STATE OF NEW YORK ________________________________________________________________________ 6765 2023-2024 Regular Sessions IN SENATE May 9, 2023 ___________ Introduced by Sen. SKOUFIS -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Govern- ment Operations AN ACT to amend the alcoholic beverage control law, in relation to establishing a brand owner's license The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 3 of section 17 of the alcoholic beverage 2 control law, as amended by section 8 of chapter 522 of the laws of 2018, 3 is amended to read as follows: 4 3. To revoke, cancel or suspend for cause any license or permit issued 5 under this chapter and/or to impose a civil penalty for cause against 6 any holder of a license or permit issued pursuant to this chapter. Any 7 civil penalty so imposed shall not exceed the sum of ten thousand 8 dollars as against the holder of any retail permit issued pursuant to 9 sections ninety-five, ninety-seven, ninety-eight, ninety-nine-d, and 10 paragraph f of subdivision one of section ninety-nine-b of this chapter, 11 and as against the holder of any retail license issued pursuant to 12 sections fifty-three-a, fifty-four, fifty-four-a, fifty-five, fifty- 13 five-a, sixty-three, sixty-four, sixty-four-a, sixty-four-b, 14 sixty-four-c, seventy-six-f, seventy-nine, eighty-one and eighty-one-a 15 of this chapter, and the sum of thirty thousand dollars as against the 16 holder of a license issued pursuant to sections thirty, thirty-one, 17 fifty-three, sixty-one-a, sixty-one-b, sixty-one-c, seventy-six, seven- 18 ty-six-a, and seventy-eight of this chapter, provided that the civil 19 penalty against the holder of a wholesale license issued pursuant to 20 section fifty-three of this chapter shall not exceed the sum of ten 21 thousand dollars where that licensee violates provisions of this chapter 22 during the course of the sale of beer at retail to a person for consump- 23 tion at home, and the sum of one hundred thousand dollars as against the 24 holder of any license issued pursuant to sections fifty-one, sixty-one, EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD11143-02-3
S. 6765 2 1 and sixty-two of this chapter. Any civil penalty so imposed shall be in 2 addition to and separate and apart from the terms and provisions of the 3 bond required pursuant to section one hundred twelve of this chapter. 4 Provided that no appeal is pending on the imposition of such civil 5 penalty, in the event such civil penalty imposed by the division remains 6 unpaid, in whole or in part, more than forty-five days after written 7 demand for payment has been sent by first class mail to the address of 8 the licensed premises, a notice of impending default judgment shall be 9 sent by first class mail to the licensed premises and by first class 10 mail to the last known home address of the person who signed the most 11 recent license application. The notice of impending default judgment 12 shall advise the licensee: (a) that a civil penalty was imposed on the 13 licensee; (b) the date the penalty was imposed; (c) the amount of the 14 civil penalty; (d) the amount of the civil penalty that remains unpaid 15 as of the date of the notice; (e) the violations for which the civil 16 penalty was imposed; and (f) that a judgment by default will be entered 17 in the supreme court of the county in which the licensed premises are 18 located, or other court of civil jurisdiction or any other place 19 provided for the entry of civil judgments within the state of New York 20 unless the division receives full payment of all civil penalties due 21 within twenty days of the date of the notice of impending default judg- 22 ment. If full payment shall not have been received by the division with- 23 in thirty days of mailing of the notice of impending default judgment, 24 the division shall proceed to enter with such court a statement of the 25 default judgment containing the amount of the penalty or penalties 26 remaining due and unpaid, along with proof of mailing of the notice of 27 impending default judgment. The filing of such judgment shall have the 28 full force and effect of a default judgment duly docketed with such 29 court pursuant to the civil practice law and rules and shall in all 30 respects be governed by that chapter and may be enforced in the same 31 manner and with the same effect as that provided by law in respect to 32 execution issued against property upon judgments of a court of record. A 33 judgment entered pursuant to this subdivision shall remain in full force 34 and effect for eight years notwithstanding any other provision of law. 35 § 2. Subdivision 3 of section 17 of the alcoholic beverage control 36 law, as amended by section 9 of chapter 522 of the laws of 2018, is 37 amended to read as follows: 38 3. To revoke, cancel or suspend for cause any license or permit issued 39 under this chapter and/or to impose a civil penalty for cause against 40 any holder of a license or permit issued pursuant to this chapter. Any 41 civil penalty so imposed shall not exceed the sum of ten thousand 42 dollars as against the holder of any retail permit issued pursuant to 43 sections ninety-five, ninety-seven, ninety-eight, ninety-nine-d, and 44 paragraph f of subdivision one of section ninety-nine-b of this chapter, 45 and as against the holder of any retail license issued pursuant to 46 sections fifty-three-a, fifty-four, fifty-four-a, fifty-five, fifty- 47 five-a, sixty-three, sixty-four, sixty-four-a, sixty-four-b, 48 sixty-four-c, seventy-six-f, seventy-nine, eighty-one, and eighty-one-a 49 of this chapter, and the sum of thirty thousand dollars as against the 50 holder of a license issued pursuant to sections thirty, thirty-one, 51 fifty-three, sixty-one-a, sixty-one-b, sixty-one-c, seventy-six, seven- 52 ty-six-a and seventy-eight of this chapter, provided that the civil 53 penalty against the holder of a wholesale license issued pursuant to 54 section fifty-three of this chapter shall not exceed the sum of ten 55 thousand dollars where that licensee violates provisions of this chapter 56 during the course of the sale of beer at retail to a person for consump-
S. 6765 3 1 tion at home, and the sum of one hundred thousand dollars as against the 2 holder of any license issued pursuant to sections fifty-one, sixty-one 3 and sixty-two of this chapter. Any civil penalty so imposed shall be in 4 addition to and separate and apart from the terms and provisions of the 5 bond required pursuant to section one hundred twelve of this chapter. 6 Provided that no appeal is pending on the imposition of such civil 7 penalty, in the event such civil penalty imposed by the division remains 8 unpaid, in whole or in part, more than forty-five days after written 9 demand for payment has been sent by first class mail to the address of 10 the licensed premises, a notice of impending default judgment shall be 11 sent by first class mail to the licensed premises and by first class 12 mail to the last known home address of the person who signed the most 13 recent license application. The notice of impending default judgment 14 shall advise the licensee: (a) that a civil penalty was imposed on the 15 licensee; (b) the date the penalty was imposed; (c) the amount of the 16 civil penalty; (d) the amount of the civil penalty that remains unpaid 17 as of the date of the notice; (e) the violations for which the civil 18 penalty was imposed; and (f) that a judgment by default will be entered 19 in the supreme court of the county in which the licensed premises are 20 located, or other court of civil jurisdiction, or any other place 21 provided for the entry of civil judgments within the state of New York 22 unless the division receives full payment of all civil penalties due 23 within twenty days of the date of the notice of impending default judg- 24 ment. If full payment shall not have been received by the division with- 25 in thirty days of mailing of the notice of impending default judgment, 26 the division shall proceed to enter with such court a statement of the 27 default judgment containing the amount of the penalty or penalties 28 remaining due and unpaid, along with proof of mailing of the notice of 29 impending default judgment. The filing of such judgment shall have the 30 full force and effect of a default judgment duly docketed with such 31 court pursuant to the civil practice law and rules and shall in all 32 respects be governed by that chapter and may be enforced in the same 33 manner and with the same effect as that provided by law in respect to 34 execution issued against property upon judgments of a court of record. A 35 judgment entered pursuant to this subdivision shall remain in full force 36 and effect for eight years notwithstanding any other provision of law. 37 § 3. The alcoholic beverage control law is amended by adding a new 38 section 61-c to read as follows: 39 § 61-c. Brand owner's license. Any person with a federal basic permit 40 may apply to the liquor authority for a brand owner's license. Such 41 license shall authorize the holder thereof to: 42 1. contract with a licensed manufacturer of alcoholic beverages in 43 this state for the purposes of manufacturing such products; 44 2. appoint a licensed wholesaler authorized to sell and deliver alco- 45 holic beverages in this state as exclusive brand agent for the purposes 46 of soliciting, negotiating, and receiving payments for the sale of alco- 47 holic beverages to retail licensees for on-premises or off-premises 48 consumption; and 49 3. sell such alcoholic beverages to licensed wholesalers authorized to 50 sell and deliver alcoholic beverages in this state appointed as exclu- 51 sive brand agent and be remitted payments for such sales. 52 § 4. Section 66 of the alcoholic beverage control law is amended by 53 adding a new subdivision 3-b to read as follows: 54 3-b. The annual fee for a brand owner's license shall be one hundred 55 twenty-five dollars.
S. 6765 4 1 § 5. This act shall take effect immediately; provided, however, that 2 the amendments to subdivision 3 of section 17 of the alcoholic beverage 3 control law made by section one of this act shall be subject to the 4 expiration and reversion of such section pursuant to section 4 of chap- 5 ter 118 of the laws of 2012, as amended, when upon such date section two 6 of this act shall take effect.