WASHINGTON - The USDA has filed an administrative action against Taylor Produce LLC, an Idaho-based company, under the Perishable Agricultural Commodities Act (PACA).
While acting as a growers’ agent, Taylor Produce LLC allegedly failed to remit to nine growers in the amount of $3,943,926 for 605,492 lots of produce it purchased in interstate and foreign commerce from June 2013 through December 2013, according to a USDA press release.
Taylor Produce LLC will have an opportunity to request a hearing. Should the USDA find that the company committed repeated and flagrant violations, it would be barred from the produce industry for two years. Its principals could not be employed by or affiliated with any PACA licensee for one year and then only with the posting of a USDA-approved surety bond.
In the past three years, the USDA resolved approximately 4,250 PACA claims involving more than $77 million. Individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders may not be employed by or affiliated with any PACA licensee without the approval of the USDA. The Agricultural Marketing Service (AMS), PACA Division, regulates fair trading practices of produce businesses operating subject to PACA.
