California Firm Posts $75,000 Surety Bond to Obtain PACA License
WASHINGTON, DC – La Plaza Market LLC, operating out of California, has posted a $75,000 cash surety bond with the U.S. Department of Agriculture (USDA).
According to a USDA press release, the company posted the bond to obtain a license to operate in the produce industry.
Under the regulations of the Perishable Agricultural Commodities Act (PACA), the company was required to post the bond following its prior involvement in bankruptcy.
USDA will hold the bond for three years, providing assurance to the industry that the company will be able to pay for produce purchased and to conduct business according to PACA rules.
In the past three years, USDA resolved approximately 3,500 PACA claims involving more than $58 million. Its experts also assisted more than 8,000 callers with issues valued at approximately $140 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.
