Farm Bill Allows Farmers to Opt Out of Arbitration

ADRworld.com reports that both houses of Congress have passed a bill that, if signed by the President, will add a new section on the use of arbitration agreements to Title II of the Packers and Stockyards Act (7 U.S.C. 198 et seq.).

The provisions will permit a producer or grower to opt out of arbitration before entering a contract, will require “conspicuous disclosure” of the grower’s right to decline to use arbitration to resolve disputes arising under the contract, and the provide the grower a right to opt into arbitration after a dispute arises if both parties agree in writing.

This bill, if enacted into law, will be a major victory for farmers and may portend positive results for the Arbitration Fairness Bill currently in front of Congress.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.