Ontario Beef Cattle Financial Protection Program

By mmuise
Description:

Ontario's Beef Cattle Financial Protection Program provides financial protection to beef cattle sellers when a licensed dealer defaults on payment.


Comments on Funding:

Two types of claims can be made against the fund:
1. Cattle sellers may make a claim if a licensed dealer defaults on payment. Compensation is 95% on approved claims.
2. Licensed dealers may make a claim if a producer defaults on payment. Compensation is 85%, up to a maximum of $125,000.
There is no compensation for claims less than $5,000.

Deadline: Continuous Intake
Eligibility:

Sellers can be:

  • beef producers;
  • licenced dealers; or
  • auction markets.

    Dealers include:
  • packing plant operators;
  • abattoir operators;
  • auction market operators;
  • country dealers.
    All dealers must be licensed by the Ontario Ministry of Agriculture, Food and Rural Affairs.
Application Steps:

Applicants must:

1. immediately notify Agricorp if payment is late (see payment deadlines bellow).

For information on how to obtain a dealer licence or make a claim, contact Agricorp at 1-888-247-4999.



Payment Deadlines

1. If the sale is $15,000 or less: Buyers must ensure that payment is made so it can be deposited in the seller's bank no later than 1:00 p.m. on the ninth business day following the day of sale.

2. If the sale is $15,001 or more: Buyers must ensure that the payment is made so that it can be deposited in the seller's bank no later than 1:00 p.m. on the sixth business day following the day of sale.



Sellers making a claim must apply to the Livestock Financial Protection Board within 30 days of the day of sale.

Sellers may also make a claim if a dealer has ceased operation or if a dealer's assets were placed under a trustee or receiver.

Documentation Needed:

No specific documentation has been identified.

Other Things to Note:

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About the author
mmuise