123.24 - ALCOHOLIC LIQUOR SALES BY THE DIVISION -- DISHONORED CHECKS -- LIQUOR PRICES.

        123.24  ALCOHOLIC LIQUOR SALES BY THE DIVISION --
      DISHONORED CHECKS -- LIQUOR PRICES.
         1.  The division shall sell alcoholic liquor at wholesale only.
      The division shall sell alcoholic liquor to class "E" liquor control
      licensees only.  The division shall offer the same price on alcoholic
      liquor to all class "E" liquor control licensees without regard for
      the quantity of purchase or the distance for delivery.  However, the
      division may assess a split-case charge when liquor is sold in
      quantities which require a case to be split.
         2. a.  The division may accept from a class "E" liquor control
      licensee a cashier's check which shows the licensee is the remitter
      or a check issued by the licensee in payment of alcoholic liquor.  If
      a check is subsequently dishonored, the division shall cause a notice
      of nonpayment and penalty to be served upon the class "E" liquor
      control licensee or upon any person in charge of the licensed
      premises.  The notice shall state that if payment or satisfaction for
      the dishonored check is not made within ten days of the service of
      notice, the licensee's liquor control license may be suspended under
      section 123.39.  The notice of nonpayment and penalty shall be in a
      form prescribed by the administrator, and shall be sent by certified
      mail.
         b.  If upon notice and hearing under section 123.39 and
      pursuant to the provisions of chapter 17A concerning a contested case
      hearing, the administrator determines that the class "E" liquor
      control licensee failed to satisfy the obligation for which the check
      was issued within ten days after the notice of nonpayment and penalty
      was served on the licensee as provided in paragraph "a" of this
      subsection, the administrator may suspend the licensee's class "E"
      liquor control license for a period not to exceed ten days.
         3.  The administrator may refuse to sell alcoholic liquor to a
      class "E" liquor control licensee who tenders a check or electronic
      funds transfer which is subsequently dishonored until the outstanding
      obligation is satisfied.
         4.  The price of alcoholic liquor sold by the division shall
      include a markup of up to fifty percent of the wholesale price paid
      by the division for the alcoholic liquor.  The markup shall apply to
      all alcoholic liquor sold by the division; however, the division may
      increase the markup on selected kinds of alcoholic liquor sold by the
      division if the average return to the division on all sales of
      alcoholic liquor does not exceed the wholesale price paid by the
      division and the fifty percent markup.
         5.  Notwithstanding subsection 4, the division shall assess a
      bottle surcharge to be included in the price of alcoholic liquor in
      an amount sufficient, when added to the amount not refunded to class
      "E" liquor control licensees pursuant to section 455C.2, to pay the
      costs incurred by the division for collecting and properly disposing
      of the liquor containers.  The amount collected pursuant to this
      subsection, in addition to any amounts not refunded to class "E"
      liquor control licensees pursuant to section 455C.2, shall be
      deposited in the beer and liquor control fund established under
      section 123.53.  
         Section History: Early Form
         [C35, § 1921-f20, 1921-f41; C39, § 1921.020, 1921.041; C46,
      50, 54, 58, 62, 66, 71, § 123.20, 123.41; C73, 75, 77, 79, 81, §
      123.24; 81 Acts, ch 56, § 1] 
         Section History: Recent Form
         86 Acts, ch 1246, § 734; 87 Acts, ch 22, § 1, 2; 88 Acts, ch 1158,
      § 29; 88 Acts, ch 1241, § 5; 92 Acts, ch 1242, § 24; 93 Acts, ch 91,
      § 4, 5
         Referred to in §22.7