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House Bill 0725c1

Florida House of Representatives - 1997 CS/HB 725 By the Committee on Regulated Services and Representatives Villalobos and Saunders 1 A bill to be entitled 2 An act relating to the Beverage Law; amending 3 s. 561.24, F.S.; including manufacturers of 4 wine within a group of manufacturers who may 5 not be licensed as distributors or registered 6 exporters; providing an exception; amending s. 7 561.501, F.S.; providing for a surcharge on 8 cider; creating s. 561.5101, F.S.; requiring 9 all alcoholic beverages brought into this state 10 to come to rest at a wholesaler's licensed 11 premises prior to sale; providing exceptions; 12 providing penalties; amending s. 561.54, F.S.; 13 providing for injunctive relief; providing for 14 confiscation and destruction of certain 15 alcoholic beverages; providing for treble 16 damages; providing for costs and attorney fees; 17 creating s. 561.545, F.S.; providing 18 legislative intent; prohibiting the direct 19 shipment of alcoholic beverages to any person 20 in the state other than a licensed manufacturer 21 or wholesaler, registered exporter, or state 22 bonded warehouse; providing penalties; 23 providing an exception for sacramental 24 alcoholic beverages; amending s. 561.68, F.S., 25 relating to the licensure of salesmen of 26 spirituous or vinous beverages; providing an 27 exception; providing an effective date. 28 29 Be It Enacted by the Legislature of the State of Florida: 30 31 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 725 615-104A-97 1 Section 1. Subsections (1), (2), (3), (4), and (5) of 2 section 561.24, Florida Statutes, are amended to read: 3 561.24 Licensing manufacturers as distributors or 4 registered exporters prohibited; procedure for issuance and 5 renewal of distributors' licenses and exporters' 6 registrations.-- 7 (1) A manufacturer, rectifier, or distiller that 8 manufactures, rectifies, or distills spirituous liquors or 9 wine may not be granted a license as a distributor and may not 10 register as an exporter. 11 (2) A manufacturer, rectifier, or distiller that 12 manufactures, rectifies, or distills spirituous liquors or 13 wine may not be granted a renewal of a license or registration 14 previously held as a distributor or exporter. 15 (3) If the applicant for a distributor's license or 16 exporter's registration, or renewal thereof, is an individual 17 or copartnership, such individual or copartnership is within 18 the provisions of subsection (1) or subsection (2), as the 19 case may be, if the individual or any member of the 20 copartnership is interested or connected, directly or 21 indirectly, with any corporation which is engaged directly or 22 indirectly or through any subsidiary or affiliate corporation, 23 including any stock ownership as set forth in subsection (4), 24 in manufacturing, rectifying, or distilling spirituous liquors 25 or wine. If any individual or any member of such 26 copartnership within 6 months next preceding the making of an 27 application hereunder has been interested or connected as 28 provided by this subsection, such individual or such member of 29 the copartnership shall be prima facie presumed to be so 30 interested or connected with such corporation at the time of 31 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 725 615-104A-97 1 the making of the application, and such prima facie 2 presumption shall continue until overcome by the applicant. 3 (4) If the applicant for a distributor's license or 4 exporter's registration, or for the renewal thereof, is a 5 corporation, such corporation is within the provisions of 6 subsections (1) and (2), as the case may be, if such 7 corporation is affiliated with, directly or indirectly, any 8 other corporation which is engaged in manufacturing, 9 rectifying, or distilling spirituous liquors or wine or if 10 such applicant corporation is controlled by, or the majority 11 of stock therein is owned by, another corporation, which 12 latter corporation is engaged, directly or indirectly, in 13 manufacturing, rectifying, or distilling spirituous liquors or 14 wine. 15 (5) Notwithstanding any of the provisions of the 16 foregoing subsections, any corporation which holds a license 17 as a distributor on June 3, 1947, shall be entitled to a 18 renewal thereof, provided such corporation complies with all 19 of the provisions of the Beverage Law of Florida, as amended, 20 and of this section and establishes by satisfactory evidence 21 to the division board of county commissioners of the county 22 wherein the original license was issued that, during the 23 6-month period next preceding its application for such 24 renewal, of the total volume of its sales of spirituous 25 liquors, in either dollars or quantity, not more than 40 26 percent of such spirituous liquors sold by it, in either 27 dollars or quantity, were manufactured, rectified, or 28 distilled by any corporation with which the applicant is 29 affiliated, directly or indirectly, including any corporation 30 which owns or controls in any way any stock in the applicant 31 corporation or any corporation which is a subsidiary or 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 725 615-104A-97 1 affiliate of the corporation so owning stock in the applicant 2 corporation. Any manufacturer of wine holding a license as a 3 distributor on April 1, 1997, shall be entitled to a renewal 4 of such license notwithstanding the provisions of subsections 5 (1)-(5). 6 Section 2. Subsection (1) of section 561.501, Florida 7 Statutes, is amended to read: 8 561.501 Surcharge on sale of alcoholic beverages for 9 consumption on the premises; penalty.-- 10 (1) Notwithstanding s. 561.50 or any other provision 11 of the Beverage Law, a surcharge of 10 cents is imposed upon 12 each ounce of liquor and each 4 ounces of wine, a surcharge of 13 6 cents is imposed on each 12 ounces of cider, and a surcharge 14 of 4 cents is imposed on each 12 ounces of beer sold at retail 15 for consumption on premises licensed by the division as an 16 alcoholic beverage vendor. 17 Section 3. Section 561.5101, Florida Statutes, is 18 created to read: 19 561.5101 Come-to-rest requirement applicable to all 20 alcoholic beverages; providing exceptions; providing 21 penalties.-- 22 (1) For purposes of inspection and tax revenue 23 control, all alcoholic beverages brought into this state from 24 another state or country must come to rest at the licensed 25 premises of an alcoholic beverage wholesaler in this state 26 before being sold to a vendor by the wholesaler. The 27 prohibition contained in this subsection shall not apply to 28 the shipment of those brands of distilled spirits or vinous or 29 malt beverages commonly known as private labels. 30 (2) Any person, in another state or country in the 31 business of selling alcoholic beverages, who knowingly and 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 725 615-104A-97 1 intentionally ships alcoholic beverages into this state in a 2 manner inconsistent with the requirements of subsection (1), 3 whether to a vendor or to an ultimate consumer, commits a 4 felony of the third degree, punishable as provided in s. 5 775.082, s. 775.083 or s. 775.084. 6 Section 4. Section 561.54, Florida Statutes, is 7 amended to read: 8 561.54 Certain deliveries of beverages prohibited.-- 9 (1) It is unlawful for common or permit carriers, 10 operators of privately owned cars, trucks, buses, or other 11 conveyances or out-of-state manufacturers or suppliers to make 12 delivery from without the state of any alcoholic beverage to 13 any person, association of persons, or corporation within the 14 state, except to qualified manufacturers, distributors, and 15 exporters of such beverages so delivered and to qualified 16 bonded warehouses in this state. 17 (2) Any licensee aggrieved by a violation of this 18 section may bring an action in any court of competent 19 jurisdiction to recover for the state all moneys obtained by 20 common or permit carriers, operators of privately owned cars, 21 trucks, buses, or other conveyances or obtained by 22 out-of-state manufacturers or suppliers as a result of the 23 delivery of alcoholic beverages in violation of this section 24 and may obtain a declaratory judgment that an act or practice 25 violates this section and enjoin any person who is violating 26 or has violated this section. In addition to such relief, the 27 court may order the confiscation and destruction of any 28 alcoholic beverages delivered in violation of this section. 29 In assessing damages, the court shall enter judgment against a 30 defendant for three times the amount of the delivery charges 31 proved or the fair market value of merchandise unlawfully 5 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 725 615-104A-97 1 brought into the state. Payment or satisfaction of any 2 judgment under this section, other than for attorney's fees 3 and costs, shall be made in its entirety to the state. In any 4 successful action under this section, the court shall award 5 the plaintiff costs and reasonable attorney's fees. 6 Section 5. Section 561.545, Florida Statutes, is 7 created to read: 8 561.545 Certain shipments of beverages prohibited; 9 providing penalties; providing an exception for sacramental 10 beverages.--The Legislature finds, determines, and declares 11 that the direct shipment of alcoholic beverages by persons in 12 the business of selling alcoholic beverages to residents of 13 this state in violation of the Beverage Law poses a serious 14 threat to the public health, safety, and welfare, to state 15 revenue collections, and to the economy of the state. The 16 Legislature further finds, determines, and declares that the 17 present penalties for illegal direct shipment of alcoholic 18 beverages to residents of this state are not adequate to 19 ensure compliance with the Beverage Law and that the measures 20 provided for in this section are fully consistent with the 21 powers conferred upon the State of Florida by the Twenty-first 22 Amendment to the United States Constitution. 23 (1) Any person in the business of selling alcoholic 24 beverages who knowingly and intentionally ships, or causes to 25 be shipped, any alcoholic beverage directly to any person in 26 this state who does not hold a valid manufacturer's or 27 wholesaler's license or exporter's registration issued by the 28 Division of Alcoholic Beverages and Tobacco or who is not a 29 state bonded warehouse is in violation of this section. 30 (2) Any common or permit carrier, operator of 31 privately owned car, truck, bus, or other conveyance who 6 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 725 615-104A-97 1 knowingly and intentionally transports any alcoholic beverage 2 directly to any person in this state who does not hold a valid 3 manufacturer's or wholesaler's license or exporter's 4 registration or who is not a state bonded warehouse is in 5 violation of this section. 6 (3) Any person found by the division to be in 7 violation of subsection (1) or subsection (2) shall be issued 8 a cease and desist order by certified mail. Any person who, 9 after receiving a cease and desist order, is found by the 10 division to be in violation of subsection (1) or subsection 11 (2) for a second or subsequent occurrence, within a 2-year 12 period after the first violation, commits a felony of the 13 third degree, punishable as provided in s. 775.082, s. 775.083 14 or s. 775.084. 15 (4) This section shall not apply to the direct 16 shipment of sacramental alcoholic beverages to bona fide 17 religious organizations as authorized by the division. 18 Section 6. Paragraph (a) of subsection (1) of section 19 561.68, Florida Statutes, is amended to read: 20 561.68 Licensure; distributor's salesmen; providing 21 exceptions.-- 22 (1)(a) Before any person may solicit or sell to 23 vendors or become employed as a salesman of spirituous or 24 vinous beverages for a licensed Florida distributor in 25 accordance with the provisions of this section, such person 26 shall file with the district supervisor of the district of the 27 Division of Alcoholic Beverage and Tobacco in which the 28 distributor's premises is located a sworn application for a 29 license on forms provided by the division. Prior to any 30 application being approved, the division shall require the 31 applicant to file a fee of $50 and file a set of fingerprints 7 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 725 615-104A-97 1 on regular United States Department of Justice forms. The 2 licensure requirement provided in this paragraph shall not 3 apply to the solicitation or sale of cider. 4 Section 7. This act shall take effect upon becoming a 5 law. 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 8