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USDA approves pork checkoff payments for trademarks

After its review, the USDA’s Agricultural Marketing Service has ruled that the National Pork Board can continue to pay its $3 million annual payments to the National Pork Producers Council for the “Pork: The Other White Meat” trademarks. The review was conducted following a lawsuit filed by the Humane Society of the US in 2012 alleging the payment for the trademarks was an unlawful use of Pork Checkoff Funds.  A district judge dismissed the case and an appellate court reversed that decision last year.

As part of the review, AMS directed the Pork Board to contract for an independent expert to provide a valuation of the current value of the trademarks.  The independent review concluded that as of January 1, 2016, the value of the trademarks is between $113 and $132 million, more than the purchase price and the remaining principal balance.

In a separate action, the USDA’s general counsel sent a letter to the Pork Board’s Chief Operating Officer regarding the Board’s letter urging Secretary Vilsack to defend the organization rather than settle with HSUS.  The general council said the letter was in violation of the Pork Promotion, Research, and Consumer Information Order and AMS Guidelines.

The general council directed the Board to account for and reimburse all pork checkoff funds related to the delegate body action within 30 days.  The council also suggested the C-O-O, Pork Board officers, and critical staff attend a remedial training on the proper use of pork checkoff funds.