agency which is to administer this Supplementary Code as hereinafter provided. Section 11. The term " Executive Committee " means Executive Committee of the Socket Screw Products Bureau. Section 12. The term " Impartial Agency " means such impartial and confidential agency as the Supplementary Code Authority may designate. Article III — Employment Provisions This Industry is a division of the Fabricated Metal Products Man- ufacturing and Metal Finishing and Metal Coating Industry and 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 Subsections (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, Administration and Duties x Section 1. During the period not to exceed sixty (60) days fol- lowing the effective date, the Executive Committee shall constitute a Temporary Supplementary Code Authority who shall have all the powers and duties of the Supplementary Code Authority herein set forth 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, as hereinafter provided, at a meeting called by (lie Temporary Supplementary Code Authority, upon twenty (20) days' notice sent by registered mail to all members of the Industry whose names can be ascertained after diligent search', who may vote either in person, by proxy or by letter ballot. The members of the Supplementary Code Authority first elected shall serve until the following annual meeting of the Bureau and until their successors are elected, and thereafter, members of the Sup- plementary Code Authority shall be elected at each annual meeting 1 Sec paragraph 2 of order approving this Code. 6 of the Industry to be held at the time and place of the annual meet- ing of the Bureau, to serve until their successors are elected. Notice of each election shall be sent in the manner above provided. The membership of the Supplementary Code Authority shall be made up as follows: (a) Four (4) members who shall be members of the Industry elected by a majority vote of the members of the Bureau present in person or represented by proxy or by letter ballot, each member of the Bureau to have one vote; (b) One (1) member of the Industry who is not a member of the Bureau elected by a majority of all votes cast by the members of the Industry who are non-members of the Bureau, present in person or represented by proxy or by letter ballot, each such member of the Industry to have one vote; (c) A vacancy in the membership of the Supplementary Code Authority shall be filled by majority vote of the remaining members of the Supplementary Code Authority providing such vacancy is filled by a member oi the Industry drawn from the same group as was represented by the vacating member. (d) In addition to the above, the Administrator may appoint one (1) representative without vote and without expense to the Industry, to serve with said Supplementary Code Authority in the Administration of this Supplementary Code. Said representative shall be given proper and reasonable notice of all meetings of the Supplementary Code Authority. Section 2. Any Association/Institute and/or Bureau directly or indirectly participating in the selection or activities of the Supple- mentary Code Authority shall (1) impose no inequitable restric- tions on membership, and (2) submit to the Administrator true copies of its Articles of Association, Bjr-Laws, Regulations and any amendments when made thereto, together with such other informa- tion as to membership, organization, and activities as the Adminis- trator 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, there- after, 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 remove any member thereof and may require an appropriate modification or modifications in the method of selection of members of the Supplementary Code Authority. Section 4. The Supplementary Code Authority shall obtain from members of the Industry such information and reports as are re- quired for the administration of the Supplementary Code. In addi- tion to information required to be submitted to the Supplementary Code Authority, members of the industry subject to this Supplemen- tary Code shall furnish such statistical information as the Adminis- trator may deem necessary for the pur poses recited in Section 3 (a) of the Act to such Federal and State Agencies as he may designate; provided that nothing in this Supplementary Code shall relieve any member of the Industry of any existing obligations to furnish reports to any Government Agency. No individual report shall be disclosed to any other member of the Industry or any other party except to such other Governmental Agencies as may be directed by the Administrator. Section 5. The Supplementary Code Authority as such agency 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. Any or all information furnished to the Supplementary • Code Authority by any member of the Industry shall be, pursuant to the provisions of this Supplementary Code, subject to verification by an examination of the pertinent or necessary books, accounts and records of such member l)y an impartial agency agreed upon by the Supplementary Code Authority and the member of the Industry in question, or, failing such agreement, by an impartial agent desig- nated by the Administrator. Such examination shall be made only to the extent permitted by the Act and such rules and regulations as may be prescribed by the Administrator. The cost of each such examination shall be borne by the Supplementary Code Authority. Section 7. It being found necessary in order to support the Ad- ministration of this Supplementary Code and to maintain the stand- ards of fair competition established hereunder and to effectuate the policy of the Act, the Supplementary Code Authority is authorized : (a) To incur such reasonable obligations as are necessary and proper for the foregoing purposes and to meet such obligations out of funds which may be raised as hereinafter provided and which shall be held in trust for the purposes of the Supplementary Code. (b) To submit to the Administrator for his approval, subject to such notice and opportunity to be heard as he may deem necessary, (1) an itemized budget of its estimated expenses for the foregoing purposes, and (2) an equitable basis upon which the funds necessary to support such budget shall be contributed by all members of the Industry. (c) After such budget and basis of contribution have been ap- proved by the Administrator, to determine and secure equitable contributions as above set forth by all members of the Industry, anil to that end, if necessary, to institute legal proceedings therefor in its own name. Each member of the Industry shall pay his oT its equitable contribution to the expenses of the maintenance of the Supplementary Code Authority as hereinabove provided, and sub- ject to rules and regulations pertaining thereto issued by the Admin- istrator. Only members of the Industry complying with the Supplementary Code and contributing to the expenses of its administration as here- inabove provided unless duly exempted from making such contri- bution, shall be entitled to participate in the selection of the 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. The Supplementary Code Authority shall neither incur nor pay any obligation substantially in excess of the amount thereof as esti- mated in its approved budget, and shall in no event exceed the total amount contained in the approved budget, except upon approval of 8 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 so approved. Section 8. Nothing contained in this Supplementary Code shall be deemed to constitute the members of the Supplementary Code Authority partners for any purpose whatsoever. Nor shall any member of the Supplementary Code Authority be liable in any man- ner 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 reason- able diligence in the conduct of his duties hereunder, be liable to anyone for any action or omission to act under this Supplementary Code, except for his own wilful malfeasance or non-feasance. Section 9. If any member of the Industry as defined herein is a member of any other Industry, the provisions of this Supplementary Code shall apply to and effect only that part of his business which, is included in the Industry. Section 10. The Supplementary Code Authority shall without any limitations on the foregoing have the following further general powers and duties subject to such rules and regulations as the Administrator may prescribe : (a) To insure the execution of the provisions of this Supple- mentary Code and provide for the compliance of the Industry with the provisions of the Act; (b) To adopt by-laws and rules and regulations for its procedure and for the administration of the Supplementary Code; (c) To use such trade associations and other agencies as it deems proper for the carrying out of any of its activities provided for herein, provided that nothing herein shall relieve the Supplementary Code Authority of its duties or responsibilities under this Supple- mentary Code and that such trade associations and agencies shali at all times be subject to and comply with the provisions hereof; (d) To make recommendations to the Administrator for the co- ordination of the administration of this Supplementary Code with such other codes, if any, as may be related to the Industry ; (e) To cooperate with the Administrator in regulating the use of any N.R.A. insignia solely by those members of the Industry who are complying with this Supplementary Code; (f) 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 Code which shall become effective as part hereof upon approval by the Administrator after such notice and hearing as he may specify. Section 11. If the Administrator believes that any action of the Supplemental 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 com- plained of may be taken if approved by the Administrator but shall not be taken if disapproved by the Administrator within thirty days of notice to him of intention to proceed with such action. Section 12. Every employer shall provide for the safety and health of his employees during the hours and at the places oil their employment. Standards for safety and health shall be submitted by the Supplementary Code Authority to the Administrator within three (3) months after the effective date of this Supplementary Code. Article V — Open Price Section 1. Each member of the Industry shall file with a con- fidential and disinterested agent of the Supplementary Code Au- thority or, if none, then with such an agent designated b}* the Administrator, identified lists of any or all of his prices, discounts, rebates, allowances, and all other terms or conditions of sale, here- inafter in this article referred to as " price terms ", which lists shall completely and accurately conform to and represent the individual pricing practices of said member. Such lists shall contain the price terms for any or all such standard products of the Industry as are sold or offered for sale b} 7 said member and for such non-standard products of said member as shall be designated by the Supplementary Code Authority. Said price terms shall in the first instance be filed within ten (10) days after the date of approval of this provision of such price terms. Price terms and revised price terms shall be- come effective immediately upon receipt thereof by said agent. Immediately upon receipt thereof, said agent shall by telegraph or other equally prompt means notify said member of the time of such receipt. Such lists and revisions, together with the effective time thereof, shall upon receipt be immediately and simultaneously dis- tributed to all members of the Industry and to all of their customers who have applied therefor and have offered to defray the cost actu- ally incurred by the Supplementary Code Authority in the prepara- tion and distribution thereof and be available for inspection by any of their customers at the office of such agent. Said lists or revisions or any part thereof shall not be made available to any person until released to all members of the Industry and their customers, as afore- said ; provided, that prices filed in the first instance shall not be released until the expiration of the aforesaid ten (10) day period after the approval of this Supplementary Code. The Supplementary Code Authority shall maintain a permanent file of all price terms filed as herein provided, and shall not destroy any part of such records excejjt upon written consent of the Administrator. Upon request the Supplementary Code Authority shall furnish to the Administrator or any duly designated agent of the Administrator copies of any such lists or revisions of price terms. Section 2. When any member of the Industry has filed any revision, such member shall not file a higher price within forty-eight (48) hours. Section 3. No member of the Industry shall sell or offer to sell any products of the Industry, for which price terms have been filed pursuant to the provisions of this article, except in accordance with such price terms. 10 Section 4. No member of the Industry shall enter into any agree-[ ment, understanding, combination or conspiracy to fix or maintain price terms, nor cause or attempt to cause any member of the Industry to change his price terms by the use of intimidation, coercion, or any other influence inconsistent with the maintenance of the free and open market which it is the purpose of this article to create. Section 5. No provision of this Supplementary Code relating to prices or terms of selling, shipping, or marketing shall apply to export trade or sales or shipments for export trade within the meaning of the term " export trade " as it is used in the Export] Trade Act, adopted April 10, 1918. Article VI — Costs and Price Cutting Section 1. The standards of fair competition for the Industry with, reference to pricing practices are declared to be as follows : < (a) Wilfully destructive price cutting is an unfair method of competition and is forbidden. Any member of the Industry or of any other Industry or the customers of either may at any time com- plain to the Supplementary Code Authority that any filed price constitutes unfair competition as destructive price cutting, imperil- ing small enterprise or tending toward monopoly or the impairment of Supplementary Code wages and working conditions. The Sup- plementary Code Authority shall within rive (5) days afford an! opportunity to the member filing the price to answer such complaint] and shall within fourteen (14) days make a ruling or adjustment thereon. If such ruling is not concurred in by either party to the' complaint, all papers shall be referred to the Research and Planning Division of N.R.A. which shall render a report and recommenda- tion thereon to the Administrator. (b) When no declared emergency exists as to any given product, there is to be no fixed minimum basis for prices. It is intended that sound cost estimating methods should be used and that consideration should be given to costs in the determination of pricing policies. (c) When an emergency exists as to any given product, sale below the stated minimum price of such product, in violation of Section 2 hereof, is forbidden. j Section 2. Emergency Provisions. — (a) If the Administrator, after investigation shall at any time find both (1) that an emergency has arisen within the Industry adversely affecting small enterprises or wages or labor conditions, or tending toward monopoly or other acute conditions which tend to defeat the purposes of the Act; and (2) that the determination of the stated minimum price for a speci- fied product within the Industry for a limited period is necessary to mitigate the conditions constituting such emergency and to effectuate the purposes of the Act, the Supplementary Code Authority may cause an impartial agency to investigate costs and to recommend to the Administrator a determination of the stated minimum price of the product affected by the emergency and thereupon the Adminis- trator may proceed to determine such stated minimum price. (b) When the Administrator shall have determined such stated minimum price for a specified product for a stated period, -which price shall be reasonably calculated to mitigate the conditions of 11 such emergency and to effectuate the purpose? of the National Indus- trial Recovery Act, he shall publish such price. Thereafter, during such stated period, no member of the Industry shall sell such speci- fied products at a net realized price below said stated minimum price and any such sale shall be deemed destructive price cutting. From time to time, the Supplementary Code Authority (may recommend review or reconsideration or the Administrator may cause any determinations hereunder to be reviewed or reconsidered and appropriate action taken. Article VII — Unfair Trade Practices For all purposes of this Supplementary Code the following de- scribed Acts shall constitute unfair practices. Such unfair practices shall be deemed to be unfair methods of competition in commerce within the meaning of the Federal Trade Commission Act as amend- ed, and am" member of the Industry who shall directly or indirectly through any officer, employee, agent or representative knowingly use or employ any of such unfair practices shall be deemed guilty of a violation of this Supplementary Code. A. The provisions of Article V, paragraphs 13 to G, inclusive, of the Basic Code are a part of this Supplementary Code to the same extent as if here repeated and set forth at length. B. Using or substituting any material superior in quality to that specified by the purchaser of any product, for the purpose of influ- encing purchase or future purchase. C. Cancelling in whole or in part, or permitting the cancellation in whole or in part, of any contract of sale of any product, except for a fair consideration. D. Inducing or attempting to induce the breach of any provision of a contract to which a member of the Industry is a party. This clause shall not be construed to apply to employment contracts. E. Offering or giving to any purchaser of any product any guar- ant}' or protection in any form against decline after the date of ship- ment in the market price of such product. F. Soliciting by any member of the Industry the pooling of orders from several buyers in a manner to give the buyers advantage of more favorable price or terms than those to which the buyers would be entitled individually ; provided, however, that pooled buying is not prohibited where the seller may have a measurable compensating advantage. G. Consigning merchandise for any reason whatsoever, except to a wholly owned or controlled subsidiary, or to a direct representa- tive having a stock subject to control of the manufacturer for pric- ing, invoicing and terms, or except under circumstances to be de- fined by the Supplementary Code Authority and approved by the Administrator where peculiar circumstances in the Industry require the practice. H. Making contracts requiring delivery of specified quantity or quantities in specified time, if demanded by buyer, but not requiring tne buyer to accept such quantity or quantities within the specified time. I. Making contracts at a specified price for an unspecified quan- tit} r for delivery as demanded by the buyer during the period unless 12 the contract is for a fixed percentage of the total consumption re- quirements of the purchaser of the particular product; or making any such unspecified quantity contract above described except on a standard form or forms approved by the Supplementary Code Au- thority and the Administrator; or failing to file with the Secretary a copy of each and every different form of contract entered into by a member of the Industry within five days after entering into a con- tract in such form. J. Making contracts for periods in excess of three months (all contracts to expire not later than the last days of March, June, September or December) or quoting on or making any quarterly con- tract more than thirty (30) days prior to the first day of the calen- dar quarter covered bv the contract, or shipping pursuant to any contract more than fifteen (15) days after the expiration thereof, or as soon thereafter as seller can manufacture and ship the same, or making contracts containing an option of extension or removal on the part of either buyer or seller; provided, however, that the fore- going provisions of this paragraph J shall not apply to a bona fide order for a specified quantity of specified types, sizes and kinds of products of the Industry for delivery at specified dates not extending beyond four months from receipt of order, at a specified price. K. Offering any article by price or otherwise in a manner to in- fluence the purchase of another article. L. Continuing to employ any salesman, agent or employee who shall give any or all of his commission to any purchaser without the knowledge of his employer. M. Making or continuing any arrangement with a jobber, dealer or syndicate buyer whereby such jobber, dealer or syndicate buyer acts both as agent and as jobber, dealer or syndicate buyer in a specific transaction and thereby receives both the jobber's, dealer's or syndicate buyer's discount and the agent's commission on the same transaction, or entering into any kind of any exclusive territory arrangement with a jobber, dealer, or syndicate buyer, provided, that this clause shall not apply in any way to any selling arrange- ments wherein a national distributor contracts to sell the entire output of a particular manufacturer as such manufacturer's agent. Article VIII — Monopolies No provision of this Supplementary Code shall be so applied as to permit monopolies or monopolistic practices, or to eliminate, op- press or discriminate against small enterprises. Article IX — Modifications Section 1. This Supplementary Code and all the provisions thereof are expressly made subject to the right of the President, in accordance with provisions of Subsection (b) of Section 10 of the Act, from time to time to cancel or modify any order, approval, license, rule or regulation issued under said Act. Section 2. This Supplementary Code, except as to provisions re- quired by the Act, may be modified on the basis of experience or changes in circumstances, such modifications to be based upon ap- 13 plication to the Administrator and such Notice and Hearing as he shall specify and to become effective on approval by the President. Article X — 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 may be required to meet individual costs should be delayed, but when made, such increases should, so far as possible, be limited to actual additional increases in the seller's costs. Article XI — Effective Date This Supplementary Code shall become effective at 12 : 01 o'clock A.M. Eastern Standard Time of the tenth day after it is approved by the President. Approved Code No. 84 — Supplement No. 49. Registry 1104-03. UNIVERSITY OF FLORIDA 3 1262 08855 6724