United States Code

USC most recently checked for updates: May 28, 2023

§ 8772.
Dairy forward pricing program
Program required

The Secretary shall establish a program under which milk producers and cooperative associations of producers are authorized to voluntarily enter into forward price contracts with milk handlers.

Minimum milk price requirements
Payments made by milk handlers to milk producers and cooperative associations of producers, and prices received by milk producers and cooperative associations, in accordance with the terms of a forward price contract authorized by subsection (a), shall be treated as satisfying—
all uniform and minimum milk price requirements of subparagraphs (B) and (F) of paragraph (5) of section 608c of this title; and
the total payment requirement of subparagraph (C) of that paragraph.
Milk covered by program
Covered milk
The program shall apply only with respect to the marketing of federally regulated milk that—
is not classified as Class I milk or otherwise intended for fluid use; and
is in the current of interstate or foreign commerce or directly burdens, obstructs, or affects interstate or foreign commerce in federally regulated milk.
Relation to Class I milk

To assist milk handlers in complying with paragraph (1)(A) without having to segregate or otherwise individually track the source and disposition of milk, a milk handler may allocate milk receipts from producers, cooperatives, and other sources that are not subject to a forward contract to satisfy the obligations of the handler with regard to Class I milk usage.

Voluntary program
In general

A milk handler may not require participation in a forward pricing contract as a condition of the handler receiving milk from a producer or cooperative association of producers.


A producer or cooperative association described in paragraph (1) may continue to have their 1

 So in original. Probably should be “its”.
milk priced in accordance with the minimum payment provisions of the Federal milk marketing order.

In general

The Secretary shall investigate complaints made by producers or cooperative associations of coercion by handlers to enter into forward contracts.


If the Secretary finds evidence of coercion, the Secretary shall take appropriate action.

New contracts

No forward price contract may be entered into under the program established under this section after September 30, 2023.


No forward contract entered into under the program may extend beyond September 30, 2026.

(Pub. L. 110–234, title I, § 1502, May 22, 2008, 122 Stat. 991; Pub. L. 110–246, § 4(a), title I, § 1502, June 18, 2008, 122 Stat. 1664, 1720; Pub. L. 113–79, title I, § 1424, Feb. 7, 2014, 128 Stat. 695; Pub. L. 115–334, title I, § 1402(a), Dec. 20, 2018, 132 Stat. 4518.)
cite as: 7 USC 8772