[Code of Federal Regulations]
[Title 7, Volume 7, Parts 700 to 899]
[Revised as of January 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR741.42]

[Page 349-350]
 
                          TITLE 7--AGRICULTURE
 
                            CHAPTER VII--FARM
                SERVICE AGENCY, DEPARTMENT OF AGRICULTURE
 
PART 741--SIRUP WAREHOUSES--Table of Contents
 
Sec. 741.42  Deteriorating sirup; handling.

    (a) If a warehouseman, with the approval of the licensed inspector, 
shall determine that any sirup is deteriorating and that such 
deterioration cannot be stopped by processing or otherwise, he shall 
give immediate notice thereof in accordance with paragraphs (b) and (c) 
of this section.
    (b) Such notice shall state (1) the warehouse in which the sirup is 
stored; (2) the quantity, kind, and grade of the sirup at the time the 
notice is given; (3) the actual condition of the sirup as nearly as can 
be ascertained, and the reason, if known, for such condition; and (4) 
the outstanding receipts covering the sirup out of condition, giving the 
number and the date of each such receipt and the quantity, the kind and 
grade of the sirup as stated in each such receipt.
    (c) A copy of such notice shall be delivered in person or shall be 
sent by mail (1) to the persons holding the receipts if known to the 
warehouseman; (2) to the person who originally deposited the sirup; (3) 
to any other persons known by the licensed warehouseman to be interested 
in the sirup; (4) to the

[[Page 350]]

Administrator; and (5) public notice shall also be given by posting a 
copy of such notice at the place where the warehouseman is required to 
post his license. A copy of such notice shall be kept as a record of the 
warehouse. If the holders of the receipts and the owners of the sirup 
are known to the warehouseman and cannot, in the regular course of the 
mails, be reached within 12 hours, the warehouseman shall, whether or 
not requested to do so, also immediately notify such persons by 
telegraph or telephone at their expense.
    (d) Any person, interested in any sirup or the receipt covering such 
sirup stored in a licensed warehouse, may, in writing, notify the 
warehouseman of his interest, and such ware- houseman shall keep a 
record of that fact. If such person requests in writing that he be 
notified regarding the condition of any such sirup and agrees to pay the 
cost of any telegraph or telephone toll charge, such warehouseman shall 
notify such person in accordance with such request.
    (e) If the sirup advertised in accordance with the requirements of 
this section has not been removed from storage by the owner thereof 
within seven days from the dispatch of notice of its being out of 
condition, the warehouseman may sell the same at public auction at the 
expense and for the account of the owner, after giving 7 days' notice of 
such proposed sale in the manner specified in paragraphs (b) and (c) of 
this section.
    (f) Nothing contained in this section shall be construed as 
relieving the warehouseman from properly caring for any sirup after 
sending notification of its condition in accordance with this section.
    (g) Records required to be kept by this section shall be retained, 
as a part of the records of the warehouse, for a period of six years 
after December 31 of the year in which created, and for such longer 
period as may be necessary for the purposes of any litigation which the 
warehouseman knows to be pending, or as may be required by the 
Administrator in particular cases to carry out the purposes of the Act.

(Approved by the Office of Management and Budget under control number 
0560-0120)

[4 FR 4834, Dec. 13, 1939, as amended at 29 FR 13369, Sept. 26, 1964; 47 
FR 745, Jan. 7, 1982. Redesignated at 50 FR 1814, Jan. 14, 1985]