Louisiana Revised Statutes 26:804 – Prohibited acts by wholesaler
Terms Used In Louisiana Revised Statutes 26:804
- Agreement: means any agreement between a wholesaler and a supplier, whether oral or written, whereby a wholesaler is granted the right to purchase and sell a brand or brands of beer sold by a supplier. See Louisiana Revised Statutes 26:802
- Beer: means a beverage obtained by alcoholic fermentation of an infusion or concoction of barley or other grain, malt, and hops in water. See Louisiana Revised Statutes 26:802
- Designated member: means the spouse, child, grandchild, parent, brother, or sister of a deceased individual who owned an interest, including a controlling interest, in a wholesaler, or any person who inherits under the deceased individual's will, or under the laws of intestate succession of this state; or any person who or entity which has otherwise, through a valid testamentary device by the deceased individual, succeeded the deceased individual in the wholesaler's business, or has succeeded to the deceased individual's ownership interest in the wholesaler pursuant to a written contract or instrument which has been previously approved by the supplier; and also includes the appointed and qualified personal representative and the testamentary trustee of a deceased individual owning an ownership interest in a wholesaler. See Louisiana Revised Statutes 26:802
- Sales territory: means an area of exclusive sales responsibility for the brand or brands of beer sold by a supplier as designated by an agreement. See Louisiana Revised Statutes 26:802
- Supplier: means a manufacturer or importer of beer and light wine brands as registered with the commissioner. See Louisiana Revised Statutes 26:802
- Wholesaler: means a wholesaler of beer and light wine as licensed under this Title. See Louisiana Revised Statutes 26:802
A wholesaler shall not do any of the following:
(1) Fail to devote such efforts and resources to the sale and distribution of all the supplier‘s brands of beer which the wholesaler has been granted the right to sell or distribute as are required in the wholesaler’s agreement with the supplier.
(2) Sell or deliver beer to a retail licensee located outside the sales territory designated to the wholesaler by the supplier of a particular brand or brands of beer. However, during periods of temporary service interruptions impacting a particular sales territory, a supplier may appoint another wholesaler to service the sales territory during the period of temporary service interruption. A wholesaler who is designated to service the impacted sales territory during the period of temporary service interruption shall not be in violation of this Chapter, and shall not have any of the rights provided under La. Rev. Stat. 26:805 and 807 with respect to the temporary service territory.
(3) Transfer the wholesaler’s business without giving the supplier written notice of intent to transfer the wholesaler’s business and, when required by this Chapter, receiving the supplier’s approval for the proposed transfer. Consent or approval of the supplier shall not be required of any transfer of the wholesaler’s business to a designated member, or of any transfer of less than ten percent of the wholesaler’s business unless such transfer results in a change in control. However, the wholesaler shall give the supplier written notice of any change in ownership of the wholesaler.
Acts 1993, No. 132, §1, eff. May 26, 1993.