[Code of Federal Regulations]

[Title 9, Volume 2]

[Revised as of January 1, 2007]

From the U.S. Government Printing Office via GPO Access

[CITE: 9CFR201.31]



[Page 10-11]

 

                  TITLE 9--ANIMALS AND ANIMAL PRODUCTS

 

  CHAPTER II--GRAIN INSPECTION, PACKERS AND STOCKYARDS ADMINISTRATION 

      (PACKERS AND STOCKYARDS PROGRAMS), DEPARTMENT OF AGRICULTURE

 

PART 201_REGULATIONS UNDER THE PACKERS AND STOCKYARDS ACT--

Table of Contents

 

Sec. 201.31  Conditions in market agency, dealer and packer bonds.



    Each market agency, dealer and packer bond shall contain conditions 

applicable to the activity or activities



[[Page 11]]



in which the person or persons named as principal or clearees in the 

bond propose to engage, which conditions shall be as follows or in terms 

to provide equivalent protection:

    (a) Condition Clause No. 1: When the principal sells livestock for 

the accounts of others. If the said principal shall pay when due to the 

person or persons entitled thereto the gross amount, less lawful 

charges, for which all livestock is sold for the accounts of others by 

said principal.

    (b) Condition Clause No. 2: When the principal buys livestock for 

his own account or for the accounts of others. If the said principal 

shall pay when due to the person or persons entitled thereto the 

purchase price of all livestock purchased by said principal for his own 

account or for the accounts of others, and if the said principal shall 

safely keep and properly disburse all funds, if any, which come into his 

hands for the purpose of paying for livestock purchased for the accounts 

of others.

    (c) Condition Clause No. 3: When the principal clears other 

registrants buying livestock and thus is responsible for the obligations 

of such other registrants. If the said principal, acting as a clearing 

agency responsible for the financial obligations of other registrants 

engaged in buying livestock, viz: (Insert here the names of such other 

registrants as they appear in the application for registration), or if 

such other registrants, shall (1) pay when due to the person or persons 

entitled thereto the purchase price of all livestock purchased by such 

other registrants for their own account or for the accounts of others; 

and (2) safely keep and properly disburse all funds coming into the 

hands of such principal or such other registrants for the purpose of 

paying for livestock purchased for the accounts of others.

    (d) Condition Clause No. 4: When the principal buys livestock for 

his own account as a packer. If the said principal shall pay when due to 

the person or persons entitled thereto the purchase price of all 

livestock purchased by said principal for his own account.



[47 FR 32695, July 29, 1982]