CHAPTER 1. Marketing of Milk and Other Dairy Products [61301. - 61573.]

Chapter 1 enacted by Stats. 1967, Ch. 15.

§§ 61301–61573 · 86 sections

1. ARTICLE 1. Definitions §§ 61301–61317 · 20 sections

   • § 61301 Unless the context otherwise requires, the definitions in this article govern the construction of this chapter.
   • § 61302 “Bulk milk” or “bulk cream” means milk or cream, respectively, which has not been pasteurized or packaged in bottles, cartons, dispenser cans, or other…
   • § 61303 “Consumer” means any person that buys milk, cream, or any dairy product for consumption and not for resale.
   • § 61304 “Cream” has the meaning of that term as defined in Section 32504.
   • § 61305 “Dairy product” means any product classified as Class 1 or Class 2 under Section 61932, 61933, or 61936; any frozen product or frozen product mix classified as…
   • § 61306 (a) “Distributor” means any handler, as defined in Section 61826, and includes brokers and agents and the nonprofit cooperative associations described in…
   • § 61306.5 “Educational and research activities” means any effort to develop and improve the management practices of dairy producers and processors, including, but not…
   • § 61307 “Manufacturing milk” has the meaning of that term as defined in Section 32509.
   • § 61307.2 “Manufacturing milk handler” means any person who, as owner, agent, broker, or intermediary, either directly or indirectly, receives, purchases, or otherwise…
   • § 61307.4 “Manufacturing milk plant” means any place, structure, or building where a handler receives manufacturing milk.
   • § 61308 “Manufacturer” means any person that is engaged in the business of manufacturing any dairy product.
   • § 61309 “Market milk” has the meaning of that term as defined in Section 32510.
   • § 61310 “Market cream” has the meaning of that term as defined in Section 35811.
   • § 61311 “Milk” has the meaning of that term as defined in Section 32511.
   • § 61312 “Packaged milk,” “packaged cream,” or “packaged dairy product” means market milk, market cream, or any dairy product, respectively, which is packaged in…
   • § 61313 “Person” means any individual, firm, corporation, partnership, limited liability company, trust, incorporated or unincorporated association, nonprofit…
   • § 61314 “Producer” means any person that operates a dairy herd which produces milk or cream commercially and whose bulk milk or bulk cream is received or handled by…
   • § 61315 “Producer-distributor” means any person that is both a producer of milk or cream and a distributor of milk, cream, or any dairy product. For the purpose of…
   • § 61316 “Restricted use market milk” has the meaning of that term as defined in Section 32516.5.
   • § 61317 “Wholesale customer” means any person other than a distributor that buys packaged milk, cream, or any dairy product for resale to consumers or to other…
2. ARTICLE 2. Nonprofit Cooperative Associations §§ 61331–61333 · 3 sections

   • § 61331 For the purposes of this chapter, a nonprofit cooperative association which is organized and existing under Chapter 1 (commencing with Section 54001) of…
   • § 61332 For the purposes of this chapter, a nonprofit cooperative association which is organized and existing under Chapter 1 (commencing with Section 54001) of…
   • § 61333 A nonprofit cooperative association accounts to producers on a patronage basis when it accounts to each producer for his share of the net proceeds derived from…
3. ARTICLE 3. General Provisions §§ 61341–61345 · 5 sections

   • § 61341 The director may adopt regulations for the proper administration and enforcement of the provisions of this chapter. Any violation of any such regulation is…
   • § 61342 The provisions of this chapter shall be liberally construed as being complementary of, and supplemental to, the provisions of Chapter 2 (commencing with…
   • § 61343 Any person and subject matter to which this chapter is applicable is not subject to the provisions of the Unfair Practices Act, Chapter 4 (commencing with…
   • § 61344 This chapter shall be liberally construed. If any article, section, subdivision, sentence, clause, or phrase of this chapter is for any reason held to be…
   • § 61345 (a) Chapter 2 (commencing with Section 61801), Chapter 2.5 (commencing with Section 62500), and Chapter 3 (commencing with Section 62700) shall be liberally…
4. ARTICLE 4. Unlawful Practices §§ 61381–61391 · 6 sections

   • § 61381 Any false or misleading advertising, as defined in Sections 32914 and 36062 of this code, and Sections 17500, 17501, and 17502 of the Business and Professions…
   • § 61382 Discrimination in price between distributors or between wholesale customers, or between consumers, that purchase milk, cream, or any dairy product of like…
   • § 61383 The sale or offer to sell or giving of any article in any transaction which involves the sale or disposal of milk, cream, or any dairy product, for less than…
   • § 61384 (a) The sale by any retailer, wholesale customer, manufacturer, or distributor, including any producer-distributor or nonprofit cooperative association acting…
   • § 61385 Any false statement or representation which is knowingly made, by any wholesale customer or consumer, or anyone that is acting on the behalf of either, to any…
   • § 61391 Solicitation by, or collusion or joint participation between or among, any manufacturer, distributor, producer, wholesale customer, consumer, or any…
5. ARTICLE 5. Bonding and Payment for Manufacturing Milk §§ 61400–61419 · 31 sections

   • § 61400 It is recognized by the Legislature that unfair and disruptive practices have developed concerning the purchasing of manufacturing milk, as defined in Section…
   • § 61404 The bond provided for in this article is required for each manufacturing milk handler.
   • § 61405 (a) Every manufacturing milk handler that operates only one plant within the state, before purchasing any manufacturing milk from a producer, shall execute and…
   • § 61405.1 If any handler increases his or her purchases of manufacturing milk during the license year so that the purchases exceed the amount for which the handler is…
   • § 61406 The bond required by Section 61405 shall be in a form approved by the director, and shall be conditioned upon the payment in the manner that is required by the…
   • § 61407 If a handler fails to pay any producer or producers in the manner that is required by this chapter, the director shall proceed forthwith to ascertain the names…
   • § 61407.1 (a) After determining the claims of the producers pursuant to Section 61407, the director shall bring an action on the bond on behalf of the producers. (b) Any…
   • § 61407.2 If the recovery upon the bond is not sufficient to pay all of the claims as finally determined and adjudged by the court, the amount recovered shall be divided…
   • § 61407.3 Payments by a handler to a producer, for the purposes of any action on a handler’s bond for any year, shall be credited first to interest and then to principal…
   • § 61407.4 (a) The director may bring an action against a surety bond company if the company fails to do any of the following: (1) Acknowledge promptly and act reasonably…
   • § 61408 If a manufacturing milk handler fails to pay any producer in the manner that is required by this chapter, the director may require the filing of a new or…
   • § 61409 The failure of any manufacturing milk handler that purchases manufacturing milk from producers to execute and deliver the bond as provided and required in this…
   • § 61410 The failure of any manufacturing milk handler that purchases manufacturing milk from producers to execute and deliver the bond as provided and required in this…
   • § 61411 Except as otherwise provided in Section 61411.2 or 61411.3, the purchase of any manufacturing milk in excess of 1,000 gallons monthly from any manufacturing…
   • § 61411.1 The production of manufacturing milk in excess of amounts to be purchased under contracts executed pursuant to Section 61411 shall be voluntary on the part of…
   • § 61411.2 Section 61411 does not apply to the purchase of manufacturing milk which is necessary to meet an unanticipated increase in demand or an unanticipated shortage…
   • § 61411.3 Section 61411 does not apply to manufacturing milk purchased under cash-on-delivery terms.
   • § 61411.4 Any contract between a producer and a handler shall be voidable by the producer for a 45-day period following the occurrence of either of the following: (a)…
   • § 61411.5 If a notice has been issued by the director that the future deliveries to the handler shall not be covered under the Milk Producers Security Trust Fund created…
   • § 61412 (a) (1) Every milk handler who receives manufacturing milk subject to this article shall deduct as an assessment from payments made to producers for…
   • § 61413 The director may fix the rates of assessments or fees required by Section 61412 at lesser amounts, and may adjust the rates of assessments or fees from time to…
   • § 61414 (a) Any assessment or fee or either of them payable pursuant to any provision of this article is a debt of the person by whom the assessment or fee or either…
   • § 61415 The failure of any handler to pay for manufacturing milk delivered to the handler at the time and in the manner specified in the contract with the producer is…
   • § 61415.1 (a) Handlers shall pay producers either by check or cash. Handlers electing to pay producers in cash shall, in all cases, obtain a dated, signed receipt from…
   • § 61415.2 (a) If a handler does not pay for manufacturing milk delivered to him or her at the time and in the manner specified in the contract, the handler shall pay the…
   • § 61415.3 If a handler fails to pay for manufacturing milk delivered to him or her at the time and in the manner specified in this chapter, the director may assess a…
   • § 61416 The director may revoke or suspend any license of a handler if the director finds as a result of a noticed hearing that the handler has not paid for any…
   • § 61416.1 The director, pursuant to the procedure in Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, may also refuse…
   • § 61417 In lieu of revoking or suspending a handler’s license under Section 61416, the director may impose any other conditional and probationary orders, pursuant to a…
   • § 61418 If the respondent does not comply with any conditional or probationary orders, the director may suspend or revoke the license in accordance with the procedure…
   • § 61419 (a) Whenever the director is satisfied, either by investigation or after a hearing, that a handler is unable to pay for any manufacturing milk purchased from…
6. ARTICLE 6. Records §§ 61441–61443 · 4 sections

   • § 61441 Every distributor, person who sells at wholesale, or manufacturer of milk, cream, or any dairy product shall maintain and keep, for a period of three years…
   • § 61442 The director shall have access to, and may enter at all reasonable hours, any place where any dairy product is being processed, bottled, stored, kept, or sold,…
   • § 61442.1 Within 60 days of the effective date of this section, each manufacturing milk handler shall provide the director with a list of the name, address, and date of…
   • § 61443 Any record or report which is made to the director pursuant to this article, or any contract required to be filed pursuant to this chapter, is confidential and…
7. ARTICLE 7. Investigations and Hearings §§ 61471–61478 · 8 sections

   • § 61471 The director may, upon his or her own motion or upon the receipt of any verified complaint, investigate any transaction that involves the violation of any…
   • § 61472 If a hearing is called by the director, the director shall cause a copy of the complaint, together with a notice of time and place of hearing of the complaint,…
   • § 61473 The hearing shall be held in the city or place in which is situated the business location of the person that is complained of, or in which the transaction…
   • § 61474 The person complained of shall, at least three days prior to the date fixed for the hearing, serve upon the complaining party and file with the director a…
   • § 61475 At the time and place which is appointed for such hearing the director shall hear the parties to such complaint, and shall enter in the office of the director…
   • § 61476 The director may do any of the following: (a) Administer oaths and take testimony thereunder. (b) Issue subpoenas which require the attendance of witnesses…
   • § 61477 Any party that disobeys any order or subpoena of the director is guilty of contempt and shall be certified to the superior court of the state, in and for the…
   • § 61478 Any act of the director pursuant to any provision of this chapter may be reviewed by any court of competent jurisdiction.
8. ARTICLE 8. Manufacturing Milk Handler Licenses §§ 61490–61494 · 5 sections

   • § 61490 For the purposes of this article, each subsidiary manufacturing milk plant, or branch manufacturing milk plant, whether under one ownership or not, shall be…
   • § 61491 “Manufacturing milk handler” means any person defined as a manufacturing milk handler pursuant to Section 61402.
   • § 61492 It is unlawful for a manufacturing milk handler who is not licensed under Article 12 (commencing with Section 62141) of Chapter 2 to handle manufacturing milk…
   • § 61493 Application for the license provided by this article shall be made on forms prescribed by the director, accompanied by an application fee as prescribed in…
   • § 61494 One-half of the valid license renewals shall be issued for a period of 24 months beginning January 1, 1988. The application fee for the renewal of the 24-month…
9. ARTICLE 9. Disposition and Use of Funds § 61531 · 1 section

   • § 61531 All money received by the director pursuant to this chapter shall be paid monthly into the State Treasury to the credit of the Department of Food and…
10. ARTICLE 10. Actions and Penalties §§ 61571–61573 · 3 sections

    • § 61571 The violation of any provisions of this chapter is a misdemeanor which is punishable by a fine not less than one hundred dollars ($100) and not exceeding one…
    • § 61572 Any person who violates this chapter, or any regulations adopted under this chapter, is liable civilly in an amount not less than one hundred dollars ($100)…
    • § 61573 The director may bring an action to enjoin the violation or the threatened violation of any provision of this chapter or of any order which is made pursuant to…