A26—Lancaster Farming, Saturday, April 17,1982
U.S. judge dismisses dairy co-op's suit
SYRACUSE, N.Y. - A U.S.
District Court dismissal of an anti
trust suit, ended a seven year
courtroom battle between Fairdale
Farms, Inc. of Bennington, Ver
mont and the Regional
Cooperative Marketing Agency,
Inc. of Syracuse.
In 1975, Fairdale Farms, Inc.
charged RCMA and one of its
members, Yankee Milk, Inc. now
Agn-Mark, Inc., with raw milk
price fixing and monopoly, said
RCMA attorney John M. Freyer.
Federal Judge Albert W. Coffin,
in his decision held “that because
plaintiff raises no genuine issue as
to any fact material to the question
of whether defendants engaged in
predatory conduct, the defendants
are entitled to judgement as a
matter of law.”
Freyer said the charges were a
result of “over order” pricing in
the New England order during 1973
to 1975. He said at that tune.
Federal Order prices were going
down and fanners were caught in a
cost-price squeeze.
The RCMA was organized in
1973, by cooperatives m the Nor
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theast in an attempt to improve
prices for their members by
charging a production incentive
differential, which was set bet
ween the New England Order price
and a “reasonable price,” Freyer
explained. From 1973-75, RCMA
collected for member-farmers in
the Northeast more than $2O
million.
“The right of cooperatives to join
together in a common marketing
agency is clearly reffirmed by the
decisions in this case,” remarked
Arthur D. Little, RCMA executive
director.
RCMA member cooperatives
include: Northeast Dairy
Coopertive Federation, Inc.,
Syracuse, N.Y.; Agri-Mark, Inc.,
Andover, Mass.; Cabot Farmers
Cooperative Creamery, Inc.,
Cabot, Vt; Richmond Cooperative
Association, Richmond, Vt.;
Niagara County Milk Producers
Cooperative Corporation, Inc.,
Niagara Falls, N.Y.; Upstate Milk
cooperatives, Inc., Leroy, N.Y.;
and Dairylea Cooperative, Inc.,
Pearl River, N.Y.
“Dairy farmers, through their
cooperatives, have persistently
defended their actions in this
matter with the firm belief that the
Capper-Volstead Act makes it
possible for farmer-producers to
organize together, set association
policy, fix prices at which their
cooperative will sell their product
and otherwise carry on like a
business corporation without
PROSPECT - Roy Simpson, a
dairyman from Butler, was elected
president of the newly-chartered,
Butler-Lawrence County Farmers
Union, Monday night, at an
organizational meeting at Garden
Gate Inn.
Over 60 members attended the
banquet meeting to discuss issues
facmg farmers in each county. The
highlight of the meeting was a
roundtable discussion of the dairy
industry with representatives of
the Pennsylvania Farmers Union.
Taking part in the discussion
were PFU President Jim Brown;
Norman Hutchinson, general
manager of the Farmers Umon
Milk Producers Association
Cooperative of Western Penn
sylvania; Carl Kaufman, state
director of the Farmers Umon;
Jack Philson, chairman of the
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Little added.
RCMA attorney Freyer
remarked that the seven year
court case was the product of
several appeals.
“Anti-trust cases are com
plicated just by nature,” said
Freyer.
statewide Legislative Committee;
Art Freehling, a milk inspector
from Cabot, Butler County and
Simpson, PFU Fieldman Chuck
chaired the panel discussions.
The county organization strongly
opposed the proposed statewide
.milk referendum. The Department
of Agriculture will conduct the
balloting next month. If approved,
dairymen will be deducted $.lO per
hundredweight of milk to fund a
generic promotion program.
Dairymen would lose over $9
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According to Fairdale Farms
general manager Ed Holden, his
co-op is undecided on appealing
Coffin’s decision.
“We are waiting to review the
decision,” Holden said.
At press time, attorneys
representing Fairdale Farms, Inc.
could not be reached for comment.
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million a year from their milk
checks.
Officers and committee chair
men of the Butler-Lawrence
Farmers Union also were elected.
Serving as vice president is
Charles Powell of Evans City;
Janet Morgam of Butler,
secretary/treasurer; Art
Freehlmg of Cabot, legislative
chairman; Teresa Lesney of
Butler, publicity chairman, and
Rose Freebling of Cabot,
organizational program director.
AIR!
staff is