S.L. 117.37 ст. 4Written contract.

(1) Every delivery of raw milk by a milk producer to a processor of raw milk whether delivered directly or through a collector shall be covered by a written contract between the parties, which contract shall:

(a) be made in advance of the delivery;

(b) be made in writing; and

(c) include, in particular, the following elements:

(i) the price payable for the delivery, which shall: - be static and be set out in the contract, and, or, - be calculated by combining various factors set out in the contract, which may include market indicators reflecting changes in market conditions, the volume delivered and the quality or composition of the raw milk delivered;

(ii) the volume of raw milk which may and, or must be delivered and the timing of such deliveries;

(iii) the duration of the contract, which may include either a definite or an indefinite duration with termination clauses;

(iv) details regarding payment periods and procedures;

(v) arrangements for collecting or delivering raw milk; and

(vi) rules applicable in the event of force majeure.

(2) The contract shall stipulate the number of heads of productive bovines (milking cows) authorised by the dairy to be present on-farm at any one time plus or minus a certain percentage, in view of some drying off bovines (milking cows) and others just starting, within the maximum capacity approved by the Veterinary Regulation Department.

(3) The contract shall bind the dairy to accept all the milk produced on the particular farm: Provided that where heads of productive bovines (milking cows) are found to be on-farm in excess of the number authorised in the contract in accordance with sub-regulation (2), the dairy shall not remain so bound. In such cases the destination, which shall not be another dairy, of the extra milk shall be declared by the milk producer.

(4) The contract shall bind the milk producer to seek the written approval of the dairy as an amendment to the contract prior to increasing the number of heads of productive bovines (milking cows) on-farm.

(5) Contracts and, or their amendments, if any, shall be notified by the dairy to the Veterinary Regulation Department and the Agriculture Directorate within five (5) working days.

(6) Contracts shall be based on exclusivity, that is the milk producer shall bind himself to deliver all his milk to the dairy under such contract.

(7) If the delivery of raw milk is made through one or more collectors, all the stages of the delivery including the stage when the raw milk is transferred from the milk producer to the collector and the stage when the milk is ultimately transferred to the processor of raw milk shall be covered by the contract referred to in sub-regulation (1).