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92nd General Assembly

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Public Act 92-0672

HB4462 Enrolled                                LRB9212768LDtm

    AN ACT in relation to alcoholic liquor.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.  The Liquor Control Act of 1934 is amended by
changing Section 5-1 as follows:

    (235 ILCS 5/5-1) (from Ch. 43, par. 115)
    Sec. 5-1.  Licenses issued by the Illinois Liquor Control
Commission shall be of the following classes:
    (a)  Manufacturer's license - Class 1.  Distiller,  Class
2.   Rectifier,  Class 3.  Brewer, Class 4.  First Class Wine
Manufacturer,  Class  5.   Second  Class  Wine  Manufacturer,
Class  6.  First  Class  Winemaker,  Class  7.  Second  Class
Winemaker, Class 8. Limited Wine Manufacturer,
    (b)  Distributor's license,
    (c)  Importing Distributor's license,
    (d)  Retailer's license,
    (e)  Special Event Retailer's license (not-for-profit),
    (f)  Railroad license,
    (g)  Boat license,
    (h)  Non-Beverage User's license,
    (i)  Wine-maker's premises license,
    (j)  Airplane license,
    (k)  Foreign importer's license,
    (l)  Broker's license,
    (m)  Non-resident dealer's license,
    (n)  Brew Pub license,
    (o)  Auction liquor license,
    (p)  Caterer retailer license,
    (q)  Special use permit license.
    No person, firm, partnership, corporation, or other legal
business  entity that is engaged in the manufacturing of wine
may concurrently obtain and hold a wine-maker's license and a
wine manufacturer's license.
    (a)  A   manufacturer's   license   shall    allow    the
manufacture,  importation  in bulk, storage, distribution and
sale of alcoholic liquor to persons without the State, as may
be permitted by  law  and  to  licensees  in  this  State  as
follows:
    Class  1.  A  Distiller  may make sales and deliveries of
alcoholic  liquor  to   distillers,   rectifiers,   importing
distributors,  distributors  and non-beverage users and to no
other licensees.
    Class 2. A Rectifier, who is not a distiller, as  defined
herein,  may make sales and deliveries of alcoholic liquor to
rectifiers, importing distributors,  distributors,  retailers
and non-beverage users and to no other licensees.
    Class  3.  A Brewer may make sales and deliveries of beer
to   importing    distributors,    distributors,    and    to
non-licensees,  and  to retailers provided the brewer obtains
an importing distributor's license or  distributor's  license
in accordance with the provisions of this Act.
    Class  4.  A first class wine-manufacturer may make sales
and  deliveries  of  up  to  50,000  gallons   of   wine   to
manufacturers,  importing  distributors and distributors, and
to no other licensees.
    Class 5. A second class Wine manufacturer may make  sales
and  deliveries  of  more  than  50,000  gallons  of  wine to
manufacturers, importing distributors and distributors and to
no other licensees.
    Class 6. A first-class wine-maker's license  shall  allow
the manufacture of up to 50,000 gallons of wine per year, and
the  storage  and  sale  of  such wine to distributors in the
State and to persons without the State, as may  be  permitted
by  law.   A first-class wine-maker's license shall allow the
sale of no more than 5,000 gallons of the licensee's wine  to
retailers.    The  State  Commission  shall  issue  only  one
first-class  wine-maker's  license  to  any   person,   firm,
partnership, corporation, or other legal business entity that
is  engaged in the making of less than 50,000 gallons of wine
annually that applies for a first-class wine-maker's license.
No  subsidiary  or  affiliate  thereof,  nor   any   officer,
associate,  member, partner, representative, employee, agent,
or shareholder  may  be  issued  an  additional  wine-maker's
license by the State Commission.
    Class  7. A second-class wine-maker's license shall allow
the manufacture of between 50,000 and 100,000 gallons of wine
per  year,  and  the  storage  and  sale  of  such  wine   to
distributors  in this State and to persons without the State,
as may be permitted  by  law.   A  second-class  wine-maker's
license  shall  allow the sale of no more than 10,000 gallons
of the licensee's  wine  directly  to  retailers.  The  State
Commission  shall  issue  only  one second-class wine-maker's
license to any person,  firm,  partnership,  corporation,  or
other  legal business entity that is engaged in the making of
less than 100,000 gallons of wine annually that applies for a
second-class  wine-maker's   license.    No   subsidiary   or
affiliate   thereof,   or  any  officer,  associate,  member,
partner, representative, employee, agent, or shareholder  may
be  issued  an  additional  wine-maker's license by the State
Commission.
    Class 8. A limited wine-manufacturer may make  sales  and
deliveries  not  to exceed 40,000 gallons of wine per year to
distributors, and to non-licensees  in  accordance  with  the
provisions of this Act.
    (a-1)  A  manufacturer which is licensed in this State to
make sales  or  deliveries  of  alcoholic  liquor  and  which
enlists agents, representatives, or individuals acting on its
behalf  who  contact  licensed  retailers  on  a  regular and
continual basis in this State  must  register  those  agents,
representatives,  or  persons  acting  on its behalf with the
State Commission.
    Registration  of  agents,  representatives,  or   persons
acting on behalf of a manufacturer is fulfilled by submitting
a form to the Commission.  The form shall be developed by the
Commission  and  shall  include  the  name and address of the
applicant, the name and address of the manufacturer he or she
represents, the territory or areas assigned  to  sell  to  or
discuss  pricing  terms  of  alcoholic  liquor, and any other
questions deemed appropriate and necessary. All statements in
the forms required to be made by law  or  by  rule  shall  be
deemed  material,  and any person who knowingly misstates any
material fact under oath in an application  is  guilty  of  a
Class   B   misdemeanor.    Fraud,  misrepresentation,  false
statements, misleading statements, evasions,  or  suppression
of  material  facts  in  the  securing  of a registration are
grounds for suspension or revocation of the registration.
    (b)  A distributor's license shall  allow  the  wholesale
purchase  and  storage  of  alcoholic  liquors  and  sale  of
alcoholic  liquors  to licensees in this State and to persons
without the State, as may be permitted by law.
    (c)  An importing distributor's license may be issued  to
and  held  by  those only who are duly licensed distributors,
upon  the  filing  of  an  application  by  a  duly  licensed
distributor, with the Commission and  the  Commission  shall,
without  the  payment  of  any  fee,  immediately  issue such
importing distributor's license to the applicant, which shall
allow the importation of alcoholic  liquor  by  the  licensee
into  this  State from any point in the United States outside
this State, and the purchase of alcoholic liquor in  barrels,
casks  or  other  bulk  containers  and  the bottling of such
alcoholic liquors before resale thereof, but all  bottles  or
containers  so  filled  shall be sealed, labeled, stamped and
otherwise made to  comply  with  all  provisions,  rules  and
regulations  governing  manufacturers  in the preparation and
bottling of alcoholic liquors.  The  importing  distributor's
license  shall  permit  such  licensee  to purchase alcoholic
liquor  from  Illinois  licensed  non-resident  dealers   and
foreign importers only.
    (d)  A  retailer's  license  shall  allow the licensee to
sell and offer for sale  at  retail,  only  in  the  premises
specified  in  such  license,  alcoholic  liquor  for  use or
consumption, but not for resale in any  form:  Provided  that
any retail license issued to a manufacturer shall only permit
such  manufacturer  to  sell  beer  at retail on the premises
actually occupied by such manufacturer.
    After January  1,  1995  there  shall  be  2  classes  of
licenses issued under a retailers license.
         (1)  A  "retailers  on  premise consumption license"
    shall allow the licensee to sell and offer  for  sale  at
    retail,  only  on  the premises specified in the license,
    alcoholic liquor for use or consumption on  the  premises
    or  on  and  off  the premises, but not for resale in any
    form.
         (2)  An "off premise sale license" shall  allow  the
    licensee  to sell, or offer for sale at retail, alcoholic
    liquor intended only for off premise consumption and  not
    for resale in any form.
    Notwithstanding  any  other  provision of this subsection
(d), a retail  licensee  may  sell  alcoholic  liquors  to  a
special  event  retailer  licensee  for  resale to the extent
permitted under subsection (e).
    (e)  A special event retailer's license  (not-for-profit)
shall  permit the licensee to purchase alcoholic liquors from
an  Illinois  licensed   distributor  (unless  the   licensee
purchases less than $500 of alcoholic liquors for the special
event,  in which case the licensee may purchase the alcoholic
liquors  from  a  licensed  retailer)  and  shall  allow  the
licensee to sell and offer for  sale,  at  retail,  alcoholic
liquors  for  use  or  consumption, but not for resale in any
form and only at the  location  and  on  the  specific  dates
designated   for  the  special  event  in  the  license.   An
applicant for a  special  event  retailer  license  must  (i)
furnish  with  the  application:   (A) a resale number issued
under Section 2c of the  Retailers'  Occupation  Tax  Act  or
evidence that the applicant is registered under Section 2a of
the  Retailers'  Occupation  Tax  Act,  (B)  a current, valid
exemption identification number issued under  Section  1g  of
the Retailers' Occupation Tax Act, and a certification to the
Commission  that  the purchase of alcoholic liquors will be a
tax-exempt purchase, or (C) a statement that the applicant is
not registered under Section 2a of the Retailers'  Occupation
Tax  Act,  does  not hold a resale number under Section 2c of
the Retailers' Occupation Tax  Act,  and  does  not  hold  an
exemption   number   under   Section  1g  of  the  Retailers'
Occupation Tax Act, in which event the Commission  shall  set
forth  on the special event retailer's license a statement to
that  effect;  (ii)  submit  with   the   application   proof
satisfactory  to the State Commission that the applicant will
provide dram shop liability insurance in the maximum  limits;
and  (iii)  show  proof  satisfactory to the State Commission
that the applicant has obtained local authority approval.
    (f)  A railroad license  shall  permit  the  licensee  to
import  alcoholic  liquors  into this State from any point in
the United States  outside  this  State  and  to  store  such
alcoholic  liquors in this State; to make wholesale purchases
of alcoholic liquors  directly  from  manufacturers,  foreign
importers,   distributors  and  importing  distributors  from
within or outside this State; and  to  store  such  alcoholic
liquors  in this State; provided that the above powers may be
exercised only in connection with the  importation,  purchase
or  storage of alcoholic liquors to be sold or dispensed on a
club, buffet, lounge or dining car operated on  an  electric,
gas  or  steam  railway  in this State; and provided further,
that railroad licensees exercising the above powers shall  be
subject  to  all  provisions  of  Article VIII of this Act as
applied to importing distributors.  A railroad license  shall
also  permit  the  licensee  to  sell  or  dispense alcoholic
liquors on any club, buffet, lounge or dining car operated on
an electric, gas or steam railway  regularly  operated  by  a
common  carrier  in this State, but shall not permit the sale
for resale of any alcoholic liquors to  any  licensee  within
this  State.   A  license  shall  be obtained for each car in
which such sales are made.
    (g)  A boat license shall allow  the  sale  of  alcoholic
liquor  in individual drinks, on any passenger boat regularly
operated as a common carrier  on  navigable  waters  in  this
State  or  on  any  riverboat  operated  under  the Riverboat
Gambling Act,  which boat or  riverboat  maintains  a  public
dining room or restaurant thereon.
    (h)  A   non-beverage  user's  license  shall  allow  the
licensee  to  purchase  alcoholic  liquor  from  a   licensed
manufacturer or importing distributor, without the imposition
of any tax upon the business of such licensed manufacturer or
importing  distributor as to such alcoholic liquor to be used
by such licensee solely for  the  non-beverage  purposes  set
forth  in subsection (a) of Section 8-1 of this Act, and such
licenses shall be divided and classified and shall permit the
purchase, possession and use of limited and stated quantities
of alcoholic liquor as follows:
Class 1, not to exceed .......................    500 gallons
Class 2, not to exceed .......................  1,000 gallons
Class 3, not to exceed .......................  5,000 gallons
Class 4, not to exceed ....................... 10,000 gallons
Class 5, not to exceed ....................... 50,000 gallons
    (i)  A  wine-maker's  premises  license  shall  allow   a
licensee  that  concurrently holds a first-class wine-maker's
license to sell and offer for sale at retail in the  premises
specified in such license not more than 50,000 gallons of the
first-class wine-maker's wine that is made at the first-class
wine-maker's   licensed   premises   per   year  for  use  or
consumption, but not for resale in any form.  A  wine-maker's
premises  license  shall  allow  a  licensee who concurrently
holds a second-class wine-maker's license to sell  and  offer
for  sale at retail in the premises specified in such license
up to 100,000 gallons of the second-class  wine-maker's  wine
that  is  made  at  the  second-class  wine-maker's  licensed
premises  per  year for use or consumption but not for resale
in any form.  Upon approval  from  the  State  Commission,  a
wine-maker's  premises  license  shall  allow the licensee to
sell and offer for sale  at  (i)  the  wine-maker's  licensed
premises and (ii) at up to 2 additional locations for use and
consumption  and not for resale.  Each location shall require
additional licensing per location as specified in Section 5-3
of this Act.
    (j)  An airplane license shall  permit  the  licensee  to
import  alcoholic  liquors  into this State from any point in
the United States  outside  this  State  and  to  store  such
alcoholic  liquors in this State; to make wholesale purchases
of alcoholic liquors  directly  from  manufacturers,  foreign
importers,   distributors  and  importing  distributors  from
within or outside this State; and  to  store  such  alcoholic
liquors  in this State; provided that the above powers may be
exercised only in connection with the  importation,  purchase
or storage of alcoholic liquors to be sold or dispensed on an
airplane;  and  provided  further,  that  airplane  licensees
exercising   the   above  powers  shall  be  subject  to  all
provisions  of  Article  VIII  of  this  Act  as  applied  to
importing distributors.   An  airplane  licensee  shall  also
permit  the  sale  or  dispensing of alcoholic liquors on any
passenger airplane regularly operated by a common carrier  in
this  State,  but shall not permit the sale for resale of any
alcoholic liquors to  any  licensee  within  this  State.   A
single  airplane  license  shall  be  required  of an airline
company if liquor service is provided on  board  aircraft  in
this  State.   The  annual  fee  for such license shall be as
determined in Section 5-3.
    (k)  A  foreign  importer's  license  shall  permit  such
licensee to purchase alcoholic liquor from Illinois  licensed
non-resident  dealers  only,  and  to import alcoholic liquor
other than in bulk from any point outside the  United  States
and  to  sell  such  alcoholic  liquor  to  Illinois licensed
importing distributors  and  to  no  one  else  in  Illinois;
provided  that  the foreign importer registers with the State
Commission every brand of alcoholic liquor that  it  proposes
to  sell  to Illinois licensees during the license period and
provided further that the foreign importer complies with  all
of  the provisions of Section 6-9 of this Act with respect to
registration of such Illinois licensees as may be granted the
right to sell such brands at wholesale.
    (l) (i)  A broker's license  shall  be  required  of  all
persons  who  solicit  orders  for, offer to sell or offer to
supply  alcoholic  liquor  to  retailers  in  the  State   of
Illinois,  or  who  offer to retailers to ship or cause to be
shipped or  to  make  contact  with  distillers,  rectifiers,
brewers or manufacturers or any other party within or without
the  State  of  Illinois  in  order that alcoholic liquors be
shipped to a distributor, importing  distributor  or  foreign
importer,  whether  such solicitation or offer is consummated
within or without the State of Illinois.
    No holder of a retailer's license issued by the  Illinois
Liquor  Control  Commission  shall  purchase  or  receive any
alcoholic liquor,  the  order  for  which  was  solicited  or
offered  for  sale  to  such  retailer by a broker unless the
broker is the holder of a valid broker's license.
    The broker shall, upon the acceptance by  a  retailer  of
the  broker's  solicitation  of  an order or offer to sell or
supply  or  deliver  or  have  delivered  alcoholic  liquors,
promptly forward to the Illinois Liquor Control Commission  a
notification   of  said  transaction  in  such  form  as  the
Commission may by regulations prescribe.
    (ii)  A broker's license shall be required  of  a  person
within  this  State, other than a retail licensee, who, for a
fee or commission, promotes, solicits, or accepts orders  for
alcoholic  liquor, for use or consumption and not for resale,
to be shipped from this  State  and  delivered  to  residents
outside  of this State by an express company, common carrier,
or contract carrier. This  Section  does  not  apply  to  any
person  who promotes, solicits, or accepts orders for wine as
specifically authorized in Section 6-29 of this Act.
    A broker's license under this subsection  (1)  shall  not
entitle  the  holder to buy or sell any alcoholic liquors for
his own account or to take or deliver title to such alcoholic
liquors.
    This subsection (1)  shall  not  apply  to  distributors,
employees of distributors, or employees of a manufacturer who
has  registered the trademark, brand or name of the alcoholic
liquor pursuant to Section 6-9 of this Act, and who regularly
sells such alcoholic liquor in the State of Illinois only  to
its registrants thereunder.
    Any   agent,   representative,   or   person  subject  to
registration pursuant to subsection  (a-1)  of  this  Section
shall not be eligible to receive a broker's license.
    (m)  A  non-resident  dealer's  license shall permit such
licensee to ship into and  warehouse  alcoholic  liquor  into
this  State from any point outside of this State, and to sell
such alcoholic liquor to Illinois licensed foreign  importers
and  importing distributors and to no one else in this State;
provided that said non-resident dealer  shall  register  with
the  Illinois  Liquor Control Commission each and every brand
of alcoholic liquor which it proposes  to  sell  to  Illinois
licensees  during  the  license  period; and further provided
that it shall comply with all of the  provisions  of  Section
6-9  hereof  with  respect  to  registration of such Illinois
licensees as may be granted the right to sell such brands  at
wholesale.
    (n)  A  brew  pub  license  shall  allow  the licensee to
manufacture beer  only  on  the  premises  specified  in  the
license,  to  make  sales  of  the  beer  manufactured on the
premises to  importing  distributors,  distributors,  and  to
non-licensees for use and consumption, to store the beer upon
the  premises,  and to sell and offer for sale at retail from
the licensed premises, provided  that  a  brew  pub  licensee
shall  not sell for off-premises consumption more than 50,000
gallons per year.
    (o)  A caterer retailer license shall allow the holder to
serve alcoholic liquors as  an  incidental  part  of  a  food
service that serves prepared meals which excludes the serving
of  snacks as the primary meal, either on or off-site whether
licensed or unlicensed.
    (p)  An auction liquor license shall allow  the  licensee
to  sell  and  offer for sale at auction wine and spirits for
use or consumption, or  for  resale  by  an  Illinois  liquor
licensee  in  accordance  with  provisions  of  this Act.  An
auction liquor license will be issued to a person and it will
permit the  auction  liquor  licensee  to  hold  the  auction
anywhere  in  the  State.   An auction liquor license must be
obtained for each auction at least 14 days in advance of  the
auction date.
    (q)  A special use permit license shall allow an Illinois
licensed  retailer  to  transfer  a  portion of its alcoholic
liquor inventory from its retail  licensed  premises  to  the
premises specified in the license hereby created, and to sell
or  offer  for sale at retail, only in the premises specified
in the license  hereby  created,  the  transferred  alcoholic
liquor  for  use  or  consumption,  but not for resale in any
form.  A special use permit license may be  granted  for  the
following  time periods: one day or less; 2 or more days to a
maximum of 15 days per location in any 12 month  period.   An
applicant for the special use permit license must also submit
with   the   application  proof  satisfactory  to  the  State
Commission  that  the  applicant  will  provide   dram   shop
liability  insurance  to  the  maximum  limits and have local
authority approval.
(Source: P.A. 91-357,  eff.  7-29-99;  92-105,  eff.  1-1-02;
92-378, eff. 8-16-01; revised 10-10-01.)

    Section  99.  Effective date.  This Act takes effect upon
becoming law.
    Passed in the General Assembly May 08, 2002.
    Approved July 16, 2002.
    Effective July 16, 2002.

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