HOUSE BILL No. 4061

 

January 13, 2011, Introduced by Rep. Geiss and referred to the Committee on Regulatory Reform.

 

     A bill to amend 1998 PA 58, entitled

 

"Michigan liquor control code of 1998,"

 

by amending section 1027 (MCL 436.2027), as amended by 2010 PA 213.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1027. (1) Unless otherwise provided by rule of the

 

commission, a person shall not conduct samplings or tastings of any

 

alcoholic liquor for a commercial purpose except at premises that

 

are licensed by the commission for the sale and consumption of

 

alcoholic liquor on the premises.

 

     (2) Notwithstanding section 1025(1) 1025, a retailer licensed

 

by the commission for consumption on the premises may allow

 

customers to sample beer, wine, and distilled spirits so long as


 

the retailer does not charge for the samples provided to customers.

 

Sample serving sizes shall not exceed 3 ounces for beer, 2 ounces

 

for wine, and 1/2 ounce for distilled spirits. A customer shall not

 

be provided more than 2 samples within a 24-hour period per

 

licensed premises.

 

     (3) This section does not prevent either prohibit any of the

 

following:

 

     (a) A vendor of spirits, brewer, wine maker, mixed spirit

 

drink manufacturer, small wine maker, outstate seller of beer,

 

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

 

or a bona fide market research organization retained by 1 of the

 

persons named in this subsection, from conducting samplings or

 

tastings of an alcoholic liquor product before it is approved for

 

sale in this state if the sampling or tasting is conducted pursuant

 

to prior written approval of the commission.

 

     (b) An on-premises licensee from giving a sampling or tasting

 

of alcoholic liquor to an employee of the licensee during the legal

 

hours for consumption for the purpose of educating the employee

 

regarding 1 or more types of alcoholic liquor so long as the

 

employee is at least 21 years of age.

 

     (c) A small distiller licensee from giving a sampling or

 

tasting of brands it manufactures on the licensed premises or an

 

off-site tasting facility operated by that small distiller.

 

     (d) A micro brewer or brew pub from allowing the sampling and

 

consumption on the licensed premise of beer produced by 1 or more

 

home brewers at a meeting of home brewers, or a club composed

 

primarily of home brewers, under the following circumstances:


 

     (i) The sampling or consumption is for the purpose of

 

exhibitions or competitions involving home brewers.

 

     (ii) The beer is served in portions not to exceed 6 ounces.

 

     (iii) No sale of beer is made to members of the general public.

 

     (iv) The participants otherwise comply with applicable state

 

and federal law and applicable regulatory provisions of this act

 

and rules adopted by the commission under this act.

 

     (4) A vendor of spirits or a manufacturer may conduct a

 

consumer sampling event on the premises of a holder of a specially

 

designated distributor license upon submission of a completed

 

application to the commission.

 

     (5) The holder of the consumer sampling event license shall

 

comply with the following:

 

     (a) The commission must be notified in writing a minimum of 10

 

working days prior to the event with the date, time, and location

 

of the event.

 

     (b) The consumer sampling event is limited to 3 events per

 

vendor of spirits or manufacturer per specially designated

 

distributor license per month.

 

     (c) The vendor of spirits or manufacturer conducting the

 

consumer sampling event must have a licensed representative present

 

at the specially designated distributor's establishment.

 

     (d) Licensed representatives or an authorized representative

 

may distribute merchandise, not to exceed $100.00 in value, to

 

consumers 21 years of age or older during the event.

 

     (e) Participating specially designated distributor licensees

 

do not receive any fee or other valuable consideration for


 

participating in the event.

 

     (f) Each consumer is limited to 3 samples, which total no more

 

than 1/3 ounce of distilled spirits per serving.

 

     (g) The consumer is not charged for and does not purchase any

 

sample.

 

     (h) The alcoholic liquor used in the consumer sampling event

 

is provided by the vendor of spirits or manufacturer, and purchased

 

at the minimum retail selling price fixed by the commission from

 

the specially designated distributor on whose premises the event is

 

located. The vendor of spirits or manufacturer shall remove any

 

unfinished product from the premises at which the event is held

 

upon completion of the event.

 

     (i) A consumer sampling event shall not be allowed when the

 

sale of alcoholic liquor is otherwise prohibited on the premises at

 

which the event is conducted.

 

     (j) Samples are not to be offered to, or allowed to be

 

consumed by, any person under the legal age for consuming alcoholic

 

liquor.

 

     (k) A consumer sampling event may be advertised in any type of

 

media and the advertisements may include the date, time, location,

 

and other information regarding the event.

 

     (l) The participating vendor of spirits or manufacturer and

 

specially designated distributor licensees must comply with this

 

act and commission rules.

 

     (m) The vendor of spirits or manufacturer must demonstrate

 

that the individual actually conducting the sampling has

 

successfully completed the server training program in the manner


 

provided for in section 906 and rules promulgated by the

 

commission.

 

     (6) Violation of this section subjects the vendor of spirits

 

or manufacturer to the sanctions and penalties as provided for

 

under this act.

 

     (7) The commission, by rule or issuance of an order, may

 

further define eligibility for licensure and processes for

 

conducting consumer sampling events.

 

     (8) A sampling or tasting of any alcoholic liquor in a home or

 

domicile for other than a commercial purpose is not subject to this

 

section.

 

     (9) For purposes of As used in this section:, "commercial

 

     (a) "Commercial purpose" means a purpose for which monetary

 

gain or other remuneration could reasonably be expected.

 

     (b) "Home brewer" means a person manufacturing beer at his or

 

her home or farm, if the beer is to be consumed, free of

 

consideration to those persons consuming the beer, in the manner

 

provided for in subsection (3)(d), by that person, or by that

 

person's family and guests.