[Code of Federal Regulations]
[Title 7, Volume 7]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR735.32]

[Page 227]
 
                          TITLE 7--AGRICULTURE
 
                            CHAPTER VII--FARM
                SERVICE AGENCY, DEPARTMENT OF AGRICULTURE
 
PART 735--COTTON WAREHOUSES--Table of Contents
 
Sec. 735.32  Arrangement of stored cotton.

    (a) Each warehouseman shall store each bale of cotton for which a 
receipt under the act has been issued so that the tag thereon, required 
by Sec. 735.31 is visible and readily accessible, except as provided in 
paragraph (b) of this section, and shall arrange all other cotton in his 
licensed warehouse so as to permit an accurate check thereof.
    (b) If cotton is tendered to a licensed warehouseman for storage and 
the cotton is of the same grade and staple and is tendered in such 
quantity by any one depositor that efficiency of operation dictates that 
such cotton should be stored in a lot or lots without regard to 
visibility of all tags on all bales within any lot, the warehouseman may 
store such cotton if each lot originally contained two or more bales: 
Provided, however, that each bale entering into a lot must bear an 
individual bale identification, and must be stored so that the number of 
bales within the lot may be accurately determined.
    (c) An individual lot identification tag showing the lot number and 
the number of bales in the lot shall be affixed by the warehouseman to 
each lot of cotton. The warehouseman shall also maintain an office 
record showing the bale or tag number, mark, or identifier of each bale 
in the lot and the location of the lot in the warehouse. Each lot shall 
be so arranged as to be readily distinguishable from each and every 
other lot. When requested by a proper representative of the Department 
of Agriculture engaged in making an examination of the warehouse, the 
warehouseman shall tear or break down at his own expense such stacks or 
lots of cotton as the examiner deems necessary to a proper examination. 
Before any warehouseman undertakes to store in accordance with this 
section he shall submit a statement setting forth: (1) His reasons for 
desiring to avail himself of this section and (2) the plan of storage he 
proposes to follow, and he shall secure prior permission from the 
Secretary or his designated representative to practice such method of 
storage.

[29 FR 15720, Nov. 24, 1964. Redesignated at 50 FR 1814, Jan. 14, 1985, 
as amended at 64 FR 65510, Oct. 7, 1999]