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.
A Montana Purchase and Maintenance Agreement for Cattle — Feeder Contract is a legal document that outlines the terms and conditions for the purchase and maintenance of cattle in the state of Montana. This agreement is typically entered into between a buyer, who is purchasing the cattle for the purpose of feeding and raising them, and a seller, who is the individual or entity selling the cattle. The purpose of this agreement is to establish clear guidelines for the purchase, care, and maintenance of the cattle, as well as outlining the responsibilities and obligations of each party involved. It ensures that both the buyer and seller are aware of their respective roles and expectations. Keywords: Montana Purchase and Maintenance Agreement, Cattle, Feeder Contract, terms and conditions, purchase, maintenance, buyer, seller, feeding, raising, guidelines, responsibilities, obligations. Different types of Montana Purchase and Maintenance Agreement for Cattle — Feeder Contracts may include: 1. Standard Montana Purchase and Maintenance Agreement: This is the most common type of agreement that covers the general terms and conditions for the purchase and maintenance of cattle in Montana. It includes provisions related to the purchase price, payment terms, delivery dates, care and management of the cattle, and any warranties or guarantees. 2. Customized Montana Purchase and Maintenance Agreement: This type of agreement is tailored to the specific needs and requirements of the buyer and seller. It may include additional clauses or provisions that address unique circumstances, such as specific feeding or maintenance practices, or special arrangements for veterinary care. 3. Long-term Montana Purchase and Maintenance Agreement: This agreement is for a prolonged duration, typically spanning several years. It covers the purchase and maintenance of cattle over an extended period, and it may include provisions for periodic payments, long-term care and feeding arrangements, and potential adjustments to the purchase price based on market conditions. 4. Montana Purchase and Maintenance Agreement for Cattle — Feeder Contract with Option: This type of agreement includes an option for the buyer to purchase additional cattle at a later date, typically at a predetermined price or based on market conditions. It provides flexibility for the buyer to expand their cattle inventory while maintaining a consistent contractual relationship with the seller. These different types of Montana Purchase and Maintenance Agreements for Cattle — Feeder Contracts cater to various needs and circumstances within the Montana cattle industry, ensuring that both buyers and sellers can negotiate and establish terms that meet their specific requirements.A Montana Purchase and Maintenance Agreement for Cattle — Feeder Contract is a legal document that outlines the terms and conditions for the purchase and maintenance of cattle in the state of Montana. This agreement is typically entered into between a buyer, who is purchasing the cattle for the purpose of feeding and raising them, and a seller, who is the individual or entity selling the cattle. The purpose of this agreement is to establish clear guidelines for the purchase, care, and maintenance of the cattle, as well as outlining the responsibilities and obligations of each party involved. It ensures that both the buyer and seller are aware of their respective roles and expectations. Keywords: Montana Purchase and Maintenance Agreement, Cattle, Feeder Contract, terms and conditions, purchase, maintenance, buyer, seller, feeding, raising, guidelines, responsibilities, obligations. Different types of Montana Purchase and Maintenance Agreement for Cattle — Feeder Contracts may include: 1. Standard Montana Purchase and Maintenance Agreement: This is the most common type of agreement that covers the general terms and conditions for the purchase and maintenance of cattle in Montana. It includes provisions related to the purchase price, payment terms, delivery dates, care and management of the cattle, and any warranties or guarantees. 2. Customized Montana Purchase and Maintenance Agreement: This type of agreement is tailored to the specific needs and requirements of the buyer and seller. It may include additional clauses or provisions that address unique circumstances, such as specific feeding or maintenance practices, or special arrangements for veterinary care. 3. Long-term Montana Purchase and Maintenance Agreement: This agreement is for a prolonged duration, typically spanning several years. It covers the purchase and maintenance of cattle over an extended period, and it may include provisions for periodic payments, long-term care and feeding arrangements, and potential adjustments to the purchase price based on market conditions. 4. Montana Purchase and Maintenance Agreement for Cattle — Feeder Contract with Option: This type of agreement includes an option for the buyer to purchase additional cattle at a later date, typically at a predetermined price or based on market conditions. It provides flexibility for the buyer to expand their cattle inventory while maintaining a consistent contractual relationship with the seller. These different types of Montana Purchase and Maintenance Agreements for Cattle — Feeder Contracts cater to various needs and circumstances within the Montana cattle industry, ensuring that both buyers and sellers can negotiate and establish terms that meet their specific requirements.
