Consolidated-Tomoka Land Co. v. Butz

353 F. Supp. 683, 1972 U.S. Dist. LEXIS 11553
CourtDistrict Court, M.D. Florida
DecidedOctober 16, 1972
DocketCiv. No. 70-244
StatusPublished
Cited by1 cases

This text of 353 F. Supp. 683 (Consolidated-Tomoka Land Co. v. Butz) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Consolidated-Tomoka Land Co. v. Butz, 353 F. Supp. 683, 1972 U.S. Dist. LEXIS 11553 (M.D. Fla. 1972).

Opinion

MEMORANDUM OPINION AND FINAL JUDGMENT

TJOFLAT, District Judge.

This case is before the Court on plaintiffs’ motion for summary judgment. The plaintiffs in this case are growers and handlers of oranges in the Interior District of Florida. They challenge the validity of Marketing Order 914,1 issued by the Secretary of Agriculture pursuant to the Agricultural Adjustment Act,2 which regulates shipping quotas for oranges grown in the Interior District of Florida.3 Basically, the Marketing Order provides for an Orange Marketing Committee which, under specified conditions, may set and impose quotas on the quantity of certain types of oranges which a grower or handler may ship in fresh form in interstate commerce.

Before a marketing order can be issued, it must be approved by two-thirds of the producers participating in a referendum on the question.4 Any producer or grower of oranges during a determined period may vote in the referendum. In addition, if the producer is a member of a cooperative association of producers, his vote may be cast by the [685]*685cooperative.5 The dispute in this case centers around the conduct of the referendum and whether the issuance of the marketing order was, in fact, approved by two-thirds of those entitled to participate in the referendum.

The plaintiffs urge several grounds for holding the referendum and, therefore, the issuance of the marketing order, invalid. First, the plaintiffs point out that the largest single ballot, accounting for 1,604 votes, was cast by one cooperative association, Seald-Sweet Growers, Inc. Plaintiffs contend that Seald-Sweet’s ballot should be disqualified because it is not a cooperative association of producers as defined by law and is, therefore, not entitled to vote in the referendum. Plaintiffs also argue that Seald-Sweet’s ballot should be disqualified because its board members representing the Indian River District of Florida, a district not regulated by the marketing order, determined Seald Sweet’s vote on the approval of the order.

The plaintiffs argue next that only producers or growers of the types of oranges actually regulated by the marketing order were entitled to vote on the approval of the order. Instead, producers of all types of oranges were permitted to vote in the referendum without reference to whether their crop was subject to regulation.

Finally, the plaintiffs contend that the referendum was unfairly conducted because the Referendum Agent supplied ballots to a grower organization supporting the issuance of the marketing order, but refused to supply ballots to a grower organization opposed to the Order.

Findings of Fact

On the basis of the record presented on the motion for summary judgment, the Court finds that the following material facts are not in dispute:

1. During the period from September 10 to September 30, 1970, a referendum was conducted to determine producer approval of the issuance of Marketing Order 914. In that referendum, 4,164 votes were cast, 123 were disqualified, 3,099 voted in favor of the order, and 942 voted against it. The total qualified votes represented approximately 45,300,000 boxes of fruit; the amount of oranges shipped fresh in interstate commerce during the representative period was approximately 12,500,000 boxes.6
2. Seald-Sweet has 35 members, 22 from the Interior District and 13 from the Indian River District. All the members of Seald-Sweet are packers, that is, they must have their own packing houses. Approximately two-thirds of the members are cooperative associations of producers; the remaining members are independent packing houses. Prior to the referendum, Seald-Sweet solicited membership lists from its respective members for the purpose of casting a single ballot in the referendum. Fourteen of the 22 Interior District members responded and Seald-Sweet east a single ballot representing 1,474 votes for those members. Of the 14 members, 10 were producer coops accounting for 1,344 votes, the other four were independent packing houses accounting for 130 votes. Seald-Sweet was required [686]*686to cast all 1,474 votes either for or against the marketing order and could not split the votes.
3. Seald-Sweet’s vote was determined by its Board of Directors without consulting its members or the individual producers. Nineteen board members were present at the Directors meeting on September 16, 1970. Eleven represented 16 of the 22 Interior Members and eight represented 10 of the 13 Indian River members. All 19 directors voted to cast SealdSweet’s ballot in favor of the marketing order.
4. If a producer cooperative chose to east a ballot on behalf of its members, the members were not entitled to vote. If such a member cast a ballot, it was disqualified. Some of the 123 ballots were invalidated for this reason. The record does not show the results of any ballots cast by members of cooperatives where the cooperative cast a ballot which did not represent that member. Thus, the record does not show whether the remaining eight Interior District members of SealdSweet, for whom Seald-Sweet did not vote, east their own ballots, or if they did, whether they were disqualified.
5. The official ballot used in the referendum asked each producer of oranges to state the number of boxes produced by him in the Interior District of Florida during the representative period. The producer was directed to exclude Temples and Murcotts, but not to exclude any other type of orange or to indicate whether his production was for fresh shipment in interstate commerce or some other purpose. The ballot asked each producer to state whether he was a member of a cooperative marketing organization, but did not ask if he was a stockholder in or under contract with a cooperative.

The plaintiffs’ first contention is that Seald-Sweet’s ballot should be disqualified because Seald-Sweet is not a cooperative association of producers within the meaning of the statute and regulations. The Act describes a “producer” as one who is engaged in the production for market of the commodity specified in the marketing order.7 In authorizing cooperatives to vote in producer referenda, 7 U.S.C. § 608c(12) 8 describes a cooperative association of producers as comprised of producers and engaged in marketing the product covered by the proposed order. The regulations governing the conduct of producer referenda entitle a cooperative association to vote if it is engaged in marketing the product proposed to be regulated by the marketing order. 7 C.F.R. § 900.402.9 Moreover, the proposed marketing order defines a “producer” as a “grower” having a proprietary interest in the crop produced. 7 C.F.R. § 914.7.10

The gist of this statutory and regulatory scheme is that those producers and growers engaged in marketing the produce covered by the proposed order must approve the issuance of such an order.

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Bluebook (online)
353 F. Supp. 683, 1972 U.S. Dist. LEXIS 11553, Counsel Stack Legal Research, https://law.counselstack.com/opinion/consolidated-tomoka-land-co-v-butz-flmd-1972.