PACA Trust Litigation Alert
Good morning:
On December 2, 2011, a civil action was filed in Texas against Regiosol Produce, LLC in an effort to collect approximately $26,000.00 in alleged PACA debt.
Please check your A/R to see if this affects you. If it does, please do not wait to assert your rights.
Secured Lending for Agricultural Lenders
One of the most misunderstood and hotly contested areas of litigation under the Perishable Agricultural Commodities Act (the PACA) involves balancing the rights of a secured lender against an unpaid PACA trust beneficiary.
To shed some light on this topic, I recently published a white paper that highlights critical information banks, as a matter of law, are deemed to know and to have “considered in connection with their lending practices.”
Here is a link to my white paper: Secured Lending in the Produce Industry
I hope you find it helpful!
PACA Trust Litigation Alert
As we get closer to the end of the year, the produce industry is working to clean up their outstanding A/R.
I was very happy to have been interviewed recently by Amanda Robert of the Chicago Lawyer for an article on the legal challenges associated with “food trucks” – a burgeoning method of on-the-street distribution in the downtown loop of Chicago, as well as in many other major cities.
Among my several comments, I noted that just because food trucks drive around the streets of Chicago, it does not make them immune from the requirements that would be imposed on a stationary restaurant:
“Food truck owners need to operate out of a home base that is registered and regularly inspected by county or state health departments,” I said. “They need to give employees access to restrooms and to sinks so they can wash their hands. They must also follow rules on what they can serve, how they refrigerate or warm food and how they keep trucks clean.”
I can clearly see that some of my restaurant clients might be upset by competition from food trucks. But I think that the onus is plainly on the food trucks to “amp up” their offerings. They are not going to be a substantial presence until they can offer both value and quality – certainly not in the midst of a Chicago winter!
You can find a copy of the article on the Freeborn & Peters website. (Yes, we purchased reprint rights from Chicago Lawyer!)
