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Courts approve consent injunction and agreed order establishing PACA claims procedure for Berry People, LLC

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On October 25, 2023, in the United States District Court for the Northern District of California, under case number 23-cv-03487, a Consent Injunction and Agreed Order Establishing PACA Claims Procedure was granted against Berry People, LLC, BB #:340329 Hollister, CA.

Court dockets reflect the courts approval on “the parties agreement that the company should be permitted to continue its business operations and facilitate the collection of PACA Trust Assets and provide employment and services to the local community in the State of California under the terms set forth herein and conditioned upon Company’s compliance with the terms of this Order.”

In an excerpt of a November 15 memo to Berry People vendors and suppliers, signed by Jerald Downs, it states, “by way of an update, the U.S. District Court has approved the parties’ agreement providing for the continued operation of Berry People, under the court’s supervision, the funding of a recovery account, and established a clear process for our creditors to submit claims for verification and payment according to the priorities required by PACA. During this process, the Court also approved the use of funds necessary for Berry People to both operate and keep all new business accounts current. In addition to the Court approved use of funds, the Company has secured additional funding from the SBA. These new funds will be used for working capital to secure the fruit necessary to meet the demands of our long-standing customers and vendors.”

For a full review of the Order, click here.

Per the latest docket entry, deadlines for proof of PACA claims are as follows:

Editor’s note: This story has been updated with a more legally accurate headline and additional information provided by Berry People, LLC.

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Bill Zentner is Vice President, Ratings Service for Blue Book Services