Section 4-492 - Unlawful acts relative to malt or brewed beverages and licenseesIt shall be unlawful--
(1) Manufacturing Without License. Except as provided herein, for any person, to manufacture malt or brewed beverages, unless such person holds a valid manufacturer's license for such purpose issued by the board. Malt or brewed beverages may be produced by any person without a license if such malt or brewed beverages are produced not for sale and total production does not exceed two hundred gallons per calendar year. Malt or brewed beverages produced in accordance with this paragraph may be used at organized affairs, exhibitions, competitions, contests, tastings or judging provided it is not sold or offered for sale.(2) Sales of malt or brewed beverages for consumption on the premises. For any person, to sell to another for consumption upon the premises where sold or to permit another to consume upon the premises where sold, any malt or brewed beverages, unless such person holds a valid retail dispenser license or a valid liquor license issued by the board authorizing the sale of malt or brewed beverages for consumption upon such premises.(3) Sales of malt or brewed beverages not for consumption on the premises. For any person, to sell to another any malt or brewed beverages not for consumption upon the premises where sold, unless such person holds a valid license permitting such sale.(4) Deleted by 2006, Jan. 6, P.L. 1, No. 1, § 5, imd. effective.(5) Sales of malt or brewed beverages by hotels, eating places or public service licensees during prohibited hours. For any hotel or eating place holding a retail dispenser's license, or the servants, agents or employes of such licensees, to sell, trade or barter in malt or brewed beverages between the hours of two o'clock antemeridian Sunday and seven o'clock in the forenoon of the following Monday, or between the hours of two o'clock antemeridian and seven o'clock antemeridian of any week day: Provided, That notwithstanding any provision to the contrary, whenever the thirty-first day of December falls on a Sunday such sales of malt or brewed beverages may be made on such day after one o'clock postmeridian and until two o'clock antemeridian of the following day. For any public service licensee authorized to sell malt or brewed beverages or the servants, agents or employes of such licensees to sell, trade or barter in malt or brewed beverages between the hours of two o'clock antemeridian and seven o'clock antemeridian on any day.(7) Clubs selling between three o'clock antemeridian and seven o'clock antemeridian. For any club retail dispenser, or its servants, agents or employes, to sell malt or brewed beverages between the hours of three o'clock antemeridian and seven o'clock antemeridian on any day.(8) Transportation and Importation of Malt or Brewed Beverages. For any person, to transport malt or brewed beverages except in the original containers, or to transport malt or brewed beverages for another who is engaged in selling either liquor or malt or brewed beverages, unless such person shall hold (a) a license to transport for hire, alcohol, liquor and malt or brewed beverages, as hereinafter provided in this act, or (b) shall hold a permit issued by the board and shall have paid to the board such permit fee, as prescribed in section 614-A of the act of April 9, 1929 (P.L. 177, No. 175), known as "The Administrative Code of 1929," any other law to the contrary notwithstanding. This clause shall not be construed:(i) to prohibit transportation of malt or brewed beverages through this Commonwealth and not for delivery in this Commonwealth if such transporting is done in accordance with the rules and regulations of the board; or(ii) to prohibit railroad and Pullman companies from selling malt or brewed beverages purchased outside this Commonwealth in their dining, club and buffet cars which are covered by public service liquor licenses and which are operated in this Commonwealth.(9) Transportation of Malt or Brewed Beverages by Licensee. For a malt or brewed beverage licensee, to deliver or transport any malt or brewed beverages, excepting in vehicles bearing the name and address and license number of such licensee painted or affixed on each side of such vehicle in letters no smaller than two inches in height.(10) Deleted by 2002, Dec. 9, P.L. 1653, No. 212, § 25, effective in 60 days.(11) Delivery of malt or brewed beverages with other commodities. For any manufacturer, importing distributor or distributor, or his servants, agents or employes, except with board approval, to deliver or transport any malt or brewed beverages in any vehicle in which any other commodity is being transported.(12) Distributors and importing distributors engaging in other business. For any distributor or importing distributor, or his servants, agents or employes, without the approval of the board, and then only in accordance with board regulations, to engage in any other business whatsoever, except the business of distributing malt or brewed beverages, except that the following shall be expressly permitted on the licensed premises of a distributor or importing distributor: (i) The sale of any book, magazine or other publication related to malt or brewed beverages.(ii) The sale of any equipment, ingredients or other supplies necessary for the unlicensed manufacture of malt or brewed beverages as described in paragraph (1), commonly known as "homebrewing."(iii) The rental of equipment and supplies necessary to dispense draft beer, as may be further defined by the board.(13) Possession or Storage of Liquor or Alcohol by Certain Licensees. For any distributor, importing distributor or retail dispenser, or his servants, agents or employes, to have in his possession, or to permit the storage of on the licensed premises or in any place contiguous or adjacent thereto accessible to the public or used in connection with the operation of the licensed premises, any alcohol or liquor. The provisions of this section shall not apply to the possession or storage of ready-to-drink cocktails that are purchased in compliance with section 441 of this act.(14) Malt or Brewed Beverage Licensees Dealing in Liquor or Alcohol. For any malt or brewed beverage licensee, other than a distributor or importing distributor that possesses a ready-to-drink cocktail permit, a manufacturer, or the servants, agents or employes thereof, to manufacture, import, sell, transport, store, trade or barter in any liquor or alcohol.(15) Selling to persons doing illegal business. For any malt or brewed beverage licensee, or his servants, agents or employes, to knowingly sell any malt or brewed beverages to any person engaged in the business of illegally selling liquor or malt or brewed beverages.(16) Distributors and importing distributors failing to keep records. For any importing distributor or distributor engaged in the sale of products, other than malt or brewed beverages, to fail to keep such complete separate records covering in every respect his transactions in malt or brewed beverages as the board shall by regulation require.(17) Fortifying, adulterating or contaminating malt or brewed beverages. For any person, to fortify, adulterate, contaminate, or in any wise to change the character or purity of, the malt or brewed beverages from that as originally marketed by the manufacturer at the place of manufacture.(18) Coercing distributors and importing distributors. For any manufacturer or any officer, agent or representative of any manufacturer to coerce or persuade or attempt to coerce or persuade any person licensed to sell or distribute malt or brewed beverages at wholesale or retail to establish selling prices for its products or to enter into any contracts or agreements, whether written or oral, or take any action which will violate or tend to violate any provisions of this act or any of the rules or regulations promulgated by the board pursuant thereto.(19) Modifying or terminating distributing rights agreement. For any manufacturer or any officer, agent or representative of any manufacturer to modify, cancel, terminate, rescind or not renew, without good cause, any distributing rights agreement, and in no event shall any modification, cancellation, termination, rescission or nonrenewal of any distributing rights agreement become effective for at least ninety (90) days after written notice of such modification, cancellation, termination, rescission or intention not to renew has been served on the affected party and board by certified mail, return receipt requested, except by written consent of the parties to the agreement. The notice shall state all the reasons for the intended modification, termination, cancellation, rescission or nonrenewal. The distributor or importing distributor holding such agreement shall have ninety (90) days in which to rectify any claimed deficiency, or challenge the alleged cause. If the deficiency shall be rectified within ninety (90) days of notice, then the proposed modification, termination, cancellation, rescission or nonrenewal shall be null and void and without legal effect.
If the notice states as one of the reasons for the intended modification, cancellation, termination, rescission or renewal that the importing distributor or distributor's equipment or warehouse requires major changes or additions, then if the distributor or importing distributor shall have taken some positive action to comply with the required changes or additions, the distributor or importing distributor shall have deemed to have complied with the deficiency as set forth in the notice. The notice provisions of this section shall not apply if the reason for termination, cancellation or nonrenewal is insolvency, assignment for the benefit of creditors, bankruptcy, liquidation, fraudulent conduct in its dealings with the manufacturer, revocation or suspension for more than a thirty (30) day period of the importing distributor or distributor license.
(20) Interference with transfer of license, business or franchise.(i) For any manufacturer to interfere with or prevent any distributor or importing distributor from selling or transferring his license, business or franchise, whether before or after notice of modification, cancellation, termination, rescission or nonrenewal has been given, provided the proposed purchaser of the business of the distributor or importing distributor meets the material qualifications and standards required of the manufacturers other distributors or importing distributors; (ii) if the proposed transfer of the distributor or importing distributor's business is to a surviving spouse or adult child, the manufacturer shall not, for any reason, interfere with, or prevent, the transfer of the distributor or importing distributor's license, business or franchise. Any subsequent transfer by surviving spouse or adult child shall thereafter be subject to the provisions of subclause (i) above.(21) Inducing or coercing distributors or importing distributors to accept unordered products or commit illegal acts. For any manufacturer to compel or attempt to compel any distributor or importing distributor to accept delivery of any malt or brewed beverages or any other commodity which shall not have been ordered by the distributor or importing distributor, or to do any illegal act by any means whatsoever including, but not limited to, threatening to amend, cancel, terminate, rescind or refuse to renew any agreement existing between manufacturer and the distributor or importing distributor, or to require a distributor or importing distributor to assent to any condition, stipulation or provision limiting the distributor or importing distributor in his right to sell the products of any other manufacturer.(22)Selling or distributing of malt or brewed beverages. For the holder of a brewery license to sell or distribute malt or brewed beverages except as provided under section 446 (a)(1).Amended by P.L. (number not assigned at time of publication) 2024 No. 86,§ 7, eff. 9/16/2024.Amended by P.L. (number not assigned at time of publication) 2024 No. 57,§ 9, eff. 9/13/2024.Amended by P.L. TBD 2017 No. 75, § 4, eff. 12/22/2017.1951, April 12, P.L. 90, art. IV, § 492. Amended 1957, July 3, P.L. 475, § 1; 1961, Sept. 19, P.L. 1507, § 3; 1963, Aug. 1, P.L. 456, § 1; 1967, Nov. 30, P.L. 655, No. 302, § 2; 1971, July 7, P.L. 191, No. 27, § 5, imd. effective; 1971, Sept. 2, P.L. 429, No. 103, § 8; 1973, March 5, P.L. 3, No. 1, § 3, imd. effective; 1975 , June 16, P.L. 14, No. 5, § 2, imd. effective; 1980 , June 23, P.L. 253, No. 73, § 2, effective in 60 days; 1982, June 24, P.L. 624, No. 176, § 4, effective in 60 days. Reenacted 1987 , June 29, P.L. 32, No. 14, § 80, effective 7/1/1987. Amended 1994, April 29, P.L. 212, No. 30, § 18, effective in 60 days; 1996, Dec. 20, P.L. 1513, No. 196, § 6, effective in 60 days; 1998, Feb. 18, P.L. 162, No. 25, § 6, imd. effective; 1998, Dec. 21, P.L. 1202, No. 155, § 19, imd. effective; 1999, Nov. 10, P.L; 514, No. 47, § 10, imd. effective; 2000, Dec. 20, P.L. 992, No. 141, § 15, effective in 60 days; 2002, Dec. 9, P.L. 1653, No. 212, § 25, effective in 60 days; 2005, July 6, P.L. 135, No. 39, §10, effective in 60 days [ 9/6/2005]; 2006 , Jan. 6, P.L. 1, No. 1, § 5, imd. effective; 2011, Dec. 22, P.L. 530, No. 113, § 16.