Bill Text: TX HB1997 | 2019-2020 | 86th Legislature | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the sampling of distilled spirits provided by the manufacturer to a retailer of distilled spirits.
Spectrum: Partisan Bill (Republican 3-0)
Status: (Passed) 2019-06-10 - Effective on 9/1/19 [HB1997 Detail]
Download: Texas-2019-HB1997-Comm_Sub.html
Bill Title: Relating to the sampling of distilled spirits provided by the manufacturer to a retailer of distilled spirits.
Spectrum: Partisan Bill (Republican 3-0)
Status: (Passed) 2019-06-10 - Effective on 9/1/19 [HB1997 Detail]
Download: Texas-2019-HB1997-Comm_Sub.html
By: Geren (Senate Sponsor - Hancock) | H.B. No. 1997 | |
(In the Senate - Received from the House April 23, 2019; | ||
April 24, 2019, read first time and referred to Committee on | ||
Business & Commerce; May 6, 2019, reported adversely, with | ||
favorable Committee Substitute by the following vote: Yeas 8, | ||
Nays 0; May 6, 2019, sent to printer.) | ||
COMMITTEE SUBSTITUTE FOR H.B. No. 1997 | By: Hancock |
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relating to the sampling of distilled spirits provided by the | ||
manufacturer to a retailer of distilled spirits. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Chapter 14, Alcoholic Beverage Code, is amended | ||
by adding Section 14.07 to read as follows: | ||
Sec. 14.07. RETAILER SAMPLING. (a) Subject to this section | ||
and notwithstanding any other provision of this code, the holder of | ||
a distiller's and rectifier's permit or the agent or employee of the | ||
holder of a distiller's and rectifier's permit may: | ||
(1) provide a sample of distilled spirits to the | ||
holder of a retail permit authorizing the sale of distilled spirits | ||
or an agent or employee of the holder of the retail permit; or | ||
(2) provide a distilled spirits product tasting on the | ||
retailer's premises, including the opening, touching, or pouring of | ||
distilled spirits, for the holder of the retail permit or an agent | ||
or employee of the holder of the retail permit. | ||
(b) The holder of the distiller's and rectifier's permit or | ||
the agent or employee of the holder of the distiller's and | ||
rectifier's permit may make a presentation or answer questions at a | ||
distilled spirits tasting provided under Subsection (a). | ||
(c) The holder of a retail permit authorizing the sale of | ||
distilled spirits or an agent or employee of the permit holder may | ||
not sample or taste a distilled spirit provided under this section | ||
on the permitted retail premises unless: | ||
(1) the holder of the distiller's and rectifier's | ||
permit is present; or | ||
(2) an agent or employee of the holder of the | ||
distiller's and rectifier's permit is present. | ||
(d) The distilled spirits provided as a sample or at a | ||
tasting under Subsection (a): | ||
(1) must be manufactured by the holder of the | ||
distiller's and rectifier's permit; | ||
(2) may not be of a brand previously purchased by the | ||
holder of the retailer's permit unless the spirits were purchased | ||
and used for educational or training purposes; | ||
(3) must be limited to 750 milliliters of each brand | ||
provided as a sample or at a tasting; and | ||
(4) must meet all labeling requirements of this code. | ||
(e) Distilled spirits may legally be transported by the | ||
holder of the distiller's and rectifier's permit or the permit | ||
holder's agent or employee to a retail premises for the purpose of | ||
providing a sample or a tasting under this section. | ||
(f) The cost of the distilled spirits provided for a | ||
sampling or tasting under this section is the responsibility of the | ||
holder of the distiller's and rectifier's permit providing the | ||
sampling or tasting. | ||
(g) The holder of a distiller's and rectifier's permit or | ||
the agent or employee of the holder of a distiller's and rectifier's | ||
permit may not negotiate price or establish agreements while | ||
providing samples or tastings under this section. | ||
SECTION 2. Section 15.01, Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
Sec. 15.01. AUTHORIZED ACTIVITIES. The holder of a | ||
distiller's agent's permit may: | ||
(1) represent the holder of a distiller's and | ||
rectifier's permit; | ||
(2) solicit and take orders from a holder of a | ||
wholesaler's permit for the sale of distilled spirits manufactured | ||
by the permit holder represented by the agent; [ |
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(3) conduct free distilled spirits tastings for | ||
consumers on the premises of the holder of a package store permit; | ||
and | ||
(4) provide samples or tastings of distilled spirits | ||
on a retailer's premises in accordance with Section 14.07. | ||
SECTION 3. Sections 22.10 and 22.11, Alcoholic Beverage | ||
Code, are amended to read as follows: | ||
Sec. 22.10. OPENING CONTAINERS PROHIBITED. Except as | ||
authorized under Section 14.07, 37.01(d), or 52.01 [ |
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no person may break or open a container containing liquor or beer or | ||
possess an opened container of liquor or beer on the premises of a | ||
package store. | ||
Sec. 22.11. CONSUMPTION ON PREMISES PROHIBITED. Except as | ||
authorized under Section 14.07, 37.01(d), or 52.01, no person may | ||
sell, barter, exchange, deliver, or give away any drink or drinks of | ||
alcoholic beverages from a container that has been opened or broken | ||
on the premises of a package store. | ||
SECTION 4. Sections 28.06(a) and (c), Alcoholic Beverage | ||
Code, are amended to read as follows: | ||
(a) Except as provided by Sections 14.07 and 37.01(d), no | ||
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employee of a holder, may possess or permit to be possessed on the | ||
premises for which the permit is issued any alcoholic beverage | ||
which is not covered by an invoice from the supplier from whom the | ||
alcoholic beverage was purchased. | ||
(c) Except as provided by Sections 14.07 and 37.01(d), no | ||
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employee of a holder, may knowingly possess or permit to be | ||
possessed on the licensed premises any alcoholic beverage which is | ||
not covered by an invoice from the supplier from whom the alcoholic | ||
beverage was purchased. | ||
SECTION 5. Section 28.15(a), Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
(a) Except as provided by Sections 14.07 and 37.01(d), a [ |
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mixed beverage permittee may not possess or permit a person to | ||
possess on the premises distilled spirits in any container that | ||
does not bear a serially numbered identification stamp issued by | ||
the commission or other identification approved by the commission. | ||
SECTION 6. Section 32.15, Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
Sec. 32.15. REMOVAL OF BEVERAGES FROM PREMISES. A private | ||
club, irrespective of location or system of storage of alcoholic | ||
beverages, may not permit any person to remove any alcoholic | ||
beverages from the club premises, except as authorized by | ||
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unused inventory the person brought onto the premises under Section | ||
14.07 or 37.01(d) [ |
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SECTION 7. Section 32.20(a), Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
(a) Except as provided by Sections 14.07 and 37.01(d), a [ |
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private club registration permittee may not possess or permit a | ||
person to possess on the premises distilled spirits in any | ||
container that does not bear a serially numbered identification | ||
stamp issued by the commission or other identification approved by | ||
the commission. | ||
SECTION 8. Section 36.01, Alcoholic Beverage Code, is | ||
amended to read as follows: | ||
Sec. 36.01. AUTHORIZED ACTIVITIES. The holder of a | ||
manufacturer's agent's permit may: | ||
(1) represent only the holders of nonresident seller's | ||
permits; [ |
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(2) solicit and take orders for the sale of liquor from | ||
permittees authorized to import liquor for the purpose of resale; | ||
and | ||
(3) if the agent represents the holder of a | ||
nonresident seller's permit, provide samples or tastings of | ||
distilled spirits on a retailer's premises as authorized by Section | ||
37.01(d). | ||
SECTION 9. Section 37.01, Alcoholic Beverage Code, is | ||
amended by amending Subsection (c) and adding Subsection (d) to | ||
read as follows: | ||
(c) Any alcoholic beverages used in a sampling event under | ||
Subsection (b) [ |
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on whose premises the sampling event is held. Subsection | ||
(b) [ |
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seller's permit or manufacturer's agent's permit to withdraw or | ||
purchase alcoholic beverages from the holder of a wholesaler's | ||
permit or provide alcoholic beverages for a sampling event on a | ||
retailer's premises that is not purchased from the retailer. The | ||
amount of alcoholic beverages purchased from the retailer may not | ||
exceed the amount of alcoholic beverages used in the sampling | ||
event. | ||
(d) The holder of a nonresident seller's permit or an agent | ||
or employee of the permit holder may provide samples or tastings of | ||
the kinds of distilled spirits the permit holder is authorized to | ||
produce in the manner authorized by Section 14.07 for the holder of | ||
a distiller's and rectifier's permit or the agent or employee of the | ||
holder of a distiller's and rectifier's permit. Distilled spirits | ||
may legally be transported by the holder of a nonresident seller's | ||
permit or the permit holder's agent or employee to a retailer's | ||
premises for the purpose of providing a sample or a tasting under | ||
this subsection. The cost of the distilled spirits provided for a | ||
sampling or tasting under this subsection is the responsibility of | ||
the holder of the nonresident seller's permit providing the | ||
sampling or tasting. | ||
SECTION 10. This Act takes effect September 1, 2019. | ||
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