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A08046 Text:

                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________

                                         8046

                              2013-2014 Regular Sessions

                                 I N  A S S E M B L Y

                                     June 17, 2013
                                      ___________

       Introduced  by  M.  of A. SCHIMMINGER -- (at request of the Governor) --
         read once and referred to the Committee on Economic Development

       AN ACT to amend the alcoholic beverage control law, in relation to brand
         or trade name labeling of alcoholic beverages

         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:

    1    Section  1.  Section  107-a  of the alcoholic beverage control law, as
    2  added by chapter 479 of the laws of 1940, subdivision 1  as  amended  by
    3  chapter  204  of  the  laws  of 1963, subdivisions 3 and 4 as amended by
    4  chapter 490 of the laws of  1993,  subparagraph  1  and  clause  (i)  of
    5  subparagraph  2  of paragraph (c) of subdivision 4 as amended by chapter
    6  213 of the laws of 2010, paragraph (d) of subdivision 4  as  amended  by
    7  chapter  361  of  the laws of 1994 and paragraph (g) of subdivision 4 as
    8  amended by chapter 109 of the laws  of  2012,  is  amended  to  read  as
    9  follows:
   10    S 107-a. Labeling  containers  of  alcoholic  beverages. 1. The liquor
   11  authority is hereby  authorized  to  promulgate  rules  and  regulations
   12  governing  the  labeling  and  offering  of alcoholic beverages bottled,
   13  packaged, sold or possessed for sale within this state.
   14    [2.] Such regulations shall be calculated to prohibit deception of the
   15  consumer; to afford him OR HER adequate information as  to  quality  and
   16  identity;  and  to achieve national uniformity [in this field] in so far
   17  as possible.
   18    [3.] 2. The bottling, packaging, sale or possession by any licensee of
   19  any alcoholic beverage not labelled or offered in conformity  with  this
   20  section  shall  be  ground for suspension, revocation or cancellation of
   21  the license.
   22    [4. (a)] 3. No [liquor, wine or  beer]  ALCOHOLIC  BEVERAGE  shall  be
   23  [labelled,]  offered  or  advertised  for  sale IN THIS STATE unless [in
   24  accordance with this section and unless the]:

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD12039-01-3
       A. 8046                             2

    1    (A) THERE IS A brand or trade name label affixed to or imprinted  upon
    2  the container of such alcoholic beverage [shall have been];
    3    (B)  SUCH  LABEL  IS registered with and approved by the authority and
    4  CONTAINS THE INFORMATION REQUIRED IN THIS SECTION; AND
    5    (C) the appropriate fee HAS BEEN paid as provided for in this section.
    6    [(b)] 4. An application for registration of  a  brand  or  trade  name
    7  label shall be filed by (1) the owner of the brand or trade name if such
    8  owner  is  licensed  by  the authority, or (2) a wholesaler selling such
    9  brand who is appointed as exclusive agent, in writing, by the  owner  of
   10  the  brand  or trade name for the purpose of filing such application, if
   11  the owner of the brand or trade name is not licensed by  the  authority,
   12  or  (3) any wholesaler, with the approval of the authority, in the event
   13  that the owner of the brand or trade name does not file or is unable  to
   14  file  such  application  or designate an agent for such purposes, or (4)
   15  any wholesaler, with the approval of the authority, in  the  event  that
   16  the  owner  of  the  brand or trade name is a retailer who does not file
   17  such application, provided that  the  retailer  shall  consent  to  such
   18  filing  by  such wholesaler. Such retailer may revoke his consent at any
   19  time, upon written notice to the authority and to such wholesaler.
   20    Unless otherwise permitted or required by the authority, the  applica-
   21  tion  for  registration  of  a  liquor or wine brand or trade name label
   22  filed pursuant to this section shall  be  filed  by  the  same  licensee
   23  filing schedules pursuant to section one hundred one-b of this [chapter]
   24  ARTICLE.
   25    Cordials  and  wines  which  differ  only as to fluid content, age, or
   26  vintage year, as defined by such regulations, shall  be  considered  the
   27  same  brand; and those that differ as to type or class may be considered
   28  the same brand by the authority where consistent with  the  purposes  of
   29  this section.
   30    [(c)]  (A)  (1)  The  application for registration of a brand or trade
   31  name label shall be filed by certified mail  return  receipt  requested,
   32  registered  mail return receipt requested, or overnight delivery service
   33  with proof of mailing, on a form prescribed by the authority, and  shall
   34  contain  such  information as the authority shall require. Such applica-
   35  tion shall be accompanied by the appropriate fee prescribed by paragraph
   36  [(d)] (B) of this subdivision.
   37    (2) Provided, however, where a brand or  trade  name  label  has  been
   38  approved  by the [federal bureau of alcohol, tobacco and firearms] ALCO-
   39  HOL AND TOBACCO TAX AND TRADE BUREAU OF THE UNITED STATES DEPARTMENT  OF
   40  TREASURY,  it  shall  be deemed registered and approved by the authority
   41  if:
   42    (i) the applicant submits on a form prescribed by  the  authority,  by
   43  certified  mail return receipt requested, registered mail return receipt
   44  requested, or overnight delivery service with proof of mailing,  a  true
   45  copy  of  the  brand or trade name label approval issued by the [federal
   46  bureau of alcohol, tobacco and firearms] ALCOHOL  AND  TOBACCO  TAX  AND
   47  TRADE  BUREAU OF THE UNITED STATES DEPARTMENT OF TREASURY along with the
   48  appropriate fee as established in paragraph [(d)] (B) of  this  subdivi-
   49  sion; and
   50    (ii)  the  authority does not deny such application within thirty days
   51  after receipt.
   52    (3) Provided, however, that where a brand or trade name label for wine
   53  has been approved  by  the  [federal  bureau  of  alcohol,  tobacco  and
   54  firearms]  ALCOHOL AND TOBACCO TAX AND TRADE BUREAU OF THE UNITED STATES
   55  DEPARTMENT OF TREASURY, it shall be deemed registered  and  approved  by
       A. 8046                             3

    1  the  authority  and no application, application fee, or annual registra-
    2  tion fee shall be submitted to the authority.
    3    [(d)]  (B)  The annual fee for registration of any brand or trade name
    4  label for liquor shall be two hundred fifty dollars; the annual fee  for
    5  registration of any brand or trade name label for beer OR CIDER shall be
    6  one  hundred fifty dollars; the annual fee for registration of any brand
    7  or trade name label for wine OR WINE PRODUCTS shall  be  fifty  dollars.
    8  Such  fee  shall  be  in the form of a check or draft. No annual fee for
    9  registration of any brand or trade name label for wine shall be required
   10  if it has been approved by the [federal bureau of alcohol,  tobacco  and
   11  firearms]  ALCOHOL AND TOBACCO TAX AND TRADE BUREAU OF THE UNITED STATES
   12  DEPARTMENT OF TREASURY pursuant to this section.
   13    Each brand or trade name label registration approved pursuant to  this
   14  section shall be valid for a term [which shall run concurrently with the
   15  term  of  the license of the person registering such brand or trade name
   16  label] OF ONE YEAR AS SET FORTH BY THE  AUTHORITY  AND  WHICH  SHALL  BE
   17  PRO-RATED FOR PARTIAL YEARS AS APPLICABLE.
   18    Each  brand or trade name label registration approved pursuant to this
   19  section shall be valid only for the licensee to whom  issued  and  shall
   20  not be transferable.
   21    [(e)] (C) If the authority shall deny the application for registration
   22  of a brand or trade name label pursuant to this section, it shall return
   23  the  registration  fee  to the applicant, less twenty-five per centum of
   24  such fee and shall notify the applicant, in writing  with  the  specific
   25  reasons for its denial.
   26    [(f)  When  not inconsistent with the purposes of this subdivision and
   27  whenever necessary to avoid practical difficulties or unnecessary  hard-
   28  ship  to any licensee affected by this section, the authority may, until
   29  October first, nineteen hundred sixty-three, exempt any brand  from  the
   30  fee  provisions  of  this  subdivision  upon satisfactory showing by the
   31  licensee that such brand is being discontinued.] (D) The  authority  may
   32  at any time exempt any discontinued brand from such fee provisions where
   33  a  manufacturer  or  wholesaler has an inventory of one hundred cases or
   34  less of liquor or wine and five hundred  cases  or  less  of  beer,  and
   35  certifies  to  the authority in writing that such brand is being discon-
   36  tinued. The authority may also at any time exempt any discontinued brand
   37  from such fee provisions where a retailer discontinuing a brand owned by
   38  him has a balance of an order yet to be delivered of fifty cases or less
   39  of liquor or wine, or two hundred fifty cases  or  less  of  beer,  WINE
   40  PRODUCTS OR CIDER.
   41    [(g)]  (E)  The  authority  shall  exempt from such fee provisions the
   42  registration of each brand OR TRADE NAME label used for  beer  OR  CIDER
   43  that  is produced in small size batches totaling fifteen hundred barrels
   44  [of beer] or less OF BEER OR CIDER annually.
   45    (F) THE AUTHORITY SHALL EXEMPT FROM SUCH FEE PROVISIONS THE  REGISTRA-
   46  TION  OF  EACH BRAND OR TRADE NAME LABEL USED FOR SPIRITS OR LIQUOR THAT
   47  IS PRODUCED IN SMALL SIZE BATCHES TOTALING ONE THOUSAND GALLONS OR  LESS
   48  OF SPIRITS OR LIQUOR ANNUALLY.
   49    5.  (A)  EACH  BRAND  OR  TRADE NAME LABEL SHALL CONTAIN THE FOLLOWING
   50  INFORMATION:
   51    (I) THE BRAND OR TRADE NAME;
   52    (II) THE CLASS AND TYPE  (IF  APPLICABLE)  OF  ALCOHOLIC  BEVERAGE  IN
   53  ACCORDANCE  WITH THE LABELING REGULATIONS PROMULGATED BY THE ALCOHOL AND
   54  TOBACCO TAX AND TRADE BUREAU OF THE UNITED STATES DEPARTMENT  OF  TREAS-
   55  URY; AND
   56    (III) THE NET CONTENTS OF THE CONTAINER.
       A. 8046                             4

    1    (B) THE BRAND OR TRADE NAME LABEL, OR A SEPARATE LABEL ON THE FRONT OR
    2  BACK  OF  THE  CONTAINER  SHALL  CONTAIN INFORMATION CONSISTENT WITH THE
    3  LABELING REGULATIONS PROMULGATED BY THE  ALCOHOL  AND  TOBACCO  TAX  AND
    4  TRADE BUREAU OF THE UNITED STATES DEPARTMENT OF TREASURY.
    5    (C)  NO  BRAND OR TRADE NAME LABEL, OR ANY SEPARATE LABEL ON THE FRONT
    6  OR BACK OF THE CONTAINER SHALL CONTAIN:
    7    (I) ANY STATEMENT THAT IS FALSE OR UNTRUE IN ANY PARTICULAR MANNER;
    8    (II) ANY STATEMENT THAT IS DISPARAGING OF A COMPETITOR'S PRODUCT;
    9    (III) ANY STATEMENT, DESIGN, DEVICE OR REPRESENTATION THAT  IS  LIKELY
   10  TO MISLEAD THE CONSUMER; OR
   11    (IV)  ANY  STATEMENT  OR  CLAIM  OF HEALTH BENEFITS TO BE DERIVED FROM
   12  CONSUMPTION BY THE CONSUMER.
   13    (D) A SEPARATE LABEL REGISTRATION SHALL BE REQUIRED IN CONNECTION WITH
   14  THE REGISTRATION OF A BRAND OR TRADE NAME LABEL USED WHERE  THERE  IS  A
   15  DIFFERENCE IN ANY OF THE FOLLOWING INFORMATION:
   16    (I) THE BRAND OR TRADE NAME;
   17    (II)  THE  CLASS  AND  TYPE  (IF  APPLICABLE) OF ALCOHOLIC BEVERAGE IN
   18  ACCORDANCE WITH FEDERAL LABEL REGULATIONS; OR
   19    (III) A PRIVATE LABEL OWNED AND  SOLD  EXCLUSIVELY  BY  ONE  RETAILER,
   20  WHERE  THE ALCOHOLIC BEVERAGE IS MANUFACTURED, BOTTLED, OR IMPORTED BY A
   21  DIFFERENT MANUFACTURER, BOTTLER, OR IMPORTER, PROVIDED ALL OTHER  INFOR-
   22  MATION APPEARING ON THE LABEL IS THE SAME.
   23    S 2. This act shall take effect on the one hundred eightieth day after
   24  it shall have become a law.
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