Certain practices of distributors prohibited whether stabilization and marketing plan in effect or not.
1. No distributor may engage in any of the practices set forth in paragraphs (a) to (d), inclusive, of subsection 2 of this section, whether or not a stabilization and marketing plan is in effect in the area in which he carries on his business.
2. Each stabilization and marketing plan must contain provisions for prohibiting distributors and retail stores from engaging in the unfair practices set forth in this subsection:
(a) The payment, allowance or acceptance of secret rebates, secret refunds or unearned discounts by any person, whether in the form of money or otherwise.
(b) The giving of any milk, cream, dairy products, substitute dairy products as defined in NRS 584.176, 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 any customer.
(c) The extension to certain customers of special prices or services not made available to all customers who purchase fluid milk, fluid cream, dairy products, or substitute dairy products as defined in NRS 584.176, of like quantity under like terms and conditions.
(d) The purchase of any fluid milk in excess of 200 gallons monthly from any producer or association of producers unless a written contract has been entered into with the producer or association of producers stating the amount of fluid milk to be purchased for any period, the quantity of milk to be paid for as class 1 in pounds of milk, pounds of milk fat or gallons of milk, and the price to be paid for all milk received. The contract must also state the date and method of payment for the fluid milk, which must be that payment must be made for approximately one-half of the milk delivered in any calendar month not later than the 1st day of the next following month and the remainder not later than the 15th day of the month, the charges for transportation if hauled by the distributor, and may contain other provisions which are not in conflict with NRS 584.325 to 584.670, inclusive. The contract must also provide that the producer is not obligated to deliver in any calendar month fluid milk which is to be paid for at the lowest class price for milk usage established by the Commission for that area. A signed copy of the contract must be filed by the distributor with the Commission within 5 days from the date of its execution.
ÊThe provisions of this subsection relating to dates of payment do not apply to contracts for the purchase of fluid milk from nonprofit cooperative associations of producers.
3. This section does not apply to discounts offered by a retail store to elderly consumers.
Last modified: February 26, 2006