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Membership Update for October 2025

October 2025 Membership Summary

The DRC welcomed 11 new members in October 2025. Additionally, some existing members have changed their status. Scroll below for the complete list of new members, changes in membership status, and information about DRC’s dispute resolution services.

Welcome New Members

AD PRODUCE LTD., BC, Canada
ARVISTA GLOBAL INC., ON, Canada
ASICA FARMS S.A.C., La Libertad, Peru
BRAMPTON CASH & CARRY INC., ON, Canada
DARA MARKETING COMPANY, CA, United States
EMPACADORA FRUSEGA CARICHO SA DE CV, Michoacan, Mexico
FOREVER FRESH LLC., PA, United States
HERITAGE GROWN INC., ON, Canada
KINGS RIVER PACKING LP, CA, United States
OHMEX PRODUCE, ON, Canada
THE PARADISE FARMS S.A.C., Lima, Peru

DRC Membership Change in Status

As of October 31st, 2025, the following organizations no longer hold a DRC membership:

DEEP ROOTS WINERY LTD. (Also d/b/a Deep Roots), BC, Canada
EXPORTADORA, INMOBILIARIA, AGRICOLA E INVERSIONES POMPEIA LTDA, Maule, Chile
HOLA PRODUCE INC., BC, Canada
LARCH HILLS WINERY LTD. (Also d/b/a Larch Hills Winery), BC, Canada
MCINTOSH FARMS LTD. (Also d/b/a SpearHead Winery), BC, Canada
VALLEY COMMONS WINERY LTD. (Also d/b/a Stoneboat Vineyards), BC, Canada

About the DRC

The DRC is a non-profit membership-based organization whose core work is business-to-business commercial dispute resolution for the fresh produce industry. The DRC serves as a referee between parties when a purchase and sale do not go according to plan. Members adhere to a common set of trading standards and member responsibilities that promote fair and ethical trading for produce entering the North American marketplace. In Canada, membership in the DRC is a regulatory requirement to trade fresh fruits and vegetables (i.e., buy, sell, import, export) unless accepted by the regulations. Today, the DRC has members in 16 countries outside North America, and membership continues to grow annually. Anyone exporting fresh fruits and vegetables to Canada must sell to a member of the DRC.

In addition to its Operating Rules and Trading Standards, the DRC offers a comprehensive, tailored suite of tools to build members’ knowledge and capacity to avoid or resolve disputes. The DRC provides education, mediation, and arbitration services, and can impose sanctions and disciplinary actions on members who fail to conduct business in accordance with the terms of their membership agreement.

The DRC has resolved claims worth more than $105 million to date. Although arbitration is available, 80% of these claims have been settled in an average of 26 days through our informal consultation and mediation services. Arbitration awards are court-enforceable in countries that are signatories to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards or subsequent conventions.

For more information about memberships, click here or contact our Helpdesk.

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Protecting Your Business: Understanding DRC Membership Termination

This is the second article in our three-part series on Fruit and Vegetable Dispute Resolution Corporation (DRC) membership. Part one explored the benefits of joining the DRC, and in the upcoming part three, we’ll explain the option of maintaining an active membership when facing disciplinary membership actions, termination or expulsion.

The DRC empowers the fresh produce industry with tools for success, but maintaining membership requires following its standards and guidelines. Membership termination or expulsion helps provide fairness and reliability amongst trade partners. If members have concerns about what is required to maintain membership, they are encouraged to contact the DRC for guidance and support.

Key reasons for membership termination
The following scenarios explain reasons for membership termination or expulsion. These measures protect the community’s integrity and support the long-term success of the produce industry.

6 Key Reasons for Termination

1. Non-Compliance with DRC By-Laws and Operating Rules

Members of the DRC are required to adhere to its By-Laws and Operating Rules, which establish clear standards for membership. These requirements serve to promote fair trade practices, minimize commercial disputes, and ensure swift resolution of conflicts that may arise. By fostering trust and consistency across the fresh produce industry, the DRC strengthens relationships and supports a thriving, equitable marketplace.

2. Failure to Meet Financial Obligations

Timely payment of membership fees and arbitration awards ensures access to the DRC’s trusted dispute resolution services and bolsters industry credibility. Non-payment risks sanctions, including membership termination, which may restrict Canadian members from trade across provinces or internationally, potentially violating the Safe Food for Canadians Regulations (SFCR). Such lapses can jeopardize trading privileges, credit, and exports, damaging a business’s reputation and opportunities in the fresh produce industry. 

3. Hiring Sanctioned Individuals

Hiring individuals with recent insolvency, court-ordered restrictions, or DRC expulsion within the past five years may require the posting of financial security under the DRC’s Bonding Policy. This financial security serves as a safety measure, ensuring that members demonstrate financial responsibility and protecting trading partners from potential risks. Compliance strengthens industry trust and credibility, supporting reliable trade relationships. Failure to provide the bond will risk termination of membership, limit market access and undermine a business’s reputation in the fresh produce industry.

4. Voluntary Resignation

Members may voluntarily resign from the DRC, provided they settle any outstanding obligations. Proper resignation preserves credibility and supports ongoing trade relationships in the fresh produce industry. Post-resignation, members remain liable for claims if a Notice of Dispute is filed within nine months of the claim’s occurrence or within nine months from when the claimant ought reasonably to have known of its existence, ensuring accountability.

5. Violation of Rules

Violations, such as submitting false information or failing to honour an arbitration award, may lead to DRC expulsion. Adhering to rules fosters trust and strengthens trade networks. Expelled members remain liable for claims if a Notice of Dispute is filed within nine months of the claim’s occurrence, upholding accountability and protecting the fresh produce industry’s integrity.

6. Bankruptcy, Insolvency, or Suspension of Operations

Bankruptcy, insolvency, or suspension of operations without settling obligations may result in termination of DRC membership. This protects the fresh produce industry from financial disruptions and upholds accountability. By maintaining financial stability, members build trust, connect with reliable partners, and drive growth, fostering confidence in a stable trading environment.

Conclusion

Keeping an active DRC membership brings significant benefits. By staying informed and addressing risks promptly, members can protect their business and reputation, ultimately leading to long-term success. Reviewing practices and using the DRC Helpdesk strengthens compliance and provides tailored support, ensuring a fair trading environment for all.

Stay connected with the DRC by following us on LinkedIn, Facebook, and X, subscribing to the Solutions Newsletter, or visiting www.fvdrc.com to stay updated and learn how DRC can support your business!

Resources

DRC By-Laws and Operating Rules

DRC Solution Articles:

Safe Food for Canadians Regulations

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Membership Update for September 2025

September 2025 Membership Summary

The DRC welcomed 11 new members in September 2025. Additionally, some existing members have changed their status. Scroll below for the complete list of new members, changes in membership status, and information about DRC’s dispute resolution services.

Welcome new members!

9548-4192 QUEBEC INC., QC, Canada
AL SHAM MARKET INC. (Also d/b/a AL SHAM MARKET), ON, Canada
HOKKAIDO PRODUCE LTD., BC, Canada
JR AVOCATS DU MEXIQUE INC., QC, Canada
LIVA BLINDS AND SHADE (A d/b/a of Harun Karakus), ON, Canada
NUTRAFARMS INC. (Also d/b/a Nutrafresh), ON, Canada
RÉMIS HOP! INC. (Faisant également affaire sous Rémis, Rémis Jus, Rémis Zeste, Rémis Dishydrate), QC, Canada
SUMMIT LOGISTICS GROUP LLC., NC, United States
TOM MACDONALD TRUCKING LIMITED, NS, Canada
UNE TOUCHE D’AIL SAUCIER-TAILLERFER INC. (Faisant également affaire sous Une Touche d’Ail), QC, Canada
WORLD PRODUCE TRADING INC., ON, Canada

DRC Membership Change In Status

As of September 30th, 2025, the following organizations no longer hold a DRC membership:

1484497 B.C. LTD., BC, Canada
14953134 CANADA INC., ON, Canada
50TH PARALLEL ESTATE LIMITED PARTNERSHIP, BC, Canada
AGRO RASPBERRY SPR DE RL DE CV, Jalisco, Mexico
AMIN TRADING LTD., BC, Canada
B&J BENGAG ORCHARDS (A d/b/a of Balbir Bengag, Jasvir Bengag), BC, Canada
BISKRA-DZ LTD., ON, Canada
CANADA FARM SUPERMARKET LTD., BC, Canada
COLOREXA SAC, Lima, Peru
CYRUS GATE IMPORT LTD., BC, Canada
EARLCO WINES LTD. (Also d/b/a Three Sisters Winery), BC, Canada
ELYSIA VINEYARD LTD. (Also d/b/a Lightning Rock Winery), BC, Canada
En Terre Vineyards Ltd. (Also d/b/a Terravista Vineyards), BC, Canada
GEHRINGER BROS. ENTERPRISES LTD. (Also d/b/a Gehringer Brothers Estate Wineries), BC, Canada
GOLDEN GATE TRADE LTD., ON, Canada
GREEN GOLD IMPORT-EXPORT CANADA INC., ON, Canada
JOIE VENTURES INC. (Also d/b/a JoieFarm Winery), BC, Canada
LA FRENZ ESTATE WINERY LTD. (Also d/b/a La Frenz Estate Winery), BC, Canada
TAHA INTERNATIONAL INC., QC, Canada
TERRABELLA WINERIES LTD., BC, Canada
TRIPLE K DISTRIBUTOR LTD., SK, Canada
TROPIC SUN IMPORT AND EXPORT INC., ON, Canada
VAN RAAY FARMS LTD., ON, Canada
VERCROP AGRICULTURE CORPORATION, ON, Canada
VIETNCA TRADING LTD. VIETNCA TRADING LTD. (Also d/b/a Viet Ship Trading), BC, Canada

About the DRC

The DRC is a non-profit membership-based organization whose core work is business-to-business commercial dispute resolution for the fresh produce industry. The DRC serves as a referee between parties when a purchase and sale do not go according to plan. Members adhere to a common set of trading standards and member responsibilities that promote fair and ethical trading for produce entering the North American marketplace. In Canada, membership in the DRC is a regulatory requirement to trade fresh fruits and vegetables (i.e., buy, sell, import, export) unless accepted by the regulations. Today, the DRC has members in 16 countries outside North America, and membership continues to grow annually. Anyone exporting fresh fruits and vegetables to Canada must sell to a member of the DRC.

In addition to its Operating Rules and Trading Standards, the DRC offers a comprehensive, tailored suite of tools to build members’ knowledge and capacity to avoid or resolve disputes. The DRC provides education, mediation, and arbitration services, and can impose sanctions and disciplinary actions on members who fail to conduct business in accordance with the terms of their membership agreement.

The DRC has resolved claims worth more than $105 million to date. Although arbitration is available, 80% of these claims have been settled in an average of 26 days through our informal consultation and mediation services. Arbitration awards are court-enforceable in countries that are signatories to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards or subsequent conventions.

For more information about memberships, click here or contact our Helpdesk.

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Arbitration Decision Brief: Lessons from an International Grape Dispute

Dispute regarding the use of private surveys and a potential deduction agreement.

The Fruit and Vegetable Dispute Resolution Corporation (DRC) has developed a series of articles summarizing past arbitration decisions. These articles will help members understand how the DRC Dispute Rules and Standards (R&S) apply in a dispute.

The DRC Dispute R&S states that all DRC arbitrations are private and confidential. As such, the names of all parties, including arbitrators and companies, are not included. A reminder that the DRC’s sole role is to administer the arbitration process; the DRC does not participate in any hearings. Therefore, this summary is based solely on the arbitrator’s written decision and may not reflect important information shared with the arbitrator through written briefs or verbal testimony.

ABSTRACT

The arbitration decision addresses a dispute between parties from Spain and Canada regarding an alleged agreement that the product was purchased with a Specific Grade Standard (U.S. No. 1) and whether the product met those standards upon arrival.

The arbitrator concluded that there was insufficient evidence to support the Respondent’s alleged agreement to purchase the product to a Specific Grade Standard (U.S. No. 1). Without enough evidence to uphold this alleged agreement, the arbitrator decided the U.S. No. 1 Grade Standard could not be taken into consideration. Consequently, the assessment of conformance to the contract would default to the DRC Good Arrival Guidelines.

This summary provides an essential overview of the arbitration decision and its implications for international commercial disputes.

The attached PDF of DRC File #19868 is available for viewing and downloading. Inside, you will discover a detailed arbitration brief that includes additional information such as:

Summary of Facts
The Arbitrator’s Analysis and Reasoning
The Arbitrator’s Decision
DRC’s Comments
Additional Resources

Need Help Navigating Fresh Produce Trade Disputes?

Contact the DRC for information on memberships and expert guidance on preventing and resolving disputes. 
Reach out to us today at info@fvdrc.com or visit www.fvdrc.com/contact to discover how we can help you 
trade with confidence anywhere in the world.

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Maximizing Your Potential with a DRC Membership

The Fruit and Vegetable Dispute Resolution Corporation (DRC) is a non-profit, membership based organization dedicated to providing efficient and cost-effective dispute resolution services to the global fresh produce industry. Becoming a DRC member offers significant advantages for growers, buyers, sellers, brokers, and carriers, while adherence to specific DRC trade standards contributes to fair and ethical commerce.

Key membership benefits include:

  1. Enhanced Business Reputation and Networking Opportunities:
    DRC members are recognized as preferred trading partners, signalling commitment to fair and ethical trading practices. This reputation builds trust with international buyers, sellers, and partners, fostering valuable networking opportunities through access to an extensive member directory. Members can verify the status of potential partners, ensuring secure and reliable transactions across borders.
  2. Educational Resources and Best Practices:
    The DRC provides education and counselling to help members avoid disputes. Members also gain access to tailored tools, including Trading Standards, Transportation Standards, and Good Arrival Guidelines, which promote fair and efficient business practices globally. The monthly Solutions Newsletter provides educational articles, arbitration briefs, and insights to support members and non-members. Additionally, the DRC collaborates with industry associations and governments to develop best practices and reform legislation, creating a level playing field for all participants.

  3. Access to Dispute Resolution Services
    The DRC serves as a neutral referee in commercial disputes, offering consultation, mediation, and arbitration services in English, French, and Spanish. With a proven track record of resolving claims worth over $105 million, 80% of disputes are settled through informal consultation or mediation, with an average resolution time of 26 days. Arbitration awards are court-enforceable in countries that adhere to the New York Convention of 1958, providing members with legal recourse worldwide.
  4. Regulatory Compliance for Canadian Businesses
    For Canadian businesses involved in buying, selling, importing, or exporting fresh produce, DRC membership fulfills a mandatory requirement under the Safe Food for Canadians Regulations (SFCR). This compliance ensures adherence to federal regulations. The membership is voluntary for companies outside of Canada. For international members, a DRC membership aligns with global trade standards, enhancing credibility in cross-border transactions.

  5. Risk Management and Financial Security
    DRC’s membership is a robust risk management tool supporting the smooth flow of transactions. Members benefit from one-on-one, professional, and confidential consultations to navigate complex trade scenarios internationally.

    The DRC’s Bonding Policy may require financial security in some cases, protecting the industry from insolvency risks and ensuring members uphold ethical standards.

  6. Access to the Members Only Portal
    The DRC’s Members Only Portal provides a user-friendly platform to access the global membership directory, view reports (including past and present disputes), update membership information, and pay membership fees. This tool streamlines administrative tasks and enhances connectivity for members worldwide.

What Our Members Say

Testimonials from members highlight the value of these benefits. Rally Logistics, Inc., a Canadian member, notes:

“As a member of DRC since our inception, we have found the resources and protection DRC provides us as both a broker and carrier to be invaluable! You shouldn’t be in the produce business without a membership, regardless of your role!”

Similarly, Meridian Fruits SPR de RL, based in Mexico, praises the DRC’s dispute resolution services:

“The DRC’s mediation process was efficient and professional, resolving our dispute quickly and fairly, exceeding our expectations.”

Conclusion

DRC membership equips businesses in the global fresh produce industry with tools to succeed, from building trusted partnerships to resolving disputes efficiently and ensuring compliance with trade standards. This contributes to the economic viability of the whole fruit and vegetable sector globally. By leveraging DRC’s resources, members can elevate their operations worldwide.

This article kicks off our three-part series on DRC membership. In part two, we’ll uncover “Protecting Your Business: Understanding DRC Membership Termination” to help you avoid common pitfalls. Part three will explain the option of maintaining a membership in good standing when facing disciplinary membership actions, termination or expulsion: “How to Protect and Strengthen Your DRC Membership.”  Follow our socials and newsletter to stay informed!

Visit the DRC website to join and learn how to drive your business forward, wherever you operate.

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Membership Update for August 2025

August 2025 Membership Summary

The DRC welcomed 16 new members in August 2025. Additionally, some existing members have changed their status, and two were terminated with cause. Scroll below for the complete list of new members, changes in membership status, termination details, and information about DRC’s dispute resolution services.

Welcome new members!

17056362 CANADA INC., Mississauga, ON
AETJ TRADING LTD., Richmond, BC
BEE SWEET CITRUS, INC (Also d/b/a Bee Sweet Citrus), Fowler, CA
BEKY FRESH (A d/b/a of 11949462 Canada Inc.), Mirabel, QC
BRIÉRE AGRO-SERVICES INC., Drummondville, QC
EXPERTS GEOCONSEILS INC (Faisant également affaire sous EGC), Montréal, QC
FAMEQUI FRESH SA DE CV, Uruapan, Michoacan
GARY’S BLUEBERRY FARM LTD., Delta, BC
JAGJOT EXPRESS INC., Etobicoke, ON
NUTRAFARMS INC. (Also d/b/a Nutrafresh), Windsor, ON
RÉMIS HOP! INC., Magog, QC
STOLKY IMPORT-EXPORT INC., Saint Leonard, QC
UNE TOUCHE D’AIL SAUCIER-TAILLERFER INC., Saint-Anicet, QC
VENTURA DISTRIBUTION (also d/b/a 9029-7086 Québec Inc.), Montreal, QC
VF TRADE FRESH INC., Hamilton, ON
VISA FRUIT LTD (Also d/b/a Visafruit Canada), Toronto, ON

DRC Membership Change In Status

As of August 31st, 2025, the following organizations no longer hold a DRC membership:

1.2.3. SANTÉ / 1.2.3. SANTÉ!, Magog, QC
15421306 CANADA INC., Brampton, ON
ACH DISTRIBUTION INC. / DISTRIBUTION ACH INC., Sainte-Anne-de-Bellevue, QC
AGROEXPORTADORA VERDI, SA DE CV El, Rosario, Sinaloa
BLASTED CHURCH VINEYARDS INC., Okanagan Falls, BC
EDIBLE HARVEST FARMS CORP., Plantation, FL
GREENGROW GREENHOUSES (A d/b/a of 2258324 Ontario Ltd.), Fenwick, ON
IMEX AGRO INC., Gatineau, QC
JACOB REDEKOP TEICHROEB (Also d/b/a Abarrotes y Refacciones Teichroeb), Leamington, ON
NEW ORIGIN FRESH TRADE CO. (A d/b/a of 15721091 Canada Inc.), Mississauga, ON
PANORAMA PACKING LTD., Oliver, BC
WESBERT WINERY LTD., Penticton, BC

Termination with Cause

IMEX AGRO INC was automatically terminated from the DRC membership on August 11, 2025, due to a bankruptcy order which was made against Imex Agro Inc.

GREENGROW GREENHOUSES (A d/b/a of 2258324 Ontario Ltd.) was automatically terminated from the DRC membership effective August 12, 2025, for failing to comply with an arbitration award.

Important note: Following membership termination, the former member remains liable for claims arising prior to their termination if the claim is submitted to DRC by way of a Notice of Dispute within nine (9) months from when the claim arose or within nine (9) months from when the claimant ought reasonably to have known of its existence.

For questions about membership changes, contact our Help Desk.

About the DRC

The DRC is a non-profit membership-based organization whose core work is business-to-business commercial dispute resolution for the fresh produce industry. The DRC serves as a referee between parties when a purchase and sale do not go according to plan. Members adhere to a common set of trading standards and member responsibilities that promote fair and ethical trading for produce entering the North American marketplace. In Canada, membership in the DRC is a regulatory requirement to trade fresh fruits and vegetables (i.e., buy, sell, import, export) unless accepted by the regulations. Today, the DRC has members in 16 countries outside North America, and membership continues to grow annually. Anyone exporting fresh fruits and vegetables to Canada must sell to a member of the DRC.

In addition to its Operating Rules and Trading Standards, the DRC offers a comprehensive, tailored suite of tools to build members’ knowledge and capacity to avoid or resolve disputes. The DRC provides education, mediation, and arbitration services, and can impose sanctions and disciplinary actions on members who fail to conduct business in accordance with the terms of their membership agreement.

The DRC has resolved claims worth more than $105 million to date. Although arbitration is available, 80% of these claims have been settled in an average of 26 days through our informal consultation and mediation services. Arbitration awards are court-enforceable in countries that are signatories to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards or subsequent conventions.

For more information about memberships, click here or contact our Helpdesk.

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ARBITRATION DECISION BRIEF: Private inspections and a potential deduction agreement

In this dispute, the arbitrator has determined that there was insufficient evidence to support the Claimant’s agreement to accept the findings from the private inspection or the claimed deduction agreement. As a result, these survey reports cannot be used to assess whether the product adhered to the Good Arrival Guidelines upon arrival, nor will they be used to establish a fair return. Additionally, the arbitrator decided that the claimed deduction agreement does not apply.

The Fruit and Vegetable Dispute Resolution Corporation (DRC) has developed a series of articles summarizing past arbitration decisions. These articles will help members understand how the DRC Dispute Rules and Standards (R&S) apply in a dispute.

The DRC Dispute R&S states that all DRC arbitrations are private and confidential. As such, the names of all parties, including arbitrators and companies, are not included. A reminder that the DRC’s sole role is to administer the arbitration process; the DRC does not participate in any hearings. Therefore, this summary is based solely on the arbitrator’s written decision and may not reflect important information shared with the arbitrator through written briefs or verbal testimony.

ABSTRACT

The arbitration decision addresses a dispute between parties from the United States and Canada regarding an alleged agreement to use private inspection reports and the appropriate compensation for each load.

The arbitrator concluded that there was insufficient evidence supporting the Respondent’s alleged agreement to utilize private inspection services. The arbitrator found that the private inspections conducted for the Respondent failed to meet DRC’s Good Inspection Guidelines. Since the private inspections did not meet these guidelines, the arbitrator decided not to consider these reports to determine a fair return.

This summary provides an essential overview of the arbitration decision and its implications for international commercial disputes.

CASE: DRC FILE #20648 – PARTIES DOMICILED – UNITED STATES AND CANADA

SUMMARY OF FACTS:

Two shipments of Flame grapes and Summer Royal grapes were sent to the Respondent by the Claimant:

1. First Shipment: Shipped on June 8th, 2020, with Invoice #2070130 and PO #2060277. This shipment contained 1,440 boxes of Flame grapes at USD$17.10 per box and 540 boxes of Summer Royal grapes at USD$14.10 per box, plus a USD$30.00 charge for a temperature recorder. The total invoice amount was USD$32,268.00.

On June 11th, 2020, a private inspection was performed on the 1,440 boxes of Flame grapes associated with Invoice #2070130. The inspection report, delivered to the Claimant on the same day, indicated the following findings: 3% decay, 1% brown berries, 9% soft fruit, 2% split fruit, 4% bruises, and 8% shattered fruit.

2. Second Shipment: Shipped on June 8th, 2020, with Invoice #2070131 and PO #2060356. This shipment included 1,439 boxes of Flame grapes at USD$17.10 per box and 540 boxes of Summer Royal grapes at USD$14.10 per box, for a total invoice amount of USD$32,220.90.

On June 15th, 2020, a private inspection was performed on the 1,439 boxes of Flame grapes related to Invoice #2070131. The findings indicated: 2% decay, 2% brown berries, 11% soft fruit, 2% split fruit, 5% bruises, and 4% shattered fruit. This report was also delivered to the Claimant on the same day.

On June 23rd, 2020, the Respondent emailed the Claimant regarding a proposed return sale for USD$9.10 per box on the 1439 boxes of Flame grapes linked to Invoice #2070131. On June 26th, 2020, the Respondent emailed the Claimant about a proposed return sale for USD$9.10 per box on the 1440 boxes of Flame grapes associated with Invoice #2070130.

On July 3rd, 2020, the Respondent made a direct deposit payment of USD$41,456.90 to the Claimant for Invoices #2070130 and #2070131. This payment was short by USD$23,032.00 based on the original invoices.

The Claimant is seeking payment for the outstanding balance of USD$23,032.00, along with a USD$2,500.00 filing fee. The Respondent argued that private inspections were accepted in previous transactions and that the inspection reports were sent to the Claimant without any indication that these reports were not accepted.

The attached PDF is available for viewing and downloading. Inside, you will discover a detailed arbitration brief that includes additional information such as:

The Arbitrator’s Analysis and Reasoning
The Arbitrator’s Decision
DRC’s Comments
Additional Resources

Need Help Navigating Fresh Produce Trade Disputes?

Contact the DRC for information on memberships and expert guidance on preventing and resolving disputes. Reach out to us today at info@fvdrc.com or visit www.fvdrc.com/contact to discover how we can help you trade with confidence anywhere in the world.

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Membership Update for July 2025

Welcome New Members!

From July 1st to July 31st, 2025, the DRC welcomed the following 16 new members:

BIG LEAGUE FOOD COMPANY WHOLESALE INC., ON, Canada
CAWSTON COLD STORAGE LTD., BC, Canada
EXELLAR TRANSPORTATION INC., ON, Canada
FLS TRANSPORTATION SERVICES LIMITED, QC, Canada
FORDEL MARKETING, LLC, NV, United States
HURTANAVA PRODUCE LLC, TX, United States
JV FRESH PRODUCE (A d/b/a of 16928820 Canada Inc.), ON, Canada
KR TRADING (A d\b\a Eun Jun Kwon), BC, Canada
MID-RIVER TRADING (A d/b/a of 2545241 Ontario Inc.), ON, Canada
NILE MAPLE TRADERS INCORPORATED, NB, Canada
OYAY INTERNATIONAL LIMITED, ON, Canada
PANORAMA PRODUCE LTD., BC, Canada
PHOENIX GROUP LOGISTICS (A d/b/a of 2153248 Alberta Inc.), AB, Canada
SMART-LINK HOMEWARE PRODUCTS INC., ON, Canada
MN BUSINESS INC., QC, Canada
REIMER’S FRUITS PRODUCTIONS (Faisant également affaire sous, QC, Canada

DRC Membership Change In Status

As of July 31st, 2025, the following organizations no longer hold a DRC membership:

AFRICA HAVEN INC., QC, Canada
AGRIKO TRADING LIMITED, BC, Canada
CARIBBEAN FRESH, ON, Canada
CULTIVARES SAC, Lima, Peru
FINE TECH LEATHER LTD. (Also d/b/a AFN Trading Company), AB, Canada
FRESH VEGETABLES ARE S.A. DE C.V. (También haciendo negocios), Puebla, Mexico
GREEN SUN SERVICES INC. (Also d/b/a Green Sun Services), ON, Canada
GROCERIZZA INC., ON, Canada
KREMERMAN FOODS (A d/b/a of 9504303 Canada Inc.), AB, Canada
NISHAN TRANSPORT INC., QC, Canada
OPERADORA COMERCIAL DATI S DE RL DE CV (También haciendo neg), Michoacan, Mexico
POC HOLDINGS CORPORATION (Also d/b/a POC Trading), BC, Canada
SHETUR CORPORATION (Also d/b/a Shetur), ON, Canada
SOAGRO CORP., ON, Canada
SOCIEDAD COOPERATIVA DE VENTA EN COMUN CUPANDA. S.C.L., Michoacan, Mexico
TAAMAY EXPORT MEXICO S.A.P. I DE C.V. (Also d/b/a TAAMAY), Ciudad de Mexico, Mexico
VIANDES ET VOLAILLES OMEGA (A d/b/a of 9347-4179 Quebec Inc., QC, Canada
YETI REFRIGERATED TRANSPORT INC., AB, Canada

Expulsion Notice

KREMERMAN FOODS (A d/b/a of 9504303 Canada Inc.), was expelled from the DRC membership effective July 18, 2025, for not meeting its debts as they came due and failing to provide information requested.

Important note: Following membership termination, the former member remains liable for claims arising prior to their termination if the claim is submitted to DRC by way of a Notice of Dispute within nine (9) months from when the claim arose or within nine (9) months from when the claimant ought reasonably to have known of its existence.

For details regarding a change in status, please get in touch with the office.

About the DRC

The DRC is a non-profit membership-based organization whose core work is business-to-business commercial dispute resolution for the fresh produce industry. The DRC serves as a referee between parties when a purchase and sale do not go according to plan. Members adhere to a common set of trading standards and member responsibilities that promote fair and ethical trading for produce entering the North American marketplace. In Canada, membership in the DRC is a regulatory requirement to trade fresh fruits and vegetables (i.e., buy, sell, import, export) unless accepted by the regulations. Today, the DRC has members in 16 countries outside North America, and membership continues to grow annually. Anyone exporting fresh fruits and vegetables to Canada must sell to a member of the DRC.

In addition to its Operating Rules and Trading Standards, the DRC offers a comprehensive, tailored suite of tools to build members’ knowledge and capacity to avoid or resolve disputes. The DRC provides education, mediation, and arbitration services, and can impose sanctions and disciplinary actions on members who fail to conduct business in accordance with the terms of their membership agreement.

The DRC has resolved claims worth more than $105 million to date. Although arbitration is available, 80% of these claims have been settled in an average of 26 days through our informal consultation and mediation services. Arbitration awards are court-enforceable in countries that are signatories to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards or subsequent conventions.

For more information about memberships, click here or contact our Helpdesk.

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ARBITRATION DECISION BRIEF: Disputed Return After Inspection Showed the Product Failed Good Arrival

Dispute regarding the Claimant’s acceptance of the Respondent’s return and the correct return amount based on inspection results and current market value.

The Fruit and Vegetable Dispute Resolution Corporation (DRC) has developed a series of articles summarizing past arbitration decisions. These articles will help members understand how the DRC Dispute Rules and Standards (R&S) apply in a dispute.

The DRC Dispute R&S states that all DRC arbitrations are private and confidential. As such, the names of all parties, including the Arbitrator and companies, are not included. A reminder that the DRC’s sole role is as administrator of the arbitration process; the DRC does not participate in any hearings. Therefore, this summary is based solely on the Arbitrator’s written decision and may not reflect important information shared with the Arbitrator through written briefs or verbal testimony.

ABSTRACT

This arbitration decision involves a dispute between a U.S.-based Claimant (seller) in Pennsylvania and a Canada-based Respondent (buyer) in Montreal over two shipments of Colossal Yellow Onions. The key issues were whether the Claimant accepted the Respondent’s return offer and what constituted an appropriate settlement based on inspection results and market value. According to the findings and the DRC Rules, the Arbitrator concluded that there was sufficient evidence to show that the Claimant accepted the return amount offered by the Respondent for only one of the two shipments. For the second shipment, however, the Arbitrator found that the Respondent did not provide enough evidence to justify the proposed return. Additionally, the inspection results did not support the amount offered for the return of the second shipment.

Below is a concise analysis of the case, its implications, and key takeaways for similar international commercial disputes.

CASE: DRC FILE #20535 – PARTIES DOMICILED – UNITED STATES AND CANADA

SUMMARY OF FACTS:

The Claimant, based in Pennsylvania, sold two loads of Colossal Yellow Onions to the Respondent located in Montreal.

The first load consisted of 850 bags, each weighing 50 lbs, sold FOB Idaho for USD 7.25 (invoice #50432 or PO 60298). The product was shipped on December 11 and arrived on December 15.

A CFIA inspection was requested and performed on December 16, revealing 9% total condition defects. This included 1% cuts, 2% translucent scales, 1% watery scales, and 5% decay.

The second load also contained 850 bags of 50 lbs Colossal Yellow Onions, sold FOB Idaho for USD 8.00 (invoice #50433 or PO #60308). This product was shipped on December 18 and arrived on December 20.

A CFIA inspection was requested on December 21 and performed on December 23, showing 10% total condition defect comprising 3% translucent scales and 7% decay.

After the inspections were completed, the Respondent emailed the results to the Claimant’s sales representative. On December 23, the Claimant replied, asking if the Respondent would like to repack the product and whether they were interested in settling the matter. The Respondent responded the same day, stating that they could only settle after selling the product. However, due to the significant decay (as high as 25%), they believed they could only recover the cost of freight. The Respondent followed up with a phone call to emphasize the limited resources available for selling the product. It was suggested again that the Claimant take back the product to minimize losses for the grower.

On December 27, the Claimant emailed the Respondent to inquire about the returns for the onions.

On December 31, the Respondent replied, indicating that there would be a remittance of USD 1.00 per bag, all-inclusive, along with revised invoices for both loads, allowing the Claimant to issue payment.

On January 8, the Claimant emailed the Respondent, advising that given the inspections, market value, and damages, the return should be between USD 5.00 and USD 6.00 FOB, and they would likely not accept anything less. The Respondent replied on the same day, stating that the product was out of grade and was sold to minimize losses at the best possible price, considering the percentage of decay present in both loads. They confirmed that the USD 1.00 payment had been made in full and that no additional funds would be provided.

On January 23, the Respondent received an email from the Claimant stating that the grower had accepted a return of USD 1.00 per bag for PO#60308 and had created a credit memo, which was included in that email.

SUMMARY OF ARBITRATOR’S ANALYSIS AND REASONING:

After considering all of the arguments and submissions from both parties, the Arbitrator focused only on the relevant points that influenced their conclusions and the resolution of the dispute. Any facts or arguments that were not addressed in the Arbitrator’s reasoning did not affect the conclusion of their Arbitral Award.

  • Both Invoice #50432 and Invoice #50433 pertain to sales transactions. Since there is no other written agreement between the parties, the DRC rules are applicable, as both parties were members of the DRC when the dispute arose.
  • It appears that the Claimant was acting as a commission merchant on behalf of a grower regarding each of the sales in question.
  • There is no evidence indicating that the parties agreed on a specific grade standard. Therefore, the DRC’s Good Arrival Standards apply. Under these standards, the allowable decay for onions is 4%, and the product in question exceeded this tolerance level.
  • Specifically concerning Invoice #50433/PO #60308, the evidence shows that on January 23, 2020, the parties agreed to a return of USD 1.00 per bag.
  • Regarding Invoice #50432/PO #60298, there is no evidence that the parties reached an agreement on a reduced price, nor is there any indication that the level of decay merited a price reduction to USD 1.00 per bag. The decay was 7%, “mostly also showing mold.”
  • It is the Respondent’s responsibility to provide evidence to support its returns. However, the Respondent did not supply any accounting for the Arbitrator to evaluate the sales, timing, and prices.
  • As a consequence, the Arbitrator rejected the Respondent’s return on the products corresponding to Invoice #50432/PO #60298.
  • According to the Agriculture and Agri-Food Canada website, the prices for the week of December 16, 2019, for comparable conventional onions were:

According to the Agriculture and Agri-Food Canada website, the prices for the week of December 16, 2019, for comparable conventional onions were:

  • The Claimant’s damages claim in this arbitration is USD 6.50 FOB per bag (less than the USD 7.25 original price), which is well below the market prices available for a comparable product at No. 1 grade in Canada in the corresponding time frame.
  • Consequently, the total price for Invoice #50432/PO #60298 is determined to be USD 5,525.00. Since USD 850.00 has already been paid, a balance of USD 4,675 is still owed by the Respondent.
  • Further, Claimant’s invoices provide that the buyer shall pay all costs of collection. Accordingly, the Respondent is required to pay to the Claimant the USD 600 DRC filing fee.

ARBITRATOR’S SUMMARY DECISION:

Based on the Summary of Arbitrator’s Analysis and Reasoning, the Arbitrator makes the following decisions:

  1. Claimant’s claim regarding Invoice #50433 / PO #60308 is DISMISSED.
  2. The Respondent did not provide an accounting or proof of claim for Invoice #50432 / PO #60298.
  3. The Respondent failed to make the payment for Invoice #50432 / PO #60298.
  4. Respondent must pay Claimant USD 4,675.00 in general damages and USD 600.00 for the DRC filing fee by August 29, 2020.
  5. All other requests that were not granted are DISMISSED.

DRC COMMENTS:

In the produce industry, if a buyer decides to claim damages after receiving a product in a deteriorated condition, it is the buyer’s responsibility to explain how they arrived at their decision for the return. While an itemized account of sales is only required in consignment transactions, providing an account of sales is the most common method when claiming damages resulting from a breach of contract or a product received in deteriorated condition.

When submitting an account of sales, it is advisable to present an itemized account of sales. This should include the date, amount, and price for each sale related to the load in question, after deducting expenses such as freight costs, inspections, brokerage fees, and any additional expenses agreed upon by both parties. An itemized account of sales not only illustrates net returns but also demonstrates whether the product was moved promptly.

If an account of sales is unavailable, be aware that there are alternative methods used to assess the fair value of the product. One approach may involve reducing the invoice value based on the percentage of defects identified in the federal inspection, although this may not always accurately reflect actual losses.

ADDITIONAL RESOURCES:

To access the full redacted arbitration decision, click here.

Receiver Duties:

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Membership Update for June 2025

Welcome New Members

From June 1 until June 30, 2025, the DRC welcomed the following 22 new members:

9457-9885 QUÉBEC INC., QC, Canada
AMPLE PRODUCE INC. (Also d/b/a Ample Harvest), ON, Canada
ANC TRADING LTD., AB, Canada
CANA PACKING INC., NS, Canada
DEN BOER FAMILY FARM INC., ON, Canada
DROST FARMS LTD., AB, Canada
ECKERT COLD STORAGE COMPANY, CA, United States
EVERSUNNY FOOD LTD., BC, Canada
JOVO & KRISH IMPORT AND EXPORT INC., ON, Canada
JUST AVOCADO PRODUCE MICHOACAN S.A. DE C.V. (Faisant également affaire sous Avocadox), Michoacan, Mexico
KEY WEST EXPRESS LTD., BC, Canada
MANGAL CAPITAL INC., BC, Canada
NILE GARDENS INC., ON, Canada
PROCESOS AGROINDUSTRIALES S.A., Lima, Peru
QUALITEA BUBBLE TEA CANADA DISTRIBUTION INC., ON, Canada
RVR AGRO S.R.L., Lima, Peru
S&S PRODUCE INC., ON, Canada
SHANI, ON, Canada
VIRSA TASTES (A d/b/a of Jaswinder Singh), ON, Canada
WILLOW CREEK COLONY LTD. (Also d/b/a Willowcreek Warehouse), MB, Canada
XATLANTIC ENTERPRISES INC., ON, Canada
YYY FOODS PROCESSING INC., BC, Canada

To view a complete list of active membersclick here.

DRC Membership Change in Status

As of June 30, 2025, the following organizations no longer hold a DRC membership:

1350797 ONTARIO LTD., ON, Canada
ALINE PACKAGING LTD., BC, Canada
ANAVARA LIMITED (Also d/b/a JusFres), BC, Canada
BORSELLINO & SON GRAPES IMPORTING & WINE AGENCY INC., ON, Canada
CITRUS SAM INC., ON, Canada
D.O.T LOGISTICS INC., AB, Canada
DI VAIN ENTERPRISES (A d/b/a of Quetzal Silva Torres), BC, Canada
ELI LOGISTICS SOLUTIONS INC., ON, Canada
FALCONS GLOBAL CORPORATION, ON, Canada
FRESHFUSION IMPORT INC., ON, Canada
GLOBAL TRADERS CANADA LTD., ON, Canada
GREENHILL PRODUCE (THAMESVILLE) LTD., ON, Canada
GRUPO COMERCIAL CAMPO VERDE SAC, Lima, Peru
GUJARAT FOODS AND SPICES INC., ON, Canada
Gujarati Mart (A d/b/a of Bhaveshbhai Limbachiya), AB, Canada
IQBAL HALAL FOODS INC., ON, Canada
ITOH FRUITS INC. (Also d/b/a Itoh Fruits), ON, Canada
JIRSTREK FRUITS LTÉE, QC, Canada
JTS FOOD CORPORATION, BC, Canada
KALIGA BAZAAR (A d/b/a of 2704097 Ontario Inc.), ON, Canada
L & L GARDENS INC., ON, Canada
MEADOW VALLEY GARDEN CENTRE LTD., ON, Canada
MILO 8 INTERNATIONAL TRADING CO. LTD., ON, Canada
PACIFIC SUN DISTRIBUTING, INC, CA, United States
PANORAMA PRODUCE LTD., BC, Canada
ROYAL SAVANNA INCORPORATED, ON, Canada
SENSIENT NATURAL EXTRACTION INC., BC, Canada
SHIVANI SALES INC., MB, Canada
SHREE SUPERMARKET INC., BC, Canada
SKOTIDAKIS GOAT FARM (A d/b/a of 1048547 Ontario Inc.), ON, Canada
TOMATO TOWN PRODUCE COMPANY LTD., ON, Canada
TUKTIN INC. (Also d/b/a ASK Fresh Foods), AB, Canada
VARAHI FOODS AND DISTRIBUTIONS LTD., AB, Canada
XALISCO PRODUCE LTD., BC, Canada

Click here to view a complete list of inactive members. This list includes members who resigned, were expelled, or were terminated in the last nine months.

For details regarding a change in status, please get in touch with the office.

Important note: Following membership termination, the former member remains liable for claims arising prior to their termination if the claim is submitted to DRC by way of a Notice of Dispute within nine (9) months from when the claim arose or within nine (9) months from when the claimant ought reasonably to have known of its existence.

About the DRC

The DRC is a non-profit membership-based organization whose core work is business-to-business commercial dispute resolution for the fresh produce industry. The DRC serves as a referee between parties when a purchase and sale do not go according to plan. Members adhere to a common set of trading standards and member responsibilities that promote fair and ethical trading for produce entering the North American marketplace. In Canada, membership in the DRC is a regulatory requirement to trade fresh fruits and vegetables (i.e., buy, sell, import, export) unless accepted by the regulations. Today, the DRC has members in 16 countries outside North America, and membership continues to grow annually. Anyone exporting fresh fruits and vegetables to Canada must sell to a member of the DRC.

In addition to its Operating Rules and Trading Standards, the DRC offers a comprehensive, tailored suite of tools to build members’ knowledge and capacity to avoid or resolve disputes. The DRC provides education, mediation, and arbitration services, and can impose sanctions and disciplinary actions on members who fail to conduct business in accordance with the terms of their membership agreement.

The DRC has resolved claims worth more than $105 million to date. Although arbitration is available, 80% of these claims have been settled in an average of 26 days through our informal consultation and mediation services. Arbitration awards are court-enforceable in countries that are signatories to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards or subsequent conventions.

For more information about memberships, click here or contact our Helpdesk.

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