California Legislature—2015–16 Regular Session

Assembly BillNo. 1320


Introduced by Assembly Member Maienschein

February 27, 2015


An act to amend Section 25503.24 of the Business and Professions Code, relating to alcoholic beverages.

LEGISLATIVE COUNSEL’S DIGEST

AB 1320, as introduced, Maienschein. Alcoholic beverages: tied-house restrictions.

Existing law prohibits specified holders of alcoholic beverage licenses from having specified relationships with an on-sale alcoholic beverage licensee, with limited exceptions. Existing law permits a manufacturer, winegrower, rectifier, distiller, distilled spirits wholesaler, or any agent of those licenses, to conduct market research and, in connection with that research, to purchase from licensed off-sale retailers data, regarding purchases and sales of alcoholic beverage products, at the customary rates that those retailers sell similar data for nonalcoholic beverage products, provided that no licensed retailer shall be obligated to purchase or sell the alcoholic beverages of the manufacturer, winegrower, rectifier, or distiller.

This bill would make a nonsubstantive change to this provision.

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

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

P1    1

SECTION 1.  

Section 25503.24 of the Business and Professions
2Code
is amended to read:

P2    1

25503.24.  

(a) Notwithstanding any other provision of this
2chapter, any manufacturer, winegrower, rectifier, distiller, distilled
3spirits wholesaler, or anybegin delete officer, director, agent,end deletebegin insert agent, director,
4officer,end insert
or representative of any of those entities, may conduct
5market research and, in connection with that research, the entity
6conducting the market research may purchase from licensed
7off-sale retailers data regarding purchases and sales of alcoholic
8beverage products at the customary rates that those retailers sell
9similar data for nonalcoholic beverage products subject to the
10following limitations:

11(1) No licensed retailer shall be obligated to purchase or sell
12the alcoholic beverage products of that manufacturer, winegrower,
13rectifier, or distiller.

14(2) No retail premises shall participate in more than one research
15project conducted by any single manufacturer, winegrower,
16rectifier, distiller, or distilled spirits wholesaler during a calendar
17year. A research project may involve multiple onsite surveys.

18(3) Nothing in this section shall allow a licensed retailer to
19require a manufacturer, winegrower, rectifier, distiller, or distilled
20spirits wholesaler to conduct any market research as a condition
21for selling alcoholic beverage products to that licensed retailer.

22(b) Any holder of a beer manufacturer’s license or winegrower’s
23license who, through coercion or other illegal means, induces,
24directly or indirectly, a holder of a beer or wine wholesaler’s
25license to fulfill obligations entered into pursuant to subdivision
26(a) shall be guilty of a misdemeanor and shall be punished by
27imprisonment in the county jail not exceeding six months, or by
28a fine in an amount equal to the entire value of the market research
29or time involved in the project, whichever is greater, plus ten
30thousand dollars ($10,000), or by both imprisonment and fine. The
31person shall also be subject to license revocation pursuant to
32Section 24200.

33(c) Any retail licensee who, directly or indirectly, solicits or
34coerces a holder of a beer or wine wholesaler’s license to solicit
35a beer manufacturer, or holder of a winegrower’s license to fulfill
36obligations entered into pursuant to subdivision (a) shall be guilty
37of a misdemeanor and shall be punished by imprisonment in the
38county jail not exceeding six months, or by a fine in an amount
39equal to the entire value of the market research or time involved
40in the project, whichever is greater, plus ten thousand dollars
P3    1($10,000), or by both imprisonment and fine. The person shall also
2be subject to license revocation pursuant to Section 24200.

3(d) For the purposes of this section, “beer manufacturer”
4includes any holder of a beer manufacturer’s license, any holder
5of an out-of-state beer manufacturer’s certificate, or any holder of
6a beer and wine importer’s general license.



O

    99