Millwork Industry
16 CFR Part 44 · Trade practice rules · in the Code of Federal Regulations 1938-1973 (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 These rules and guides are historical: most were rescinded or replaced, so do not assume any is in force.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, 1973 CFR · Earliest edition: 1938 CFR
Text (1973 edition, OCR)
§ 43.10 _ (2) By showing, when there ts a difference in the methods or quantities in which the goods were sold and delivered by the seller to the buyer than in the case of the competing puyer or buyers paying the higher price or prices, that the buyer paying the lower price or prices knew the nature and extent of such differences and knew or should have Known that they could not have resulted in suf- ficient cost savings of the kind and character specified as to justify the price differential. § 43.10 Misleading price lists. It is an unfair trade practice for any industry member, in the course of or in connection with the offering for sale, sale or distribution of industry products, to publish or circulate price lists which have the capacity and tendency or effect of misleading or deceiving purchasers or prospective purchasers in any material respect. § 43.11 Deceptive invoicing, etc. It is an unfair trade practice for mem- bers of the industry to issue invoices, billings, or sales slips which by reason of misstatements therein or omissions therefrom have the capacity and tend- ency or effect of deceiving purchasers or prospective purchasers in any material respect. § 43.12 Prohibited sales below cost. (a) The practice of selling products of the industry at a price less than the cost thereof to the seller, with the purpose or intent, and where the effect is, or where there is a reasonable probability that the effect will be, to substantially injure, sup- press, or stifie competition or tend to create a monopoly, is an unfair trade practice. (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 with the wrongful intent or purpose referred to and where the effect is, or where there is reasonable probability that the effect will be, to substantially injure, suppress, or stifle competition or to create a mo- nopoly. Among the situations in which the requisite purpose or intent would ordinarily be lacking are cases in which such sales were: (1) Of obsolescent goods; (2) of perishable goods in respect to which deterioration is imminent; (3) made under judicial process; or (4) made in bona fide discontinuance of business in the goods concerned. (c) As used in paragraphs (a) and (b) of this section, the term “cost” means the respective seller’s cost and not an Title 16—Commercial Practices average cost in the industry whether such average cost be determined by an industry cost survey or some other’ method. It consists of the total outlay’ or expenditure by the seller in the ac-- quisition, production, and distribution. of the products involved, and comprises. all elements of cost such as labor, mate-- rial, depreciation, taxes (except taxes on: net income and such other taxes as are’ not properly applicable to cost), and gen-- eral overhead expenses incurred by the seller in the acquisition, manufacture, processing, preparation for--marketing, sale, and delivery of the products. Not to be included are dividends or interest on borrowed or invested capital, or non- operating losses, such as fire losses and losses from the sale or exchange of capi- tal assets. Operating cost should not be reduced by items of nonoperating income such as income from investments, and gain on the sale of capital assets. (d) Nothing in this section shall be construed as relieving an industry mem- ber from compliance with any of the re- quirements of the Robinson-Patman Act. § 43.13 Aiding or abetting use of unfair trade practices. It is an unfair trade practice for any person, firm or corporation to aid, abet, coerce, or induce another, directly or in- directly, to use or promote the use of any unfair trade practice specified in this part. PART 44—MILLWORK INDUSTRY Group 1 Sec. 44.1 Inducing breach of contract. 44.2 False marking or branding. 44.3 Deceptive selling methods. GrovurP IT Definition. Publication of price lists. Arbitration. Further definition. Standard form of contract. Publication of terms of sale. 44.101 44.102 44.103 44,104 44.105 44.106 AuTHoRITy: The provisions of this Part 44- issued under secs. 6(g), 5, 38 Stat. 722, 719; 15 U.S.C. 46(g), 45, unless otherwise noted. Source: The provisions of this Part 44. contained in trade practice rules, Millwork Industry, FTC, Aug. 28, 1931, unless otherwise noted. GrouPI § 44.1 Inducing breach of contract. Maliciously inducing or attempting to- induce the breach of existing contracts. 374 Chapter |—Federal between competitors and their customers by any false or deceptive means whatso- ever, 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 embarrassing competitors in their businesses, is an unfair trade practice. § 44.2 False marking or branding. The false marking or branding of prod- ucts of the industry, with the effect of misleading or deceiving purchasers with respect to the quantity, quality, grade, or substance of the goods purchased, is an unfair trade practice. § 44.3 Deceptive selling methods. The sale or offering for sale of any product of the industry by any false means or device which has the tendency and capacity to mislead or deceive cus- tomers or prospective customers as to the quantity, quality, substance, or size of such product is an unfair trade practice. Grovp II § 44.101 Definition. The industry hereby records its ap- proval of the definition of a qualified wholesale distributor of millwork to be one whose principal business is selling millwork to the retail distributor. § 44.102 Publication of price lists. The industry approves the practice of each individual member of the industry independently publishing and circulat- ing to the purchasing trade its own price lists. § 44.103 Arbitration. The industry approves the practice of handling disputes in a fair and reason- able manner, coupled with a spirit of moderation and good will, and every ef- fort should be made by the disputants themselves to arrive at an agreement. If unable to do so they should agree, if Possible, upon arbitration under some one of the prevailing codes. § 44.104 Further definiticu. The industry hereby records its ap- proval of the definition of a qualified manufacturer of sash, doors and mill- work, to be one who manufactures and sells sash, doors and millwork. § 44.105 Standard form of contract. It is the judgment of this conference that the industry should adopt in co- 37 Trade Commission § 46.0 operation with buyers a standard form of contract which will thoroughly protect. the rights of both buyers and sellers. § 44.106 Publication of terms of sale. The industry approves the practice of making the terms of sale a part of all published price schedules. PART 46—WORK GLOVE INDUSTRY Sec. 46.0 Definitions. 46.1 Deception (general). 46.2 Misrepresentation as to character of’ business. 46.3 Misrepresenting products as conform- ing to standard. 46.4 Guarantees, warranties, etc. 46.5 Substitution of products. 46.6 Deceptive use or imitation or simula- tion of trade or corporate names, trade-marks, etc. 46.7 False invoicing. 46.8 Defamation of competitors or false disparagement of their products. 46.9 Inducing breach of contract. 46.10 Enticing away empioyees of competi- tors. 46.11 Consignment distribution. 46.12 Prohibited sales below cost. 46.13 Tie-in sales; coercing purchase of one product as a prerequisite to the purchase of other products. 46.14 Prohibited forms of trade restraints (unlawful price fixing, etc.). 46.15 Misleading price lists. 46.16 Misuse of terms “close-outs,” “dis- continued iines,” ‘‘special bargains,’” etc. 46.17 Seconds, irregulars. and rejects. 46.18 Prohibited discrimination. 46.19 Aiding or abetting use of unfair trade practices. AUTHORITY: The provisions of this Part 46 issued under secs. 6, 5, 38 Stat. 721, 719; 15 U.S.C. 46, 45, unless otherwise noted. Source: The provisions of this Part 46 appear at 24 F.R. 4135, May 22, 1959, unless otherwise noted. § 46.0 Definitions. As used in this part the terms “indus- try member” and “industry products’ shall have the following meaning: (a) Industry member. Any person, ‘firm, corporation or organization en- gaged in the manufacture, sale, offering for sale, or distribution of industry prod- ucts as defined below. (b) Industry products. All kinds and types of gloves and mittens which are designed primarily for use in the per- formance of work or manual effort (such as, but not limited to, gloves which are in whole or in part of canvas, fiannel, » 3)