56602-56623

FOOD AND AGRICULTURAL CODE
SECTION 56602-56623




56602.  It is a violation of this chapter if the applicant or
licensee has made any fraudulent charges or returns for the handling,
sale, or storage of, or for rendering any service in connection with
the handling, sale, or storage of any farm product.




56603.  It is a violation of this chapter if the applicant, or
licensee, has failed or refused to render a true account of sales, or
to make a settlement on the sales, or to pay for any farm product
which is received, within the time and in the manner which are
required by this chapter.



56604.  It is a violation of this chapter if the applicant, or
licensee, has made any false statement as to the condition, quality,
or quantity of any farm product which is received, handled, sold, or
stored by him.


56605.  It is a violation of this chapter if the applicant, or
licensee, directly or indirectly, has purchased for his, or its, own
account any farm product which is received by him upon consignment
without prior authority from consignor together with the price fixed
by the consignor or without promptly notifying the consignor of such
purchase. This does not prevent any commission merchant from taking
to account of sales, in order to close the day's business,
miscellaneous lots of parcels of any farm product which remains
unsold, if such commission merchant forthwith enters such transaction
on his account of sales.


56606.  It is a violation of this chapter if the applicant, or
licensee, has intentionally made any false or misleading statement as
to the conditions of the market for any farm product.



56607.  It is a violation of this chapter if the applicant or
licensee has made any fictitious sale or has been guilty of collusion
to defraud a producer or another licensee.



56608.  It is a violation of this chapter if a commission merchant
to whom any consignment is made has reconsigned such consignment to
another commission merchant or employed a broker to effect the sale
for the consignor and has deducted more than one charge for effecting
the sale without the written consent of the consignor.




56609.  It is a violation of this chapter if the licensee was
intentionally guilty of fraud or deception in the procurement of such
license.


56610.  It is a violation of this chapter if the licensee or
applicant has failed or refused to file with the director a schedule
of his charges for services in connection with any farm product which
is handled on account of, or as an agent of, another.




56611.  It is a violation of this chapter if the applicant, or
licensee, has indulged in any unfair practice.



56612.  It is a violation of this chapter if the licensee:
   (a) Has rejected without reasonable cause or has failed or refused
to accept without reasonable cause, any farm product which the
licensee has bought or contracted to buy from another licensee or a
producer.
   (b) Has failed or refused without reasonable cause to provide
boxes or other containers, or hauling, harvesting, or any other
service which is contracted to be done by the licensee in connection
with the acceptance, harvesting, or handling of such farm product.
   (c) Has used any device to avoid acceptance or unreasonably defer
acceptance of such farm product.


56613.  It is a violation of this chapter if the licensee has
otherwise violated any provision of this chapter.



56614.  It is a violation of this chapter if the licensee has
knowingly employed an agent, without causing the agent to comply with
the licensing requirements of this chapter which are applicable to
agents.


56615.  It is a violation of this chapter if the applicant or
licensee has in the handling of any farm product been guilty of
fraud, deceit, or willful negligence.



56616.  It is a violation of this chapter if the licensee has failed
or refused, upon demand, to permit the director or his agents to
make the investigations, examinations, or audits as provided in this
chapter, or that the licensee has removed or sequestered any books,
records, or papers which are necessary to any such investigations,
examinations, or audits, or has otherwise obstructed them.



56617.  It is a violation of this chapter if the licensee without
reasonable cause has failed or refused to execute or carry out a
lawful contract with a producer or another licensee.



56618.  It is a violation of this chapter if the licensee has failed
or refused to keep and maintain the records as required by this
chapter.


56619.  It is a violation of this chapter if a dealer has obtained
title to or possession, control, or delivery of any farm product from
another licensee or a producer of the farm product without having
executed a contract of purchase and sale, or a contract agreeing to
purchase the farm product at a designated price to be paid by the
dealer.



56619.5.  It is a violation of this chapter for a person licensed as
a cash buyer to buy or otherwise take title to or possession of any
farm product from a licensee or a producer of such product, except by
cash payment of the full agreed price to the licensee or producer at
the time of obtaining such possession or control.




56620.  Under a contract for the purchase or handling of any farm
products, any delinquent payment of money under this chapter shall
also include a late charge of 5 percent per month of the unpaid
balance calculated on a daily basis for the period of the delinquency
for the first month and an additional 1 percent per month of the
unpaid balance calculated on a daily basis for the remaining period
of the delinquency. Any such late charge shall be payable to the
person from whom the farm product was purchased, unless the person
waives, in writing, his right to such payment. Such waiver shall be
valid and effective only when given after a delinquency has occurred.
   This section does not affect the time of payment provided for in
this chapter or in any contract for the purchase or handling of any
farm product.



56621.  It is a violation of this chapter if a licensee fails,
neglects, or refuses to collect or remit any assessments that have
been levied in accordance with the assessment provisions of Article
10 (commencing with Section 58921) of Chapter 1 or Article 12
(commencing with Section 59941) of Chapter 2 of Part 2 of Division
21, or Article 8 (commencing with Section 64691) of Chapter 2,
Chapter 3 (commencing with Section 65500) of Part 2 of Division 22,
Article 5 (commencing with Section 66621) of Chapter 4, Article 6
(commencing with Section 67101) of Chapter 5, Article 6 (commencing
with Section 68101) of Chapter 6, Article 6 (commencing with Section
69081) of Chapter 7, Chapter 9.5 (commencing with Section 71000),
Article 6 (commencing with Section 72101) of Chapter 10, Chapter 12.6
(commencing with Section 74701), Chapter 12.7 (commencing with
Section 74801), Article 6 (commencing with Section 75131) of Chapter
13, Article 6 (commencing with Section 76141) of Chapter 14, Chapter
15 (commencing with Section 76201), Chapter 16.5 (commencing with
Section 77001), Chapter 17 (commencing with Section 77201), Chapter
17.5 (commencing with Section 77401), Chapter 19 (commencing with
Section 77701), Chapter 20 (commencing with Section 77901) of Article
6 (commencing with Section 78285) of Chapter 21, or Article 6
(commencing with Section 78700) of Chapter 24, of Part 2 of Division
22.


56623.  It is a violation of this chapter if any commission merchant
who collects or receives funds in connection with the sale of
consigned farm products has made any use or disposition of these
funds in his or her possession or control that endangers or impairs
faithful and prompt payment to the consignor of the product or to any
other person having a financial interest therein.