Current with changes from the 2024 Legislative Session
Section 2-203 - Class 9 limited distillery license(a) There is a Class 9 limited distillery license.(b) The limited distillery license may be issued only to a holder of a: (1) Class D beer, wine, and liquor license where sales for both on- and off-premises consumption are permitted for use on the premises for which the Class D license was issued; or(2) Class B beer, wine, and liquor license where sales for both on- and off-premises consumption are permitted for use on the premises for which the Class B license was issued.(c) A holder of the limited distillery license:(1) may establish and operate a plant in the State for distilling, rectifying, and bottling brandy, rum, whiskey, alcohol, and neutral spirits if the holder: (i) maintains only one brand at any one time for each product of brandy, rum, whiskey, alcohol, and neutral spirits that is distilled, rectified, and sold; and(ii) does not manufacture or rectify product of any other brand for another entity;(2) may acquire bulk alcoholic beverages from the holder of a distillery or rectifying license in the State or from the holder of a nonresident dealer's permit;(3) after acquiring an individual storage permit, may store on the licensed premises those products manufactured under the license;(4) except as authorized under subsection (d)(1) of this section, may sell and deliver those products manufactured under the license only to a licensed wholesaler in the State or person authorized to acquire distilled spirits in another state and not to a county dispensary;(5) may sell the products manufactured under the license at retail in a manner consistent with the underlying Class D or Class B license;(6) may conduct guided tours of that portion of the licensed premises used for the limited distillery operation; and(7) may serve not more than three samples of products manufactured at the licensed premises, with each sample consisting of not more than one-half ounce from a single product, to persons who:(i) have attained the legal drinking age;(ii) participated in a guided tour; and(iii) are present on that portion of the premises used for the limited distillery operation.(d) A holder of the limited distillery license may not: (1) apply for or possess a wholesaler's license, except for a Class 8 liquor wholesaler's license;(2) sell bottles of the products manufactured at the Class 9 limited distillery on that part of the premises used for the distillery operation;(3) except as provided in subsection (e) of this section, distill, rectify, bottle, or sell more than 100,000 gallons of brandy, rum, whiskey, alcohol, and neutral spirits each calendar year;(4) sell at retail on the premises of the Class D or Class B license, for on-premises or off-premises consumption, more than 31,000 gallons of the products manufactured under the license each calendar year; and(5) own, operate, or be affiliated in any manner with another manufacturer.(e) To distill more than the gallonage specified in subsection (d)(3) of this section, a holder of the limited distillery license shall divest itself of any Class D or Class B retail license and obtain a Class 1 distillery license.(f) A holder of the limited distillery license shall abide by all trade practice restrictions applicable to distilleries.(g) The annual license fee:(1) shall be determined by the Executive Director; andAmended by 2023 Md. Laws, Ch. 450, Sec. 1, eff. 7/1/2023.Amended by 2023 Md. Laws, Ch. 429, Sec. 1, eff. 7/1/2023.Amended by 2023 Md. Laws, Ch. 428, Sec. 1, eff. 7/1/2023.Amended by 2018 Md. Laws, Ch. 326, Sec. 1, eff. 7/1/2018.Amended by 2018 Md. Laws, Ch. 12, Sec. 1, eff. 4/5/2018.Amended by 2016 Md. Laws, Ch. 308, Sec. 1, eff. 7/1/2016.Added by 2016 Md. Laws, Ch. 41, Sec. 2, eff. 7/1/2016.