§ 201.306 - Deceptive practices.

§ 201.306 Deceptive practices.

(a) Prohibited practices. A regulated entity may not engage in the deceptive practices in paragraphs (b) through (e) of this section with respect to livestock, meats, meat food products, livestock products in unmanufactured form, or live poultry.

(b) Contract formation. A regulated entity may not make or modify a contract with a covered producer by employing a false or misleading statement, or omission of material information necessary to make a statement not false or misleading.

(c) Contract performance. A regulated entity may not perform under or enforce a contract with a covered producer by employing a false or misleading statement, or omission of material information necessary to make a statement not false or misleading.

(d) Contract termination. A regulated entity may not terminate a contract with a covered producer by employing a false or misleading statement, or omission of material information necessary to make a statement not false or misleading.

(e) Contract refusal. A regulated entity may not provide false or misleading information to a covered producer or association of covered producers concerning a refusal to contract.