The
National (Industrial) Recovery Act of
1933 established codes of fair competition. Firms who voluntarily complied could display the
Blue Eagle[?]. The law also created a
National Recovery Administration[?] to promote cooperation among corporations. The law was overturned on
May 27,
1935 when the
Supreme Court of the United States announced its finding in
Schecter v. U.S.[?] (sometimes called the
sick chicken case). The Court stated that the Act invaded states authority, unreasonably stretched the
commerce clause[?], and gave legislative powers to code-makers in the
executive branch.