Bill Text: FL S1008 | 2012 | Regular Session | Introduced


Bill Title: Tobacco Products

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2012-03-09 - Died in Regulated Industries [S1008 Detail]

Download: Florida-2012-S1008-Introduced.html
       Florida Senate - 2012                                    SB 1008
       
       
       
       By Senator Hays
       
       
       
       
       20-00980-12                                           20121008__
    1                        A bill to be entitled                      
    2         An act relating to tobacco products; creating s.
    3         569.0076, F.S.; authorizing credit for the sale of
    4         tobacco products to be extended to a retail dealer
    5         under specified conditions; providing for the
    6         suspension of the sale of tobacco products to retail
    7         dealers delinquent in their credit payments; providing
    8         procedures for challenging such suspension; providing
    9         notice requirements; providing an exception to such
   10         suspension for retail dealers purchasing tobacco
   11         products with cash; providing an effective date.
   12  
   13  Be It Enacted by the Legislature of the State of Florida:
   14  
   15         Section 1. Section 569.0076, Florida Statutes, is created
   16  to read:
   17         569.0076 Sales credit; delinquent dealers.—
   18         (1) Credit for the sale of tobacco products may be extended
   19  to any dealer up to, but not including, the 10th day after the
   20  calendar week in which the sale was made.
   21         (2) If payment for sales to a dealer is not made by the
   22  period specified in subsection (1), the distributor who made the
   23  sale shall, within 3 days, notify the division in writing of
   24  such nonpayment. The division, upon receipt of such notice,
   25  shall, after the proceedings provided in subsection (3), declare
   26  in writing to the dealer and to all manufacturers and
   27  distributors within the state that all further sales by credit
   28  to the dealer are prohibited until the division certifies in
   29  writing that the dealer has fully paid for all tobacco products
   30  previously purchased. However, if a distributor receives payment
   31  within the 3-day period after the 10th day after the calendar
   32  week in which the sale was made, the distributor, if
   33  notification to the division has not already been made, is not
   34  required to notify the division. Payments made within the 3-day
   35  period do not constitute a violation of this section.
   36         (3) Before prohibiting sales by credit to a dealer under
   37  this section, the division shall, within 2 days after receipt of
   38  the notice of nonpayment under subsection (2), give written
   39  notice to the dealer by mail of the receipt by the division of
   40  the notice of nonpayment and the dealer shall be directed to
   41  make payment or, upon failure to do so, show cause before the
   42  division why further sales to the dealer should not be
   43  prohibited. Cause may be made by showing payment, failure of
   44  consideration, or any other defense that would be considered
   45  sufficient in a common-law action. The dealer shall have 5 days
   46  after receipt of such notice to show such cause and may demand a
   47  hearing, provided he or she does so in writing delivered to the
   48  division either in person or by mail within the 5-day period. If
   49  a demand for hearing is not made, the division shall declare in
   50  writing to the dealer and to all manufacturers and distributors
   51  within the state that all further sales by credit to the dealer
   52  are prohibited until the division certifies in writing that the
   53  dealer has fully paid for all tobacco products previously
   54  purchased. If such prohibition on sales is ordered by the
   55  division, the dealer may apply for a review of the decision by
   56  the Department of Business and Professional Regulation within 5
   57  days after receiving notice of prohibition on sales. If the
   58  application for the review is timely filed, the prohibition on
   59  sales shall be suspended until final disposition of the review
   60  by the department.
   61         (4) Upon receipt by the division from the distributor of
   62  the notice of nonpayment under subsection (2), the division
   63  shall notify the delinquent dealer and all distributors in the
   64  state that no further purchases by or sales of tobacco products
   65  to the dealer, except for cash, shall be made until good cause
   66  is shown by the dealer as provided in this section. Tobacco
   67  products may not be purchased by the dealer or sold to the
   68  dealer by any distributor, except for cash, from and after such
   69  notification by the division and until cause is shown pursuant
   70  to subsection (3). If cause is not shown, all further sales, for
   71  cash or credit, are prohibited after such declaration in writing
   72  by the division is sent to such dealer and distributors and
   73  until all delinquent accounts have been paid.
   74         Section 2. This act shall take effect July 1, 2012.

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