June 4, 2007

ISSUE 1169

USDA-AMS ISSUES FINAL RULE ENSURING PACA PROTECTION FOR ELECTRONIC INVOICING

USDA’s Agricultural Marketing Service (AMS) published a final rule in the May 30 Federal Register amending the regulations under the Perishable Agricultural Commodities Act (PACA) to ensure that “the status of sellers of perishable agricultural commodities as trust creditors is protected when electronic data interchange (EDI) or other forms of electronic commerce are used
to invoice buyers.” The rule becomes effective June 29.

Specifically, the amendments require that a buyer licensed under the PACA or its third party representative accept the PACA trust notice submitted to it by a seller regardless of whether it is submitted on paper or electronically.


ALSO IN THIS WEEK'S RAP-UP

(Members-Only articles are indicated in bold.)