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By: Whitmire S.B. No. 1471
A BILL TO BE ENTITLED
AN ACT
relating to consumer gifts and prizes in connection with the
marketing of alcoholic beverages.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subsections (d) and (e), Section 102.07,
Alcoholic Beverage Code, are amended to read as follows:
(d) A permittee covered under Subsection (a) [of this
section] may offer prizes, premiums, or gifts to a consumer if the
offer is part of a multistate promotion [national in scope] and
legally offered and conducted in at least five [30] states [or
more]. The costs of the promotion shall be paid in total by the
originating permittee. The use of rebates or coupons redeemable by
the public for the purchase of alcoholic beverages is prohibited.
The holder of a winery permit may furnish to a retailer without cost
recipes, recipe books, book matches, cocktail napkins, or other
advertising items showing the name of the winery furnishing the
items or the brand name of the product advertised if the individual
cost of the items does not exceed $1.
(e) A permittee covered under Subsection (a) [of this
section] may conduct a sweepstakes promotion if the promotion is
part of a multistate promotion [nationally conducted promotional
activity] legally offered and conducted at the same time in at least
five [30 or more] states. The costs of the promotion shall be paid
in total by the originating permittee. A purchase or entry fee may
not be required of any person to enter a sweepstakes event
authorized under this subsection. A person affiliated with the
alcoholic beverage industry may not receive a prize from a
sweepstakes promotion.
SECTION 2. Section 108.061, Alcoholic Beverage Code, is
amended to read as follows:
Sec. 108.061. NATIONALLY CONDUCTED SWEEPSTAKES PROMOTIONS
AUTHORIZED. Notwithstanding the prohibition against prizes given
to a consumer in Section 108.06 [of this code] and subject to the
rules of the commission, a manufacturer or nonresident manufacturer
may offer a prize to a consumer if the offer is a part of a
multistate [nationally conducted promotional] sweepstakes activity
legally offered and conducted at the same time period in at least
five [30 or more] states. The costs of the promotion shall be paid
in total by the originating permittee. A purchase or entry fee may
not be required of any person to enter in a sweepstakes authorized
under this section. A person affiliated with the alcoholic
beverage industry may not receive a prize from a sweepstakes
promotion.
SECTION 3. The Texas Alcoholic Beverage Commission shall
adopt rules implementing the changes in law made by this Act to
Sections 102.07 and 108.061, Alcoholic Beverage Code, as soon as
practicable after the effective date of this Act.
SECTION 4. This Act takes effect September 1, 2005.