109th CONGRESS
1st Session
S. 2131
To amend title 9, United States Code, to provide for greater fairness
in the arbitration process relating to livestock and poultry contracts.
IN THE SENATE OF THE UNITED STATES
December 16, 2005
Mr. GRASSLEY (for himself, Mr. FEINGOLD, Mr. HARKIN, and Mr. HAGEL) introduced
the following bill; which was read twice and referred to the Committee on
the Judiciary
A BILL
To amend title 9, United States Code, to provide for greater fairness
in the arbitration process relating to livestock and poultry contracts.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Fair Contracts for Growers Act of 2005'.
SEC. 2. ELECTION OF ARBITRATION.
(a) In General- Chapter 1 of title 9, United States Code, is amended by
adding at the end the following:
`Sec. 17. Livestock and poultry contracts
`(a) Definitions- In this section:
`(1) LIVESTOCK- The term `livestock' has the meaning given the term in
section 2(a) of the Packers and Stockyards Act, 1921 (7 U.S.C. 182(a)).
`(2) LIVESTOCK OR POULTRY CONTRACT- The term `livestock or poultry contract'
means any growout contract, marketing agreement, or other arrangement
under which a livestock or poultry grower raises and cares for livestock
or poultry.
`(3) LIVESTOCK OR POULTRY GROWER- The term `livestock or poultry grower'
means any person engaged in the business of raising and caring for livestock
or poultry in accordance with a livestock or poultry contract, whether
the livestock or poultry is owned by the person or by another person.
`(4) POULTRY- The term `poultry' has the meaning given the term in section
2(a) of the Packers and Stockyards Act, 1921 (7 U.S.C. 182(a)).
`(b) Consent to Arbitration- If a livestock or poultry contract provides
for the use of arbitration to resolve a controversy under the livestock
or poultry contract, arbitration may be used to settle the controversy only
if, after the controversy arises, both parties consent in writing to use
arbitration to settle the controversy.
`(c) Explanation of Basis for Awards- If arbitration is elected to settle
a dispute under a livestock or poultry contract, the arbitrator shall provide
to the parties to the contract a written explanation of the factual and
legal basis for the award.'.
(b) Technical and Conforming Amendment- The table of sections for chapter
1 of title 9, United States Code, is amended by adding at the end the following:
`17. Livestock and poultry contracts.'.
SEC. 3. EFFECTIVE DATE.
The amendments made by section 2 shall apply to a contract entered into,
amended, altered, modified, renewed, or extended after the date of enactment
of this Act.
END
