State of Illinois
90th General Assembly
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90_HB0915

      235 ILCS 5/6-6            from Ch. 43, par. 123
          Amends the Liquor Control Act  of  1934.   Provides  that
      spirits or wine lists and menus shall be considered temporary
      inside signs rather than permanent inside signs.  Removes the
      provision   prohibiting   a   manufacturer,  distributor,  or
      importing  distributor  from   providing   coasters,   trays,
      napkins, and cups to retailers.  Effective immediately.
                                                     LRB9003771LDdv
                                               LRB9003771LDdv
 1        AN  ACT  to  amend  the  Liquor  Control  Act  of 1934 by
 2    changing Section 6-6.
 3        Be it enacted by the People of  the  State  of  Illinois,
 4    represented in the General Assembly:
 5        Section  5.  The Liquor Control Act of 1934 is amended by
 6    changing Section 6-6 as follows:
 7        (235 ILCS 5/6-6) (from Ch. 43, par. 123)
 8        Sec. 6-6.  Except as otherwise provided in  this  Act  no
 9    manufacturer  or  distributor or importing distributor shall,
10    directly, or indirectly, sell, supply, furnish, give  or  pay
11    for,  or  loan or lease, any furnishing, fixture or equipment
12    on the premises of a place of business  of  another  licensee
13    authorized under this Act to sell alcoholic liquor at retail,
14    either  for consumption on or off the premises, nor shall he,
15    directly or indirectly, pay for any such license, or advance,
16    furnish, lend or give money for payment of such  license,  or
17    purchase  or become the owner of any note, mortgage, or other
18    evidence of indebtedness of such  licensee  or  any  form  of
19    security   therefor,   nor   shall   such   manufacturer,  or
20    distributor,   or   importing   distributor,   directly    or
21    indirectly,  be  interested  in  the  ownership,  conduct  or
22    operation  of the business of any licensee authorized to sell
23    alcoholic liquor at retail, nor shall  any  manufacturer,  or
24    distributor,  or importing distributor be interested directly
25    or indirectly or as owner or part owner of said  premises  or
26    as  lessee  or  lessor  thereof,  in  any premises upon which
27    alcoholic liquor is sold at retail.
28        No manufacturer, or distributor, or importing distributor
29    shall, directly or indirectly  or  through  a  subsidiary  or
30    affiliate,  or  by  any  officer,  director  or  firm of such
31    manufacturer, distributor or importing distributor,  furnish,
                            -2-                LRB9003771LDdv
 1    give,  lend  or  rent, install, repair or maintain, to or for
 2    any retail licensee  in  this  State,  any  signs  or  inside
 3    advertising  materials except as provided in this Section and
 4    Section 6-5. With respect to retail licensees, other than any
 5    government owned or  operated  auditorium,  exhibition  hall,
 6    recreation  facility  or  other  similar  facility  holding a
 7    retailer's  license  as   described   in   Section   6-5,   a
 8    manufacturer,   distributor,  or  importing  distributor  may
 9    furnish, give, lend or rent and erect,  install,  repair  and
10    maintain  to  or  for any retail licensee, for use at any one
11    time in or about or in connection with a retail establishment
12    on which the products of  the  manufacturer,  distributor  or
13    importing  distributor  are  sold,  the  following  signs and
14    inside advertising materials as authorized in  subparts  (i),
15    (ii), (iii), and (iv):
16             (i)  Permanent outside signs shall be limited to one
17        outside  sign,  per brand, in place and in use at any one
18        time, costing not more than $893, exclusive of  erection,
19        installation,  repair  and  maintenance costs, and permit
20        fees and shall bear only the manufacturer's  name,  brand
21        name,  trade name, slogans, markings, trademark, or other
22        symbols commonly associated with and  generally  used  in
23        identifying the product.
24             (ii)  Temporary  outside  signs  shall be limited to
25        one  temporary  outside  sign  per  brand.   Examples  of
26        temporary outside signs  are  banners,  flags,  pennants,
27        streamers,   and   other   items   of   a  temporary  and
28        non-permanent nature.  Each temporary outside  sign  must
29        include  the manufacturer's name, brand name, trade name,
30        slogans, markings, trademark, or  other  symbol  commonly
31        associated  with  and  generally  used in identifying the
32        product.  Temporary outside signs may also  include,  for
33        example,  the product, price, packaging, date or dates of
34        a promotion and an announcement of  a  retail  licensee's
                            -3-                LRB9003771LDdv
 1        specific  sponsored  event, if the temporary outside sign
 2        is intended to promote a product, and provided  that  the
 3        announcement  of  the  retail  licensee's  event  and the
 4        product  promotion  are  held  simultaneously.   However,
 5        temporary outside signs may not include  names,  slogans,
 6        markings,  or logos that relate to the retailer.  Nothing
 7        in this subpart (ii)  shall  prohibit  a  distributor  or
 8        importing  distributor  from bearing the cost of creating
 9        or printing a  temporary  outside  sign  for  the  retail
10        licensee's  specific sponsored event  or from bearing the
11        cost of creating or  printing  a  temporary  sign  for  a
12        retail   licensee   containing,  for  example,  community
13        goodwill    expressions,    regional    sporting    event
14        announcements, or seasonal messages,  provided  that  the
15        primary  purpose  of  the  temporary  outside  sign is to
16        highlight,  promote,  or  advertise  the  product.     In
17        addition,   temporary   outside  signs  provided  by  the
18        manufacturer to the distributor or importing  distributor
19        may also include, for example, subject to the limitations
20        of    this   Section,   preprinted   community   goodwill
21        expressions,  sporting  event   announcements,   seasonal
22        messages,  and  manufacturer  promotional  announcements.
23        However, a distributor or importing distributor shall not
24        bear the cost of such manufacturer preprinted signs.
25             (iii)  Permanent  inside signs, whether visible from
26        the outside or the inside of the premises,  include,  but
27        are not limited to for example, neons, illuminated signs,
28        clocks, table lamps, mirrors, tap handles, decalcomanias,
29        window  painting,  and  window  trim, and spirits or wine
30        lists and menus.  All permanent inside signs in place and
31        in use at any one time  shall cost in the  aggregate  not
32        more  than  $2000  per  manufacturer.  A permanent inside
33        sign must include the manufacturer's  name,  brand  name,
34        trade name, slogans, markings, trademark, or other symbol
                            -4-                LRB9003771LDdv
 1        commonly   associated   with   and   generally   used  in
 2        identifying the product.  However, permanent inside signs
 3        may not include names, slogans, markings, or  logos  that
 4        relate  to the retailer.  For the purpose of this subpart
 5        (iii), all permanent inside signs may be displayed in  an
 6        adjacent  courtyard  or  patio  commonly referred to as a
 7        "beer garden" that is a part of the  retailer's  licensed
 8        premises.
 9             (iv)  Temporary  inside  signs  shall   include, but
10        shall not  be  limited  to  for  example,  lighted  chalk
11        boards, acrylic table tent beverage or hors d'oeuvre list
12        holders,  spirit or wine lists and menus, banners, flags,
13        pennants, streamers,  and  inside  advertising  materials
14        such  as  posters, placards, bowling sheets, table tents,
15        inserts for acrylic table tent beverage or hors  d'oeuvre
16        list holders, inserts for spirit or wine lists and menus,
17        sports  schedules,  or  similar  printed  or  illustrated
18        materials; however, such items, for example, as coasters,
19        trays,   napkins,   and  cups  may  not  be  provided  to
20        retailers.  All  temporary  inside   signs   and   inside
21        advertising materials in place and in use at any one time
22        shall  cost  in  the  aggregate  not  more  than $325 per
23        manufacturer.  Nothing in this subpart (iv)  prohibits  a
24        distributor or importing distributor from paying the cost
25        of  printing  or  creating any temporary inside banner or
26        inserts for acrylic table tent beverage or hors  d'oeuvre
27        list  holders  for  a  retail licensee, provided that the
28        primary purpose for the banner or insert is to highlight,
29        promote, or advertise the product.  For  the  purpose  of
30        this  subpart (iv), all temporary inside signs and inside
31        advertising materials may be  displayed  in  an  adjacent
32        courtyard  or  patio  commonly  referred  to  as  a "beer
33        garden"  that  is  a  part  of  the  retailer's  licensed
34        premises.
                            -5-                LRB9003771LDdv
 1        A "cost adjustment factor" shall be used to  periodically
 2    update  the  dollar  limitations  prescribed in subparts (i),
 3    (iii), and (iv).  The Commission shall establish the adjusted
 4    dollar limitation on an annual basis  beginning  in  January,
 5    1997.   The  term "cost adjustment factor" means a percentage
 6    equal to  the  change  in  the  Bureau  of  Labor  Statistics
 7    Consumer  Price  Index  or  5%,  whichever  is  greater.  The
 8    restrictions  contained  in  this Section 6-6 do not apply to
 9    signs, or promotional or advertising materials  furnished  by
10    manufacturers,  distributors  or  importing distributors to a
11    government owned or operated facility  holding  a  retailer's
12    license as described in Section 6-5.
13        No distributor or importing distributor shall directly or
14    indirectly  or  through  a subsidiary or affiliate, or by any
15    officer, director or firm of such  manufacturer,  distributor
16    or  importing  distributor,  furnish,  give,  lend  or  rent,
17    install, repair or maintain, to or for any retail licensee in
18    this  State,   any  signs  or  inside  advertising  materials
19    described  in  subparts  (i),  (ii),  (iii),  or (iv) of this
20    Section  except  as  the  agent  for  or  on  behalf   of   a
21    manufacturer,  provided  that the total cost of any signs and
22    inside advertising materials including  but  not  limited  to
23    labor,  erection,  installation and permit fees shall be paid
24    by the manufacturer whose product or products said signs, and
25    inside advertising materials advertise and except  as  herein
26    provided.
27        No  person  engaged  in  the  business  of manufacturing,
28    importing or distributing alcoholic liquors  shall,  directly
29    or  indirectly,  pay  for, or advance, furnish, or lend money
30    for the payment of any license for another. Any licensee  who
31    shall  permit  or  assent,  or  be  a party in any way to any
32    violation or infringement of the provisions of  this  Section
33    shall  be  deemed  guilty of a violation of this Act, and any
34    money loaned contrary to a provision of this Act shall not be
                            -6-                LRB9003771LDdv
 1    recovered back, or any note, mortgage or  other  evidence  of
 2    indebtedness,  or security, or any lease or contract obtained
 3    or made contrary to this Act shall be unenforceable and void.
 4        This  Section  shall  not  apply  to  airplane  licensees
 5    exercising powers provided in paragraph (i) of Section 5-1 of
 6    this Act.
 7    (Source: P.A. 89-238, eff. 8-4-95; 89-529, eff. 7-19-96.)
 8        Section 99.  Effective date.  This Act takes effect  upon
 9    becoming law.

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