NY Agric & Mkts L § 258-C (2021)
2021 New York Laws AGM - Agriculture and Markets Article 21 - Milk Control 258-C - Granting and Revoking Licenses.

§ 258-c. Granting and revoking licenses. No license shall be denied to a  person  not  now  engaged  in  business  as a milk dealer, or for the continuation of a now existing business, and no license shall be  denied to  authorize  the extension of an existing business by the operation of an additional  plant  or  other  new  additional  facility,  unless  the commissioner  finds  after  due notice and opportunity of hearing to the applicant or licensee, that the applicant is not qualified by  character or  experience  or  financial  responsibility  or  equipment properly to conduct the proposed business, provided however, that no new application shall be denied solely for the reason of inadequate equipment if  it  is shown  that  provision  has  been  made for the acquisition of same. The commissioner may also decline to grant or renew a license or may suspend or revoke a license already granted in whole or in part, upon due notice and opportunity of hearing to the applicant  or  licensee,  when  he  is satisfied of the existence of any of the following reasons:  (a)  That  a  milk  dealer has rejected, without reasonable cause, any milk purchased or has rejected without reasonable  cause  or  reasonable advance  notice,  milk  delivered  in ordinary continuance of a previous course of dealing, except where contract has been lawfully terminated.  (b) That the milk dealer  has  failed  to  account  and  make  payment without reasonable cause, for any milk purchased.  (c) That the milk dealer has committed any act injurious to the public health or public welfare.  (d)  Where  the  milk  dealer  is  insolvent  or  has  made  a general assignment for the benefit of creditors or has been adjudged a  bankrupt or  where  a  money judgment has been secured against him, upon which an execution has been returned wholly or partly unsatisfied.  (e) Where the milk dealer has continued in a course of dealing of such a  nature  as  to  satisfy  the  commissioner  of   his   inability   or unwillingness  properly  to conduct the business of receiving or selling milk or to satisfy the commissioner of his intent to deceive or  defraud producers or consumers.  (f)  Where  the  milk  dealer has been a party to a combination to fix prices,  contrary  to  law.  A  co-operative  association  of   dairymen organized  under  or  operated  pursuant  to  the  provisions of chapter seventy-seven of the consolidated laws and engaged in making  collective sales  or  marketing  for  its members or shareholders of dairy products produced by its members or shareholders shall not be deemed or construed to be a conspiracy or combination in restraint of trade  or  an  illegal monopoly   nor   shall   the   contracts,  agreements,  arrangements  or combinations heretofore or hereafter made by such  association,  or  the members,  officers or directors thereof, in making such collective sales and marketing and prescribing  the  terms  and  conditions  thereof,  be deemed  or  construed  to  be  conspiracies or to be injurious to public welfare, trade or commerce, if otherwise authorized by such  chapter  or law.  The  provisions  of and the remedies provided by this subdivision, section and article shall be in addition to and  shall  not  preempt  or displace  the  provisions  of article twenty-two of the general business law.  (g) Where there has been a  failure  either  to  keep  records  or  to furnish the statements or information required by the commissioner.  (h)  Where  it  is  shown  that  any material statement upon which the license was issued is or was false or misleading  or  deceitful  in  any particular.  (i) Where the applicant or licensee has been convicted of a felony.  (j)  Where  the  applicant  is  a partnership or a corporation and any individuals holding any position or interest or power of control therein has previously been responsible in whole or  in  part  for  any  act  on  account of which a license may be denied, suspended or revoked, pursuant to the provisions of this article.  (k)  Where  the milk dealer has violated any of the provisions of this chapter.  (l) Where the milk dealer has been duly required to give a bond or  an additional  bond  and  has failed to do so, or has failed to make timely payment to the producers security fund if he has elected to  participate therein,  or  to  the  cooperative  security  fund  if  required to make payments thereto.  (m) Where the required  permit  from  the  local  health  officer  has terminated or been revoked.  (n)  Where the milk dealer has ceased to operate the milk business for which the license was issued.  (o) Notwithstanding any provision of this article to the contrary,  no license  shall  be granted by the commissioner in the event an applicant for such license is buying or accepting the business of  another  dealer until  the  applicant has furnished the commissioner sufficient evidence that all payments due producers for milk delivered to the selling dealer have been made  in  full  or  that  a  portion  of  the  purchase  price reasonably  sufficient  to  satisfy  such  claims  has been placed in an escrow account with the commissioner.  (p) Assumption of business by  licensed  dealer.  No  licensed  dealer purchasing  the  assets  or  assuming  the operation of another licensed dealer may distribute milk in the area served by the dealer whose assets are being purchased or whose operation  is  being  assumed  unless  such dealer  purchasing  the  assets or assuming such operation has furnished the commissioner sufficient evidence that all payments due producers for milk delivered have been made in full or that a portion of the  purchase price reasonably sufficient to satisfy such claims has been placed in an escrow account with the commissioner.   The  commissioner  may  grant  or  renew  a  license or may decline to suspend or revoke a license conditionally, or upon the agreement of  the licensee  or  applicant  to  do or omit to do any definite act, but such condition and/or agreement must have some appropriate  relation  to  the administration of this article.   Whenever  a  milk  dealer's  license  is  denied  or  revoked  or  any application for an original license is denied, there shall be  filed  in the  office  of  the  division  of  milk  control  a  memorandum  by the commissioner, which memorandum shall state the reasons for the denial of the application or the denial or revocation of the license. There  shall also  be  filed a transcript of the testimony taken at the hearing given to the applicant or licensee. A transcript of the testimony taken at the hearing shall be given to the applicant or licensee for whom the hearing was held. In addition, the said memorandum as filed in the office of the division of milk control shall  set  forth  findings  of  fact  and  the conclusions  upon  which  the said commissioner shall base his denial or revocation. The use of the word license in this  article  shall  include the  application  for  or  denial  of  an extension of license. Upon the filing of the memorandum in the office of the division of milk control a copy thereof shall be mailed forthwith to the applicant or licensee  and to his attorney if the applicant or licensee has appeared by attorney.   The commissioner shall notify an applicant for a license within thirty days  of  receipt  of  the  application  as  to  whether all information required by the commissioner is  stated  within  the  application.  Upon receipt  of  a completed application, the commissioner shall conduct any investigation and hearing and shall make  a  final  determination  on  a license  within  one  hundred twenty days or, if a hearing has been held with respect to such license, within one hundred eighty days. Where  the  commissioner finds that a final determination cannot be made within such period,  he  shall  indicate  his  reasons for extending the application review period by not more than one hundred twenty days  to  the  license applicant.  Any delay resulting from adjournments granted at the request of the applicant, or as the result of a judicial  order,  shall  not  be counted toward any time period provided for in this paragraph.