USDA Files Action Against Taylor Produce LLC in Idaho for PACA Violations

WASHINGTON – The U.S. Department of Agriculture (USDA) has filed an administrative action under the Perishable Agricultural Commodities Act (PACA) against Taylor Produce LLC. The company, operating from Idaho, while acting as a growers’ agent 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. Taylor Produce LLC will have an opportunity to request a hearing. Should USDA find that the company committed repeated and flagrant violations, it would be barred from the produce industry for two years. Furthermore, 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. The Agricultural Marketing Service (AMS), PACA Division, regulates fair trading practices of produce companies operating subject to PACA, which includes buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry. All oversight of actions related to PACA are conducted by AMS, an agency within the USDA. PACA establishes a code of good business conduct for the produce industry. Under it, all interstate traders in fresh and frozen fruits and vegetables must be licensed by USDA. USDA is authorized to suspend or revoke a trader’s license for violating the act. In the past three years, USDA resolved approximately 4,250 PACA claims involving more than $77 million. Our experts also assisted more than 7,000 callers with issues valued at approximately $11 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.