WASHINGTON, Dec. 23, 2020 – The U.S. Department of Agriculture (USDA) reached a consent decision and order against 7 S Packing, LLC, dba Texas Packing Company (7 S Packing), San Angelo, Texas, on December 2, 2020, for alleged violations of the Packers and Stockyards (P&S) Act.
An investigation revealed that 7 S Packing failed to pay the full purchase price for livestock purchases totaling $5,544,092 from March 1 through December 31, 2018. Additionally, 7 S Packing failed to timely pay for 466 head of livestock, totaling $262,147 from January 14, through January 30, 2019.
Under the consent decision and order, 7 S Packing is ordered to cease and desist from failing to pay, when due, the full purchase price of livestock for any future livestock purchases and is assessed a civil penalty in the amount of $797,975. The civil penalty, however, will be reducible dollar-for-dollar by restitution made by 7 S Packing to their unpaid livestock suppliers. A copy of the full Consent Decision is available.
The P&S Act requires subject entities to issue the full payment for livestock by the close of the first business day following purchase and transfer of possession. Failure to timely pay for livestock purchases and failure to issue the full payment for purchases is an unfair trade practice and a violation of the P&S Act.
The P&S Act is a fair trade practice and payment protection law that promotes fair and competitive marketing environments for the livestock, meat, and poultry industries.
For further information about the Packers and Stockyards Act, contact Jeana Harbison, Packers and Stockyards Division, at (202) 720-7051, or by email at Jeana.M.Harbison@usda.gov.
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