Agricultural Labor
Agricultural Law Weekly Review—week ending December 4, 2020
Dean Foods Bankruptcy: Dean Foods Bankruptcy Estate Threatens Dairy Producers with Lawsuits to Recoup Alleged “Preference” Payments
On November 24, 2020, a commercial collections law firm named ASK LLP, headquartered in St. Paul, Minnesota and hired to represent the Southern Foods Group, LLC formerly d/b/a Dean Foods (“Dean”) Chapter 11 bankruptcy estate, mailed demand letters asserting legal claims for the repayment of milk check proceeds against thousands of dairy producers (including cooperatives) throughout the United States. The claims seek the recovery of milk checks received from Dean within ninety days preceding Dean’s filing of bankruptcy (i.e. between August 14, […]
Agricultural Law Weekly Review—week ending November 6, 2020
Agricultural Labor: Department of Labor Modifies H2A Minimum Wage Calculation
On November 5, 2020, the U.S. Department of Labor’s (DOL) Employment and Training Administration published in the Federal Register a final rule titled “Adverse Effect Wage Rate Methodology for the Temporary Employment of H-2A Nonimmigrants in Non-Range Occupations in the United States” (85 FR 70445), which changes the calculation method of the Adverse Effect Wage Rate (AEWR), or the minimum wage for agricultural guest workers. Under the final rule, DOL will base the AEWR for field and livestock workers on the 2019 Farm Labor Survey (FLS) “average annual gross […]
Agricultural Law Weekly Review—week ending August 21, 2020
Agricultural Labor: H-2A Rule Extends Petition Filing Deadline
On August 20, 2020, the U.S. Department of Homeland Security (DHS) published in the Federal Register a temporary final rule titled, “Temporary Changes to Requirements Affecting H-2A Nonimmigrants Due To the COVID-19 National Emergency: Partial Extension of Certain Flexibilities” (85 FR 51304). The new rule impacts the April 20, 2020 temporary final rule (85 FR 21739) by extending the deadline for employees to file an extension of stay petition until December 17, 2020. Additionally, an employee may begin working for a new employer immediately once the petition is received by the […]
Agricultural Law Weekly Review—week ending July 24, 2020
Pesticides/Herbicides: California Appeals Court Affirms Jury Verdict that Bayer Liable for Glyphosate-Caused Cancer but Reduces Damages
On July 20, 2020, the California First Appellate District Court of Appeal issued an opinion affirming liability but reducing a state trial court’s 2018 jury verdict against Monsanto (purchased by Bayer in June 2018) in Johnson v. Monsanto, No. A155940. The appeals court affirmed the jury’s finding that Monsanto’s product caused Mr. Johnson’s non-Hodgkin’s lymphoma through nearly daily use of Round-Up while employed as a school district grounds manager but reduced the award as excessive, from $289.3 million ($39.3 million in compensatory […]
Agricultural Law Weekly Review—week ending July 3, 2020
COVID-19: Paycheck Protection Program Extended
On June 30 and July 1, 2020, the U.S. Senate and the U.S. House of Representatives respectively passed S.4116, which extends the June 30, 2020 Paycheck Protection Program application deadline to August 8, 2020. The bill awaits the President’s signature.
Crop Insurance: Notice of Loss Filing Requirements Eased
On July 2, 2020, the U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) announced several “flexibilities” for producers filing a Notice of Loss on both insured and uninsured crops for prevented planted acres and failed crops. RMA states that a Notice of Loss “can be filed before completing the crop acreage report,” […]
Agricultural Law Weekly Review—April 23, 2020
COVID-19: USDA Announces Coronavirus Food Assistance Program:
On April 17, 2020, USDA announced the administrative creation of the Coronavirus Food Assistance Program, utilizing $19 billion of Coronavirus Aid, Relief, and Economic Security Act (CARES) and Families First Coronavirus Response Act (FFCRA) authority and appropriations. The program’s primary initiatives are titled (1) Direct Support to Farmers and Ranchers; and (2) USDA Purchase and Distribution. The Direct Support program will use $16 million for producer compensation for 2020 marketing year actual losses resulting from price, supply chain, demand, and over-supply impacts of COVID-19. The USDA Purchase program will use $3 billion to purchase three categories of food from producers (fresh produce, dairy, […]
Agricultural Law Weekly Review—April 2, 2020
COVID-19 Pandemic: Congress Enacts Three Laws Providing Pandemic Assistance
Over the last few weeks, the U.S. Congress has enacted three new federal laws providing COVID-19 pandemic assistance benefits and programs to individuals and businesses, including agricultural stakeholders.
On March 5 and 6, 2020, respectively, Congress enacted and the President signed the Coronavirus Preparedness and Response Supplemental Appropriations Act, 2020, H.R. 6074 (P.L. 116-123), providing $8.3 billion in emergency funding, which includes appropriations for several Small Business Administration (SBA) financial assistance and loan programs for which agricultural producers are eligible.
On March 18, 2020, Congress enacted and the President signed the Families First […]
Agricultural Law Weekly Review—March 26, 2020
Dairy Policy: Dean Foods Bankruptcy Asset Sale Proceeds Without DFA as Pre-Negotiated Opening Bidder
On March 19, 2020, a hearing was conducted in the Dean Foods Chapter 11 bankruptcy, pending in the U.S. Bankruptcy Court for the Southern District of Texas, Case #19-36313, on a motion filed by Debtor Southern Foods Group, LLC and forty-two affiliated companies (Dean Foods) to amend the February 17, 2020, “Bidding Procedures for Sale of Debtors’ Assets” Order. That Order established dairy producer cooperative Dairy Farmers of America, Inc. (DFA) as what is referred to in bankruptcy terminology as a “Stalking Horse Bidder” whose bid […]
Agricultural Law Weekly Review – March 19, 2020
International Trade: Canada Formally Approves USMCA
On March 13, 2020, The Canadian House of Commons approved, the Canadian Senate approved, and Canada’s Governor General gave royal assent to legislation that formally represents Canada’s agreement to the terms of the United States Mexico Canada Trade Agreement (USMCA). Canada was the final government to formally approve the USMCA. For more on the USMCA, see the Agricultural Law Weekly Review of January 23, 2020, titled “International Trade: USMCA Receives Congressional Approval, Awaits President’s Signature.”
Ag Transportation: Expanded Emergency Declaration Relaxes Hours of Service Trucking Rules For Food and Other Cargo until April 12, […]
Agricultural Law Weekly Review—February 13, 2020
National Agricultural Policy: USDA Inspector General Confirms Investigation of Trade Aid Package
On February 11, 2020, USDA Inspector General Phyllis K. Fong confirmed during testimony before the U.S. House of Representatives Committee on Appropriations’ Subcommittee on Agriculture that her office is conducting an investigation of the legal authority and administration of the so-called “Trade Aid Packages” for 2018 and 2019. The trade aid packages were undertaken by USDA pursuant to Section 5 of the Commodity Credit Corporation (CCC) Charter Act of 1948, 15 U.S.C. 714 et seq., to compensate agricultural producers for lost revenue due to Chinese tariff retaliation and trade […]
