,i  #aafth ,,congress  #b;d ,session    
,h4 ,r4 #fjfg  ,,in ,,the ,,house ,,of  
,,representatives  ,march #c1 #bjbj,mr4 
,marshall 7for himself and ,mr4 ,costa7 
introduced the following bill2 which was
 referred to the ,committee on          
,agriculture  ,a ,,bill  ,to amend the  
,packers and ,stockyards ,act1 #aiba1 to
 provide for the establishment of a     
trust for the benefit of unpaid cash    
sellers of livestock1 and for other     
purposes4  #a4 ,short title ,this ,act  
may be cited as the ,securing ,all      
,livestock ,equitably ,act of #bjbj or  
the ,,sale ,act of #bjbj4  #b4          
,establishment of trust for benefit of  
unpaid cash sellers of livestock ,the   
,packers and ,stockyards ,act1 #aiba1 is
 amended by inserting after section #cag
 7#g ,u4,s4,c4 #bag;a7 the following new
 section3  #cah4 ,statutory trust       
established2 dealer  7a7 ,establishment 
7#a7 ,in general ,all livestock         
purchased by a dealer in cash sales and 
all inventories of1 or receivables or   

proceeds from1 such livestock shall be  
held by such dealer in trust for the    
benefit of all unpaid cash sellers of   
such livestock until full payment has   
been received by such unpaid cash       
sellers4  7#b7 ,exemption ,any dealer   
whose average annual purchases of       
livestock do not exceed #ajj1jjj shall  
be exempt from the provisions of this   
section4  7#c7 ,effect of dishonored    
instruments ,for purposes of determining
 full payment under paragraph 7#a71 a   
payment to an unpaid cash seller shall  
not be considered to have been made if  
the unpaid cash seller receives a       
payment instrument that is dishonored4  
7b7 ,preservation of trust ,an unpaid   
cash seller shall lose the benefit of a 
trust under subsection 7a7 if the unpaid
 cash seller has not preserved the trust
 by giving written notice to the dealer 
involved and filing such notice with the
 ,secretary-- 7#a7 within #cj days of   
the final date for making a payment     
under section #dji in the event that a  

payment instrument has not been         
received2 or  7#b7 within #ae business  
days after the date on which the seller 
receives notice that the payment        
instrument promptly presented for       
payment has been dishonored4  7c7       
,notice to lien holders ,when a dealer  
receives notice under subsection 7b7 of 
the unpaid cash seller's intent to      
preserve the benefits of the trust1 the 
dealer shall1 within #ae business days1 
give notice to all persons who have     
recorded a security interest in1 or lien
 on1 the livestock held in such trust4  
7d7 ,cash ,sales ,defined ,for the      
purpose of this section1 a cash sale    
means a sale in which the seller does   
not expressly extend credit to the      
buyer4  7e7 ,purchase of livestock      
subject to trust  7#a7 ,in general ,a   
person purchasing livestock subject to a
 dealer trust shall receive good title  
to the livestock if the person receives 
the livestock-- 7,a7 in exchange for    
payment of new value2 and  7,b7 in good 

faith without notice that the transfer  
is a breach of trust4  7#b7 ,dishonored 
payment instrument ,payment shall not be
 considered to have been made if a      
payment instrument given in exchange for
 the livestock is dishonored4  7#c7     
,transfer in satisfaction of antecedent 
debt ,a transfer of livestock subject to
 a dealer trust is not for value if the 
transfer is in satisfaction of an       
antecedent debt or to a secured party   
pursuant to a security agreement4  7f7  
,enforcement ,whenever the ,secretary   
has reason to believe that a dealer     
subject to section #cah has failed to   
perform the duties required by section  
#cah or whenever the ,secretary has     
reason to believe that it will be in the
 best interest of unpaid cash sellers1  
the ,secretary shall do one or more of  
the following-- 7#a7 appoint an         
independent trustee to carry out the    
duties required by section #cah1        
preserve trust assets1 and enforce the  
trust2  7#b7 serve as independent       

trustee1 preserve trust assets1 and     
enforce the trust2 or  7#c7 file suit in
 the ,united ,states district court for 
the district in which the dealer resides
 to enjoin the dealer's failure to      
perform the duties required by section  
#cah1 preserve trust assets1 and to     
enforce the trust4 ,attorneys employed  
by the ,secretary may1 with the approval
 of the ,attorney ,general1 represent   
the ,secretary in any such suit4        
,nothing herein shall preclude unpaid   
sellers from filing suit to preserve or 
enforce the trust4  4