WASHINGTON – U.S. Senator Kevin Cramer (R-ND) applauded the U.S. Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) today for establishing a new Dealer Statutory Trust to Protect Livestock Sellers. Senator Cramer helped introduce legislation to establish the trust and worked to secure its passage last December.
“The Dealer Statutory Trust protects livestock producers when they need to recoup outstanding costs or livestock in the event of a dealer default,” said Senator Cramer. “I appreciate the Agriculture Department’s quick implementation, and I look forward to making sure it works properly for our producers.”
Background:
The Dealer Statutory Trust provides a livestock dealer or sale barn a way to recover losses on cattle in the event of a payment default. Trust claims must be filed within 30 days of the final date for making payment, or within 15 business days after the seller receives notice of a dishonored payment. Dealers who receive a trust claim notice are required to give notice within 15 days to anyone holding a lien on the livestock held in the trust. Learn more here.
Last year, Senator Cramer helped introduced on the Securing All Livestock Equitably (SALE) Act, a bill to establish livestock statutory dealer trust protections for owners of unpaid livestock in the event of a dealer default. Senator Cramer prioritized the inclusion of this bill in the year-end spending package, which passed in December 2020.