Bill Text: TX SB196 | 2021-2022 | 87th Legislature | Introduced


Bill Title: Relating to prohibited relationships between holders of certain alcoholic beverage licenses and permits.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2020-11-16 - Filed [SB196 Detail]

Download: Texas-2021-SB196-Introduced.html
  87R1700 MCK-D
 
  By: Zaffirini S.B. No. 196
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to prohibited relationships between holders of certain
  alcoholic beverage licenses and permits.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 102.04(b), Alcoholic Beverage Code, is
  amended to read as follows:
         (b)  Except as permitted in Section 23.01 [of this code], no
  person to whom this section applies may:
               (1)  have a direct or indirect interest in the
  business, premises, equipment, or fixtures of a mixed beverage
  establishment;
               (2)  furnish or lend any money, service, or other thing
  of value to a mixed beverage permittee or guarantee the fulfillment
  of a financial obligation of a mixed beverage permittee;
               (3)  enter or offer to enter into an agreement,
  condition, or system which in effect amounts to the shipment and
  delivery of alcoholic beverages on consignment;
               (4)  furnish, rent, lend, or sell to a mixed beverage
  permittee any equipment, fixtures, or supplies used in the selling
  or dispensing of alcoholic beverages;
               (5)  pay or make an allowance to a mixed beverage
  permittee for a special advertising or distributing service [, or
  allow the permittee an excessive discount];
               (6)  offer to a mixed beverage permittee a prize,
  premium, or other inducement, except as permitted by Section
  102.07(b) [of this code]; or
               (7)  advertise in the convention program or sponsor a
  function at a meeting or convention or a trade association of
  holders of mixed beverage permits, unless the trade association was
  incorporated before 1950.
         SECTION 2.  Section 102.07(a), Alcoholic Beverage Code, as
  effective September 1, 2021, is amended to read as follows:
         (a)  Except as provided in Subsections (a-1), (b), (d), and
  (g), a person who owns or has an interest in the business of a
  distiller, rectifier, wholesaler, class B wholesaler, or winery, or
  the agent, servant, or employee of such a person, may not:
               (1)  own or have a direct or indirect interest in the
  business, premises, equipment, or fixtures of a retailer;
               (2)  furnish, give, or lend any money, service, or
  thing of value to a retailer;
               (3)  guarantee a financial obligation of a retailer;
               (4)  make or offer to enter an agreement, condition, or
  system which will in effect amount to the shipment and delivery of
  alcoholic beverages on consignment;
               (5)  furnish, give, rent, lend, or sell to a retail
  dealer any equipment, fixtures, or supplies to be used in selling or
  dispensing alcoholic beverages, except that alcoholic beverages
  may be packaged in combination with other items if the package is
  designed to be delivered intact to the ultimate consumer and the
  additional items have no value or benefit to the retailer other than
  that of having the potential of attracting purchases and promoting
  sales;
               (6)  pay or make an allowance to a retailer for a
  special advertising or distribution service; or
               (7)  [allow an excessive discount to a retailer; or
               [(8)]  offer a prize, premium, gift, or similar
  inducement to a retailer or to the agent, servant, or employee of a
  retailer.
         SECTION 3.  Section 102.07, Alcoholic Beverage Code, is
  amended by adding Subsection (a-1) to read as follows:
         (a-1)  For purposes of Subsection (a)(7), transportation
  provided by a manufacturer subject to Subsection (a) to a retailer
  or retailer's agent, servant, or employee to attend an educational
  program at the manufacturer's facility is not considered an
  inducement unless the manufacturer prohibits a retailer or
  retailer's agent, servant, or employee who accepts the
  transportation from selling a product of a competitor of the
  manufacturer.
         SECTION 4.  Section 102.07(c), Alcoholic Beverage Code, is
  repealed.
         SECTION 5.  This Act takes effect September 1, 2021.
feedback