USDA Restricts PACA Violators in Florida and Texas From Operating in the Produce Industry

WASHINGTON, DC - The U.S. Department of Agriculture (USDA) has imposed sanctions on three produce businesses for failing to meet contractual obligations to the sellers of produce they purchased and for failing to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA). These sanctions include suspending the businesses’ PACA licenses and barring the businesses’ principal operators from engaging in PACA-licensed business or other activities without USDA approval.

The following businesses and individuals are currently restricted from operating in the produce industry:

• Groserylist LLC, operating out of Tamarac, Fla., for failing to pay a $115,812 award in favor of a California seller. As of the issuance date of the reparation order, Rory Richards was listed as the sole member of the business.
• From The Garden LLC, operating out of Pharr, Texas, for failing to pay a $74,401 award in favor of a California seller. As of the issuance date of the reparation order, Maria Pressley, Rito Lomeli and Alejandro Pena were listed as the members of the business.
• Potato Specialty Co., operating out of Lubbock, Texas, for failing to pay a $16,386 award in favor of a Texas seller. As of the issuance date of the reparation order, Larry Ezell and Angela Taylor were listed as the officers, directors, and major shareholders of the business.

PACA provides an administrative forum to handle disputes involving produce transactions; this may result in USDA’s issuance of a reparation order that requires damages to be paid by those not meeting their contractual obligations in buying and selling fresh and frozen fruits and vegetables. USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued. Those individuals, including sole proprietors, partners, members, managers, officers, directors or major stockholders, may not be employed by or affiliated with any PACA licensee without USDA approval.

By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.

For more information, contact Penny Robinson-Landrigan, Chief, Dispute Resolution Branch, at (202) 720-2890, or [email protected].