(a) For any sale or offer of sale of beer by a beer wholesaler within the state, the beer wholesaler shall comply with all of the following:

(1) Pursuant to Section 25000.5, the beer wholesaler shall file and maintain with the department a written territorial agreement with each beer manufacturer prior to the wholesaler’s sale or offer of sale of each beer manufacturer’s beer.

Terms Used In California Business and Professions Code 23378.05

  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • license: means license, certificate, registration, or other means to engage in a business or profession regulated by this code or referred to in Section 1000 or 3600. See California Business and Professions Code 23.7
  • State: means the State of California, unless applied to the different parts of the United States. See California Business and Professions Code 21

(2) Pursuant to Section 25000, the beer wholesaler shall file prices with the department for each beer manufacturer’s beer prior to the wholesaler’s sale or offer of sale of each manufacturer’s beer.

(3) (A) The beer wholesaler shall own or lease a warehouse sufficient to store at one time a stock of beer equal to 10 percent or more of the wholesaler’s annual volume of beer case and keg sales to retailers within this state.

(B) The beer wholesaler shall maintain at all times in a warehouse either owned or leased by the wholesaler a stock of beer equal to not less than 5 percent of the wholesaler’s annual volume of beer case and keg sales to retailers within this state.

(C) If a beer wholesaler has more than one leased or owned licensed warehouse premises, the wholesaler shall be required to comply with the conditions of subparagraphs (A) and (B) only in connection with one licensed warehouse premises.

(4) The beer wholesaler shall receive all beer for sale at the wholesaler’s licensed warehouse premises, unload and maintain the beer on the premises, and record the beer into the wholesaler’s inventory and for the California Beverage Container Recycling and Litter Reduction Act, prior to any sale or reloading for delivery.

(5) The beer wholesaler shall sell only beer that the wholesaler owns and has in physical possession and that is not acquired, held, or offered for sale under consignment.

(6) The beer wholesaler shall sell beer only from the wholesaler’s licensed warehouse premises or pursuant to Section 23388.

(7) The beer wholesaler shall deliver all beer sold to retailers for delivery from the wholesaler’s licensed warehouse premises only with equipment owned, leased, or rented by the wholesaler.

(8) The beer wholesaler shall sell beer for resale generally and not to a single retailer or retailers that have a direct or indirect interest in the wholesaler or in each other and that are owned in whole or in part or managed or controlled directly or indirectly by the retailer or retailers.

(b) For purposes of this section, “beer manufacturer” means any holder of a beer manufacturer’s license, any holder of an out-of-state beer manufacturer’s certificate, or any holder of a beer and wine importer’s general license.

(Added by Stats. 2018, Ch. 492, Sec. 1. (AB 2469) Effective January 1, 2019.)