BILL NUMBER: AB 315	CHAPTERED
	BILL TEXT

	CHAPTER   40
	FILED WITH SECRETARY OF STATE   JULY 2, 1997
	APPROVED BY GOVERNOR   JULY 1, 1997
	PASSED THE SENATE   JUNE 19, 1997
	PASSED THE ASSEMBLY   MAY 19, 1997
	AMENDED IN ASSEMBLY   APRIL 21, 1997

INTRODUCED BY  Assembly Member Granlund

                        FEBRUARY 14, 1997

   An act to amend Section 25503.2 of the Business and Professions
Code, relating to alcoholic beverages.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 315, Granlund.  Alcoholic beverages:  tied-house restrictions.
   Existing provisions of the Alcoholic Beverage Control Act, known
as "tied-house" restrictions, generally prohibit manufacturers,
winegrowers, bottlers, importers, wholesalers, and others from
performing certain activities, with specified exceptions.  Existing
law allows any winegrower, wine blender, beer manufacturer, brandy
manufacturer, distilled spirits manufacturer, distilled spirits
manufacturer's agent, rectifier, distilled spirits wholesaler, and
beer and wine wholesaler, or their authorized agents, to perform
certain services for off-sale retail licensees at or on the premises
of the off-sale retail licensee with the licensee's permission
relating to stacking, rotating, servicing, and taking inventory of
stock.
   This bill would allow any beer manufacturer or beer and wine
wholesaler, or their authorized agents, to provide these same
services to any on-sale retail licensee with respect to beer only.
The bill would also make technical and clarifying changes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 25503.2 of the Business and Professions Code is
amended to read:
   25503.2.  (a) Notwithstanding any other provision in this
division, any winegrower, wine blender, beer manufacturer, brandy
manufacturer, distilled spirits manufacturer, distilled spirits
manufacturer's agent, rectifier, distilled spirits wholesaler, and
beer and wine wholesaler, or the authorized agent or agents or
representative or representatives of that licensee, may perform any
of the following services for off-sale retail licensees at or on the
premises of the off-sale retail licensee with the retail licensee's
permission:
   (1) Stack or arrange cases of the brand or brands of alcoholic
beverages owned or sold by the licensee performing the service in the
storeroom or warehouse where the off-sale retail licensee stores the
brand or brands.
   (2) Rotate the brand or brands owned or sold by the licensee
performing the service on shelves and in refrigerated boxes, and
rearrange bottles or packages of the brand or brands by moving the
bottles or packages horizontally or vertically from shelf to shelf in
the space and shelves allocated to the brand or brands.  This
paragraph does not permit the removal of any brand or brands of
alcoholic beverages, except beer, which are owned or sold by the
licensee performing the service, from the storeroom or other place
belonging to an off-sale retailer for the purpose of replacing
alcoholic beverages on or restocking shelves or refrigerated boxes.
   (3) Take an inventory of an off-sale retailer's stock of a brand
or brands of alcoholic beverages which are owned or sold by the
licensee performing the service and which are in the stockroom or
other place belonging to the off-sale retailer.
   (4) Service the brand or brands of alcoholic beverages owned or
sold by the licensee performing the service which are on shelves,
fixtures, or other display pieces at the off-sale retail premises,
including, but not limited to dusting bottles and shelves and
refrigerated boxes allocated to the brand or brands at the retail
premises.  The licensees authorized to render services by this
section and their agents and representatives may not price-mark
individual containers of the brand of alcoholic beverages, except
beer, owned or sold by the licensee performing the service, except
for individual bottles used on floor displays.
   (b) Notwithstanding any other provision in this division, any beer
manufacturer or beer and wine wholesaler, or the authorized agent or
agents or representative or representatives of that licensee, may
perform any of the services specified in paragraphs (1) to (4),
inclusive, of subdivision (a), with respect to beer, for on-sale
retail licensees at or on the premises of the on-sale retail licensee
with the retail licensee's permission.