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California, Florida, Georgia and Illinois
USDA restricts PACA violators from operating in the produce industry
The U.S. Department of Agriculture has imposed sanctions on four produce businesses for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).
The following businesses and individuals are currently restricted from operating in the produce industry:
Alejandro Produce Inc., operating out of Vista, Calif., for failing to pay a $22,800 award in favor of a California seller.
Celestin B B Logistics LLC, operating out of Miami, Fla., for failing to pay a $5,176 award in favor of an Oregon seller.
LV and Sons Produce Company LLC, operating out of Forest Park, Ga., for failing to pay a $17,604 award in favor of a Florida seller.
National Produce Sales Inc., operating out of Lake Zurich, Ill., for failing to pay a $6,980 award in favor of a Florida seller.
PACA provides an administrative forum to handle disputes involving produce transactions; this may result in a reparation order being issued that requires damages to be paid by those not meeting their contractual obligations in buying and selling fresh and frozen fruits and vegetables. USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued.
In the past three years, USDA resolved approximately 3,400 PACA claims involving more than $58 million. PACA staff also assisted more than 8,500 callers with issues valued at approximately $151 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
For more information: John Koller USDA Dispute Resolution Branch Tel.: +1 (202) 720-2890 Fax: +1 (202) 690-2815 Email: PACAdispute@ams.usda.gov