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AL SB281
Bill
Status
3/5/2020
Primary Sponsor
J.T. Waggoner
Click for details
AI Summary
SB281 Summary
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Creates wine direct shipper license allowing small wineries (producing less than 50,000 gallons annually) to ship up to 12 nine-liter cases per household per year directly to Alabama residents age 21 or older.
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Requires wine suppliers (manufacturers and importers) to designate exclusive sales territories and enter into written franchise agreements with wholesalers for each territory.
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Establishes protections for wholesalers including prohibitions on supplier price-fixing, mandatory good-faith dealings, and requirements for 60-day notice before termination of agreements, with dispute resolution through arbitration.
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Prohibits direct wine shipment without a license as a Class C misdemeanor, with penalties including fines up to $6,000 and license suspension.
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Authorizes common carriers to transport direct-shipment wine with quarterly reporting requirements to the Alcoholic Beverage Control Board and Department of Revenue regarding shipments and recipients.
Legislative Description
Alcoholic beverages,to create permitting procedure to allow certain wine manufacturers to ship wine directly to consumers in state, to require licensed importers and manufacturers of wine to enter into exclusive franchise agreements with wholesalers, and to provide for reporting requirement and penalties, Secs. 28-3A-6.1, 28-8A-1 to 28-8A-11, inclusive, added; Sec. 28-1-4 am'd.
Alcoholic Beverage Control Board
Last Action
Read for the first time and referred to the Senate committee on Tourism
3/5/2020