§ 499f. — Complaints, written notifications, and investigations.
[Laws in effect as of January 7, 2003]
[Document not affected by Public Laws enacted between
January 7, 2003 and December 19, 2003]
[CITE: 7USC499f]
TITLE 7--AGRICULTURE
CHAPTER 20A--PERISHABLE AGRICULTURAL COMMODITIES
Sec. 499f. Complaints, written notifications, and investigations
(a) Reparation complaints
(1) Petition; process
Any person complaining of any violation of any provision of
section 499b of this title by any commission merchant, dealer, or
broker may, at any time within nine months after the cause of action
accrues, apply to the Secretary by petition, which shall briefly
state the facts, whereupon, if, in the opinion of the Secretary, the
facts therein contained warrant such action, a copy of the complaint
thus made shall be forwarded by the Secretary to the commission
merchant, dealer, or broker, who shall be called upon to satisfy the
complaint, or to answer it in writing, within a reasonable time to
be prescribed by the Secretary.
(2) Filing and handling fees
A person submitting a petition to the Secretary under paragraph
(1) shall include a filing fee of $60 per petition. If the Secretary
determines under paragraph (1) that the facts contained in the
petition warrant further action, the person or persons submitting
the petition shall submit to the Secretary a handling fee of $300.
The Secretary may not forward a copy of the complaint to the
commission merchant, dealer, or broker involved until after the
Secretary receives the required handling fee. The Secretary shall
deposit fees submitted under this paragraph into the Perishable
Agricultural Commodities Act Fund provided for by section 499c(b) of
this title. The Secretary may alter the fees specified in this
paragraph by rulemaking under section 553 of title 5.
(b) Disciplinary violations
Any officer or agency of any State or Territory having jurisdiction
over commission merchants, dealers, or brokers in such State or
Territory and any other interested person (other than an employee of an
agency of the Department of Agriculture administering this chapter) may
file, in accordance with rules prescribed by the Secretary, a written
notification of any alleged violation of this chapter by any commission
merchant, dealer, or broker. In addition, any official certificates of
the United States Government or States or Territories of the United
States and trust notices filed pursuant to section 499e of this title
shall constitute written notification for the purposes of conducting an
investigation under subsection (c) of this section. The identity of any
person filing a written notification under this subsection shall be
considered to be confidential information. The identity of such person,
and any portion of the notification to the extent that it would indicate
the identity of such person, are specifically exempt from disclosure
under section 552 of title 5 (commonly known as the Freedom of
Information Act), as provided in subsection (b)(3) of such section.
(c) Investigation of complaints and notifications
(1) Commencing or expanding an investigation
If there appears to be, in the opinion of the Secretary,
reasonable grounds for investigating a complaint made under
subsection (a) of this section or a written notification made under
subsection (b) of this section, the Secretary shall investigate such
complaint or notification. In the course of the investigation, if
the Secretary determines that violations of this chapter are
indicated other than the alleged violations specified in the
complaint or notification that served as the basis for the
investigation, the Secretary may expand the investigation to include
such additional violations.
(2) Issuance of complaint by Secretary; process
In the opinion of the Secretary, if an investigation under this
subsection substantiates the existence of violations of this
chapter, the Secretary may cause a complaint to be issued. The
Secretary shall have the complaint served by registered mail or
certified mail or otherwise on the person concerned and afford such
person an opportunity for a hearing thereon before a duly authorized
examiner of the Secretary in any place in which the subject of the
complaint is engaged in business. However, in complaints wherein the
amount claimed as damages does not exceed $30,000, a hearing need
not be held and proof in support of the complaint and in support of
respondent's answer may be supplied in the form of depositions or
verified statements of fact.
(3) Special notification requirements for certain
investigations
Whenever the Secretary initiates an investigation on the basis
of a written notification made under subsection (b) of this section
or expands such an investigation, the Secretary shall promptly
notify the subject of the investigation of the existence of the
investigation and the nature of the alleged violations of this
chapter to be investigated. Not later than 180 days after providing
the initial notification, the Secretary shall provide the subject of
the investigation with notice of the status of the investigation,
including whether the Secretary intends to issue a complaint under
paragraph (2), terminate the investigation, or continue or expand
the investigation. The Secretary shall provide additional status
reports at the request of the subject of the investigation and shall
promptly notify the subject of the investigation whenever the
Secretary terminates the investigation.
(d) Decisions on complaints
After opportunity for hearing on complaints where the damages
claimed exceed the sum of $30,000 has been provided or waived and on
complaints where damages claimed do not exceed the sum of $30,000 not
requiring hearing as provided herein, the Secretary shall determine
whether or not the commission merchant, dealer, or broker has violated
any provision of section 499b of this title.
(e) Bond required for certain complaints
In case a complaint is made by a nonresident of the United States,
or by a resident of the United States to whom the claim of a nonresident
of the United States has been assigned, the complainant shall be
required, before any formal action is taken on his complaint, to furnish
a bond in double the amount of the claim conditioned upon the payment of
costs, including a reasonable attorney's fee for the respondent if the
respondent shall prevail, and any reparation award that may be issued by
the Secretary of Agriculture against the complainant on any counter
claim by respondent: Provided, That the Secretary shall have authority
to waive the furnishing of a bond by a complainant who is a resident of
a country which permits the filing of a complaint by a resident of the
United States without the furnishing of a bond.
(June 10, 1930, ch. 436, Sec. 6, 46 Stat. 534; Apr. 13, 1934, ch. 120,
Secs. 8-10, 48 Stat. 586, 587; Aug. 20, 1937, ch. 719, Secs. 8, 9, 50
Stat. 728; Pub. L. 86-507, Sec. 1(4), June 11, 1960, 74 Stat. 200; Pub.
L. 87-725, Sec. 8, Oct. 1, 1962, 76 Stat. 675; Pub. L. 92-231, Sec. 1,
Feb. 15, 1972, 86 Stat. 38; Pub. L. 97-98, title XI, Sec. 1115(c), Dec.
22, 1981, 95 Stat. 1270; Pub. L. 97-352, Sec. 2, Oct. 18, 1982, 96 Stat.
1667; Pub. L. 102-237, title X, Sec. 1011(4), Dec. 13, 1991, 105 Stat.
1898; Pub. L. 104-48, Secs. 7, 8(a), Nov. 15, 1995, 109 Stat. 428, 429.)
Codification
Section was formerly classified to section 556 of this title.
Amendments
1995--Pub. L. 104-48, Sec. 7(d)(1), substituted ``Complaints,
written notifications, and investigations'' for ``Complaint and
investigation'' in section catchline.
Subsec. (a). Pub. L. 104-48, Sec. 8(a), inserted subsec. heading,
designated existing provisions as par. (1), inserted par. (1) heading,
and added par. (2).
Subsec. (b). Pub. L. 104-48, Sec. 7(a), inserted heading and amended
text generally. Prior to amendment, text read as follows: ``Any officer
or agency of any State or Territory having jurisdiction over commission
merchants, dealers, or brokers in such State or Territory and any
employee of the United States Department of Agriculture or any
interested person may file, in accordance with rules and regulations of
the Secretary, a complaint of any violation of any provision of this
chapter by any commission merchant, dealer, or broker and may request an
investigation of such complaint by the Secretary.''
Subsec. (c). Pub. L. 104-48, Sec. 7(b), inserted heading and amended
text generally. Prior to amendment, text read as follows: ``If there
appear to be, in the opinion of the Secretary, any reasonable grounds
for investigating any complaint made under this section, the Secretary
shall investigate such complaint and may, if in his opinion the facts
warrant such action, have said complaint served by registered mail or by
certified mail or otherwise on the person concerned and afford such
person an opportunity for a hearing thereon before a duly authorized
examiner of the Secretary in any place in which the said person is
engaged in business: Provided, That in complaints wherein the amount
claimed as damages does not exceed the sum of $15,000, a hearing need
not be held and proof in support of the complaint and in support of
respondent's answer may be supplied in the form of depositions or
verified statements of fact.''
Subsec. (d). Pub. L. 104-48, Sec. 7(c), (d)(2), inserted heading and
substituted ``$30,000'' for ``$15,000'' in two places in text.
Subsec. (e). Pub. L. 104-48, Sec. 7(d)(3), inserted heading.
1991--Subsecs. (c), (d). Pub. L. 102-237 inserted a period at end of
subsec. (c) and substituted a period for semicolon at end of subsec.
(d).
1982--Subsec. (e). Pub. L. 97-352 inserted ``or by a resident of the
United States to whom the claim of a nonresident of the United States
has been assigned,'' after ``In case a complaint is made by a
nonresident of the United States,''.
1981--Subsecs. (c), (d). Pub. L. 97-98 substituted ``$15,000'' for
``$3,000''.
1972--Subsec. (c). Pub. L. 92-231 substituted ``$3,000'' for
``$1,500''.
Subsec. (d). Pub. L. 92-231 substituted ``$3,000'' for ``$1,500''
wherever appearing.
1962--Subsec. (c). Pub. L. 87-725 substituted ``$1,500'' for
``$500''.
Subsec. (d). Pub. L. 87-725 substituted ``$1,500'' for ``$500''
wherever appearing.
1960--Subsec. (c). Pub. L. 86-507 inserted ``or by certified mail''
after ``registered mail''.
1937--Subsec. (b). Act Aug. 20, 1937, Sec. 8, substituted ``section
499b of this title'' for ``this chapter''.
Subsec. (e). Act Aug. 20, 1937, Sec. 9, inserted ``and any
reparation award that may be issued by the Secretary of Agriculture
against the complainant on any counter claim by respondent'' and
proviso.
1934--Subsec. (c). Act Apr. 13, 1934, Sec. 8, inserted proviso.
Subsec. (d). Act Apr. 13, 1934, Sec. 9, substituted ``complaints''
for ``a complaint'' after ``on'' and inserted ``where damages claimed do
not exceed the sum of $500 not requiring hearing as provided herein''
after ``complaints''.
Subsec. (e). Act Apr. 13, 1934, Sec. 10, among other changes,
inserted ``formal'' before ``action''.
Effective Date of 1982 Amendment
Section 3 of Pub. L. 97-352 provided that: ``The amendment made by
section 2 [amending this section] shall not apply with respect to
complaints made under section 6(e) of the Perishable Agricultural
Commodities Act, 1930 [subsec. (e) of this section], before the date of
enactment of this Act [Oct. 18, 1982].''
Effective Date of 1981 Amendment
Amendment by Pub. L. 97-98 effective Dec. 22, 1981, see section 1801
of Pub. L. 97-98, set out as an Effective Date note under section 4301
of this title.
Filing and Handling Fees During Fiscal Years 1995 and 1996
Pub. L. 103-276, Sec. 1, July 5, 1994, 108 Stat. 1406, during fiscal
years 1995 and 1996, directed Secretary of Agriculture to require filing
fee of $60 per petition for petitions alleging violation of section 499b
of this title and handling fee of $300 for petitions that warrant
further action, which handling fee was to be included in determining
amount of damages, with both fees to be deposited into the Perishable
Agricultural Commodities Act Fund, prior to repeal by Pub. L. 104-48,
Sec. 8(c), Nov. 15, 1995, 109 Stat. 429. See subsec. (a)(2) of this
section.
Section Referred to in Other Sections
This section is referred to in sections 499e, 499g, 499h, 499m of
this title.
