La. Admin. Code tit. 7 § XXXI-321

Current through Register Vol. 50, No. 11, November 20, 2024

Section XXXI-321 - Trade Practices Declared Not Disruptive

A. The following acts are specifically declared as not constituting disruptive trade practices and are not prohibited:

1. the giving of advertising novelties unless the nature or value of the advertising novelty is such that the giving of such advertising novelty constitutes an illicit payment;

2. normal social activities of any person or the entertainment of any customer unless the expenditure involved in such entertainment is excessive or unreasonable;

3. the giving of samples of dairy products to consumers if the following requirements are observed:

a. in the case of fluid milk products, the quantity must be limited to 3 fluid ounces;

b. in the case of frozen desserts, the quantity must be limited to 1 fluid ounce;

c. the retailer on whose premises such sampling activity takes place must have been in operation at that location for at least 60 days prior to the date on which such activity takes place;

d. prior to engaging in sampling activities on the premises of a retailer, the processor or distributor shall notify the board or commissioner of the planned sampling activity. If such notification is by mail, it shall be given at least 10 days prior to the date of the planned sampling activity, and if such notification is by telephone, it shall be given at least three days prior to such activity;

e. notwithstanding the above provisions, processors may give homogenized milk, lowfat milk, skim milk, or chocolate milk in half-pint containers or a frozen dessert sample weighing no more than 3 fluid ounces to persons participating in plant tours, if such products are consumed on the premises where given;

f. the giving of such sampling by a processor or distributor shall not extend over a period of more than two consecutive days for each retailer and shall not occur more frequently than once per calendar quarter; provided that the giving of such samples during the month of December shall not be used in determining whether there has been compliance with the provisions of this Subsection limiting frequency of sampling demonstrations to one per calendar quarter;

g. the prohibition contained herein shall not apply to trade shows or other activities designated by the board or commissioner in writing;

4. the donation of dairy products not directly or indirectly related to the sale of dairy products to nonprofit and charitable entities;

5. a cooperative association returning to its members, producers, or consumers the whole or any part of the net earnings or surplus resulting from its trading operations, in proportion to their purchases or sales from, to, or through the association, provided same is not in the form of a discount or allowance and distributed not more frequently than quarterly.

La. Admin. Code tit. 7, § XXXI-321

Promulgated by the Department of Agriculture and Forestry, Office of Agro-Consumer Services, Dairy Stabilization Board, LR 20:403 (April 1994).

AUTHORITY NOTE: Promulgated in accordance with R.S. 3:4108.