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with the State treasurer as custodian for the department of
agriculture fund. The sums that have been deposited with the
State treasurer payable to the consumer shall not be subject to
claim by the consumer after 12 months from the date of
assessment.
The "investigational allowance" allows for variations in
fertilizer sampling, handling, and laboratory analysis. If a
deficiency exceeds the investigational allowance, then the
penalty is assessed on the entire deficiency.
The intent of the statute is to reimburse the consumer for
the cost of the deficient fertilizer ingredient, which the farmer
paid for but never received, and the lower crop production that
results from the deficiency in the fertilizer.
Thus, under N.C. Gen. Stat. sec. 106-665, if a fertilizer is
deficient in one or more fertilizer ingredients from the amount
requested by, and guaranteed to, the customer/farmer, then a
penalty is imposed on the manufacturer. The penalty under N.C.
Gen. Stat. sec. 106-665 is calculated on the amount and relative
value of the deficient product. For example, for 25 tons (2,000
pounds per ton) of 10-10-10 fertilizer (10 percent nitrogen, 10
percent potash, and 10 percent phosphate) which contains only 8
percent nitrogen, the penalty is calculated as follows: the
fertilizer is guaranteed to contain 200 pounds of nitrogen per
ton (i.e., 2,000 pounds x 10 percent), but it contains only 160
pounds of nitrogen (i.e., 2,000 pounds x 8 percent). As a
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Last modified: May 25, 2011