(1) Damages to be paid to a limited cooperative association for breach or anticipatory repudiation of a marketing contract may be liquidated, but only at an amount or under a formula that is reasonable in light of the actual or anticipated harm caused by the breach or repudiation assessed as of the time of the making of the marketing contract. A provision that so provides is not a penalty or otherwise unreasonable.
(2) Upon a breach of a marketing contract, whether by anticipatory repudiation or otherwise, a limited cooperative association may seek:

Terms Used In Kentucky Statutes 272A.7-040

  • Contract: A legal written agreement that becomes binding when signed.
  • Cooperative: means a limited cooperative association or an entity organized under any cooperative law of any jurisdiction. See Kentucky Statutes 272A.1-020
  • Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
  • Injunction: An order of the court prohibiting (or compelling) the performance of a specific act to prevent irreparable damage or injury.
  • marketing contract: means a contract between a limited cooperative association and another person that need not be a patron member:
    (1) Requiring the other person to sell, or deliver for sale or marketing on the person's behalf, a specified part of the person's products, commodities, or goods exclusively to or through the association or any facilities furnished by the association. See Kentucky Statutes 272A.7-010

(a) An injunction to prevent further breach; and
(b) Specific performance.
(3) The remedies in this section are in addition to any other remedies available to an association under law other than this chapter.
Effective: July 12, 2012
History: Created 2012 Ky. Acts ch. 160, sec. 53, effective July 12, 2012.

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