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FEDERAL REGISTER, livery to the destination to whch such shipment is actually delivered and for the use to which it is actually applied.
b The coal shipped pursuant to this order is sold and purchased upon the following conditions:
1 I f the coal is sold for consump tion, it shall be used in the plant or plants named herein and for the use stated herein;
2 In case of diversion by the buyer to a use other than that stated herein, the buyer shall notify the seller in writ ing and the seller shall charge and the buyer shall pay not less than the ap plicable minimum price for such coal at the time of diversion for the use to which it is actually applied.
c If shipments called for by this order are not completed within thirty 30 days from the effective date of this order, the unfilled portion of the order shall not be delivered.
3. In any case where a sale is made by a sales agent of a Code Member, such sales agent shall not exercise the rights of the seller as defined in Item 2 a of this section without first securing the consent of his Code Member principal to be confirmed in writing.
4. All the terms and conditions of a sale of coal must be fully and expressly set forth either in the order or in the written confirmation thereon and such order or written confirmation thereof shall specifically contain all the terms required by Rule 1 of Section V I of these Marketing R u l e s and Regulations.
Within ten 10 business days after the date of the making of the spot order or date of the written confirmation thereof, the Code Member or his sales agent shall file with the Statistical Bureau or Bu reaus a copy of such spot order or confirmation. Any modification of a spot order must also be made in writing and filed with the Statistical Bureau or Bureaus in the same manner.
5. All spot orders for the sale of coal, the minimum price of which is subject to seasonal increase, shall provide that the price payable thereunder shall not be less than the price to be in effect at time of delivery as established at the time of the making of the spot order.
Section V IContracts Upon the revocation or suspension of rule 1 of Section IV of these Marketing Rules and Regulations, Code Members or sales agents of Code Members may thereafter enter into contracts for the sale and delivery of coal upon the follow ing terms and conditions:
1. Every contract shall be in writing and shall express the entire agreement between the parties. The contract shall clearly state the date of execution, the effective date, the expiration date, the price agreed upon, the terms of payment, the size and grade of coal, the number of cars or tonnage to be shipped, the name of the Code Member and the name of
Wednesday, February 8, 1939

the originating mine, and, where the coal is purchased for consumption, the use to which the coal is to be applied. Con tracts may also be made either a call ing for a buyers entire requirements or a stated percentage of his requirements, showing the maximum tonnage to be shipped thereunder, or b covering a buyers requirements and stating the esti mated tonnage to be shipped with an allowable overshipment of not exceeding ten 10 per cent of such estimated tonnage.
The provisions o f the rule stated in the foregoing paragraph relating to quantity shall not apply to contracts made with agencies of the Federal, State or local governments in case the terms required to be submitted in a bid or offer for such contract are in conflict with such provisions.
2. No contract for the sale of coal shall provide for deliveries to commence at a date later than ninety 90 days from the date upon which such contract is entered into.
3. No contract shall be made at a price below the applicable minimum price as established by the Coal Commission at the time of the making of the contract for the coal to be sold thereunder, and no coal may be delivered upon a contract at a price below such applicable minimum price.
4. AH contracts fo r the sale of coal the minimum price o f which is subject to seasonal increase, shall provide that the price payable thereunder shall not be less than the price to be in effect at the time of delivery as established at the t.imA
of the making of the contract.
5. No contract shall provide for deliv ery over a period in excess of twelve 12
months except by special permission and approval of the Coal Commission, upon a showing of the necessity of mooting the long term contract competition of oil, gas, or other fuels or forms of power, or fo r such other reasons as the Commis sion may deem appropriate in order to further the effectual administration of the Act.
6. Any change in the terms of a con tract, not in violation of these Rules and Regulations, shall be evidenced by a written agreement and shall conform to all the requirements set forth in these Rules and Regulations.
7. A report of every commitment shall be filed by the Code Member or his sales agent with the Statistical Bureau or Bu reaus, within fifteen 15 business days from the date o f the making o f the agreement. Such report shall set forth all the terms and conditions o f the com mitment. A true copy of every contract and of any agreement for modification thereof shall be filed with the Statistical Bureau within fifteen 15 business days from the date of execution of such con tract or agreement for modification:
Provided, however that a report of the commitment need not be filed if a copy of the contract is filed within fifteen 15
business days.

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8. Each contract shall contain the fol lowing provisions, the meaning and effect of which shall not be changed or altered by any other provision of the contract:
a This contract and the perform ance of all provisions thereof are ex pressly subject to the Bituminous Coal Act of 1937 and the proper orders and regulations issued thereunder by the Na tional Bituminous Coal Commission.
b No shipment consigned to any destination point may be reconsigned or diverted without the consent of the seller to be confirmed in writing. In case of any reconsignment or diversion, the seller shall charge and the buyer shall pay not less than the applicable mini mum price for such coal at the time of the reconsignment or diversion for de livery to the destination to which such shipment is actually delivered and for the use to which it is actually applied.
c The coal shipped pursuant to this contract is sold and purchased upon the following conditions:
1 I f the coal is sold fo r consump tion, it shall be used in the plant or plants named herein and for th e use stated herein;
a In case of diversion by the buyer to a use other than that stated herein, the buyer shall notify the seller in writ ing and the seller shall charge and the buyer shall pay not less than the ap plicable minimum price for such coal at the time of diversion for the use to which it is actually applied.
9. In any case where a contract is made by a sales agent of a Code Member, such sales agent shall not exercise the rights of the seller as defined in item 8 b o f this section without first se curing the consent o f the Code Member producing such coal to be confirmed in writing.
10. The making o f a contract for the sale of coal at a price below the mini mum or above the maximum therefor established by the Commission at the time of the making of the contract shall constitute a violation o f the code and such contract shall be invalid and unenforceable.
11. No contract shall be made for the sale of coal for delivery after the expira tion date of the Act at a price below the minimum or above the maximum there for established by the Coal Commission and in effect at the time of making the contract.
Section V II Terms of Payment 1. The price and fair trade practice provisions of the Act shall not be evaded or violated by a Code Member, or his sales agent, through the use of terms of payment, and in no instance shall terms of payment be more favorable than the following:
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On rail or truck shipments the date of payment shall be on or before the 10th day of the month following shipment.