7 C.F.R. § 1425.14

Member business

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(a) At least 50 percent of a crop of an authorized commodity acquired by, or delivered to, a CMA for marketing must be produced by its members for the CMA to obtain a MAL or LDP for such crop. CCC may, for a period not to exceed 2 years, waive this requirement if:

(1) The CMA can establish to CCC that such authorization is necessary for the efficient operation of the CMA; and

(2) The CMA's plan, approved by CCC, will bring the CMA into compliance with the provisions of this section.

(b) Commodities purchased or acquired from CCC and processed products acquired from other processors or merchandisers shall not be considered in determining the volume of member or nonmember business.

[63 FR 17312, Apr. 9, 1998, as amended at 80 FR 131, Jan. 2, 2015]
Notes of Decisions
Cited in 2 cases, 1978–1979 · leading case: Hiatt Grain & Feed, Inc. v. Bergland, 446 F. Supp. 457 (D. Kan. 1978).
Hiatt Grain & Feed, Inc. v. Bergland, 446 F. Supp. 457 (D. Kan. 1978). “11 ]; (c) the members shared proportionately in the proceeds from marketings [compare with 7 C.F.R. § 1425.14 (b)]; (d) the rice purchased from non-members was segregated sufficiently to assure that the rice placed under loan accurately reflected the quantity and quality of rice…”
Hiatt Grain & Feed, Inc. v. Bergland, 602 F.2d 929 (10th Cir. 1979). “7 C.F.R. § 1425.14 (a). Before the regulations, growers who placed their wheat in the cooperative’s pool were not eligible for price support loans on such *931 grain because title to it had passed to the cooperative.”
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