The USDA has filed a PACA action against a Texas-based potato company, alleging it failed to make payment to 15 produce sellers totaling $1,869,056. The alleged nonpayments occurred between October 2024 and April 2025.
PACA actions are the federal government's primary enforcement tool for protecting produce sellers when buyers don't pay. A single complaint covering 15 sellers and nearly $2 million in unpaid invoices is a significant case and a reminder that payment risk remains real, particularly for smaller suppliers doing business with less-established buyers.
Suppliers and brokers working in the potato category — or any commodity — should treat this as a timely reminder to check trust status and payment history before extending credit. The PACA trust is only as useful as the diligence behind it.