§ 228b. Prompt payment for purchase of livestock

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1921

   Pub. L. 94–410 § 7 · 90 Stat. 1249

   Enacted · 7 U.S.C. § 228b

   Aug. 15, 1921, ch. 64, title IV, § 409, as added Pub. L. 94–410, § 7, Sept. 13, 1976, 90 Stat. 1250

   Source evidence

   Code source credit
   Aug. 15, 1921, ch. 64, title IV, § 409, as added Pub. L. 94–410, § 7, Sept. 13, 1976, 90 Stat. 1250

   Enacted provision · exact public law section
   Sec. 7. The Packers and Stockyards Act, 1921, as amended, is further amended by adding after section 408 (7 U.S.C. 229) a new section 409 to read as follows: “Sec. 409. (a) Each packer, market agency, or dealer purchasing livestock shall, before the close of the next business day following the purchase of livestock and transfer of possession thereof, deliver to the seller or his duly authorized representative the full amount of the purchase price: Provided,That each packer, market agency, or dealer purchasing livestock for slaughter shall, before the close of the next business day following purchase of livestock and transfer of possession thereof, actually deliver at the point of transfer of possession to the seller or his duly authorized representative a check or shall wire transfer funds to the seller’s account for the full amount of the purchase price; or, in the case of a purchase on a carcass or ‘grade and yield’ basis, the purchaser shall make payment by check at the point of transfer of possession or shall wire transfer funds to the seller’s account for the full amount of the purchase price not later than the close of the first, business day following determination of the purchase price: Provided further,That if the seller or his duly authorized representative is not present to receive payment at the point of transfer of possession, as herein provided, the packer, market agency or dealer shall wire transfer funds or place a check in the United States mail for the full amount of the purchase price, properly addressed to the seller, within the time limits specified in tins subsection, such action being deemed compliance with the requirement for prompt payment. “(b) Notwithstanding the provisions of subsection (a) of this Written agreement. section and subject to such terms and conditions as the Secretary may prescribe, the parties to the purchase and sale of livestock may expressly agree in writing, before such purchase or sale, to effect payment, in a manner other than that required in subsection (a). Any Disclosure. such agreement shall be disclosed in the records of any market agency or dealer selling the livestock, and in the purchaser’s records and on the accounts or other documents issued by the purchaser relating to the transaction. “(c) Any delay or attempt to delay by a market agency, dealer, Unfair practice. or packer purchasing livestock, the collection of funds as herein provided, or otherwise for the purpose of or resulting in extending the normal period of payment for such livestock shall be considered an ‘unfair practice’ in violation of this Act. Nothing in this section shall be deemed to limit the meaning of the term ‘unfair practice’ as used in this Act.”.

2. 2016

   Clarification of Treatment of Electronic Sales of Livestock Act of 2016

   Pub. L. 114–237 § 3 · 130 Stat. 970

   1. Substituted · 7 U.S.C. § 228b(a)

      Pub. L. 114–237, § 3, substituted “shall transfer funds for the full amount of the purchase price to the account of the seller by wire, electronic funds transfer, or any other expeditious method determined appropriate by the Secretary” for “shall wire transfer funds to the seller’s account” in second proviso

   2. Substituted · 7 U.S.C. § 228b(a)

      Pub. L. 114–237, § 3, substituted “or dealer shall transfer funds for the full amount of the purchase price by wire, electronic funds transfer, or any other expeditious method determined appropriate by the Secretary” for “or dealer shall wire transfer funds” in second proviso

   Source evidence

   Code amendment note
   Subsec. (a). Pub. L. 114–237, § 3, substituted “shall transfer funds for the full amount of the purchase price to the account of the seller by wire, electronic funds transfer, or any other expeditious method determined appropriate by the Secretary” for “shall wire transfer funds to the seller’s account” in two places in first proviso and “or dealer shall transfer funds for the full amount of the purchase price by wire, electronic funds transfer, or any other expeditious method determined appropriate by the Secretary” for “or dealer shall wire transfer funds” in second proviso.

   Enacted provision · exact public law section
   SEC. 3. METHODS TO TRANSFER FUNDS.   Section 409(a) of the Packers and Stockyards Act, 1921 (7 U.S.C. 228b(a)) is amended— (1) in the first proviso, by striking “shall wire transfer funds to the seller’s account” each place it appears and inserting “shall transfer funds for the full amount of the purchase price to the account of the seller by wire, electronic funds transfer, or any other expeditious method determined appropriate by the Secretary”; and (2) in the second proviso, by striking “or dealer shall wire transfer funds” and inserting “or dealer shall transfer funds for the full amount of the purchase price by wire, electronic funds transfer, or any other expeditious method determined appropriate by the Secretary”.

3 of 3 references resolved to an enrolled provision