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(c) Each person designated by a licensed field warehouseman as a custodian or an assistant custodian shall file with the Service a statement, on a form provided by the Service for the purpose, setting forth his qualifications and experience in warehouse work, the occupation or business he has been engaged in during the five years next preceding the date of the statement, the names of his employers, if any, during such 5-year period, the names of at least five persons who can vouch for his character and qualifications for the position, and such other information as the Secretary, or his designated representative, may require.

(d) No custodian shall accept instructions from anyone other than the warehouseman.

(e) No custodian or assistant custodian shall enter upon his duties as such at a licensed field warehouse until he has been notified in writing by the Service that his appointment has been approved.

§ 151.7 Licensed space; separation; locking.

The warehouse space licensed or to be licensed shall be substantially separated from the other space and shall be kept securely locked or sealed in accordance with § 151.15. All keys to locks shall be kept in the possession of the warehouseman or his authorized agent at all times. In case there is any doubt whether all keys to the warehouse are in possession of the warehouseman or his agents, the warehouseman shall provide new locks and keys for the warehouse. § 151.8 Licensed field warehouse; locking; supervision.

It shall be the duty of a licensed field warehouseman to keep the 11censed field warehouse securely locked at all times except when the warehouseman, the custodian, or an assistant custodian is present, and no person other than the warehouseman, the custodian, or an assistant custodian shall have access to the licensed warehouse or the products stored therein except in the presence of and with the consent of such warehouseman, custodian,

or assistant custodian: Provided, That if any night watchman in the employ of the owner of the building is required to enter the licensed warehouse under an insurance requirement and his only du ties at the warehouse building are those of a night watchman he may be given a key to the warehouse for that purpose, if the approval of the Service is first secured and the watchman's service

is fully provided for in the field warehouse lease agreement: Provided further, That the provisions of this section shall not apply in the case of warehouses where the bin system is in effect as out lined in § 151.15. The warehouseman shall at all times exercise absolute and complete control and dominion over the licensed warehouse and the products stored therein to the complete exclusion of all parties except as provided in this section.

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No misleading name or designation shall be applied to any field warehouse licensed under the act, but in every case the name shall indicate that the warehouse is being operated as a public warehouse by the warehouseman as lessee.

§ 151.10 Filing of rules, schedule of charges; contracts with depositors.

(a) Before a license to conduct a field warehouse is granted under the act, the warehouseman shall file with the Service in accordance with the requirements of the commodity regulations, a copy of his rules and a schedule of charges; and, in addition, he shall file copies of all contracts and agreements entered into by and between him and any depositor or the lessor of the field warehouse which in any way relate to the establishment, operation, management, or payment of expenses connected with the operation of the warehouse. If there are any agreements or understandings between the lessor of the warehouse and the lessee with respect to any of the aforementioned that have not been reduced to writing, the warehouseman shall file with the Service a written statement setting forth the substance of such verbal agreements and understandings.

(b) All warehouses licensed under the act must be operated as public warehouses, and no rules or schedules of charges filed by any warehouseman applying for a license under the act shall be approved by the Secretary, or his designated representative, if it is not clear that the requirements of section 13 of the act can and will be met.

§ 151.11 Receipts; form.

Every receipt, whether negotiable or nonnegotiable, issued for products stored in a field warehouse, shall, in addition to complying with the requirements of section 18 of the act and sections of the applicable commodity regulations, embody within its printed terms a statement that the warehouseman is lessee of the warehouse.

§ 151.12 Receipts; conditions regarding issuance.

Warehouse receipts for products stored in a field warehouse licensed under the act shall be issued in the town or city where the warehouse is located, except that where two or more licensed field warehouses are operated by a warehouseman receipts for all such warehouses may be issued from a central point, provided such central point is not more than 25 miles distant from the farthest warehouse. In cases where receipts are issued from central points the warehouseman shall, when requested by Department representatives, provide transportation for such representatives when engaged in regular inspection work, to and from such warehouses.

§ 151.13 License; conditions regarding issuance.

No field warehouse license shall be issued by the Secretary, or his designated representative, unless the lessee is wholly disinterested with respect to depositors and the application is supported by the original lease and one copy, dated and signed by the contracting parties, and embodying the following: (a) A definite period of time not less than one year after the date of execution, (b) a description of the exact space leased to the field warehouseman and a statement that all of such space is to be covered by the license, if issued, and (c) evidence that said lease has been duly recorded in

the county where such warehouse is located, except where there is a statutory inhibition against the recording of such leases, and (d) a clause prohibiting the cancellation of the lease or ejecting the warehouseman so long as any receipt issued under the act and the regulations is outstanding.

§ 151.14

No indemnification against loss account dereliction of warehouseman.

A license to conduct a field warehouse under the act shall not be issued, or if issued, shall not be allowed to remain in effect, if any depositor agrees or has agreed with the warehouseman to indemnify him against loss due to failure of the warehouseman to exercise such care of the products in his custody as a reasonably prudent owner would exercise or as the warehouseman is required to exercise under the act and regulations. § 151.15 Storage bins; sealing; licensing; operation.

In the case of warehouses where approved storage bins have been erected and such bins can be sealed with seals furnished by the Department for the purpose, the bins may be licensed and the depositors may, with the consent of the warehouseman, have access to such bins for the purpose of placing goods therein before the seals are affixed and before warehouse receipts are issued by the warehouseman, or for the purpose of removing goods therefrom after the outstanding receipts for all goods in such bin or bins have been surrendered to and canceled by the warehouseman, and the warehouseman or his custodian, or assistant custodian, has broken the seals. Under no circumstances shall anyone other than the licensed warehouseman, the custodian, assistant custodian, or duly appointed employees of the Department of Agriculture in the performance of their official duties, affix any seals to a licensed bin or remove a seal therefrom. Where bins are licensed no receipts may be issued for products stored in any bin until after the seals have been affixed, and no seals may be broken for the purpose of delivering the products until the receipts covering such products have been surrendered and canceled. Seals may

be broken to permit inspecting and reasonable sampling of the goods; but such work must be done by the licensed warehouseman, the custodian, or an assistant custodian, and after inspecting or sampling new seals shall be affixed to the bin. § 151.16 Signs of tenancy; placing.

(a) Each licensed field warehouseman shall, during the period of his license, maintain suitable signs on the licensed property in such manner as to give ample public notice that such property has been leased by the warehouseman and is controlled and operated by him. Such signs must be of such size and be so affixed to the outside of each licensed building, and at appropriate places within the building, as to attract the attention of and give notice to the public as to the real

tenancy, and must be placed at each point of entry to and exit from the licensed space.

(b) Such signs shall include the following: (1) The name and address of the license, (2) the name of the warehouse, (3) the license number of the warehouse, (4) a statement that the warehouseman is lessee, and (5) the words "public warehouse."

(c) Such other wording or lettering as is not inconsistent with the purpose of the act and the regulations in this part and is approved by the Service may appear in the sign or signs.

(d) The warehouseman shall not permit signs to remain on his licensed property which might lead to confusion as to the tenancy.

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§ 160.1 Definitions of general terms.

The terms as defined in section 2 of the Naval Stores Act shall apply with equal force and effect when used in the provisions in this part. In addition, unless the context requires otherwise, the terms hereinafter set forth shall be defined respectively as follows:

(a) "Act": The Naval Stores Act of March 3, 1923 (42 Stat. 1435; 7 U. S. C. 91-99).

(b) "Department": The United States Department of Agriculture.

(c) "Administrator": The Administrator of the Consumer and Marketing

Service of the Department, or any officer or employee of the Department to whom authority has heretofore been delegated, or to whom authority may hereafter be delegated, to act in his stead.

(d) "Official inspector": Any person designated or licensed by the Secretary to sample, examine, analyze, classify or grade naval stores.

(e) "Licensed inspector": A person licensed by the Administrator upon recommendation of an accredited processor to act as an official inspector with respect to naval stores produced at an eligible processing plant of such processor.

(f) "Eligible processing plant": A plant which on examination by the Administrator has been found to be designed, operated, and staffed so as to permit proper samplings and inspections of the naval stores produced thereat, and where a substantial proportion of the output comes from oleoresin obtained from trees growing on land not owned or leased by the processor himself, or from oleoresin contained within felled trees or stumps removed from such land.

(g) "Accredited processor": Any person owning or having charge of or jurisdiction over the operation of an eligible processing plant, to whom a permit has been issued under these regulations to have inspections of naval stores made by a licensed inspector.

(h) "Interested person": Any person who is a party to a factual or prospective transaction in a specific lot of naval stores, whether as producer, seller, shipper, dealer, or purchaser thereof; or any person who in the opinion of the Administrator has sufficient and proper interest in the analysis, classification, grading, or sale of naval stores to merit the loan and use of duplicates of the United States Standards.

(i) "Dealer": Any person who sells or ships in commerce any naval stores produced by a person other than himself.

(j) "Cooperative agreement": A written agreement between the Department and any person specifying the conditions under which special inspection personnel may be designated and procedures established, not otherwise available under existing inspection programs, in order to make possible a continuous, dayby-day inspection of naval stores for such person, or to provide facilities for

carrying out experimental studies on authentic naval stores related to the inspection and marketing thereof.

(k) "Standards": The official Naval Stores Standards of the United States for classification and grading of spirits of turpentine and rosin,

(1) "Analysis": Any examination by physical, chemical, or sensory methods. (m) "Classification": Designation as to kind of spirits of turpentine or rosin.

(n) "Grading": Determination of the grade of turpentine or rosin by comparison with the standards.

(o) "Certificate": The official certificate issued under the provisions of the act and the provisions in this part to show the results of any examination, analysis, classification, or grading of naval stores by an official inspector.

(p) "Label": Any word, combination of words, coined or trade name, picturization of any natural scene or article, or any imitation thereof, applied to, superimposed upon, impressed into, or in any other manner attached to a container of naval stores or other article coming within the scope of the act, by which the nature, kind, quality, or quantity of the contents of such container may be indicated.

(q) "Container": Any receptacle in which naval stores are placed for inspection or distribution in commerce; includes barrel, drum, tank, tank car, bag, bottle, can, or other receptacle.

[11 FR 14665, Dec. 27, 1946, as amended at 17 FR 221, Jan. 9, 1952; 20 FR 6435, Sept. 1, 1955]

§ 160.2 Spirits of turpentine defined.

Spirits of turpentine, also commonly known as turpentine, is the colorless or faintly colored volatile oil consisting principally of terpene hydrocarbons of the general empirical formula C10H16 and having a characteristic odor and taste. It occurs naturally in and may be recovered by distillation from the oleoresinous secretions obtained from living trees of the family Pinaceae, or present in the cellular structure, or wood, of species thereof.

§ 160.3 Rosin defined.

Except as provided in § 160.15, rosin is the vitreous, well-strained, transparent, solid resin which (a) remains after the

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