(a) Each holder of a brewer‘s or nonresident brewer’s license shall designate territorial limits in this state within which the brands of malt beverages the licensee brews may be sold by general or branch distributor’s licensees.
(b) Each holder of a general or branch distributor’s license shall enter into a written agreement with each brewer from which the distributor purchases malt beverages for distribution and sale in this state setting forth the sales territory within which each brand of malt beverage purchased by that distributor may be distributed and sold. No holder of a general or branch distributor’s license shall make any sales of any brand of malt beverage outside the sales territory specified in the written agreement. No such agreement shall interfere with the rights of retailers to purchase malt beverages as provided in § 102.53. A brewer may not assign all or any part of the same sales territory to more than one distributor. A copy of the agreement and any amendments to it shall be filed with the administrator.

Terms Used In Texas Alcoholic Beverage Code 102.51

  • Amendment: A proposal to alter the text of a pending bill or other measure by striking out some of it, by inserting new language, or both. Before an amendment becomes part of the measure, thelegislature must agree to it.
  • Brewer: means a person engaged in the brewing of malt beverages, whether located inside or outside the state. See Texas Alcoholic Beverage Code 1.04
  • Licensee: means a person who is the holder of a license provided in this code, or any agent, servant, or employee of that person. See Texas Alcoholic Beverage Code 1.04
  • Malt beverage: means a fermented beverage of any name or description containing one-half of one percent or more of alcohol by volume, brewed or produced from malt, in whole or in part, or from any malt substitute. See Texas Alcoholic Beverage Code 1.04
  • Written: includes any representation of words, letters, symbols, or figures. See Texas Government Code 311.005

(c) This Act is promulgated pursuant to the authority of the state under the provisions of the Twenty-first Amendment to the United States Constitution to promote the public interest in the fair, efficient, and competitive distribution of malt beverages, to increase competition in such areas, and to assure product quality control and accountability by allowing brewers to assign sales territories within this state.