Trade Pamphlet Binding Industry Of The New York City Trade Area
16 CFR Part 179 · Trade practice rules · in the Code of Federal Regulations 1960-1976 (10 annual editions)
Scanned CFR pages, OCR text may contain errors; the linked Library of Congress PDF is the authority. Not legal advice; not affiliated with the FTC. These rules and guides are historical: most were rescinded or replaced, so do not assume any is in force.
Latest edition: Library of Congress, 1976 CFR · Earliest edition: 1960 CFR
Text (1976 edition, OCR)
$177.17
or without processing, {t is an unfair
trade practice for any member of the
industry to discriminate in favor of one
purchaser against another purchaser by
furnishing certain services or facilities
upon terms not accorded to all pur-
chasers on proportionally equal terms.
(1) Said services or facilities referred
to in this paragraph are such as are con~
nected with the processing, handling,
sale, or offering for sale, of the hand
knitting yarn purchased, and the term
“furnishing” as used in this paragraph
shall be construed as including contract-
ing to furnish, and contributing to the
furnishing of, the services or facllities.
(e) Inducing or receiving an illegal
discrimination in price. It is an unfair
trade practice for any member of the
industry, in the course of commerce in
which he is engaged, knowingly to in-
duce or receive a discrimination in price
which is prohibited by the foregoing pro-
visions of this section.
(1) Exemptions. The inhibitions of
this section shail not apply to purchases
of their supplies for their own use by
schools, colleges, universities, public
libraries, churches, hospitals, and chari-
table institutions not operated for profit.
(Sec. 2, 838 Stat. 780, as amended, secs, 2, 8, 4,
49 Stat. 1527, 1528, ch. 283, 52 Stat. 446; 15
U.S.C. 18, 18a, 13b, 18c, 21a)
§ 177.17 Aiding or abetting use of un-
fair trade practices.
It is an unfair trade practice for any
person, firm, or corporation to aid, abet,
coerce, or induce another, directly or
indirectly, to use or promote the use of
any unfair trade practice specified in
§§ 177.1 to 177.17.
COMMITTEE ON TRADE PRACTICES
§ 177.201 Industry committee.
The provisions of § 16.1 of this sub-
chapter shall be applicable to an indus-
try committee established under this
part.
[21 FR. 1174, Feb. 21, 1956]
PART 179—TRADE PAMPHLET BIND-
ING INDUSTRY OF THE NEW YORK
CITY TRADE AREA
GrourI
Sec.
179.1 Procurement of competitors’ confi-
dential information by unfair
means and wrongful use thereof.
Title 16—Commercial Practices
Sec.
179.2
179.3
179.4
179.5
179.6
Discrimination.
Commercial bribery.
Defamation of competitors.
Transactions below cost.
Enticing away employees of competi-
tors.
179.7 Inducing breach of contract.
AuTnoriry: The provisions of this Part
178 issued under secs. 6(g), 5, 88 Stat. 722,
719; 15 US.C. 46(g), 46, unless otherwise
noted.
Source: The provisions of this Part 179
appear at 18 F.R. 9319, Dec. 31, 1948, unless
otherwise noted.
Group I
§ 179.1 Procurement of competitors’
confidential information by unfair
means and wrongful use thereof.
It is an unfair trade practice for any
Member of the industry to obtain in-
formation concerning the business of a
competitor by bribery of an employee or
agent of such competitor, by false or
misleading statements or representa-
tions, by the impersonation of one in
authority, or by any other unfair means,
and to use the information so obtained
in such manner as to injure said com-
petitor in his business or to suppress
competition or unreasonably restrain
trade.
§ 179.2 Discrimination.
(a) Prohibited discriminatory prices,
or rebates, refunds, discounts, credits,
etc., which effect unlawful price discrim-
ination, Itisan unfair trade practice for
any member of the industry engaged in
commerce, in the course of such com-
merce, to grant or allow, secretly or
openly, directly or indirectly, any rebate,
refund, discount, credit, or other form of
price differential, where such rebate, re-
fund, discount, credit, or other form of
price differential, effects a discrimina-
tion in price between different purchasers
of goods of like grade and quality, where
either or any of the purchases involved
therein are in commerce, and where the
effect thereof may be substantially to
lessen competition or tend to create a
monopoly in any line of commerce, or to
injure, destroy, or prevent competition
with any person who either grants or
knowingly receives the benefit of such
discrimination, or with customers of
either of them: Provided, however:
(1) That the goods involved in any
such transaction are sold for use, con-
sumption, or resale within any place un-
der the jurisdiction of the United States;
120
Chapter I—Federal Trade Commission
(2) That nothing herein contained
shall prevent differentials which make
only due allowance for differences in the
cost of manufacture, sale, or delivery re-
sulting from the differing methods or
quantities in which such commodities
are to such purchasers sold or delivered;
(3) That nothing herein contained
shall prevent persons engaged in selling
goods, wares, or merchandise in com-
merce from selecting their own custom-
ers in bona fide transactions and not in
restraint of trade;
(4) That nothing herein contained
shall prevent price changes from time to
time where made in response to chang-
ing conditions affecting either (i) the
market for the goods concerned, or (il)
the marketability of the goods, such as,
but not Hmited to, actual or imminent
deterioration of perishable goods, obso-
lescence of seasonal goods, distress sales
under court process, or sales in good faith
in discontinuance of business in the
goods concerned.
(b) Prohibited brokerage and com-
missions. It is an unfair trade practice
for any member of the industry engaged
in commerce, in the course of such com-
merce, to pay or grant, or to receive or
accept, anything of value as a commis-
sion, brokerage, or other compensation,
or any allowance or discount in lieu
thereof, except for services rendered in
connection with the sale or purchase of
goods, wares, or merchandise, either to
the other party to such transaction or to
an agent, representative, or other inter-
mediary therein where such intermedi-
ary is acting in fact for, or in behalf, or
is subject to the direct or indirect con~
trol, of any party to such transaction
other than the person by whom such
compensation is so granted or paid.
(c) Prohibited advertising or promo-
tional allowances, etc. It is an unfair
trade practice for any member of the
industry engaged in commerce to pay
or contract for the payment of advertis-
ing or promotional allowances or any
‘other thing of value to or for the benefit
of a customer of such member in the
course of such commerce as compensa-
tion or in consideration for any services
or facilities furnished by or through such
customer in connection with the proc-
essing, handling, sale, or offering for sale
of any products or commodities manu-
factured, sold, or offered for sale by such
member, unless such payment or consid-
eration is available on proportionally
58-064—-76——-9
§ 179.2
equal terms to all other customers com-
peting in the distribution of such prod-
ucts or commodities.
(d) Prohibited discriminatory services
or facilities. It is an unfair trade prac-~
tice for any member of the industry to
discriminate in favor of one purchaser
against another purchaser or purchasers
of a commodity bought for resale, with
or without processing, by contracting to
furnish or furnishimg, or by contributing
to the furnishing of, any services or fa-
calities connected with the processing.
handling, sale, or offering for sale of such
commodity so purchased upon terms not
accorded to all purchasers on proportion-
ally equal terms.
(e) Inducing or receiving an illegal
discrimination in price. It is an unfair
trade practice for any member of the in-
dustry engaged in commerce, in the
course of such commerce, knowingly to
induce or receive a discrimination in
price which is prohibited by the forego-
ing provisions of this section.
(f) Purchases by schools, cvulleges,
universities, public libraries, churches,
hospitals, and charitable institutions not
operated for profit. The foregoing pro-
visions of this section relate to practices
within the purview of the Robinson-Pat-
man Antidiscrimination Act, which act
and the application thereunder of this
section are subject to the limitations ex-
pressed in the amendment to such Rob-
inson-Patman Antidiscrimination Act,
which amendment was approved May 26,
1938, and reads as follows:
Be it enacted by the Senate and House of
Representatives of the United States of
America in Congress assembled, That noth-
ing in the Act approved June 19, 1936 (Pub-
lic, Numbered 692, Seventy-fourth Congress,
second session), Known as the Robinson-
Patman Antidiscrimination Act, shall apply
to purchases of thelr supplies for their own
use by schools, colleges, universities, public
libraries, churches, hospitals, and charitable
institutions not operated for profit.
(g) Purchases by U. S. Government;
applicability of Robinson-Patman Anti-
discrimination Act to same. In an opin-
ion submitted to the Secretary of War
under date of December 28, 1936, the
U. S. Attorney-General advised that the
Robinson-Patman Antidiscrimination
Act “is not applicable to Government
contracts for supplies.” (39 Opinions,
Attorney-General 539.)
(Sec, 2, 88 Stat. 780, as amended, secs, 2, 3, 4,
49 Stat. 1527, 1528, ch. 283, 52 Stat. 446;
15 U. 8S. C. 13, 18a, 18b, 18¢, 21a)
121
§ 179.3
8179.3 Commercial bribery.
It ts an unfair trade practice for any
member of the industry, directiy or indi-
rectly, to give, or offer to give, or permit
or cause to be given, money or anything
of value to agents, employees, or repre-
sentatives of customers or prospective
customers, or to agents, employees, or
representatives of competitors’ customers
or prospective customers, without the
knowledge of their employers or princi-
pals, as an inducement to influence their
employers or principals to purchase or
contract to purchase material and bind-
ing service from the maker of such gift or
offer, or to influence such employers
or principals to refrain from dealing
or contracting to deal with competitors.
$179.4 Defamation of competitors.
The defamation of competitors by
falsely imputing to them dishonorable
conduct, inability to perform contracts,
questionable credit standing, or by other
false representations, or the false dis-
paragement of the grade or quality of
their work, or of their business methods,
values, credit terms, or policies, or in
any other respect, {s an unfair trade
practice.
$179.5 Transactions below cost.
The practice of selling materials and
service below the seller’s cost, when pur-
sued with wrongful intent of thereby in-
juring a competitor and where the effect
of such practice !s to unreasonably re-
Strain trade, tend to create a monopoly,
or substantially lessen competition, is an
unfair trade practice.
This section is not to be construed as
prohibiting all transactions below cost,
but only such selling below the seller’s
cost as is resorted to and pursued as a
monopolistic practice with the wrongful
intent referred to and coupled with the
effect of unreasonably restraining trade,
tending to create a monopoly, or sub-
stantially lessening competition.
The costs referred to in the section are
actual costs of the respective seller and
not some other figure or average costs
in the industry determined by an indus-
try cost survey or otherwise.
$179.6 Enticing away employees of
competitors.
Willfully enticing away the employees
of competitors, with the purpose and ef-
fect of thereby hampering or injuring
Title 16—Commercial Practices
competitors in their business nud de-
stroying or substantially lessening com-
Petition, is an unfair trade practice.
Nots: Nothing in this section shall be
construed as prohibiting employees or agents
from seeking more favorable employment.
§ 179.7 Inducing breach of contract.
Inducing or attempting to induce the
breach of existing lawful contracts be-
tween competitors and their customers
or their suppliers by any false or decep-
tive means whatsoever,. or interfering
with or obstructing the performance of
any such contractual duties or services
by any such means, with the purpose and
effect of unduly hampering, injuring,
or prejudicing competitors in thetr
business, is an unfair trade practice.
PART 180—RAYON, NYLON, AND
SILK CONVERTING INDUSTRY
DEFINITIONS
Sec.
180.0 The industry and its products,
Grour I
180.1 Misrepresentation of industry prod-
ucts.
180.2 Misbranding.
180.3 False invoicing.
180.4 Deception as to origin.
180.5 Identification and disclosure of fiber
or material content.
180.6 Substitution of products,
180.7 Inducing breach of contract.
180.8 Commercial bribery.
180.9 Imitation of trade-marks, etc.
180.10 Defamation of competitors or dis-
paragement of their products.
180.11 Fictitious price lists,
180.12 Use of lottery schemes.
180.13 Prohibited discrimination in terms
of purchase and sale.
180.14 Unlawful combinations in restraint
of trade.
180.15 Consignment distribution or delty-
ery “on memorandum”.
180.16 Aiding or abetting use of unfair
trade practices, .
Group II
180.101 Saturday and Sunday closings.
180.102 Repudiation of contracts.
180.105 Use of written sales contracts.
180.104 Use of samples.
180.105 Arbitration of disputes.
180.106 Registration of original and novel
designs, .
180.107 Use of uniform standards for exam.
inatlon of finished piece goods.
122