We develop a principal-agent model of grower compliance with Bt corn refuge requirements for managing insect resistance to the Bt toxin. The model endogenizes the technology price, audit rate, and fine imposed on non-complying growers when grower willingness to pay for Bt corn and compliance effort is private information. Empirical analysis finds that practical application requires capping fine revenue. With such a program, the company raises the technology price and achieves complete compliance. The net welfare change (relative to competitive pricing) due to reducing company revenue and restricting technology access remains beyond the scope of this analysis.