Preserving Trust Benefits under the Packers and Stockyards Act

Docket Number: AMS-FTPP-21-0015
Effective Date: July 24, 2023

Summary

This final rule revises the Packers and Stockyards regulations to provide instructions for livestock sellers who desire to preserve their interest in the statutory livestock dealer trust under the Packers and Stockyards Act (Act). This rule adds procedures and timeframes for a livestock seller to notify the livestock dealer and the Secretary of Agriculture (Secretary) that the seller has not received full payment for livestock purchased by the dealer and that the seller intends to preserve its trust interests. Additionally, this rule provides that livestock dealers with average annual purchases over $100,000 are required to obtain written acknowledgement from livestock sellers that trust benefits do not pertain to credit sales. This rule provides further that livestock dealers are required to maintain records related to credit sales. These revisions to the Packers and Stockyards regulations reflect recent amendments to the Act that provide for a livestock dealer trust.

Contact

S. Brett Offutt, Chief Legal Officer/Policy Advisor; Packers and Stockyards Division, USDA AMS Fair Trade Practices Program; phone: 202-690-4355; or email: S.Brett.Offutt@ams.usda.gov.

Supporting Documents