MISSISSIPPI LEGISLATURE
2022 Regular Session
To: Agriculture
By: Senator(s) Younger, McCaughn, Suber, Hickman
AN ACT TO REVISE THE REQUIREMENTS OF THE "MISSISSIPPI GRAIN WAREHOUSE LAW" AND THE "MISSISSIPPI GRAIN DEALERS LAW" BY PROVIDING FOR A COMBINED GRAIN HANDLER LICENSE ISSUED AND REGULATED BY THE MISSISSIPPI COMMISSIONER OF AGRICULTURE AND COMMERCE; TO AMEND SECTIONS 75-44-1 THROUGH 75-44-71, MISSISSIPPI CODE OF 1972, TO PROVIDE DEFINITIONS, PRESCRIBE REQUIREMENTS FOR THE NECESSITY OF OBTAINING A GRAIN HANDLER LICENSE, TO PRESCRIBE CERTAIN APPLICATION AND RENEWAL FEES FOR SUCH LICENSES, TO PRESCRIBE CERTAIN STATUTORY SURETY BOND AMOUNTS REQUIRED FOR LICENSED GRAIN HANDLERS, TO REQUIRE GRAIN HANDLER LICENSEES TO SUBMIT ANNUAL INDEPENDENT AUDITS WITH THE MISSISSIPPI DEPARTMENT OF AGRICULTURE AND COMMERCE AS LICENSING AGENCY; TO REPEAL SECTIONS 75-45-301 THROUGH 75-45-315, MISSISSIPPI CODE OF 1972, WHICH IS THE "MISSISSIPPI GRAIN DEALERS LAW OF 1978"; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 75-44-1, Mississippi Code of 1972, is amended as follows:
75-44-1. This chapter shall
be known as the "Mississippi Grain * * * Handler
Law of 2022."
SECTION 2. Section 75-44-3, Mississippi Code of 1972, is amended as follows:
75-44-3. (1) The
provisions of this * * * act shall apply to all grain
warehouses and to the operations of such grain warehouses whether or not any of
the grain therein is owned by the * * * grain
handler.
(2) The provisions and
definitions of the Uniform Commercial Code relating to warehouse receipts to
the extent not inconsistent with this * * * act
shall govern warehouse receipts issued by grain * * * handlers.
SECTION 3. Section 75-44-5, Mississippi Code of 1972, is amended as follows:
75-44-5. When used in this chapter:
(a) "Person" includes individuals, corporations, partnerships and all associations of two (2) or more persons having a joint or common interest.
(b) The term "commissioner" shall mean the Commissioner of the Mississippi Department of Agriculture and Commerce, or his designated representative.
(c) "Grain" shall mean all grains for which standards have been established pursuant to the United States Grain Standards Act, as amended, and rice as defined by the Agriculture Marketing Act of 1946, as amended.
(d) "Stored grain"
shall mean any grain received in any grain warehouse, located in this state, if
same is not purchased and beneficially owned by the grain * * * handler.
(e) "Grain handler" or "handler" means any person engaged in the business of buying grain from producers thereof for resale or for milling or processing or a person who operates a warehouse or other facility or group of facilities in which grain is or may be stored for compensation. A producer of grain buying grain for his own use as seed or feed shall not be considered as being engaged in business as a grain handler.
( * * *f) "Grain warehouse" shall mean
any structure or combination of structures operated together, including the
machinery and equipment used in connection therewith, in or by means or which
grain is unloaded, elevated, stored, loaded for shipment, dried, cleaned,
weighed, treated, conditioned or otherwise handled from producers of grain.
( * * *g) "Grain * * * handler" shall mean
any person who operates a grain warehouse as herein defined.
( * * *h) "Inspector" shall mean a
person authorized by the * * * warehouseman grain handler to weigh, inspect, grade
and/or certificate the weight and grade of grain stored or to be stored in a
grain warehouse.
( * * *i) "Warehouse receipt" shall
mean a negotiable grain storage receipt and/or a nonnegotiable scale ticket
given by a grain warehouse.
SECTION 4. Section 75-44-7, Mississippi Code of 1972, is amended as follows:
75-44-7. The commissioner
shall carry out and enforce the provisions of this * * * act
and is hereby empowered to promulgate rules and regulations to carry out
necessary inspections and to appoint and fix the duties of his personnel and
provide such equipment as may be necessary to assist him in enforcing the
provisions thereof.
SECTION 5. Section 75-44-9, Mississippi Code of 1972, is amended as follows:
75-44-9. (1) No
person shall (a) operate a grain warehouse with over one million (1,000,000)
bushels of licensed capacity; or (b) issue a warehouse receipt for
such grain warehouse; or (c) operate as a grain handler selling, transferring or
storing over one million (1,000,000) bushels or more annually, without
first having obtained a license * * * under the provisions of the United States Warehouse Act, as
amended.
(2) No person shall (a) operate a grain warehouse with over fifty thousand (50,000) and less than one million (1,000,000) bushels of licensed capacity; or (b) issue a warehouse receipt for such grain warehouse; or (c) operate as a grain handler selling, transferring or storing over fifty thousand (50,000) and less than one million (1,000,000) bushels annually, without first having obtained either a license under the provisions of the United States Warehouse Act, as amended, or a grain handler license from the Mississippi Department of Agriculture and Commerce under the provisions of this act.
(3) Any person who (a) operates a grain warehouse with less than fifty thousand (50,000) bushels of licensed capacity; or (b) issues a warehouse receipt for such grain warehouse; or (c) operates as a grain handler selling, transferring or storing less than fifty thousand (50,000) bushels annually, shall not be required to have a license issued by the United States Warehouse Act or by the Mississippi Department of Agriculture and Commerce under this act.
SECTION 6. Section 75-44-11, Mississippi Code of 1972, is amended as follows:
75-44-11. (1) Applications
for combined grain handler licenses under this * * * act
are to be made on forms prescribed by the commissioner for each separate
warehouse and grain handler's place of business, or, if an applicant
owns more than one (1) warehouse or grain handler's place of business at
any one (1) location, which does not exceed eight (8) miles in distance, then
all the warehouses and grain handler offices at that location may be
included in one (1) application. Every application is to be accompanied by an
application fee of * * * Five Hundred Dollars ($500.00)
and a certified financial statement in a form prescribed by the commissioner
and such further information as the commissioner may by regulation require.
(2) Grain handler licenses shall be nontransferrable.
SECTION 7. Section 75-44-13, Mississippi Code of 1972, is amended as follows:
75-44-13. Prior to the
issuance of a license, every applicant shall pay an annual license fee based
upon the capacity of the warehouse, such fee to be determined by the
commissioner, but not to exceed * * * Two Hundred Fifty
Dollars ($250.00).
SECTION 8. Section 75-44-15, Mississippi Code of 1972, is amended as follows:
75-44-15. If a grain * * *
handler desires to renew his license for an additional year, application
for such renewal shall be made on a form prescribed by the commissioner. At
least sixty (60) days prior to the expiration of each license, the commissioner
shall notify each grain * * * handler
of the date of such expiration and furnish such grain * * *
handler with the renewal form.
SECTION 9. Section 75-44-17, Mississippi Code of 1972, is amended as follows:
75-44-17. Before a license
to * * * operate as a grain handler is granted under Section
75-44-23, the grain * * * handler shall file with the
commissioner a copy of his schedule of charges for storage and other services. If
the grain * * * handler desires to make any
change in the schedule of charges during the license period, he shall file with
the commissioner a statement in writing showing the change at least thirty (30)
days prior to its effective date. Each grain * * *
handler shall keep conspicuously posted the schedule of charges for
storage and other services as so filed, and shall strictly adhere to these
charges.
SECTION 10. Section 75-44-19, Mississippi Code of 1972, is amended as follows:
75-44-19. Immediately upon
receipt of his license or of any modification or extension thereof, the grain * * *
handler shall post same and thereafter keep it posted until suspended or
terminated in a conspicuous place in the office of the grain warehouse or place
of business to which such license applies where receipts issued by such
grain * * * handler are delivered to depositors.
SECTION 11. Section 75-44-21, Mississippi Code of 1972, is amended as follows:
75-44-21. (1) Each grain * * *
handler shall have and maintain above all exemptions and liabilities,
total net assets available for the payment of any indebtedness arising from the
conduct of the grain warehouse or grain handler's place of business in
an amount equal to at least Twenty Cents (20¢) multiplied by the maximum number
of bushels of grain for which the grain * * *
handler is licensed, provided that no person may be licensed as a grain * * *
handler under the regulations * * * under this act unless he
has available net assets of at least Twenty Thousand Dollars ($20,000.00); and
provided further, that any deficiency in net assets required above the minimum
of Twenty Thousand Dollars ($20,000.00) may, at the discretion of the
commissioner, be supplied by a commensurate increase in the amount of the grain * * *
handler's bond furnished pursuant to Sections 75-44-29, 75-44-31, 75-44-33
and 75-44-35. In determining total available net assets, credit may be given
for insurable assets such as buildings, machinery, equipment and merchandise
inventory only to the extent of the current market value of such assets and
only to the extent that such assets are protected by insurance against loss or
damage. Such insurance shall be in the form of lawful policies issued by one
or more insurance companies authorized to do business and subject to service of
process in suits brought in this state, and which provide that no cancellation
shall be effective unless thirty (30) days' advance notice of such cancellation
is given to the commissioner.
(2) If a grain * * *
handler is licensed or is applying for license to operate two (2) or
more grain warehouses or grain handler's places of business, the maximum
total number of bushels which all such facilities will accommodate when stored
in the manner customary to the warehouses, or sold/transferred at the grain handler's
place of business, as determined by the commissioner, shall be considered
in determining whether the grain * * *
handler meets the available net assets requirement of subsection (1) of
this section.
(3) For the purposes of subsections (1) and (2) of this section only, capital stock as such shall not be considered a liability.
SECTION 12. Section 75-44-23, Mississippi Code of 1972, is amended as follows:
75-44-23. (1) Upon satisfaction of Sections 75-44-9 through 75-44-21, and 75-44-29 through 75-44-33, and any applicable regulations by an applicant, the commissioner shall issue a license to operate a grain warehouse.
(2) If after proper application, the commissioner denies any person, partnership, association or corporation a license to operate a grain warehouse, the commissioner shall transmit immediately to said applicant by certified mail an order so providing which shall state the reasons for said denial. In the event the applicant is dissatisfied at the decision of the commissioner, the applicant may request a hearing within ninety (90) days with the commissioner to appear and defend its compliance with all appropriate regulations and/or give evidence that all deficiencies have been corrected. If after said hearing, the commissioner denies applicant a license, the commissioner shall transmit immediately to applicant by certified mail an order so providing which shall state the reasons for said denial. In the event the applicant is dissatisfied at the decision of the commissioner after the hearing, the applicant may appeal to the chancery court of the county where the grain warehouse or grain handler's place of business is located within thirty (30) days of the date of said order in accordance with the provisions of subsection (2) of Section 75-44-25.
SECTION 13. Section 75-44-25, Mississippi Code of 1972, is amended as follows:
75-44-25. (1) If a grain * * *
handler is convicted of any crime involving fraud or deceit or if the
commissioner determines that any grain * * *
handler has violated any of the provisions of this chapter, or any of
the rules and regulations adopted by the commissioner pursuant to this chapter,
the commissioner may, at his discretion, suspend, cancel or revoke the license
of such grain * * * handler.
(2) All proceedings for the suspension, cancellation or revocation of licenses shall be before the commissioner, and the proceedings shall be in accordance with rules and regulations which shall be adopted by the commissioner. No license shall be cancelled or revoked except after a hearing before the commissioner upon reasonable notice to the licensee and an opportunity to appear and defend. The commissioner may temporarily suspend the license of a licensee for good and reasonable cause before notice or hearing and the licensee shall be entitled to a hearing on such temporary suspension without undue delay. Whenever the commissioner shall suspend, cancel or revoke any license he shall prepare an order so providing which shall state the reason or reasons for such suspension, cancellation or revocation. Said order shall be sent, by certified mail, by the commissioner to the licensee at the address of the grain warehouse licensed. Within thirty (30) days after the mailing of said order, the licensee, if dissatisfied with the order of the commissioner, may appeal to the chancery court of the county where the grain warehouse is located by filing a written notice of appeal alleging the pertinent facts upon which such appeal is grounded. At the time of the filing of the appeal, the appellant shall give a bond for costs conditioned upon his prosecution of the appeal without delay and payment of all costs assessed against him. Appeal may be with supersedeas and shall be subject to the provisions of Section 11-51-31.
(3) In case a license
issued to a grain * * * handler expires or is
suspended, revoked or cancelled by the commissioner or his designated
representative, such license shall be immediately returned to the commissioner
and the grain * * * handler shall forthwith
comply with the provisions of Section 75-44-67.
SECTION 14. Section 75-44-27, Mississippi Code of 1972, is amended as follows:
75-44-27. Upon satisfactory
proof of the loss or destruction of a license issued to a grain * * *
handler, a duplicate thereof, or a new license, may be issued under the
same number.
SECTION 15. Section 75-44-29, Mississippi Code of 1972, is amended as follows:
75-44-29. (1) Before any
person is granted a license pursuant to Section 75-44-23 such person shall give
a bond to the commissioner executed by the grain * * *
handler as principal and by a corporate surety licensed to do business
in this state as a surety in the amount prescribed in Section 75-44-31. The
bond shall be in favor of the commissioner for the benefit of all persons interested,
their legal representatives, attorneys or assigns, conditioned upon the
faithful compliance by the grain * * *
handler with the provisions of this chapter and the rules and
regulations of the State Department of Agriculture and Commerce applicable
thereto. The aggregate liability of the surety to all depositors or storers or
purchasers of grain shall not exceed the sum of such bond. The bond may be
cancelled at any time by the surety by giving written notice to the
Commissioner of Agriculture and Commerce of its intention to cancel the bond
and all liability thereunder shall terminate thirty-five (35) days after the
mailing of such notice except that such notice shall not affect any claims arising
under the bond, whether presented or not, before the effective date of the
cancellation notice.
(2) In lieu of the bond required in subsection (1) of this section an applicant for a license may be a self-insurer by posting with the commissioner any of the following:
(a) Cash;
(b) Certificates of deposit from any bank or banking corporation insured by the Federal Deposit Insurance Corporation;
(c) Irrevocable letters of credit from any bank or banking corporation insured by the Federal Deposit Insurance Corporation;
(d) Federal Treasury Bills; or
(e) Notes, securities or bonds secured by the federal government or the State of Mississippi.
Self-insurers shall post an amount equivalent to the amount of the bond required in Section 75-44-31.
SECTION 16. Section 75-44-31, Mississippi Code of 1972, is amended as follows:
75-44-31. (1) The amount
of bond to be furnished for each grain warehouse shall be fixed at a rate of Twenty-five
Cents (25¢) per bushel for the first one million (1,000,000) bushels of licensed
capacity; * * * provided that in no case shall the
amount of the bond be less than * * * Thirty
Thousand Dollars ($30,000.00) or more than * * * Two Hundred
Fifty Thousand Dollars ($250,000.00), except as prescribed in subsection
(3) of this section. The licensed capacity shall be equal to the maximum number
of bushels of grain that the grain warehouse can accommodate for storage or the
amount sold or transferred by the licensee acting as a grain handler. In
no event shall the liability of the surety accumulate for each successive
license period during which this bond is in force, but shall be limited in the
aggregate to the bond amount or changed by appropriate rider or endorsement.
(2) A grain * * *
handler who is licensed or is applying for licenses to operate two (2)
or more grain warehouses or places of grain-handling business may give a
single-bond meeting the requirements of this chapter to cover all such
grain warehouses or businesses within the state. In such cases all
grain warehouses or grain-handling businesses to be covered by the bond
shall be deemed to be one (1) warehouse or place of business for
purposes of determining the amount of bond required under subsection (1) of
this section.
(3) In case of a deficiency in the net assets required by Section 75-44-21, there shall be added to the amount of the bond, determined in accordance with subsection (1) of this section, an amount equal to such deficiency. In any other case in which the commissioner finds that conditions exist which warrant requiring additional bond, there shall be added to the amount of bond such further amount as is determined to be reasonable by the commissioner.
(4) The commissioner may, when he questions a grain handler's ability to pay producers for grain purchased, require a grain handler to post an additional bond in a dollar amount deemed appropriate by the commissioner. Failure to post such additional bond or certificate of deposit or irrevocable letter of credit, constitutes grounds for suspension or revocation of a license issued under this act.
SECTION 17. Section 75-44-33, Mississippi Code of 1972, is amended as follows:
75-44-33. If an application
is made for an amendment to a license and no bond previously filed by the grain * * *
handler under Sections 75-44-29 and 75-44-31 covers obligations arising
during the period covered by such amendment, the grain * * *
handler shall file with the commissioner an additional bond in such amount
as may be determined by the commissioner.
SECTION 18. Section 75-44-35, Mississippi Code of 1972, is amended as follows:
75-44-35. (1) It shall be
the duty of the grain * * * handler to
deliver grain to the holder of a warehouse receipt within ten (10) days of the
demand for the redemption of such receipt. In the event the grain * * *
handler fails to deliver grain to the holder of a warehouse receipt within
ten (10) days of the demand, the holder of the warehouse receipt may
make demand of the surety for payment under the bond. The surety has the
responsibility to pay within fifteen (15) days following receipt by the surety
of the notice of the demand for redemption. Any holder of a warehouse receipt
issued by a grain * * * handler who has made demand
for redemption of such receipt, which demand was, without lawful excuse, not
satisfied within ten (10) days, shall notify the commissioner in writing and
shall have the right to bring action against the grain * * *
handler and the surety on the grain * * *
handler's bond for payment of the market value of the grain represented
by such warehouse receipt, such market value to be determined as of the date of
the demand, plus legal interest accrued from the date of the demand. In the
event the grain * * * handler is a self-insurer
as provided in Section 75-44-29 the holder of a warehouse receipt shall have
the right to bring action against the grain * * *
handler to the extent of the amount posted in lieu of the bond. The commissioner
shall pay to the holder of the warehouse receipt, to the extent of the bond posted,
any judgment obtained by the holder of a warehouse receipt against a self-insurer.
The commissioner may also pay to the holder of a warehouse receipt the amount
of the market value of the grain provided that the grain * * *
handler agrees to such payment; provided, however, the license of the
grain * * * handler shall be suspended
upon such payment until such time as the * * *
handler posts a bond as provided in this chapter or posts with the
commissioner a sum equivalent to that paid by the commissioner on behalf of
such * * * grain handler.
(2) In all actions in which
judgment is rendered against any surety company under the provisions of this
section, if it appears from evidence that the surety company has * * * willfully and without just
cause refused to pay the loss upon demand, the court in rendering judgment
shall allow the plaintiff the amount of the plaintiff's expenses,
including court costs and attorney's fees, to be recovered and collected as
part of the costs. The amount of any payment of costs and attorney's fees
under this subsection will not reduce the surety's remaining liability on its
bond.
(3) If a grain handler should fail or refuse to make payment to a producer for grain purchased when such payment is requested by the producer and the request is made within thirty (30) days of the date of sale or the date of delivery of such grain to the handler, whichever is later, or other period of time specified by contractual arrangement, the producer shall notify the commissioner in writing of such failure or refusal within the period of thirty (30) days thereafter. The commissioner upon receiving such notice shall take whatever action is necessary. Grain handler liability under priced-later contracts, open-priced contracts, deferred price contracts, or similar agreements shall accrue under the bond in effect at the date of default as determined by the commissioner.
SECTION 19. Section 75-44-37, Mississippi Code of 1972, is amended as follows:
75-44-37. (1) Every grain * * *
handler shall at all times keep the grain stored in the grain warehouse
insured by an insurance company authorized to do business in this state. The
grain is to be insured for its full-market value against loss by fire,
inherent explosion, lightning and windstorm, and failure to do so shall make
the grain * * * handler liable for the
same. All such policies shall provide that no cancellations shall be effective
unless thirty (30) days' prior notice is given the commissioner.
(2) If fire, inherent
explosion, lightning or windstorm shall destroy or damage all or part of the
grain stored in any grain warehouse, the grain * * *
handler shall, upon demand by the holder of any warehouse receipt for
such grain, and upon being presented with the warehouse receipt, make
settlement for the fair-market value after deducting the warehouse
charges.
SECTION 20. Section 75-44-39, Mississippi Code of 1972, is amended as follows:
75-44-39. Every grain * * *
handler shall receive for storage or shipment, so far as the available
capacity for storage of the grain warehouse shall permit, all grain tendered to
him in the usual course of business; provided, however, a grain warehouse owned
and operated as a cooperative may decline to accept grain tendered by a nonmember
if such cooperative reasonably believes that its available capacity will be
required to serve the members of the cooperative. All such grain is to be inspected,
weighed and graded by an inspector except that:
(a) The depositor and
the grain * * * handler may agree upon a sample
taken from the lot of grain to be offered for storage as being a true and
representative sample.
(b) The depositor and
the grain * * * handler may agree upon the
grade of the grain offered for storage and a warehouse receipt may be issued on
the agreed grade.
SECTION 21. Section 75-44-41, Mississippi Code of 1972, is amended as follows:
75-44-41. Every grain * * *
handler shall keep in a place of safety complete, separate and correct
records and accounts pertaining to the grain warehouse including, but not
limited to, records and accounts of * * * the number
of bushels of grain received therein and withdrawn therefrom, all unissued
receipts and tickets in its possession, copies of all receipts and tickets
issued by it, and the receipts and tickets returned to and cancelled by it. Such
records shall be retained by the grain * * *
handler for a period of five (5) years.
SECTION 22. Section 75-44-43, Mississippi Code of 1972, is amended as follows:
75-44-43. (1) Every grain
warehouse shall be examined by the commissioner each year. The cost of such
examination shall be included in the annual license fee. The commissioner, at
his discretion, may make additional examinations of any grain warehouse at any
time. If any discrepancy is found as a result of additional examination, the
cost of such examination is to be paid by the grain * * *
handler.
(2) Every grain warehouse
shall at least annually send to the commissioner a copy of its financial
statement prepared by an accountant licensed by the State of Mississippi and
sworn to by the accountant and grain * * *
handler.
(3) The commissioner * * * shall also
require an unqualified audit by an accountant licensed by the State of
Mississippi as a requirement for licensing to be submitted annually directly
to the commissioner, and inspect the grain warehouse's and grain handler's
place of business, mode of conducting the same, facilities, equipment,
inventories, property, books, records, accounts, papers and minutes of
proceedings held at such grain warehouse or place of business, and any
other records deemed relevant to the operation of the grain warehouse or grain
handler's place of business by the commissioner.
(4) All scales used for the weighing of property in grain warehouses shall be subject to tests by any scale inspector duly appointed or authorized by the commissioner during regular business hours.
SECTION 23. Section 75-44-45, Mississippi Code of 1972, is amended as follows:
75-44-45. Each grain
warehouse shall employ, during all regular business hours, a grain inspector
(who may be the grain * * * handler
himself if such grain * * * handler is a
natural person) who shall be responsible for the accuracy of weights and grades
noted on all warehouse receipts.
SECTION 24. Section 75-44-47, Mississippi Code of 1972, is amended as follows:
75-44-47. (1) If the
condition of any grain offered for storage is such that it probably will affect
the condition of grain in the grain warehouse, the grain * * *
handler shall not receive such grain for storage or store such grain,
provided, however, that if the grain warehouse has separate bins or is equipped
with proper conditioning apparatus, the grain warehouse may receive such grain
for storage in such separate bins or may condition it and then store it in such
a manner as will not lower the grade of other grain.
(2) It shall be the grain * * *
handler's duty and obligation to condition and maintain the quantity and
quality of all grain as receipted.
SECTION 25. Section 75-44-49, Mississippi Code of 1972, is amended as follows:
75-44-49. (1) Every receipt issued for grain stored in a grain warehouse shall conform to the requirements of Section 75-7-202 and in addition shall embody within its written or printed terms:
(a) A statement that
the holder of the receipt or the depositor of the grain shall demand the
delivery of the grain on or before a date not later than one (1) year from the
date specified thereon by the grain * * *
handler;
(b) The net weight, number of bushels, percentage of dockage and the grading factors and the grade.
(2) A grain * * *
handler shall not insert any language in any warehouse receipt or make
any contract with respect to any warehouse receipt which purports to limit the
liabilities or responsibilities imposed on him by law.
(3) The possession of an indorsed warehouse receipt shall be prima facie evidence of grain in storage and the rightful ownership of such document and grain.
SECTION 26. Section 75-44-51, Mississippi Code of 1972, is amended as follows:
75-44-51. The commissioner shall require that at least one (1) actual or skeleton copy of all receipts shall be made and all copies shall have clearly and conspicuously printed or stamped thereon the words "Copy-Not Negotiable."
SECTION 27. Section 75-44-53, Mississippi Code of 1972, is amended as follows:
75-44-53. The form of all receipts
shall be approved by the commissioner. The commissioner shall be authorized to
have printed by the state printer all warehouse receipts issued by grain * * *
handlers.
SECTION 28. Section 75-44-55, Mississippi Code of 1972, is amended as follows:
75-44-55. If a grain * * *
handler delivers only a part of a lot of grain for which he has issued a
negotiable receipt under this chapter, he shall take up and cancel such receipt
and issue a new receipt in accordance with the provisions of Sections 75-44-49
through 75-44-65 for the undelivered portion of grain.
SECTION 29. Section 75-44-57, Mississippi Code of 1972, is amended as follows:
75-44-57. A grain * * *
handler shall not deliver grain for which he has issued a negotiable
receipt until the receipt has been returned to him and cancelled, and shall not
deliver grain for which he has issued a nonnegotiable receipt until he has
received authority from the person lawfully entitled to such delivery, or his
authorized agent.
SECTION 30. Section 75-44-59, Mississippi Code of 1972, is amended as follows:
75-44-59. The commissioner shall require that all warehouse receipts issued by a grain warehouse shall be numbered consecutively, and no two (2) receipts bearing the same number shall be issued from the same warehouse during any one (1) year, except in the case of a lost or destroyed receipt.
SECTION 31. Section 75-44-61, Mississippi Code of 1972, is amended as follows:
75-44-61. The commissioner
shall require that no warehouse receipt shall be issued except upon actual
delivery of grain into storage in the warehouse from which it purports to be
issued, nor shall any receipt be issued for a greater quantity of grain than
was contained in the lot or parcel * * * or received for storage, nor shall
more than one (1) receipt be issued for the same lot of grain, except in cases
where a receipt for a part of a lot is desired, and then the aggregate receipts
for a particular lot shall cover that lot and no more.
SECTION 32. Section 75-44-63, Mississippi Code of 1972, is amended as follows:
75-44-63. A grain * * *
handler may make a valid sale or pledge of any warehouse receipts issued
for grain of which the * * * handler is the
owner, either solely or jointly or in common with others, and the recital of
ownership in the receipt shall constitute notice of the right to sell or pledge
the same and of the title or specific lien of the transferee or pledgee upon
the * * * grain handler's grain
represented by the receipts.
SECTION 33. Section 75-44-65, Mississippi Code of 1972, is amended as follows:
75-44-65. (1) If grain is
offered for storage in any licensed grain warehouse and the grain * * *
handler does not have storage space to handle the same, the grain * * *
handler, with the written consent of the owner, may accept grain
for shipment to another grain warehouse where storage is available.
(2) The receipt to cover grain to be transported to and stored in another grain warehouse shall embody within its written or printed terms, in addition to the requirements of Section 75-44-49, the name and location of the grain warehouse to which the grain will be shipped for storage.
SECTION 34. Section 75-44-67, Mississippi Code of 1972, is amended as follows:
75-44-67. Any * * * grain
handler operating a grain warehouse who desires to discontinue such operation
at the expiration of his license or whose license is suspended, revoked or
cancelled by the commissioner or his designated representative shall notify the
commissioner and all holders of warehouse receipts and all parties storing grain
in the grain warehouse, if known, or if not known, by advertising in the
newspaper or newspapers of largest general circulation in the community in
which the grain warehouse is located once per week for three (3) consecutive
weeks, at least thirty (30) days prior to the date of expiration of his
license, of his intention to discontinue the grain warehouse business, and the
owners of the grain shall remove, or cause to be removed, their grain from such
grain warehouse before the expiration of the license.
SECTION 35. Section 75-44-69, Mississippi Code of 1972, is amended as follows:
75-44-69. No inspector or
employee of the commissioner's office shall disclose any information obtained
by him in the course of his employment related to the affairs or transactions
of any grain warehouse without first having obtained the express permission in
writing of such grain * * * handler.
SECTION 36. Section 75-44-71, Mississippi Code of 1972, is amended as follows:
75-44-71. (1) Any person
who issues a warehouse receipt for grain without holding a valid grain
warehouse license or who commits any willful violation of any provision of this
chapter, shall be guilty of a felony, and upon conviction thereof, punishable
by a fine of not more than * * * Fifty Thousand
Dollars ($50,000.00) and/or imprisonment for not more than five (5) years.
(2) Any unintentional or
negligent violation of this chapter shall be a misdemeanor, and upon conviction
thereof, punishable by a fine of not more than * * * One Thousand
Dollars ($1,000.00) and/or imprisonment for not more than one (1) year.
SECTION 37. Sections 75-45-301, 75-45-303, 75-45-304, 75-45-305, 75-45-307, 75-45-309, 75-45-311, 75-45-313 and 75-45-315, Mississippi Code of 1972, which are the "Mississippi Grain Dealers Law of 1978," are hereby repealed.
SECTION 38. This act shall take effect and be in force from and after July 1, 2022.