§ 66 - Vinous beverage shipping license; in state; out of state; prohibitions; penalties
§ 66. Vinous beverage shipping license; in state; out of state; prohibitions; penalties TITLE 7Alcoholic BeveragesCHAPTER 3. PROHIBITED ACTS
§ 66. Vinous beverage shipping license; in state; out of state; prohibitions; penalties
(a) A manufacturer or rectifier of vinous beverages licensed in Vermont may be granted an in-state consumer shipping license by filing with the department of liquor control an application in a form required by the department accompanied by a copy of the applicant's current Vermont manufacturer's license and the fee as required by subdivision 231(7)(A) of this title. This consumer shipping license may be renewed annually by filing the renewal fee as required by subdivision 231(7)(A) of this title accompanied by a copy of the licensee's current Vermont manufacturer's license.
(b) A manufacturer or rectifier of vinous beverages licensed in another state that operates a winery in the United States and holds valid state and federal permits and licenses may be granted an out-of-state consumer shipping license by filing with the department of liquor control an application in a form required by the department accompanied by copies of the applicant's current out-of-state manufacturer's license and the fee as required by subdivision 231(7)(B) of this title. This consumer shipping license may be renewed annually by filing the renewal fee as required by subdivision 231(7)(B) of this title accompanied by the licensee's current out-of-state manufacturer's license. For the purposes of this subsection and subsection (c) of this section, "out-of-state" means any state other than Vermont, any territory or possession of the United States, and does not include a foreign country.
(c) A manufacturer or rectifier of vinous beverages that is licensed in-state or out-of-state and holds valid state and federal permits and operates a winery in the United States may apply for a retail shipping license by filing with the department of liquor control an application in a form required by the department accompanied by a copy of their in-state or out of state license and the fee as required by subdivision 231(7)(C) of this title. The retail shipping license may be renewed annually by filing the renewal fee as required by subdivision 231(7)(C) of this title accompanied by the licensee's current in-state or out-of-state manufacturer's license. This license permits the holder, which includes the holder's affiliates, franchises, and subsidiaries, to sell up to 2,000 gallons of vinous beverages a year directly to first or second class licensees and deliver the beverages by common carrier or the manufacturer's or rectifier's own vehicles, provided that the beverages are sold on invoice, and no more than 40 gallons per month are sold to any single first or second class licensee. The retail shipping license holder shall provide to the department documentation of the annual and monthly number of gallons sold.
(d) Pursuant to a consumer shipping license granted under subsection (a) or (b) of this section, the licensee may ship vinous beverages produced by the licensee:
(1) Only to private residents for personal use and not for resale.
(2) No more than 12 cases containing no more than 29 gallons of vinous beverages to any one Vermont resident in any calendar year.
(3) Only by common carrier certified by the department. The common carrier shall comply with all the following:
(A) Deliver vinous beverages pursuant to an invoice that includes the name of the licensee and the name and address of the purchaser.
(B) On delivery, require a valid form of photographic identification from a recipient who appears to be under the age of 30.
(C) Require the recipient to sign an electronic or paper form or other acknowledgement of receipt.
(e) A holder of any shipping license granted pursuant to this section shall:
(1) Ensure that all containers of alcoholic beverages shipped under this section are clearly labeled: "contains alcohol; signature of individual age 21 or older required for delivery."
(2) Not ship to any address in a municipality that the department identified as having voted to be "dry."
(3) Retain a copy of each record of sale for a minimum of five years from the date of shipping.
(4) Report at least twice a year to the department of liquor control in a manner and form required by the department all the following information:
(A) The total amount of vinous beverages shipped into or within the state for the preceding six months.
(B) The names and addresses of the purchasers to whom the vinous beverages were shipped.
(C) The date purchased, if appropriate, the name of the common carrier used to make each delivery, and the quantity and value of each shipment.
(5) Pay directly to the commissioner of taxes the amount of tax on the vinous beverages shipped under this section pursuant to subsection 421(a) of this title, and comply with the provisions of chapter 233 of Title 32, 24 V.S.A. § 138, and any other legally authorized local sales taxes. Delivery in this state shall be deemed to constitute a sale in this state at the place of delivery and shall be subject to all appropriate taxes levied by the state of Vermont.
(6) Permit the state treasurer, the department of liquor control, and the department of taxes, separately or jointly, upon request, to perform an audit of its records.
(7) If an out-of-state license holder, be deemed to have consented to the jurisdiction of the department of liquor control or any other state agency and the Vermont state courts concerning enforcement of this or other applicable laws and regulations.
(8) Not have any direct or indirect financial interest in a Vermont wholesale dealer or retail dealer, including a first, second, or third class license.
(9) Comply with all liquor control board laws and regulations.
(f) A common carrier shall not deliver vinous beverages until it has complied with the training provisions in subsections 239(a) and (b) of this title and been certified by the department of liquor control. No employee of a certified common carrier may deliver vinous beverages until that employee completes the training provisions in subsection 239(c) of this title. A common carrier shall deliver only vinous beverages that have been shipped by the holder of a license issued under this section or a vinous beverage storage license issued under section 68 of this title.
(g) The department of liquor control and the department of taxes may adopt rules and forms necessary to implement this section.
(h) Direct shipments of vinous beverages are prohibited if the shipment is not specifically authorized and in compliance with this section. Any person who knowingly makes, participates in, imports, or receives a direct shipment of vinous beverages from a person who is not licensed or certified as required by this section may be fined not more than $1,000.00 or imprisoned not more than one year, or both.
(i) A licensee under this section or a common carrier that ships vinous beverages to an individual under 21 years of age shall be fined not less than $1,000.00 or more than $3,000.00 or imprisoned not more than two years, or both.
(j) For any violation of this section, the liquor control board may suspend or revoke a license issued under this section, among all other remedies available to the board. (Added 1999, No. 163 (Adj. Sess.), § 2a; amended 2005, No. 140 (Adj. Sess.), § 4, eff. May 10, 2006; No. 202 (Adj. Sess.), § 1; 2007, No. 151 (Adj. Sess.), § 3, eff. May 19, 2008.)