Current Status Introducing Body:Senate Bill Number:1373 Primary Sponsor:Drummond Committee Number:11 Type of Legislation:GB Subject:Beer manufacturers, wholesalers Residing Body:Senate Current Committee:Judiciary Computer Document Number:CYY/18893.SD Introduced Date:Mar 05, 1992 Last History Body:Senate Last History Date:Mar 05, 1992 Last History Type:Introduced, read first time, referred to Committee Scope of Legislation:Statewide All Sponsors:Drummond Type of Legislation:General Bill
Bill Body Date Action Description CMN
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1373 Senate Mar 05, 1992 Introduced, read first time, 11
referred to Committee
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TO AMEND SECTION 61-9-315, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PROHIBITED ACTIVITIES BY BEER MANUFACTURERS, BREWERS, IMPORTERS, WHOLESALERS, AND RETAILERS, SO AS TO INCLUDE MONEY IN THE LIST OF ITEMS WHICH A MANUFACTURER, BREWER, IMPORTER, OR WHOLESALER IS PROHIBITED FROM GIVING TO A RETAILER, TO REVISE THOSE PERSONS WHO MAY DISCOUNT PRODUCT PRICE BASED ON QUANTITY PURCHASES AND TO WHOM THE DISCOUNTS MAY BE GIVEN, AND TO PROVIDE FOR CERTAIN ADDITIONAL PROHIBITIONS IN REGARD TO THE FIXING, MAINTAINING, OR CHANGING OF THE PRICE OF BEER BETWEEN OR AMONG THESE PERSONS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 61-9-315 of the 1976 Code is amended to read:
"Section 61-9-315. (A) A manufacturer or brewer of beer, ale, porter, or other malt beverages or any person who imports these products produced outside the United States shall not sell, barter, exchange, transfer, or deliver for resale any beer to any person not having a wholesale permit granted under Section 61-9-310, and a holder of a wholesale permit shall not sell, barter, exchange, transfer, or deliver for resale any beer to any person not having a retail or wholesale permit.
(B) A manufacturer, brewer, importer, or wholesaler of beer, or anyone acting on their behalf, shall not furnish, give, rent, lend, or sell, directly or indirectly, to the holder of a retail permit any equipment, money, fixtures, free beer, or service.
(C) Notwithstanding subsection (B), a wholesaler may furnish at no charge to the holder of a retail permit draft beer equipment replacement parts of nominal value, including washers, gaskets, hoses, hose connectors, clamps, and tap markers, party wagons for temporary use, and point of sale advertising specialties. A wholesaler may also furnish the following services to a retailer: cleaning draught lines, setting boxes, rotating stock, affixing price tags to beer products, and building beer displays.
(D) The holder of a retail permit, or anyone acting on his behalf, shall not accept, directly or indirectly, any equipment, money, fixtures, free beer, or service referred to in subsection (B) from a manufacturer, brewer, importer, or wholesaler of beer except as provided in subsection (C).
(E) A manufacturer, brewer, and importer of beer are declared to be in business on one tier, a wholesaler on another tier, and a retailer on another tier. Any person or entity in the beer business on one tier, or anyone acting directly or indirectly on his behalf, shall not have any ownership or financial interest in the beer business operation on another tier. This limitation does not apply to the interest held on July 1, 1980, by the holder of a wholesale permit in a business operated by the holder of a retail permit at premises other than where the wholesale business is operated.
(F) A manufacturer, brewer, or importer of beer may rebate wholesalers for price discount promotions provided that all rebates are equal, nondiscriminatory, unconditional, and available to all wholesalers. A manufacturer, brewer, importer, or wholesaler of beer may discount product price based on quantity purchases provided that all discounts must be on price only, must appear on the sales records, and must be available to all customers retailers.
(G) No person or entity in the beer business on one tier may require any person or entity in such business on another tier to advertise or participate in a discount, price, or special promotional.
(H) Manufacturers and all other suppliers who sell beer to wholesale distributors must give thirty days' written notice of any price change to wholesale distributors to whom they regularly sell their products before initiating the price change. As soon after receiving the notice as practicable, the wholesale distributor must give notice of any resulting price change to its retail accounts.
(I) No brewer, broker, or importer shall directly or indirectly fix or maintain the price at which a wholesaler may resell beer, whether by the terms or requirements imposed on the wholesaler under an agreement or otherwise. No wholesale distributor shall directly or indirectly fix or maintain the price at which a retailer may resell beer, whether by the terms or requirements imposed on the retailer under an agreement or otherwise.
(J) No manufacturer or supplier of beer to South Carolina wholesalers may differentiate in the price of beer sold to South Carolina wholesalers except when the price differentials are based on freight or transportation costs. A differential price may not be based on a wholesaler's refusal to participate in a price promotion."
SECTION 2. This act takes effect upon approval by the Governor.