California 2023-2024 Regular Session

California Assembly Bill AB840 Compare Versions

OldNewDifferences
1-Assembly Bill No. 840 CHAPTER 346An act to amend Section 25503.6 of the Business and Professions Code, relating to alcoholic beverages. [ Approved by Governor October 07, 2023. Filed with Secretary of State October 07, 2023. ] LEGISLATIVE COUNSEL'S DIGESTAB 840, Addis. Tied-house exceptions: advertising. Existing law, the Alcoholic Beverage Control Act, which is administered by the Department of Alcoholic Beverage Control, regulates the application, issuance, and suspension of alcoholic beverage licenses. Existing law, known as tied-house restrictions, generally prohibits specified licensees, or their officers, directors, or agents, from giving or lending money or a thing of value to a person operating, owning, or maintaining any on-sale premises where alcoholic beverages are sold. In this regard, existing law specifically prohibits paying a retailer for advertising. Existing law creates a variety of exceptions to this prohibition, including permitting specified licensees to purchase advertising space and time from, or on behalf of, an on-sale retail licensee that is an owner, manager, agent or major tenant of the owner, or assignee of the owners advertising rights of certain venues, subject to specified conditions. Existing law requires the purchase of advertising space or time, in this context, to be conducted pursuant to a written contract and, in certain instances, specifically authorizes a contract to be made with the owner, a long-term tenant of the complex, or a licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license. In this context, existing law makes certain acts of coercion crimes, including when an on-sale licensee coerces other specified licensees to purchase advertising space or time. This bill would expand the above-described exception to tied-house restrictions that allows for the purchase of advertising by applying it to various facilities that are situated on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa. The bill would additionally expand the exception applicable to a motorsports entertainment complex located in the County of San Bernardino, by reducing the minimum fixed seating capacity from 50,000 to 25,000. By expanding the definition of a crime, this bill would impose a state-mandated local program. This bill would make legislative findings and declarations as to the necessity of a special statute for California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, the campus of St. Marys College of California located in the County of Contra Costa, and certain facilities located in the County of San Bernardino.This bill would incorporate additional changes to Section 25503.6 of the Business and Professions Code proposed by SB 392 to be operative only if this bill and SB 392 are enacted and this bill is enacted last.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.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.(ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.SEC. 1.5. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique conditions found on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa, and applicable to certain facilities located in the County of San Bernardino, relating to the fair and efficient application of the alcoholic beverage control licensing laws with respect to eligible facilities on those campuses. SEC. 3. Section 1.5 of this bill incorporates amendments to Section 25503.6 of the Business and Professions Code proposed by both this bill and Senate Bill 392. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2024, (2) each bill amends Section 25503.6 of the Business and Professions Code, and (3) this bill is enacted after Senate Bill 392, in which case Section 1 of this bill shall not become operative.SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
1+Enrolled September 11, 2023 Passed IN Senate September 05, 2023 Passed IN Assembly September 07, 2023 Amended IN Senate August 22, 2023 Amended IN Senate June 28, 2023 Amended IN Senate June 20, 2023 Amended IN Assembly March 23, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 840Introduced by Assembly Member Addis(Coauthors: Assembly Members McCarty and Petrie-Norris)(Coauthors: Senators Laird and Newman)February 14, 2023An act to amend Section 25503.6 of the Business and Professions Code, relating to alcoholic beverages. LEGISLATIVE COUNSEL'S DIGESTAB 840, Addis. Tied-house exceptions: advertising. Existing law, the Alcoholic Beverage Control Act, which is administered by the Department of Alcoholic Beverage Control, regulates the application, issuance, and suspension of alcoholic beverage licenses. Existing law, known as tied-house restrictions, generally prohibits specified licensees, or their officers, directors, or agents, from giving or lending money or a thing of value to a person operating, owning, or maintaining any on-sale premises where alcoholic beverages are sold. In this regard, existing law specifically prohibits paying a retailer for advertising. Existing law creates a variety of exceptions to this prohibition, including permitting specified licensees to purchase advertising space and time from, or on behalf of, an on-sale retail licensee that is an owner, manager, agent or major tenant of the owner, or assignee of the owners advertising rights of certain venues, subject to specified conditions. Existing law requires the purchase of advertising space or time, in this context, to be conducted pursuant to a written contract and, in certain instances, specifically authorizes a contract to be made with the owner, a long-term tenant of the complex, or a licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license. In this context, existing law makes certain acts of coercion crimes, including when an on-sale licensee coerces other specified licensees to purchase advertising space or time. This bill would expand the above-described exception to tied-house restrictions that allows for the purchase of advertising by applying it to various facilities that are situated on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa. The bill would additionally expand the exception applicable to a motorsports entertainment complex located in the County of San Bernardino, by reducing the minimum fixed seating capacity from 50,000 to 25,000. By expanding the definition of a crime, this bill would impose a state-mandated local program. This bill would make legislative findings and declarations as to the necessity of a special statute for California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, the campus of St. Marys College of California located in the County of Contra Costa, and certain facilities located in the County of San Bernardino.This bill would incorporate additional changes to Section 25503.6 of the Business and Professions Code proposed by SB 392 to be operative only if this bill and SB 392 are enacted and this bill is enacted last.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.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.(ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.SEC. 1.5. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique conditions found on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa, and applicable to certain facilities located in the County of San Bernardino, relating to the fair and efficient application of the alcoholic beverage control licensing laws with respect to eligible facilities on those campuses. SEC. 3. Section 1.5 of this bill incorporates amendments to Section 25503.6 of the Business and Professions Code proposed by both this bill and Senate Bill 392. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2024, (2) each bill amends Section 25503.6 of the Business and Professions Code, and (3) this bill is enacted after Senate Bill 392, in which case Section 1 of this bill shall not become operative.SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
22
3- Assembly Bill No. 840 CHAPTER 346An act to amend Section 25503.6 of the Business and Professions Code, relating to alcoholic beverages. [ Approved by Governor October 07, 2023. Filed with Secretary of State October 07, 2023. ] LEGISLATIVE COUNSEL'S DIGESTAB 840, Addis. Tied-house exceptions: advertising. Existing law, the Alcoholic Beverage Control Act, which is administered by the Department of Alcoholic Beverage Control, regulates the application, issuance, and suspension of alcoholic beverage licenses. Existing law, known as tied-house restrictions, generally prohibits specified licensees, or their officers, directors, or agents, from giving or lending money or a thing of value to a person operating, owning, or maintaining any on-sale premises where alcoholic beverages are sold. In this regard, existing law specifically prohibits paying a retailer for advertising. Existing law creates a variety of exceptions to this prohibition, including permitting specified licensees to purchase advertising space and time from, or on behalf of, an on-sale retail licensee that is an owner, manager, agent or major tenant of the owner, or assignee of the owners advertising rights of certain venues, subject to specified conditions. Existing law requires the purchase of advertising space or time, in this context, to be conducted pursuant to a written contract and, in certain instances, specifically authorizes a contract to be made with the owner, a long-term tenant of the complex, or a licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license. In this context, existing law makes certain acts of coercion crimes, including when an on-sale licensee coerces other specified licensees to purchase advertising space or time. This bill would expand the above-described exception to tied-house restrictions that allows for the purchase of advertising by applying it to various facilities that are situated on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa. The bill would additionally expand the exception applicable to a motorsports entertainment complex located in the County of San Bernardino, by reducing the minimum fixed seating capacity from 50,000 to 25,000. By expanding the definition of a crime, this bill would impose a state-mandated local program. This bill would make legislative findings and declarations as to the necessity of a special statute for California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, the campus of St. Marys College of California located in the County of Contra Costa, and certain facilities located in the County of San Bernardino.This bill would incorporate additional changes to Section 25503.6 of the Business and Professions Code proposed by SB 392 to be operative only if this bill and SB 392 are enacted and this bill is enacted last.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.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES
3+ Enrolled September 11, 2023 Passed IN Senate September 05, 2023 Passed IN Assembly September 07, 2023 Amended IN Senate August 22, 2023 Amended IN Senate June 28, 2023 Amended IN Senate June 20, 2023 Amended IN Assembly March 23, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 840Introduced by Assembly Member Addis(Coauthors: Assembly Members McCarty and Petrie-Norris)(Coauthors: Senators Laird and Newman)February 14, 2023An act to amend Section 25503.6 of the Business and Professions Code, relating to alcoholic beverages. LEGISLATIVE COUNSEL'S DIGESTAB 840, Addis. Tied-house exceptions: advertising. Existing law, the Alcoholic Beverage Control Act, which is administered by the Department of Alcoholic Beverage Control, regulates the application, issuance, and suspension of alcoholic beverage licenses. Existing law, known as tied-house restrictions, generally prohibits specified licensees, or their officers, directors, or agents, from giving or lending money or a thing of value to a person operating, owning, or maintaining any on-sale premises where alcoholic beverages are sold. In this regard, existing law specifically prohibits paying a retailer for advertising. Existing law creates a variety of exceptions to this prohibition, including permitting specified licensees to purchase advertising space and time from, or on behalf of, an on-sale retail licensee that is an owner, manager, agent or major tenant of the owner, or assignee of the owners advertising rights of certain venues, subject to specified conditions. Existing law requires the purchase of advertising space or time, in this context, to be conducted pursuant to a written contract and, in certain instances, specifically authorizes a contract to be made with the owner, a long-term tenant of the complex, or a licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license. In this context, existing law makes certain acts of coercion crimes, including when an on-sale licensee coerces other specified licensees to purchase advertising space or time. This bill would expand the above-described exception to tied-house restrictions that allows for the purchase of advertising by applying it to various facilities that are situated on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa. The bill would additionally expand the exception applicable to a motorsports entertainment complex located in the County of San Bernardino, by reducing the minimum fixed seating capacity from 50,000 to 25,000. By expanding the definition of a crime, this bill would impose a state-mandated local program. This bill would make legislative findings and declarations as to the necessity of a special statute for California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, the campus of St. Marys College of California located in the County of Contra Costa, and certain facilities located in the County of San Bernardino.This bill would incorporate additional changes to Section 25503.6 of the Business and Professions Code proposed by SB 392 to be operative only if this bill and SB 392 are enacted and this bill is enacted last.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.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES
44
5- Assembly Bill No. 840 CHAPTER 346
5+ Enrolled September 11, 2023 Passed IN Senate September 05, 2023 Passed IN Assembly September 07, 2023 Amended IN Senate August 22, 2023 Amended IN Senate June 28, 2023 Amended IN Senate June 20, 2023 Amended IN Assembly March 23, 2023
66
7- Assembly Bill No. 840
7+Enrolled September 11, 2023
8+Passed IN Senate September 05, 2023
9+Passed IN Assembly September 07, 2023
10+Amended IN Senate August 22, 2023
11+Amended IN Senate June 28, 2023
12+Amended IN Senate June 20, 2023
13+Amended IN Assembly March 23, 2023
814
9- CHAPTER 346
15+ CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION
16+
17+ Assembly Bill
18+
19+No. 840
20+
21+Introduced by Assembly Member Addis(Coauthors: Assembly Members McCarty and Petrie-Norris)(Coauthors: Senators Laird and Newman)February 14, 2023
22+
23+Introduced by Assembly Member Addis(Coauthors: Assembly Members McCarty and Petrie-Norris)(Coauthors: Senators Laird and Newman)
24+February 14, 2023
1025
1126 An act to amend Section 25503.6 of the Business and Professions Code, relating to alcoholic beverages.
12-
13- [ Approved by Governor October 07, 2023. Filed with Secretary of State October 07, 2023. ]
1427
1528 LEGISLATIVE COUNSEL'S DIGEST
1629
1730 ## LEGISLATIVE COUNSEL'S DIGEST
1831
1932 AB 840, Addis. Tied-house exceptions: advertising.
2033
2134 Existing law, the Alcoholic Beverage Control Act, which is administered by the Department of Alcoholic Beverage Control, regulates the application, issuance, and suspension of alcoholic beverage licenses. Existing law, known as tied-house restrictions, generally prohibits specified licensees, or their officers, directors, or agents, from giving or lending money or a thing of value to a person operating, owning, or maintaining any on-sale premises where alcoholic beverages are sold. In this regard, existing law specifically prohibits paying a retailer for advertising. Existing law creates a variety of exceptions to this prohibition, including permitting specified licensees to purchase advertising space and time from, or on behalf of, an on-sale retail licensee that is an owner, manager, agent or major tenant of the owner, or assignee of the owners advertising rights of certain venues, subject to specified conditions. Existing law requires the purchase of advertising space or time, in this context, to be conducted pursuant to a written contract and, in certain instances, specifically authorizes a contract to be made with the owner, a long-term tenant of the complex, or a licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license. In this context, existing law makes certain acts of coercion crimes, including when an on-sale licensee coerces other specified licensees to purchase advertising space or time. This bill would expand the above-described exception to tied-house restrictions that allows for the purchase of advertising by applying it to various facilities that are situated on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa. The bill would additionally expand the exception applicable to a motorsports entertainment complex located in the County of San Bernardino, by reducing the minimum fixed seating capacity from 50,000 to 25,000. By expanding the definition of a crime, this bill would impose a state-mandated local program. This bill would make legislative findings and declarations as to the necessity of a special statute for California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, the campus of St. Marys College of California located in the County of Contra Costa, and certain facilities located in the County of San Bernardino.This bill would incorporate additional changes to Section 25503.6 of the Business and Professions Code proposed by SB 392 to be operative only if this bill and SB 392 are enacted and this bill is enacted last.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.
2235
2336 Existing law, the Alcoholic Beverage Control Act, which is administered by the Department of Alcoholic Beverage Control, regulates the application, issuance, and suspension of alcoholic beverage licenses. Existing law, known as tied-house restrictions, generally prohibits specified licensees, or their officers, directors, or agents, from giving or lending money or a thing of value to a person operating, owning, or maintaining any on-sale premises where alcoholic beverages are sold. In this regard, existing law specifically prohibits paying a retailer for advertising. Existing law creates a variety of exceptions to this prohibition, including permitting specified licensees to purchase advertising space and time from, or on behalf of, an on-sale retail licensee that is an owner, manager, agent or major tenant of the owner, or assignee of the owners advertising rights of certain venues, subject to specified conditions. Existing law requires the purchase of advertising space or time, in this context, to be conducted pursuant to a written contract and, in certain instances, specifically authorizes a contract to be made with the owner, a long-term tenant of the complex, or a licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license. In this context, existing law makes certain acts of coercion crimes, including when an on-sale licensee coerces other specified licensees to purchase advertising space or time.
2437
2538 This bill would expand the above-described exception to tied-house restrictions that allows for the purchase of advertising by applying it to various facilities that are situated on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa. The bill would additionally expand the exception applicable to a motorsports entertainment complex located in the County of San Bernardino, by reducing the minimum fixed seating capacity from 50,000 to 25,000. By expanding the definition of a crime, this bill would impose a state-mandated local program.
2639
2740 This bill would make legislative findings and declarations as to the necessity of a special statute for California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, the campus of St. Marys College of California located in the County of Contra Costa, and certain facilities located in the County of San Bernardino.
2841
2942 This bill would incorporate additional changes to Section 25503.6 of the Business and Professions Code proposed by SB 392 to be operative only if this bill and SB 392 are enacted and this bill is enacted last.
3043
3144 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.
3245
3346 This bill would provide that no reimbursement is required by this act for a specified reason.
3447
3548 ## Digest Key
3649
3750 ## Bill Text
3851
3952 The people of the State of California do enact as follows:SECTION 1. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.(ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.SEC. 1.5. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique conditions found on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa, and applicable to certain facilities located in the County of San Bernardino, relating to the fair and efficient application of the alcoholic beverage control licensing laws with respect to eligible facilities on those campuses. SEC. 3. Section 1.5 of this bill incorporates amendments to Section 25503.6 of the Business and Professions Code proposed by both this bill and Senate Bill 392. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2024, (2) each bill amends Section 25503.6 of the Business and Professions Code, and (3) this bill is enacted after Senate Bill 392, in which case Section 1 of this bill shall not become operative.SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
4053
4154 The people of the State of California do enact as follows:
4255
4356 ## The people of the State of California do enact as follows:
4457
4558 SECTION 1. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.(ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
4659
4760 SECTION 1. Section 25503.6 of the Business and Professions Code is amended to read:
4861
4962 ### SECTION 1.
5063
5164 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.(ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
5265
5366 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.(ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
5467
5568 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.(ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
5669
5770
5871
5972 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:
6073
6174 (1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:
6275
6376 (A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.
6477
6578 (B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.
6679
6780 (ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.
6881
6982 (C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.
7083
7184 (D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.
7285
7386 (E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.
7487
7588 (F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.
7689
7790 (G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.
7891
7992 (H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.
8093
8194 (I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.
8295
8396 (J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.
8497
8598 (K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.
8699
87100 (L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.
88101
89102 (M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.
90103
91104 (N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.
92105
93106 (ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.
94107
95108 (O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.
96109
97110 (P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.
98111
99112 (Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium.
100113
101114 (ii) Advertising authorized by this subparagraph may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.
102115
103116 (R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.
104117
105118 (S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.
106119
107120 (T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.
108121
109122 (U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.
110123
111124 (V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.
112125
113126 (W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.
114127
115128 (X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.
116129
117130 (Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.
118131
119132 (Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.
120133
121134 (i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.
122135
123136 (ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.
124137
125138 (iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.
126139
127140 (iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.
128141
129142 (v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.
130143
131144 (AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:
132145
133146 (i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.
134147
135148 (ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.
136149
137150 (iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.
138151
139152 (iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.
140153
141154 (v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.
142155
143156 (AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:
144157
145158 (i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.
146159
147160 (ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.
148161
149162 (iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.
150163
151164 (iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.
152165
153166 (AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:
154167
155168 (i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.
156169
157170 (ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.
158171
159172 (iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.
160173
161174 (iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.
162175
163176 (v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.
164177
165178 (AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:
166179
167180 (i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.
168181
169182 (AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:
170183
171184 (i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.
172185
173186 (ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.
174187
175188 (iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.
176189
177190 (iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.
178191
179192 (AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:
180193
181194 (i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.
182195
183196 (ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.
184197
185198 (AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:
186199
187200 (i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.
188201
189202 (ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.
190203
191204 (AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:
192205
193206 (i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.
194207
195208 (ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.
196209
197210 (iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.
198211
199212 (2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.
200213
201214 (3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.
202215
203216 (4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.
204217
205218 (b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:
206219
207220 (1) The on-sale licensee.
208221
209222 (2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.
210223
211224 (3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.
212225
213226 (c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.
214227
215228 (d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.
216229
217230 (e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.
218231
219232 (f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
220233
221234 SEC. 1.5. Section 25503.6 of the Business and Professions Code is amended to read:25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
222235
223236 SEC. 1.5. Section 25503.6 of the Business and Professions Code is amended to read:
224237
225238 ### SEC. 1.5.
226239
227240 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
228241
229242 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
230243
231244 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:(1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:(A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.(B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.(ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.(C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.(D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.(E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.(F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.(G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.(H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.(I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.(J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.(K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.(L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.(M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.(N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.(ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.(O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.(Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.(ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.(R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.(S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.(T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.(U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.(V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.(W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.(X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.(Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.(Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.(i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.(ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.(iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.(iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.(v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.(AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:(i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.(AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:(i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.(AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:(i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.(v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:(i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.(AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:(i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.(ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.(iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.(iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.(AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:(i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.(AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:(i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.(ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.(AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:(i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.(ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.(iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.(2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.(3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.(4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.(b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:(1) The on-sale licensee.(2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.(3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.(c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.(e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.(f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
232245
233246
234247
235248 25503.6. (a) Notwithstanding any other provision of this chapter, a beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, an on-sale retail licensee subject to all of the following conditions:
236249
237250 (1) The on-sale licensee is the owner, manager, agent of the owner, assignee of the owners advertising rights, or the major tenant of the owner of any of the following:
238251
239252 (A) An outdoor stadium or a fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Sacramento or the County of Alameda.
240253
241254 (B) (i) A fully enclosed arena with a fixed seating capacity in excess of 18,000 seats located in the County of Los Angeles.
242255
243256 (ii) An outdoor stadium of at least 70,000 seats located in the County of Los Angeles operated by a joint powers authority.
244257
245258 (C) An outdoor stadium or fully enclosed arena with a fixed seating capacity in excess of 8,500 seats located in the County of Kern.
246259
247260 (D) An exposition park of not less than 50 acres that includes an outdoor stadium with a fixed seating capacity in excess of 8,000 seats and a fully enclosed arena with an attendance capacity in excess of 4,500 people, located in the County of San Bernardino.
248261
249262 (E) An outdoor stadium with a fixed seating capacity in excess of 10,000 seats located in the County of Yolo.
250263
251264 (F) An outdoor stadium and a fully enclosed arena with fixed seating capacities in excess of 10,000 seats located in the County of Fresno.
252265
253266 (G) An athletic and entertainment complex of not less than 50 acres that includes within its boundaries an outdoor stadium with a fixed seating capacity of at least 8,000 seats and a second outdoor stadium with a fixed seating capacity of at least 3,500 seats located in the County of Riverside.
254267
255268 (H) An outdoor stadium with a fixed seating capacity in excess of 1,500 seats located in the County of Tulare.
256269
257270 (I) A motorsports entertainment complex of not less than 50 acres that includes within its boundaries an outdoor speedway with a fixed seating capacity of at least 25,000 seats, located in the County of San Bernardino.
258271
259272 (J) An exposition park, owned or operated by a bona fide nonprofit organization, of not less than 400 acres with facilities including a grandstand with a seating capacity of at least 8,000 people, at least one exhibition hall greater than 100,000 square feet, and at least four exhibition halls, each greater than 30,000 square feet, located in the City of Pomona or the City of La Verne in the County of Los Angeles.
260273
261274 (K) An outdoor soccer stadium with a fixed seating capacity of at least 25,000 seats, an outdoor tennis stadium with a fixed seating capacity of at least 7,000 seats, an outdoor track and field facility with a fixed seating capacity of at least 7,000 seats, and an indoor velodrome with a fixed seating capacity of at least 2,000 seats, all located within a sports and athletic complex built before January 1, 2005, in the City of Carson in the County of Los Angeles.
262275
263276 (L) An outdoor professional sports facility with a fixed seating capacity of at least 4,200 seats located in the County of San Joaquin.
264277
265278 (M) A fully enclosed arena with a fixed seating capacity in excess of 13,000 seats located in the City of Inglewood.
266279
267280 (N) (i) An outdoor stadium with a fixed seating capacity of at least 68,000 seats located in the City of Santa Clara.
268281
269282 (ii) A beer manufacturer, the holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or distilled spirits manufacturers agent may purchase advertising space and time from, or on behalf of, a major tenant of an outdoor stadium described in clause (i), provided the major tenant does not hold a retail license, and the advertising may include the placement of advertising in an on-sale licensed premises operated at the outdoor stadium.
270283
271284 (O) A complex of not more than 50 acres located on the campus of, and owned by, Sonoma State University dedicated to presenting live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances with venues that include a concert hall with a seating capacity of approximately 1,500 seats, a second concert hall with a seating capacity of up to 300 seats, an outdoor area with a seating capacity of up to 5,000 seats, and a further outdoor area with a seating capacity of up to 10,000 seats. With respect to this complex, advertising space and time may also be purchased from or on behalf of the owner of the complex, a long-term tenant or licensee of the venue, whether or not the owner, long-term tenant, or licensee holds an on-sale license.
272285
273286 (P) A fairgrounds with a horse racetrack and equestrian and sports facilities located in the County of San Diego.
274287
275288 (Q) (i) A stadium with a fixed seating capacity of at least 70,000 seats located in the City of Inglewood and a performance venue with a seating capacity of at least 5,000 seats adjacent to the stadium. Advertising authorized by this clause may be placed in areas within the retail, entertainment, commercial, and mixed-use development which includes the stadium and performance venue, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the stadium or performance venue.
276289
277290 (ii) A fully enclosed arena with a seating capacity of at least 18,000 seats located in the City of Inglewood. Advertising authorized by this clause may be placed on or in the fully enclosed arena and within the perimeter of the main entry area immediately adjacent to the arena, which includes an open plaza and band shell, provided that the advertising shall not be placed on or in, or otherwise promote, any permanently licensed retail premises other than the fully enclosed arena or a permanently licensed retail premises located within the main entry area that is wholly owned by and operated by or for the owner of the arena.
278291
279292 (R) An outdoor stadium with a fixed seating capacity of at least 40,000 seats located in the City and County of San Francisco.
280293
281294 (S) An indoor arena with a fixed seating capacity of at least 13,000 seats located in the City and County of San Francisco.
282295
283296 (T) An outdoor stadium with a fixed seating capacity in excess of 20,000 seats located in the City of Los Angeles.
284297
285298 (U) An outdoor stadium with a fixed seating capacity of at least 43,000 seats located in the City of San Diego.
286299
287300 (V) An outdoor professional sports stadium with a fixed seating capacity of at least 3,000 seats located in the City of San Jose.
288301
289302 (W) An outdoor professional sports stadium with a fixed seating capacity of at least 15,000 seats located in the City of San Jose.
290303
291304 (X) A fully enclosed arena with a fixed seating capacity in excess of 4,000 seats located in the City of San Jose.
292305
293306 (Y) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats located in the County of Riverside.
294307
295308 (Z) Any of the following facilities that are situated on the campus of San Diego State University (SDSU), including the SDSU Mission Valley site, located in the County of San Diego.
296309
297310 (i) An outdoor multipurpose stadium with a fixed seating capacity of at least 30,000 seats.
298311
299312 (ii) A fully enclosed arena with a fixed seating capacity in excess of 10,000 seats.
300313
301314 (iii) An outdoor baseball stadium with a fixed seating capacity of at least 1,800 seats.
302315
303316 (iv) An outdoor softball stadium with a fixed seating capacity of at least 300 seats.
304317
305318 (v) An open-air amphitheater with a fixed seating capacity of at least 4,000 seats.
306319
307320 (AA) Any of the following facilities that are situated on the campus of California Polytechnic State University, San Luis Obispo, located in the County of San Luis Obispo:
308321
309322 (i) An outdoor stadium with a fixed seating capacity of at least 11,000 seats.
310323
311324 (ii) A fully enclosed arena with a fixed seating capacity of at least 3,000 seats.
312325
313326 (iii) An outdoor stadium with a fixed seating capacity of at least 3,000 seats.
314327
315328 (iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.
316329
317330 (v) An indoor performing arts venue with two concert halls and a theater with a combined fixed seating capacity of at least 1,800 seats.
318331
319332 (AB) Any of the following facilities that are situated on the campus of California State University, Fresno, located in the County of Fresno:
320333
321334 (i) An outdoor stadium with a fixed seating capacity of at least 40,000 seats.
322335
323336 (ii) An outdoor stadium with a fixed seating capacity of at least 5,000 seats.
324337
325338 (iii) An outdoor stadium with a fixed seating capacity of at least 2,400 seats.
326339
327340 (iv) An outdoor stadium with a fixed seating capacity of at least 2,000 seats.
328341
329342 (AC) Any of the following facilities that are situated on the campus of California State University, Sacramento, located in the County of Sacramento:
330343
331344 (i) An outdoor stadium with a fixed seating capacity of at least 20,000 seats.
332345
333346 (ii) A fully enclosed arena with a fixed seating capacity of at least 1,000 seats.
334347
335348 (iii) An outdoor stadium with a fixed seating capacity of at least 1,200 seats.
336349
337350 (iv) An outdoor stadium with a fixed seating capacity of at least 800 seats.
338351
339352 (v) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.
340353
341354 (AD) The following facility that is situated on the campus of California State University, Monterey Bay, located in the County of Monterey:
342355
343356 (i) An outdoor stadium with a fixed seating capacity of at least 6,000 seats.
344357
345358 (AE) Any of the following facilities that are situated on the campus of California State University, Fullerton, located in the County of Orange:
346359
347360 (i) A fully enclosed arena with a fixed seating capacity of at least 4,000 seats.
348361
349362 (ii) An outdoor stadium with a fixed seating capacity of at least 3,500 seats.
350363
351364 (iii) An outdoor stadium with a fixed seating capacity of at least 1,000 seats.
352365
353366 (iv) An outdoor stadium with a fixed seating capacity of at least 10,000 seats.
354367
355368 (AF) Any of the following facilities that are situated on the campus of San Jose State University, located in the County of Santa Clara:
356369
357370 (i) An outdoor stadium with a fixed seating capacity of at least 17,000 seats.
358371
359372 (ii) A fully enclosed arena with a fixed seating capacity of at least 5,000 seats.
360373
361374 (AG) Any of the following facilities that are situated on the campus of California State University, Northridge, located in the County of Los Angeles:
362375
363376 (i) An indoor performing arts center with a fixed seating capacity of at least 1,700 seats.
364377
365378 (ii) A fully enclosed arena with a fixed seating capacity of at least 2,000 seats.
366379
367380 (AH) Any of the following facilities that are situated on the campus of St. Marys College of California, located in the County of Contra Costa:
368381
369382 (i) A fully enclosed arena with a fixed seating capacity in excess of 3,500 seats located in the Town of Moraga.
370383
371384 (ii) An outdoor stadium with a fixed seating capacity of at least 5,500 seats located in the Town of Moraga.
372385
373386 (iii) An outdoor stadium with a fixed seating capacity of at least 650 seats located in the Town of Moraga.
374387
375388 (2) The outdoor stadium or fully enclosed arena described in paragraph (1) is not owned by a community college district.
376389
377390 (3) The advertising space or time is purchased only in connection with the events to be held on the premises of the exposition park, stadium, or arena owned by the on-sale licensee. With respect to an exposition park as described in subparagraph (J) of paragraph (1) that includes at least one hotel, the advertising space or time shall not be displayed on or in any hotel located in the exposition park, or purchased in connection with the operation of any hotel located in the exposition park. With respect to the complex described in subparagraph (O) of paragraph (1), the advertising space or time shall be purchased only in connection with live artistic, musical, sports, food, beverage, culinary, lifestyle, or other cultural and entertainment events and performances to be held on the premises of the complex. With respect to a fully enclosed arena described in subparagraph (X) of paragraph (1), advertising space or time shall be purchased only for interior advertising in connection with events conducted within the arena.
378391
379392 (4) The on-sale licensee serves other brands of beer distributed by a competing beer wholesaler in addition to the brand manufactured or marketed by the beer manufacturer, other brands of wine distributed by a competing wine wholesaler in addition to the brand produced by the winegrower, and other brands of distilled spirits distributed by a competing distilled spirits wholesaler in addition to the brand manufactured or marketed by the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent that purchased the advertising space or time.
380393
381394 (b) Any purchase of advertising space or time pursuant to subdivision (a) shall be conducted pursuant to a written contract entered into by the beer manufacturer, the holder of the winegrowers license, the rectifier, the craft distiller, the distilled spirits manufacturer, or the distilled spirits manufacturers agent and any of the following:
382395
383396 (1) The on-sale licensee.
384397
385398 (2) With respect to clause (ii) of subparagraph (N) of paragraph (1) of subdivision (a), the major tenant of the outdoor stadium.
386399
387400 (3) With respect to subparagraphs (O), (Q), (R), (T), (Y), (Z), (AA), (AB), (AC), (AD), (AE), (AF), (AG), and (AH) of paragraph (1) of subdivision (a), the owner, a long-term tenant of the complex, or licensee of the complex, whether or not the owner, long-term tenant, or licensee holds an on-sale license.
388401
389402 (c) Any beer manufacturer or holder of a winegrowers license, any rectifier, any craft distiller, any distilled spirits manufacturer, or any distilled spirits manufacturers agent who, through coercion or other illegal means, induces, directly or indirectly, a holder of a wholesalers license to fulfill all or part of those contractual obligations entered into pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space, time, or costs involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.
390403
391404 (d) Any on-sale retail licensee, as described in subdivision (a), who, directly or indirectly, solicits or coerces a holder of a wholesalers license to solicit a beer manufacturer, a holder of a winegrowers license, a rectifier, a craft distiller, a distilled spirits manufacturer, or a distilled spirits manufacturers agent to purchase advertising space or time pursuant to subdivision (a) or (b) shall be guilty of a misdemeanor and shall be punished by imprisonment in the county jail not exceeding six months, or by a fine in an amount equal to the entire value of the advertising space or time involved in the contract, whichever is greater, plus ten thousand dollars ($10,000), or by both imprisonment and fine. The person shall also be subject to license revocation pursuant to Section 24200.
392405
393406 (e) For the purposes of this section, beer manufacturer includes any holder of a beer manufacturers license, any holder of an out-of-state beer manufacturers certificate, or any holder of a beer and wine importers general license.
394407
395408 (f) The Legislature finds that it is necessary and proper to require a separation among manufacturing interests, wholesale interests, and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages produced by overly aggressive marketing techniques. The Legislature further finds that the exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and intends that this section be construed accordingly.
396409
397410 SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique conditions found on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa, and applicable to certain facilities located in the County of San Bernardino, relating to the fair and efficient application of the alcoholic beverage control licensing laws with respect to eligible facilities on those campuses.
398411
399412 SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique conditions found on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa, and applicable to certain facilities located in the County of San Bernardino, relating to the fair and efficient application of the alcoholic beverage control licensing laws with respect to eligible facilities on those campuses.
400413
401414 SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique conditions found on California State University campuses located in the Counties of San Luis Obispo, Fresno, Sacramento, Monterey, Orange, Santa Clara, and Los Angeles, and on the campus of St. Marys College of California located in the County of Contra Costa, and applicable to certain facilities located in the County of San Bernardino, relating to the fair and efficient application of the alcoholic beverage control licensing laws with respect to eligible facilities on those campuses.
402415
403416 ### SEC. 2.
404417
405418 SEC. 3. Section 1.5 of this bill incorporates amendments to Section 25503.6 of the Business and Professions Code proposed by both this bill and Senate Bill 392. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2024, (2) each bill amends Section 25503.6 of the Business and Professions Code, and (3) this bill is enacted after Senate Bill 392, in which case Section 1 of this bill shall not become operative.
406419
407420 SEC. 3. Section 1.5 of this bill incorporates amendments to Section 25503.6 of the Business and Professions Code proposed by both this bill and Senate Bill 392. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2024, (2) each bill amends Section 25503.6 of the Business and Professions Code, and (3) this bill is enacted after Senate Bill 392, in which case Section 1 of this bill shall not become operative.
408421
409422 SEC. 3. Section 1.5 of this bill incorporates amendments to Section 25503.6 of the Business and Professions Code proposed by both this bill and Senate Bill 392. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2024, (2) each bill amends Section 25503.6 of the Business and Professions Code, and (3) this bill is enacted after Senate Bill 392, in which case Section 1 of this bill shall not become operative.
410423
411424 ### SEC. 3.
412425
413426 SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
414427
415428 SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
416429
417430 SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
418431
419432 ### SEC. 4.