Full Text of SB1831 101st General Assembly
SB1831 101ST GENERAL ASSEMBLY |
| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020 SB1831 Introduced 2/15/2019, by Sen. Antonio Muñoz SYNOPSIS AS INTRODUCED: |
| 235 ILCS 5/1-3.04 | from Ch. 43, par. 95.04 | 235 ILCS 5/5-1 | from Ch. 43, par. 115 | 235 ILCS 5/6-6 | from Ch. 43, par. 123 | 235 ILCS 5/6-6.5 | | 235 ILCS 5/6-6.6 new | |
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Amends the Liquor Control Act of 1934. Provides that the definition of "beer" includes beverages brewed or fermented wholly or in part from malt products. Provides that a caterer retailer license shall allow the holder, a distributor, or an importing distributor to transfer any inventory to and from
the holder's retail premises and to purchase alcoholic liquor
from a distributor or importing distributor to be delivered directly to an
off-site event. Provides that a special use permit license shall allow the holder to purchase alcoholic liquor from a distributor or importing distributor to be delivered directly to
the location specified in the special use permit license. Provides that a special use permit license shall allow the holder, a distributor, or an importing distributor to transfer any inventory from the premises specified in the special use permit license to its retail premises. Provides that, if certain conditions are met, nothing in the Act prohibits a distributor or importing distributor from offering a credit or a refund for unused, salable beer to a special use permit licensee or a caterer retailer or a special use permit licensee or caterer retailer from accepting the credit or refund. In a provision that allows a manufacturer, distributor, or importing distributor to provide permanent outdoor signs to retailers if certain conditions are met, provides that the permanent outside sign shall cost not more than $3,000 per brand (instead of per manufacturer). Contains provisions concerning the servicing of certain systems by a manufacturer, distributor, or importing distributor. Prohibits a distributor or importing distributor from selling or giving coil cleaning services to certain licensees. Authorizes a manufacturer, distributor, or importing distributor to give, sell, or lease dispensing equipment to specified licensees if certain requirements are met. Makes other changes.
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| | A BILL FOR |
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| 1 | | AN ACT concerning liquor.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Liquor Control Act of 1934 is amended by | 5 | | changing Sections 1-3.04, 5-1, 6-6, 6-6.5, 6-6.6 as follows:
| 6 | | (235 ILCS 5/1-3.04) (from Ch. 43, par. 95.04)
| 7 | | Sec. 1-3.04.
"Beer" means a beverage obtained by the | 8 | | alcoholic fermentation of
an infusion or concoction of barley, | 9 | | or other grain, malt, and hops in
water, and includes, among | 10 | | other things, beer, ale, stout, lager beer,
porter , beverages | 11 | | brewed or fermented wholly or in part from malt products, and | 12 | | the like.
| 13 | | (Source: P.A. 82-783.)
| 14 | | (235 ILCS 5/5-1) (from Ch. 43, par. 115) | 15 | | Sec. 5-1. Licenses issued by the Illinois Liquor Control | 16 | | Commission
shall be of the following classes: | 17 | | (a) Manufacturer's license - Class 1.
Distiller, Class 2. | 18 | | Rectifier, Class 3. Brewer, Class 4. First Class Wine
| 19 | | Manufacturer, Class 5. Second Class Wine Manufacturer,
Class 6. | 20 | | First Class Winemaker, Class 7. Second Class Winemaker, Class | 21 | | 8.
Limited Wine Manufacturer, Class 9. Craft Distiller, Class | 22 | | 10. Class 1 Brewer, Class 11. Class 2 Brewer, |
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| 1 | | (b) Distributor's license, | 2 | | (c) Importing Distributor's license, | 3 | | (d) Retailer's license, | 4 | | (e) Special Event Retailer's license (not-for-profit), | 5 | | (f) Railroad license, | 6 | | (g) Boat license, | 7 | | (h) Non-Beverage User's license, | 8 | | (i) Wine-maker's premises license, | 9 | | (j) Airplane license, | 10 | | (k) Foreign importer's license, | 11 | | (l) Broker's license, | 12 | | (m) Non-resident dealer's
license, | 13 | | (n) Brew Pub license, | 14 | | (o) Auction liquor license, | 15 | | (p) Caterer retailer license, | 16 | | (q) Special use permit license, | 17 | | (r) Winery shipper's license, | 18 | | (s) Craft distiller tasting permit, | 19 | | (t) Brewer warehouse permit. | 20 | | No
person, firm, partnership, corporation, or other legal | 21 | | business entity that is
engaged in the manufacturing of wine | 22 | | may concurrently obtain and hold a
wine-maker's license and a | 23 | | wine manufacturer's license. | 24 | | (a) A manufacturer's license shall allow the manufacture,
| 25 | | importation in bulk, storage, distribution and sale of | 26 | | alcoholic liquor
to persons without the State, as may be |
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| 1 | | permitted by law and to licensees
in this State as follows: | 2 | | Class 1. A Distiller may make sales and deliveries of | 3 | | alcoholic liquor to
distillers, rectifiers, importing | 4 | | distributors, distributors and
non-beverage users and to no | 5 | | other licensees. | 6 | | Class 2. A Rectifier, who is not a distiller, as defined | 7 | | herein, may make
sales and deliveries of alcoholic liquor to | 8 | | rectifiers, importing distributors,
distributors, retailers | 9 | | and non-beverage users and to no other licensees. | 10 | | Class 3. A Brewer may make sales and deliveries of beer to | 11 | | importing
distributors and distributors and may make sales as | 12 | | authorized under subsection (e) of Section 6-4 of this Act. | 13 | | Class 4. A first class wine-manufacturer may make sales and | 14 | | deliveries of
up to 50,000 gallons of wine to manufacturers,
| 15 | | importing
distributors and distributors, and to no other | 16 | | licensees. | 17 | | Class 5. A second class Wine manufacturer may make sales | 18 | | and deliveries
of more than 50,000 gallons of wine to | 19 | | manufacturers, importing distributors
and distributors and to | 20 | | no other licensees. | 21 | | Class 6. A first-class wine-maker's license shall allow the | 22 | | manufacture
of up to 50,000 gallons of wine per year, and the
| 23 | | storage
and sale of such
wine to distributors in the State and | 24 | | to persons without the
State, as may be permitted by law. A | 25 | | person who, prior to June 1, 2008 (the effective date of Public | 26 | | Act 95-634), is a holder of a first-class wine-maker's license |
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| 1 | | and annually produces more than 25,000 gallons of its own wine | 2 | | and who distributes its wine to licensed retailers shall cease | 3 | | this practice on or before July 1, 2008 in compliance with | 4 | | Public Act 95-634. | 5 | | Class 7. A second-class wine-maker's license shall allow | 6 | | the manufacture
of between 50,000 and 150,000 gallons of wine | 7 | | per year, and
the
storage and sale of such wine
to distributors | 8 | | in this State and to persons without the State, as may be
| 9 | | permitted by law. A person who, prior to June 1, 2008 (the | 10 | | effective date of Public Act 95-634), is a holder of a | 11 | | second-class wine-maker's license and annually produces more | 12 | | than 25,000 gallons of its own wine and who distributes its | 13 | | wine to licensed retailers shall cease this practice on or | 14 | | before July 1, 2008 in compliance with Public Act 95-634. | 15 | | Class 8. A limited wine-manufacturer may make sales and | 16 | | deliveries not to
exceed 40,000 gallons of wine per year to | 17 | | distributors, and to
non-licensees in accordance with the | 18 | | provisions of this Act. | 19 | | Class 9. A craft distiller license shall allow the | 20 | | manufacture of up to 100,000 gallons of spirits by distillation | 21 | | per year and the storage of such spirits. If a craft distiller | 22 | | licensee, including a craft distiller licensee who holds more | 23 | | than one craft distiller license, is not affiliated with any | 24 | | other manufacturer of spirits, then the craft distiller | 25 | | licensee may sell such spirits to distributors in this State | 26 | | and up to 2,500 gallons of such spirits to non-licensees to the |
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| 1 | | extent permitted by any exemption approved by the Commission | 2 | | pursuant to Section 6-4 of this Act. A craft distiller license | 3 | | holder may store such spirits at a non-contiguous licensed | 4 | | location, but at no time shall a craft distiller license holder | 5 | | directly or indirectly produce in the aggregate more than | 6 | | 100,000 gallons of spirits per year. | 7 | | A craft distiller licensee may hold more than one craft | 8 | | distiller's license. However, a craft distiller that holds more | 9 | | than one craft distiller license shall not manufacture, in the | 10 | | aggregate, more than 100,000 gallons of spirits by distillation | 11 | | per year and shall not sell, in the aggregate, more than 2,500 | 12 | | gallons of such spirits to non-licensees in accordance with an | 13 | | exemption approved by the State Commission pursuant to Section | 14 | | 6-4 of this Act. | 15 | | Any craft distiller licensed under this Act who on July 28, | 16 | | 2010 (the effective date of Public Act 96-1367) was licensed as | 17 | | a distiller and manufactured no more spirits than permitted by | 18 | | this Section shall not be required to pay the initial licensing | 19 | | fee. | 20 | | Class 10. A class 1 brewer license, which may only be | 21 | | issued to a licensed brewer or licensed non-resident dealer, | 22 | | shall allow the manufacture of up to 930,000 gallons of beer | 23 | | per year provided that the class 1 brewer licensee does not | 24 | | manufacture more than a combined 930,000 gallons of beer per | 25 | | year and is not a member of or affiliated with, directly or | 26 | | indirectly, a manufacturer that produces more than 930,000 |
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| 1 | | gallons of beer per year or any other alcoholic liquor. A class | 2 | | 1 brewer licensee may make sales and deliveries to importing | 3 | | distributors and distributors and to retail licensees in | 4 | | accordance with the conditions set forth in paragraph (18) of | 5 | | subsection (a) of Section 3-12 of this Act. If the State | 6 | | Commission provides prior approval, a class 1 brewer may | 7 | | annually transfer up to 930,000 gallons of beer manufactured by | 8 | | that class 1 brewer to the premises of a licensed class 1 | 9 | | brewer wholly owned and operated by the same licensee. | 10 | | Class 11. A class 2 brewer license, which may only be | 11 | | issued to a licensed brewer or licensed non-resident dealer, | 12 | | shall allow the manufacture of up to 3,720,000 gallons of beer | 13 | | per year provided that the class 2 brewer licensee does not | 14 | | manufacture more than a combined 3,720,000 gallons of beer per | 15 | | year and is not a member of or affiliated with, directly or | 16 | | indirectly, a manufacturer that produces more than 3,720,000 | 17 | | gallons of beer per year or any other alcoholic liquor. A class | 18 | | 2 brewer licensee may make sales and deliveries to importing | 19 | | distributors and distributors, but shall not make sales or | 20 | | deliveries to any other licensee. If the State Commission | 21 | | provides prior approval, a class 2 brewer licensee may annually | 22 | | transfer up to 3,720,000 gallons of beer manufactured by that | 23 | | class 2 brewer licensee to the premises of a licensed class 2 | 24 | | brewer wholly owned and operated by the same licensee. | 25 | | A class 2 brewer may transfer beer to a brew pub wholly | 26 | | owned and operated by the class 2 brewer subject to the |
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| 1 | | following limitations and restrictions: (i) the transfer shall | 2 | | not annually exceed more than 31,000 gallons; (ii) the annual | 3 | | amount transferred shall reduce the brew pub's annual permitted | 4 | | production limit; (iii) all beer transferred shall be subject | 5 | | to Article VIII of this Act; (iv) a written record shall be | 6 | | maintained by the brewer and brew pub specifying the amount, | 7 | | date of delivery, and receipt of the product by the brew pub; | 8 | | and (v) the brew pub shall be located no farther than 80 miles | 9 | | from the class 2 brewer's licensed location. | 10 | | A class 2 brewer shall, prior to transferring beer to a | 11 | | brew pub wholly owned by the class 2 brewer, furnish a written | 12 | | notice to the State Commission of intent to transfer beer | 13 | | setting forth the name and address of the brew pub and shall | 14 | | annually submit to the State Commission a verified report | 15 | | identifying the total gallons of beer transferred to the brew | 16 | | pub wholly owned by the class 2 brewer. | 17 | | (a-1) A manufacturer which is licensed in this State to | 18 | | make sales or
deliveries of alcoholic liquor to licensed | 19 | | distributors or importing distributors and which enlists | 20 | | agents, representatives, or
individuals acting on its behalf | 21 | | who contact licensed retailers on a regular
and continual basis | 22 | | in this State must register those agents, representatives,
or | 23 | | persons acting on its behalf with the State Commission. | 24 | | Registration of agents, representatives, or persons acting | 25 | | on behalf of a
manufacturer is fulfilled by submitting a form | 26 | | to the Commission. The form
shall be developed by the |
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| 1 | | Commission and shall include the name and address of
the | 2 | | applicant, the name and address of the manufacturer he or she | 3 | | represents,
the territory or areas assigned to sell to or | 4 | | discuss pricing terms of
alcoholic liquor, and any other | 5 | | questions deemed appropriate and necessary.
All statements in | 6 | | the forms required to be made by law or by rule shall be
deemed | 7 | | material, and any person who knowingly misstates any material | 8 | | fact under
oath in an application is guilty of a Class B | 9 | | misdemeanor. Fraud,
misrepresentation, false statements, | 10 | | misleading statements, evasions, or
suppression of material | 11 | | facts in the securing of a registration are grounds for
| 12 | | suspension or revocation of the registration. The State | 13 | | Commission shall post a list of registered agents on the | 14 | | Commission's website. | 15 | | (b) A distributor's license shall allow the wholesale | 16 | | purchase and storage
of alcoholic liquors and sale of alcoholic | 17 | | liquors to licensees in this State and to persons without the | 18 | | State, as may be permitted by law, and the sale of beer, cider, | 19 | | or both beer and cider to brewers, class 1 brewers, and class 2 | 20 | | brewers that, pursuant to subsection (e) of Section 6-4 of this | 21 | | Act, sell beer, cider, or both beer and cider to non-licensees | 22 | | at their breweries. No person licensed as a distributor shall | 23 | | be granted a non-resident dealer's license. | 24 | | (c) An importing distributor's license may be issued to and | 25 | | held by
those only who are duly licensed distributors, upon the | 26 | | filing of an
application by a duly licensed distributor, with |
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| 1 | | the Commission and
the Commission shall, without the
payment of | 2 | | any fee, immediately issue such importing distributor's
| 3 | | license to the applicant, which shall allow the importation of | 4 | | alcoholic
liquor by the licensee into this State from any point | 5 | | in the United
States outside this State, and the purchase of | 6 | | alcoholic liquor in
barrels, casks or other bulk containers and | 7 | | the bottling of such
alcoholic liquors before resale thereof, | 8 | | but all bottles or containers
so filled shall be sealed, | 9 | | labeled, stamped and otherwise made to comply
with all | 10 | | provisions, rules and regulations governing manufacturers in
| 11 | | the preparation and bottling of alcoholic liquors. The | 12 | | importing
distributor's license shall permit such licensee to | 13 | | purchase alcoholic
liquor from Illinois licensed non-resident | 14 | | dealers and foreign importers only. No person licensed as an | 15 | | importing distributor shall be granted a non-resident dealer's | 16 | | license. | 17 | | (d) A retailer's license shall allow the licensee to sell | 18 | | and offer
for sale at retail, only in the premises specified in | 19 | | the license,
alcoholic liquor for use or consumption, but not | 20 | | for resale in any form. Nothing in Public Act 95-634 shall | 21 | | deny, limit, remove, or restrict the ability of a holder of a | 22 | | retailer's license to transfer, deliver, or ship alcoholic | 23 | | liquor to the purchaser for use or consumption subject to any | 24 | | applicable local law or ordinance. Any retail license issued to | 25 | | a manufacturer shall only
permit the manufacturer to sell beer | 26 | | at retail on the premises actually
occupied by the |
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| 1 | | manufacturer. For the purpose of further describing the type of | 2 | | business conducted at a retail licensed premises, a retailer's | 3 | | licensee may be designated by the State Commission as (i) an on | 4 | | premise consumption retailer, (ii) an off premise sale | 5 | | retailer, or (iii) a combined on premise consumption and off | 6 | | premise sale retailer.
| 7 | | Notwithstanding any other provision of this subsection | 8 | | (d), a retail
licensee may sell alcoholic liquors to a special | 9 | | event retailer licensee for
resale to the extent permitted | 10 | | under subsection (e). | 11 | | (e) A special event retailer's license (not-for-profit) | 12 | | shall permit the
licensee to purchase alcoholic liquors from an | 13 | | Illinois licensed distributor
(unless the licensee purchases | 14 | | less than $500 of alcoholic liquors for the
special event, in | 15 | | which case the licensee may purchase the alcoholic liquors
from | 16 | | a licensed retailer) and shall allow the licensee to sell and | 17 | | offer for
sale, at retail, alcoholic liquors for use or | 18 | | consumption, but not for resale
in any form and only at the | 19 | | location and on the specific dates designated for
the special | 20 | | event in the license. An applicant for a special event retailer
| 21 | | license must
(i) furnish with the application: (A) a resale | 22 | | number issued under Section
2c of the Retailers' Occupation Tax | 23 | | Act or evidence that the applicant is
registered under Section | 24 | | 2a of the Retailers' Occupation Tax Act, (B) a
current, valid | 25 | | exemption identification
number issued under Section 1g of the | 26 | | Retailers' Occupation Tax Act, and a
certification to the |
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| 1 | | Commission that the purchase of alcoholic liquors will be
a | 2 | | tax-exempt purchase, or (C) a statement that the applicant is | 3 | | not registered
under Section 2a of the Retailers' Occupation | 4 | | Tax Act, does not hold a resale
number under Section 2c of the | 5 | | Retailers' Occupation Tax Act, and does not
hold an exemption | 6 | | number under Section 1g of the Retailers' Occupation Tax
Act, | 7 | | in which event the Commission shall set forth on the special | 8 | | event
retailer's license a statement to that effect; (ii) | 9 | | submit with the application proof satisfactory to
the State | 10 | | Commission that the applicant will provide dram shop liability
| 11 | | insurance in the maximum limits; and (iii) show proof | 12 | | satisfactory to the
State Commission that the applicant has | 13 | | obtained local authority
approval. | 14 | | Nothing in this Act prohibits an Illinois licensed | 15 | | distributor from offering credit or a refund for unused, | 16 | | salable alcoholic liquors to a holder of a special event | 17 | | retailer's license or from the special event retailer's | 18 | | licensee from accepting the credit or refund of alcoholic | 19 | | liquors at the conclusion of the event specified in the | 20 | | license. | 21 | | (f) A railroad license shall permit the licensee to import | 22 | | alcoholic
liquors into this State from any point in the United | 23 | | States outside this
State and to store such alcoholic liquors | 24 | | in this State; to make wholesale
purchases of alcoholic liquors | 25 | | directly from manufacturers, foreign
importers, distributors | 26 | | and importing distributors from within or outside
this State; |
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| 1 | | and to store such alcoholic liquors in this State; provided
| 2 | | that the above powers may be exercised only in connection with | 3 | | the
importation, purchase or storage of alcoholic liquors to be | 4 | | sold or
dispensed on a club, buffet, lounge or dining car | 5 | | operated on an electric,
gas or steam railway in this State; | 6 | | and provided further, that railroad
licensees exercising the | 7 | | above powers shall be subject to all provisions of
Article VIII | 8 | | of this Act as applied to importing distributors. A railroad
| 9 | | license shall also permit the licensee to sell or dispense | 10 | | alcoholic
liquors on any club, buffet, lounge or dining car | 11 | | operated on an electric,
gas or steam railway regularly | 12 | | operated by a common carrier in this State,
but shall not | 13 | | permit the sale for resale of any alcoholic liquors to any
| 14 | | licensee within this State. A license shall be obtained for | 15 | | each car in which
such sales are made. | 16 | | (g) A boat license shall allow the sale of alcoholic liquor | 17 | | in
individual drinks, on any passenger boat regularly operated | 18 | | as a common
carrier on navigable waters in this State or on any | 19 | | riverboat operated
under
the Riverboat Gambling Act, which boat | 20 | | or riverboat maintains a public
dining room or restaurant | 21 | | thereon. | 22 | | (h) A non-beverage user's license shall allow the licensee | 23 | | to
purchase alcoholic liquor from a licensed manufacturer or | 24 | | importing
distributor, without the imposition of any tax upon | 25 | | the business of such
licensed manufacturer or importing | 26 | | distributor as to such alcoholic
liquor to be used by such |
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| 1 | | licensee solely for the non-beverage purposes
set forth in | 2 | | subsection (a) of Section 8-1 of this Act, and
such licenses | 3 | | shall be divided and classified and shall permit the
purchase, | 4 | | possession and use of limited and stated quantities of
| 5 | | alcoholic liquor as follows: | 6 | | Class 1, not to exceed ......................... 500 gallons
| 7 | | Class 2, not to exceed ....................... 1,000 gallons
| 8 | | Class 3, not to exceed ....................... 5,000 gallons
| 9 | | Class 4, not to exceed ...................... 10,000 gallons
| 10 | | Class 5, not to exceed ....................... 50,000 gallons | 11 | | (i) A wine-maker's premises license shall allow a
licensee | 12 | | that concurrently holds a first-class wine-maker's license to | 13 | | sell
and offer for sale at retail in the premises specified in | 14 | | such license
not more than 50,000 gallons of the first-class | 15 | | wine-maker's wine that is
made at the first-class wine-maker's | 16 | | licensed premises per year for use or
consumption, but not for | 17 | | resale in any form. A wine-maker's premises
license shall allow | 18 | | a licensee who concurrently holds a second-class
wine-maker's | 19 | | license to sell and offer for sale at retail in the premises
| 20 | | specified in such license up to 100,000 gallons of the
| 21 | | second-class wine-maker's wine that is made at the second-class | 22 | | wine-maker's
licensed premises per year
for use or consumption | 23 | | but not for resale in any form. A wine-maker's premises license | 24 | | shall allow a
licensee that concurrently holds a first-class | 25 | | wine-maker's license or a second-class
wine-maker's license to | 26 | | sell
and offer for sale at retail at the premises specified in |
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| 1 | | the wine-maker's premises license, for use or consumption but | 2 | | not for resale in any form, any beer, wine, and spirits | 3 | | purchased from a licensed distributor. Upon approval from the
| 4 | | State Commission, a wine-maker's premises license
shall allow | 5 | | the licensee to sell and offer for sale at (i) the wine-maker's
| 6 | | licensed premises and (ii) at up to 2 additional locations for | 7 | | use and
consumption and not for resale. Each location shall | 8 | | require additional
licensing per location as specified in | 9 | | Section 5-3 of this Act. A wine-maker's premises licensee shall
| 10 | | secure liquor liability insurance coverage in an amount at
| 11 | | least equal to the maximum liability amounts set forth in
| 12 | | subsection (a) of Section 6-21 of this Act.
| 13 | | (j) An airplane license shall permit the licensee to import
| 14 | | alcoholic liquors into this State from any point in the United | 15 | | States
outside this State and to store such alcoholic liquors | 16 | | in this State; to
make wholesale purchases of alcoholic liquors | 17 | | directly from
manufacturers, foreign importers, distributors | 18 | | and importing
distributors from within or outside this State; | 19 | | and to store such
alcoholic liquors in this State; provided | 20 | | that the above powers may be
exercised only in connection with | 21 | | the importation, purchase or storage
of alcoholic liquors to be | 22 | | sold or dispensed on an airplane; and
provided further, that | 23 | | airplane licensees exercising the above powers
shall be subject | 24 | | to all provisions of Article VIII of this Act as
applied to | 25 | | importing distributors. An airplane licensee shall also
permit | 26 | | the sale or dispensing of alcoholic liquors on any passenger
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| 1 | | airplane regularly operated by a common carrier in this State, | 2 | | but shall
not permit the sale for resale of any alcoholic | 3 | | liquors to any licensee
within this State. A single airplane | 4 | | license shall be required of an
airline company if liquor | 5 | | service is provided on board aircraft in this
State. The annual | 6 | | fee for such license shall be as determined in
Section 5-3. | 7 | | (k) A foreign importer's license shall permit such licensee | 8 | | to purchase
alcoholic liquor from Illinois licensed | 9 | | non-resident dealers only, and to
import alcoholic liquor other | 10 | | than in bulk from any point outside the
United States and to | 11 | | sell such alcoholic liquor to Illinois licensed
importing | 12 | | distributors and to no one else in Illinois;
provided that (i) | 13 | | the foreign importer registers with the State Commission
every
| 14 | | brand of
alcoholic liquor that it proposes to sell to Illinois | 15 | | licensees during the
license period, (ii) the foreign importer | 16 | | complies with all of the provisions
of Section
6-9 of this Act | 17 | | with respect to registration of such Illinois licensees as may
| 18 | | be granted the
right to sell such brands at wholesale, and | 19 | | (iii) the foreign importer complies with the provisions of | 20 | | Sections 6-5 and 6-6 of this Act to the same extent that these | 21 | | provisions apply to manufacturers. | 22 | | (l) (i) A broker's license shall be required of all persons
| 23 | | who solicit
orders for, offer to sell or offer to supply | 24 | | alcoholic liquor to
retailers in the State of Illinois, or who | 25 | | offer to retailers to ship or
cause to be shipped or to make | 26 | | contact with distillers, rectifiers,
brewers or manufacturers |
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| 1 | | or any other party within or without the State
of Illinois in | 2 | | order that alcoholic liquors be shipped to a distributor,
| 3 | | importing distributor or foreign importer, whether such | 4 | | solicitation or
offer is consummated within or without the | 5 | | State of Illinois. | 6 | | No holder of a retailer's license issued by the Illinois | 7 | | Liquor
Control Commission shall purchase or receive any | 8 | | alcoholic liquor, the
order for which was solicited or offered | 9 | | for sale to such retailer by a
broker unless the broker is the | 10 | | holder of a valid broker's license. | 11 | | The broker shall, upon the acceptance by a retailer of the | 12 | | broker's
solicitation of an order or offer to sell or supply or | 13 | | deliver or have
delivered alcoholic liquors, promptly forward | 14 | | to the Illinois Liquor
Control Commission a notification of | 15 | | said transaction in such form as
the Commission may by | 16 | | regulations prescribe. | 17 | | (ii) A broker's license shall be required of
a person | 18 | | within this State, other than a retail licensee,
who, for a fee | 19 | | or commission, promotes, solicits, or accepts orders for
| 20 | | alcoholic liquor, for use or consumption and not for
resale, to | 21 | | be shipped from this State and delivered to residents outside | 22 | | of
this State by an express company, common carrier, or | 23 | | contract carrier.
This Section does not apply to any person who | 24 | | promotes, solicits, or accepts
orders for wine as specifically | 25 | | authorized in Section 6-29 of this Act. | 26 | | A broker's license under this subsection (l)
shall not |
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| 1 | | entitle the holder to
buy or sell any
alcoholic liquors for his | 2 | | own account or to take or deliver title to
such alcoholic | 3 | | liquors. | 4 | | This subsection (l)
shall not apply to distributors, | 5 | | employees of
distributors, or employees of a manufacturer who | 6 | | has registered the
trademark, brand or name of the alcoholic | 7 | | liquor pursuant to Section 6-9
of this Act, and who regularly | 8 | | sells such alcoholic liquor
in the State of Illinois only to | 9 | | its registrants thereunder. | 10 | | Any agent, representative, or person subject to | 11 | | registration pursuant to
subsection (a-1) of this Section shall | 12 | | not be eligible to receive a broker's
license. | 13 | | (m) A non-resident dealer's license shall permit such | 14 | | licensee to ship
into and warehouse alcoholic liquor into this | 15 | | State from any point
outside of this State, and to sell such | 16 | | alcoholic liquor to Illinois licensed
foreign importers and | 17 | | importing distributors and to no one else in this State;
| 18 | | provided that (i) said non-resident dealer shall register with | 19 | | the Illinois Liquor
Control Commission each and every brand of | 20 | | alcoholic liquor which it proposes
to sell to Illinois | 21 | | licensees during the license period, (ii) it shall comply with | 22 | | all of the provisions of Section 6-9 hereof with
respect to | 23 | | registration of such Illinois licensees as may be granted the | 24 | | right
to sell such brands at wholesale by duly filing such | 25 | | registration statement, thereby authorizing the non-resident | 26 | | dealer to proceed to sell such brands at wholesale, and (iii) |
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| 1 | | the non-resident dealer shall comply with the provisions of | 2 | | Sections 6-5 and 6-6 of this Act to the same extent that these | 3 | | provisions apply to manufacturers. No person licensed as a | 4 | | non-resident dealer shall be granted a distributor's or | 5 | | importing distributor's license. | 6 | | (n) A brew pub license shall allow the licensee to only (i) | 7 | | manufacture up to 155,000 gallons of beer per year only
on the | 8 | | premises specified in the license, (ii) make sales of the
beer | 9 | | manufactured on the premises or, with the approval of the | 10 | | Commission, beer manufactured on another brew pub licensed | 11 | | premises that is wholly owned and operated by the same licensee | 12 | | to importing distributors, distributors,
and to non-licensees | 13 | | for use and consumption, (iii) store the beer upon
the | 14 | | premises, (iv) sell and offer for sale at retail from the | 15 | | licensed
premises for off-premises
consumption no more than | 16 | | 155,000 gallons per year so long as such sales are only made | 17 | | in-person, (v) sell and offer for sale at retail for use and | 18 | | consumption on the premises specified in the license any form | 19 | | of alcoholic liquor purchased from a licensed distributor or | 20 | | importing distributor, and (vi) with the prior approval of the | 21 | | Commission, annually transfer no more than 155,000 gallons of | 22 | | beer manufactured on the premises to a licensed brew pub wholly | 23 | | owned and operated by the same licensee. | 24 | | A brew pub licensee shall not under any circumstance sell | 25 | | or offer for sale beer manufactured by the brew pub licensee to | 26 | | retail licensees. |
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| 1 | | A person who holds a class 2 brewer license may | 2 | | simultaneously hold a brew pub license if the class 2 brewer | 3 | | (i) does not, under any circumstance, sell or offer for sale | 4 | | beer manufactured by the class 2 brewer to retail licensees; | 5 | | (ii) does not hold more than 3 brew pub licenses in this State; | 6 | | (iii) does not manufacture more than a combined 3,720,000 | 7 | | gallons of beer per year, including the beer manufactured at | 8 | | the brew pub; and (iv) is not a member of or affiliated with, | 9 | | directly or indirectly, a manufacturer that produces more than | 10 | | 3,720,000 gallons of beer per year or any other alcoholic | 11 | | liquor. | 12 | | Notwithstanding any other provision of this Act, a licensed | 13 | | brewer, class 2 brewer, or non-resident dealer who before July | 14 | | 1, 2015 manufactured less than 3,720,000 gallons of beer per | 15 | | year and held a brew pub license on or before July 1, 2015 may | 16 | | (i) continue to qualify for and hold that brew pub license for | 17 | | the licensed premises and (ii) manufacture more than 3,720,000 | 18 | | gallons of beer per year and continue to qualify for and hold | 19 | | that brew pub license if that brewer, class 2 brewer, or | 20 | | non-resident dealer does not simultaneously hold a class 1 | 21 | | brewer license and is not a member of or affiliated with, | 22 | | directly or indirectly, a manufacturer that produces more than | 23 | | 3,720,000 gallons of beer per year or that produces any other | 24 | | alcoholic liquor. | 25 | | (o) A caterer retailer license shall allow the holder
to | 26 | | serve alcoholic liquors as an incidental part of a food service |
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| 1 | | that serves
prepared meals which excludes the serving of snacks | 2 | | as
the primary meal, either on or off-site whether licensed or | 3 | | unlicensed. A caterer retailer license shall allow the holder, | 4 | | a distributor, or an importing distributor to transfer any | 5 | | inventory to and from the holder's retail premises and shall | 6 | | allow the holder to purchase alcoholic liquor from a | 7 | | distributor or importing distributor to be delivered directly | 8 | | to an off-site event. | 9 | | Nothing in this Act prohibits a distributor or importing | 10 | | distributor from offering credit or a refund for unused, | 11 | | salable beer to a holder of a caterer retailer license or a | 12 | | caterer retailer licensee from accepting a credit or refund for | 13 | | unused, salable beer, in the event an act of God is the sole | 14 | | reason an off-site event is cancelled and if: (i) the holder of | 15 | | a caterer retailer license has not transferred alcoholic liquor | 16 | | from its caterer retailer premises to an off-site location; | 17 | | (ii) the distributor or importing distributor offers the credit | 18 | | or refund for the unused, salable beer that it delivered to the | 19 | | off-site premises and not for any unused, salable beer that the | 20 | | distributor or importing distributor delivered to the caterer | 21 | | retailer's premises; and (iii) the unused, salable beer would | 22 | | likely spoil if transferred to the caterer retailer's premises. | 23 | | A caterer retailer license shall allow the holder, a | 24 | | distributor, or an importing distributor to transfer any | 25 | | inventory from any off-site location to its caterer retailer | 26 | | premises at the conclusion of an off-site event. |
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| 1 | | For purposes of this subsection (o), an "act of God" means | 2 | | an unforeseeable event, such as a rain or snow storm, hail, a | 3 | | flood, or a similar event, that is the sole cause of the | 4 | | cancellation of an off-site, outdoor event. | 5 | | (p) An auction liquor license shall allow the licensee to | 6 | | sell and offer
for sale at auction wine and spirits for use or | 7 | | consumption, or for resale by
an Illinois liquor licensee in | 8 | | accordance with provisions of this Act. An
auction liquor | 9 | | license will be issued to a person and it will permit the
| 10 | | auction liquor licensee to hold the auction anywhere in the | 11 | | State. An auction
liquor license must be obtained for each | 12 | | auction at least 14 days in advance of
the auction date. | 13 | | (q) A special use permit license shall allow an Illinois | 14 | | licensed
retailer to transfer a portion of its alcoholic liquor | 15 | | inventory from its
retail licensed premises to the premises | 16 | | specified in the license hereby
created ; to purchase alcoholic | 17 | | liquor from a distributor or importing distributor to be | 18 | | delivered directly to the location specified in the license | 19 | | hereby created; , and to sell or offer for sale at retail, only | 20 | | in the premises
specified in the license hereby created, the | 21 | | transferred or delivered alcoholic liquor for
use or | 22 | | consumption, but not for resale in any form. A special use | 23 | | permit
license may be granted for the following time periods: | 24 | | one day or less; 2 or
more days to a maximum of 15 days per | 25 | | location in any 12-month period. An
applicant for the special | 26 | | use permit license must also submit with the
application proof |
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| 1 | | satisfactory to the State Commission that the applicant will
| 2 | | provide dram shop liability insurance to the maximum limits and | 3 | | have local
authority approval. | 4 | | A special use permit license shall allow the holder, a | 5 | | distributor, or an importing distributor to transfer any | 6 | | inventory from the holder's special use premises to its retail | 7 | | premises at the conclusion of the special use event. | 8 | | Nothing in this Act prohibits a distributor or importing | 9 | | distributor from offering credit or a refund for unused, | 10 | | salable beer to a special use permit licensee or a special use | 11 | | permit licensee from accepting a credit or refund for unused, | 12 | | salable beer at the conclusion of the event specified in the | 13 | | license if: (i) the holder of the special use permit license | 14 | | has not transferred alcoholic liquor from its retail licensed | 15 | | premises to the premises specified in the special use permit | 16 | | license; (ii) the distributor or importing distributor offers | 17 | | the credit or refund for the unused, salable beer that it | 18 | | delivered to the premises specified in the special use permit | 19 | | license and not for any unused, salable beer that the | 20 | | distributor or importing distributor delivered to the | 21 | | retailer's premises; and (iii) the unused, salable beer would | 22 | | likely spoil if transferred to the retailer premises. | 23 | | (r) A winery shipper's license shall allow a person
with a | 24 | | first-class or second-class wine manufacturer's
license, a | 25 | | first-class or second-class wine-maker's license,
or a limited | 26 | | wine manufacturer's license or who is licensed to
make wine |
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| 1 | | under the laws of another state to ship wine
made by that | 2 | | licensee directly to a resident of this
State who is 21 years | 3 | | of age or older for that resident's
personal use and not for | 4 | | resale. Prior to receiving a
winery shipper's license, an | 5 | | applicant for the license must
provide the Commission with a | 6 | | true copy of its current
license in any state in which it is | 7 | | licensed as a manufacturer
of wine. An applicant for a winery | 8 | | shipper's license must
also complete an application form that | 9 | | provides any other
information the Commission deems necessary. | 10 | | The application form shall include all addresses from which the | 11 | | applicant for a winery shipper's license intends to ship wine, | 12 | | including the name and address of any third party, except for a | 13 | | common carrier, authorized to ship wine on behalf of the | 14 | | manufacturer. The
application form shall include an | 15 | | acknowledgement consenting
to the jurisdiction of the | 16 | | Commission, the Illinois
Department of Revenue, and the courts | 17 | | of this State concerning
the enforcement of this Act and any | 18 | | related laws, rules, and
regulations, including authorizing | 19 | | the Department of Revenue
and the Commission to conduct audits | 20 | | for the purpose of
ensuring compliance with Public Act 95-634, | 21 | | and an acknowledgement that the wine manufacturer is in | 22 | | compliance with Section 6-2 of this Act. Any third party, | 23 | | except for a common carrier, authorized to ship wine on behalf | 24 | | of a first-class or second-class wine manufacturer's licensee, | 25 | | a first-class or second-class wine-maker's licensee, a limited | 26 | | wine manufacturer's licensee, or a person who is licensed to |
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| 1 | | make wine under the laws of another state shall also be | 2 | | disclosed by the winery shipper's licensee, and a copy of the | 3 | | written appointment of the third-party wine provider, except | 4 | | for a common carrier, to the wine manufacturer shall be filed | 5 | | with the State Commission as a supplement to the winery | 6 | | shipper's license application or any renewal thereof. The | 7 | | winery shipper's license holder shall affirm under penalty of | 8 | | perjury, as part of the winery shipper's license application or | 9 | | renewal, that he or she only ships wine, either directly or | 10 | | indirectly through a third-party provider, from the licensee's | 11 | | own production. | 12 | | Except for a common carrier, a third-party provider | 13 | | shipping wine on behalf of a winery shipper's license holder is | 14 | | the agent of the winery shipper's license holder and, as such, | 15 | | a winery shipper's license holder is responsible for the acts | 16 | | and omissions of the third-party provider acting on behalf of | 17 | | the license holder. A third-party provider, except for a common | 18 | | carrier, that engages in shipping wine into Illinois on behalf | 19 | | of a winery shipper's license holder shall consent to the | 20 | | jurisdiction of the State Commission and the State. Any | 21 | | third-party, except for a common carrier, holding such an | 22 | | appointment shall, by February 1 of each calendar year and upon | 23 | | request by the State Commission or the Department of Revenue, | 24 | | file with the State Commission a statement detailing each | 25 | | shipment made to an Illinois resident. The statement shall | 26 | | include the name and address of the third-party provider filing |
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| 1 | | the statement, the time period covered by the statement, and | 2 | | the following information: | 3 | | (1) the name, address, and license number of the winery | 4 | | shipper on whose behalf the shipment was made; | 5 | | (2) the quantity of the products delivered; and | 6 | | (3) the date and address of the shipment. | 7 | | If the Department of Revenue or the State Commission requests a | 8 | | statement under this paragraph, the third-party provider must | 9 | | provide that statement no later than 30 days after the request | 10 | | is made. Any books, records, supporting papers, and documents | 11 | | containing information and data relating to a statement under | 12 | | this paragraph shall be kept and preserved for a period of 3 | 13 | | years, unless their destruction sooner is authorized, in | 14 | | writing, by the Director of Revenue, and shall be open and | 15 | | available to inspection by the Director of Revenue or the State | 16 | | Commission or any duly authorized officer, agent, or employee | 17 | | of the State Commission or the Department of Revenue, at all | 18 | | times during business hours of the day. Any person who violates | 19 | | any provision of this paragraph or any rule of the State | 20 | | Commission for the administration and enforcement of the | 21 | | provisions of this paragraph is guilty of a Class C | 22 | | misdemeanor. In case of a continuing violation, each day's | 23 | | continuance thereof shall be a separate and distinct offense. | 24 | | The State Commission shall adopt rules as soon as | 25 | | practicable to implement the requirements of Public Act 99-904 | 26 | | and shall adopt rules prohibiting any such third-party |
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| 1 | | appointment of a third-party provider, except for a common | 2 | | carrier, that has been deemed by the State Commission to have | 3 | | violated the provisions of this Act with regard to any winery | 4 | | shipper licensee. | 5 | | A winery shipper licensee must pay to the Department
of | 6 | | Revenue the State liquor gallonage tax under Section 8-1 for
| 7 | | all wine that is sold by the licensee and shipped to a person
| 8 | | in this State. For the purposes of Section 8-1, a winery
| 9 | | shipper licensee shall be taxed in the same manner as a
| 10 | | manufacturer of wine. A licensee who is not otherwise required | 11 | | to register under the Retailers' Occupation Tax Act must
| 12 | | register under the Use Tax Act to collect and remit use tax to
| 13 | | the Department of Revenue for all gallons of wine that are sold
| 14 | | by the licensee and shipped to persons in this State. If a
| 15 | | licensee fails to remit the tax imposed under this Act in
| 16 | | accordance with the provisions of Article VIII of this Act, the
| 17 | | winery shipper's license shall be revoked in accordance
with | 18 | | the provisions of Article VII of this Act. If a licensee
fails | 19 | | to properly register and remit tax under the Use Tax Act
or the | 20 | | Retailers' Occupation Tax Act for all wine that is sold
by the | 21 | | winery shipper and shipped to persons in this
State, the winery | 22 | | shipper's license shall be revoked in
accordance with the | 23 | | provisions of Article VII of this Act. | 24 | | A winery shipper licensee must collect, maintain, and
| 25 | | submit to the Commission on a semi-annual basis the
total | 26 | | number of cases per resident of wine shipped to residents
of |
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| 1 | | this State.
A winery shipper licensed under this subsection (r)
| 2 | | must comply with the requirements of Section 6-29 of this Act. | 3 | | Pursuant to paragraph (5.1) or (5.3) of subsection (a) of | 4 | | Section 3-12, the State Commission may receive, respond to, and | 5 | | investigate any complaint and impose any of the remedies | 6 | | specified in paragraph (1) of subsection (a) of Section 3-12. | 7 | | As used in this subsection, "third-party provider" means | 8 | | any entity that provides fulfillment house services, including | 9 | | warehousing, packaging, distribution, order processing, or | 10 | | shipment of wine, but not the sale of wine, on behalf of a | 11 | | licensed winery shipper. | 12 | | (s) A craft distiller tasting permit license shall allow an | 13 | | Illinois licensed craft distiller to transfer a portion of its | 14 | | alcoholic liquor inventory from its craft distiller licensed | 15 | | premises to the premises specified in the license hereby | 16 | | created and to conduct a sampling, only in the premises | 17 | | specified in the license hereby created, of the transferred | 18 | | alcoholic liquor in accordance with subsection (c) of Section | 19 | | 6-31 of this Act. The transferred alcoholic liquor may not be | 20 | | sold or resold in any form. An applicant for the craft | 21 | | distiller tasting permit license must also submit with the | 22 | | application proof satisfactory to the State Commission that the | 23 | | applicant will provide dram shop liability insurance to the | 24 | | maximum limits and have local authority approval. | 25 | | A brewer warehouse permit may be issued to the holder of a | 26 | | class 1 brewer license or a class 2 brewer license. If the |
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| 1 | | holder of the permit is a class 1 brewer licensee, the brewer | 2 | | warehouse permit shall allow the holder to store or warehouse | 3 | | up to 930,000 gallons of tax-determined beer manufactured by | 4 | | the holder of the permit at the premises specified on the | 5 | | permit. If the holder of the permit is a class 2 brewer | 6 | | licensee, the brewer warehouse permit shall allow the holder to | 7 | | store or warehouse up to 3,720,000 gallons of tax-determined | 8 | | beer manufactured by the holder of the permit at the premises | 9 | | specified on the permit. Sales to non-licensees are prohibited | 10 | | at the premises specified in the brewer warehouse permit. | 11 | | (Source: P.A. 99-448, eff. 8-24-15; 99-642, eff. 7-28-16; | 12 | | 99-800, eff. 8-12-16; 99-902, eff. 8-26-16; 99-904, eff. | 13 | | 1-1-17; 100-17, eff. 6-30-17; 100-201, eff. 8-18-17; 100-816, | 14 | | eff. 8-13-18; 100-885, eff. 8-14-18; 100-1050, eff. 8-23-18; | 15 | | revised 10-2-18.)
| 16 | | (235 ILCS 5/6-6) (from Ch. 43, par. 123)
| 17 | | Sec. 6-6.
Except as otherwise provided in this Act no | 18 | | manufacturer or
distributor or importing distributor shall, | 19 | | directly or indirectly,
sell, supply, furnish, give or pay for, | 20 | | or loan or lease, any
furnishing, fixture or equipment on the | 21 | | premises of a place of business
of another licensee authorized | 22 | | under this Act to sell alcoholic liquor
at retail, either for | 23 | | consumption on or off the premises, nor shall he or she,
| 24 | | directly or indirectly, pay for any such license, or advance, | 25 | | furnish,
lend or give money for payment of such license, or |
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| 1 | | purchase or become
the owner of any note, mortgage, or other | 2 | | evidence of indebtedness of
such licensee or any form of | 3 | | security therefor, nor shall such
manufacturer, or | 4 | | distributor, or importing distributor, directly or
indirectly, | 5 | | be interested in the ownership, conduct or operation of the
| 6 | | business of any licensee authorized to sell alcoholic liquor at | 7 | | retail,
nor shall any manufacturer, or distributor, or | 8 | | importing distributor be
interested directly or indirectly or | 9 | | as owner or part owner of said
premises or as lessee or lessor | 10 | | thereof, in any premises upon which
alcoholic liquor is sold at | 11 | | retail.
| 12 | | No manufacturer or distributor or importing distributor | 13 | | shall,
directly or indirectly or through a subsidiary or | 14 | | affiliate, or by any
officer, director or firm of such | 15 | | manufacturer, distributor or importing
distributor, furnish, | 16 | | give, lend or rent, install, repair or maintain,
to or for any | 17 | | retail licensee in this State, any
signs or inside advertising | 18 | | materials except as provided in this Section and
Section 6-5. | 19 | | With respect to
retail licensees, other than any government | 20 | | owned or operated auditorium,
exhibition hall, recreation | 21 | | facility or other similar facility holding a
retailer's license | 22 | | as described in Section 6-5, a manufacturer,
distributor, or | 23 | | importing distributor may furnish, give, lend or rent and
| 24 | | erect, install, repair and maintain to or for any retail | 25 | | licensee, for use
at any one time in or about or in connection | 26 | | with a retail establishment on
which the products of the |
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| 1 | | manufacturer, distributor or importing
distributor are sold, | 2 | | the following signs and inside advertising materials
as | 3 | | authorized in subparts (i), (ii), (iii), and (iv):
| 4 | | (i) Permanent outside signs shall cost not more than | 5 | | $3,000 per brand manufacturer , exclusive of erection,
| 6 | | installation, repair and maintenance costs, and permit | 7 | | fees and
shall bear only the manufacturer's name, brand | 8 | | name, trade name, slogans,
markings, trademark, or other | 9 | | symbols commonly associated with and generally
used in | 10 | | identifying the product including, but not limited to, | 11 | | "cold beer", "on
tap", "carry out", and "packaged liquor".
| 12 | | (ii) Temporary outside signs shall include, but not be | 13 | | limited to, banners, flags, pennants,
streamers, and other | 14 | | items of a temporary and non-permanent
nature, and shall | 15 | | cost not more than $1,000 per manufacturer. Each temporary | 16 | | outside sign must include the manufacturer's name,
brand | 17 | | name, trade name, slogans, markings,
trademark, or other | 18 | | symbol commonly associated with and generally used in
| 19 | | identifying the product. Temporary outside signs may also | 20 | | include,
for example, the product,
price, packaging, date | 21 | | or dates of a promotion and an announcement of a
retail | 22 | | licensee's specific sponsored event, if the temporary | 23 | | outside sign is
intended to promote a product, and provided | 24 | | that the announcement of the retail
licensee's event and | 25 | | the product promotion are held simultaneously. However,
| 26 | | temporary outside signs may not include names, slogans, |
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| 1 | | markings, or logos that
relate to the retailer. Nothing in | 2 | | this subpart (ii) shall prohibit a
distributor or importing | 3 | | distributor from bearing the cost of creating or
printing a | 4 | | temporary outside sign for the retail licensee's specific | 5 | | sponsored
event or from bearing the cost of creating or | 6 | | printing a temporary sign for a
retail licensee containing, | 7 | | for example, community goodwill expressions,
regional | 8 | | sporting event announcements, or seasonal messages, | 9 | | provided that the
primary purpose of the temporary outside | 10 | | sign is to highlight, promote, or
advertise the product.
In | 11 | | addition, temporary outside signs provided by the | 12 | | manufacturer to
the distributor or importing distributor | 13 | | may also include, for example, subject
to the limitations | 14 | | of this Section, preprinted community goodwill | 15 | | expressions,
sporting event announcements, seasonal | 16 | | messages, and manufacturer promotional
announcements. | 17 | | However, a distributor or importing distributor shall not | 18 | | bear
the cost of such manufacturer preprinted signs.
| 19 | | (iii) Permanent inside
signs, whether visible from the | 20 | | outside or the inside of the premises,
include, but are not | 21 | | limited to: alcohol lists and menus that may include
names, | 22 | | slogans, markings, or logos that relate to the retailer; | 23 | | neons;
illuminated signs; clocks; table lamps; mirrors; | 24 | | tap handles; decalcomanias;
window painting; and window | 25 | | trim. All neons, illuminated signs, clocks, table lamps, | 26 | | mirrors, and tap handles are the property of the |
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| 1 | | manufacturer and shall be returned to the manufacturer or | 2 | | its agent upon request. All permanent inside signs in place
| 3 | | and in use at any one time shall cost in the aggregate not | 4 | | more than $6,000 per
manufacturer. A permanent inside sign | 5 | | must include the
manufacturer's name, brand name, trade | 6 | | name, slogans, markings, trademark, or
other symbol | 7 | | commonly associated with and generally used in identifying
| 8 | | the product. However,
permanent inside signs may not | 9 | | include names, slogans, markings, or logos
that relate to | 10 | | the retailer. For the purpose of this subpart (iii), all
| 11 | | permanent inside signs may be displayed in an adjacent | 12 | | courtyard or patio
commonly referred to as a "beer garden" | 13 | | that is a part of the retailer's
licensed premises.
| 14 | | (iv) Temporary inside signs shall include, but are not | 15 | | limited to, lighted
chalk boards, acrylic table tent | 16 | | beverage or hors d'oeuvre list holders,
banners, flags, | 17 | | pennants, streamers, and inside advertising materials such | 18 | | as
posters, placards, bowling sheets, table tents, inserts | 19 | | for acrylic table tent
beverage or hors d'oeuvre list | 20 | | holders, sports schedules,
or similar printed or | 21 | | illustrated materials and product displays, such as | 22 | | display racks, bins, barrels, or similar items, the primary | 23 | | function of which is to temporarily hold and display | 24 | | alcoholic beverages; however, such items, for example,
as | 25 | | coasters, trays, napkins, glassware and cups shall not be | 26 | | deemed to be
inside signs or advertising materials and may |
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| 1 | | only be sold to retailers at fair market value, which shall | 2 | | be no less than the cost of the item to the manufacturer, | 3 | | distributor, or importing distributor. All
temporary | 4 | | inside signs and inside advertising materials in place and | 5 | | in use at
any one time shall cost in the aggregate not more | 6 | | than $1,000 per manufacturer.
Nothing in this subpart (iv) | 7 | | prohibits a distributor or importing distributor
from | 8 | | paying the cost of
printing or creating any temporary | 9 | | inside banner or inserts for acrylic table
tent beverage or | 10 | | hors d'oeuvre list holders for a retail licensee, provided
| 11 | | that the primary purpose for the banner or insert is to | 12 | | highlight, promote, or
advertise the product. For the | 13 | | purpose of this subpart (iv), all temporary
inside signs | 14 | | and inside advertising materials may be displayed in an | 15 | | adjacent
courtyard or patio commonly referred to as a "beer | 16 | | garden" that is a part of
the retailer's licensed premises.
| 17 | | The restrictions contained in this Section 6-6 do not apply | 18 | | to signs, or
promotional or advertising materials furnished by | 19 | | manufacturers, distributors
or importing distributors to a | 20 | | government owned or operated facility holding
a retailer's | 21 | | license as described in Section 6-5.
| 22 | | No distributor or importing distributor shall directly or | 23 | | indirectly
or through a subsidiary or affiliate, or by any | 24 | | officer, director or
firm of such manufacturer, distributor or | 25 | | importing distributor,
furnish, give, lend or rent, install, | 26 | | repair or maintain, to or for any
retail licensee in this |
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| 1 | | State, any signs or
inside advertising materials described in | 2 | | subparts (i), (ii), (iii), or (iv)
of this Section except as | 3 | | the agent for or on behalf of a manufacturer,
provided that the | 4 | | total cost of any signs and inside advertising materials
| 5 | | including but not limited to labor, erection, installation and | 6 | | permit fees
shall be paid by the manufacturer whose product or | 7 | | products said signs
and inside advertising materials advertise | 8 | | and except as follows:
| 9 | | A distributor or importing distributor may purchase from or | 10 | | enter into a
written agreement with a manufacturer or a | 11 | | manufacturer's designated supplier
and such manufacturer or | 12 | | the manufacturer's designated supplier may sell or
enter into | 13 | | an agreement to sell to a distributor or importing distributor
| 14 | | permitted signs and advertising materials described in | 15 | | subparts (ii), (iii), or
(iv) of this Section for the purpose | 16 | | of furnishing, giving, lending, renting,
installing, | 17 | | repairing, or maintaining such signs or advertising materials | 18 | | to or
for any retail licensee in this State. Any purchase by a | 19 | | distributor or
importing distributor from a manufacturer or a | 20 | | manufacturer's designated
supplier shall be voluntary and the | 21 | | manufacturer may not require the
distributor or the importing | 22 | | distributor to purchase signs or advertising
materials from the | 23 | | manufacturer or the manufacturer's designated supplier.
| 24 | | A distributor or importing distributor shall be deemed the | 25 | | owner of such
signs or advertising materials purchased from a | 26 | | manufacturer or
a manufacturer's designated supplier.
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| 1 | | The provisions of Public Act 90-373
concerning signs or | 2 | | advertising materials delivered by a manufacturer to a
| 3 | | distributor or importing distributor shall apply only to signs | 4 | | or advertising
materials delivered on or after August 14, 1997.
| 5 | | A manufacturer, distributor, or importing distributor may | 6 | | furnish free social media advertising to a retail licensee if | 7 | | the social media advertisement does not contain the retail | 8 | | price of any alcoholic liquor and the social media | 9 | | advertisement complies with any applicable rules or | 10 | | regulations issued by the Alcohol and Tobacco Tax and Trade | 11 | | Bureau of the United States Department of the Treasury. A | 12 | | manufacturer, distributor, or importing distributor may list | 13 | | the names of one or more unaffiliated retailers in the | 14 | | advertisement of alcoholic liquor through social media. | 15 | | Nothing in this Section shall prohibit a retailer from | 16 | | communicating with a manufacturer, distributor, or importing | 17 | | distributor on social media or sharing media on the social | 18 | | media of a manufacturer, distributor, or importing | 19 | | distributor. A retailer may request free social media | 20 | | advertising from a manufacturer, distributor, or importing | 21 | | distributor. Nothing in this Section shall prohibit a | 22 | | manufacturer, distributor, or importing distributor from | 23 | | sharing, reposting, or otherwise forwarding a social media post | 24 | | by a retail licensee, so long as the sharing, reposting, or | 25 | | forwarding of the social media post does not contain the retail | 26 | | price of any alcoholic liquor. No manufacturer, distributor, or |
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| 1 | | importing distributor shall pay or reimburse a retailer, | 2 | | directly or indirectly, for any social media advertising | 3 | | services, except as specifically permitted in this Act. No | 4 | | retailer shall accept any payment or reimbursement, directly or | 5 | | indirectly, for any social media advertising services offered | 6 | | by a manufacturer, distributor, or importing distributor, | 7 | | except as specifically permitted in this Act. For the purposes | 8 | | of this Section, "social media" means a service, platform, or | 9 | | site where users communicate with one another and share media, | 10 | | such as pictures, videos, music, and blogs, with other users | 11 | | free of charge. | 12 | | No person engaged in the business of manufacturing, | 13 | | importing or
distributing alcoholic liquors shall, directly or | 14 | | indirectly, pay for,
or advance, furnish, or lend money for the | 15 | | payment of any license for
another. Any licensee who shall | 16 | | permit or assent, or be a party in any
way to any violation or | 17 | | infringement of the provisions of this Section
shall be deemed | 18 | | guilty of a violation of this Act, and any money loaned
| 19 | | contrary to a provision of this Act shall not be recovered | 20 | | back, or any
note, mortgage or other evidence of indebtedness, | 21 | | or security, or any
lease or contract obtained or made contrary | 22 | | to this Act shall be
unenforceable and void.
| 23 | | This Section shall not apply to airplane licensees | 24 | | exercising powers
provided in paragraph (i) of Section 5-1 of | 25 | | this Act.
| 26 | | (Source: P.A. 99-448, eff. 8-24-15; 100-885, eff. 8-14-18.)
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| | | SB1831 | - 37 - | LRB101 09851 RPS 54953 b |
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| 1 | | (235 ILCS 5/6-6.5)
| 2 | | Sec. 6-6.5. Sanitation. A manufacturer, distributor, or | 3 | | importing
distributor may sell coil cleaning services to a | 4 | | retail licensee at fair market
cost.
| 5 | | A manufacturer, distributor, or importing distributor may | 6 | | sell dispensing
accessories to retail licensees at a price not | 7 | | less than the cost to the
manufacturer, distributor, or | 8 | | importing distributor who initially purchased
them. Dispensing | 9 | | accessories include, but are not limited to, items such as
| 10 | | standards, faucets, cold plates, rods, vents, taps, tap | 11 | | standards, hoses,
washers, couplings, gas gauges, vent | 12 | | tongues, shanks, and check valves. A manufacturer, | 13 | | distributor, or importing distributor may service, balance, or | 14 | | inspect draft beer, wine, or distilled spirits systems at | 15 | | regular intervals and may provide labor to replace or install | 16 | | dispensing accessories.
| 17 | | Coil cleaning supplies
consisting of detergents, cleaning | 18 | | chemicals, brushes, or similar type cleaning
devices may be | 19 | | sold at a price not less than the cost to the manufacturer,
| 20 | | distributor, or importing distributor. | 21 | | A distributor or importing distributor shall not sell or | 22 | | give coil cleaning services to a retailer, special use permit | 23 | | licensee, caterer retailer, or brew pub.
| 24 | | (Source: P.A. 90-432, eff. 1-1-98.)
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| 1 | | (235 ILCS 5/6-6.6 new) | 2 | | Sec. 6-6.6. Giving, selling, and leasing dispensing | 3 | | equipment. Notwithstanding any provision of this Act to the | 4 | | contrary, a manufacturer, distributor, or importing | 5 | | distributor may: | 6 | | (1) give dispensing equipment free of charge to a | 7 | | retailer, special use permit licensee, caterer retailer, | 8 | | or brew pub one time per year for a one-day period. A | 9 | | manufacturer, distributor, or importing distributor shall | 10 | | not supply a retailer, special use permit licensee, caterer | 11 | | retailer, or brew pub with free beer, wine, or spirits for | 12 | | the same one-day period the dispensing equipment is given; | 13 | | (2) give dispensing equipment free of charge to a | 14 | | special event retailer only for the duration of the | 15 | | licensed special event. A manufacturer, distributor, or | 16 | | importing distributor shall not supply a special event | 17 | | retailer with free beer, wine, or distilled spirits for the | 18 | | event the dispensing equipment is given; or | 19 | | (3) sell dispensing equipment to a retailer, special | 20 | | event retailer, special use permit licensee, caterer | 21 | | retailer, or brew pub for a price that is not less than the | 22 | | cost to the manufacturer, distributor, or importing | 23 | | distributor. For purposes of this paragraph (3), the cost | 24 | | of dispensing equipment is the amount that the | 25 | | manufacturer, distributor, or importing distributor paid | 26 | | for the dispensing equipment. If the manufacturer, |
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| 1 | | distributor, or importing distributor did not pay for the | 2 | | dispensing equipment but was given the equipment, the cost | 3 | | of the dispensing equipment is equal to (i) the amount | 4 | | another manufacturer, distributor, or importing | 5 | | distributor paid for the dispensing equipment, (ii) the | 6 | | cost of manufacturing or producing the dispensing | 7 | | equipment, or (iii) the fair market value of the dispensing | 8 | | equipment. | 9 | | A manufacturer, distributor, or importing distributor may | 10 | | also enter into a written lease for the fair market value of | 11 | | the dispensing equipment to retailers, special event | 12 | | retailers, special use permit licensees, caterer retailers, or | 13 | | brew pubs. The manufacturer, distributor, or importing | 14 | | distributor shall invoice and collect the sale price or payment | 15 | | for the entire lease period from the retailer, special event | 16 | | retailer, special use permit licensee, caterer retailer, or | 17 | | brew pub within 30 days of the date of the invoice or from the | 18 | | date the lease is executed. The term of any lease for | 19 | | dispensing equipment shall not exceed 12 months and no 12-month | 20 | | lease shall be renewed automatically. Upon expiration of a | 21 | | 12-month lease, there shall be a lapse of 30 consecutive days | 22 | | before the beginning of a new lease term, except that for | 23 | | concert venues, stadiums, convention or conference centers, | 24 | | theaters or music venues where the primary purpose of the venue | 25 | | is to host live entertainment, and state and county fairs, the | 26 | | term of the lease shall correspond with the entire season or |
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| 1 | | calendar of games, concerts, conferences, or other events of a | 2 | | similar nature. At the direction of the manufacturer, | 3 | | distributor, or importing distributor, the retailer, special | 4 | | event retailer, special use permit licensee, caterer retailer, | 5 | | or brew pub shall return the equipment or the manufacturer, | 6 | | distributor, or importing distributor shall retrieve the | 7 | | dispensing equipment at the termination of the lease. | 8 | | For purposes of this Section, "dispensing equipment" means | 9 | | any portable or temporary unit the primary purpose of which is | 10 | | to pour beer or to maintain the beer in a consumable state. | 11 | | "Dispensing equipment" includes, but is not limited to, | 12 | | courtesy wagons, beer wagons, beer trailers, Waymatics, | 13 | | trailers, ice bins, draft coolers, coil boxes, portable bars, | 14 | | and kiosks. "Dispensing equipment" does not include permanent | 15 | | tap systems, permanent refrigeration systems, or any other | 16 | | built-in or physically attached fixture of the retailer, | 17 | | special event retailer, special use permit licensee, caterer | 18 | | retailer, or brew pub. | 19 | | The State Commission shall adopt rules to define the term | 20 | | "fair market value" for selling or leasing dispensing | 21 | | equipment.
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