A comprehensive summary of today’s judicial, legislative, and regulatory developments in agriculture and food. Email important additions to: camarigg at uark.edu
JUDICIAL: Includes SNAP, legal malpractice, and bankruptcy issues.
In JAY SHRI GANESH; HITESHKUMAR PATEL, Plaintiffs-Appellants, v. UNITED STATES OF AMERICA, Defendant-Appellee., No. 16-5016, 2016 WL 4036404 (6th Cir. July 28, 2016), USDA permanently disqualified plaintiffs from participating in Food Stamp Program after discovering they trafficked in SNAP benefits. On appeal, plaintiffs contend district court improperly granted summary judgment for USDA because it relied upon “unauthenticated documents and found no genuine issue of material fact.” The court reasoned that burden of proof in a judicial review proceeding “is upon the aggrieved store to establish the invalidity of the administrative action by a preponderance of the evidence.” Furthermore, “To survive summary judgment, a plaintiff in a Food Stamp Program disqualification case must raise material issues of fact as to each alleged violation.” Plaintiffs did not meet this burden and judgment affirmed for USDA.
In In re Sandpoint Cattle Co., LLC, No. AP 14-04052-SKH, 2016 WL 4036380 (Bankr. D. Neb. July 22, 2016), plaintiff alleged legal malpractice against its former attorneys in a bankruptcy case. Plaintiff, a cattle rancher, owed money to a secured creditor and testified its attorneys “did not suggest they search for debtor-in-possession financing, seek a valuation hearing before surrendering the cattle or pursue a sale pursuant to the Bankruptcy Code.” Defendant attorney “conceded that he did not communicate the risks and benefits of alternatives typically employed in bankruptcy cases to liquidate or transfer collateral.” The court found defendant’s conduct “particularly egregious given that the legal strategy (plaintiff) ultimately employed—abandonment of income-producing assets without an agreement regarding the sum of debt offset—is very uncommon and imprudent.” Court found for plaintiff.
Fajardo v. United States, No. CV154790FMOPLAX, 2016 WL 4010080 (C.D. Cal. July 25, 2016), judgment entered, No. CV154790FMORAOX, 2016 WL 4009814 (C.D. Cal. July 25, 2016) involved a complaint seeking review of USDA administrative decision permanently disqualifying plaintiff’s store from the Supplemental Nutrition Assistance Program (SNAP) for food stamp trafficking. Upon review, court affirmed the decision, reasoning that “the evidence is undisputed that violations of the SNAP program occurred at plaintiff’s store and that the imposition of the permanent disqualification sanction was neither arbitrary nor capricious.”
In re Ripe, No. 15-70405, 2016 WL 4016974 (Bankr. S.D. Tex. July 21, 2016) concerned the adequacy of information in a debtor’s disclosure statement in a bankruptcy proceeding. The court adopted the Metrocraft factors, “non-exhaustively, as factors to consider for the purposes of determining the sufficiency of ‘adequate information’ in a disclosure statement.” Upon applying the nineteen Metrocraft factors, court found debtor “failed to provide adequate information as to certain portions of the debtor’s affairs,” and did not approve debtor’s disclosure statement.
REGULATORY: Includes USDA, FNS, FS, GIPSA, NMFS, and NRCS rules and notices.
AGRICULTURE DEPARTMENT: Notice USDA solicits nominations to fill vacancies on the National Agricultural Research, Extension, Education, and Economics Advisory Board and its subcommittees. Details here.
FOOD AND NUTRITION SERVICE:
Rule establishes requirements for State agencies, local educational agencies, and schools operating the Community Eligibility Provision. Details here.
Rule adopting the National School Lunch Program and School Breakfast Program regulations set forth in the interim final rule published in the Federal Register on June 28, 2013. Info here.
Rule revising the State agency’s administrative review process in the National School Lunch Program and School Breakfast Program to establish a unified accountability system designed to ensure school food authorities offering school meals comply with program requirements. Info here.
Rule requiring all local educational agencies that participate in the National School Lunch and School Breakfast Programs to meet expanded local school wellness policy requirements consistent with the requirements set forth in section 204 of the Healthy, Hunger- Free Kids Act of 2010. Info here.
FOREST SERVICE:
Notice the Forest Service seeks comments from individuals and organizations on the renewal of an approved information collection, Forest Industries and Residential Fuelwood and Post Data Collection Systems with a revision adding a Logging Operations Data Collection System. Info here.
Notice The Manti-La Sal National Forest (Forest), located in central and southeastern Utah and southwestern Colorado, is initiating the first phase of the Forest Planning process pursuant to the 2012 National Forest System Land Management Planning rule (36 CFR part 219). Details here.
Notice The Ontonagon Resource Advisory Committee (RAC) will meet in Ewen, Michigan. Info here.
Notice The Sabine-Angelina Resource Advisory Committee (RAC) will meet in Hemphill, Texas. Info here.
GRAIN INSPECTION, PACKERS, AND STOCKYARDS ADMINISTRATION: Rule GIPSA is revising and adding new regulations under the United States Grain Standards Act to comply with amendments to the USGSA made by the Agriculture Reauthorizations Act of 2015. Info here.
NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION:
Notice the New England Fishery Management Council will hold a public meeting of its Herring Committee on Tuesday, August 16, to consider actions affecting New England fisheries in the exclusive economic zone. Info here.
Notice the New England Fishery Management Council will hold a public meeting of its Herring Advisory Panel on Wednesday, August 17, 2016, to consider actions affecting New England fisheries in the exclusive economic zone. Info here.
Notice NMFS announces a 5-year review of the North Atlantic right whale under the Endangered Species Act of 1973. Details here.
NATIONAL RESOURCES CONSERVATION SERVICE: Notice NRCS will not prepare an environmental impact statement for the rehabilitation of Mountain Run Watershed Dam No. 50, Culpeper County, Virginia. Info here.