Common use of Transfer of Grain Clause in Contracts

Transfer of Grain. A. The Warehouse Operator may, under certain circumstances, transfer or forward grain by physical movement or other AMS-approved method to a receiving warehouse. For the purposes of this part, a receiving warehouse is any of the following: (1) an active USWA-licensed grain warehouse; (2) a public grain warehouse currently licensed by a State licensing authority that has financial, bonding, and examination requirements for the benefit of all depositors; or (3) a public grain warehouse holding an approved Commodity Credit Corporation (CCC) storage agreement. B. The transferring Warehouse Operator agrees to (each of the following): (1) provide written notification immediately to AMS by FAX or e-mail upon becoming aware that the grain obligations at a specific storing warehouse exceed the licensed or insured capacity of that warehouse, as well as the name and location of the receiving warehouse; and (2) if physically moving or transferring grain to a receiving warehouse (each of the following): (a) ensure that the public tariff’s rules and schedule of charges include language that allows the Warehouse Operator to transfer grain according to conditions prescribed by AMS; (b) obtain written permission from AMS, by FAX or e-mail, in advance of movement or approved transfer of warehouse-receipted grain; (c) obtain permission in advance from CCC if grain to be transferred is owned by CCC; (d) obtain from the receiving warehouse a non-negotiable warehouse receipt or certified deposit affidavit or notarized deposit letter stating “Held in Trust for Depositors of name of transferring warehouse” as legal depositor for all transferred grain; (e) not accept transferred grain from another warehouse while grain of the same kind and class is in a transferred position; (f) retain or increase financial assurance encompassing the warehouse capacity and the transferred grain, as specified in Section C – Financials, subsection 1 A of this Agreement; (g) post transferred grain positions to the DPR, as specified in Section E – Duties of the Warehouse Operator, subsection 8 – System of Records; (h) retain a storage obligation to the depositor or lawful owner for grain originally deposited in the warehouse and, unless otherwise specified in Item (i) below, be prepared to redeliver the grain deposited upon demand of the depositor or lawful owner at the place where the grain was first deposited for storage; and (i) provide an opportunity for the depositor or lawful owner to make final settlement and take delivery of the storage obligation at the place where the grain was first deposited for storage unless, with the consent of both the transferring (shipping) Warehouse Operator and the receiving Warehouse Operator, the depositor or lawful owner elects to take delivery at the warehouse to which the grain was transferred. C. Non-Negotiable warehouse receipts received under subsection 22 Transfer of Grain, B. (2) (d) above: (1) must have conspicuously printed or stamped across the face of the paper receipt the words “Not Negotiable” or be issued as a “Non-Negotiable” electronic warehouse receipt; (2) are not valid for collateral purposes; (3) are retained by the transferring (shipping) Warehouse Operator to be presented for use by AMS in lieu of an on-site inventory of the receiving warehouse; and (4) shall be subject to the general requirements for warehouse receipts in their recording and retention. D. For grain transferred to a warehouse in a State that does not allow or recognize the issuance of non- negotiable warehouse receipts, obtain from the receiving Warehouse Operator a certified deposit affidavit or notarized deposit letter specifying the kind, class, numerical grade, specialty, and quantity of the grain received. E. The transferring (shipping) Warehouse Operator shall execute a legal binding operational agreement with the receiving Warehouse Operator that specifies that the receiving Warehouse Operator will (each of the following): (1) not exceed the licensed or approved capacity of the warehouse by accepting the transfer; (2) not further move, transfer or in any way offset the grain transferred to it to another warehouse and retain a storage obligation to the depositors of the transferring (shipping) Warehouse Operator; (3) fully insure the transferred grain; and (4) promptly issue a non-negotiable warehouse receipt or certified deposit affidavit or notarized deposit letter for the transferred grain stating on the document that such grain is “Held in Trust for Depositors of the (name) transferring warehouse,” as the legal depositor and return the warehouse receipt or certified deposit affidavit or notarized deposit letter promptly to the transferring (shipping) Warehouse Operator. F. The grain covered by non-negotiable warehouse receipts, certified deposit affidavits, and notarized deposit letters shall be held in trust solely for the benefit of the shipping warehouse and its depositors or lawful owners whose grain was transferred individually or collectively and for which they retain title.

Transfer of Grain. A. The Warehouse Operator may, under certain circumstances, transfer or forward grain by physical movement or other AMSDACO-approved method to a receiving warehouse. For the purposes of this part, a receiving warehouse is any of the following: (1) an active USWA-licensed grain warehouse; (2) a public grain warehouse currently licensed by a State licensing authority that has financial, bonding, and examination requirements for the benefit of all depositors; or (3) a public grain warehouse holding an approved Commodity Credit Corporation (CCC) storage agreement. B. The transferring Warehouse Operator agrees to (each of the following): (1) provide written notification immediately to AMS DACO by FAX or e-mail upon becoming aware that the grain obligations at a specific storing warehouse exceed the licensed or insured capacity of that warehouse, as well as the name and location of the receiving warehouse; and (2) if physically moving or transferring grain to a receiving warehouse (each of the following): (a) ensure that the public tariff’s rules and schedule of charges include language that allows the Warehouse Operator to transfer grain according to conditions prescribed by AMSDACO; (b) obtain written permission from AMSDACO, by FAX or e-mail, in advance of movement or approved transfer of warehouse-receipted grain; (c) obtain permission in advance from CCC if grain to be transferred is owned by CCC; (d) obtain from the receiving warehouse a non-negotiable warehouse receipt or certified deposit affidavit or notarized deposit letter stating “Held in Trust for Depositors of name of transferring warehouse” as legal depositor for all transferred grain; (e) not accept transferred grain from another warehouse while grain of the same kind and class is in a transferred position; (f) retain or increase financial assurance encompassing the warehouse capacity and the transferred grain, as specified in Section C – - Financials, subsection 1 A of this Agreement; (g) post transferred grain positions to the DPR, as specified in Section E – - Duties of the Warehouse Operator, subsection 8 – - System of Records; (h) retain a storage obligation to the depositor or lawful owner for grain originally deposited in the warehouse and, unless otherwise specified in Item (i) below, be prepared to redeliver the grain deposited upon demand of the depositor or lawful owner at the place where the grain was first deposited for storage; and (i) provide an opportunity for the depositor or lawful owner to make final settlement and take delivery of the storage obligation at the place where the grain was first deposited for storage unless, with the consent of both the transferring (shipping) Warehouse Operator and the receiving Warehouse Operator, the depositor or lawful owner elects to take delivery at the warehouse to which the grain was transferred. C. Non-Negotiable warehouse receipts received under subsection 22 Transfer of Grain, B. (2) (d) above: (1) must have conspicuously printed or stamped across the face of the paper receipt the words “Not Negotiable” or be issued as a “Non-Negotiable” electronic warehouse receipt; (2) are not valid for collateral purposes; (3) are retained by the transferring (shipping) Warehouse Operator to be presented for use by AMS DACO in lieu of an on-site inventory of the receiving warehouse; and (4) shall be subject to the general requirements for warehouse receipts in their recording and retention. D. For grain transferred to a warehouse in a State that does not allow or recognize the issuance of non- negotiable warehouse receipts, obtain from the receiving Warehouse Operator a certified deposit affidavit or notarized deposit letter specifying the kind, class, numerical grade, specialty, and quantity of the grain received. E. The transferring (shipping) Warehouse Operator shall execute a legal binding operational agreement with the receiving Warehouse Operator that specifies that the receiving Warehouse Operator will (each of the following): (1) not exceed the licensed or approved capacity of the warehouse by accepting the transfer; (2) not further move, transfer or in any way offset the grain transferred to it to another warehouse and retain a storage obligation to the depositors of the transferring (shipping) Warehouse Operator; (3) fully insure the transferred grain; and (4) promptly issue a non-negotiable warehouse receipt or certified deposit affidavit or notarized deposit letter for the transferred grain stating on the document that such grain is “Held in Trust for Depositors of the (name) transferring warehouse,” as the legal depositor and return the warehouse receipt or certified deposit affidavit or notarized deposit letter promptly to the transferring (shipping) Warehouse Operator. F. The grain covered by non-negotiable warehouse receipts, certified deposit affidavits, and notarized deposit letters shall be held in trust solely for the benefit of the shipping warehouse and its depositors or lawful owners whose grain was transferred individually or collectively and for which they retain title.

Transfer of Grain. A. The Warehouse Operator may, under certain circumstances, transfer or forward grain by physical movement or other AMS-approved method to a receiving warehouse. For the purposes of this part, a receiving warehouse is any of the following: (1) an active USWA-licensed grain warehouse; (2) a public grain warehouse currently licensed by a State licensing authority that has financial, bonding, and examination requirements for the benefit of all depositors; or (3) a public grain warehouse holding an approved Commodity Credit Corporation (CCC) storage agreement. B. The transferring Warehouse Operator agrees to (each of the following): (1) provide written notification immediately to AMS by FAX or e-mail upon becoming aware that the grain obligations at a specific storing warehouse exceed the licensed or insured capacity of that warehouse, as well as the name and location of the receiving warehouse; and (2) if physically moving or transferring grain to a receiving warehouse (each of the following): (a) ensure that the public tariff’s rules and schedule of charges include language that allows the Warehouse Operator to transfer grain according to conditions prescribed totransfergrainaccordingtoconditionsprescribed by AMS; (b) obtain written permission from AMS, by FAX or e-mail, in advance of movement or approved transfer of warehouse-receipted grain; (c) obtain permission in advance from CCC if grain to be transferred is owned by CCC; (d) obtain from the receiving warehouse a non-negotiable warehouse receipt or certified deposit affidavit or notarized deposit letter stating “Held in Trust for Depositors of name of transferring warehouse” as legal depositor for all transferred grain; (e) not accept transferred grain from another warehouse while grain of the same kind and class is in a transferred position; (f) retain or increase financial assurance encompassing the warehouse capacity and the transferred grain, as specified in Section C – Financials, subsection 1 A of this Agreement; (g) post transferred grain positions to the DPR, as specified in Section E – Duties of the Warehouse Operator, subsection 8 – System of Records; (h) retain a storage obligation to the depositor or lawful owner for grain originally deposited in the warehouse and, unless otherwise specified in Item (i) below, be prepared to redeliver the grain deposited upon demand of the depositor or lawful owner at the place where the grain was first deposited for storage; and (i) provide an opportunity for the depositor or lawful owner to make final settlement and take delivery of the storage obligation at the place where the grain was first deposited for storage unless, with the consent of both the transferring (shipping) Warehouse Operator and the receiving Warehouse Operator, the depositor or lawful owner elects to take delivery at the warehouse to which the grain was transferred. C. Non-Negotiable warehouse receipts received under subsection 22 Transfer of Grain, B. (2) (d) above: (1) must have conspicuously printed or stamped across the face of the paper receipt the words “Not Negotiable” or be issued as a “Non-Negotiable” electronic warehouse receipt; (2) are not valid for collateral purposes; (3) are retained by the transferring (shipping) Warehouse Operator to be presented for use by AMS in lieu of an on-site inventory of the receiving warehouse; and (4) shall be subject to the general requirements for warehouse receipts in their recording and retention. D. For grain transferred to a warehouse in a State that does not allow or recognize the issuance of non- negotiable warehouse receipts, obtain from the receiving Warehouse Operator a certified deposit affidavit or notarized deposit letter specifying the kind, class, numerical grade, specialty, and quantity of the grain received. E. The transferring (shipping) Warehouse Operator shall execute a legal binding operational agreement with the receiving Warehouse Operator that specifies that the receiving Warehouse Operator will (each of the following): (1) not exceed the licensed or approved capacity of the warehouse by accepting the transfer; (2) not further move, transfer or in any way offset the grain transferred to it to another warehouse and retain a storage obligation to the depositors of the transferring (shipping) Warehouse Operator; (3) fully insure the transferred grain; and (4) promptly issue a non-negotiable warehouse negotiablewarehouse receipt or certified deposit affidavit or notarized deposit notarizeddeposit letter for the transferred grain stating on the document that such grain is “Held in Trust for Depositors of the (name) transferring warehouse,” as the legal depositor and return the warehouse receipt or certified deposit affidavit certifieddepositaffidavit or notarized deposit letter promptly to the transferring (shippingnotarizeddepositletterpromptlytothetransferring(shipping) Warehouse Operator. F. The grain covered by non-negotiable warehouse receipts, certified deposit affidavits, and notarized deposit letters shall be held in trust solely for the benefit of the shipping warehouse and its depositors or lawful owners whose grain was transferred individually or collectively and for which they retain title.

Transfer of Grain. A. The Warehouse Operator may, under certain circumstances, transfer or forward grain by physical movement or other AMS-approved method to a receiving warehouse. For the purposes of this part, a receiving warehouse is any of the following: (1) an active USWA-licensed grain warehouse; (2) a public grain warehouse currently licensed by a State licensing authority that has financial, bonding, and examination requirements for the benefit of all depositors; or (3) a public grain warehouse holding an approved Commodity Credit Corporation (CCC) storage agreement. B. The transferring Warehouse Operator agrees to (each of the following): (1) provide written notification immediately to AMS by FAX or e-mail upon becoming aware that the grain obligations at a specific storing warehouse exceed the licensed or insured capacity of that warehouse, as well as the name and location of the receiving warehouse; and (2) if physically moving or transferring grain to a receiving warehouse (each of the following): (a) ensure that the public tariff’s rules and schedule of charges include language that allows the Warehouse Operator to transfer grain according to conditions totransfer grainaccordingtoconditions prescribed by AMS; (b) obtain written permission from AMS, by FAX or e-mail, in advance of movement or approved transfer of warehouse-receipted grain; (c) obtain permission in advance from CCC if grain to be transferred is owned by CCC; (d) obtain from the receiving warehouse a non-negotiable warehouse receipt or certified deposit affidavit or notarized deposit letter stating “Held in Trust for Depositors of name of transferring warehouse” as legal depositor for all transferred grain; (e) not accept transferred grain from another warehouse while grain of the same kind and class is in a transferred position; (f) retain or increase financial assurance encompassing the warehouse capacity and the transferred grain, as specified in Section C – Financials, subsection 1 A of this Agreement; (g) post transferred grain positions to the DPR, as specified in Section E – Duties of the Warehouse Operator, subsection 8 – System of Records; (h) retain a storage obligation to the depositor or lawful owner for grain originally deposited in the warehouse and, unless otherwise specified in Item (i) below, be prepared to redeliver the grain deposited upon demand of the depositor or lawful owner at the place where the grain was first deposited for storage; and (i) provide an opportunity for the depositor or lawful owner to make final settlement and take delivery of the storage obligation at the place where the grain was first deposited for storage unless, with the consent of both the transferring (shipping) Warehouse Operator and the receiving Warehouse Operator, the depositor or lawful owner elects to take delivery at the warehouse to which the grain was transferred. C. Non-Negotiable warehouse receipts received under subsection 22 Transfer of Grain, B. (2) (d) above: (1) must have conspicuously printed or stamped across the face of the paper receipt the words “Not Negotiable” or be issued as a “Non-Negotiable” electronic warehouse receipt; (2) are not valid for collateral purposes; (3) are retained by the transferring (shipping) Warehouse Operator to be presented for use by AMS in lieu of an on-site inventory of the receiving warehouse; and (4) shall be subject to the general requirements for warehouse receipts in their recording and retention. D. For grain transferred to a warehouse in a State that does not allow or recognize the issuance of non- negotiable warehouse receipts, obtain from the receiving Warehouse Operator a certified deposit affidavit or notarized deposit letter specifying the kind, class, numerical grade, specialty, and quantity of the grain received. E. The transferring (shipping) Warehouse Operator shall execute a legal binding operational agreement with the receiving Warehouse Operator that specifies that the receiving Warehouse Operator will (each of the following): (1) not exceed the licensed or approved capacity of the warehouse by accepting the transfer; (2) not further move, transfer or in any way offset the grain transferred to it to another warehouse and retain a storage obligation to the depositors of the transferring (shipping) Warehouse Operator; (3) fully insure the transferred grain; and (4) promptly issue a non-negotiable warehouse receipt or certified deposit affidavit or notarized deposit letter for the transferred grain stating on the document that such grain is “Held in Trust for Depositors of the (name) transferring warehouse,” as the legal depositor and return the warehouse receipt or certified deposit certifieddeposit affidavit or notarized deposit letter promptly to the transferring depositletter promptlytothetransferring (shipping) Warehouse Operator. F. The grain covered by non-negotiable warehouse receipts, certified deposit affidavits, and notarized deposit letters shall be held in trust solely for the benefit of the shipping warehouse and its depositors or lawful owners whose grain was transferred individually or collectively and for which they retain title.