USDA Ends Consideration of Farmer Fair Practices Rules

The U.S. Department of Agriculture (USDA) has announced that it will take no further action to implement the Farmer Fair Practices Rules, which were reportedly created to allow farmers the power to sue corporate entities with whom they had contracted to produce livestock and poultry. In April 2017, USDA announced a delay of the effective date until October 19, 2017, to allow time for further consideration of comments. On October 18, USDA announced that it will not implement the rules because of concerns over potential increases in litigation, vagueness of the draft rules’ language, possible conflicts of law and executive branch directions to use the least burdensome regulations possible.

Following USDA’s announcement, U.S. Sens. Charles Grassley (R-Iowa) and Jon Tester (D-Mont.) sent a letter to Secretary of Agriculture Sonny Perdue stating that they “vehemently disagree with the decision” because their constituents believe that the current practices of multinational agribusiness corporations, who have “extraordinary market power,” exploit farmers and ranchers in livestock and poultry industries.