Public Refrigerated Storage Industry
16 CFR Part 212 · Trade practice rules · in the Code of Federal Regulations 1959-1976 (11 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 These rules and guides are historical: most were rescinded or replaced, so do not assume any is in force.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: 1959 CFR
Text (1976 edition, OCR)
Chapter —Federal circulating to customers and prospective customers his own price lists. The in- dustry also approves the practice of such member including his terms of sale, in- dependentiy arrived at, as part of his own published price list. § 211.103 Maintenance of accurate rec- ords. It is the judgment of the industry that each member should independently keep proper and accurate records for de- termining his cost, based on sound cost accounting methods. COMMITTEE ON TRADE PRACTICES § 211.201 Industry committee. The provisions of §16.1 of this sub- chapter shall be applicable to an indus- try committee established under this part. .[21 P. R. 1174, Feb. 21, 1956] PART 212—PUBLIC REFRIGERATED STORAGE INDUSTRY Sec. 212.0 The industry defined. Group I 212.1 Deceptive issuance of warehouse re- ceipts. 212.2 Delivering goods when negotiable warehouse receipt is outstanding and uncanceled. 212.3 Deception (general). 212.4 Commercial bribery. 212.6 Selling below cost. 212.6 Inducing breach of contract. 212.7 Defamation of competitors or false disparagement of their business. 212.8 Procurement of competitors’ confi- dential information by unfair means and wrongful use thereof. 212.9 Prohibited forms of trade restraints (unlawful price fixing, etc.). 212.10 Aiding or abetting use of unfair trade practices. Grovur It 912.101 Publishing of rates and charges. 912.102 Excessive extension of credit and unsound cotlateral or unsecured loans. | 212.103 Dissemination of credit information. CoMMITTEE ON TRADE PRACTICES 212.201 Industry committee. AuTHoritTr: The provisions of this Part 212 issued under secs. 6, 5, 38 Stat. 721, 719; 15 U.S.C, 46, 45, unless otherwise noted. Sovunrce: The provisions of this Part 212 ap- pear at 17 FR 2919, Apr. 4, 1962, unless otherwise noted. Trade Commission § 212.2 § 212.0 ‘The industry defined. This industry is engaged commercially in the business of providing cold storage facilities and public refrigerated ware- house space for the storage of fruits, vegetables, and other products received and awaiting re-shipment to fina! des- tination in the course of commerce and for which it issues warehouse receipts and furnishes certain other services. incidental thereto. Group I § 212.1 Deceptive issuance of warehouse receipts, It is an unfair trade practice for any member of the industry to issue, or cause to be issued, a warehouse receipt which, to the knowledge of the industry nem- ber, or under such circumstances as are reasonably calculated to impute know]l- edge to the industry member, is false, misleading, or deceptive in any material respect. Among the practices inhibited by this section are: (a) Issuing warehouse receipts with- out having actual control of the products for which the receipt is issued. _ (b) Issuing negotiable warehouse re- celpts for goods of which the Issuer is part or sole owner without full and nondeceptive disclosure of that fact. § 212.2 Delivering goods when nego- tiable warehouse receipt is outstand- ing and uncanceled. It is an unfair trade practice for any member of the industry to deliver part or all of any lot of stored preducts for which a negotiable warehouse receipt. (the negotiation of which would transfer. the right to the possession of such prod- ucts) has been issued and is outstanding: and uncanceled, without obtaining the possession of such receipt, or taking up and canceling the same, or placing piain- ly upon it a statement of what products have been delivered, at or before the time of the delivery of such products, except where delivery thereof is made pursuant to an order of a court of competent juris- diction or in compliance with a sale made to satisfy a lien thereon, or in accord- ance with state or local regulations or ordinances, with the capacity and tend- ency or effect of misleading or deceiving purchasers or prospective purchasers. 261 § 212.3 § 212.3 Deception (general). It is an unfair trade practice to make or publish, or cause to be made or pub- lished, directly or indirectly. any false, misleading, or deceptive statement or representation, by way of advertisement, depiction, or in any other manner having the capacity and tendency or effect of misleading or deceiving purchasers or prospective purchasers, with respect to the quality, character, utility, effective- ness, or nature of any public refrigerated space or facilities or services incidental thereto. § 212.4 Commercial bribery. It is an unfair trade practice for a member of the industry, directly 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 coinpetitors’ customers or prospective customers, without the knowledge of their employers or princi- pals, as an inducement to influence their employers or principais to purchase, rent, or contract to purchase or rent, public refrigerated space or facllities or serv- ices incidental thereto from such indus- try member or the maker of such gift or offer, or to influence such employers - or principals to refrain from purchasing or renting public refrigerated space or facilitles or services incidental thereto from competitors or from dealing or con- tracting to deal with competitors. § 212.5 Selling below cost. (a) The practice of selling or furnish- ing public refrigerated space or facilities, or services incidental thereto, at a price less than the cost thereof to the selier or furnisher, with the purpose or intent, and where the effect may be, to injure, suppress, or stifie competition or tend to create a monopoly in this industry, is an unfair trade practice. As used in this sectlon, the term “cost’? means the total cost to the seller or furnisher of any such transactions of sale or rental. (b) This section is not to be construed as prohibiting all sales below cost, but only such selling below the seller’s cost as is resorted to and pursued as a monop- olistic practice with the wrongful intent referred to and where the effect may be unreasonably to restrain trade, tend to create a monopoly, or substantially lessen competition. Title 16—-Commercial Practices (c) All elements recognized by good accounting practice as proper elements of such cost shall be included in deter- mining cost under this section. The costs referred to in the section are actual costs of the respective seller and not some other figure or average costs in the in- dustry determined by an industry cost survey or otherwise. § 212.6 Inducing breach of contract. (a) Knowingly inducing or attempting to induce the breach of existing lawful contracts between competitors and their customers or their suppliers, or inter- fering with or obstructing the perform- ance of any such contractual duties or services, under any circumstance having the capacity and tendency or effect of substantially injuring or lessen- ing present or potentlal competition, is an unfair trade practice. (b) Nothing in this section is intended to imply that it is improper for any in- dustry member to solicit the business of a customer of a competing industry member; nor is this section to be con- strued as in anywise authorizing any agreement, understanding, or planned common course of action by two or more industry members not to solicit business from the customers of either of them, or from customers of any other industry member. § 212.7 Defamation of competitors or false disparagement of their busi- ness, 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 faise dis- paragement of the business of competi- tors in any material respect, or of their business metbods, selling prices, values, credit terms, pollcies, or services, is an unfair trade practice. § 212.8 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 infor- mation 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 competi- 262 - Chapter |—Federal tor in his business or to suppress com- petition or unreasonably restrain trade. § 212.9 Prohibited forms of trade re- straints (unlawful price fixing, etc.). It is an unfair trade practice for any member of the industry, either directly or indirectly: (a) To enter into or take part in any understanding, agreement, combination, or conspiracy, or any planned common course of action, with one or more Mem- bers of the industry, or with any other person or persons, unlawfully to fix, maintain, or enhance the price of any goods, or otherwise unlawfully to, re- strain trade; or (b) To use any form of threat, intimi- dation, or coercion to induce apy mem- ber of the industry, or other person or persons, to become a party to any such understanding, agreement, combination, or conspiracy, or any such planned com- mon course of action. § 212.10 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 promoto the use of any unfair trade practice specified in this part. Grovur I § 212.101 Publishing of rates and charges. . The industry approves the practice of each individual member independently establishing and openly stating and pub- lishing his rates and charges with appli- cable terms and conditions. § 212.102 Excessive extension of credit and unsound collateral or unsecured loans, - Reasonable extension of credit and the making of secured loans at pre- yailing interest rates to storers and cus- tomers is normal warehouse business. However, extending excessive credit, and making or offering to make collateral or unsecured loans not in conformity with current sound banking principles, are condemned by the industry. § 212.103 Dissemination of credit in- formation. The industry records its approval of distributing to its members information covering delinquent and slow accounts in so far as this may lawfully be done. Trade Commission § 213.0 COMMITTEE ON TRADE PRACTICES § 212.201 Industry committee. The provisions of § 16.1 of this sub- chapter shall be applicable to an industry committee established under this part. [21 F.R. 1174, Feb, 21, 1956] 213—INDUSTRIAL BAG AND PART COVER INDUSTRY Sec. 218.0 Definitions. Grour I 213.1 Misrepresentation and misbranding of industry products. 218.2 #Misrepresentation as to character of business. 213.3 Misrepresenting products asa con- forming to starfdard. 213.4 Prohibited discrimination. 213.55 Substitution of products. 218.6 False and misleading price quota- tions, etc. 213.7 Deceptive use of trade or corporate names, trade-marks, etc. 218.8 Inducing breach of contract. 213.9 Defamation of competitors or false disparagement of their products. 213.10 Commercial bribery. 213.11 Procurement of competitors’ confi- dential information. 213.12 Prohibited forms of trade restraints (unlawful price fixing, etc.). 218.13 False invoicing. 218.14 Selling below cost. 218.16 Enticing away employees of compet- itors. 213.16 Aiding or abetting use of unfair trade practices. Group IT 213.101 Arbitration. 218.102 Price lists. 213.108 Maintenance of accurate records. COMMITTEE ON TRADE PRACTICES 213.201 Industry committee. AurHoriry: The provisions of this Part 213 issued under secs. 6, 5, 38 Stat. 721, 719; 15 U.S.C. 46, 46, unless otherwise noted. Source: The provisions of this Part 218 ap- pear at 18 F.R. 4555, Aug. 4, 1953, unless otherwise noted. § 213.0 Definitions. (a) Products of this industry include such bags, covers, and liners as are made of paper and/or paperboard and are de~ signed for use in containing and/or pro- tecting products of varying shapes and sizes during transit or storage. Many imdustry products are custom made to 263