1 | 1 | | S.B. No. 1322 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | AN ACT |
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5 | 5 | | relating to the purchase and sale of vintage distilled spirits by |
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6 | 6 | | the holder of a package store permit or local distributor's permit. |
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7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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8 | 8 | | SECTION 1. Section 1.04, Alcoholic Beverage Code, is |
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9 | 9 | | amended by adding Subdivisions (30) and (31) to read as follows: |
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10 | 10 | | (30) "Vintage distilled spirits" means distilled |
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11 | 11 | | spirits that: |
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12 | 12 | | (A) are in the original manufacturer's sealed |
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13 | 13 | | container, including a bottle or case of bottles; |
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14 | 14 | | (B) are not owned by the holder of a distiller's |
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15 | 15 | | and rectifier's permit or the holder of a nonresident seller's |
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16 | 16 | | permit; |
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17 | 17 | | (C) are not otherwise available for purchase from |
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18 | 18 | | the holder of a wholesaler's permit; |
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19 | 19 | | (D) have not been offered for sale by the holder |
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20 | 20 | | of a wholesaler's permit within the preceding five years; and |
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21 | 21 | | (E) are possessed by a person in this state. |
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22 | 22 | | (31) "Vintage distilled spirits seller" means a person |
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23 | 23 | | who: |
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24 | 24 | | (A) is at least 21 years of age; |
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25 | 25 | | (B) does not hold a license or permit under this |
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26 | 26 | | code; and |
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27 | 27 | | (C) is: |
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28 | 28 | | (i) an administrator, executor, receiver, |
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29 | 29 | | or other fiduciary who receives and sells vintage distilled spirits |
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30 | 30 | | in execution of the person's fiduciary capacity; |
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31 | 31 | | (ii) a creditor who receives or takes |
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32 | 32 | | possession of vintage distilled spirits as security for, or in |
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33 | 33 | | payment of, debt, in whole or in part; |
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34 | 34 | | (iii) a public officer or court official |
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35 | 35 | | who levies on vintage distilled spirits under order or process of |
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36 | 36 | | any court or magistrate to sell the vintage distilled spirits in |
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37 | 37 | | satisfaction of the order or process; or |
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38 | 38 | | (iv) any other person who does not hold or |
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39 | 39 | | have an interest in a permit or a license or in the business of a |
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40 | 40 | | permit or license holder under this code and is not engaged in the |
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41 | 41 | | business of selling alcoholic beverages. |
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42 | 42 | | SECTION 2. Section 22.01, Alcoholic Beverage Code, is |
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43 | 43 | | amended to read as follows: |
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44 | 44 | | Sec. 22.01. AUTHORIZED ACTIVITIES. The holder of a package |
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45 | 45 | | store permit may: |
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46 | 46 | | (1) purchase liquor in this state from the holder of a |
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47 | 47 | | winery, wholesaler's, or class B wholesaler's permit; |
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48 | 48 | | (2) purchase malt beverages in this state from the |
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49 | 49 | | holder of a general or branch distributor's license; |
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50 | 50 | | (3) sell liquor and malt beverages in unbroken |
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51 | 51 | | original containers on or from the holder's licensed premises at |
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52 | 52 | | retail to consumers for off-premises consumption only and not for |
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53 | 53 | | the purpose of resale, except that if the permittee is a hotel, the |
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54 | 54 | | permittee may deliver unbroken packages of liquor and malt |
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55 | 55 | | beverages to bona fide guests of the hotel in their rooms for |
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56 | 56 | | consumption in their rooms; |
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57 | 57 | | (4) sell vinous liquors in original containers of not |
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58 | 58 | | less than six ounces; [and] |
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59 | 59 | | (5) sell liquor to holders of passenger transportation |
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60 | 60 | | permits as provided in Section 48.03; and |
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61 | 61 | | (6) purchase and sell vintage distilled spirits as |
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62 | 62 | | provided in Section 22.19. |
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63 | 63 | | SECTION 3. Chapter 22, Alcoholic Beverage Code, is amended |
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64 | 64 | | by adding Section 22.19 to read as follows: |
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65 | 65 | | Sec. 22.19. PURCHASE AND SALE OF VINTAGE DISTILLED SPIRITS. |
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66 | 66 | | (a) The holder of a package store permit may purchase vintage |
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67 | 67 | | distilled spirits from a vintage distilled spirits seller. |
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68 | 68 | | (b) A vintage distilled spirits seller may sell to the |
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69 | 69 | | holder of a package store permit, for each permitted premises, not |
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70 | 70 | | more than 24 containers of vintage distilled spirits during any |
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71 | 71 | | 12-month period. |
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72 | 72 | | (c) The holder of a package store permit shall maintain a |
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73 | 73 | | record of each purchase of vintage distilled spirits until the |
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74 | 74 | | second anniversary of the date the vintage distilled spirits are |
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75 | 75 | | purchased and provide the record to the commission on request. The |
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76 | 76 | | record must include the following information: |
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77 | 77 | | (1) the permit holder's name, address, permit number, |
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78 | 78 | | and phone number; |
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79 | 79 | | (2) the vintage distilled spirits seller's name, |
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80 | 80 | | address, and phone number; |
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81 | 81 | | (3) the brand name and quantity of each vintage |
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82 | 82 | | distilled spirits container purchased; |
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83 | 83 | | (4) the date of the purchase; and |
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84 | 84 | | (5) the number of containers of vintage distilled |
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85 | 85 | | spirits the permit holder has previously purchased from the vintage |
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86 | 86 | | distilled spirits seller and the dates of those purchases. |
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87 | 87 | | (d) A package store permit holder may sell vintage distilled |
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88 | 88 | | spirits to consumers for off-premises consumption only and to |
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89 | 89 | | holders of passenger transportation permits as provided in Section |
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90 | 90 | | 48.03. |
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91 | 91 | | (e) Any holder of a package store permit who is injured in |
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92 | 92 | | the permittee's business or property by a vintage distilled spirits |
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93 | 93 | | seller by the sale of forged, adulterated, or counterfeit vintage |
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94 | 94 | | distilled spirits to the permittee may institute suit in any |
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95 | 95 | | district court in the county in which the violation is alleged to |
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96 | 96 | | have occurred to require enforcement by injunctive procedures and |
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97 | 97 | | to recover triple damages plus costs of suit including reasonable |
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98 | 98 | | attorney's fees. |
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99 | 99 | | SECTION 4. Section 23.01(a), Alcoholic Beverage Code, is |
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100 | 100 | | amended to read as follows: |
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101 | 101 | | (a) The holder of a local distributor's permit may: |
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102 | 102 | | (1) purchase alcoholic beverages, including malt |
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103 | 103 | | beverages, from wholesalers and distributors authorized to sell |
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104 | 104 | | them for resale, but may purchase only those brands available for |
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105 | 105 | | general distribution to all local distributor's permittees; |
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106 | 106 | | (2) sell and distribute the alcoholic beverages, |
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107 | 107 | | including malt beverages, to mixed beverage and private club |
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108 | 108 | | registration permittees; |
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109 | 109 | | (3) sell and distribute distilled spirits to the |
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110 | 110 | | holder of a nonprofit entity temporary event permit; [and] |
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111 | 111 | | (4) rent or sell to mixed beverage and private club |
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112 | 112 | | registration permittees any equipment, fixtures, or supplies used |
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113 | 113 | | in the selling or dispensing of distilled spirits; and |
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114 | 114 | | (5) purchase and sell vintage distilled spirits as |
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115 | 115 | | provided by Section 23.07. |
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116 | 116 | | SECTION 5. Chapter 23, Alcoholic Beverage Code, is amended |
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117 | 117 | | by adding Section 23.07 to read as follows: |
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118 | 118 | | Sec. 23.07. PURCHASE AND SALE OF VINTAGE DISTILLED SPIRITS. |
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119 | 119 | | (a) The holder of a local distributor's permit may purchase vintage |
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120 | 120 | | distilled spirits from a vintage distilled spirits seller. |
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121 | 121 | | (b) A vintage distilled spirits seller may sell to the |
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122 | 122 | | holder of a local distributor's permit, for each permitted |
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123 | 123 | | premises, not more than 24 containers of vintage distilled spirits |
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124 | 124 | | during any 12-month period. |
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125 | 125 | | (c) The holder of a local distributor's permit shall |
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126 | 126 | | maintain a record of each purchase of vintage distilled spirits |
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127 | 127 | | until the second anniversary of the date the vintage distilled |
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128 | 128 | | spirits are purchased and provide the record to the commission on |
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129 | 129 | | request. The record must include the following information: |
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130 | 130 | | (1) the permit holder's name, address, permit number, |
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131 | 131 | | and phone number; |
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132 | 132 | | (2) the vintage distilled spirits seller's name, |
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133 | 133 | | address, and phone number; |
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134 | 134 | | (3) the brand name and quantity of each vintage |
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135 | 135 | | distilled spirits container purchased; |
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136 | 136 | | (4) the date of the purchase; and |
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137 | 137 | | (5) the number of containers of vintage distilled |
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138 | 138 | | spirits the permit holder has previously purchased from the vintage |
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139 | 139 | | distilled spirits seller and the dates of those purchases. |
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140 | 140 | | (d) A local distributor's permit holder may sell to the |
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141 | 141 | | holder of a mixed beverage permit not more than six containers of |
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142 | 142 | | vintage distilled spirits during any 12-month period. |
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143 | 143 | | (e) Any holder of a local distributor's permit who is |
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144 | 144 | | injured in the permittee's business or property by a vintage |
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145 | 145 | | distilled spirits seller by the sale of forged, adulterated, or |
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146 | 146 | | counterfeit vintage distilled spirits to the permittee may |
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147 | 147 | | institute suit in any district court in the county in which the |
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148 | 148 | | violation is alleged to have occurred to require enforcement by |
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149 | 149 | | injunctive procedures and to recover triple damages plus costs of |
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150 | 150 | | suit including reasonable attorney's fees. |
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151 | 151 | | SECTION 6. Section 28.07(a), Alcoholic Beverage Code, is |
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152 | 152 | | amended to read as follows: |
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153 | 153 | | (a) All distilled spirits and vintage distilled spirits |
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154 | 154 | | sold by a holder of a mixed beverage permit must be purchased from a |
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155 | 155 | | holder of a local distributor's permit in the county in which the |
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156 | 156 | | premises of a mixed beverage permittee is located. |
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157 | 157 | | SECTION 7. Section 103.10, Alcoholic Beverage Code, is |
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158 | 158 | | amended to read as follows: |
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159 | 159 | | Sec. 103.10. EXERCISE OF DISCRETION IN CASE OF MISTAKE. (a) |
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160 | 160 | | The preceding sections of this subchapter shall not be construed as |
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161 | 161 | | preventing the commission from exercising its discretion if illicit |
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162 | 162 | | alcoholic beverages are seized as the result of an accidental |
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163 | 163 | | shipment or other reasonable mistake. Under those circumstances, |
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164 | 164 | | the commission may issue orders and make disposition of the |
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165 | 165 | | alcoholic beverages as it finds just and reasonable. |
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166 | 166 | | (b) It is a defense to prosecution or to the imposition of a |
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167 | 167 | | civil or administrative penalty for a violation under this chapter |
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168 | 168 | | that: |
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169 | 169 | | (1) the holder of a package store permit or the holder |
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170 | 170 | | of a local distributor's permit: |
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171 | 171 | | (A) purchased an illicit beverage from a vintage |
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172 | 172 | | distilled spirits seller under Section 22.19 or 23.07 in good |
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173 | 173 | | faith; |
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174 | 174 | | (B) reasonably believed the illicit beverage was |
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175 | 175 | | vintage distilled spirits at all times the beverage was in the |
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176 | 176 | | permit holder's possession; and |
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177 | 177 | | (C) sold the illicit beverage to an authorized |
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178 | 178 | | purchaser in good faith; and |
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179 | 179 | | (2) an authorized purchaser, to whom the holder of a |
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180 | 180 | | package store permit or local distributor's permit sold an illicit |
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181 | 181 | | beverage, reasonably believed the beverage was vintage distilled |
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182 | 182 | | spirits and not an illicit beverage. |
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183 | 183 | | SECTION 8. Section 201.08(a), Alcoholic Beverage Code, is |
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184 | 184 | | amended to read as follows: |
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185 | 185 | | (a) No tax may be collected on liquor: |
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186 | 186 | | (1) shipped out of state for consumption outside the |
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187 | 187 | | state; [or] |
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188 | 188 | | (2) sold aboard a ship for ship's supplies; or |
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189 | 189 | | (3) sold as vintage distilled spirits. |
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190 | 190 | | SECTION 9. This Act takes effect September 1, 2023. |
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191 | 191 | | ______________________________ ______________________________ |
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192 | 192 | | President of the Senate Speaker of the House |
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193 | 193 | | I hereby certify that S.B. No. 1322 passed the Senate on |
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194 | 194 | | April 24, 2023, by the following vote: Yeas 28, Nays 1, |
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195 | 195 | | one present not voting. |
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196 | 196 | | ______________________________ |
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197 | 197 | | Secretary of the Senate |
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198 | 198 | | I hereby certify that S.B. No. 1322 passed the House on |
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199 | 199 | | May 6, 2023, by the following vote: Yeas 134, Nays 3, |
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200 | 200 | | one present not voting. |
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201 | 201 | | ______________________________ |
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202 | 202 | | Chief Clerk of the House |
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203 | 203 | | Approved: |
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204 | 204 | | ______________________________ |
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205 | 205 | | Date |
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206 | 206 | | ______________________________ |
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207 | 207 | | Governor |
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