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Public Act 102-0008


 

Public Act 0008 102ND GENERAL ASSEMBLY

  
  
  

 


 
Public Act 102-0008
 
SB0104 EnrolledLRB102 15482 HLH 20845 b

    AN ACT concerning hospitality.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 1. This Act may be referred to as the COVID-19
Pandemic Hospitality Recovery Act.
 
    Section 5. The Liquor Control Act of 1934 is amended by
changing Sections 6-5 and 6-28.8 and by adding Section 6-37 as
follows:
 
    (235 ILCS 5/6-5)  (from Ch. 43, par. 122)
    Sec. 6-5. Except as otherwise provided in this Section, it
is unlawful for any person having a retailer's license or any
officer, associate, member, representative or agent of such
licensee to accept, receive or borrow money, or anything else
of value, or accept or receive credit (other than
merchandising credit in the ordinary course of business for a
period not to exceed 30 days) directly or indirectly from any
manufacturer, importing distributor or distributor of
alcoholic liquor, or from any person connected with or in any
way representing, or from any member of the family of, such
manufacturer, importing distributor, distributor or
wholesaler, or from any stockholders in any corporation
engaged in manufacturing, distributing or wholesaling of such
liquor, or from any officer, manager, agent or representative
of said manufacturer. Except as provided below, it is unlawful
for any manufacturer or distributor or importing distributor
to give or lend money or anything of value, or otherwise loan
or extend credit (except such merchandising credit) directly
or indirectly to any retail licensee or to the manager,
representative, agent, officer or director of such licensee. A
manufacturer, distributor or importing distributor may furnish
free advertising, posters, signs, brochures, hand-outs, or
other promotional devices or materials to any unit of
government owning or operating any auditorium, exhibition
hall, recreation facility or other similar facility holding a
retailer's license, provided that the primary purpose of such
promotional devices or materials is to promote public events
being held at such facility. A unit of government owning or
operating such a facility holding a retailer's license may
accept such promotional devices or materials designed
primarily to promote public events held at the facility. No
retail licensee delinquent beyond the 30 day period specified
in this Section shall solicit, accept or receive credit,
purchase or acquire alcoholic liquors, directly or indirectly
from any other licensee, and no manufacturer, distributor or
importing distributor shall knowingly grant or extend credit,
sell, furnish or supply alcoholic liquors to any such
delinquent retail licensee; provided that the purchase price
of all beer sold to a retail licensee shall be paid by the
retail licensee in cash on or before delivery of the beer, and
unless the purchase price payable by a retail licensee for
beer sold to him in returnable bottles shall expressly include
a charge for the bottles and cases, the retail licensee shall,
on or before delivery of such beer, pay the seller in cash a
deposit in an amount not less than the deposit required to be
paid by the distributor to the brewer; but where the brewer
sells direct to the retailer, the deposit shall be an amount no
less than that required by the brewer from his own
distributors; and provided further, that in no instance shall
this deposit be less than 50 cents for each case of beer in
pint or smaller bottles and 60 cents for each case of beer in
quart or half-gallon bottles; and provided further, that the
purchase price of all beer sold to an importing distributor or
distributor shall be paid by such importing distributor or
distributor in cash on or before the 15th day (Sundays and
holidays excepted) after delivery of such beer to such
purchaser; and unless the purchase price payable by such
importing distributor or distributor for beer sold in
returnable bottles and cases shall expressly include a charge
for the bottles and cases, such importing distributor or
distributor shall, on or before the 15th day (Sundays and
holidays excepted) after delivery of such beer to such
purchaser, pay the seller in cash a required amount as a
deposit to assure the return of such bottles and cases.
Nothing herein contained shall prohibit any licensee from
crediting or refunding to a purchaser the actual amount of
money paid for bottles, cases, kegs or barrels returned by the
purchaser to the seller or paid by the purchaser as a deposit
on bottles, cases, kegs or barrels, when such containers or
packages are returned to the seller. Nothing herein contained
shall prohibit any manufacturer, importing distributor or
distributor from extending usual and customary credit for
alcoholic liquor sold to customers or purchasers who live in
or maintain places of business outside of this State when such
alcoholic liquor is actually transported and delivered to such
points outside of this State.
    A manufacturer, distributor, or importing distributor may
furnish free social media advertising to a retail licensee if
the social media advertisement does not contain the retail
price of any alcoholic liquor and the social media
advertisement complies with any applicable rules or
regulations issued by the Alcohol and Tobacco Tax and Trade
Bureau of the United States Department of the Treasury. A
manufacturer, distributor, or importing distributor may list
the names of one or more unaffiliated retailers in the
advertisement of alcoholic liquor through social media.
Nothing in this Section shall prohibit a retailer from
communicating with a manufacturer, distributor, or importing
distributor on social media or sharing media on the social
media of a manufacturer, distributor, or importing
distributor. A retailer may request free social media
advertising from a manufacturer, distributor, or importing
distributor. Nothing in this Section shall prohibit a
manufacturer, distributor, or importing distributor from
sharing, reposting, or otherwise forwarding a social media
post by a retail licensee, so long as the sharing, reposting,
or forwarding of the social media post does not contain the
retail price of any alcoholic liquor. No manufacturer,
distributor, or importing distributor shall pay or reimburse a
retailer, directly or indirectly, for any social media
advertising services, except as specifically permitted in this
Act. No retailer shall accept any payment or reimbursement,
directly or indirectly, for any social media advertising
services offered by a manufacturer, distributor, or importing
distributor, except as specifically permitted in this Act. For
the purposes of this Section, "social media" means a service,
platform, or site where users communicate with one another and
share media, such as pictures, videos, music, and blogs, with
other users free of charge.
    No right of action shall exist for the collection of any
claim based upon credit extended to a distributor, importing
distributor or retail licensee contrary to the provisions of
this Section.
    Every manufacturer, importing distributor and distributor
shall submit or cause to be submitted, to the State
Commission, in triplicate, not later than Thursday of each
calendar week, a verified written list of the names and
respective addresses of each retail licensee purchasing
spirits or wine from such manufacturer, importing distributor
or distributor who, on the first business day of that calendar
week, was delinquent beyond the above mentioned permissible
merchandising credit period of 30 days; or, if such is the
fact, a verified written statement that no retail licensee
purchasing spirits or wine was then delinquent beyond such
permissible merchandising credit period of 30 days.
    Every manufacturer, importing distributor and distributor
shall submit or cause to be submitted, to the State
Commission, in triplicate, a verified written list of the
names and respective addresses of each previously reported
delinquent retail licensee who has cured such delinquency by
payment, which list shall be submitted not later than the
close of the second full business day following the day such
delinquency was so cured.
    Such written verified reports required to be submitted by
this Section shall be posted by the State Commission in each of
its offices in places available for public inspection not
later than the day following receipt thereof by the
Commission. The reports so posted shall constitute notice to
every manufacturer, importing distributor and distributor of
the information contained therein. Actual notice to
manufacturers, importing distributors and distributors of the
information contained in any such posted reports, however
received, shall also constitute notice of such information.
    The 30 day merchandising credit period allowed by this
Section shall commence with the day immediately following the
date of invoice and shall include all successive days
including Sundays and holidays to and including the 30th
successive day.
    In addition to other methods allowed by law, payment by
check or credit card during the period for which merchandising
credit may be extended under the provisions of this Section
shall be considered payment. All checks received in payment
for alcoholic liquor shall be promptly deposited for
collection. A post dated check or a check dishonored on
presentation for payment shall not be deemed payment.
    A credit card payment in dispute by a retailer shall not be
deemed payment, and the debt uncured for merchandising credit
shall be reported as delinquent. Nothing in this Section shall
prevent a distributor, self-distributing manufacturer, or
importing distributor from assessing a usual and customary
transaction fee representative of the actual finance charges
incurred for processing a credit card payment. This
transaction fee shall be disclosed on the invoice. It shall be
considered unlawful for a distributor, importing distributor,
or self-distributing manufacturer to waive finance charges for
retailers.
    A retail licensee shall not be deemed to be delinquent in
payment for any alleged sale to him of alcoholic liquor when
there exists a bona fide dispute between such retailer and a
manufacturer, importing distributor or distributor with
respect to the amount of indebtedness existing because of such
alleged sale. A retail licensee shall not be deemed to be
delinquent under this provision and 11 Ill. Adm. Code 100.90
until 30 days after the date on which the region in which the
retail licensee is located enters Phase 4 of the Governor's
Restore Illinois Plan as issued on May 5, 2020.
    A delinquent retail licensee who engages in the retail
liquor business at 2 or more locations shall be deemed to be
delinquent with respect to each such location.
    The license of any person who violates any provision of
this Section shall be subject to suspension or revocation in
the manner provided by this Act.
    If any part or provision of this Article or the
application thereof to any person or circumstances shall be
adjudged invalid by a court of competent jurisdiction, such
judgment shall be confined by its operation to the controversy
in which it was mentioned and shall not affect or invalidate
the remainder of this Article or the application thereof to
any other person or circumstance and to this and the
provisions of this Article are declared severable.
(Source: P.A. 101-631, eff. 6-2-20.)
 
    (235 ILCS 5/6-28.8)
    (Section scheduled to be repealed on June 2, 2021)
    Sec. 6-28.8. Delivery and carry out of mixed drinks
permitted.
    (a) In this Section:
    "Cocktail" or "mixed drink" means any beverage obtained by
combining ingredients alcoholic in nature, whether brewed,
fermented, or distilled, with ingredients non-alcoholic in
nature, such as fruit juice, lemonade, cream, or a carbonated
beverage.
    "Original container" means, for the purposes of this
Section only, a container that is (i) filled, sealed, and
secured by a retail licensee's employee at the retail
licensee's location with a tamper-evident lid or cap or (ii)
filled and labeled by the manufacturer and secured by the
manufacturer's original unbroken seal.
    "Sealed container" means a rigid container that contains a
mixed drink or a single serving of wine, is new, has never been
used, has a secured lid or cap designed to prevent consumption
without removal of the lid or cap, and is tamper-evident.
"Sealed container" includes a manufacturer's original
container as defined in this subsection. "Sealed container"
does not include a container with a lid with sipping holes or
openings for straws or a container made of plastic, paper, or
polystyrene foam.
    "Tamper-evident" means a lid or cap that has been sealed
with tamper-evident covers, including, but not limited to, wax
dip or heat shrink wrap.
    (b) A cocktail, or mixed drink, or single serving of wine
placed in a sealed container by a retail licensee at the retail
licensee's location or a manufacturer's original container may
be transferred and sold for off-premises consumption if the
following requirements are met:
        (1) the cocktail, mixed drink, or single serving of
    wine is transferred within the licensed premises, by a
    curbside pickup, or by delivery by an employee of the
    retail licensee who:
            (A) has been trained in accordance with Section
        6-27.1 at the time of the sale;
            (B) is at least 21 years of age; and
            (C) upon delivery, verifies the age of the person
        to whom the cocktail, mixed drink, or single serving
        of wine is being delivered;
        (2) if the employee delivering the cocktail, mixed
    drink, or single serving of wine is not able to safely
    verify a person's age or level of intoxication upon
    delivery, the employee shall cancel the sale of alcohol
    and return the product to the retail license holder;
        (3) the sealed container is placed in the trunk of the
    vehicle or if there is no trunk, in the vehicle's rear
    compartment that is not readily accessible to the
    passenger area;
        (4) except for a manufacturer's original container, a
    the sealed container filled and sealed at a retail
    licensee's location shall be affixed with a label or tag
    that contains the following information:
            (A) the cocktail or mixed drink ingredients, type,
        and name of the alcohol;
            (B) the name, license number, and address of the
        retail licensee that filled the original container and
        sold the product;
            (C) the volume of the cocktail, or mixed drink, or
        single serving of wine in the sealed container; and
            (D) the sealed container was filled less than 7
        days before the date of sale; and .
        (5) a manufacturer's original container shall be
    affixed with a label or tag that contains the name,
    license number, and address of the retail licensee that
    sold the product.
    (c) Third-party delivery services are not permitted to
deliver cocktails and mixed drinks under this Section.
    (d) If there is an executive order of the Governor in
effect during a disaster, the employee delivering the mixed
drink, or cocktail, or single serving of wine must comply with
any requirements of that executive order, including, but not
limited to, wearing gloves and a mask and maintaining
distancing requirements when interacting with the public.
    (e) Delivery or carry out of a cocktail, or mixed drink, or
single serving of wine is prohibited if:
        (1) a third party delivers the cocktail or mixed
    drink;
        (2) a container of a mixed drink, or cocktail, or
    single serving of wine is not tamper-evident and sealed;
        (3) a container of a mixed drink, or cocktail, or
    single serving of wine is transported in the passenger
    area of a vehicle;
        (4) a mixed drink, or cocktail, or single serving of
    wine is delivered by a person or to a person who is under
    the age of 21; or
        (5) the person delivering a mixed drink, or cocktail,
    or single serving of wine fails to verify the age of the
    person to whom the mixed drink or cocktail is being
    delivered.
    (f) Violations of this Section shall be subject to any
applicable penalties, including, but not limited to, the
penalties specified under Section 11-502 of the Illinois
Vehicle Code.
    (f-5) This Section is not intended to prohibit or preempt
the ability of a brew pub, tap room, or distilling pub to
continue to temporarily deliver alcoholic liquor pursuant to
guidance issued by the State Commission on March 19, 2020
entitled "Illinois Liquor Control Commission, COVID-19 Related
Actions, Guidance on Temporary Delivery of Alcoholic Liquor".
This Section shall only grant authorization to holders of
State of Illinois retail liquor licenses but not to licensees
that simultaneously hold any licensure or privilege to
manufacture alcoholic liquors within or outside of the State
of Illinois.
    (g) This Section is not a denial or limitation of home rule
powers and functions under Section 6 of Article VII of the
Illinois Constitution.
    (h) This Section is repealed on January 3, 2024 one year
after the effective date of this amendatory Act of the 101st
General Assembly.
(Source: P.A. 101-631, eff. 6-2-20.)
 
    (235 ILCS 5/6-37 new)
    Sec. 6-37. Hospitality vaccination incentive; temporary.
    (a) Notwithstanding any other provision of law, from June
10, 2021 through July 10, 2021, a retail licensee may offer a
single drink of alcoholic liquor at no cost to a customer as
part of a publicly advertised promotion to encourage
participation in any COVID-19 vaccination program if the
customer provides proof of COVID-19 vaccination received at
any time. Drinks may be provided under this Section only from 6
p.m. through 10 p.m.
    This Section is subject to any rule or bulletin posted by
the State Commission.
    (b) A retail licensee's participation in providing a
single drink of alcoholic liquor is voluntary and a retail
licensee may refuse to provide a single drink at no charge. The
retail licensee may determine or restrict which single drink
of alcoholic liquor it will provide at no cost but under no
circumstances may a single drink of alcoholic liquor exceed
1.5 ounces of distilled spirits, 5 ounces of wine, or 12 ounces
of beer.
    (c) A local liquor control commissioner or local liquor
control commission may prohibit retail licensees within its
jurisdiction from providing a single drink of alcoholic liquor
at no charge by promulgating a rule or policy preempting this
Section.
    (d) After receiving a single drink of alcoholic liquor at
no charge, no customer shall receive a subsequent drink from
the retail licensee providing the drink at no charge or from
another retail licensee on the same day or any subsequent day.
In addition to abiding by all other alcoholic liquor sales
laws, before providing a single drink at no charge, the retail
licensee shall develop procedures to verify the identity of
the vaccinated customer by comparing the vaccination card to a
form of valid federal or State identification. The retail
licensee shall develop procedures to ensure that a customer
does not obtain more than a single drink at no charge and the
retail licensee shall be subject to penalties imposed by the
State Commission if the retail licensee provides more than a
single drink to a particular customer at no charge.
    (e) The State Commission may publish further guidelines on
the implementation of this Section not inconsistent with this
Section and shall post them on the State Commission's website.
    (f) This Section is repealed on July 11, 2021.
 
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 6/2/2021