7 U.S.C. § 608b — Marketing agreements; exemption from

Page 459 TITLE 7—AGRICULTURE § 608b United States attorneys, in their respective dis- tricts, under the directions of the Attorney Gen- eral, to institute proceedings to enforce the remedies and to collect the forfeitures provided for in, or pursuant to this chapter. Whenever the Secretary, or such officer or employee of the De- partment of Agriculture as he may designate for the purpose, has reason to believe that any han- dler has violated, or is violating, the provisions of any order or amendment thereto issued pur- suant to this chapter, the Secretary shall have power to institute an investigation and, after due notice to such handler, to conduct a hearing in order to determine the facts for the purpose of referring the matter to the Attorney General for appropriate action. (8) Cumulative remedies The remedies provided for in this section shall be in addition to, and not exclusive of, any of the remedies or penalties provided for elsewhere in this chapter or now or hereafter existing at law or in equity. (9) ‘‘Person’’ defined The term ‘‘person’’ as used in this chapter in- cludes an individual, partnership, corporation, association, and any other business unit. (May 12, 1933, ch. 25, title I, § 8a, as added May 9, 1934, ch. 263, § 4, 48 Stat. 672; amended Aug. 24, 1935, ch. 641, §§ 8–10, 49 Stat. 762; June 3, 1937, ch. 296, §§ 1, 2(c), 50 Stat. 246, 247; June 25, 1948, ch. 646, § 1, 62 Stat. 909; Pub. L. 87–128, title I, § 141(2), Aug. 8, 1961, 75 Stat. 304.) Editorial Notes CODIFICATION Provisions of subsecs. (1) to (4), relating to establish- ment, regulation and determination of sugar quotas, agreements limiting or regulating child labor, wages, and adjustment of disputes in the sugar industry, and prescribing penalties for violations thereof, were omit- ted since they ceased to apply on Sept. 1, 1937, in ac- cordance with the provisions of section 510 of the Sugar Act of 1937, act Sept. 1, 1937, ch. 898, 50 Stat. 916. Sec- tion 510 of act Sept. 1, 1937, provided in part that: ‘‘The provisions of the Agricultural Adjustment Act, as amended [this chapter], shall cease to apply to sugar upon the enactment of this Act [Sept. 1, 1937]’’. Provi- sions similar to former subsecs. (1) to (4) were con- tained in the Sugar Act of 1948, section 1100 et seq. of this title, which expired on Dec. 31, 1974. AMENDMENTS 1961—Subsec. (5). Pub. L. 87–128 struck out ‘‘willfully’’ after ‘‘Any person’’ and substituted provision for for- feiture of a sum equal to the value of the excess at the current market price for the commodity at the time of violation for provision for forfeiture of a sum equal to three times the current market value of the excess. 1937—Subsec. (6). Act June 3, 1937, § 2(c), struck out ‘‘the provisions of this section, or of’’. 1935—Subsec. (1). Act Aug. 24, 1935, § 8, substituted ‘‘persons engaged in handling’’ for ‘‘handlers’’ wherever appearing; struck out ‘‘or in competition with,’’ in par. (B); inserted ‘‘directly’’ before ‘‘to burden’’ in par. (B); and struck out ‘‘in any way’’ in par. (B). Subsec. (6). Act Aug. 24, 1935, § 9, inserted ‘‘or’’ after ‘‘regulation,’’ and struck out ‘‘or license’’. Subsec. (7). Act Aug. 24, 1935, § 10, inserted last sen- tence. Statutory Notes and Related Subsidiaries CHANGE OF NAME Act June 25, 1948, eff. Sept. 1, 1948, substituted ‘‘United States attorneys’’ for ‘‘district attorneys’’ in subsec. (7). See section 541 of Title 28, Judiciary and Ju- dicial Procedure, and Historical and Revision Notes thereunder. VALIDITY OF SECTION AFFIRMED Act June 3, 1937, affirmed and validated, and reen- acted without change the provisions of subsections (5), (6), (7), (8), and (9) of this section, except for the amend- ment to subsection (6) by section 2 of the act. See note set out under section 601 of this title. Executive Documents ADMISSION OF HAWAII AS STATE Admission of Hawaii into the Union was accom- plished Aug. 21, 1959, on issuance of Proc. No. 3309, Aug. 21, 1959, 24 F.R. 6868, 73 Stat. c74, as required by sections 1 and 7(c) of Pub. L. 86–3, Mar. 18, 1959, 73 Stat. 4, set out as notes preceding 491 of Title 48, Territories and Insular Possessions. § 608a–1. Repealed. Sept. 1, 1937, ch. 898, title V, § 510, 50 Stat. 916 Section, act June 19, 1936, ch. 612, § 2, 49 Stat. 1539, re- lated to additional provisions regulating the sugar quotas. § 608b. Marketing agreements; exemption from anti-trust laws; inspection requirements for handlers not subject to agreements (a) In order to effectuate the declared policy of this chapter, the Secretary of Agriculture shall have the power, after due notice and oppor- tunity for hearing, to enter into marketing agreements with processors, producers, associa- tions of producers, and others engaged in the handling of any agricultural commodity or prod- uct thereof, only with respect to such handling as is in the current of interstate or foreign com- merce or which directly burdens, obstructs, or affects, interstate or foreign commerce in such commodity or product thereof. The making of any such agreement shall not be held to be in violation of any of the antitrust laws of the United States, and any such agreement shall be deemed to be lawful: Provided, That no such agreement shall remain in force after the termi- nation of this chapter. (b)(1) If an agreement with the Secretary is in effect with respect to peanuts pursuant to this section— (A) all peanuts handled by persons who have not entered into such an agreement with the Secretary shall be subject to inspection to the same extent and manner as is required by such agreement; (B) no such peanuts shall be sold or other- wise disposed of for human consumption if such peanuts fail to meet the quality require- ments of such agreement; and (C) any assessment (except with respect to any assessment for the indemnification of losses on rejected peanuts) imposed under the agreement shall— (i) apply to peanut handlers (as defined by the Secretary) who have not entered into such an agreement with the Secretary in ad- Page 460 TITLE 7—AGRICULTURE § 608c 1 See References in Text note below. dition to those handlers who have entered into the agreement; and (ii) be paid to the Secretary. (2) Violation of this subsection by a person who has not entered into such an agreement shall result in the assessment by the Secretary of a penalty equal to 140 percent of the support price for quota peanuts multiplied by the quan- tity of peanuts sold or disposed of in violation of subsection (b)(1)(B), as determined under section 1445c–3 1 of this title, for the marketing year for the crop with respect to which such violation occurs. (May 12, 1933, ch. 25, title I, § 8b, formerly § 8(2), 48 Stat. 34; Apr. 7, 1934, ch. 103, § 7, 48 Stat. 528; renumbered and amended Aug. 24, 1935, ch. 641, § 4, 49 Stat. 753; June 3, 1937, ch. 296, § 1, 50 Stat. 246; June 30, 1947, ch. 166, title II, § 206(d), 61 Stat. 208; Pub. L. 101–220, § 4, Dec. 12, 1989, 103 Stat. 1878; Pub. L. 102–237, title I, § 115(1), Dec. 13, 1991, 105 Stat. 1840; Pub. L. 103–66, title I, § 1109(b), Aug. 10, 1993, 107 Stat. 326.) Editorial Notes REFERENCES IN TEXT Section 1445c–3 of this title, referred to in subsec. (b)(2), was repealed by Pub. L. 104–127, title I, § 171(b)(2)(E), Apr. 4, 1996, 110 Stat. 938. CODIFICATION The provisions appearing in subsec. (a) of this section except the first sentence, were originally enacted as part of section 8(2) of act May 12, 1933, and formerly ap- peared as section 608(2) of this title. AMENDMENTS 1993—Subsec. (b)(1)(C). Pub. L. 103–66 added subpar. (C). 1991—Subsec. (b)(2). Pub. L. 102–237 made technical amendment to reference to section 1445c–3 of this title involving corresponding provisions of original Act. 1989—Pub. L. 101–220 designated existing provisions as subsec. (a) and added subsec. (b). 1947—Act June 30, 1947, repealed provisions providing for loans from Reconstruction Finance Corporation. 1935—Act Aug. 24, 1935, designated subsection 2 of sec- tion 8 of act May 12, 1933, as section 8b and amended first sentence generally. 1934—Act Apr. 7, 1934, empowered Secretary of Agri- culture to enter into marketing agreements with indi- vidual producers. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1989 AMENDMENT Pub. L. 101–220, § 4(c), Dec. 12, 1989, 103 Stat. 1878, pro- vided that: ‘‘The amendment made by this section [amending this section] shall be effective with respect to the 1990 and subsequent crops of peanuts.’’ VALIDITY OF SECTION AFFIRMED Act June 3, 1937, affirmed and validated, and reen- acted without change the provisions of this section. See note set out under section 601 of this title. § 608c. Orders (1) Issuance by Secretary The Secretary of Agriculture shall, subject to the provisions of this section, issue, and from time to time amend, orders applicable to proc- essors, associations of producers, and others en- gaged in the handling of any agricultural com- modity or product thereof specified in sub- section (2) of this section. Such persons are re- ferred to in this chapter as ‘‘handlers’’. Such or- ders shall regulate, in the manner hereinafter in this section provided, only such handling of such agricultural commodity, or product thereof, as is in the current of interstate or foreign com- merce, or which directly burdens, obstructs, or affects, interstate or foreign commerce in such commodity or product thereof. In carrying out this section, the Secretary shall complete all in- formal rulemaking actions necessary to respond to recommendations submitted by administra- tive committees for such orders as expeditiously as possible, but not more than 45 days (to the ex- tent practicable) after submission of the com- mittee recommendations. The Secretary is au- thorized to implement a producer allotment pro- gram and a handler withholding program under the cranberry marketing order in the same crop year through informal rulemaking based on a recommendation and supporting economic anal- ysis submitted by the Cranberry Marketing Committee. Such recommendation and analysis shall be submitted by the Committee no later than March 1 of each year. The Secretary shall establish time frames for each office and agency within the Department of Agriculture to con- sider the committee recommendations. (2) Commodities to which applicable Orders issued pursuant to this section shall be applicable only to (A) the following agricultural commodities and the products thereof (except canned or frozen pears, grapefruit, cherries, ap- ples, or cranberries, the products of naval stores, and the products of honeybees), or to any regional, or market classification of any such commodity or product: Milk, fruits (including filberts, almonds, pecans and walnuts but not in- cluding apples, other than apples produced in the States of Washington, Oregon, Idaho, New York, Michigan, Maryland, New Jersey, Indiana, California, Maine, Vermont, New Hampshire, Rhode Island, Massachusetts, Connecticut, Colo- rado, Utah, New Mexico, Illinois, and Ohio, and not including fruits for canning or freezing other than pears, olives, grapefruit, cherries, caneberries (including raspberries, blackberries, and loganberries), cranberries, and apples pro- duced in the States named above except Wash- ington, Oregon, and Idaho), tobacco, vegetables (not including vegetables, other than asparagus, for canning or freezing and not including pota- toes for canning, freezing, or other processing), hops, honeybees and naval stores as included in the Naval Stores Act [7 U.S.C. 91 et seq.] and standards established thereunder (including re- fined or partially refined oleoresin): Provided, That no order issued pursuant to this section shall be effective as to any grapefruit for can- ning or freezing unless the Secretary of Agri- culture determines, in addition to other findings and determinations required by this chapter, that the issuance of such order is approved or fa- vored by the processors who, during a represent- ative period determined by the Secretary, have been engaged in canning or freezing such com- modity for market and have canned or frozen for