S 0206 General Bill, By J.V. Smith, Elliott, Hayes, Leventis, McGill, Waldrep, 
Washington, Fair, Reese, Alexander, Leatherman, Martin, Grooms, Branton, Giese and 
Russell
 A BILL TO AMEND SECTION 61-2-60, CODE OF LAWS OF SOUTH CAROLINA, 1976,
 RELATING TO THE AUTHORITY OF THE DEPARTMENT OF REVENUE TO PROMULGATE
 REGULATIONS, SO AS TO REQUIRE THE PROMULGATION OF REGULATIONS CONCERNING THE
 SALE OF ALCOHOLIC BEVERAGES TO MINORS OVER THE INTERNET; TO AMEND SECTION
 61-2-175, RELATING TO A FOREIGN ENTITY INTENTIONALLY SHIPPING BEER, WINE, OR
 ALCOHOLIC LIQUORS DIRECTLY TO A RESIDENT NOT HOLDING A VALID STATE LICENSE, SO
 AS TO ELIMINATE THE ISSUANCE OF A NOTICE TO CEASE AND DESIST AND TO PROVIDE A
 FINE FOR CONVICTION ON A FIRST OFFENSE; TO AMEND SECTION 61-4-50, RELATING TO
 THE UNLAWFUL SALE OF BEER AND WINE TO MINORS, SO AS TO INCLUDE IN THE
 DEFINITION OF SALE BY MEANS OF THE INTERNET; TO AMEND ARTICLE 5, CHAPTER 4 OF
 TITLE 61, RELATING TO THE PRODUCERS AND WHOLESALERS OF BEER AND WINE, SO AS TO
 ADD SECTION 61-4-360 WHICH PROVIDES A SHIPPING CONTAINER MUST BE CLEARLY
 LABELED TO INDICATE IT MUST NOT BE DELIVERED TO A MINOR; TO AMEND SECTION
 61-4-730, RELATING TO THE SALE OF DOMESTIC WINE, SO AS TO PROVIDE THE SHIPPING
 CONTAINER MUST BE CLEARLY LABELED TO INDICATE IT MUST NOT BE DELIVERED TO A
 MINOR; TO AMEND SECTION 61-6-2900, RELATING TO THE SHIPPING OF IMPORTED
 LIQUORS, SO AS TO PROVIDE THE SHIPPING CONTAINER MUST BE CLEARLY LABELED TO
 INDICATE IT MUST NOT BE DELIVERED TO A MINOR; TO AMEND ARTICLE 7, CHAPTER 6 OF
 TITLE 61, RELATING TO THE IMPORTATION OF ALCOHOLIC LIQUORS, SO AS TO ADD
 SECTION 61-6-2990 WHICH PROHIBITS THE USE OF THE INTERNET TO ADVERTISE OR
 SOLICIT ORDERS FOR ALCOHOLIC LIQUORS NOT AUTHORIZED BY LAW; TO AMEND SECTION
 61-6-4080, RELATING TO THE UNLAWFUL SALE OF ALCOHOLIC LIQUORS TO MINORS, SO AS
 TO INCLUDE IN THE DEFINITION OF SALE BY MEANS OF THE INTERNET; TO AMEND
 SECTION 20-7-8920, AS AMENDED, RELATING TO THE UNLAWFUL PURCHASE OF BEER AND
 WINE BY MINORS, SO AS TO INCLUDE IN THE DEFINITION OF PURCHASE BY MEANS OF THE
 INTERNET; AND TO AMEND SECTION 20-7-8925, AS AMENDED, RELATING TO THE UNLAWFUL
 PURCHASE OF ALCOHOLIC LIQUORS BY MINORS, SO AS TO INCLUDE IN THE DEFINITION OF
 PURCHASE BY MEANS OF THE INTERNET.

   12/16/98  Senate Prefiled
   12/16/98  Senate Referred to Committee on Judiciary
   01/12/99  Senate Introduced and read first time SJ-78
   01/12/99  Senate Referred to Committee on Judiciary SJ-78
   04/21/99  Senate Committee report: Favorable with amendment
                     Judiciary SJ-8
   04/22/99  Senate Amended SJ-30
   04/22/99  Senate Read second time SJ-30
   04/22/99  Senate Ordered to third reading with notice of
                     amendments SJ-30
   04/28/99  Senate Amended SJ-31
   04/28/99  Senate Read third time and sent to House SJ-31
   05/04/99  House  Introduced and read first time HJ-5
   05/04/99  House  Referred to Committee on Judiciary HJ-6

Indicates Matter Stricken

Indicates New Matter

AS PASSED BY THE SENATE

April 28, 1999

S. 206

Introduced by Senators J. Verne Smith, Elliott, Hayes, Leventis, McGill, Waldrep, Washington, Fair, Reese, Alexander, Leatherman, Martin, Grooms, Branton, Giese and Russell

S. Printed 4/29/99--S.

Read the first time January 12, 1999.

TO AMEND SECTION 61-2-60, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE AUTHORITY OF THE DEPARTMENT OF REVENUE TO PROMULGATE REGULATIONS, SO AS TO REQUIRE THE PROMULGATION OF REGULATIONS CONCERNING THE SALE OF ALCOHOLIC BEVERAGES TO MINORS OVER THE INTERNET; TO AMEND SECTION 61-2-175, RELATING TO A FOREIGN ENTITY INTENTIONALLY SHIPPING BEER, WINE, OR ALCOHOLIC LIQUORS DIRECTLY TO A RESIDENT NOT HOLDING A VALID STATE LICENSE, SO AS TO ELIMINATE THE ISSUANCE OF A NOTICE TO CEASE AND DESIST AND TO PROVIDE A FINE FOR CONVICTION ON A FIRST OFFENSE; TO AMEND SECTION 61-4-50, RELATING TO THE UNLAWFUL SALE OF BEER AND WINE TO MINORS, SO AS TO INCLUDE IN THE DEFINITION OF SALE BY MEANS OF THE INTERNET; TO AMEND ARTICLE 5, CHAPTER 4 OF TITLE 61, RELATING TO THE PRODUCERS AND WHOLESALERS OF BEER AND WINE, SO AS TO ADD SECTION 61-4-360 WHICH PROVIDES A SHIPPING CONTAINER MUST BE CLEARLY LABELED TO INDICATE IT MUST NOT BE DELIVERED TO A MINOR; TO AMEND SECTION 61-4-730, RELATING TO THE SALE OF DOMESTIC WINE, SO AS TO PROVIDE THE SHIPPING CONTAINER MUST BE CLEARLY LABELED TO INDICATE IT MUST NOT BE DELIVERED TO A MINOR; TO AMEND SECTION 61-6-2900, RELATING TO THE SHIPPING OF IMPORTED LIQUORS, SO AS TO PROVIDE THE SHIPPING CONTAINER MUST BE CLEARLY LABELED TO INDICATE IT MUST NOT BE DELIVERED TO A MINOR; TO AMEND ARTICLE 7, CHAPTER 6 OF TITLE 61, RELATING TO THE IMPORTATION OF ALCOHOLIC LIQUORS, SO AS TO ADD SECTION 61-6-2990 WHICH PROHIBITS THE USE OF THE INTERNET TO ADVERTISE OR SOLICIT ORDERS FOR ALCOHOLIC LIQUORS NOT AUTHORIZED BY LAW; TO AMEND SECTION 61-6-4080, RELATING TO THE UNLAWFUL SALE OF ALCOHOLIC LIQUORS TO MINORS, SO AS TO INCLUDE IN THE DEFINITION OF SALE BY MEANS OF THE INTERNET; TO AMEND SECTION 20-7-8920, AS AMENDED, RELATING TO THE UNLAWFUL PURCHASE OF BEER AND WINE BY MINORS, SO AS TO INCLUDE IN THE DEFINITION OF PURCHASE BY MEANS OF THE INTERNET; AND TO AMEND SECTION 20-7-8925, AS AMENDED, RELATING TO THE UNLAWFUL PURCHASE OF ALCOHOLIC LIQUORS BY MINORS, SO AS TO INCLUDE IN THE DEFINITION OF PURCHASE BY MEANS OF THE INTERNET.

Amend Title To Conform

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. Section 61-2-60 of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"Section 61-2-60. The department and the division are authorized to promulgate regulations necessary to carry out the duties imposed upon them by law for the proper administration and enforcement of, and consistent with this title including, but not limited to:

(1) regulations for the application and issuance of alcoholic liquor licenses, permits, and certificates;

(2) regulations to prevent the unlawful manufacture, bottling, sale, distribution, transportation, and importation of alcoholic liquors;

(3) regulations necessary to effect an equitable distribution of alcoholic liquors in this State;

(4) regulations for the analysis of alcoholic liquors sold in this State and for a procedure for obtaining the samples for this purpose;

(5) regulations governing the administration and enforcement of provisions relating to producers and wholesalers of beer and wine;

(6) regulations for application for and issuance of beer licenses, permits, or brewers' certificates of approval and the sale, distribution, promotion, and shipment of beer into and within the State;

(7) regulations for the operation of breweries and commercial wineries; and

(8) regulations governing the enforcement of provisions relating to brewpubs.; and

(9) regulations necessary to prevent the unlawful sale and shipment of alcoholic liquors, beer, and wine by means of the Internet to persons under the age of twenty-one."

SECTION 2. Section 61-4-50 of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"Section 61-4-50. (A) It is unlawful for a person to sell beer, ale, porter, wine, or other similar malt or fermented beverage to a person under twenty-one years of age. A person who makes a sale in violation of this section must, upon conviction, be fined not less than one hundred dollars nor more than two hundred dollars or imprisoned not less than thirty days nor more than sixty days, or both, in the discretion of the court.

(B) Failure of a person to require identification to verify a person's age is prima facie evidence of the violation of this section.

(C) For purposes of this section, the terms 'sell' and 'sale' include selling or making a sale by means of the Internet."

SECTION 3. Article 5, Chapter 4 of Title 61 is amended by adding:

"Section 61-4-360. The shipping container for any beer, ale, porter, malt beverage, or wine shipped or moved into this State under the provisions of this chapter must be clearly labeled to indicate that the shipping container or package must not be delivered to a person under the age of twenty-one."

SECTION 4. Section 61-4-730 of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"Section 61-4-730. Permitted wineries which produce and sell only domestic wine as defined in Section 12-21-1010 may sell the wine at retail, wholesale, or both, and deliver or ship the wine to the purchaser in the State. The shipping container for wine sent under this section must be clearly labeled to indicate that the shipping container or package must not be delivered to a person under the age of twenty-one. Domestic wine must be delivered between 7:00 a.m. and 7:00 p.m."

SECTION 5. Section 61-4-735(A) of the 1976 Code is amended to read:

"(A) Except as provided in Sections 61-4-720, and 61-4-730, and 61-4-740, a manufacturer of wine, vintner, winery, an entity, or a person who sells these products, or a person or entity who imports these products produced outside the United States must not sell, barter, exchange, transfer, or deliver for resale wine to a person not having a wholesale permit issued under Section 61-4-500, and a holder of a wholesale permit may not sell, barter, exchange, transfer, or deliver for resale wine to a person not having a retail or wholesale permit, unless that person is the American producer or the primary American source of supply of that wine as defined in Section 61-4-340."

SECTION 6. Section 61-4-740 of the 1976 Code is amended to read:

"Section 61-4-740. A person may order wine produced outside this State which has not been approved or licensed for sale or distribution in this State from an in-state wholesaler by placing a special order for this wine with the out-of-state winery and by following the department regulations for the payment of the necessary taxes. After payment of the taxes, the wine may then be shipped by the winery to that wholesaler who, after paying the necessary taxes, is authorized to sell this wine to that person through a licensed retailer person."

SECTION 7. Section 61-4-760 of the 1976 Code is amended to read:

"Section 61-4-760. The division must provide for the inspection of all wines imported into or offered for sale in this State. The expense of the inspections must be paid from the proceeds of the wine tax. The department may make regulations as to:

(1) the containers in which wine may be sold at retail and to declare to be "undesirable wine packages" wine sold in a container prohibited in the regulations or wine, the sale of which is prohibited in Sections 61-4-710 or 61-4-750. The offering for sale or sale in this State of undesirable wine packages under this section is prohibited and is a misdemeanor; and

(2) the payment of necessary taxes on wine produced outside this State and ordered by individuals."

SECTION 8. Article 7, Chapter 6 of Title 61 is amended by adding:

"Section 61-6-2990. No person may use the Internet to advertise, to solicit by advertisement, or otherwise, or to accept orders for shipments of alcoholic liquors not authorized by this article."

SECTION 9. Section 61-6-4080 of the 1976 Code, as added by Act 415 of 1996, is amended to read:

"Section 61-6-4080. (A) A person engaged in the sale of alcoholic liquors who knowingly sells the liquors to a person under the age of twenty-one is guilty of a misdemeanor and must, upon conviction, be fined not less than one hundred dollars nor more than two hundred dollars or imprisoned not less than thirty days nor more than sixty days, or both, in the discretion of the court.

(B) Failure of a person to require identification to verify a person's age is prima facie evidence of the violation of this section.

(C) For purposes of this section, the term 'sale' includes the sale or selling by means of the Internet."

SECTION 10. Section 20-7-8920 of the 1976 Code, as added by Act 383 of 1996 and as amended by Act 1 of 1999, is further amended by adding an appropriately numbered subsection to read:

"( ) For purposes of this section, the term 'purchase' includes purchase by means of the Internet."

SECTION 11. Section 20-7-8925 of the 1976 Code, as added by Act 383 of 1996 and as amended by Act 1 of 1999, is further amended by adding an appropriately numbered subsection to read:

"( ) For purposes of this section, the term 'purchase' includes purchase by means of the Internet."

SECTION 12. If a provision of this act or the application of a provision to a person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this act which can be given effect without the invalid provision or application, and to this end the sections of this act are severable.

SECTION 13. This act takes effect July 1, 1999.