SB-0505, As Passed Senate, November 7, 2013

SUBSTITUTE FOR

SENATE BILL NO. 505

A bill to amend 1998 PA 58, entitled

"Michigan liquor control code of 1998,"

by amending section 609 (MCL 436.1609), as amended by 2010 PA 175.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 609. (1) Except as provided in this section and sections

605 and 1029, a manufacturer, mixed spirit drink manufacturer,

warehouser, wholesaler, outstate seller of beer, outstate seller of

wine, outstate seller of mixed spirit drink, or vendor of spirits

shall not aid or assist any other vendor by gift, loan of money or

property of any description, or other valuable thing, or by the

giving of premiums or rebates, and a vendor shall not accept the

same. However, if manufacturers of spirits reduce the price of

their products, the manufacturer of spirits may refund the amount

of the price reductions to specially designated distributor

licensees in a manner prescribed by the commission.

(2) A manufacturer, mixed spirit drink manufacturer,

warehouser, wholesaler, outstate seller of beer, outstate seller of

wine, outstate seller of mixed spirit drink, or vendor of spirits

may, in a manner consistent with rules, regulations, and orders

made by the commission, provide another licensee with advertising

items that promote the brands and prices of alcoholic liquor

produced by the manufacturer, sold by the outstate seller of beer,

the outstate seller of wine, or the outstate seller of mixed spirit

drink, or distributed by the wholesaler. Except as otherwise

provided under subsection (3), the advertising items shall not have

any use or value beyond the actual advertising of brands and prices

of the alcoholic liquor.

(3) A manufacturer, mixed spirit drink manufacturer,

warehouser, wholesaler, outstate seller of beer, outstate seller of

wine, outstate seller of mixed spirit drink, or vendor of spirits

may provide goods and services to another licensee that were

approved by the commission pursuant to rules or orders adopted

prior to January 1, 2013, but not including those orders that were

approved for specific sponsorships or festivals. A rule,

regulation, or order adopted after the effective date of the

amendatory act that added this subsection that is not consistent

with this section or is in conflict with this section is void and

unenforceable.

(4) A retailer shall not use or possess, at its licensed

premises, advertising items that have a use or value beyond the

actual advertising of brands and prices of alcoholic liquor except

for those allowed in subsection (3). A retailer may possess and use

brand logoed glassware but only if the brand logoed glassware is

purchased from a glassware retailer as provided in this section. A

retailer shall submit a purchase order for brand logoed glassware

to the commission for approval. The commission shall approve the

purchase order within 7 business days after receipt of the purchase

order and in a manner as determined by the commission. A retailer

shall keep the receipt for the purchased brand logoed glassware for

a period of 3 years and shall submit a copy of the receipt to the

commission within 7 days after the purchase.

(5) As used in this section:

(a) "Glassware retailer" means a person that offers brand

logoed glassware for sale to retailers and that is not licensed as,

or directly or indirectly affiliated with, a manufacturer, mixed

spirit drink manufacturer, warehouser, wholesaler, outstate seller

of beer, outstate seller of wine, outstate seller of mixed spirit

drink, or vendor of spirits.

(b) "Other valuable thing" means any goods, services, or

intangible goods that are given, loaned, leased, or sold to another

licensee that have value regardless of whether the value is nominal

and includes, but is not limited to, goods, services, or intangible

goods that provide any benefit, regardless of how nominal, to the

licensee other than advertising the brands and prices of alcoholic

liquor produced by the manufacturer, sold by the outstate seller of

beer, the outstate seller of wine, or the outstate seller of mixed

spirit drink, or distributed by the wholesaler.

Enacting section 1. This amendatory act does not take effect

unless all of the following bills of the 97th Legislature are

enacted into law:

(a) Senate Bill No. 504.

(b) Senate Bill No. 506.

(d) Senate Bill No. 650.

(e) Senate Bill No. 651.

(f) House Bill No. 4277.

(g) House Bill No. 4709.

(h) House Bill No. 4710.

(i) House Bill No. 4711.