Current through October 31, 2024
Section 789.16 - Changes or cancellations of priority ratings and rated orders(a) The priority rating on a rated order may be changed or canceled by:(1) An official action of USDA; or(2) Written notification from the person who placed the rated order.(b) If an unrated order is amended so as to make it a rated order, or a DO rating is changed to a DX rating, the supplier must give the appropriate preferential treatment to the order as of the date the change is received by the supplier.(c) An amendment to a rated order that significantly alters a supplier's original production or delivery schedule constitutes a new rated order as of the date of its receipt. The supplier must accept or reject the amended order according to the provisions of § 789.13 .(d) The following amendments do not constitute a new rated order:(1) A change in shipping destination;(2) A reduction in the total amount of the order;(3) An increase in the total amount of the order that has a negligible impact upon deliveries;(4) A minor variation in size or design; or(5) A change that is agreed upon between the supplier and the customer.(e) If a person no longer needs items or services to fill a rated order, any rated orders placed with suppliers for the items or services, or the priority rating on those orders, must be canceled.(f) When a priority rating is added to an unrated order, or is changed or canceled, all suppliers must be promptly notified in writing.