CS/HB 1161 - Malt Beverages Summary

• Creates section 563.061, F.S., prohibiting consignment sales of malt beverages between distributors and vendors; all sales must be bona fide sales.

• Authorizes return of undamaged malt beverage products within 7 days of delivery for exchange or credit, with exceptions for regulatory changes, business termination, recalls, discontinued products, and seasonal operations.

• Allows return of damaged products within 7 days for exchange or credit only if damage occurred during distribution; product damaged by the vendor is the vendor's liability.

• Permits return of out-of-code products for exchange only when manufacturer has written policies specifying removal dates, the code date is clearly marked, and returned product does not reenter the retail market.

• Requires distributors to maintain transaction records for 3 years identifying the vendor and products returned; authorizes civil penalties up to $1,000 per violation; specifies authorized returns are not prohibited "tied house" gifts or financial assistance.

• Takes effect July 1, 2019.