Be VERY careful to read what you sign!!

[wilagro]

FarmRanger:Grain companies are doing what they have been doing for eons...and that is FLEECING DUMB FARMERS. Get over it and either sign or refuse to sign.
Why should they take all of the risk?...either you have the grain to fill the contract or pay the penalty.

Not much different than the Mafia or the drug dealer who gets shafted...comes the revenge if you don't settle up.

At least the CWB would sometimes forgive the farmer if they delivered most of what they contracted for or wait for the next crop year's production.

You are now dealing with the WOLVES and you are the INNOCENT LITTLE LAMBS...put up with it.

[BTO_farmall]

Now Yous Know Why Ain't Sign Contracts. Oh n' If'n Did Sign, Losed The Crop, Price SkyRocketed, Tell em' Ta Come on Down n' Collect The Spread, We'll Be Waiting!!!!!!!!!!!!! ))))))

[hobbyfrmr]

Thanks for the heads up Farm Ranger.
My guess is,CMC sands for Canada Malting
Company. No matter, if its offered to producers, it
is public domain.
You get fleeced if you don't read what you sign.
You can modify a contract, or write your own
contract, then have the two parties agree, and
sign.
I have been on both sides of selling to companies
and buying from farmers. I have to say I really
don't have much regard for any farmers' integrity.
Many buyers/companies have been burned for
millions and the farmers that flake on contract, for
a better price, walk away with more money
thinking they deserve it.
This is the reason why buyers have such a one
sided contract. I don't like it, I don't agree with it
and I would never sign that particular contract but
that is why it's like that.
I normally pre sell 20% of new crop production.
Last fall, the spot price from a reputable
competitor was $2.50/bushel more than my
contract. I delivered on the contract. Sold the rest
to competitor. It was pretty awesome, my
neighbour told me to sell only half, then, tell
contracted company I am short due to flooding
and use the act of God clause to get out of it.
Then, sell the other half to competitor. No one is
the wiser. A shining example of he way some
farmers think.

[hobbyfrmr]

It has been 6 years since I got burned, I should
really get over it! The trouble is, that "little" lesson
soured me on farmers.

[FarmRanger]

I've read small print before and noticed that contracts are usually one sided, and sometimes for good reason if farmers themselves have unscrupulously wiggled out of their end of the deal.
This contract was so outrageous, I'm not even sure if it should be called a contract, as only one side is actually obligated to it. Worse than anything I've ever seen. That being said, I doubt the company would ever exercise their full rights to "fundamentally" change the contract, as the fallout from doing so would do more damage than any short term benefit derived from doing so.

Like hobbyfrmr I've also delivered on contracts even when the price outside the contract was higher, but a deal is a deal. Period. Damned cheats and crooks wreck it for everyone.

And Wilagro, I'm not forced to sign the contract, but I can still grow the crop. This fall I can sell to anybody I want without the threat of a jail sentence.

All I wanted to do in the original post was warn everyone to a possible pitfall, not start a rant. Hopefully if enough of us refuse to sign these one sided "contracts", things will change.

[hobbyfrmr]

signing your name on any document is a big
deal.
A persom can work with buyer and customize a
contract if you are really willing to have a
business transaction. You can also politely
describe to the buyer what is not appealing
about the contract and decline the offer.

[Burbert]

Should you read the really fine print
to? How about the stuff hidden in the
colored page portions that are almost
unreadable, except when under certain
light conditions? A f it, the Frame
Business Rep tells ya its a good
standard typea contract, signer after
all the fiends in the grain company are
your fiends always given ya a special
deal. All life is a gamble sign the fn
cons, sooner er later theys gonna getta
anyways. I know alotta really really
really slimely framers who are always
snivelling and whinning outta contracts.
Busniness peeple say framers are the
worst ta deal wit all the time nowadays!
Butt thats Angribusiness, outta the way
boys/girls get me a pen ta sign
wit.......

[blackpowder]

Local CMC apparently slow to get people to sign production
'contracts' this spring. No damn wonder. Forcing us into pricing
periods etc. etc. Remind anyone of the past?? No production
'contracts' necessary this year!
Gotta call BS on Willy again.
When I couldn't deliver on a canola contract company very
accommodating. Yes I wrote check.
Two neighbors weren't so lucky with good OLD CWB.
My freind committed to Churchill program one year. Then before
deadline called to cancel. Was assured it was cancelled.
Person on their end didnt do it. Later, he was called for the
wheat. He disputed and lost. They took money off his next
deliveries for full amount. Immediately after this they started
recording all phone calls. The board never forgave or forgot, and
they owned your grain by law the second it hit the pit anywhere.
I cannot allow anyone to rewrite history incorrectly.
Lest we forget!

[dubsy]

But the ol cwb gave all the left wing dummy's like
wilagro an "average" price, because their to
incompetent to market in a big boys world.

[charliep]

Several organizations have suggested/worked on
contracts with standardized terms and clauses. Is
this the way to go? Industry driven or government
regulation?

One aspect of the WBGA project around a cash
clearing house was standardized contracts that were
fair to both buyer and seller. The clearinghouse
would back stop all transactions with margin money
covering damages to buyers or sellers.