Montana Code Annotated 2021



Part 3. Regulation of Milk Prices

Rules Of Fair Trade Practices

81-23-303. Rules of fair trade practices. (1) The board may adopt reasonable rules governing fair trade practices as they pertain to the transaction of business among licensees under this chapter and among licensees and the general public. Except for provisions regarding the requirement for first call on Montana milk supplies, as provided in 81-23-302(10), rules adopted pursuant to 81-23-302(11), and as provided in subsection (2), fair trade practice rules must contain but are not limited to provisions prohibiting the following methods of doing business that are unfair, unlawful, and not in the public interest:

(a) the payment, allowance, or acceptance of secret rebates, secret refunds, or unearned discounts by a person, whether in the form of money or otherwise;

(b) the giving of milk, cream, dairy products, services, or articles of any kind, except to bona fide charities, for the purpose of securing or retaining the fluid milk or fluid cream business of a customer;

(c) the extension to certain customers of special prices or services not available to all customers who purchase milk of like quantity under like terms and conditions; and

(d) the payment of a price lower than the applicable producer price, established by the board, by a distributor to a producer for milk that is distributed to any person, including agencies of the federal, state, or local government.

(2) A payment subject to a milk price forward contract that is less than the minimum producer price is not a violation of this section.

History: En. Sec. 14, Ch. 204, L. 1939; amd. Sec. 8, Ch. 192, L. 1959; amd. Sec. 98, Ch. 431, L. 1975; R.C.M. 1947, 27-414; amd. Sec. 5, Ch. 23, L. 1983; amd. Sec. 5, Ch. 242, L. 1995; amd. Sec. 75, Ch. 7, L. 2001; amd. Sec. 10, Ch. 361, L. 2009; amd. Sec. 2, Ch. 189, L. 2021.