Amended in Assembly March 26, 2014

California Legislature—2013–14 Regular Session

Assembly BillNo. 1928


Introduced by Assembly Member Bocanegra

February 19, 2014


An act to add Section 25600.3 to Business and Professions Code, relating to alcoholic beverages.

LEGISLATIVE COUNSEL’S DIGEST

AB 1928, as amended, Bocanegra. Alcoholic beverages: coupons: beer.

(1) The Alcoholic Beverage Control Act prohibits any licensee from giving any premium, gift, or free goods in connection with the sale or distribution of any alcoholic beverage, except as specifically authorized. The act provides that a violation of any of its provisions for which another penalty or punishment is not specifically provided is a misdemeanor.

This bill would prohibitbegin insert a beer manufacturer or a beer and wine wholesaler from offering, funding, producing, sponsoring, promoting, furnishing, or redeeming any type of coupon. The bill would also prohibitend insert a licensee authorized to sell alcoholic beverages at retail from accepting, redeeming, possessing, or utilizing any type of coupon that is funded, produced, sponsored, promoted, or furnished by a beer manufacturer or beer and wine wholesaler. The bill wouldbegin delete provide a definition ofend deletebegin insert define beer manufacturer andend insert coupon for these purposes. By expanding the definition of a crime by imposing additional duties on a licensee under the act, the bill would impose a state-mandated local program.

(2) 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:

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SECTION 1.  

Section 25600.3 is added to the Business and
2Professions Code
, to read:

3

25600.3.  

(a) Abegin delete licenseeend deletebegin insert beer manufacturer or a beer and wine
4wholesaler shall not offer, fund, produce, sponsor, promote,
5furnish, or redeem any type of coupon.end insert

6begin insert(b)end insertbegin insertend insertbegin insertA licenseeend insert authorized to sell alcoholic beverages at retail
7shall not accept, redeem, possess, or utilize any type of coupon
8that is funded, produced, sponsored, promoted, or furnished by a
9beer manufacturer or beer and wine wholesaler.

begin delete

10(b)

end delete

11begin insert(c)end insert For purposes of this section:

begin insert

12(1) “Beer manufacturer” means a holder of a beer
13manufacturer’s license, a holder of an out-of-state beer
14manufacturer’s certificate, a holder of a beer and wine importer’s
15general license when selling beer, malt beverages, cider, or perry,
16or a winegrower that is a wholly owned subsidiary of a beer
17manufacturer.

end insert
begin insert

18(2) “Cider” has the same meaning set forth in Section 4.21(e)(5)
19of the Code of Federal Regulations.

end insert
begin delete

20(1)

end delete

21begin insert(3)end insert “Coupon” means any method by which a consumer receives
22an instant discount at the time of a purchase that is funded,
23produced, sponsored, promoted, or furnished, either directly or
24indirectly, by a beer manufacturer or beer and wine wholesaler,
25including, but not limited to, a paper coupon, a digital coupon, an
26instant redeemable coupon (IRC), or an electronic coupon
27commonly referred to as a scan or scanback. “Coupon” does not
28include:

29(A) A mail-in rebate by which the consumer purchases an item
30and submits required information in order to receive a rebate or
P3    1discount from the beerbegin delete manufacturer, or the beer and wine
2wholesaler, or its agentend delete
begin insert manufacturerend insert.

3(B) A coupon that is offered and funded by a distilled spirits
4manufacturer, distilled spirits importer general, distilled spirits
5importer, or distilled spirits wholesaler that offers a discount on
6the purchase of a distilled spirits product ifbegin delete beer or malt beveragesend delete
7begin insert beer, malt beverages, cider, or perry end insert are not advertised in
8connection with the coupon.

9(C) A coupon offered and funded by a winegrower, a wine
10rectifier, a wine blender, a beer and wine importer, a beer and wine
11importer general, or a wine broker that offers a discount on the
12purchase of a wine product ifbegin delete beer or malt beverages isend deletebegin insert beer, malt
13beverages, cider, or perry areend insert
not advertised in connection with
14the coupon.

begin delete

15(2) “Beer manufacturer” means a holder of a beer manufacturer’s
16license, a holder of a small beer manufacturer’s license, a holder
17of an out-of-state beer manufacturer’s certificate, an out-of-state
18vendor that holds a certificate of compliance, a holder of a beer
19and wine importer’s license who sells beer to any person holding
20a license authorizing the sale of beer, a holder of a beer and wine
21importer’s general license who sells beer to any person holding a
22license authorizing the sale of beer, or a winegrower that is a
23wholly owned subsidiary of a beer manufacturer.

end delete
begin insert

24(4) “Perry” has the same meaning set forth in Section 4.21(e)(5)
25of the Code of Federal Regulations.

end insert
26

SEC. 2.  

No reimbursement is required by this act pursuant to
27Section 6 of Article XIII B of the California Constitution because
28the only costs that may be incurred by a local agency or school
29district will be incurred because this act creates a new crime or
30infraction, eliminates a crime or infraction, or changes the penalty
31for a crime or infraction, within the meaning of Section 17556 of
32the Government Code, or changes the definition of a crime within
33the meaning of Section 6 of Article XIII B of the California
34Constitution.



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