On January 16, 2019, we blogged about the successful challenge to Iowa’s so-called Ag-Gag Law, designed to prevent undercover investigations of abusive farm practices. As expected, the state of Iowa has appealed that decision to the Eighth Circuit.
On February 26, 2019, in Nutraceutical Corp. v. Lambert, the Supreme Court of the United States held that Federal Rule of Civil Procedure 23(f)’s 14-day deadline to request permission to appeal a district court’s order regarding class certification cannot be equitably tolled.
The Milwaukee Journal Sentinel reported on potential Wisconsin rules limiting manure spreading.
Food Dive discussed Amazon Prime grocery items.
The Produce News discussed the growth of Colorado farmers markets.
NationSwell discussed California use of wastewater to irrigate crops.
ABC News reported on efforts to turn ugly vegetables into usable products.
Agricultural producers face liability risks generally experienced by most businesses – workers compensation, for example, and risks that can easily be covered by standard property and casualty insurance policies. However, agricultural growers and producers are also confronted with particular risks of losses and liabilities endemic to agriculture that go to the very heart of their businesses as farming operations. As those involved in agribusiness realize, standard property and casualty policies may not be available to provide coverage for the unique risks and potential losses an agricultural producer faces – losses attributable to:
- environmental matters;
- animal diseases;
- crop diseases;
- pesticides and fertilizers; and
- livestock and crop contamination, resulting in food borne illnesses for which there is liability and product recalls;
to name a few. Even if the commercial insurance is technically available, it is not available on practical terms because the premiums are so costly and the deductibles are so high the producers and growers cannot afford to pay them and still generate sufficient net income from their farming operations. Further, if and to the extent carriers are willing to write insurance policies for these unique agricultural risks, they are of little value because the policy exclusions leave uncovered many of the very risks of which the producer is most concerned and for which it needs the policy.
Many large agribusiness companies have addressed their risk management issues through the formation and operation of single parent captive insurance subsidiaries as referenced in a previous post. However, producers and growers have not embraced captive insurance despite the fact that it may represent a risk management tool tailor-made for the unique risks faced by crop growers as well as for the risks faced by livestock producers. Most give as their reason for not pursuing captive insurance their belief that implementing and operating a captive insurance company is too costly, too complicated and draws their attention away from their primary focus – growing and selling crops or livestock or operating their related businesses. Continue Reading Captive Insurance Can Help Agribusinesses Come Rain or Shine (or Other Events Adversely Impacting Industry Participants)
Yesterday, Husch Blackwell attorneys focused on the firm’s precision agriculture initiative, Matt Grant and Bob Wilkinson, attended the “Agriculture and Data: Finding What Works” conference organized by the Precision Ag media group. The event took place at the airport Marriott in St. Louis, Missouri and was attended by a cross-section of providers and farmers from across the country.
The full day of panel discussions (agenda can be found here) focused on the standardization of data storage, value chain and privacy issues; and included speakers from industry leaders such as John Deere and Climate Corp. A presentation from Ag Gateway focused on efforts to ensure transparency and compatible software networking. Growers actively participated in discussions regarding data storage, privacy, access and retrieval.
Farmer panelists provided a unique view into both the eagerness and concerns associated with grower adoption of what may be viewed as unproven software modeling and return on investment (ROI).
The standing room only crowd demonstrated the continued interest in the area of precision agriculture and big data. The Husch Blackwell Precision Ag team will continue to monitor and report further developments.
Bloomberg reported on plans by PepsiCo to sell new stevia-sweetened soda on Amazon.
USAgNet reported on research for a peanut that won’t cause allergies.
USAgNet discussed new FDA animal antibiotic regulations.
Bloomberg discussed corn futures slumping to 5 year low.
The Los Angeles Times discussed the prospect of tighter water restrictions in California.