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House Journal: Page 831: Wednesday, March 24, 1999

46   and a contract producer is minimal.

47     (2)  There is a family relationship between the
48   contractor and the contract producer.
49     (3)  The contractor and the contract producer are
50   part of the same family farm entity or networking
Page 3
 1   farmers entity as defined in section 10.1.
 2     (4)  The livestock is purchased for a purpose other
 3   than for use by a processor.
 4     4.  The attorney general may provide an analysis of
 5   filed production contracts in order to assist contract
 6   producers in negotiating production contracts.
 7   However, the secretary of state, in consultation with
 8   the attorney general, may designate some information
 9   contained in a production contract as confidential, if
10   such information is a confidential record under
11   section 22.7.
12     Sec. 4. NEW SECTION.  172C.4  ENFORCEMENT.
13     1.  The attorney general's office is the primary
14   agency responsible for enforcing this chapter.  The
15   secretary of state shall notify the attorney general's
16   office if the secretary of state has reason to believe
17   that a violation of section 172C.3 has occurred.
18     2.  In enforcing the provisions of this chapter,
19   the attorney general may do all of the following:
20     a.  Apply to the district court for an injunction
21   to do any of the following:
22     (1)  Restrain a contractor from engaging in conduct
23   or practices in violation of this chapter.
24     (2)  Require a contractor to comply with a
25   provision of this chapter.
26     b.  Apply to district court for the issuance of a
27   subpoena to obtain a production contract for purposes
28   of enforcing this chapter.
29     c.  Bring an action in district court to enforce
30   penalties provided in section 172C.5, including the
31   assessment and collection of civil penalties.
32     Sec. 5. NEW SECTION.  172C.5  PENALTIES.
33     1.  A contractor who includes a confidentiality
34   provision in a production contract in violation of
35   section 172C.2 is guilty of a fraudulent practice as
36   provided in section 714.8.
37     2.  A contractor who fails to file a timely or
38   complete production contract type as required in
39   section 172C.3 is subject to a civil penalty not to
40   exceed one thousand dollars.  Each contract advertised
41   or executed in violation of section 172C.3 constitutes
42   a separate offense.
43     Sec. 6.  Section 579A.1, subsections 2, 3, and 4,
44   Code 1999, are amended to read as follows:

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