Is your grain delivery protected if the buyer doesn't pay?
The Canadian Grain Commission's payment protection only covers a delivery to a licensed company, with the right paper, for a limited number of days. Put in your delivery and see whether it's covered, until when, and what to do before the date passes.
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The day you were given it, even if the cheque is post-dated.
Recent Canadian Grain Commission notices
From the Commission's list of claims, receiverships and licence changes.
The four things that decide it
- A licensed buyer
- The delivery must be to a licensed primary elevator, process elevator or grain dealer. Licensed companies post security with the Commission, and that security is what pays claims. If a company isn't on the Commission's list, it isn't licensed and the protection doesn't apply. Grain in condominium storage isn't covered.
- A regulated grain
- Wheat, barley, oats, canola, peas, lentils, flax and the other grains regulated under the Canada Grain Act. Crops not on that list, such as camelina, quinoa or spelt, aren't covered.
- The right paper
- A primary elevator receipt, a grain receipt, or a cash purchase ticket or cheque, showing the grain, grade, weight and delivery date. Scale tickets are not accepted for claims.
- The dates
- At most 90 days from delivery. Exchange a receipt for a cash purchase ticket or cheque within those 90 days. Once a ticket or cheque is issued, you're covered for 30 days from its issue date, or to 90 days from delivery, whichever ends first. A post-dated cheque counts from the day it was issued. If a cheque bounces, contact the Commission within 30 days.
Two examples, from the Commission
A farmer delivers on day 1 and gets a primary elevator receipt. They exchange it for a cheque on day 10: covered until day 40, 30 days from the cheque. Another exchanges their receipt on day 80: covered only until day 90, because the 90 days from delivery end first.
A post-dated cheque given on October 1 and dated November 15 is covered until October 31, 30 days from the day it was given, not from the date on it. Holding a tax-deferred cheque past 30 days means the delivery is no longer covered.
The Commission doesn't guarantee full payment: claims are paid from the company's security, and if that is less than the eligible claims, payments are pro-rated.
Keeping track of it
The check above works one delivery at a time. In GrainPosition you keep every load and settlement with its dates in one place, and each settlement is checked against its contract: the free settlement checker shows how. The scale ticket tracker adds up what you've delivered, and how to track grain contracts covers the whole book.
Questions
Am I protected if a grain buyer doesn't pay?
In Canada, the Canadian Grain Commission's Safeguards for Grain Farmers Program pays eligible claims from the security that licensed grain companies post. To be eligible, the delivery must be a regulated grain, to a licensed primary elevator, process elevator or grain dealer, you must hold a primary elevator receipt, grain receipt, cash purchase ticket or cheque (scale tickets are not accepted), and you must be within the eligibility period. Payment can be pro-rated if the company's security is short.
How long does payment protection last?
At most 90 days from the date of delivery. A primary elevator receipt or grain receipt must be exchanged for a cash purchase ticket or cheque within those 90 days. Once a ticket or cheque is issued, you are covered for 30 days from the date it was issued, or until 90 days from delivery, whichever ends first. A post-dated cheque counts from the day it was issued, not the date written on it.
What if my grain cheque bounces?
Contact the Canadian Grain Commission within 30 days from the date the cash purchase ticket or cheque bounced at your bank or credit union.
How do I know if a grain buyer is licensed?
The Canadian Grain Commission publishes the list of licensed grain companies and updates it whenever a licence changes. If a company is not on the list, it is not licensed, it posts no security, and the payment protection doesn't apply. Search the list by the company name printed on your receipt or cheque.
Every load, settlement and payment, in one place
GrainPosition keeps your contracts, scale tickets and settlements with their dates, reads them from photos, and checks each settlement against its contract. Free during early access.
Have a lookSources and method
Method: the rules below are applied to the dates you enter. The 90 days are counted with the delivery as day 1 and the 30 days from the day after issue, as in the Commission's worked examples. The licence check uses the Commission's list of licensed grain companies, effective 2 October 2026, copied into GrainPosition when it changes; a buyer is covered if it holds a primary, process or grain dealer licence.
- Canadian Grain Commission, Payment protection: eligibility, documents, eligibility periods, the examples, claims and pro-rating.
- Canadian Grain Commission, Licensed grain companies.
- Canadian Grain Commission, Grains regulated under the Canada Grain Act.
- Canadian Grain Commission, Claims, licensee receiverships and conditional licences.
Checked 5 October 2026. This is not legal advice. If you aren't being paid, contact the Canadian Grain Commission straight away.
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