Texas 2025 89th Regular

Texas Senate Bill SB1355 Comm Sub / Bill

Filed 03/24/2025

                    By: Parker, Hagenbuch S.B. No. 1355
 (In the Senate - Filed February 18, 2025; March 6, 2025,
 read first time and referred to Committee on State Affairs;
 March 24, 2025, reported adversely, with favorable Committee
 Substitute by the following vote:  Yeas 10, Nays 0; March 24, 2025,
 sent to printer.)
Click here to see the committee vote
 COMMITTEE SUBSTITUTE FOR S.B. No. 1355 By:  Parker


 A BILL TO BE ENTITLED
 AN ACT
 relating to liquor sales on credit by the holder of a distiller's
 and rectifier's permit to a wholesaler.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Subchapter B, Chapter 102, Alcoholic Beverage
 Code, is amended by adding Section 102.33 to read as follows:
 Sec. 102.33.  SALE OF LIQUOR BY DISTILLER AND RECTIFIER TO
 WHOLESALER: CREDIT RESTRICTIONS. (a) The holder of a distiller's
 and rectifier's permit shall provide a written invoice to the
 holder of a wholesaler's permit who purchases liquor from the
 holder of the distiller's and rectifier's permit.
 (b)  The holder of a wholesaler's permit shall pay for liquor
 purchased from the holder of a distiller's and rectifier's permit in
 accordance with the agreed terms of a contract or letter of
 agreement between the holder of the distiller's and rectifier's
 permit and the wholesaler.
 (c)  If the holder of a wholesaler's permit becomes
 delinquent in the payment of an invoice for liquor under this
 section, the holder of the distiller's and rectifier's permit who
 sold the liquor to the wholesaler may report that fact in writing,
 along with any supporting documentation, to the commission.  For
 purposes of this section, a wholesaler becomes delinquent in the
 payment of an invoice if the wholesaler:
 (1)  fails to pay the amount due to the holder of the
 distiller's and rectifier's permit on or before the date payment is
 required under the agreed terms of a contract or letter of agreement
 between the holder of the distiller's and rectifier's permit and the
 wholesaler; and
 (2)  fails to pay the amount due to the holder of the
 distiller's and rectifier's permit after receiving a demand for
 payment from the holder of the distiller's and rectifier's permit,
 in accordance with any agreed payment terms of a contract or letter
 of agreement between the holder of the distiller's and rectifier's
 permit and the wholesaler.
 (d)  It is a violation of this section for the holder of a
 wholesaler's permit to become delinquent in the payment of an
 invoice under this section.  The commission may take disciplinary
 action against a wholesaler who violates this section.  In
 determining an appropriate disciplinary action for the violation,
 the commission may consider:
 (1)  the duration of the delinquency;
 (2)  the amount of the delinquent payment;
 (3)  any previous violations of this section committed
 by the wholesaler;
 (4)  the financial resources of the wholesaler; and
 (5)  any other factors the commission or administrator
 determines relevant.
 (e)  The commission shall adopt rules to implement this
 section, including rules regarding the submission of supporting
 documentation by the holder of a distiller's and rectifier's permit
 under Subsection (c).
 SECTION 2.  This Act takes effect September 1, 2025.
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