Snap Civil Money Penalties Lawyers

Owning a store that accepts SNAP benefits from those in need of financial assistance keeping their families healthy is a major responsibility. The USDA is in charge of this program and the monitoring of it to ensure people are doing what needs doing and appropriately using their benefits, and they are tough on those who abuse the system. If you are a business owner who accepts SNAP benefits, using it correctly is the only way you get to keep your benefits. If you violate the terms or are found guilty of SNAP benefits trafficking or SNAP fraud, you lose your ability to accept this method of payment.

When this occurs, your business suffers. Millions of residents in the US utilize this program, which means you could lose a lot of your business if you are disqualified from the program. If the USDA’s investigative team has reason to believe you are involved in a snap scam, they will send you a snap charging letter. This letter outlines the evidence, what you’ve done wrong, and how the USDA plans to handle this situation.

You have so many days to file a response, and you must do so or risk the penalties. This could be a suspension of your snap eligibility or a total disqualification. If you are disqualified and decide you want to sell your business because it’s no longer profitable enough for you to continue running, you’ll find that there are some civil penalties that follow. If you are threatened with suspension, you do have an option to pay a fine rather than go through with the suspension.

What is a snap civil penalty?

SNAP civil money penalties are a big deal. You don’t have to face the suspension of your snap benefits, however. If you are sent a charging letter, you might find the USDA has provided you with the option to pay the civil money penalties or take the suspension if you are found guilty. The penalty is never the same as someone else’s penalty, but it’s not going to cost you more than $59,000. Even if you decide to sell the business because you are disqualified from the program for good, you might still find this fine is imposed upon you following the sale of your business.

To avoid a SNAP civil penalty, your store must meet several requirements. There are certain stipulations in place that help you stay safe in this situation by covering you and the rules, and they are as follows.

• Your store must have a written SNAP compliance policy whether it’s posted on a wall or in the employee handbook you provide to all new hires
• Your store must have the compliance policy in place prior to being charged with any SNAP penalties
• Your store must have a training program for all new hires that’s in writing and in effect at hire
• You nor the managers or the employees of your store may benefit from the use of any SNAP acceptance or violation

If your store is able to prove all of these are valid and in place, the suspension is not something you’re stuck with. You can choose to pay the snap civil money penalty and continue without interruption of your acceptance benefits.

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Before you make any decision regarding snap civil money penalties, you must call an attorney who is experienced in the area of snap law. This is not something you want to try and handle on your own. The laws are strict and numerous, and that means it’s easy to violate them if you are not careful. You want an attorney to help you when you are sent a charging letter so you don’t further incriminate yourself or your business. You must be aware of what you should say, how you should respond, and what you should do to ensure your benefits are not revoked, suspended, or permanently disqualified.

Legal Scenario: What Would You Do?

Scenario

You own a small grocery store that participates in the SNAP program, and you just received a letter from the USDA Food and Nutrition Service stating that your store is being assessed a civil money penalty of $62,000 for alleged trafficking violations based on suspicious EBT transaction patterns. The letter references multiple transactions where large, round-dollar amounts were processed in rapid succession, and you have only 10 days to request an administrative review.

Can I fight this USDA civil money penalty, and is there any way to keep my store authorized to accept SNAP benefits while the case is being reviewed?

Attorney's Answer

Under 7 CFR § 278.6, you have the right to request an administrative review of the USDA's penalty determination, and during that review process your store's SNAP authorization typically remains active unless the agency has imposed permanent disqualification. We can challenge the FNS evidence by analyzing your actual transaction data, inventory records, and purchase invoices to demonstrate that the flagged patterns have legitimate explanations rather than indicating trafficking. In cases where the penalty is based on statistical analysis of EBT transactions, we have successfully argued that the USDA's methodology was flawed or that mitigating factors under 7 CFR § 278.6(i) warrant a reduced civil money penalty instead of disqualification. Time is critical in these cases because missing the administrative review deadline can result in a default finding against you, so you should consult with an attorney experienced in USDA enforcement actions immediately.

This is general information only. Contact us for advice specific to your situation.

An attorney is here to help you with this civil money penalty by negotiating the cost, discussing the options, and helping you prove there was no wrongdoing on your part. It’s not always easy to have charges of this nature dropped, but an attorney can increase your chances of seeing that happen.

SNAP Civil Money Penalties Lawyers