Donegal dairy farmer settles payment dispute with co-op

Following mediation, a Donegal dairy farmer recently settled a dispute over alleged breach of contract and payment issues with his cooperative.

Ronald Russell, of Cavan Upper, Killygordon, Lifford Post Office, Co. Donegal, settled by way of mediation a dispute with his co-op Aurivo Cooperative Society on Friday, October 23.

The settlement was for what is believed to be a “significant” sum from Aurivo Co-operative Society Limited, payable to Russell, relating to a dispute which has been ongoing since 2015.

This, Russell claimed in the case, was for a series of milk payments which were only part paid to him and his associated entities for milk provided by him for milk collections at his farm at Killygordon, Lifford, during the months of October, 2015, to March, 2016.

Russell claimed he made numerous requests for the outstanding balance payments, which were allegedly not made. This led to Russell invoking a mediation clause in his milk suppliers contract with Aurivo Co-operative Society Limited.

Russell was represented in the dispute by Sligo-based firm Carter Anhold & Co Solicitors.

The central disputed issue in the matter fell down to the method used to pay Russell for his milk collections between October, 2015, and March, 2016.

During this period, he claimed he was entitled to a liquid milk price up to a maximum litreage each month.

However, for a number of months this payment was split between the lower c/L manufacturing price and the higher priced c/L liquid milk price which Russell alleges should have been paid at the liquid milk price for the maximum litreage between October, 2015, and March 2016.

This was not done for these specific months, the farmer said.

Following mediation, in November this year, he finally received the outstanding amounts.

Following the conclusion of the long-running dispute, the farmer said he looks forward to continued good working relationship with his co-op going forward.

At the time of publication, Aurivo had not responded with a comment to AgriLand on the matter.