Sec.
15. [136m] INDEMNITIES.
(a) General Indemnification. (1) In General.--Except as otherwise
provided in this section, if-- (A) the Administrator notifies
a registrant under section 6(c)(1) that the Administrator intends
to suspend a registration or that an emergency order of suspension
of a registration under section 6(c)(3) has been issued; (B)
the registration in question is suspended under section 6(c),
and thereafter is canceled under section 6(b), 6(d), or 6(f);
and (C) any person who owned any quantity of the pesticide immediately
before the notice to the registrant under subparagraph (A) suffered
losses by reason of suspension or cancellation of the registration;
the Administrator shall make an indemnity payment to the person.
(2) Exception.--Paragraph (1) shall not apply if the Administrator
finds that the person-- (A) had knowledge of facts that, in themselves,
would have shown that the pesticide did not meet the requirements
of section 3(c)(5) for registration; and (B) continued thereafter
to produce the pesticide without giving timely notice of such
facts to the Administrator. (3) Report.--If the Administrator
takes an action under paragraph (1) that requires the payment
of indemnification, the Administrator shall report to the Committee
on Agriculture of the House of Representatives, the Committee
on Agriculture, Nutrition, and Forestry of the Senate, and the
Committees on Appropriations of the House of Representatives
and the Senate on-- (A) the action taken that requires the payment
of indemnification; (B) the reasons for taking the action; (C)
the estimated cost of the payment; and (D) a request for the
appropriation of funds for the payment. (4) Appropriation.--The
Administrator may not make a payment of indemnification under
paragraph (1) unless a specific line item appropriation of funds
has been made in advance for the payment. (b) Indemnification
of End Users, Dealers, and Distributors.-- (1) End Users.--If--
(A) the Administrator notifies a registrant under section 6(c)(1)
that the Administrator intends to suspend a registration or that
an emergency order of suspension of a registration under section
6(c)(3) has been issued; (B) the registration in question is
suspended under section 6(c), and thereafter is canceled under
section 6(b), 6(d), or 6(f); and (C) any person who, immediately
before the notice to the registrant under subparagraph (A), owned
any quantity of the pesticide for purposes of applying or using
the pesticide as an end user, rather than for purposes of distributing
or selling it or further processing it for distribution or sale,
suffered a loss by reason of the suspension or cancellation of
the pesticide; the person shall be entitled to an indemnity payment
under this subsection for such quantity of the pesticide. (2)
Dealers and Distributors.-- (A) Any registrant, wholesaler, dealer,
or other distributor (hereinafter in this paragraph referred
to as a "seller") of a registered pesticide who distributes
or sells the pesticide directly to any person not described as
an end user in paragraph (1)(C) shall, with respect to any quantity
of the pesticide that such person cannot use or resell as a result
of the suspension or cancellation of the pesticide, reimburse
such person for the cost of first acquiring the pesticide from
the seller (other than the cost of transportation, if any), unless
the seller provided to the person at the time of distribution
or sale a notice, in writing, that the pesticide is not subject
to reimbursement by the seller. (B) If-- (i) the Administrator
notifies a registrant under section 6(c)(1) that the Administrator
intends to suspend a registration or that an emergency order
of suspension of a registration under section 6(c)(3) has been
issued; (ii) the registration in question is suspended under
section 6(c), and thereafter is canceled under section 6(b),
6(d), or 6(f); (iii) any person who, immediately before the notice
to the registrant under clause (i)-- (I) had not been notified
in writing by the seller, as provided under subparagraph (A),
that any quantity of the pesticide owned by such person is not
subject to reimbursement by the seller in the event of suspension
or cancellation of the pesticide; and (II) owned any quantity
of the pesticide for purposes of-- (aa) distributing or selling
it; or (bb) further processing it for distribution or sale directly
to an end user; suffered a loss by reason of the suspension or
cancellation of the pesticide; and (iv) the Administrator determines
on the basis of a claim of loss submitted to the Administrator
by the person, that the seller-- (I) did not provide the notice
specified in subparagraph (A) to such person; and (II) is and
will continue to be unable to provide reimbursement to such person,
as provided under subparagraph (A), for the loss referred to
in clause (iii), as a result of the insolvency or bankruptcy
of the seller and the seller's resulting inability to provide
such reimbursement; the person shall be entitled to an indemnity
payment under this subsection for such quantity of the pesticide.
(C) If an indemnity payment is made by the United States under
this paragraph, the United States shall be subrogated to any
right that would otherwise be held under this paragraph by a
seller who is unable to make a reimbursement in accordance with
this paragraph with regard to reimbursements that otherwise would
have been made by the seller. (3) Source.--Any payment required
to be made under paragraph (1) or (2) shall be made from the
appropriation provided under section 1304 of title 31, United
States Code. (4) Administrative Settlement.--An administrative
settlement of a claim for such indemnity may be made in accordance
with the third paragraph of section 2414 of title 28, United
States Code, and shall be regarded as if it were made under that
section for purposes of section 1304 of title 31, United States
Code. (c) Amount of Payment.-- (1) In General.--The amount of
an indemnity payment under subsection (a) or (b) of this section
to any person shall be determined on the basis of the cost of
the pesticide owned by the person (other than the cost of transportation,
if any) immediately before the issuance of the notice to the
registrant referred to in subsection (a)(1)(A), (b)(1)(A), or
(b)(2)(B)(i), except that in no event shall an indemnity payment
to any person exceed the fair market value of the pesticide owned
by the person immediately before the issuance of the notice.
(2) Special Rule.--Notwithstanding any other provision of this
Act, the Administrator may provide a reasonable time for use
or other disposal of the pesticide. In determining the quantity
of any pesticide for which indemnity shall be paid under this
section, proper adjustment shall be made for any pesticide used
or otherwise disposed of by the owner. |
|
