Procedure and form of Contract Farming Agreement

Contract Farming agreements shall be governed in the manner lay down hereinafter. (1) Contract farming Sponsor shall register himself with the Market Committee or with a prescribed officer in such a manner as may be prescribed. (2) The Contract Farming Sponsor shall get the contract farming agreement recorded with the officer prescribed in this behalf. The contract farming agreement shall be in such form containing such particulars and terms and conditions as may be prescribed. Notwithstanding anything contained in contract farming agreement, no title, rights, ownership or possession shall be transferred or alienated or vest in the contract farming sponsor or his successor or his agent as a consequence arising out of the contract farming agreement. (3) Disputes arising out of contract farming agreement may be referred to an authority prescribed in this behalf for settlement. The prescribed authority shall resolve the dispute in a summary manner within thirty days after giving the parties a reasonable opportunity of being heard, in the manner prescribed. (4) The party aggrieved by the decision of the prescribed authority under Sub-section (3) of Section 38 may prefer an appeal to an Appellant Authority within thirty days from the date of decision. The Appellant Authority shall dispose of the appeal within thirty days after giving the parties a reasonable opportunity of being heard and the decision of the Appellant Authority shall be final. (5) The decision by the authority under sub-section (3) of Section 38 and decision in appeal under sub-section (4) shall have force of the decree of the civil court and shall be enforceable as such and decrial amount shall be recovered as arrears of land revenue. (6) Disputes relating to and arising out of contract farming agreement shall not be called in question in any court of law than otherwise provided herein above. (7) The agricultural produce covered under the Contract Farming agreement may be sold to the Contract Farming Sponsor out side the market yard and in such a case, no market fees will be leviable.