---
kind: "section"
citation: "12 U.S.C. § 351"
title: "12"
title_heading: "Banks and Banking"
number: "351"
heading: "Obligations of cooperative marketing association as issued or drawn for agricultural purposes"
release: "119-102"
url: "https://uscodex.org/usc/12/351"
units:
  - "Chapter 3 — Federal Reserve System"
  - "Subchapter IX — Powers and Duties of Federal Reserve Banks"
---

# §351. Obligations of cooperative marketing association as issued or drawn for agricultural purposes


Notes, drafts, bills of exchange, or acceptances issued or drawn by cooperative marketing [associations](/usc/12/1828.md?p=s-4-E-i) composed of producers of agricultural products shall be deemed to have been issued or drawn for an agricultural purpose, within the meaning of sections [348](/usc/12/348.md) and [349 to 352](/usc/12/349..352.md) of this title, if the proceeds thereof have been or are to be advanced by such [association](/usc/12/1828.md?p=s-4-E-i) to any [members](/usc/12/1426a.md?p=g-1) thereof for an agricultural purpose, or have been or are to be used by such [association](/usc/12/1828.md?p=s-4-E-i) in making payments to any [members](/usc/12/1426a.md?p=g-1) thereof on account of agricultural products delivered by such [members](/usc/12/1426a.md?p=g-1) to the [association](/usc/12/1828.md?p=s-4-E-i), or if such proceeds have been or are to be used by such [association](/usc/12/1828.md?p=s-4-E-i) to meet expenditures incurred or to be incurred by the [association](/usc/12/1828.md?p=s-4-E-i) in connection with the grading, processing, packing, preparation for market, or marketing of any agricultural product handled by such [association](/usc/12/1828.md?p=s-4-E-i) for any of its [members](/usc/12/1426a.md?p=g-1): Provided, That the express enumeration in this section of certain classes of paper of cooperative marketing [associations](/usc/12/1828.md?p=s-4-E-i) as eligible for rediscount shall not be construed as rendering ineligible any other class of paper of such [associations](/usc/12/1828.md?p=s-4-E-i) which is now eligible for rediscount.


## Source credit

(Dec. 23, 1913, ch. 6, § 13A (par.), formerly § 13a, as added Mar. 4, 1923, ch. 252, title IV, § 404, 42 Stat. 1480; renumbered § 13A, Pub. L. 102–242, title I, § 142(e)(1), Dec. 19, 1991, 105 Stat. 2281.)

## Notes

### Editorial Notes

### Codification

Section is comprised of fourth par. of section 13A, formerly section 13a, as added Mar. 4, 1923. Pars. 1 to 3 and 5 of section 13A are set out as sections 348, 349, 350 and 352 of this title, respectively.