4-3-402. Processors, manufacturers, or distributors — Unlawful to give money, equipment, or fixtures to retailer or consumer — Exceptions — Shelf space for dairy products.
| (1) |
As used in this section:
Terms Used In Utah Code 4-3-402- Distributor: means any person who distributes a dairy product. See Utah Code 4-3-102
- 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
- Manufacturer: means any person who processes milk in a way that changes the milk's character. See Utah Code 4-3-102
- Processor: means any person who subjects milk to a process. See Utah Code 4-3-102
- Retailer: means any person who sells or distributes dairy products directly to the consumer. See Utah Code 4-3-102
- Trial: A hearing that takes place when the defendant pleads "not guilty" and witnesses are required to come to court to give evidence.
| (a) |
“liquid dairy product” means a milk container which contains a pint of milk or less; and |
| (b) |
“novelty ice cream” means a package or container of ice cream which contains eight fluid ounces or less. |
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| (2) |
Except as provided in Subsections (3) and (4), no processor, manufacturer, distributor, or his affiliates, subsidiaries, associates, agents or stockholders shall furnish, service, repair, give, lease, sell, or loan to a retailer or consumer any:
| (c) |
fixtures, including ice cream cabinets or bulk milk dispensers; |
| (d) |
supplies, excluding expendable supplies commonly provided in connection with the sale of dairy products to a consumer; or |
| (e) |
other things having a real or substantial value. |
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| (3) |
| (a) |
Ice cream cabinets may be loaned or sold to a retailer if the ice cream cabinet:
| (ii) |
has a storage capacity not exceeding 12 cubic feet; and |
| (iii) |
is used solely for retail display sales of novelty ice cream. |
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| (b) |
Milk coolers may be loaned or sold to a retailer if the milk cooler:
| (ii) |
has a storage capacity not exceeding 12 cubic feet; and |
| (iii) |
is used solely for retail display sales of liquid dairy products. |
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| (4) |
The leasing or renting of cabinets, dispensers, or coolers for dairy products for civic affairs, demonstrations, or exhibits is prohibited unless it is for a period of 10 days or less in any one period of three consecutive months. |
| (5) |
| (a) |
Except as provided in Subsections (5)(b) and (5)(c), no retailer shall lease, sell, or loan shelf or refrigerator space for dairy products to a processor, manufacturer, or distributor or receive anything of value from a processor, manufacturer, or distributor in exchange for shelf or refrigerator space for dairy products. |
| (b) |
Subsection (5)(a) does not apply to a dairy by-product that is:
| (i) |
a short-term special; or |
| (ii) |
a new product being introduced on a trial basis for a period not to exceed 45 days. |
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| (c) |
A processor, manufacturer, or distributor may loan or sell an ice cream cabinet or milk cooler to a retailer for the display of the processor’s, manufacturer’s, or distributor’s products, if the ice cream cabinet or milk cooler meets the requirements of Subsection (3). |
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Renumbered and Amended by Chapter 345, 2017 General Session
