86 BULLETIN 1106, IT. S. DEPARTMENT OF AGRICULTURE 
Be it enacted by the Senate and Home of Representatives of the United 
States of America in Congress assembled, That persons engaged in the produc- 
tion of agricultural products as farmers, planters, ranchmen, dairymen, nut or 
fruit growers may act together in associations, corporate or otherwise, with 
or without capital stock, in collectively processing, preparing for market, han- 
dling, and marketing in interstate and foreign commerce, such products of per- 
sons so engaged. Such associations may have marketing agencies in common ; 
and such associations and their members may make the necessary contracts and 
agreements to effect such purposes: Provided, however, That such associations 
are operated for the mutual benefit of the members thereof, as such producers, 
and conform to one or both of the following requirements : 
First. That no member of the association is allowed more than one vote 
because of the amount of stock or membership capital he may own therein, or, 
Second. That the association does not pay dividends on stock or member- 
ship capital in excess of 8 per centum per annum. 
And in any case to the following: 
Third. That the association shall not deal in the products of nonmembers 
to an amount greater in value than such as are handled by it for members. 
Sec. 2. That if the Secretary of Agriculture shall have reason to believe 
that any such association monopolizes or restrains trade in interstate or 
foreign commerce to such an extent that the price of any agricultural product 
is unduly enhanced by reason thereof, he shall serve upon such association a 
complaint stating his charge in that respect, to which complaint shall be 
attached or contained therein, a notice of hearing, specifying a clay and* place 
not less than thirty days after the service thereof, requiring the association 
to show cause why an order should not be made directing it to cease and 
desist from monopolization or restraint of trade. An association so complained 
of may at the time and place so fixed show cause why such order should 
not be entered. The evidence given on such a hearing shall be taken under 
such rules and regulations as the Secretary of Agriculture may prescribe, 
reduced to writing, and made a part of the record therein. If upon such hearing 
the Secretary of Agriculture shall be of the opinion that such association 
monopolizes or restrains trade in interstate or foreign commerce to such an 
extent that the price of any agricultural product is unduly enhanced thereby, 
he shall issue and cause to be served upon the association an order reciting 
the facts found by him, directing such association to cease and desist from 
monopolization or restraint of trade. On the request of such association, or 
if such association fails or neglects for thirty days to obey such order, the 
Secretary of Agriculture shall file in the district court in the judicial 
district in which such association has its principal place of business a certified 
copy of the order and of all the records in the proceeding, together with a 
petition asking that the order be enforced, and shall give notice to the Attorney 
General and to said association of such filing. Such district court shall 
thereupon have jurisdiction to enter a decree affirming, modifying, or setting 
aside said order, or enter such other decree as the court may deem equitable, 
and may make rules as to pleadings and proceedings to be had in considering 
such order. The place of trial may, for cause or by consent of parties, be 
changed as in other cases. 
The facts found by the Secretary of Agriculture and recited or set forth 
in said order shall be prima facie evidence of such facts, but either party may 
adduce additional evidence. The Department of Justice shall have charge of 
the enforcement of such order. After the order is so filed in such district 
court and while pending for review therein the court may issue a temporary 
writ of injunction forbidding such association from violating such order or any 
part thereof. The court may, upon conclusion of its hearing, enforce its 
decree by a permanent injunction or other appropriate remedy. Service of such 
complaint and of all notices may be made upon such association by service upon 
any officer or agent thereof engaged in carrying on its business, or on any 
attorney authorized to appear in such proceeding for such association, and 
such service shall be binding upon such association, the officers, and members 
thereof. 
Section 6 of the Clayton Act refers only to nonstock organizations, 
so that an association of producers formed with capital stock would 
M2 Stat, at Large 388. 
