16-16-702 - Marketing contracts. - Utah Statutes

16-16-702. Marketing contracts.
(1) If a marketing contract provides for the sale of products, commodities, or goods to alimited cooperative association, the sale transfers title to the association upon delivery or at anyother specific time expressly provided by the contract.
(2) A marketing contract may:
(a) authorize a limited cooperative association to create an enforceable security interestin the products, commodities, or goods delivered; and
(b) allow the association to sell the products, commodities, or goods delivered and paythe sales price on a pooled or other basis after deducting selling costs, processing costs,overhead, expenses, and other charges.
(3) Some or all of the provisions of a marketing contract between a patron member and alimited cooperative association may be contained in the organic rules.

Enacted by Chapter 363, 2008 General Session