---
kind: "section"
citation: "7 C.F.R. § 789.16"
title: "7"
number: "789.16"
heading: "Changes or cancellations of priority ratings and rated orders."
url: "https://uscodex.org/cfr/7/789.16"
---

# §789.16. Changes or cancellations of priority ratings and rated orders.

- (a) The priority rating on a rated order may be changed or canceled by:
  - (1) An official action of USDA; or
  - (2) **Written notification from the person who placed the rated order.**
- (b) If an unrated order is amended so as to make it a rated order, or a DO rating is changed to a DX rating, the supplier must give the appropriate preferential treatment to the order as of the date the change is received by the supplier.
- (c) An amendment to a rated order that significantly alters a supplier's original production or delivery schedule constitutes a new rated order as of the date of its receipt. The supplier must accept or reject the amended order according to the provisions of [§ 789.13](/cfr/7/789.13.md).
- (d) **The following amendments do not constitute a new rated order—**
  - (1) A change in shipping destination;
  - (2) A reduction in the total amount of the order;
  - (3) An increase in the total amount of the order that has a negligible impact upon deliveries;
  - (4) A minor variation in size or design; or
  - (5) **A change that is agreed upon between the supplier and the customer.**
- (e) If a person no longer needs items or services to fill a rated order, any rated orders placed with suppliers for the items or services, or the priority rating on those orders, must be canceled.
- (f) When a priority rating is added to an unrated order, or is changed or canceled, all suppliers must be promptly notified in writing.

## Notes

### Authority

Authority: 50 U.S.C. App. 2061-2170, 2171, and 2172; 42 U.S.C. 5195-5197h.

### Source

Source: 80 FR 63898, Oct. 22, 2015, unless otherwise noted.