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March 13, 2009
ENGROSSED
HOUSE BILL No. 1037
_____
DIGEST OF HB 1037
(Updated March 11, 2009 2:39 pm - DI 110)
Citations Affected: IC 7.1-3.
Synopsis: Product transfer between beer wholesalers. Provides that a
primary source of supply that acquires brands of beer or flavored malt
beverages: (1) shall reappoint the existing beer wholesaler to distribute
the brands; and (2) is prohibited from transferring the brands to another
beer wholesaler; if the brands represent at least 15% of the existing
wholesaler's dollar sales in the 12 months preceding the acquisition.
Requires a primary source of supply that acquires brands of beer or
flavored malt beverages to give a beer wholesaler notice of the primary
source of supply's intent not to reappoint the wholesaler not later than
60 days after acquisition of the brands.
Effective: July 1, 2009.
January 7, 2009, read first time and referred to Committee on Public Policy.
February 19, 2009, amended, reported _ Do Pass.
February 23, 2009, read second time, ordered engrossed. Engrossed.
February 24, 2009, read third time, passed. Yeas 89, nays 5.
SENATE ACTION
February 25, 2009, read first time and referred to Committee on Commerce, Public Policy
and Interstate Cooperation.
March 12, 2009, reported favorably _ Do Pass.
March 13, 2009
First Regular Session 116th General Assembly (2009)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in
this style type, and deletions will appear in
this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in
this style type. Also, the
word
NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in
this style type or
this style type reconciles conflicts
between statutes enacted by the 2008 Regular Session of the General Assembly.
ENGROSSED
HOUSE BILL No. 1037
A BILL FOR AN ACT to amend the Indiana Code concerning
alcohol and tobacco.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 7.1-3-25-4.5; (09)EH1037.1.1. -->
SECTION 1. IC 7.1-3-25-4.5 IS ADDED TO THE INDIANA
CODE AS A
NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2009]:
Sec. 4.5. (a) Except as provided in
subsection (b), a successor, upon acquiring products, shall:
(1) reappoint the existing wholesaler for:
(A) all acquired products; and
(B) the territories covered by the existing wholesaler for
the products; or
(2) comply with this chapter to transfer the products to
another wholesaler.
(b) If the products acquired by a successor represent at least
fifteen percent (15%) of an existing wholesaler's dollar sales in the
twelve (12) months preceding the closing of the transaction in
which the successor acquires the products, the successor:
(1) shall reappoint the existing wholesaler for:
(A) all acquired products; and
(B) the territories covered by the existing wholesaler for
the products; and
(2) may not transfer the product to another wholesaler.
SOURCE: IC 7.1-3-25-6; (09)EH1037.1.2. -->
SECTION 2. IC 7.1-3-25-6, AS ADDED BY P.L.224-2005,
SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2009]: Sec. 6. The successor shall notify the existing
wholesaler of the successor's intent not to appoint the existing
wholesaler for all or a part of the existing wholesaler's territory for the
product
not later than sixty (60) days after the closing of the
transaction in which the successor acquires the product. The
successor shall mail the notice by certified mail, return receipt
requested, to the existing wholesaler. The successor shall include in the
notice the names, addresses, and telephone numbers of the successor's
designees.