Illinois General Assembly - Full Text of SB1516
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Full Text of SB1516  99th General Assembly


Rep. Lou Lang

Filed: 5/22/2015





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2    AMENDMENT NO. ______. Amend Senate Bill 1516 by replacing
3everything after the enacting clause with the following:
4    "Section 5. The Liquor Control Act of 1934 is amended by
5changing Section 6-4 as follows:
6    (235 ILCS 5/6-4)  (from Ch. 43, par. 121)
7    Sec. 6-4. (a) No person licensed by any licensing authority
8as a distiller, or a wine manufacturer, or any subsidiary or
9affiliate thereof, or any officer, associate, member, partner,
10representative, employee, agent or shareholder owning more
11than 5% of the outstanding shares of such person shall be
12issued an importing distributor's or distributor's license,
13nor shall any person licensed by any licensing authority as an
14importing distributor, distributor or retailer, or any
15subsidiary or affiliate thereof, or any officer or associate,
16member, partner, representative, employee, agent or



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1shareholder owning more than 5% of the outstanding shares of
2such person be issued a distiller's license or a wine
3manufacturer's license; and no person or persons licensed as a
4distiller by any licensing authority shall have any interest,
5directly or indirectly, with such distributor or importing
7    However, an importing distributor or distributor, which on
8January 1, 1985 is owned by a brewer, or any subsidiary or
9affiliate thereof or any officer, associate, member, partner,
10representative, employee, agent or shareholder owning more
11than 5% of the outstanding shares of the importing distributor
12or distributor referred to in this paragraph, may own or
13acquire an ownership interest of more than 5% of the
14outstanding shares of a wine manufacturer and be issued a wine
15manufacturer's license by any licensing authority.
16    (b) The foregoing provisions shall not apply to any person
17licensed by any licensing authority as a distiller or wine
18manufacturer, or to any subsidiary or affiliate of any
19distiller or wine manufacturer who shall have been heretofore
20licensed by the State Commission as either an importing
21distributor or distributor during the annual licensing period
22expiring June 30, 1947, and shall actually have made sales
23regularly to retailers.
24    (c) Provided, however, that in such instances where a
25distributor's or importing distributor's license has been
26issued to any distiller or wine manufacturer or to any



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1subsidiary or affiliate of any distiller or wine manufacturer
2who has, during the licensing period ending June 30, 1947, sold
3or distributed as such licensed distributor or importing
4distributor alcoholic liquors and wines to retailers, such
5distiller or wine manufacturer or any subsidiary or affiliate
6of any distiller or wine manufacturer holding such
7distributor's or importing distributor's license may continue
8to sell or distribute to retailers such alcoholic liquors and
9wines which are manufactured, distilled, processed or marketed
10by distillers and wine manufacturers whose products it sold or
11distributed to retailers during the whole or any part of its
12licensing periods; and such additional brands and additional
13products may be added to the line of such distributor or
14importing distributor, provided, that such brands and such
15products were not sold or distributed by any distributor or
16importing distributor licensed by the State Commission during
17the licensing period ending June 30, 1947, but can not sell or
18distribute to retailers any other alcoholic liquors or wines.
19    (d) It shall be unlawful for any distiller licensed
20anywhere to have any stock ownership or interest in any
21distributor's or importing distributor's license wherein any
22other person has an interest therein who is not a distiller and
23does not own more than 5% of any stock in any distillery.
24Nothing herein contained shall apply to such distillers or
25their subsidiaries or affiliates, who had a distributor's or
26importing distributor's license during the licensing period



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1ending June 30, 1947, which license was owned in whole by such
2distiller, or subsidiaries or affiliates of such distiller.
3    (e) Any person having been licensed as a manufacturer shall
4be permitted to receive one retailer's license for the premises
5in which he or she actually conducts such business, permitting
6only the retail sale of beer manufactured at such premises and
7only on such premises, but no such person shall be entitled to
8more than one retailer's license in any event, and, other than
9a manufacturer of beer as stated above, no manufacturer or
10distributor or importing distributor, excluding airplane
11licensees exercising powers provided in paragraph (i) of
12Section 5-1 of this Act, or any subsidiary or affiliate
13thereof, or any officer, associate, member, partner,
14representative, employee or agent, or shareholder shall be
15issued a retailer's license, nor shall any person having a
16retailer's license, excluding airplane licensees exercising
17powers provided in paragraph (i) of Section 5-1 of this Act, or
18any subsidiary or affiliate thereof, or any officer, associate,
19member, partner, representative or agent, or shareholder be
20issued a manufacturer's license or importing distributor's
22    A person licensed as a craft distiller not affiliated with
23any other person manufacturing spirits may be authorized by the
24Commission to sell up to 2,500 gallons of spirits produced by
25the person to non-licensees for on or off-premises consumption
26for the premises in which he or she actually conducts business



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1permitting only the retail sale of spirits manufactured at such
2premises. Such sales shall be limited to on-premises, in-person
3sales only, for lawful consumption on or off premises, and such
4authorization shall be considered a privilege granted by the
5craft distiller license. A craft distiller licensed for retail
6sale shall secure liquor liability insurance coverage in an
7amount at least equal to the maximum liability amounts set
8forth in subsection (a) of Section 6-21 of this Act.
9    (f) (Blank). However, the foregoing prohibitions against
10any person licensed as a distiller or wine manufacturer being
11issued a retailer's license shall not apply:
12        (i) to any hotel, motel or restaurant whose principal
13    business is not the sale of alcoholic liquors if said
14    retailer's sales of any alcoholic liquors manufactured,
15    sold, distributed or controlled, directly or indirectly,
16    by any affiliate, subsidiary, officer, associate, member,
17    partner, representative, employee, agent or shareholder
18    owning more than 5% of the outstanding shares of such
19    person does not exceed 10% of the total alcoholic liquor
20    sales of said retail licensee; and
21        (ii) where the Commission determines, having
22    considered the public welfare, the economic impact upon the
23    State and the entirety of the facts and circumstances
24    involved, that the purpose and intent of this Section would
25    not be violated by granting an exemption.
26    (g) Notwithstanding any of the foregoing prohibitions, a



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1limited wine manufacturer may sell at retail at its
2manufacturing site for on or off premises consumption and may
3sell to distributors. A limited wine manufacturer licensee
4shall secure liquor liability insurance coverage in an amount
5at least equal to the maximum liability amounts set forth in
6subsection (a) of Section 6-21 of this Act.
7    (h) The changes made to this Section by this amendatory Act
8of the 99th General Assembly shall not diminish or impair the
9rights of any person, whether a distiller, wine manufacturer,
10agent, or affiliate thereof, who requested in writing and
11submitted documentation to the State Commission on or before
12February 18, 2015 to be approved for a retail license pursuant
13to what has heretofore been subsection (f); provided that, on
14or before that date, the State Commission considered the intent
15of that person to apply for the retail license under that
16subsection and, by recorded vote, the State Commission approved
17a resolution indicating that such a license application could
18be lawfully approved upon that person duly filing a formal
19application for a retail license and if that person, within 90
20days of the State Commission appearance and recorded vote,
21first filed an application with the appropriate local
22commission, which application was subsequently approved by the
23appropriate local commission prior to consideration by the
24State Commission of that person's application for a retail
25license. It is further provided that the State Commission may
26approve the person's application for a retail license or



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1renewals of such license if such person continues to diligently
2adhere to all representations made in writing to the State
3Commission on or before February 18, 2015, or thereafter, or in
4the affidavit filed by that person with the State Commission to
5support the issuance of a retail license and to abide by all
6applicable laws and duly adopted rules.
7(Source: P.A. 96-1367, eff. 7-28-10; 97-606, eff. 8-26-11;
897-1166, eff. 3-1-13.)
9    Section 99. Effective date. This Act takes effect upon
10becoming law.".