Posts By: Bryan Nickerson
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Documentation of Temperatures at Origin, In-transit and at Destination are fundamental best practices
Here at Western Growers Trade Practices, we encourage shippers to embrace a culture of best practices by putting in place every day procedures and protocols. As part of that mantra, we preach to document, document, and document. As a shipper, we know you strive every day to fulfill your customers’ expectations, on every sales transaction. ...
Deciphering the Boundary Lines: PACA Jurisdiction
Most shippers understand that goods must be sold in or in contemplation of interstate commerce for PACA to have jurisdiction. However, a common misconception is that fresh or frozen produce must cross state lines to qualify as being sold in or in contemplation of interstate commerce. That is not always the case. In Steve Almquist ...
Trust But Verify: Get That 2nd Opinion on Problem Loads
As a produce shipper with a reported problem load at contract destination, you shouldn’t solely depend on your buyer informing you that he or she has already obtained an opinion from the Perishable Agricultural Commodities Act (PACA) regional office that it was a “shipper problem.” Many times, buyers will contact PACA for advice and an ...
Shipper Feedback Requested on PACA Modernization
The Perishable Agricultural Commodities Act (PACA), enacted in 1930, is a law that authorizes the regulation of the buying and selling of fresh and frozen fruits and vegetables in interstate and foreign commerce while suppressing unfair and fraudulent trading practices. While many aspects within the produce industry have evolved, e.g., farming practices, food safety integration, ...
How to manage rejected product? Maximize your return and properly document your claim for damages
Rejections at destination are inevitable, and the issues surrounding them are never pleasant. So you need to be prepared to take the emotion out of the situation, have your product moved in a timely manner and have it sold for the account of whom it may concern to maximize the return and protect your rights ...
Verbal and written contracts MUST have exact language to protect the shipper due to a failure to be able to harvest and ship
“I have a number of loads to ship in the coming week(s) with confirmed prices and P.O. numbers exchanged, however, due to the weather conditions I do not have product available to fulfill my commitment with the buyer. The buyer is threatening to buy against my account if I don’t supply him with the product ...
Shippers: Don’t Accept Buyer’s Photos as Proof of Product Condition
Using a smartphone, buyers can instantly text or email you photos of fruits or vegetables you sold upon arrival, ostensibly giving you an indisputable snapshot of the quality and condition of your product. While such images can be informative, they should not take the place of securing a USDA or Canadian Food Inspection Agency inspection ...
Best practices for determining and commencing a claim
As the saying goes, “Timing is everything” and that continues to ring true within your ability to quickly identify and pursue a claim against your buyer. The timing to commence a potential claim is not debatable; it should be when you first become aware of a problem with a shipment. It could be either a ...
Change is in the air: USDA inspection fee increase and WGA’s Matt McInerney retires
As we each work diligently within our respective operations to adopt new technologies and enhance best practices to make our lives easier, the U.S. Department of Agriculture (USDA) has been focused with the same approach in mind. With that being said, USDA has recently announced that the Specialty Crop Program will be raising inspection fees ...
Shipper Rights When a Breach of Contract is Claimed
What are a shipper’s rights when a buyer unloads and accepts their produce at the contract destination, but claims a breach of contract? It is imperative to remember these three facts: Once accepted (most commonly by the act of unloading) by an act of control, the buyer loses the right to subsequently reject and/or demand the ...
Export 101: HEED CAUTION with Non-Government (Private) Inspection and Survey Reports
“We are a shipper that exports product overseas and to Canada. We sometimes receive survey reports or inspections from the ocean carrier or other third party abroad. Will these private inspections hold up in a PACA action?” Third party surveys or non-government inspections must meet certain criteria in order to be considered as evidence of ...
Determining liability through the optics of PACA
As much as we’d wish it were true, not every disputed situation is black and white coupled with a clear cut remedied path to make us whole again. While we have the ability to review PACA precedent decisions to review outcomes of historic rulings and determine our likelihood of prevailing in certain situations, there still ...
Do Not Waive Your PACA Trust Rights
Due to coronavirus-related market disruptions, many of our grower and shipper members have received requests from their buyers – largely in the foodservice sector – to extend payment terms beyond 30 days. Be advised that extending payment terms beyond 30 days BEFORE the initial 30-day payment period has expired will waive your PACA Trust rights. ...
What is My Buyer’s “Rejection Window”?
In most scenarios, when a load of produce arrives at its destination by truck showing signs of a breach of contract related to quality and/or condition issues, the receiver has the right to reject the load if the product has not yet been unloaded from the carrier. However, the receiver must first obtain a USDA ...
Be Advised of USDA’s Inspection Rate Increase
The USDA’s Agricultural Marketing Service (AMS) recently announced it will be increasing inspection fees for fresh produce’s quality and condition, along with audit verification services. The rate increases, which were recently published in a Federal Register notice, took effect yesterday October 1st. Quality and condition federal inspection fees will be increasing ten percent, from $191…
Standard Operating Procedures To Help You Get Paid (Part 1)
Here at Western Growers Trade Practices, we encourage shippers to embrace a culture of best practices by putting in place every day procedures and protocols. As part of that mantra, I am pleased to provide a two-part guest blog from Mr. Bart Botta with the law firm of Rynn & Janowsky, LLP. Mr. Botta is ...
FOB shippers are NOT required to request a Federal Inspection
In today’s produce culture, it may seem and be proven that the pendulum is swinging more in the retailers favor than it is with keeping an equitable, harmonious playing field for both sellers and buyers of fresh/frozen commodities. That does not mean retailers, food service, wholesalers and other buyers have carte blanche to reject product ...
Ensure Payment Term Consistency Across All Sales Documentation
As a produce salesperson or manager in accounting for your company, I can appreciate the many daily challenges you face that tug and pull for your priority and attention. With that said, the very last thing you want to deal with is payment term inconsistencies within your sales documentation that may put your company in ...
Secure a Victory in a Potential Temperature Claim With Having All The Proper Documentation
In a non-COVID world on a monthly basis, I conduct sales workshops/seminars for our regular members of Western Growers to discuss and educate on various claim issues that a sales organization would encounter in their day to day experience on the sales desk. One question that is commonly raised pertains to the importance of evidence ...
Good Delivery Guidelines: PACA v DRC
It is more imperative than ever for the modern produce sales associate to build out their toolbox of resources, especially for when a problem arises and dispute objectivity is required, either domestically or in Canada. The two primary adjudication services to be aware of who handle fresh and frozen fruit and vegetable disputes are the ...