Amended in Senate September 3, 2013

Amended in Senate June 19, 2013

Amended in Assembly May 15, 2013

Amended in Assembly April 17, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 933


Introduced by Assembly Members Skinner and Hall

February 22, 2013


An act to amend Section 23363.1 of, and to add Section 23363.3 to, the Business and Professions Code, relating to alcoholic beverages.

LEGISLATIVE COUNSEL’S DIGEST

AB 933, as amended, Skinner. Distilled spirits manufacturers: licenses: tastings.

Existing law, the Alcoholic Beverage Control Act, authorizes a licensed distilled spirits manufacturer to conduct tastings of distilled spirits produced or bottled by, or produced or bottled for, the licensee, on the licensed premises, under specified conditions. Existing law generally prohibits a manufacturer, winegrower, manufacturer’s agent, California winegrower’s agent, rectifier, distiller, bottler, importer, or wholesaler from, among other things, giving or lending any money or other thing of value, directly or indirectly, to any person engaged in operating, owning, or maintaining any off-sale licensed premises. Existing law excepts from this prohibition the listing of names, addresses, telephone numbers, and e-mail addresses, among other things, if specified conditions are met. Existing law provides that a violation of the act is a misdemeanor unless otherwise specified.

This bill would revise the conditions upon which a distilled spirits manufacturer may conduct tastings, authorize a licensed distilled spirits manufacturer to charge consumers for tastings on its licensed premises, and would impose additional conditions on the provision of tastings by the licensee on the licensed premises. The bill would include in these conditions that tastings of distilled spirits not exceed a specified amount and be limited tobegin delete 4end deletebegin insert 6end insert tastes to be provided to an individual per day.

The bill would also extend the authorization to conduct tastings, as described above, to brandy manufacturers.

By expanding the definition of a crime, this bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

(a) The Legislature finds and declares that a
2tasting of distilled spirits or brandy is a presentation of samples of
3one or more distilled spirits or brandies, representing one or more
4distilled spirits or brandy manufacturers, to a group of consumers
5for the purpose of acquainting the tasters with the characteristics
6of the distilled spirits or brandy tasted.

7(b) The Legislature also finds and declares that it is necessary
8and proper to require a separation between manufacturing interests,
9wholesale interests, and retail interests in the production and
10distribution of alcoholic beverages in order to prevent suppliers
11from dominating local markets through vertical integration and to
12prevent excessive sales of alcoholic beverages produced by overly
13aggressive marketing techniques. The Legislature further finds
14that the exceptions established by Sections 23363.1 and 23363.3
15of the Business and Professions Code to the general prohibition
16against tied interests must be limited to their express terms so as
17not to undermine the general prohibition, and intends that these
18sections be construed accordingly.

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SEC. 2.  

Section 23363.1 of the Business and Professions Code
2 is amended to read:

3

23363.1.  

(a) A distilled spirits manufacturer’s license
4authorizes the licensee to conduct tastings of distilled spirits
5produced or bottled by, or produced or bottled for, the licensee,
6on or off the licensee’s premises.

7(b) (1) Distilled spirits tastings may be conducted by the
8licensee off the licensee’s premises only for an event sponsored
9by a nonprofit organization. A distilled spirits manufacturer shall
10not sell or solicit sales of distilled spirits at such event. The
11sponsoring organization shall first obtain a permit from the
12department.

13(2) For purposes of this subdivision, “nonprofit organization”
14does not include any community college or other institution of
15higher learning, as defined in the Education Code, nor does it
16include any officially recognized club, fraternity, or sorority,
17whether or not that entity is located on or off the institution’s
18campus.

19(c) Tastings on the licensee’s premises shall be subject to the
20following conditions:

21(1) Tastings of distilled spirits shall not exceed one-fourth of
22one ounce and shall be limited to no more thanbegin delete fourend deletebegin insert sixend insert tastes per
23individual per day.

24(2) Tastings shall only include the products that are authorized
25to be produced or bottled by or for the licensee.

26(3) A person under 21 years of age shall not serve tastes of
27distilled spirits.

28(4) begin deleteSingle tastings end deletebegin insertTastings end insertof distilled spirits shall not be given
29in the form of a cocktail or a mixed drink.

30(d) Notwithstanding Section 25600, the licensee may provide
31distilled spirits without charge for any tastings conducted pursuant
32to this section. The licensee may charge for tastings conducted by
33the licensee on its licensed premises.

begin insert

34(e) This section shall not relieve the holder of a distilled spirits
35manufacturer’s license of any civil or criminal liability arising
36out of a violation of Section 25602.

end insert
37

SEC. 3.  

Section 23363.3 is added to the Business and
38Professions Code
, to read:

39

23363.3.  

(a) A brandy manufacturer’s license authorizes the
40licensee to conduct tastings of brandy produced or bottled by, or
P4    1produced or bottled for, the licensee, on or off the licensee’s
2premises.

3(b) (1) A brandy manufacturer shall not sell or solicit sales of
4brandy at the event. The sponsoring organization shall first obtain
5a permit from the department.

6(2) For purposes of this subdivision, “nonprofit organization”
7does not include any community college or other institution of
8higher learning, as defined in the Education Code, nor does it
9include any officially recognized club, fraternity, or sorority,
10whether or not that entity is located on or off the institution’s
11campus.

12(c) Tastings on the licensee’s premises shall be subject to the
13following conditions:

14(1) Tastings of brandy shall not exceed one-fourth of one ounce
15and shall be limited to no more thanbegin delete fourend deletebegin insert sixend insert tastes per individual
16per day.

17(2) Tastings shall only include the products that are authorized
18to be produced or bottled by or for the licensee.

19(3) A person under 21 years of age shall not serve tastes of
20brandy.

21(4) begin deleteSingle tastings end deletebegin insertTastings end insertof brandy shall not be given in the
22form of a cocktail or a mixed drink.

23(d) Notwithstanding Section 25600, the licensee may provide
24brandy without charge for any tastings conducted pursuant to this
25section. The licensee may charge for tastings conducted by the
26licensee on its licensed premises.

begin insert

27(e) This section shall not relieve the holder of a brandy
28manufacturer’s license of any civil or criminal liability arising
29out of a violation of Section 25602.

end insert
30

SEC. 4.  

No reimbursement is required by this act pursuant to
31Section 6 of Article XIII B of the California Constitution because
32the only costs that may be incurred by a local agency or school
33district will be incurred because this act creates a new crime or
34infraction, eliminates a crime or infraction, or changes the penalty
35for a crime or infraction, within the meaning of Section 17556 of
36the Government Code, or changes the definition of a crime within
37the meaning of Section 6 of Article XIII B of the California
38Constitution.



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