Texas 2021 - 87th Regular

Texas House Bill HB3946 Compare Versions

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11 By: Goldman H.B. No. 3946
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44 A BILL TO BE ENTITLED
55 AN ACT
66 relating to prohibited relationships between holders of certain
77 alcoholic beverage licenses and permits.
88 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
99 SECTION 1. Section 102.04(b), Alcoholic Beverage Code, is
1010 amended to read as follows:
1111 (b) Except as permitted in Section 23.01 [of this code], no
1212 person to whom this section applies may:
1313 (1) have a direct or indirect interest in the
1414 business, premises, equipment, or fixtures of a mixed beverage
1515 establishment;
1616 (2) furnish or lend any money, service, or other thing
1717 of value to a mixed beverage permittee or guarantee the fulfillment
1818 of a financial obligation of a mixed beverage permittee;
1919 (3) enter or offer to enter into an agreement,
2020 condition, or system which in effect amounts to the shipment and
2121 delivery of alcoholic beverages on consignment;
2222 (4) furnish, rent, lend, or sell to a mixed beverage
2323 permittee any equipment, fixtures, or supplies used in the selling
2424 or dispensing of alcoholic beverages;
2525 (5) pay or make an allowance to a mixed beverage
2626 permittee for a special advertising or distributing service [, or
2727 allow the permittee an excessive discount];
2828 (6) offer to a mixed beverage permittee a prize,
2929 premium, or other inducement, except as permitted by Section
3030 102.07(b) [of this code]; or
3131 (7) advertise in the convention program or sponsor a
3232 function at a meeting or convention or a trade association of
3333 holders of mixed beverage permits, unless the trade association was
3434 incorporated before 1950.
3535 SECTION 2. Section 102.07, Alcoholic Beverage Code, is
3636 amended by amending Subsection (a) and adding Subsection (a-1) to
3737 read as follows:
3838 (a) Except as provided in Subsections (a-1), (b), (d), and
3939 (g), a [no] person who owns or has an interest in the business of a
4040 distiller, brewer, rectifier, wholesaler, class B wholesaler,
4141 winery, or wine bottler, or [nor] the agent, servant, or employee of
4242 such a person, may not:
4343 (1) own or have a direct or indirect interest in the
4444 business, premises, equipment, or fixtures of a retailer;
4545 (2) furnish, give, or lend any money, service, or
4646 thing of value to a retailer;
4747 (3) guarantee a financial obligation of a retailer;
4848 (4) make or offer to enter an agreement, condition, or
4949 system which will in effect amount to the shipment and delivery of
5050 alcoholic beverages on consignment;
5151 (5) furnish, give, rent, lend, or sell to a retail
5252 dealer any equipment, fixtures, or supplies to be used in selling or
5353 dispensing alcoholic beverages, except that alcoholic beverages
5454 may be packaged in combination with other items if the package is
5555 designed to be delivered intact to the ultimate consumer and the
5656 additional items have no value or benefit to the retailer other than
5757 that of having the potential of attracting purchases and promoting
5858 sales;
5959 (6) pay or make an allowance to a retailer for a
6060 special advertising or distribution service; or
6161 (7) [allow an excessive discount to a retailer; or
6262 [(8)] offer a prize, premium, gift, or similar
6363 inducement to a retailer or to the agent, servant, or employee of a
6464 retailer.
6565 (a-1) For purposes of Subsection (a)(7), transportation
6666 provided by a manufacturer subject to Subsection (a) to a retailer
6767 or retailer's agent, servant, or employee to attend an educational
6868 program at the manufacturer's facility is not considered an
6969 inducement unless the manufacturer prohibits a retailer or
7070 retailer's agent, servant, or employee who accepts the
7171 transportation from selling a product of a competitor of the
7272 manufacturer.
7373 SECTION 3. Section 102.07(c), Alcoholic Beverage Code, is
7474 repealed.
7575 SECTION 4. This Act takes effect September 1, 2021.