SECTIONS 55741-55745 - California Statutes

FOOD AND AGRICULTURAL CODE

SECTION 55741-55745

55741. The department, upon its own motion, may, or upon the
verified complaint of any interested party and within 30 days of the
filing of that complaint, shall, commence to investigate, examine, or
inspect any of the following:
(a) A transaction that involves the failure of the processor to
make payment for any farm product within the time that is specified
for payment in the contract of sale and purchase between the producer
and the processor, in accordance with the terms of the contract or
in accordance with this chapter.
(b) A transaction that involves the failure of a processor who
contracts to harvest a producer's crop to fulfill the terms of the
contract.
(c) A charge that a processor may be insolvent or in an unsound
financial condition.

55742. Except as otherwise provided in Section 55743 or 55744, if
the complaint is a bona fide dispute that involves any of the
following, the department has no jurisdiction to act upon the
complaint if the processor or complainant within 10 days after
receiving notice of the filing of the verified complaint has notified
the department of his or her election to submit the dispute to
alternative dispute resolution procedures in accordance with the
provisions of a written contract:
(a) The rejection of any farm product.
(b) The failure or refusal to accept and pay for any farm product
that is bought or contracted to be bought from a producer by a
processor.
(c) The failure or refusal by the processor to furnish or provide
boxes or other containers, or hauling, harvesting, or any other
service that is contracted to be done by the processor in connection
with the acceptance, harvesting, or other handling of the farm
product.
(d) The terms and conditions of the written contract.

55743. The jurisdiction that is otherwise reserved to the
department in this chapter, however, is restored for the purposes of
this chapter if the authorities responsible for the alternative
dispute resolution procedures, without reasonable cause, fail,
refuse, or neglect to adjudicate the matter of dispute within 90 days
from the date of the notification to the department.

55744. The department also has jurisdiction over any such complaint
or dispute if the processor has failed to perform in accordance with
any alternative dispute resolution procedure award that is made in
accordance with the terms of the written contract.

55745. Any verified complaint filed with the department pursuant to
this chapter shall be filed not later than nine months from the date
a complete account of sales was due. This period, however, does not
include the length of time it takes to secure a written letter of
denial from the federal agencies responsible for administering the
federal Packers and Stockyards Act, 1921 (7 U.S.C. Sec. 181, et seq.)
or the federal Perishable Agricultural Commodities Act, 1930 (7
U.S.C. Sec. 499a et seq.).