The U.S. Department of Agriculture entered into a stipulation agreement with Zane Webb of Watson, Okla., on May 8, 2023, for alleged violations of the Packers and Stockyards (P&S) Act. Under the terms of the stipulation agreement, Webb waived his rights to a hearing and paid a civil penalty of $2,600.

An investigation by USDA’s Agricultural Marketing Service found that Webb failed to pay when due for livestock and issued checks for livestock that were returned for non-sufficient funds (NSF). Webb failed to pay when due on 17 transactions consisting of 198 total head of livestock for a total of $118,196. All transactions listed occurred between Jan. 5, 2021, and June 8, 2021.

The P&S Act requires subject entities to issue the full payment for livestock by the close of the first business day following purchase and transfer of possession. Failure to timely pay for livestock purchases is a violation of the P&S Act.

The P&S Act authorizes the secretary of agriculture to assess civil penalties, up to $33,896 per violation, against any person after notice and opportunity for hearing on the record. USDA may offer alleged violators the option of waiving their right to a hearing and enter into a stipulation agreement to quickly resolve alleged violations.

The P&S Act is a fair-trade practice and payment-protection law that promotes fair and competitive marketing environments for the livestock, meat and poultry industries.

For further information about the P&S Act, contact Dora Malykin, Packers and Stockyards Division, at 202-720-7051 or by email at dora.malykin@usda.gov.

Source: USDA's AMS