_____________ bill NO. _____________

INTRODUCED BY _________________________________________________

By Request of the ****

A BILL FOR AN ACT ENTITLED: "AN ACT REVISING ALCOHOL LAWS TO ALLOW A LICENSED RETAILER TO PURCHASE alcoholic beverages FROM AN IN-STATE RETAILER; allowing wholesalers to report retailers who have not paid for beer or wine; restricting retailer-to-retailer sales to in-state retailers; providing that the department may penalize retailers who do not purchase beer or wine from an in-state retailer; and AMENDING SECTIONS 16-3-243 AND 16-3-301, MCA."

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

Section 1. Section 16-3-243, MCA, is amended to read:

"16-3-243. Seven-day credit limitation. No A sale or delivery of beer shall may not be made to any retail licensee except for cash paid within 7 days after the delivery thereof of the beer, and in no event shall any brewer, beer importer, retailer, or wholesaler extend more than 7 days' credit on account of such the beer to a retail licensee, nor shall any retail licensee accept or receive delivery of such the beer without agreement to pay in cash therefor for the beer within 7 days from delivery thereof of the beer. A correctly dated check, which is honored upon on presentment shall, must be considered as cash within the meaning of this code. Any extension or acceptance of credit in violation hereof shall of this section must be regarded and construed as rendering or receiving financial assistance, and the licenses of brewers, beer importers, wholesalers, and retail licensees involved in violation hereof shall of this section must be suspended or revoked, as determined by the department in its discretion. An entity who finds a customer to be in violation of the 7-day credit statute may report the violation to the department for an enforcement action."

Section 2. Section 16-3-301, MCA, is amended to read:

"16-3-301. Unlawful purchases, transfers, sales, or deliveries -- presumption of legal age. (1) It is unlawful for a licensed retailer to purchase or acquire beer or wine alcoholic beverages from anyone except a brewery, winery, in-state retailer as provided in subsection (9), or wholesaler licensed under the provisions of this code except as allowed in 16-4-213(8).

(2)        It is unlawful for a licensed retailer to transport beer or wine from one licensed premises or other facility to any other licensed premises owned by the licensee except as allowed in 16-4-213(8) and subsection (9) of this section.

(3)        It is unlawful for a licensed retailer to purchase or acquire liquor from anyone except an agency liquor store except as allowed in 16-4-213(8) and subsection (9) of this section.

(4)        It is unlawful for a licensed wholesaler to purchase beer or wine from anyone except a brewery, winery, or wholesaler licensed or registered under this code.

(5)        It is unlawful for any licensee, a licensee's employee, or any other person to sell, deliver, or give away or cause or permit to be sold, delivered, or given away any alcoholic beverage to:

(a)        any person under 21 years of age; or

(b)        any person actually, apparently, or obviously intoxicated.

(6)        Any person under 21 years of age or any other person who knowingly misrepresents the person's qualifications for the purpose of obtaining an alcoholic beverage from the licensee is equally guilty with the licensee and, upon conviction, is subject to the penalty provided in 45-5-624. However, nothing in this section may be construed as authorizing or permitting the sale of an alcoholic beverage to any person in violation of any federal law.

(7)        All licensees shall display in a prominent place in their premises a placard, issued by the department, stating fully the consequences for violations of the provisions of this code by persons under 21 years of age.

(8)        For purposes of 45-5-623 and this title, the establishment of the following facts by a person making a sale of alcoholic beverages to a person under the legal age constitutes prima facie evidence of innocence and a defense to a prosecution for sale of alcoholic beverages to a person under the legal age:

(a)        the purchaser falsely represented and supported with documentary evidence that an ordinary and prudent person would accept that the purchaser was of legal age to purchase alcoholic beverages;

(b)        the appearance of the purchaser was such that an ordinary and prudent person would believe the purchaser to be of legal age to purchase alcoholic beverages; and

(c)        the sale was made in good faith and in reasonable reliance upon the representation and appearance of the purchaser that the purchaser was of legal age to purchase alcoholic beverages. (See compiler's comments for contingent termination of certain text.)

(9)        A licensed retailer may purchase alcoholic beverages from a licensed in-state retailer and transport the purchased alcoholic beverages to the licensed retailer's premises. The department may penalize retailers purchasing alcohol from out-of-state retailers subject to this code."