[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: 7CFR741.25]

[Page 347]
 
                          TITLE 7--AGRICULTURE
 
                            CHAPTER VII--FARM
                SERVICE AGENCY, DEPARTMENT OF AGRICULTURE
 
PART 741--SIRUP WAREHOUSES--Table of Contents
 
Sec. 741.25  Insurance requirements.

    (a) Each warehouseman, when so requested in writing by the depositor 
of or the lawful holder of the receipt for any sirup, shall, to the 
extent to which, in the exercise of due diligence, he is able to procure 
such insurance, keep such sirup while in his custody fully insured in 
his own name against loss or damage by fire, lightning, or tornado. When 
insurance is not carried in the warehouseman's name, the receipts shall 
show that the sirup is not insured by him. Such insurance shall be 
covered by lawful policies issued by one or more insurance companies 
authorized to do such business in the State where the warehouse is 
located. If the warehouseman is unable to procure such insurance, he 
shall, orally, or by telegraph or by telephone and at his own expense, 
immediately notify the person making the request. Nothing in this 
section shall be construed to prevent a warehouseman from adopting a 
rule that he will insure all sirup.
    (b) Each warehouseman shall keep exposed conspicuously in the place 
prescribed by Sec. 741.6, and at such other place as the Administrator, 
or his representative may from time to time designate, a notice stating 
briefly the conditions under which sirup will be insured against loss or 
damage by fire, lightning, or tornado.
    (c) Each warehouseman shall take promptly such steps as may be 
necessary and proper to collect any moneys which may become due under 
contracts of insurance entered into by him for the purpose of meeting 
the requirements of this part, and shall, as soon as collected, pay 
promptly to the persons concerned any portion of such moneys which they 
may be entitled to receive from him.