SLS 21RS-406 ENGROSSED
2021 Regular Session
SENATE CONCURRENT RESOL UTION NO. 31
BY SENATOR HENRY
ALCOHOLIC BEVERAGES. Directs office of alcohol and tobacco control to amend
administrative rules relative to the prohibition of certain unfair business practices.
1 A CONCURRENT RESOL UTION
2 To direct the Department of Revenue, office of alcohol and tobacco control, to amend
3 administrative rules Title 55, Part VII, Chapter 3, Section 317(C)(2)(a)(ii) and (b)(iii)
4 of the Louisiana Administrative Code to provide relative to equipment and product
5 displays that an alcoholic beverage manufacturer may furnish, or cause to be
6 furnished, to a retail dealer in order to provide for the storage, display, proper
7 dispensing, and advertisement of the manufacturer's products.
8 WHEREAS, the furnishment of equipment and product displays by alcoholic
9 beverage liquor manufacturers to retail dealers in order to provide for the storage, display,
10 proper dispensing, and advertisement of a manufacturer's products is restricted by the office
11 of alcohol and tobacco control via administrative regulation; and
12 WHEREAS, the provisions of the administrative regulation restricting the
13 furnishment of equipment have not been updated since June of 1991; and
14 WHEREAS, the legislature recognizes that it is common industry practice to display
15 and sell alcoholic beverages in racks, bins, barrels, casks, shelving, and the like with
16 substantial advertising matter, and for these displays to be furnished by liquor manufacturers
17 to retail dealers; and
18 WHEREAS, the legislature recognizes that it is common industry practice to display
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1 and sell alcoholic beverages in refrigerated coolers and common practice for such
2 refrigerated coolers to bear substantial advertising matter; and
3 WHEREAS, the legislature recognizes no threat to public safety or wellbeing for
4 branded refrigerated coolers to be furnished by liquor manufacturers to retail dealers
5 alongside other currently permitted equipment and product displays.
6 THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby
7 direct the Department of Revenue, office of alcohol and tobacco control, to amend
8 administrative rules Title 55, Part VII, Chapter 3, Section 317(C)(2)(a)(ii) and (b)(iii) of the
9 Louisiana Administrative Code to read as follows:
10 ยง317. Prohibition of Certain Unfair Business Practices
11 * * *
12 C. Marketing and Sale of Alcoholic Beverages in Louisiana
13 * * *
14 2. Exceptions
15 a. Equipment
16 * * *
17 ii.(aa) Accessories such as carbon dioxide gas tanks, regulators, and other
18 draught equipment accessories with a reasonable open market price of more than $5
19 but less than $200 per item must be sold to retailers at a price no less than the cost
20 to the industry member as defined herein. Such sales shall be made for cash only.
21 (bb) Refrigerated coolers which serve only as a temperature-controlled
22 product display for spirituous liquor and which have a reasonable open market
23 price of less than $155 and which bear advertising of a spirituous liquor product
24 that is conspicuous, substantial, and permanently inscribed or securely affixed
25 may be given, loaned, or sold to a retailer by a manufacturer at a price no less
26 than the cost to the manufacturer.
27 * * *
28 b. Inside Signs
29 * * *
30 iii. Product displays may be furnished by an industry member to a retailer,
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1 provided that the total value of all product displays furnished by an industry member
2 may not exceed $155 per brand in use at any one time in any one retail
3 establishment. Product display are racks, bins, barrels, casks, shelving, refrigerated
4 coolers that are furnished by manufacturers, and the like from which alcoholic
5 beverages are displayed or sold. Product displays shall bear conspicuous and
6 substantial advertising matter.
7 * * *
8 BE IT FURTHER RESOLVED that the commissioner of the office of alcohol and
9 tobacco control is hereby directed to allow refrigerated coolers along with other equipment
10 and displays as provided for in LAC 55:VII.317(C)(2)(a)(ii) and (b)(iii) on the effective date
11 of this Resolution.
12 BE IT FURTHER RESOLVED that a copy of this Resolution shall be transmitted
13 to the Department of Revenue, office of alcohol and tobacco control.
The original instrument was prepared by Jerry J. Guillot. The following
digest, which does not constitute a part of the legislative instrument, was
prepared by Alan Miller.
DIGEST
SCR 31 Engrossed 2021 Regular Session Henry
Directs the Department of Revenue, office of alcohol and tobacco control, to:
(1) Change the exception to the rule regarding the prohibition of certain unfair business
practices as it relates to marketing and sale of alcoholic beverages in La. to include
refrigerated coolers which serve only as a temperature-controlled product display for
spirituous liquor and which have a reasonable open market price of less than $155
and which bear advertising of a spirituous liquor product that is conspicuous,
substantial, and permanently inscribed or securely affixed.
(2)Provide that the refrigerated coolers may be given, loaned, or sold to a retailer by a
manufacturer at a price no less than the cost to the manufacturer.
(3)Describe product displays that may be furnished by an industry member to a retailer
to include refrigerated coolers furnished by manufacturers.
Directs the commissioner of the ATC to allow refrigerated coolers along with other
equipment and displays on the effective date of this Resolution.
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Judiciary B to the
original bill
1. Clarifies that exception for coolers is limited to coolers from alcohol
beverage manufacturers.
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