# § 7284. Personal liability of producers for deficiencies
**1** **In general** [^1]7 U.S.C. 79017 U.S.C. 87017 U.S.C. 9001
Except as provided in subsection (b), no producer shall be personally liable for any deficiency arising from the sale of the collateral securing any nonrecourse loan made under this chapter title I of the Farm Security and Rural Investment Act of 2002 [ et seq.], title I of the Food, Conservation, and Energy Act of 2008 [ et seq.], and title I of the Agricultural Act of 2014 [ et seq.] unless the loan was obtained through a fraudulent representation by the producer.
So in original. Probably should be followed by a comma.
**(b)** **Limitations** Subsection (a) shall not prevent the Commodity Credit Corporation or the Secretary from requiring a producer to assume liability for—
**(1)** a deficiency in the grade, quality, or quantity of a commodity stored on a farm or delivered by the producer;
**(2)** a failure to properly care for and preserve a commodity; or
**(3)** a failure or refusal to deliver a commodity in accordance with a program established under this chapter <sup>1</sup> title I of the Farm Security and Rural Investment Act of 2002 [7 U.S.C. 7901 et seq.], title I of the Food, Conservation, and Energy Act of 2008 [7 U.S.C. 8701 et seq.], and title I of the Agricultural Act of 2014 [7 U.S.C. 9001 et seq.].
**(c)** **Acquisition of collateral** <sup>1</sup>7 U.S.C. 79017 U.S.C. 87017 U.S.C. 900115 U.S.C. 714
In the case of a nonrecourse loan made under this chapter title I of the Farm Security and Rural Investment Act of 2002 [ et seq.], title I of the Food, Conservation, and Energy Act of 2008 [ et seq.], and title I of the Agricultural Act of 2014 [ et seq.] or the Commodity Credit Corporation Charter Act ( et seq.), if the Commodity Credit Corporation acquires title to the unredeemed collateral, the Corporation shall be under no obligation to pay for any market value that the collateral may have in excess of the loan indebtedness.
**(d)** **Sugarcane and sugar beets** A security interest obtained by the Commodity Credit Corporation as a result of the execution of a security agreement by the processor of sugarcane or sugar beets shall be superior to all statutory and common law liens on raw cane sugar and refined beet sugar in favor of the producers of sugarcane and sugar beets and all prior recorded and unrecorded liens on the crops of sugarcane and sugar beets from which the sugar was derived.
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**Source Credit**: (Pub. L. 104–127, title I, § 164, Apr. 4, 1996, 110 Stat. 935; Pub. L. 107–171, title I, § 1607, May 13, 2002, 116 Stat. 218; Pub. L. 110–234, title I, § 1606, May 22, 2008, 122 Stat. 1017; Pub. L. 110–246, § 4(a), title I, § 1606, June 18, 2008, 122 Stat. 1664, 1746; Pub. L. 113–79, title I, § 1607, Feb. 7, 2014, 128 Stat. 708.)
## Editorial Notes
### References in Text
For definition of “this chapter”, referred to in text, see note set out under .
The Farm Security and Rural Investment Act of 2002, referred to in subsecs. (a), (b)(3), and (c), is , , . Title I of the Act is classified principally to chapter 106 (§ 7901 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note under and Tables.
The Food, Conservation, and Energy Act of 2008, referred to in subsecs. (a), (b)(3), and (c), is , , . Title I of the Act is classified principally to chapter 113 (§ 8701 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under and Tables.
The Agricultural Act of 2014, referred to in subsecs. (a), (b)(3), and (c), is , , . Title I of the Act is classified principally to chapter 115 (§ 9001 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under and Tables.
The Commodity Credit Corporation Charter Act, referred to in subsec. (c), is , , which is classified generally to subchapter II (§ 714 et seq.) of chapter 15 of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see Short Title note set out under and Tables.
### Codification
and made identical amendments to this section. The amendments by were repealed by .
### Amendments
2014—Subsecs. (a), (b)(3), (c). substituted “title I of the Food, Conservation, and Energy Act of 2008, and title I of the Agricultural Act of 2014” for “and title I of the Food, Conservation, and Energy Act of 2008”.
2008—Subsecs. (a), (b)(3), (c). , substituted “title I of the Farm Security and Rural Investment Act of 2002, and title I of the Food, Conservation, and Energy Act of 2008” for “and title I of the Farm Security and Rural Investment Act of 2002”.
2002—Subsecs. (a), (b)(3), (c). substituted “this chapter and title I of the Farm Security and Rural Investment Act of 2002” for “this chapter”.
## Statutory Notes and Related Subsidiaries
### Effective Date of 2008 Amendment
Amendment of this section and repeal of by effective , the date of enactment of , see , set out as an Effective Date note under .