Justia Agriculture Law Opinion Summaries

The Supreme Court reversed the circuit court's order reflecting a jury verdict awarding almost $6 million in compensatory damages, jointly and severally, against KBX, Inc. and three KBX individuals (collectively, Appellants) and other defendants and reversed the court's award of attorney's fees, holding that the court erred in part.In this case involving certain farmers' dispute with KBX, a grain exporter and merchandiser, and the KBX individuals over a series of written contracts for the purchase of rice, the circuit court entered a judgment reflecting the jury's award of compensatory damages against Appellants and other defendants. The court assessed attorney's fees and costs against Appellants as a sanction for alleged spoliation of evidence. The Supreme Court reversed in part, holding (1) without any evidence of deceit in the form of a false representation by KBX or the KBX individuals to the farmers, substantial evidence did not support the jury's verdict on deceit; (2) substantial evidence did not support the jury's verdict on constructive fraud or the farmers' conspiracy claim; (3) the circuit court erred as a matter of law in denying Appellants' motion for directed verdict on the farmers' unjust enrichment claim; and (4) remand was required on the issue of attorney's fees for recalculation of an award consistent with this opinion. View "KBX, Inc. v. Zero Grade Farms" on Justia Law

The Supreme Court affirmed the judgment of the circuit court concluding that Regions Bank and Optimum Agriculture, LLC had lien priority to crop proceeds and that Optimum Agriculture, LLC was entitled to a statutory landlord lien, holding that the circuit court did not clearly err.On appeal, AgriFund, LLC, one of the three creditors in this intercreditor dispute over lien priority to the crop proceeds, argued that its lien was superior to those held by Regions and Optimum. The Supreme Court disagreed and affirmed, holding that, under the facts and circumstances of this case, the circuit court did not clearly err in finding that AgriFund did not have priority to the proceeds and that Optimum held a landlord's lien. View "Agrifund, LLC v. Regions Bank" on Justia Law

The Supreme Court dismissed as moot a direct appeal challenging the circuit court's order declaring the Arkansas State Plant Board's dicamba cutoff rule as void and dismissed in part and reversed in part the cross appeal challenging the same order dismissing with prejudice certain farmers' complaint on the basis of the Board's sovereign immunity, holding that the Farmers' constitutional claims were not subject to the sovereign immunity defense.In 2017, the Board voted to ban the in-crop use of dicamba-based herbicides after April 15, 2018. The Farmers sought declaratory and injunctive relief alleging that the process by which Board members were appointed was unconstitutional. Thereafter, the new rule took effect, and the Board filed a motion to dismiss the Farmers' complaint. The circuit court granted the Board's motion to dismiss on the basis of sovereign immunity. However, the court determined that the Board's sovereign immunity violated the Farmers' due process rights, thus holding that the Board's rule was void ab initio and null and void as to the Farmers. The Supreme Court held (1) the Board's appeal was of the portion of the circuit court's order declaring the Board's rule establishing the cutoff date for the application of dicamba herbicides was moot; but (2) the Farmers' constitutional claims could proceed. View "Arkansas State Plant Board v. McCarty" on Justia Law

The Supreme Court mooted in part and reversed and remanded in part the decision of the circuit court dismissing Monsanto Company's amended complaint against the Arkansas State Plant Board and its members (collectively, the Plant Board) on the basis of sovereign immunity, holding that portions of this matter were moot and, as to the remainder, sovereign immunity was inapplicable.In 2017, the Plant Board promulgated a rule that would prohibit in-crop use of dicamba herbicides during the 2018 growing season. Monsanto filed a complaint setting forth seven alleged claims against the Plant Board. Each of Monsanto's claims sought injunctive or declaratory relief for alleged illegal or unconstitutional activity by the Plant Board and did not seek an award of monetary damages in any respect. The circuit court granted the Plant Board's motion to dismiss based on sovereign immunity. The Supreme Court reversed, holding (1) the portions of the complaint that relate exclusively to the 2016 and 2017 promulgations were moot because the Plant Board has since promulgated a new set of regulations on pesticide use; and (2) Monsanto's claims were sufficiently developed as to properly allege ultra vires conduct, and under the circumstances, the Plant Board must address the merits of Monsanto's claims. View "Montsanto Co. v. Arkansas State Plant Board" on Justia Law

The Supreme Court dismissed as moot the appeal brought by Appellants, the Arkansas State Plant Board and its director, challenging the circuit court's temporary restraining order (TRO) that enjoined the Plant Board from enforcing its agency rule limiting the use of dicamba herbicides after April 15, 2018, holding that because Appellants had since repealed and replaced this rule, the appeal was moot.While Appellants' appeal was pending, the Plant Board repealed and replaced the rule. The Supreme Court held that because the judgment on this appeal would have no practical legal effect on the TRO's enforceability, this interlocutory appeal is dismissed as moot. View "Arkansas State Plant Board v. Stephens" on Justia Law

In this companion case to Arkansas State Plant Board v. Bell, __ S.W.3d __, which the Court handed down on May 23, 2019, the Supreme Court dismissed the appeal from the circuit court's temporary restraining order (TRO) that enjoined the Arkansas State Plant Board and its officers and members (collectively, the Plant Board) from enforcing its agency rule limiting the use of dicamba herbicides after April 15, 2018, holding that because the Plant Board had since repealed and replaced the rule and the TRO had expired by operation of law, the appeal was moot. View "Arkansas State Plant Board v. Johnson" on Justia Law

The Supreme Court dismissed as moot Appellants' appeal of the circuit court's temporary restraining order (TRO) that enjoined the Arkansas State Plant Board from enforcing its agency rule limiting the use of dicamba herbicides after April 16, 2018, holding that the appeal was moot.On April 16, 2018, thirty-seven Arkansas farmers who intended to use dicaamba herbicides in 2018 (Appellees), filed a complaint against the Plant Board seeking a declaratory judgment and injunctive relief. The circuit court granted a TRO and enjoined the Plant Board from enforcing its April 15 cutoff date. The Plant Board appealed. On February 27, 2019, the Plant Board promulgated a new rule that repealed the April 15 cutoff date and took effect beginning March 9, 2019. The Supreme Court dismissed the interlocutory appeal as moot, holding that judgment on this appeal would have no practical effect upon the TRO's enforceability. View "Arkansas State Plant Board v. Bell" on Justia Law