Beef is raised in three phases before it is processed: calves are raised on pasture and range land, as feeder cattle they feed on pasture, crop residue, and range land, and finally they go to feedlots, where they are fattened for slaughter. Feeder contracts are a type of futures contract based on young cattle that are sent to feedlots in preparation for slaughter. The Chicago Mercantile Exchange first introduced a feeder cattle contract in 1971.
It is important make sure the agreement is clear as to whether a bailment or an actual sale of the animals is intended. In order to constitute a bailment and not a sale, a fattening or raising agreement should provide that the owner agrees to provide the animals involved to the feeder with the owner retaining title to the animals, and the feeder or raiser is to feed or raise them for sale as the owner deems proper. This form is a sample of a sale rather than a bailment.
Idaho Purchase and Maintenance Agreement for Cattle — Feeder Contract is a legally binding agreement that outlines the terms and conditions for the purchase and maintenance of cattle in the state of Idaho. This agreement is a crucial tool for both buyers and sellers to ensure a smooth and transparent transaction in the cattle industry. Keywords: Idaho, Purchase and Maintenance Agreement, Cattle, Feeder Contract Types of Idaho Purchase and Maintenance Agreement for Cattle — Feeder Contract: 1. Standard Purchase and Maintenance Agreement: This type of agreement outlines the basic terms and conditions governing the purchase and maintenance of cattle. It includes details such as the identification of the buyer and seller, description of the cattle, purchase price, payment terms, delivery dates, and the responsibilities of both parties. 2. Customized Purchase and Maintenance Agreement: This type of agreement is tailored to the specific needs and requirements of the buyer and seller. It allows for greater flexibility in terms of pricing, feeding requirements, and other specific conditions agreed upon between the parties involved. This type of agreement is often used for large-scale operations or when additional terms need to be included to meet specific demands. 3. Lease Purchase Agreement: This variant of the agreement allows for the leasing of cattle with an option to purchase at a later date. It outlines the terms and conditions of the lease agreement, including the rental fees, duration, maintenance responsibilities, and the purchase option terms. This type of agreement is commonly used by individuals or businesses who want to operate on a trial basis before committing to a full purchase. 4. Replacement Agreement: This type of agreement is used when the seller agrees to replace any cattle that do not meet the specified quality or health standards. It outlines the criteria for replacement, such as the time limit for inspection, documentation requirements, and the procedures for notifying the seller of replacements needed. This agreement provides protection for the buyer in case of unexpected issues with the purchased cattle. In summary, the Idaho Purchase and Maintenance Agreement for Cattle — Feeder Contract establishes the legal framework for the purchase and maintenance of cattle in Idaho. There are various types of agreements available to cater to different needs and circumstances of buyers and sellers in the cattle industry. It is essential to carefully review and understand the specific terms and conditions of the agreement before entering into a cattle transaction.Idaho Purchase and Maintenance Agreement for Cattle — Feeder Contract is a legally binding agreement that outlines the terms and conditions for the purchase and maintenance of cattle in the state of Idaho. This agreement is a crucial tool for both buyers and sellers to ensure a smooth and transparent transaction in the cattle industry. Keywords: Idaho, Purchase and Maintenance Agreement, Cattle, Feeder Contract Types of Idaho Purchase and Maintenance Agreement for Cattle — Feeder Contract: 1. Standard Purchase and Maintenance Agreement: This type of agreement outlines the basic terms and conditions governing the purchase and maintenance of cattle. It includes details such as the identification of the buyer and seller, description of the cattle, purchase price, payment terms, delivery dates, and the responsibilities of both parties. 2. Customized Purchase and Maintenance Agreement: This type of agreement is tailored to the specific needs and requirements of the buyer and seller. It allows for greater flexibility in terms of pricing, feeding requirements, and other specific conditions agreed upon between the parties involved. This type of agreement is often used for large-scale operations or when additional terms need to be included to meet specific demands. 3. Lease Purchase Agreement: This variant of the agreement allows for the leasing of cattle with an option to purchase at a later date. It outlines the terms and conditions of the lease agreement, including the rental fees, duration, maintenance responsibilities, and the purchase option terms. This type of agreement is commonly used by individuals or businesses who want to operate on a trial basis before committing to a full purchase. 4. Replacement Agreement: This type of agreement is used when the seller agrees to replace any cattle that do not meet the specified quality or health standards. It outlines the criteria for replacement, such as the time limit for inspection, documentation requirements, and the procedures for notifying the seller of replacements needed. This agreement provides protection for the buyer in case of unexpected issues with the purchased cattle. In summary, the Idaho Purchase and Maintenance Agreement for Cattle — Feeder Contract establishes the legal framework for the purchase and maintenance of cattle in Idaho. There are various types of agreements available to cater to different needs and circumstances of buyers and sellers in the cattle industry. It is essential to carefully review and understand the specific terms and conditions of the agreement before entering into a cattle transaction.
