Cal-Almond, Inc. v. United States Department of Agriculture

Two groups of almond handlers are challenging various provisions of the California Almond Marketing Order, which regulates the California almond handling industry. Both groups challenge the United States Department of Agriculture (“USDA”) almond marketing program administered by the California Almond Board (the “Board”). The first group is also separately challenging the assessment imposition procedure used by the Board from 1980 to 1986. The second group is separately challenging the validity of the reserve requirement rules for the crop years *433 1988-89 and 1990-91. The district court affirmed a USDA Judicial Officer decision upholding the Almond Marketing Order against these challenges, and the handlers appeal. We affirm the district court’s decision on the assessment imposition procedure and the reserve requirement rules, but hold that the marketing program violates appellants’ First Amendment rights to freedom of expression and association.

I. THE ALMOND MARKETING PROGRAM

A. Facts and proceedings below.

Appellants Cal-Almond, Saulsbury Orchards, and Carlson Farms are “handlers” of California almonds. They receive almonds from growers, process them, and sell the resulting…