SENATE BILL No. 505

 

 

September 17, 2013, Introduced by Senator HUNE 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 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 subsections (2) and (3)

 

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 and shall only be provided for use at the

 

licensed premises.

 

     (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, regulations, or

 

orders adopted prior to January 1, 2013. 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) As used in this section, "other valuable thing" shall mean

 

any goods, services, or intangible goods that are provided 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.