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HomeFood and Agricultural CodeDiv. 16Ch. 2Art. 7§ 40901 Processor Container Obligations

§ 40901 Processor Container Obligations

Food and Agricultural Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 40901 Processor Container Obligations

Key Takeaways

  • •If a company promises to give containers to a farmer but doesn't do it on purpose, they can be sued.
  • •The farmer can get money for the harm caused, and sometimes even three times that amount.
  • •To get three times the money, the farmer must tell the company in writing within 48 hours that they didn't get the containers.

Example

A dairy farmer has a deal with a milk company to get special milk jugs every week. One week, the company doesn't send the jugs on purpose, and the farmer can't sell their milk.

The farmer can sue the milk company for the money they lost. If the farmer told the company in writing within 48 hours, they might get three times the lost money.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 40901 Processor Container Obligations

The failure of a processor willfully and without due cause to furnish raw product containers to a producer as agreed upon, or any willful discrimination against any producer in this regard, shall subject such processor to an action for all damages which are sustained by the producer as a direct result of the failure or discrimination, and judgment against any processor may be entered in the discretion of the court either for the amount of the damages sustained or for three times the amount. Treble damages may, however, only be awarded if the producer has furnished the processor written notice of the claimed failure or discrimination within 48 hours after the claimed failure or discrimination. (Amended by Stats. 1989, Ch. 676, Sec. 19.)

Last verified: January 23, 2026

Key Terms

processorraw product containersproducerwillful discriminationtreble damageswritten notice

Related Statutes

  • § 40871 Tomato Delivery Inspection Requirements
  • § 40874 Tomato Load Registration Requirement
  • § 40932 Inspection Cost Sharing
  • § 10061 Bovine Tuberculosis Quarantine
  • § 10062 Bovine Indemnity Valuation Rules

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Food and Agricultural Code. Section 40901.
View Official Source