Interstate Commerce Commission v. Rio Grande Growers Cooperative, a Corporation, San Joaquin Valley Growers Coop., Inc., and Stan Anderson

In January 1974 the ICC filed a complaint against Rio Grande, alleging that Rio Grande was transporting property without proper authority and that Rio Grande was not a proper agricultural cooperative to escape ICC regulation. In February 1974 Rio Grande was served with process.

The record shows that Rio Grande was largely financed and operated by Stan Anderson. He characterized himself as “managing agent” (R.T, 105) and at one time represented himself as president.

Stan Anderson abandoned Rio Grande shortly after the ICC began its action. He then incorporated a new corporation called San Joaquin Valley Growers Cooperative, Inc. He was the president, an incorporator, and director of San Joaquin and operated it much the same as he operated Rio Grande. The two companies’ articles of incorporation are nearly identical.

On June 13, 1974, a judgment was entered against Rio Grande which, among other things, perpetually enjoined and restrained Rio Grande from transporting property without authority from the Interstate Commerce Commission or holding itself out as an agricultural cooperative within the meaning of the Agricultural Marketing Act of 1929 [12 U.S.C. § 1141j],

This…