SENATE BILL REPORT
SB 5848
AS REPORTED BY COMMITTEE ON AGRICULTURE, MARCH 1, 1993
Brief Description: Regulating consignment rights of orchard crops.
SPONSORS: Senators M. Rasmussen, Loveland and Barr
SENATE COMMITTEE ON AGRICULTURE
Majority Report: That Substitute Senate Bill No. 5848 be substituted therefor, and the substitute bill do pass.
Signed by Senators M. Rasmussen, Chairman; Loveland, Vice Chairman; Anderson, Barr, Bauer, and Snyder.
Staff: John Stuhlmiller (786‑7446)
Hearing Dates: February 25, 1993; March 1, 1993
BACKGROUND:
Currently, goods (including all agricultural products) delivered to a business for consignment are subject to the claims of the consignee's creditors even though the producer of the goods has not yet been paid for the products.
SUMMARY:
Orchard crops delivered to a business for consignment remain the property of the farmer until the farmer receives payment for the crop, and are excluded from claims of the consignee's creditors.
EFFECT OF PROPOSED SUBSTITUTE:
It is clarified that those covered by the bill are farmers who are defined as consignors in the Commission Merchants Act.
Appropriation: none
Revenue: none
Fiscal Note: none requested
TESTIMONY FOR:
Farmers need to be protected when consigning orchard crops because they are not now protected by the preparer and processor liens when the product is in the hands of a packing shed.
TESTIMONY AGAINST: None
TESTIFIED: Dan Coyne (pro); Jon Darling, Washington State Farm Bureau (pro); Trevor Sandison, Washington Bankers Association