N.Y. AGM Law § 258-L — New York Code / Act AGM / Article 21 / Section 258-L
Producers' bargaining agencies and distributors' bargaining agencies
Status: in_force

§ 258-l. Producers' bargaining agencies and distributors' bargaining\nagencies.  (a) Incorporated producers' associations operated under and\nsubject to the cooperative corporations law of this state, or similar\nlaws of another state and organized and controlled by milk producers,\nmay establish producers' bargaining agencies for the various production\nareas of the state designated by the commissioner. Cooperative\ncorporations similarly incorporated hereafter and owned and controlled\nby producers shall be entitled to use and participate in such a\nbargaining agency and be represented by it in order that producers not\nnow represented by a cooperative association may be entitled to the\nbenefits of this act.\n  Upon presentation of a written certification by a cooperative\ncorporation qualified to receive cooperative payments under a state or a\njoint federal and state milk marketing order, or orders, or by a\ncooperative corporation affiliated with a federation of cooperative\ncorporations similarly qualified, to a licensed milk dealer, setting\nforth a list of its members for the payment of whose milk said dealer is\nresponsible, such dealer shall make payments to such cooperative\ncorporation from moneys due such listed members for milk purchased by\nthe dealer in such amounts as such cooperative shall certify is payable\nto it; provided that (a) at least the names of 10 members are one the\nlist, or (b) in the case of dealers receiving milk from 17 or less\nproducers at a plant, the names of at least 51% of such producers are on\nthe list. Such amounts shall be payable monthly to the treasurer of the\ncooperative corporation, together with a compilation of milk poundage to\nwhich such payment is related. At intervals, not more frequent than\nmonthly, each such cooperative shall certify to the dealer involved any\nadditions or withdrawals from its listed membership. As to such changes\nin memberships so certified, the dealer shall make payments on the\nadditional producers, but shall not be required to make payments to the\ncooperative corporation on the withdrawn producers. In no event shall a\ndealer be required to make payments on a producer who is not listed as a\nmember by the certifying cooperative corporation.\n  The voting power of each association participating in such an agency\nshall be on the basis of one vote for each one hundred producers under\ncontract with such association for the marketing of their milk within\nsuch marketing area, and in case of an association with less than one\nhundred producers under contract with it, a fractional vote in\nproportion to the number of such producers. Only active contracts shall\nbe considered.\n  The purpose of a producers' bargaining agency is to negotiate\nagreements on the basis of orders in the respective marketing areas for\npresentation to the commissioner for his consideration and approval, as\nprovided in section two hundred and fifty-eight-m herein. A producers'\nbargaining agency shall be authorized to negotiate with a distributors'\nbargaining agency in such marketing area in regard to arrangements or\nagreements to be presented to the commissioner as a basis of marketing\nagreements or orders pursuant to said section two hundred and\nfifty-eight-m.\n  Each association upon joining or employing the producers' bargaining\nagency shall file with it a certified copy of its certificate of\nincorporation, its by-laws, copies of form of contracts with its\nproducers and a certified statement of the number of such contracts\nwhich are in force.\n  A producers' bargaining agency may appear before and negotiate with\nthe commissioner in regard to marketing agreements or orders, as\nprovided in section two hundred and fifty-eight-m herein.\n  It shall be lawful for such producers' bargaining agency to act as a\ncommon marketing agency for the various cooperative associations of\nproducers which it represents and such cooperative associations may make\ncontracts with each other and with such producers' agency for such\npurpose and for the collective processing, preparing for market,\nhandling and marketing of the products of such associations and for\neffectuating the purposes of this act. In order to carry out and\neffectuate such purposes, contracts and agreements may be made pursuant\nto section twenty-five of the co-operative corporations law and as to\ninterstate commerce pursuant to act of congress of February eighteenth,\nnineteen hundred twenty-two, entitled "An act to authorize association\nof producers of agricultural products,"\n  (b) A distributors' bargaining agency may be organized by the\ndistributors in a marketing area. The voting power of each distributor\nin such bargaining agency shall be in proportion to the quantity of milk\ndistributed by him in such area. Such quantity shall be determined by\nthat distributed during the preceding year as reported to the\ncommissioner. In the New York metropolitan milk marketing area the\nvoting power of each distributor shall be on the basis of one vote for\neach ten million pounds of milk distributed in such market during the\npreceding year and in case of a distributor handling a less quantity of\nmilk, a proportionate fractional vote. In other marketing areas the\nvoting basis shall be one vote for each one hundred thousand pounds\ndistributed during the preceding year in such market with a\nproportionate fractional vote in case of distributors handling a less\nquantity of milk. The purpose of distributors' bargaining agencies is to\nnegotiate with producers' bargaining agencies as to the agreements or\nthe basis of orders in the respective marketing areas for presentation\nto the commissioner for his consideration and approval, as provided in\nsection two hundred fifty-eight-m herein.\n  A distributors' bargaining agency may appear before and negotiate with\nthe commissioner in regard to marketing agreements or orders, as\nprovided in section two hundred fifty-eight-m herein.\n  Producers' bargaining agencies and distributors' bargaining agencies\nmay also meet and negotiate in order to carry out the purposes of this\nact and subject to the approval of the commissioner, as provided in\nsection two hundred fifty-eight-m, may make marketing agreements with\neach other and with cooperative associations in relation to the\nmarketing of milk which may be handled or distributed in more than one\nmarketing area.  Such agencies may also meet and negotiate and take such\nreasonable measures as are necessary and advisable to cooperate with the\ncommissioner and legally constituted authorities of other states and of\nthe United States with respect to the handling and control of milk\nhandled in interstate commerce and carry out and effectuate the\nprovisions of section two hundred fifty-eight-n.\n  Except as specifically provided in section two hundred fifty-eight-m,\nthe activities and operations of producers' bargaining agencies and\ndistributors' bargaining agencies and of the constituent members\nthereof, and contracts, agreements or arrangements made by them,\npursuant to the provisions of this subdivision, and of section two\nhundred fifty-eight-m hereof, shall not be deemed or construed to be\nconspiracies, combinations, contracts or agreements in restraint of\ntrade or commerce or an illegal monopoly.\n  "Milk production area" as used in this article means those dairy farms\nmaintained primarily as a source of fluid milk for a marketing area.\nSuch primary source of supply shall include farms from which all\nshipments of milk have been subject to the minimum uniform price\nprovisions of a marketing order or agreement for such market during at\nleast a portion of the preceding two years, together with such other\nfarms as may hereafter be designated by the commissioner as a source of\nsupply for the marketing area in the manner prescribed by section two\nhundred fifty-eight-j.\n