BILL NUMBER: SB 1096	ENROLLED
	BILL TEXT

	PASSED THE SENATE  APRIL 5, 2010
	PASSED THE ASSEMBLY  AUGUST 12, 2010

INTRODUCED BY   Senator Wiggins

                        FEBRUARY 17, 2010

   An act to amend Sections 25500.1, 25500.2, and 25502.1 of the
Business and Professions Code, relating to alcoholic beverages.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1096, Wiggins. Alcoholic beverages: tied-house restrictions.
   The Alcoholic Beverage Control Act contains limitations on sales
commonly known as "tied-house" restrictions, which generally prohibit
a manufacturer, winegrower, manufacturer's agent, California
winegrower's agent, rectifier, distiller, bottler, importer, or
wholesaler from furnishing, giving, or lending any money or other
thing of value to any person engaged in operating, owning, or
maintaining any off-sale licensed premises. Existing law provides
that, for purposes of these provisions, the listing of the names,
addresses, telephone numbers or e-mail addresses, or both, or
Internet Web site addresses, of 2 or more unaffiliated on-sale
retailers selling wine or brandy, or both, and operating and licensed
as bona fide public eating places selling the wine or brandy
produced, distributed, or imported by a nonretail industry member in
response to a direct inquiry from a consumer received by telephone,
by mail, by electronic Internet inquiry or in person does not
constitute a thing of value or prohibited inducement to the listed
on-sale retailer, if specified conditions are met.
   This bill would revise the direct inquiry provisions to include
any electronic inquiries from consumers, and would make technical,
nonsubstantive changes to these provisions.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 25500.1 of the Business and Professions Code is
amended to read:
   25500.1.  (a) Notwithstanding Section 25500, the listing of the
names, addresses, telephone numbers, e-mail addresses, or Internet
Web site addresses, of two or more unaffiliated on-sale retailers
selling wine, brandy, or both wine and brandy and operating and
licensed as bona fide public eating places pursuant to Section 23038
selling the wine, brandy, or both wine and brandy produced,
distributed, imported, or both distributed and imported by a
nonretail industry member in response to a direct inquiry from a
consumer received by telephone, by mail, by electronic inquiry or in
person does not constitute a thing of value or prohibited inducement
to the listed on-sale retailer, provided:
   (1) The listing does not also contain the retail price of the
product, and
   (2) The listing is the only reference to the on-sale retailers in
the direct communication, and
   (3) The listing does not refer only to one on-sale retailer or
only to on-sale retail establishments controlled directly or
indirectly by the same on-sale retailer, and
   (4) The listing is made by, produced by, or paid for, or any
combination thereof, exclusively by the nonretail industry member
making the response.
   (b) For the purposes of this section, "nonretail industry member"
is defined as a manufacturer, winegrower, distiller of wine, brandy,
or both, regardless of any other licenses held directly or indirectly
by such person. Except as specifically provided above, any payment
for, making or production, either directly or indirectly, listing the
names, addresses, telephone numbers, e-mail addresses, or Internet
Web site addresses, of on-sale retailers otherwise authorized by this
section by a wholesaler or by a wholesaler that also holds an
importer's license shall constitute the furnishing of a thing of
value or inducement to the listed on-sale retailers in violation of
this division.
  SEC. 2.  Section 25500.2 of the Business and Professions Code is
amended to read:
   25500.2.  (a) Notwithstanding Section 25500, the listing of the
names, addresses, telephone numbers, e-mail addresses, or Internet
Web site addresses, of two or more unaffiliated on-sale retailers
selling beer, wine, or distilled spirits, and operating and licensed
as bona fide public eating places pursuant to Section 23038 selling
the beer, wine, or distilled spirits produced, distributed, or
imported by a nonretail industry member in response to a direct
inquiry from a consumer received by telephone, by mail, by electronic
inquiry, or in person does not constitute a thing of value or
prohibited inducement to the listed on-sale retailer, provided all of
the following conditions are met:
   (1) The listing does not also contain the retail price of the
product.
   (2) The listing is the only reference to the on-sale retailers in
the direct communication.
   (3) The listing does not refer only to one on-sale retailer or
only to on-sale retail establishments controlled directly or
indirectly by the same on-sale retailer.
   (4) The listing is made by, or produced by, or paid for,
exclusively by the nonretail industry member making the response.
   (b) For the purposes of this section, "nonretail industry member"
is defined as a manufacturer, including, but not limited to, a beer
manufacturer, winegrower, or distiller of alcoholic beverages or an
agent of that entity, or a wholesaler, regardless of any other
licenses held directly or indirectly by that person.
  SEC. 3.  Section 25502.1 of the Business and Professions Code is
amended to read:
   25502.1.  (a) Notwithstanding Section 25502, the listing of the
names, addresses, telephone numbers, e-mail addresses, or Internet
Web site addresses, of two or more unaffiliated off-sale retailers
selling the products produced, distributed or imported by a nonretail
industry member in response to a direct inquiry from a consumer
received by telephone, by mail, by electronic inquiry or in person
does not constitute a thing of value or prohibited inducement to the
listed off-sale retailer, provided all of the following conditions
are met:
   (1) The listing does not also contain the retail price of the
product.
   (2) The listing is the only reference to the off-sale retailers in
the direct communication.
   (3) The listing does not refer only to one off-sale retailer or
only to off-sale retail establishments controlled directly or
indirectly by the same off-sale retailer.
   (4) The listing is made by, or produced by, or paid for,
exclusively by the nonretail industry member making the response.
   (b) For the purposes of this section, "nonretail industry member"
is defined as a manufacturer, including, but not limited to, a beer
manufacturer, winegrower, or distiller of alcoholic beverages, or an
agent of those entities, or a wholesaler, regardless of any other
licenses held directly or indirectly by that person.