HF 1014

as introduced - 89th Legislature (2015 - 2016) Posted on 02/18/2015 11:17am

A bill for an act
relating to liquor; allowing limited credit extension to brewers; amending
Minnesota Statutes 2014, section 340A.308.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2014, section 340A.308, is amended to read:

340A.308 PROHIBITED TRANSACTIONS.

(a) Except as otherwise provided in section 340A.301, no brewer or malt liquor
wholesaler may directly or indirectly, or through an affiliate or subsidiary company, or
through an officer, director, stockholder, or partner:

(1) give, or lend money, credit, or other thing of value to a retailer new text begin , except as
provided in paragraph (d) new text end ;

(2) give, lend, lease, or sell furnishing or equipment to a retailer;

(3) have an interest in a retail license; or

(4) be bound for the repayment of a loan to a retailer new text begin , except as provided in
paragraph (d) new text end .

(b) No retailer may solicit any equipment, fixture, supplies, money, or other thing of
value from a brewer or malt liquor wholesaler if furnishing of these items by the brewer
or wholesaler is prohibited by law and the retailer knew or had reason to know that the
furnishing is prohibited by law.

(c) This section does not prohibit a manufacturer or wholesaler from:

(1) furnishing, lending, or renting to a retailer outside signs, of a cost of up to $400
excluding installation and repair costs;

(2) furnishing, lending, or renting to a retailer inside signs and other promotional
material, of a cost of up to $300 in a year;

(3) furnishing to or maintaining for a retailer equipment for dispensing malt liquor,
including tap trailers, cold plates and other dispensing equipment, of a cost of up to $100
per tap in a year;

(4) using or renting property owned continually since November 1, 1933, for the
purpose of selling intoxicating or 3.2 percent malt liquor at retail;

(5) extending customary commercial credit to a retailer in connection with a sale of
nonalcoholic beverages only, or engaging in cooperative advertising agreements with a
retailer in connection with the sale of nonalcoholic beverages only; or

(6) in the case of a wholesaler, with the prior written consent of the commissioner,
selling beer on consignment to a holder of a temporary license under section 340A.403,
subdivision 2, or 340A.404, subdivision 10.

new text begin (d) A brewer or malt liquor wholesaler may extend credit or lend money to a retailer
for a period of 30 days, or until the next subsequent delivery, whichever period of time
is shorter.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2015.
new text end