§ 61406 Milk Handler Producer Payment Bond

• •Milk buyers must have a special promise (bond) to pay dairy farmers on time.
• •The promise must be approved by the boss (director) and follow the payment rules.
• •If the milk buyer doesn’t pay, the promise helps the farmers get their money.
• •The promise is for all farmers who sell milk to the buyer.

A milk company buys milk from a dairy farm but doesn’t pay them.

The farm can use the company’s promise (bond) to get the money they’re owed. The promise makes sure the company pays what they agreed to.