LUMBER, WHOLESALE THE NATIONAL HARDWOOD LUMBER ASSOCIATION Given as a type of the lumber sales code; adopted June 23, 1922: NATIONAL HARDWOOD LUMBER SALES CODE ARTICLE II. PARTIES Section 1. Parties subscribing to this code shall consist of trade organizations, the members of which are directly engaged in either the production, distribution or consumption of hardwood lumber, and that adopt and recommend to their members the use of this code in transactions involving the sale and purchase of that commodity. Sec. 2. No organization possesses authority to impose the use of this code upon its members. The terms of this code can be rendered binding as between buyers and sellers of lumber only by contractual agreement of the parties at interest that they shall apply to specific transactions. Section 1. Quotations are of two classes, general and special. Sec. 2. General quotations in the form of stock lists or circular letters are made subject to prior sale and immediate acceptance. Sec. 3. Special quotations made at request of the buyer shall be protected for a specific period by mutual agreement. ARTICLE IV. ORDERS Section 1. The term "order" refers to a contract of sale and purchase existing between seller and buyer. Sec. 2. All orders should be in writing and should specifically embody all provisions of the agreement of sale and purchase, to-wit: Kind, variety, quantity, dimensions, grade, inspection, point of delivery, time of shipment, price, terms of pay ment, etc. Sec. 3. An order taken by a salesman is not binding upon the seller until it has been accepted in writing by competent authority or until delivery under the order has begun, and in the absence of either of these forms of acceptance, it is subject to cancellation by the buyer. Sec. 4. Any provision or provisions omitted by the buyer from his formal order may be supplied by the seller, or any provision or provisions contained in the formal order may be amended by the seller in his acceptance of the order, but such additions or amendments do not become a part of the contract of sale and purchase until they are specifically accepted by the buyer. ARTICLE V. QUANTITY AND LOADING Section 1. Where a specific quantity of lumber is required, the quantity should be stated in feet in the order, and the seller should adjust the contents of shipments going forward under the order in a manner to enable him to make substantial delivery of the specified total. Sec. 2. When an order specifies a carload or a given number of carloads, the seller should load and the buyer should receive cars loaded substantially to the capacity of weight or contents. ARTICLE VI. DELIVERY Section 1. A bill of lading properly filled out, showing buyer as consignee, or if to the order of shipper, properly endorsed by him, shall constitute evidence as to the fact and time of delivery at shipping point. ARTICLE VII. TIME OF SHIPMENT Section 1. Where time of shipment is not an essential element of the contract, and is not so stated in the order, shipment shall be made within a reasonable time. Sec. 2. Where time of shipment is an essential element of a contract, the specific date or dates of shipment should be stated in the order, thus making the time of shipment a material stipulation of the contract. Section 1. Deliveries and acceptances of shipments under this code are subject to the following contingencies: Fires, floods, strikes, delays of carriers, or acts of God, or other conditions beyond the control of the contracting parties. Sec. 2. A claim for relief arising from the operation of the foregoing contingency clause, by either party, must be made in good faith, and must be supported by satisfactory evidence that the failure to discharge contractual obligations is due, and only due, to the operation of the contingency upon which the claim is based or other conditions beyond the control of the contracting parties. ARTICLE IX. FREIGHT CHARGES Section 1. The term "F.O.B. destination" or "Freight allowed to destination," includes only the lawful line haul charge in effect on date of quotation. Sec. 2. Unless otherwise stipulated, all switching charges, demurrage and other terminal charges, and all tax on freight and duty assessed on goods shall be paid by buyer unless any of these charges result from negligence on the part of the seller in not conforming to the shipping instructions contained in order, in which event the seller shall assume payment of charges that have accrued by reason of his neglect. Sec. 3. When price delivered at destination is agreed upon, the seller assumes all liability for any increase in freight rates, and receives the benefit arising from any reduction in freight rate. When price at shipping point is agreed upon, the buyer assumes all liability for any increase in freight rate and receives the benefit arising from any reduction in freight rate. Section 1. Lumber sold under this code is subject to the current grading rules of the National Hardwood Lumber Association. When the order provides for official National Inspection, the lumber is subject to inspection under the regulations which govern the Inspection Department of the National Hardwood Lumber Association. Sec. 2. When a shipment is received under an order which does not stipulate National Inspection, the buyer shall pay the freight charged against the shipment and unload the shipment unless it be plainly obvious that the contents do not substantially conform to the requirements of the order, or unless the carrying charges are in excess of the value of the shipment and buyer assumes responsibility for his judgment. In the event of either of these contingencies, the buyer shall immediately wire the seller that the shipment is subject to the disposition of the latter, stating conditions fully. Where these contingencies do not exist the buyer shall cause shipment to be inspected and measured, and if an unsatisfactory difference exists between the amount of seller's invoice covering the ship ment and the value of the shipment computed from the buyer's measurement and inspection, the buyer shall hold the entire shipment intact, and immediately report this difference with piece tally to the seller unless buyer and seller agree otherwise. Sec. 3. If it be impossible to adjust such difference by compromise, an inspector of the National Hardwood Lumber Association shall be called to inspect the stock under dispute. Sec. 4. Should this original official inspection result in not more than four per cent deductible difference in money value from the invoice, the buyer is to pay all expense of the inspection. If the deductible difference be more than four per cent money value, the seller is to pay for the inspection. Sec. 5. If the result of the inspection determines that there has been a substantial performance of the contract the buyer shall retain and pay for all of the stock that is up to grades ordered at the prices named in the order. The stock not up to grade shall remain the property of the shipper, and shall be subject to his disposition. Nothing in the foregoing provisions of this article shall be construed to abrogate the right of re-inspection of either buyer or seller. Section 1. If the credit of a buyer becomes impaired subsequent to the acceptance of an order by the seller, and upon request of the seller, the buyer fails to secure the payment for stock undelivered on the order, the seller may cancel the order or any unfilled portion thereof. Sec. 2. If it becomes apparent that the seller cannot make delivery of stock covered by an order, or if delivery of the stock on the order, or any portion thereof, is unreasonably delayed, the buyer may cancel the order or any unfilled portion thereof. Section 1. In order to adjust disputes arising between seller and buyer, in the application of the principles of this code, the following method for the arbitration of such controversies is supplied. Sec. 2. In all cases where arbitration is requested, the Secretary of the National Hardwood Lumber Association shall act as one of the arbitrators. The other arbitrator shall be the secretary of another lumber or lumber consuming organization. of which one party to the dispute is a member. If these two arbitrators shall disagree, they shall select a third arbitrator and a majority decision of these arbitrators shall be binding upon the parties to the dispute. NATIONAL-AMERICAN WHOLESALE LUMBER ASSOCIATION lowing: Temporary code, adopted March 1923, contains the fol PREAMBLE 1. The members of the National-American Wholesale Lumber Association subscribe to the following general rules to be applied in the conduct of their business: 2. We stand for the maintenance, by and for the wholesaler, of a high standard of Commercial Ethics and honor in the trade. 3. We believe in the principle of Arbitration. 4. We desire to promote the lumber business for the general good of the entire industry and the welfare of our country. 5. We believe in publicity, the education of all branches of the industry to the highest standards, and in the dissemination of the proper knowledge of the economic uses of each wood. We believe in fair dealing, honest grades and the proper fulfillment of all obligations and contracts. 6. 7. We recommend the guide by which this responsibility can be judged shall be the following Code of Ethics.... UNION ASSOCIATION OF LUMBER AND SASH Adopted 1912: CODE OF ETHICS FOR SALESMEN ORDER METHODS All orders taken by salesmen should be in writing, and should be acknowledged by the signature of the purchaser and the salesman, or by leaving with the purchaser a carbon copy of the order. All oral or telephone orders or conversations relative to orders, should be confirmed in writing as soon as possible. |