1. Definitions. As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings. A. "Association" has the same meaning as in Title 13, section 1774, subsection 3. [PL 2003, c. 329, §2 (NEW).] B. "Fair share fee" means a fee deducted by a dealer or processor from a producer who is not an association member. [PL 2003, c. 329, §2 (NEW).] [PL 2003, c. 329, §2 (NEW).] 2. Association dues. When a member of an association makes a written assignment of dues to that association, those dues must be paid out of funds due or to become due to that member for any farm product produced or to be produced by that member or for any services performed or to be performed by that member in the production of farm products. A person who accepts or receives the product or services from the member is bound by that assignment after receiving written notice from the association or from the member, and that person shall withhold the assigned dues from amounts payable by that person to the member thereafter during the period of the assessment. [PL 2003, c. 329, §2 (NEW).] 3. Fair share fees for contracts entered into after the association agreement. A nonmember producer who supplies farm products to a dealer or processor subject to collective bargaining and who enters into a preseason contract with the dealer or processor after the association has signed an agreement with that dealer or processor must be assessed a fair share fee equal to 50% of the amount charged to association members as dues. The dealer or processor shall withhold the fair share from the nonmember in the same manner as member dues are withheld. The nonmember shall make a written assignment directing the dealer or processor to have the fair share fee: A. Remitted to the association and used to defray the costs incurred by the association as the recognized collective bargaining unit in fulfilling its duty to represent producers in their relations with the dealer or processor; or [PL 2003, c. 329, §2 (NEW).] B. Deposited in a fund established by the dealer or processor for awarding educational scholarships to contributing nonmembers and association producers. [PL 2003, c. 329, §2 (NEW).] [PL 2003, c. 329, §2 (NEW).] 4. Fair share fees for contracts entered into before the association agreement. Except as provided in subsection 5, a dealer or processor subject to collective bargaining may not assess or withhold a fair share fee from a nonmember producer who enters into a preseason contract to supply farm products to that dealer or processor before the association has signed an agreement with that dealer or processor unless the nonmember producer directs the processor or dealer to do so in accordance with this subsection. A nonmember producer may make a written assignment directing the dealer or processor to withhold a fair share fee equal to 50% of the amount charged to association members as dues for deposit in a fund established by the dealer or processor for awarding educational scholarships to contributing nonmembers and association producers. [PL 2003, c. 329, §2 (NEW).] 5. Changes in nonmember contract. The dealer or processor shall withhold a fair share fee from a nonmember in accordance with subsection 3 when: A. The nonmember entered into a preseason contract to supply farm products to a dealer or processor before the association signed an agreement with that dealer or processor; and [PL 2003, c. 329, §2 (NEW).] B. The nonmember consents to a change or changes in that nonmember's contract after the association has signed an agreement with that dealer or processor and the change or changes provide an increase in contract value. [PL 2003, c. 329, §2 (NEW).] [PL 2003, c. 329, §2 (NEW).]
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