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requirements, we hnve been requested by large retail distributors to
instruct the manufacturers to place the labels in a uniform position i1
the bag. The Code Authority-has ruled that in every case possible, th,
label shall be inserted in the left-hand side of the mirror pocket wit]
the numerals showing.

 *

 FALSE ADVERTISING: Some manufacturers have been manufacturing
 bags of seal split and inserting cards in each bag stating that they
 ,are "real seal" or "genuine seal." A few large retailers have recently;
 inserted Pdvertisements on these bags also calling them "real seal" or
 "genuine seal". The Code Authority has stopped this practice as it is
 a violation of Section'4, Article VIII of the Code, .and also, as it is
 prohibited by a ruling of the Federal Trade Commission on a similar
 case.

 On February 2, 1934, the Federal Trade Commission ruled "That in
 connection with the sale, offering for sale, or distribution in inter-"
 state com:ierce and the District of Columbia of handbags, sdit cases
 and other luggage or other products made from the under layers of
 sealskin known as "Split Seal", cepse and desist from designating and
 describing the same as "Seal". or "Genuine Seql" unless the word "Sealt1
 is modified by the word "split" in letters equally conspicuous or othel
 expression clearly and conspicuously designating that the material is
 an under layer of sealskin.11" The Code Auth6rity will strictly enforce
 this provision of the. code.

 *

 TERMS: It is a violation of the Code to sell on terms in excess
 3/10 eom. First of the month dating for gods shipped after the twen"
 fifth of the previous month is in excess of 3/10 eom. If you grant
 first of the month dating you are violating the Code for the Ladies'
 Handbag Industry.

 FURTHER ADVANTAC-ES OF LABEL DISPOSITION RECORD: Where contractor
are used, the number of handbags in work at contractors is easily
ascertained by some manufacturers thru the use of the Label Dispositi.
Record. This is done by charging the contractors with the production
per Label Disposition record, and crediting them with the finished go
per receiving record or purchase book. The difference represents han
bags in work at contractors and the fluctuation of this figure is
carefully watched. This in-process inventory at contractors is simil
used on the monthly financial statements. This control may also be
valuable in preventing padding of bills by contractors.

 Some manufacturers feel that they now have a better control of
overshipments and undershipments by contractors thru the numerical
advantage afforded by the Label Disposition Record.

 The Label Disposition Record has also been found to be valuable
because it gives the mpnufrcturer a record to which he can refer, eit
to refresh his memory, or to detect clerical errors such as forgetting
to charge a contractor Pith goods.

 9811. 4t