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
 !"!##$!%&#'
()#*!&+,#-.!#/
.0&%$,&,1/
$23&&,/
$(23&&,4
$23&&,(
4!&!&+-5-,."",,&"6,&"
#&,, (7
'"",,&""685!3#!&,9%!&:!&
/;#,.-#-0(
"",,&-0,!&++5,(
7"",,&2#)0,!&++5,'
<)0,!&+!5*.-!#=#,/
,#&,&"",,&""6,!&+"-*,9)&!, 
!=#,!&+"-*,&$$"&&!##6$!%
65,&,,!+%,7
(+,!&+&%0 !"!!;"",,&85+<
(.0&%$,&,14
($&&5!#&,.,+"&,!$.,4
($(&&5!#&,.,+"&,!$.,4
((.0&%$,&,14/
((!!6!6!&0#&,4/
(($0#&,"!60#&,"!60,.
+,65&#&,47
(($(0#&,"!60#&,"!60,.
+,65&#&,'
(2,#&,'
(4>&"! #&,'(
('>&"! ,.+,65&#&,'4
(/#3#&,''
(>&!&+,-,0,!#&,''
(7+,65#&,'/
(<!,-,#&,!0&#&,!6#&,'7
(.0&%$,&,1'7
($;+6$!%#&,'7
($(;+6$!%#&,/
(#56#&,/
((!#&,/
(!#&,5,!&+,#&,/
(4-#!$&#&,)56#$&#&,,/
('-#!$&#&,,5,!&+,#&,/'
(/6$!%#&,/'
(6$!%#&,5,!&+,#&,//
(7.0&%$,&,1//
(7$&?!!+?#""#!-!,,&%$,,6$!%#&, //
(7$(&?!!+?#""#!$,,6$!%#&,/
(<.0&%$,&,1/7
(<$&?!!+?#""#!-!,,&%$,,6$!%#&,
@5!.*&%#&,/7
(<$(&?!!+?#""#!$,,6$!%#&,@5!.*&%
#&,, /7
((.0&%$,&,1/7
(($>,!A,!%&#&,/7
(($(>,!A,!%&#&,/<
((.0&%$,&,1/<
(($"-*#&,/<
(($("-*#&,
(((&+5,!#&,
((!#&,(
((4)$!#!#&,(
(('&++0!5,#&,
((/!%#&,
((!#!"&!0&,5--#&,4
((7&-",,6!&+0&#&,4
((<!!6!5#&#!!6!##6$!%$&#&, '
(;+6$!%?#!#"6&!&#&,/
("!.!"0&*#&,
((0-56#&,0-56,.+,65&#&,
(#56";+6$!%B6!&+0&B#!B-56#$&B
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('!&5.!#5A,#&,C&,+&,#&,7
(/!&5.!#5A,!%&#&,7
(,#&!%!&,!++&!#&,,-",5,+.,#
 7
(7;+6$!%B6!&+0&B#!B,-#!$&B-56#$&
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(<#56B";+6$!%6!&+0&,!6,"&
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(4),&!5,-"74
(4--#!&,.#!&#&,,-56,!&#.&&&
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(4(&."!&6.5&,+6*#&,!--#!&,7'
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(4)"5%!&.5,."-*#&,-!*"&-!&,7<
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,&"5&#-!,#5&*#"",,&,B#5&*,EB+,#!&*
!&+#..-#
4 %,+&3#!&,!,9#+ -&%85+.,!,
!&,9)&!,(
'>&,--&%,!,&*-.,-"&,
 4
/2#>&--A,)"985"&,4
#-.,!5*%5!&.,!,!&++,65&.
+,%&!+6!&+,.6/
7#&,++,65!%"&85+.#&,+60,
#+"!&5.!#5,%,+,650-&6,,%&"&
+,6566!&+!&+;&,&,/
<!&,-!&.6&*6*"! +#&$*!&#0&+!,+
6*#&,++,65<
#&,+6+,65!,!&++,65&,#&,<
"&!&.+,65&!%"&85"&,""+!
"&!&!&,..6!&+,5##,,60(
(-!&!&+"!&&!&##&+&,.60-56,(
"!60,!,#&,++,65,!,2#
,!,#&,5",(7
4,!.6,#&,.!,!&,9)&!,(7
'>+!0!.6."!A,,# (<
/!.!##6$!%,6+"!+&!.%&#5&*
#&,+0&!&+,-,0,!,9!&,
/!&5.!#5,05!+,%&!+0,!),&%
85"&,
/(2,%&!+0,!,6+,65,),&%
85"&,/
/>,!,#&#-56,&%.-##!!%/
/4-6!&+-+5#,9E+!0,!,05
+,#"&!&
!.!##6$!%,-!# !%+0&&!##-"&!
", 7
7!,!,.!##6$!%,&"5"-#"! 5-9
;#-&, 7
<5,&,,&,,!&+!#,-6+."!&5.!#5B0&!&+
,-,0,!B6+,65B-,&!5:+,!##6$!%,
!0,!!&+,<
(5,&,,&,,-6+.6$!%B6!&+0&B#!B
-56#$&6#56#&,,4
(5,&,,&,,&";+6$!%B6!&+0&B#!B-56#
$&6#56-6+."!&5.!#5B0&!&+,-,0,!B
6+,65!&+,4
 !"!!5,!##$!%, )!%
((5,&,,&,,&&!#$&!&"&.!#,4
(!.!##6$!%,0,!,B6+,65,
!,&!0.5+,#"&!&-#9!&,4(
(4!--$!!#5&*,-#!#&,!%&!#&
85+.,!.!##6$!%,&5&+!*,6*&+$+5!+& .
&-",,#&,5"-&4/
(',#&,&".,!,.!##6$!%,&-",,
2!*,0#"!*6&!5:+.,!,.!##6$!%,47
(/#56,,#&,&5,+,-&,B,$#&,5"
!##6$!%,47
(#56,"6,-#!+,##6$!%,
C&!##6$!%,9!&,9)&!,47
45&#-!!5*&!#+&!&#,'
4(;+6$!%B6!&+0&B#!B-56#$&6#56
#&,5&#-!#5&*-#+&%,5,-&+$ #&,'
45&#-!:&&%!5*'
445&#-!##5-!&!!;'(
4'5&*##5-!&!!;'(
4/&.#"&. !"!##$!%&#'
';#,!;&!##6$!%,'4
'(&&.;#,!;''
';#,!;;"-&,''
'42,65&.;#,!;$&5'/
''!%,,#-,!;.&-",,6!&+0&B";+
6$!%B#!B-56#$&,-#!$&#&,'
'/,,#-!;$&5&!$&5D5&+'7
';+6$!%!;-"!&,9)&!,'<
'7)"5%!&.5,"-"&-&%"+.!;&%
)!*"&.;#,!;&6/
'<+.5&+."&*-!+.,!"-,/
';#,!;-!*"&,6*60,!&+6+,65,&*
":+!&+$3+-!&,9)&!,/(
'>&!&+,-,0,!!&+"-,&*":+
!&+$3+-!&,9)&!,/4
'(2,65-">,!-")"!--#!&,/'
'D5&,&%.-",-,&%-5#!,&%!##
6$!%,":+!&+$3+#+."&*,!,-5#!,,/'
'4&-!+!;,&!6!&+!&,)&!,--#!&.
&."!;)#+5+//
'')0!&+!5*."",,& !"!!;
"",,&"-*,&!&+;!"&#&,+-",,/
'/!&%+"&0!;,!5&-!++
#&3,#!!&+../
'!...+!##6$!%/7
'7),,,,&.!##6$!%.0#;#,!;!,&6&
-!+,+"!&5,-&,&$#!&.#&,/7
'<##6$!%,!&6!+#!,,85+/<
'(#&,,85+ -6 ,!&+#+,/<
'(C&,+&,#&,&*":+!&+$3+-.
,-"&,!&+,!,
'((!&5.!#5!&+60,56F##&,&%&*":+
!&+$3+-
'(-!+6*!0,(7B#B7BE#B(7
'(4&+85+."!&5.!#5,B60,B"-,B6 ,!&+
, 
 !"!!5,!##$!%, )!%4
'('&."!&85+!".,!B!&,!&++$*.!##
6$!%,!&,9)&!,(
'(/#+ -&%.!!##6$!%,"-+B-5#!,+B
#$+B"!&5.!#5+B-+5#+B,+B+$+0,+,-,+. 
'(5&*;#,6!+,G!*$&5,"!,4
'(7##$!%&D5&+##$!%$&!&#
$$&%D5&+4
'(< !"!#55!&+&%*&2$-"&$$&%
D5&+ '
'5*-"5%!5,&!6&%.!##6$!%,
 '
'##6$!%&!6+&#&."*05,/
'(!&+!685+--#!&.%,!&.6!&+!6
D"9D,/
'(!!6#!6!&69!&,..!#-+5#,
60&60,05!;!&
'3&%.#&!&,-6+&.5,++& ,85"&, 7
'4;+6$!%B6!&+0&B#!B-56#$&,-#!
$&#&,+,&+85+.%,,#-,!;!6*<
''&*-85+.";+6$!%!;-"+,!&+
,!#5!&.%,,#-,!;2&85&!;,&*-
85+.#&,+0,!,5+!5*7
'/!;+,#5&.";+6$!%!;-"+,7(
'),,,,&.!##6$!%#&!&,&,+&!&&$#
&!6!&+9)&!,7(
/)6+!#,!&,9)&!,7
/(.0&%$,&,17/
/($&%.!,&%H%,7/
/($)6+!#,.#&,,7/
/($()6+!#,.#&,,77
/)6+!#,.!,-,#&,,<
/4)6+!#,.0,!#&,,<(
/')6+!#,.";+6$!%B-56#$&B,-#!$&
&-",,6!&+0&#&,,<(
//)6+!#,.6#56#&,,<
/)6+!#,.,-#!$&#!#&,,<4
/7.0&%$,&,1<4
/7$)6+!#,.+,.!0&!6#&,, <4
/7$()6+!#,.+,.!0&!6#&,, </
/<)6+!#,.";+6$!%B6!&+0&B6#56B
#!B#!!6$&B-56#$&,-#!$&#&,,"-*B
"!&!%B-!!%&.<
/)6+!#,&!65#""#!-",,0&;#!&%
6$!%,!+,-&,+#&,5"+<<
/5*"$-,&,0"! &%!,,<<
/(2!"!%&%+,*&%&."!&85+&%&!#&!&,
#!,,,+"!&(
/&!0.5-,,,,!##6$!%,0&&,05
-#5&%!#&,(
/4%,#&,.-",,0!5&%6!!!.,&%
+,65&%!##6$!%,+",,&#!%&+"&&%-5-,9
;#-&, (
/'-!&.0, *,0&&-+5#!##6$!%,
2,65,&,,05+,A,#&,9)&!,((
 !"!!5,!##$!%, )!%'
//D!,.!5+5&5&&#&&#&0!&*!;"-,+6*#
9)&!, ((
/&%!%&%&!#$,-."&%!&,!#&,!#,05
--#&,9)&!,(
/7&!0.5,&%B+$&%B-,,,,&%!&+65*&%!##
6$!%,9)&!,(
/<),&,5&+(,-,&!&.!%&+5#-,&,
,,$!##6$!%,&&%!"-&%&-!# !%
,6!!!)&!,56,!&#!65,-$&&-%!"(
/(&%B.5&,&%%$&%!##6$!%-,&,5&+(
 (4
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§37A-1-101. Short title - Oklahoma Alcoholic Beverage Control Act.
Sections 1 through 168 of this act shall be known and may be
cited as the "Oklahoma Alcoholic Beverage Control Act".
Added by Laws 2016, c. 366, § 1, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-102. Policy and scope of act.
A. The purpose of the Oklahoma Alcoholic Beverage Control Act is
to implement the provisions of Article XVIIIA of the Oklahoma
Constitution, as referred to the people for their approval or
rejection by the Secretary of State pursuant to the provisions of
Enrolled Senate Joint Resolution No. 68 of the 2nd Session of the
55th Oklahoma Legislature. The Legislature hereby declares that the
Oklahoma Alcoholic Beverage Control Act is deemed to be a code,
digest or revision of statutes pursuant to the provisions of Section
57 of Article V of the Oklahoma Constitution.
B. All alcoholic beverages as herein defined except alcohol
produced for use as a motor fuel under a permit issued by the
Oklahoma State Department of Agriculture, Food, and Forestry shall be
subject to the provisions of the Oklahoma Alcoholic Beverage Control
Act.
Added by Laws 2016, c. 366, § 2, eff. Oct. 1, 2018.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-103. See the following versions:
OS 37A-1-103v1 (SB 906, Laws 2019, c. 322, § 1).
OS 37A-1-103v2 (SB 608, Laws 2019, c. 353, § 1).
OS 37A-1-103v3 (SB 336, Laws 2019, c. 420, § 1).
§37A-1-103v1. Definitions.
As used in the Oklahoma Alcoholic Beverage Control Act:
1. "ABLE Commission" or "Commission" means the Alcoholic
Beverage Laws Enforcement Commission;
2. "Alcohol" means and includes hydrated oxide of ethyl, ethyl
alcohol, ethanol or spirits of wine, from whatever source or by
whatever process produced. It does not include wood alcohol or
alcohol which has been denatured or produced as denatured in
accordance with Acts of Congress and regulations promulgated
thereunder;
3. "Alcoholic beverage" means alcohol, spirits, beer and wine as
those terms are defined herein and also includes every liquid or
solid, patented or not, containing alcohol, spirits, wine or beer and
capable of being consumed as a beverage by human beings;
4. "Applicant" means any individual, legal or commercial
business entity, or any individual involved in any legal or
commercial business entity allowed to hold any license issued in
accordance with the Oklahoma Alcoholic Beverage Control Act;
5. "Beer" means any beverage of alcohol by volume and obtained
by the alcoholic fermentation of an infusion or decoction of barley,
or other grain, malt or similar products. "Beer" may or may not
contain hops or other vegetable products. "Beer" includes, among
other things, beer, ale, stout, lager beer, porter and other malt or
brewed liquors, but does not include sake, known as Japanese rice
wine;
6. "Beer keg" means any brewer-sealed, single container that
contains not less than four (4) gallons of beer;
7. "Beer distributor" means and includes any person licensed to
distribute beer for retail sale in the state, but does not include a
holder of a small brewer self-distribution license or brewpub self-
distribution license. The term "distributor", as used in the
Oklahoma Alcoholic Beverage Control Act, shall be construed to refer
to a beer distributor;
8. "Bottle club" means any establishment in a county which has
not authorized the retail sale of alcoholic beverages by the
individual drink, which is required to be licensed to keep, mix and
serve alcoholic beverages belonging to club members on club premises;
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9. "Brand" means any word, name, group of letters, symbol or
combination thereof, that is adopted and used by a licensed brewer to
identify a specific beer and to distinguish that product from another
beer;
10. "Brand extension" means:
a. after October 1, 2018, any brand of beer or cider
introduced by a manufacturer in this state which
either:
(1) incorporates all or a substantial part of the
unique features of a preexisting brand of the same
licensed brewer, or
(2) relies to a significant extent on the goodwill
associated with the preexisting brand, or
b. any brand of beer that a brewer, the majority of whose
total volume of all brands of beer distributed in this
state by such brewer on January 1, 2016, was
distributed as low-point beer, desires to sell,
introduces, begins selling or theretofore has sold and
desires to continue selling a strong beer in this state
which either:
(1) incorporates or incorporated all or a substantial
part of the unique features of a preexisting low-
point beer brand of the same licensed brewer, or
(2) relies or relied to a significant extent on the
goodwill associated with a preexisting low-point
beer brand;
11. "Brewer" means and includes any person who manufactures for
human consumption by the use of raw materials or other ingredients
any beer or cider upon which a license fee and a tax are imposed by
any law of this state;
12. "Brewpub" means a licensed establishment operated on the
premises of, or on premises located contiguous to, a small brewer,
that prepares and serves food and beverages, including alcoholic
beverages, for on-premises consumption;
13. "Cider" means any alcoholic beverage obtained by the
alcoholic fermentation of fruit juice, including but not limited to
flavored, sparkling or carbonated cider. For the purposes of the
manufacture of this product, cider may be manufactured by either
manufacturers or brewers. For the purposes of the distribution of
this product, cider may be distributed by either wine and spirits
wholesalers or beer distributors;
14. "Convenience store" means any person primarily engaged in
retailing a limited range of general household items and groceries,
with extended hours of operation, whether or not engaged in retail
sales of automotive fuels in combination with such sales;
15. "Convicted" and "conviction" mean and include a finding of
guilt resulting from a plea of guilty or nolo contendere, the
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decision of a court or magistrate or the verdict of a jury,
irrespective of the pronouncement of judgment or the suspension
thereof;
16. "Designated products" means the brands of wine or spirits
offered for sale by a manufacturer that the manufacturer has assigned
to a designated wholesaler for exclusive distribution;
17. "Designated wholesaler" means a wine and spirits wholesaler
who has been selected by a manufacturer as a wholesaler appointed to
distribute designated products;
18. "Director" means the Director of the ABLE Commission;
19. "Distiller" means any person who produces spirits from any
source or substance, or any person who brews or makes mash, wort or
wash, fit for distillation or for the production of spirits (except a
person making or using such material in the authorized production of
wine or beer, or the production of vinegar by fermentation), or any
person who by any process separates alcoholic spirits from any
fermented substance, or any person who, making or keeping mash, wort
or wash, has also in his or her possession or use a still;
20. "Distributor agreement" means the written agreement between
the distributor and brewer as set forth in Section 3-108 of this
title;
21. "Drug store" means a person primarily engaged in retailing
prescription and nonprescription drugs and medicines;
22. "Dual-strength beer" means a brand of beer that, immediately
prior to April 15, 2017, was being sold and distributed in this
state:
a. as a low-point beer pursuant to the Low-Point Beer
Distribution Act in effect immediately prior to October
1, 2018, and
b. as strong beer pursuant to the Alcoholic Beverage
Control Act in effect immediately prior to October 1,
2018,
and continues to be sold and distributed as such on October 1, 2018.
Dual-strength beer does not include a brand of beer that arose as a
result of a brand extension as defined in this section;
23. "Fair market value" means the value in the subject territory
covered by the written agreement with the distributor or wholesaler
that would be determined in an arm's length transaction entered into
without duress or threat of termination of the distributor's or
wholesaler's rights and shall include all elements of value,
including goodwill and going-concern value;
24. "Good cause" means:
a. failure by the distributor to comply with the material
and reasonable provisions of a written agreement or
understanding with the brewer, or
b. failure by the distributor to comply with the duty of
good faith;
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25. "Good faith" means the duty of each party to any distributor
agreement and all officers, employees or agents thereof to act with
honesty in fact and within reasonable standards of fair dealing in
the trade;
26. "Grocery store" means a person primarily engaged in
retailing a general line of food, such as canned or frozen foods,
fresh fruits and vegetables, and fresh and prepared meats, fish and
poultry;
27. "Hotel" or "motel" means an establishment which is licensed
to sell alcoholic beverages by the individual drink and which
contains guestroom accommodations with respect to which the
predominant relationship existing between the occupants thereof and
the owner or operator of the establishment is that of innkeeper and
guest. For purposes of this section, the existence of other legal
relationships as between some occupants and the owner or operator
thereof shall be immaterial;
28. "Legal newspaper" means a newspaper meeting the requisites
of a newspaper for publication of legal notices as prescribed in
Sections 101 through 114 of Title 25 of the Oklahoma Statutes;
29. "Licensee" means any person holding a license under the
Oklahoma Alcoholic Beverage Control Act, and any agent, servant or
employee of such licensee while in the performance of any act or duty
in connection with the licensed business or on the licensed premises;
30. "Low-point beer" shall mean any beverages containing more
than one-half of one percent (1/2 of 1%) alcohol by volume, and not
more than three and two-tenths percent (3.2%) alcohol by weight,
including but not limited to, beer or cereal malt beverages obtained
by the alcoholic fermentation of an infusion by barley or other
grain, malt or similar products;
31. "Manufacturer" means a distiller, winemaker, rectifier or
bottler of any alcoholic beverage (other than beer) and its
subsidiaries, affiliates and parent companies;
32. "Manufacturer's agent" means a salaried or commissioned
salesperson who is the agent authorized to act on behalf of the
manufacturer or nonresident seller in the state;
33. "Meals" means foods commonly ordered at lunch or dinner and
at least part of which is cooked on the licensed premises and
requires the use of dining implements for consumption. Provided,
that the service of only food such as appetizers, sandwiches, salads
or desserts shall not be considered "meals";
34. "Mini-bar" means a closed container, either refrigerated in
whole or in part, or nonrefrigerated, and access to the interior of
which is:
a. restricted by means of a locking device which requires
the use of a key, magnetic card or similar device, or
b. controlled at all times by the licensee;
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35. "Mixed beverage cooler" means any beverage, by whatever name
designated, consisting of an alcoholic beverage and fruit or
vegetable juice, fruit or vegetable flavorings, dairy products or
carbonated water containing more than one-half of one percent (1/2 of
1%) of alcohol measured by volume but not more than seven percent
(7%) alcohol by volume at sixty (60) degrees Fahrenheit and which is
packaged in a container not larger than three hundred seventy-five
(375) milliliters. Such term shall include but not be limited to the
beverage popularly known as a "wine cooler";
36. "Mixed beverages" means one or more servings of a beverage
composed in whole or part of an alcoholic beverage in a sealed or
unsealed container of any legal size for consumption on the premises
where served or sold by the holder of a mixed beverage, beer and
wine, caterer, public event, charitable event or special event
license;
37. "Motion picture theater" means an establishment which is
licensed by Section 2-110 of this title to sell alcoholic beverages
by the individual drink and where motion pictures are exhibited, and
to which the general public is admitted;
38. "Nondesignated products" means the brands of wine or spirits
offered for sale by a manufacturer that have not been assigned to a
designated wholesaler;
39. "Nonresident seller" means any person licensed pursuant to
Section 2-135 of this title;
40. "Retail salesperson" means a salesperson soliciting orders
from and calling upon retail alcoholic beverage stores with regard to
his or her product;
41. "Occupation" as used in connection with "occupation tax"
means the sites occupied as the places of business of the
manufacturers, brewers, wholesalers, beer distributors, retailers,
mixed beverage licensees, on-premises beer and wine licensees, bottle
clubs, caterers, public event and special event licensees;
42. "Original package" means any container of alcoholic beverage
filled and stamped or sealed by the manufacturer or brewer;
43. "Package store" means any sole proprietor or partnership
that qualifies to sell wine, beer and/or spirits for off-premise
consumption and that is not a grocery store, convenience store or
drug store, or other retail outlet that is not permitted to sell wine
or beer for off-premise consumption;
44. "Patron" means any person, customer or visitor who is not
employed by a licensee or who is not a licensee;
45. "Person" means an individual, any type of partnership,
corporation, association, limited liability company or any individual
involved in the legal structure of any such business entity;
46. "Premises" means the grounds and all buildings and
appurtenances pertaining to the grounds including any adjacent
premises if under the direct or indirect control of the licensee and
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the rooms and equipment under the control of the licensee and used in
connection with or in furtherance of the business covered by a
license. Provided that the ABLE Commission shall have the authority
to designate areas to be excluded from the licensed premises solely
for the purpose of:
a. allowing the presence and consumption of alcoholic
beverages by private parties which are closed to the
general public, or
b. allowing the services of a caterer serving alcoholic
beverages provided by a private party.
This exception shall in no way limit the licensee's concurrent
responsibility for any violations of the Oklahoma Alcoholic Beverage
Control Act occurring on the licensed premises;
47. "Private event" means a social gathering or event attended
by invited guests who share a common cause, membership, business or
task and have a prior established relationship. For purposes of this
definition, advertisement for general public attendance or sales of
tickets to the general public shall not constitute a private event;
48. "Public event" means any event that can be attended by the
general public;
49. "Rectifier" means any person who rectifies, purifies or
refines spirits or wines by any process (other than by original and
continuous distillation, or original and continuous processing, from
mash, wort, wash or other substance, through continuous closed
vessels and pipes, until the production thereof is complete), and any
person who, without rectifying, purifying or refining spirits, shall
by mixing (except for immediate consumption on the premises where
mixed) such spirits, wine or other liquor with any material,
manufactures any spurious, imitation or compound liquors for sale,
under the name of whiskey, brandy, rum, gin, wine, spirits, cordials
or any other name;
50. "Regulation" or "rule" means a formal rule of general
application promulgated by the ABLE Commission as herein required;
51. "Restaurant" means an establishment that is licensed to sell
alcoholic beverages by the individual drink for on-premises
consumption and where food is prepared and sold for immediate
consumption on the premises;
52. "Retail container for spirits and wines" means an original
package of any capacity approved by the United States Bureau of
Alcohol, Tobacco and Firearms;
53. "Retailer" means a package store, grocery store, convenience
store or drug store licensed to sell alcoholic beverages for off-
premise consumption pursuant to a Retail Spirits License, Retail Wine
License or Retail Beer License;
54. "Sale" means any transfer, exchange or barter in any manner
or by any means whatsoever, and includes and means all sales made by
any person, whether as principal, proprietor or as an agent, servant
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or employee. The term "sale" is also declared to be and include the
use or consumption in this state of any alcoholic beverage obtained
within or imported from without this state, upon which the excise tax
levied by the Oklahoma Alcoholic Beverage Control Act has not been
paid or exempted;
55. "Short-order food" means food other than full meals
including but not limited to sandwiches, soups and salads. Provided
that popcorn, chips and other similar snack food shall not be
considered "short-order food";
56. "Small brewer" means a brewer who manufactures sixty-five
thousand (65,000) barrels of beer annually pursuant to a validly
issued Small Brewer License hereunder;
57. "Small farm wine" means a wine that is produced by a small
farm winery with seventy-five percent (75%) or more Oklahoma-grown
grapes, berries, other fruits, honey or vegetables;
58. "Small farm winery" means a wine-making establishment that
does not annually produce for sale more than fifteen thousand
(15,000) gallons of wine as reported on the United States Department
of the Treasury, Alcohol and Tobacco Tax and Trade Bureau, Report of
Wine Premises Operations (TTB Form 5120.17);
59. "Sparkling wine" means champagne or any artificially
carbonated wine;
60. "Special event" means an entertainment, recreation or
marketing event that occurs at a single location on an irregular
basis and at which alcoholic beverages are sold;
61. "Spirits" means any beverage other than wine or beer, which
contains more than one-half of one percent (1/2 of 1%) alcohol
measured by volume, and obtained by distillation, whether or not
mixed with other substances in solution and includes those products
known as whiskey, brandy, rum, gin, vodka, liqueurs, cordials and
fortified wines and similar compounds, but shall not include any
alcohol liquid completely denatured in accordance with the Acts of
Congress and regulations pursuant thereto;
62. "Strong beer" means beer which, prior to October 1, 2018,
was distributed pursuant to the Oklahoma Alcoholic Beverage Control
Act, Section 501 et seq. of Title 37 of the Oklahoma Statutes;
63. "Successor brewer" means a primary source of supply, a
brewer, a cider manufacturer or an importer that acquires rights to a
beer or cider brand from a predecessor brewer;
64. "Tax Commission" means the Oklahoma Tax Commission;
65. "Territory" means a geographic region with a specified
boundary;
66. "Wine and spirits wholesaler" or "wine and spirits
distributor" means and includes any sole proprietorship or
partnership licensed to distribute wine and spirits in the state.
The term "wholesaler", as used the Oklahoma Alcoholic Beverage
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Control Act, shall be construed to refer to a wine and spirits
wholesaler; and
67. "Wine" means and includes any beverage containing more than
one-half of one percent (1/2 of 1%) alcohol by volume and not more
than twenty-four percent (24%) alcohol by volume at sixty (60)
degrees Fahrenheit obtained by the fermentation of the natural
contents of fruits, vegetables, honey, milk or other products
containing sugar, whether or not other ingredients are added, and
includes vermouth and sake, known as Japanese rice wine.
Words in the plural include the singular, and vice versa, and
words imparting the masculine gender include the feminine, as well as
persons and licensees as defined in this section.
Added by Laws 2016, c. 366, § 3, eff. Oct. 1, 2018. Amended by Laws
2017, c. 381, § 5, eff. Oct. 1, 2018; Laws 2018, c. 304, § 13, eff.
Oct. 1, 2018; Laws 2019, c. 25, § 20, emerg. eff. April 4, 2019; Laws
2019, c. 322, § 1, emerg. eff. May 7, 2019.
NOTE: Laws 2017, c. 364, § 8 repealed by Laws 2018, c. 304, § 14,
eff. Oct. 1, 2018. Laws 2018, c. 206, § 1 repealed by Laws 2019, c.
25, § 21, emerg. eff. April 4, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-103v2. Definitions.
As used in the Oklahoma Alcoholic Beverage Control Act:
1. "ABLE Commission" or "Commission" means the Alcoholic
Beverage Laws Enforcement Commission;
2. "Alcohol" means and includes hydrated oxide of ethyl, ethyl
alcohol, ethanol or spirits of wine, from whatever source or by
whatever process produced. It does not include wood alcohol or
alcohol which has been denatured or produced as denatured in
accordance with Acts of Congress and regulations promulgated
thereunder;
3. "Alcoholic beverage" means alcohol, spirits, beer and wine as
those terms are defined herein and also includes every liquid or
solid, patented or not, containing alcohol, spirits, wine or beer and
capable of being consumed as a beverage by human beings;
4. "Applicant" means any individual, legal or commercial
business entity, or any individual involved in any legal or
commercial business entity allowed to hold any license issued in
accordance with the Oklahoma Alcoholic Beverage Control Act;
5. "Beer" means any beverage of alcohol by volume and obtained
by the alcoholic fermentation of an infusion or decoction of barley,
or other grain, malt or similar products. "Beer" may or may not
contain hops or other vegetable products. "Beer" includes, among
other things, beer, ale, stout, lager beer, porter and other malt or
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brewed liquors, but does not include sake, known as Japanese rice
wine;
6. "Beer keg" means any manufacturer-sealed, single container
that contains not less than four (4) gallons of beer;
7. "Beer distributor" means and includes any person licensed to
distribute beer for retail sale in the state, but does not include a
holder of a small brewer self-distribution license or brewpub self-
distribution license. The term "distributor", as used in the
Oklahoma Alcoholic Beverage Control Act, shall be construed to refer
to a beer distributor;
8. "Bottle club" means any establishment in a county which has
not authorized the retail sale of alcoholic beverages by the
individual drink, which is required to be licensed to keep, mix and
serve alcoholic beverages belonging to club members on club premises;
9. "Brand" means any word, name, group of letters, symbol or
combination thereof, that is adopted and used by a licensed
manufacturer to identify a specific beer, wine or spirit and to
distinguish that product from another beer, wine or spirit;
10. "Brand extension" means:
a. after October 1, 2018, any brand of beer or cider
introduced by a manufacturer in this state which
either:
(1) incorporates all or a substantial part of the
unique features of a preexisting brand of the same
licensed manufacturer, or
(2) relies to a significant extent on the goodwill
associated with the preexisting brand, or
b. any brand of beer that a manufacturer, the majority of
whose total volume of all brands of beer distributed in
this state by such manufacturer on January 1, 2016, was
distributed as low-point beer, desires to sell,
introduces, begins selling or theretofore has sold and
desires to continue selling a strong beer in this state
which either:
(1) incorporates or incorporated all or a substantial
part of the unique features of a preexisting low-
point beer brand of the same licensed
manufacturer, or
(2) relies or relied to a significant extent on the
goodwill associated with a preexisting low-point
beer brand;
11. "Brewer" means and includes any person who manufactures for
human consumption by the use of raw materials or other ingredients
any beer upon which a license fee and a tax are imposed by any law of
this state;
12. "Brewpub" means a licensed establishment operated on the
premises of, or on premises located contiguous to, a small brewer,
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that prepares and serves food and beverages, including alcoholic
beverages, for on-premises consumption;
13. "Cider" means any alcoholic beverage obtained by the
alcoholic fermentation of fruit juice, including but not limited to
flavored, sparkling or carbonated cider. For the purposes of the
distribution of this product, cider may be distributed by either wine
and spirits wholesalers or beer distributors;
14. "Convenience store" means any person primarily engaged in
retailing a limited range of general household items and groceries,
with extended hours of operation, whether or not engaged in retail
sales of automotive fuels in combination with such sales;
15. "Convicted" and "conviction" mean and include a finding of
guilt resulting from a plea of guilty or nolo contendere, the
decision of a court or magistrate or the verdict of a jury,
irrespective of the pronouncement of judgment or the suspension
thereof;
16. "Director" means the Director of the ABLE Commission;
17. "Distiller" means any person who produces spirits from any
source or substance, or any person who brews or makes mash, wort or
wash, fit for distillation or for the production of spirits (except a
person making or using such material in the authorized production of
wine or beer, or the production of vinegar by fermentation), or any
person who by any process separates alcoholic spirits from any
fermented substance, or any person who, making or keeping mash, wort
or wash, has also in his or her possession or use a still;
18. "Distributor agreement" means the written agreement between
the distributor and manufacturer as set forth in Section 3-108 of
this title;
19. "Drug store" means a person primarily engaged in retailing
prescription and nonprescription drugs and medicines;
20. "Dual-strength beer" means a brand of beer that, immediately
prior to April 15, 2017, was being sold and distributed in this
state:
a. as a low-point beer pursuant to the Low-Point Beer
Distribution Act in effect immediately prior to October
1, 2018, and
b. as strong beer pursuant to the Alcoholic Beverage
Control Act in effect immediately prior to October 1,
2018,
and continues to be sold and distributed as such on October 1, 2018.
Dual-strength beer does not include a brand of beer that arose as a
result of a brand extension as defined in this section;
21. "Fair market value" means the value in the subject territory
covered by the written agreement with the distributor or wholesaler
that would be determined in an arm's length transaction entered into
without duress or threat of termination of the distributor's or
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wholesaler's rights and shall include all elements of value,
including goodwill and going-concern value;
22. "Good cause" means:
a. failure by the distributor to comply with the material
and reasonable provisions of a written agreement or
understanding with the manufacturer, or
b. failure by the distributor to comply with the duty of
good faith;
23. "Good faith" means the duty of each party to any distributor
agreement and all officers, employees or agents thereof to act with
honesty in fact and within reasonable standards of fair dealing in
the trade;
24. "Grocery store" means a person primarily engaged in
retailing a general line of food, such as canned or frozen foods,
fresh fruits and vegetables, and fresh and prepared meats, fish and
poultry;
25. "Hotel" or "motel" means an establishment which is licensed
to sell alcoholic beverages by the individual drink and which
contains guestroom accommodations with respect to which the
predominant relationship existing between the occupants thereof and
the owner or operator of the establishment is that of innkeeper and
guest. For purposes of this section, the existence of other legal
relationships as between some occupants and the owner or operator
thereof shall be immaterial;
26. "Legal newspaper" means a newspaper meeting the requisites
of a newspaper for publication of legal notices as prescribed in
Sections 101 through 114 of Title 25 of the Oklahoma Statutes;
27. "Licensee" means any person holding a license under the
Oklahoma Alcoholic Beverage Control Act, and any agent, servant or
employee of such licensee while in the performance of any act or duty
in connection with the licensed business or on the licensed premises;
28. "Low-point beer" shall mean any beverages containing more
than one-half of one percent (1/2 of 1%) alcohol by volume, and not
more than three and two-tenths percent (3.2%) alcohol by weight,
including but not limited to, beer or cereal malt beverages obtained
by the alcoholic fermentation of an infusion by barley or other
grain, malt or similar products;
29. "Manufacturer" means a brewer, distiller, winemaker,
rectifier or bottler of any alcoholic beverage and its subsidiaries,
affiliates and parent companies;
30. "Manufacturer's agent" means a salaried or commissioned
salesperson who is the agent authorized to act on behalf of the
manufacturer or nonresident seller in the state;
31. "Meals" means foods commonly ordered at lunch or dinner and
at least part of which is cooked on the licensed premises and
requires the use of dining implements for consumption. Provided,
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that the service of only food such as appetizers, sandwiches, salads
or desserts shall not be considered "meals";
32. "Mini-bar" means a closed container, either refrigerated in
whole or in part, or nonrefrigerated, and access to the interior of
which is:
a. restricted by means of a locking device which requires
the use of a key, magnetic card or similar device, or
b. controlled at all times by the licensee;
33. "Mixed beverage cooler" means any beverage, by whatever name
designated, consisting of an alcoholic beverage and fruit or
vegetable juice, fruit or vegetable flavorings, dairy products or
carbonated water containing more than one-half of one percent (1/2 of
1%) of alcohol measured by volume but not more than seven percent
(7%) alcohol by volume at sixty (60) degrees Fahrenheit and which is
packaged in a container not larger than three hundred seventy-five
(375) milliliters. Such term shall include but not be limited to the
beverage popularly known as a "wine cooler";
34. "Mixed beverages" means one or more servings of a beverage
composed in whole or part of an alcoholic beverage in a sealed or
unsealed container of any legal size for consumption on the premises
where served or sold by the holder of a mixed beverage, beer and
wine, caterer, public event, charitable event or special event
license;
35. "Motion picture theater" means an establishment which is
licensed by Section 2-110 of this title to sell alcoholic beverages
by the individual drink and where motion pictures are exhibited, and
to which the general public is admitted;
36. "Nonresident seller" means any person licensed pursuant to
Section 2-135 of this title;
37. "Retail salesperson" means a salesperson soliciting orders
from and calling upon retail alcoholic beverage stores with regard to
his or her product;
38. "Occupation" as used in connection with "occupation tax"
means the sites occupied as the places of business of the
manufacturers, wholesalers, beer distributors, retailers, mixed
beverage licensees, on-premises beer and wine licensees, bottle
clubs, caterers, public event and special event licensees;
39. "Original package" means any container of alcoholic beverage
filled and stamped or sealed by the manufacturer;
40. "Package store" means any sole proprietor or partnership
that qualifies to sell wine, beer and/or spirits for off-premise
consumption and that is not a grocery store, convenience store or
drug store, or other retail outlet that is not permitted to sell wine
or beer for off-premise consumption;
41. "Patron" means any person, customer or visitor who is not
employed by a licensee or who is not a licensee;
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42. "Person" means an individual, any type of partnership,
corporation, association, limited liability company or any individual
involved in the legal structure of any such business entity;
43. "Premises" means the grounds and all buildings and
appurtenances pertaining to the grounds including any adjacent
premises if under the direct or indirect control of the licensee and
the rooms and equipment under the control of the licensee and used in
connection with or in furtherance of the business covered by a
license. Provided that the ABLE Commission shall have the authority
to designate areas to be excluded from the licensed premises solely
for the purpose of:
a. allowing the presence and consumption of alcoholic
beverages by private parties which are closed to the
general public, or
b. allowing the services of a caterer serving alcoholic
beverages provided by a private party.
This exception shall in no way limit the licensee's concurrent
responsibility for any violations of the Oklahoma Alcoholic Beverage
Control Act occurring on the licensed premises;
44. "Private event" means a social gathering or event attended
by invited guests who share a common cause, membership, business or
task and have a prior established relationship. For purposes of this
definition, advertisement for general public attendance or sales of
tickets to the general public shall not constitute a private event;
45. "Public event" means any event that can be attended by the
general public;
46. "Rectifier" means any person who rectifies, purifies or
refines spirits or wines by any process (other than by original and
continuous distillation, or original and continuous processing, from
mash, wort, wash or other substance, through continuous closed
vessels and pipes, until the production thereof is complete), and any
person who, without rectifying, purifying or refining spirits, shall
by mixing (except for immediate consumption on the premises where
mixed) such spirits, wine or other liquor with any material,
manufactures any spurious, imitation or compound liquors for sale,
under the name of whiskey, brandy, rum, gin, wine, spirits, cordials
or any other name;
47. "Regulation" or "rule" means a formal rule of general
application promulgated by the ABLE Commission as herein required;
48. "Restaurant" means an establishment that is licensed to sell
alcoholic beverages by the individual drink for on-premises
consumption and where food is prepared and sold for immediate
consumption on the premises;
49. "Retail container for spirits and wines" means an original
package of any capacity approved by the United States Bureau of
Alcohol, Tobacco and Firearms;
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50. "Retailer" means a package store, grocery store, convenience
store or drug store licensed to sell alcoholic beverages for off-
premise consumption pursuant to a Retail Spirits License, Retail Wine
License or Retail Beer License;
51. "Sale" means any transfer, exchange or barter in any manner
or by any means whatsoever, and includes and means all sales made by
any person, whether as principal, proprietor or as an agent, servant
or employee. The term "sale" is also declared to be and include the
use or consumption in this state of any alcoholic beverage obtained
within or imported from without this state, upon which the excise tax
levied by the Oklahoma Alcoholic Beverage Control Act has not been
paid or exempted;
52. "Short-order food" means food other than full meals
including but not limited to sandwiches, soups and salads. Provided
that popcorn, chips and other similar snack food shall not be
considered "short-order food";
53. "Small brewer" means a brewer who manufactures less than
sixty-five thousand (65,000) barrels of beer annually pursuant to a
validly issued Small Brewer License hereunder;
54. "Small farm wine" means a wine that is produced by a small
farm winery with seventy-five percent (75%) or more Oklahoma-grown
grapes, berries, other fruits, honey or vegetables;
55. "Small farm winery" means a wine-making establishment that
does not annually produce for sale more than fifteen thousand
(15,000) gallons of wine as reported on the United States Department
of the Treasury, Alcohol and Tobacco Tax and Trade Bureau, Report of
Wine Premises Operations (TTB Form 5120.17);
56. "Sparkling wine" means champagne or any artificially
carbonated wine;
57. "Special event" means an entertainment, recreation or
marketing event that occurs at a single location on an irregular
basis and at which alcoholic beverages are sold;
58. "Spirits" means any beverage other than wine or beer, which
contains more than one-half of one percent (1/2 of 1%) alcohol
measured by volume, and obtained by distillation, whether or not
mixed with other substances in solution and includes those products
known as whiskey, brandy, rum, gin, vodka, liqueurs, cordials and
fortified wines and similar compounds, but shall not include any
alcohol liquid completely denatured in accordance with the Acts of
Congress and regulations pursuant thereto;
59. "Strong beer" means beer which, prior to October 1, 2018,
was distributed pursuant to the Oklahoma Alcoholic Beverage Control
Act, Section 501 et seq. of Title 37 of the Oklahoma Statutes;
60. "Successor manufacturer" means a primary source of supply, a
brewer, a cider manufacturer or an importer that acquires rights to a
beer or cider brand from a predecessor manufacturer;
61. "Tax Commission" means the Oklahoma Tax Commission;
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62. "Territory" means a geographic region with a specified
boundary;
63. "Wine and spirits wholesaler" or "wine and spirits
distributor" means and includes any sole proprietorship or
partnership licensed to distribute wine and spirits in the state.
The term "wholesaler", as used in the Oklahoma Alcoholic Beverage
Control Act, shall be construed to refer to a wine and spirits
wholesaler; and
64. "Wine" means and includes any beverage containing more than
one-half of one percent (1/2 of 1%) alcohol by volume and not more
than twenty-four percent (24%) alcohol by volume at sixty (60)
degrees Fahrenheit obtained by the fermentation of the natural
contents of fruits, vegetables, honey, milk or other products
containing sugar, whether or not other ingredients are added, and
includes vermouth and sake, known as Japanese rice wine.
Words in the plural include the singular, and vice versa, and
words imparting the masculine gender include the feminine, as well as
persons and licensees as defined in this section.
Added by Laws 2016, c. 366, § 3, eff. Oct. 1, 2018. Amended by Laws
2017, c. 381, § 5, eff. Oct. 1, 2018; Laws 2018, c. 304, § 13, eff.
Oct. 1, 2018; Laws 2019, c. 25, § 20, emerg. eff. April 4, 2019; Laws
2019, c. 353, § 1.
NOTE: Laws 2017, c. 364, § 8 repealed by Laws 2018, c. 304, § 14,
eff. Oct. 1, 2018. Laws 2018, c. 206, § 1 repealed by Laws 2019, c.
25, § 21, emerg. eff. April 4, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-103v3. Definitions.
As used in the Oklahoma Alcoholic Beverage Control Act:
1. "ABLE Commission" or "Commission" means the Alcoholic
Beverage Laws Enforcement Commission;
2. "Alcohol" means and includes hydrated oxide of ethyl, ethyl
alcohol, ethanol or spirits of wine, from whatever source or by
whatever process produced. It does not include wood alcohol or
alcohol which has been denatured or produced as denatured in
accordance with Acts of Congress and regulations promulgated
thereunder;
3. "Alcoholic beverage" means alcohol, spirits, beer and wine as
those terms are defined herein and also includes every liquid or
solid, patented or not, containing alcohol, spirits, wine or beer and
capable of being consumed as a beverage by human beings;
4. "Applicant" means any individual, legal or commercial
business entity, or any individual involved in any legal or
commercial business entity allowed to hold any license issued in
accordance with the Oklahoma Alcoholic Beverage Control Act;
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5. "Beer" means any beverage of alcohol by volume and obtained
by the alcoholic fermentation of an infusion or decoction of barley,
or other grain, malt or similar products. "Beer" may or may not
contain hops or other vegetable products. "Beer" includes, among
other things, beer, ale, stout, lager beer, porter and other malt or
brewed liquors, but does not include sake, known as Japanese rice
wine;
6. "Beer keg" means any manufacturer-sealed, single container
that contains not less than four (4) gallons of beer;
7. "Beer distributor" means and includes any person licensed to
distribute beer for retail sale in the state, but does not include a
holder of a small brewer self-distribution license or brewpub self-
distribution license. The term "distributor", as used in this act,
shall be construed to refer to a beer distributor;
8. "Bottle club" means any establishment in a county which has
not authorized the retail sale of alcoholic beverages by the
individual drink, which is required to be licensed to keep, mix and
serve alcoholic beverages belonging to club members on club premises;
9. "Brand" means any word, name, group of letters, symbol or
combination thereof, that is adopted and used by a licensed
manufacturer to identify a specific beer and to distinguish that
product from another beer;
10. "Brand extension" means:
a. after the effective date of this act, any brand of beer
or cider introduced by a manufacturer in this state
which either:
(1) incorporates all or a substantial part of the
unique features of a preexisting brand of the same
licensed manufacturer, or
(2) relies to a significant extent on the goodwill
associated with the preexisting brand, or
b. any brand of beer that a manufacturer, the majority of
whose total volume of all brands of beer distributed in
this state by such manufacturer on January 1, 2016, was
distributed as low-point beer, desires to sell,
introduces, begins selling or theretofore has sold and
desires to continue selling a strong beer in this state
which either:
(1) incorporates or incorporated all or a substantial
part of the unique features of a preexisting low-
point beer brand of the same licensed
manufacturer, or
(2) relies or relied to a significant extent on the
goodwill associated with a preexisting low-point
beer brand;
11. "Brewer" means and includes any person who manufactures for
human consumption by the use of raw materials or other ingredients
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any beer upon which a license fee and a tax are imposed by any law of
this state;
12. "Brewpub" means a licensed establishment operated on the
premises of, or on premises located contiguous to, a small brewer,
that prepares and serves food and beverages, including alcoholic
beverages, for on-premises consumption;
13. "Cider" means any alcoholic beverage obtained by the
alcoholic fermentation of fruit juice, including but not limited to
flavored, sparkling or carbonated cider. For the purposes of the
distribution of this product, cider may be distributed by either wine
and spirits wholesalers or beer distributors;
14. "Convenience store" means any person primarily engaged in
retailing a limited range of general household items and groceries,
with extended hours of operation, whether or not engaged in retail
sales of automotive fuels in combination with such sales;
15. "Convicted" and "conviction" mean and include a finding of
guilt resulting from a plea of guilty or nolo contendere, the
decision of a court or magistrate or the verdict of a jury,
irrespective of the pronouncement of judgment or the suspension
thereof;
16. "Director" means the Director of the ABLE Commission;
17. "Distiller" means any person who produces spirits from any
source or substance, or any person who brews or makes mash, wort or
wash, fit for distillation or for the production of spirits (except a
person making or using such material in the authorized production of
wine or beer, or the production of vinegar by fermentation), or any
person who by any process separates alcoholic spirits from any
fermented substance, or any person who, making or keeping mash, wort
or wash, has also in his or her possession or use a still;
18. "Distributor agreement" means the written agreement between
the distributor and manufacturer as set forth in Section 3-108 of
this title;
19. "Drug store" means a person primarily engaged in retailing
prescription and nonprescription drugs and medicines;
20. "Dual-strength beer" means a brand of beer that, immediately
prior to April 15, 2017, was being sold and distributed in this
state:
a. as a low-point beer pursuant to the Low-Point Beer
Distribution Act in effect immediately prior to the
effective date of this act, and
b. as strong beer pursuant to the Alcoholic Beverage
Control Act in effect immediately prior to the
effective date of this act,
and continues to be sold and distributed as such on October 1, 2018.
Dual-strength beer does not include a brand of beer that arose as a
result of a brand extension as defined in this section;
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21. "Fair market value" means the value in the subject territory
covered by the written agreement with the distributor or wholesaler
that would be determined in an arm's length transaction entered into
without duress or threat of termination of the distributor's or
wholesaler's rights and shall include all elements of value,
including goodwill and going-concern value;
22. "Good cause" means:
a. failure by the distributor to comply with the material
and reasonable provisions of a written agreement or
understanding with the manufacturer, or
b. failure by the distributor to comply with the duty of
good faith;
23. "Good faith" means the duty of each party to any distributor
agreement and all officers, employees or agents thereof to act with
honesty in fact and within reasonable standards of fair dealing in
the trade;
24. "Grocery store" means a person primarily engaged in
retailing a general line of food, such as canned or frozen foods,
fresh fruits and vegetables, and fresh and prepared meats, fish and
poultry;
25. "Hotel" or "motel" means an establishment which is licensed
to sell alcoholic beverages by the individual drink and which
contains guestroom accommodations with respect to which the
predominant relationship existing between the occupants thereof and
the owner or operator of the establishment is that of innkeeper and
guest. For purposes of this section, the existence of other legal
relationships as between some occupants and the owner or operator
thereof shall be immaterial;
26. "Legal newspaper" means a newspaper meeting the requisites
of a newspaper for publication of legal notices as prescribed in
Sections 101 through 114 of Title 25 of the Oklahoma Statutes;
27. "Licensee" means any person holding a license under the
Oklahoma Alcoholic Beverage Control Act, and any agent, servant or
employee of such licensee while in the performance of any act or duty
in connection with the licensed business or on the licensed premises;
28. "Low-point beer" shall mean any beverages containing more
than one-half of one percent (1/2 of 1%) alcohol by volume, and not
more than three and two-tenths percent (3.2%) alcohol by weight,
including but not limited to, beer or cereal malt beverages obtained
by the alcoholic fermentation of an infusion by barley or other
grain, malt or similar products;
29. "Manufacturer" means a brewer, distiller, winemaker,
rectifier or bottler of any alcoholic beverage and its subsidiaries,
affiliates and parent companies;
30. "Manufacturer's agent" means a salaried or commissioned
salesperson who is the agent authorized to act on behalf of the
manufacturer or nonresident seller in the state;
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31. "Meals" means foods commonly ordered at lunch or dinner and
at least part of which is cooked on the licensed premises and
requires the use of dining implements for consumption. Provided,
that the service of only food such as appetizers, sandwiches, salads
or desserts shall not be considered "meals";
32. "Mini-bar" means a closed container, either refrigerated in
whole or in part, or nonrefrigerated, and access to the interior of
which is:
a. restricted by means of a locking device which requires
the use of a key, magnetic card or similar device, or
b. controlled at all times by the licensee;
33. "Mixed beverage cooler" means any beverage, by whatever name
designated, consisting of an alcoholic beverage and fruit or
vegetable juice, fruit or vegetable flavorings, dairy products or
carbonated water containing more than one-half of one percent (1/2 of
1%) of alcohol measured by volume but not more than seven percent
(7%) alcohol by volume at sixty (60) degrees Fahrenheit and which is
packaged in a container not larger than three hundred seventy-five
(375) milliliters. Such term shall include but not be limited to the
beverage popularly known as a "wine cooler";
34. "Mixed beverages" means one or more servings of a beverage
composed in whole or part of an alcoholic beverage in a sealed or
unsealed container of any legal size for consumption on the premises
where served or sold by the holder of a mixed beverage, beer and
wine, caterer, public event, charitable event or special event
license;
35. "Motion picture theater" means an establishment which is
licensed by Section 2-110 of this title to sell alcoholic beverages
by the individual drink and where motion pictures are exhibited, and
to which the general public is admitted;
36. "Nonresident seller" means any person licensed pursuant to
Section 2-135 of this title;
37. "Retail salesperson" means a salesperson soliciting orders
from and calling upon retail alcoholic beverage stores with regard to
his or her product;
38. "Occupation" as used in connection with "occupation tax"
means the sites occupied as the places of business of the
manufacturers, wholesalers, beer distributors, retailers, mixed
beverage licensees, on-premises beer and wine licensees, bottle
clubs, caterers, public event and special event licensees;
39. "Original package" means any container of alcoholic beverage
filled and stamped or sealed by the manufacturer;
40. "Package store" means any sole proprietor or partnership
that qualifies to sell wine, beer and/or spirits for off-premises
consumption and that is not a grocery store, convenience store or
drug store, or other retail outlet that is not permitted to sell wine
or beer for off-premises consumption;
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41. "Patron" means any person, customer or visitor who is not
employed by a licensee or who is not a licensee;
42. "Person" means an individual, any type of partnership,
corporation, association, limited liability company or any individual
involved in the legal structure of any such business entity;
43. "Premises" means the grounds and all buildings and
appurtenances pertaining to the grounds including any adjacent
premises if under the direct or indirect control of the licensee and
the rooms and equipment under the control of the licensee and used in
connection with or in furtherance of the business covered by a
license. Provided that the ABLE Commission shall have the authority
to designate areas to be excluded from the licensed premises solely
for the purpose of:
a. allowing the presence and consumption of alcoholic
beverages by private parties which are closed to the
general public, or
b. allowing the services of a caterer serving alcoholic
beverages provided by a private party.
This exception shall in no way limit the licensee's concurrent
responsibility for any violations of the Oklahoma Alcoholic Beverage
Control Act occurring on the licensed premises;
44. "Private event" means a social gathering or event attended
by invited guests who share a common cause, membership, business or
task and have a prior established relationship. For purposes of this
definition, advertisement for general public attendance or sales of
tickets to the general public shall not constitute a private event;
45. "Public event" means any event that can be attended by the
general public;
46. "Rectifier" means any person who rectifies, purifies or
refines spirits or wines by any process (other than by original and
continuous distillation, or original and continuous processing, from
mash, wort, wash or other substance, through continuous closed
vessels and pipes, until the production thereof is complete), and any
person who, without rectifying, purifying or refining spirits, shall
by mixing (except for immediate consumption on the premises where
mixed) such spirits, wine or other liquor with any material,
manufactures any spurious, imitation or compound liquors for sale,
under the name of whiskey, brandy, rum, gin, wine, spirits, cordials
or any other name;
47. "Regulation" or "rule" means a formal rule of general
application promulgated by the ABLE Commission as herein required;
48. "Restaurant" means an establishment that is licensed to sell
alcoholic beverages by the individual drink for on-premises
consumption and where food is prepared and sold for immediate
consumption on the premises;
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49. "Retail container for spirits and wines" means an original
package of any capacity approved by the United States Bureau of
Alcohol, Tobacco and Firearms;
50. "Retailer" means a package store, grocery store, convenience
store or drug store licensed to sell alcoholic beverages for off-
premises consumption pursuant to a Retail Spirits License, Retail
Wine License or Retail Beer License;
51. "Sale" means any transfer, exchange or barter in any manner
or by any means whatsoever, and includes and means all sales made by
any person, whether as principal, proprietor or as an agent, servant
or employee. The term "sale" is also declared to be and include the
use or consumption in this state of any alcoholic beverage obtained
within or imported from without this state, upon which the excise tax
levied by the Oklahoma Alcoholic Beverage Control Act has not been
paid or exempted;
52. "Short-order food" means food other than full meals
including but not limited to sandwiches, soups and salads. Provided
that popcorn, chips and other similar snack food shall not be
considered "short-order food";
53. "Small brewer" means a brewer who manufactures less than
twenty-five thousand (25,000) barrels of beer annually pursuant to a
validly issued Small Brewer License hereunder;
54. "Small farm wine" means a wine that is produced by a small
farm winery with seventy-five percent (75%) or more Oklahoma-grown
grapes, berries, other fruits, honey or vegetables;
55. "Small farm winery" means a wine-making establishment that
does not annually produce for sale more than fifteen thousand
(15,000) gallons of wine as reported on the United States Department
of the Treasury, Alcohol and Tobacco Tax and Trade Bureau, Report of
Wine Premises Operations (TTB Form 5120.17);
56. "Sparkling wine" means champagne or any artificially
carbonated wine;
57. "Special event" means an entertainment, recreation or
marketing event that occurs at a single location on an irregular
basis and at which alcoholic beverages are sold;
58. "Spirits" means any beverage other than wine or beer, which
contains more than one-half of one percent (1/2 of 1%) alcohol
measured by volume, and obtained by distillation, whether or not
mixed with other substances in solution and includes those products
known as whiskey, brandy, rum, gin, vodka, liqueurs, cordials and
fortified wines and similar compounds, but shall not include any
alcohol liquid completely denatured in accordance with the Acts of
Congress and regulations pursuant thereto;
59. "Strong beer" means beer which, prior to the effective date
of this act, was distributed pursuant to the Oklahoma Alcoholic
Beverage Control Act, Section 501 et seq. of Title 37 of the Oklahoma
Statutes;
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60. "Successor manufacturer" means a primary source of supply, a
brewer, a cider manufacturer or an importer that acquires rights to a
beer or cider brand from a predecessor manufacturer;
61. "Tax Commission" means the Oklahoma Tax Commission;
62. "Territory" means a geographic region with a specified
boundary;
63. "Wine and spirits wholesaler" or "wine and spirits
distributor" means and includes any sole proprietorship or
partnership licensed to distribute wine and spirits in the state.
The term "wholesaler", as used in this act, shall be construed to
refer to a wine and spirits wholesaler;
64. "Wine" means and includes any beverage containing more than
one-half of one percent (1/2 of 1%) alcohol by volume and not more
than twenty-four percent (24%) alcohol by volume at sixty (60)
degrees Fahrenheit obtained by the fermentation of the natural
contents of fruits, vegetables, honey, milk or other products
containing sugar, whether or not other ingredients are added, and
includes vermouth and sake, known as Japanese rice wine;
65. "Winemaker" means and includes any person or establishment
who manufactures for human consumption any wine upon which a license
fee and a tax are imposed by any law of this state; and
66. "Satellite tasting room" means a licensed establishment
operated off the licensed premises of the holder of a small farm
winery or winemaker license, which serves wine for on-premises or
off-premises consumption.
Words in the plural include the singular, and vice versa, and
words imparting the masculine gender include the feminine, as well as
persons and licensees as defined in this section.
Added by Laws 2016, c. 366, § 3, eff. Oct. 1, 2018. Amended by Laws
2017, c. 381, § 5, eff. Oct. 1, 2018; Laws 2018, c. 304, § 13, eff.
Oct. 1, 2018; Laws 2019, c. 420, § 1, eff. Nov. 1, 2019.
NOTE: Laws 2017, c. 364, § 8 repealed by Laws 2018, c. 304, § 14,
eff. Oct. 1, 2018. Laws 2018, c. 206, § 1 repealed by Laws 2019, c.
25, § 21, emerg. eff. April 4, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-104. Creation and purpose of ABLE Commission - Members -
Interim licenses.
A. The Alcoholic Beverage Laws Enforcement Commission created in
Section 1 of Article XXVIII of the Oklahoma Constitution is hereby
re-created. The purpose of the Commission shall be to enforce the
alcoholic beverage laws of the state, and the Commission shall have
such power and authority to enforce such laws, rules and regulations
as shall be prescribed by the Oklahoma Alcoholic Beverage Control
Act.
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B. The Commission shall consist of seven (7) members, to be
appointed by the Governor with the advice and consent of the State
Senate; provided, members serving on October 1, 2017, shall continue
to serve until such time as their terms would have expired pursuant
to the provisions of Section 1 of Article XXVIII of the Oklahoma
Constitution. Five of the members shall be at-large members
representing the lay citizenry. The remaining two members shall be
persons with law enforcement experience in this state. Any time
there is a vacancy on the Commission, the Governor shall appoint a
replacement, with the advice and consent of the State Senate, within
ninety (90) days.
C. Members of the Commission shall be appointed for a term of
five (5) years.
D. No more than four members of the Commission shall be
appointed from the same political party. No more than two members of
the Commission shall be appointed from the same federal congressional
district.
E. No member of the Commission shall hold any license authorized
by the Oklahoma Alcoholic Beverage Control Act, or have any interest
in any capacity, in the manufacture, sale, distribution or
transportation of alcoholic beverages.
F. The members of the Commission shall be removable from office
for cause as other officers not subject to impeachment.
G. The Commission shall appoint a Director, whose duties shall
be defined as provided in Section 1-108 of this title.
H. The State of Oklahoma shall take all necessary steps to
ensure the timely implementation of Enrolled Senate Joint Resolution
No. 68 of the 2nd Session of the 55th Oklahoma Legislature, if
approved by the voters. Consistent with this objective, the ABLE
Commission shall have the power to issue interim licenses prior to
October 1, 2018, as follows:
1. Except for the sale of wine or beer to the public, an interim
license shall allow all qualified retail wine and retail beer
licensees to perform all activities permissible under a full license
including but not limited to purchasing, stocking and storing the
wine and/or full-strength beer prior to October 1, 2018. In order to
qualify for an interim license, the licensee must satisfy all the
requirements set forth in Article XXVIII-A of the Oklahoma
Constitution and the Oklahoma Alcoholic Beverage Control Act. This
interim license shall convert to a full license on October 1, 2018;
2. Package stores may install refrigerated coolers for the
storage of beer and wine prior to October 1, 2018, provided the
refrigerated coolers shall not be used to cool product below room
temperature prior to October 1, 2018; and
3. An interim license shall allow all qualified wine and spirits
wholesalers and beer distributors to perform all activities
permissible under a full license including but not limited to selling
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and delivering wine and/or full-strength beer to all qualified retail
wine and retail beer licensees. A wine and spirits wholesaler that
has been designated by a manufacturer as a distributor of its wine or
spirits may post those designated products by line-item, consistent
with Section 3-116.2 of this title, on September 15, 2018, for sale
effective October 1, 2018. In order to qualify for an interim
license, the wine and spirits wholesaler and beer distributor must
comply with the provisions set forth in Article XXVIII-A of the
Oklahoma Constitution and the Oklahoma Alcoholic Beverage Control
Act. The interim license shall convert to a full license on October
1, 2018.
Provided, however, that a brewer is only permitted to sell beer
or cider to a beer distributor holding a valid interim license
pursuant to this section as follows:
a. such sales may begin no sooner than September 1, 2018,
b. the beer distributor either must be assigned a beer
distributor territory by the brewer pursuant to a
distributor agreement to begin October 1, 2018, or be a
brewer or an affiliate of a brewer that will be
permitted to distribute beer within two territories
pursuant to the provisions of subsection E of Section
3-108 of this title, and
c. the interim license only permits sales to retailers by
the interim licensee either in the distribution
territory as set forth in the distributor agreement or
in the two territories permitted pursuant to the
provisions of subsection E of Section 3-108 of this
title.
I. No retail wine or retail beer licensee may sell wine and/or
beer, other than low-point beer, and no package store may sell
refrigerated wine and/or beer, prior to October 1, 2018. The sale or
refrigeration of wine and/or beer in violation of this subsection
shall result in the revocation of the interim license and a monetary
fine of Twenty-five Thousand Dollars ($25,000.00).
Added by Laws 2016, c. 366, § 4, eff. Oct. 1, 2017. Amended by Laws
2017, c. 364, § 9, eff. Oct. 1, 2017; Laws 2018, c. 312, § 1; Laws
2019, c. 322, § 2, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-105. Commission member qualifications – Organization.
A. Members of the ABLE Commission shall:
1. Be citizens of the United States;
2. Be qualified electors in this state;
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3. Have been residents of this state for at least ten (10)
consecutive years immediately preceding the date of their appointment
and qualification; and
4. Be persons of outstanding character, experienced, efficient
and successful in business affairs and of good reputation in their
communities.
B. Members shall execute the loyalty oath required by law for
elected state officials before assuming the duties of their office.
C. No person shall be appointed who:
1. Has been convicted of, or shall have pleaded guilty to, a
felony or any violation of any federal or state law concerning the
manufacture or sale of alcoholic beverages or cereal malt beverages
prior or subsequent to the passage of the Oklahoma Alcoholic Beverage
Control Act;
2. Has paid a fine or penalty in settlement in any prosecution
against the person in any violation of such laws; or
3. Shall have forfeited a bond to appear in court to answer
charges for any such violation.
D. No appointee shall serve if the appointee or any person
related to the appointee in the third degree by consanguinity or
affinity is an officer, director, employee or stockholder in any
corporation or partnership which has as its business the manufacture,
sale or distribution of an alcoholic beverage.
E. No member of the ABLE Commission shall own, mortgage or lease
any retail or wholesale store or warehouse, any establishment selling
alcoholic beverages by the individual drink for on-premises
consumption, any establishment operated by a caterer who provides
alcoholic beverages by the individual drink pursuant to a caterer's
license or any bottle club as provided in the alcoholic beverage
control laws of this state.
F. The provisions of the Oklahoma Alcoholic Beverage Control Act
shall not prevent any member of the ABLE Commission from purchasing
and possessing, for personal use or use by the members of the
member's family or any guests, any alcoholic beverage which may be
purchased or kept by any person by virtue of the provisions of the
Oklahoma Alcoholic Beverage Control Act.
G. In order to establish the qualifications of members of the
ABLE Commission, a national criminal history record check as defined
in Section 150.9 of Title 74 of the Oklahoma Statutes shall be
required for each member.
H. A majority of the members of the ABLE Commission shall
constitute a quorum to transact business, but no vacancy shall impair
the right of the remaining members to exercise all of the powers of
the Commission, and every act of a majority of the members shall be
deemed to be the act of the ABLE Commission. The ABLE Commission
shall appoint the Director as secretary who shall keep a record of
all proceedings and official acts of the Commission and who shall be
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the custodian of all records and perform such other duties as the
ABLE Commission shall prescribe.
I. Each member of the ABLE Commission shall receive
reimbursement for travel expenses incurred in attending meetings as
provided for in the State Travel Reimbursement Act.
J. The office of the ABLE Commission shall be in Oklahoma City
in office space provided by the Office of Management and Enterprise
Services. All meetings of the ABLE Commission shall be open to the
public and all records of the ABLE Commission shall be public records
and open for public inspection. The ABLE Commission shall hold
regular meetings at least once a month at its office and may hold
such special meetings as it deems necessary at any time and at any
place within the state.
K. The ABLE Commission, for authentication of its records,
process and proceedings, may adopt, keep and use a common seal, of
which seal judicial notice shall be taken in all the courts of the
state. Any process, notice or other paper which the ABLE Commission
may be authorized by law to issue shall be deemed sufficient if
signed by the secretary of the ABLE Commission and authenticated by
such seal. All acts, orders, proceedings, rules, regulations,
entries, minutes and other records of the ABLE Commission, and all
reports and documents filed with the ABLE Commission may be proved in
any court of this state by copy thereof certified by the secretary of
the ABLE Commission with the seal of the ABLE Commission attached.
L. The ABLE Commission shall not adopt or promulgate any rule or
regulation inconsistent with the provisions of the Oklahoma Alcoholic
Beverage Control Act or any law of this state.
Added by Laws 2016, c. 366, § 5, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-106. Exercise of police power.
The Oklahoma Alcoholic Beverage Control Act shall be deemed an
exercise of the police power of the State of Oklahoma for the
protection of the welfare, health, peace, temperance and safety of
the people of this state, and all provisions hereof shall be
construed for the accomplishment of that purpose.
Added by Laws 2016, c. 366, § 6, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-107. Commission powers and duties.
A. The ABLE Commission shall have the following powers and
duties:
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1. To supervise, inspect and regulate every phase of the
business of manufacturing, importing, exporting, transporting,
storing, selling, distributing and possessing for the purpose of
sale, all alcoholic beverages which shall be necessary and proper to
carry out the purposes of the Oklahoma Alcoholic Beverage Control
Act;
2. To promulgate rules, in the manner herein provided, to carry
out the purposes of the Oklahoma Alcoholic Beverage Control Act;
3. To have the sole authority to issue any license provided for
in the Oklahoma Alcoholic Beverage Control Act and except as provided
in Sections 101 and 102 of this act with respect to cities, towns and
counties, and except as may be provided under Title 68 of the
Oklahoma Statutes with respect to the Oklahoma Tax Commission, no
other agency, instrumentality or political subdivision of this state
shall be authorized to issue any license or permit allowing any
licensee to engage in any activity covered by the Oklahoma Alcoholic
Beverage Control Act anywhere within the State of Oklahoma;
4. To refuse to issue any license provided for in the Oklahoma
Alcoholic Beverage Control Act for cause provided for in the Oklahoma
Alcoholic Beverage Control Act;
5. To revoke or suspend, for cause after hearing, any license
issued under the authority of the Oklahoma Alcoholic Beverage Control
Act;
6. To prescribe the forms of all reports which it deems
necessary in administering the Oklahoma Alcoholic Beverage Control
Act;
7. To fix standards not in conflict with those prescribed by any
law of this state or of the United States, to secure the use of
proper ingredients and methods of manufacture and dispensing of
alcoholic beverages;
8. To make seizures of alcoholic beverages manufactured, sold,
possessed, imported or transported in violation of the Oklahoma
Alcoholic Beverage Control Act, and apply for the confiscation
thereof whenever required by the Oklahoma Alcoholic Beverage Control
Act, and cooperate in the prosecution of offenders before any court
of competent jurisdiction;
9. To submit to the Governor and members of the State
Legislature annual or semiannual reports upon request of the
Governor;
10. To inspect or cause to be inspected any premises where
alcoholic beverages are manufactured, stored, distributed, sold,
dispensed or served;
11. In the conduct of any hearing authorized to be held by the
ABLE Commission:
a. to examine or cause to be examined, under oath, any
person,
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b. to examine or cause to be examined books and records of
any licensee,
c. to hear testimony and take proof material for the ABLE
Commission's information and the discharge of its
duties hereunder,
d. to administer or cause to be administered oaths, and
e. to issue subpoenas for the attendance of witnesses and
the production of books or records which shall be
effective in any part of the state. Any district court
or any judge thereof, either in term or vacation, may
by order duly entered require the attendance of
witnesses and the production of relevant books or
records subpoenaed by the ABLE Commission, and the
court or judge may compel obedience to the order by
proceedings for contempt;
12. To prescribe the kind and size of retail containers of
alcoholic beverages which may be purchased, possessed and sold by a
licensee;
13. To prescribe by rule, in addition to those herein required,
the kinds of records to be kept and reports to be rendered by
licensees, and the information to be shown therein; provided, that
the period for which all such records and reports be retained shall
not be less than five (5) years;
14. To gather, compile and print such statistical data as may in
the opinion of the ABLE Commission be needed or useful, and prescribe
charges or fees to be collected from any person or company to whom
such data shall be provided. No reports shall contain sales
information by name or license number;
15. To educate persons employed by licensees to sell or serve
alcoholic beverages as to the provisions of Article XXVIIIA of the
Oklahoma Constitution and the Oklahoma Alcoholic Beverage Control
Act, with emphasis on recognizing and preventing intoxication and
particular emphasis on those provisions prohibiting the selling or
serving of alcoholic beverages to minors. The ABLE Commission may
contract with one or more entities, including but not limited to the
Oklahoma Department of Mental Health and Substance Abuse Services, to
perform the duties specified in this paragraph;
16. To purchase motor vehicles necessary for use in its
operations. Such motor vehicles shall not be required to have any
type of identifying marking thereon;
17. To purchase insurance on the motor vehicles owned and
operated by the ABLE Commission in accordance with statutory
provisions, subject to the approval of the Risk Management
Administrator as provided for in Section 85.58A of Title 74 of the
Oklahoma Statutes;
18. To approve or reject any official bond required to be filed
with the ABLE Commission; and
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19. To exercise all other powers and duties conferred by the
Oklahoma Alcoholic Beverage Control Act, and all powers incidental,
convenient or necessary to enable it to administer or carry out any
of the provisions of the Oklahoma Alcoholic Beverage Control Act.
B. The ABLE Commission shall promulgate rules, pursuant to the
Administrative Procedures Act, to carry out the purposes of the
Oklahoma Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 7, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-108. Commission Director - Powers and duties.
A. The ABLE Commission shall appoint a Director, who shall
employ an Assistant Director and such other personnel as are
necessary to properly enforce and administer the Oklahoma Alcoholic
Beverage Control Act. The Director shall require bonds in such
instances and amounts as the ABLE Commission may direct, and shall be
in direct charge of all records. The Director shall further have the
following specific powers and duties:
1. To issue licenses provided for in the Oklahoma Alcoholic
Beverage Control Act, and to approve or reject any official bond
required to be filed with the Director or the ABLE Commission;
2. To appoint and employ, supervise and discharge such employees
as may be determined necessary for the proper discharge of the duties
of the office of Director, upon duties and salary fixed and
determined by the ABLE Commission and subject to all the rules that
may be promulgated by the ABLE Commission. The Director and the ABLE
Commission, in appointing and employing personnel, shall give
preference to honorably discharged members of the Armed Forces of the
United States;
3. To conduct such investigations and make such reports as may
be necessary to keep the ABLE Commission advised concerning any
violations of the provisions of the Oklahoma Alcoholic Beverage
Control Act and make orders for its enforcement;
4. To make recommendations to the ABLE Commission concerning the
suspension or revocation of any licenses, the levying of fines
against licensees for violations of the provisions of the Oklahoma
Alcoholic Beverage Control Act or rules of the ABLE Commission or any
action that should be filed or commenced against any official bond
theretofore approved by the Director or the ABLE Commission;
5. To regularly inspect all places of business of licensees, and
all other persons, firms or corporations dealing in the manufacture,
distribution, transportation, sale or service of alcoholic beverages
under the provisions of the Oklahoma Alcoholic Beverage Control Act
and report to the ABLE Commission concerning any and all violations
with a recommendation to the ABLE Commission for its determination;
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6. To refer any evidence of a violation of any provision of the
Oklahoma Alcoholic Beverage Control Act which carries a criminal
penalty to the appropriate law enforcement authority for action;
7. To aid the enforcement authorities of this state or any
county or municipality of the state, or the federal government, in
prosecutions of violations of the Oklahoma Alcoholic Beverage Control
Act; and
8. To enforce the provisions of the Prevention of Youth Access
to Tobacco Act including but not limited to the levying of
administrative fines against persons violating the provisions of the
Prevention of Youth Access to Tobacco Act, and to at least annually
conduct random unannounced inspections at locations where tobacco
products are sold or distributed and conduct targeted inspections at
those locations which have been in violation of the provisions of the
Prevention of Youth Access to Tobacco Act.
B. The Director may employ or contract with attorneys, as
needed, to advise the Director and the ABLE Commission on all legal
matters and shall appear for and represent the Director and the ABLE
Commission in all administrative hearings and all litigation or other
proceedings which may arise in the discharge of their duties. At the
request of the ABLE Commission, such attorneys shall assist district
attorneys in prosecuting charges of violators of the Oklahoma
Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 8, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-109. Powers and authority of peace officers.
A. The members of the ABLE Commission, the Director and such
agents and inspectors as the ABLE Commission appoints in writing
shall have all the powers and authority of peace officers of this
state for the purpose of enforcing the provisions of the Oklahoma
Alcoholic Beverage Control Act.
B. The Director or any agent or inspector duly appointed, as
provided in subsection A of this section, shall be authorized to
arrest violators for offenses against laws of this state committed in
the presence of the Director or such agents or inspectors, and
further, upon the request of a sheriff or another peace officer of
this state or any political subdivision thereof, assist in
apprehension and arrest of a violator or suspected violator of any of
the laws of this state.
C. 1. A commissioned employee of the ABLE Commission shall be
entitled to receive, upon retirement by reason of length of service,
the continued custody and possession of the sidearm and badge carried
by such employee immediately prior to retirement;
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2. A commissioned employee of the ABLE Commission may be
entitled to receive, upon retirement by reason of disability, the
continued custody and possession of the sidearm and badge carried by
such employee immediately prior to retirement, upon approval of the
Director;
3. Custody and possession of the sidearm and badge of a
commissioned employee of the ABLE Commission, killed in the line of
duty, may be awarded by the Director to the spouse or next of kin of
the deceased employee.
Added by Laws 2016, c. 366, § 9, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-110. Restrictions on Commission members and employees –
Penalties.
A. No member or employee of the ABLE Commission shall:
1. Be appointed or serve who has been convicted of a felony or
of any violation of any federal or state law relating to alcoholic
beverages;
2. Directly or indirectly, individually or as a member of a
partnership, or as a shareholder of a corporation, have any interest
whatsoever in the manufacture, sale or distribution of alcoholic
beverages;
3. Receive any compensation or profit therefrom, nor have any
interest, directly or indirectly, in any business authorized by a
license issued pursuant to the provisions of the Oklahoma Alcoholic
Beverage Control Act. The holding of membership or elective or
appointed office in fraternal organizations which obtain licenses
authorized by the Oklahoma Alcoholic Beverage Control Act shall not
be considered to be engagement in the alcoholic beverage business;
4. Solicit or accept any gift, gratuity, emolument or employment
from any person subject to the provisions of the Oklahoma Alcoholic
Beverage Control Act, or from any officer, agent or employee thereof;
5. Solicit, request from or recommend, directly or indirectly,
to any such person or to any officer, agent or employee thereof, the
appointment of any person to any place or position, and every such
person, and every officer, agent or employee thereof, is hereby
forbidden to offer to any member or employee of the ABLE Commission
any gift, gratuity, emolument or employment;
6. Accept employment within the alcoholic beverage industry for
any holder of a license issued pursuant to the provisions of the
Oklahoma Alcoholic Beverage Control Act; or
7. Represent, directly or indirectly, any such licensee in any
proceedings before the Director, the ABLE Commission or the Tax
Commission within two (2) years following separation from the ABLE
Commission.
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B. Violation of any provision of subsection A of this section
shall constitute a misdemeanor. In addition to the penal provisions,
any person convicted shall be immediately removed from the office or
position he or she holds.
C. No license of any kind shall be granted to or retained by any
person or any partnership containing any partner who is related to
any member of the ABLE Commission or to the Director or Assistant
Director by affinity or consanguinity within the third degree or who
is related to any other employee of the ABLE Commission by affinity
or consanguinity in the first degree. If a license is held in
violation of the provisions of this subsection, the member or
employee of the ABLE Commission shall not be entitled to receive any
compensation or other monies from the State of Oklahoma while a
license is held in violation of the provisions of this subsection.
D. It shall be unlawful for any member or employee of the ABLE
Commission to lend, expend or contribute any money, funds, property
or other thing of value, or use his or her official position for the
purpose of securing the nomination or election or the defeat of any
candidate for public office in the State of Oklahoma.
E. Any person who shall violate the provisions of subsection D
of this section shall, upon conviction, be fined not less than Two
Thousand Five Hundred Dollars ($2,500.00) nor more than Five Thousand
Dollars ($5,000.00), or be imprisoned in the county jail for not more
than one (1) year, or by both such fine and imprisonment. Any person
found guilty of violating the provisions of this subsection shall,
upon conviction, in addition to the criminal penalty imposed herein,
be discharged from the office or position he or she holds and shall
not be rehired to any state position.
Added by Laws 2016, c. 366, § 10, eff. Oct. 1, 2018. Amended by Laws
2019, c. 130, § 1, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-111. State officers and employees - Involvement in alcoholic
beverage business - State lodges.
A. Employees of the State of Oklahoma and its political
subdivisions are hereby permitted to obtain licenses from the ABLE
Commission and to be involved in the alcoholic beverage business
unless such involvement and licensing is prohibited by law.
B. The following officers and employees of the State of Oklahoma
and its political subdivisions are hereby prohibited from engaging in
the alcoholic beverage business:
1. All judges, district attorneys, assistant district attorneys
and any public official who sits in a judicial capacity with
jurisdiction over the Oklahoma Alcoholic Beverage Control Act;
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2. With the exception of those peace officers who are working as
off-duty security, all employees certified as peace officers engaging
in law enforcement activities; and
3. All employees of the Oklahoma Tax Commission who engage in
the auditing, enforcement and collection of alcoholic beverage taxes.
C. The holding of membership or elective or appointed office in
fraternal organizations which obtain mixed beverage or bottle club
licenses by employees of the state or a political subdivision shall
not be considered to be engagement in the alcoholic beverage
business.
D. If the voters of a county in which a state lodge is located
approve sale of alcoholic beverages by the individual drink for on-
premises consumption, then such sale of alcoholic beverages on the
premises of such lodge shall be authorized if a license for such
sale, issued pursuant to the provisions of the Oklahoma Alcoholic
Beverage Control Act, is obtained. Provided, further, that a bottle
club may be licensed on the premises of a state lodge located in a
county where sale of alcoholic beverages by the individual drink for
on-premises consumption is not authorized.
E. The provisions of subsection D of this section shall not
prohibit the state or a political subdivision of the state from
leasing a public building or facility to a person who obtains a mixed
beverage license, bottle club license, special event license,
contracts for the services of a licensed caterer or subleases the
building or facility to a person who obtains a mixed beverage
license, bottle club license, special event license or contracts for
the services of a licensed caterer.
F. Provided, that nothing in this section shall prohibit the
sale of alcoholic beverages legally confiscated as provided by law.
Added by Laws 2016, c. 366, § 11, eff. Oct. 1, 2018. Amended by Laws
2019, c. 54, § 1, emerg. eff. April 16, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-1-112. Good standing with Oklahoma Tax Commission required.
The ABLE Commission shall not issue a license to any person not
in good standing with the Oklahoma Tax Commission with respect to the
payment of all taxes due to this state or any political subdivision
thereof. The ABLE Commission shall not issue a license to any
business entity if the entity or any officer or director thereof is
not in good standing with the Tax Commission with respect to the
payment of all taxes due to this state or any political subdivision
thereof. Any license issued before or after the effective date of
this act which is deemed to have been issued in violation of the
provisions of this section shall be immediately revoked, and the
holder thereof shall not be eligible to receive any license issued by
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the ABLE Commission until such time as the Tax Commission determines
that the holder is in good standing with the Tax Commission with
respect to the payment of all taxes due to this state or any
political subdivision thereof, including payment of any interest or
penalties due.
Added by Laws 2016, c. 366, § 12, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-101. See the following versions:
OS 37A-2-101v1 (SB 813, Laws 2019, c. 185, § 2).
OS 37A-2-101v2 (SB 336, Laws 2019, c. 420, § 2).
§37A-2-101v1. Annual license fees - Administrative fees.
A. Except as otherwise provided in this section, the licenses
issued by the ABLE Commission, and the annual fees therefor, shall be
as follows:
1. Brewer License......................................$1,250.00
2. Small Brewer License...........................$125.00
3. Distiller License...................................$3,125.00
4. Winemaker License..............................$625.00
5. Small Farm Winery License.......................$75.00
6. Rectifier License...................................$3,125.00
7. Wine and Spirits Wholesaler License.................$3,000.00
8. Beer Distributor License.......................$750.00
9. The following retail spirits license fees shall be determined
by the latest Federal Decennial Census:
a. Retail Spirits License for cities and
towns from 200 to 2,500 population
................................$305.00
b. Retail Spirits License for cities and
towns from 2,501 to 5,000 population
................................$605.00
c. Retail Spirits License for cities and
towns over 5,000 population.....$905.00
10. Retail Wine License................$1,000.00
11. Retail Beer License..................$500.00
12. Mixed Beverage License.............$1,005.00
(initial license)
$905.00
(renewal)
13. Mixed Beverage/Caterer Combination License
...................................$1,250.00
14. On-Premises Beer and Wine License....$500.00
(initial license)
$450.00
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(renewal)
15. Bottle Club License................................$1,000.00
(initial license)
$900.00
(renewal)
16. Caterer License....................................$1,005.00
(initial license)
$905.00
(renewal)
17. Annual Special Event License..........$55.00
18. Quarterly Special Event License.......$55.00
19. Hotel Beverage License.............$1,005.00
(initial license)
$905.00
(renewal)
20. Airline/Railroad/Commercial Passenger Vessel Beverage
License.....................................................$1,005.00
(initial license)
$905.00
(renewal)
21. Agent License.........................$55.00
22. Employee License......................$30.00
23. Industrial License....................$23.00
24. Carrier License.......................$23.00
25. Private Carrier License...............$23.00
26. Bonded Warehouse License.............$190.00
27. Storage License.......................$23.00
28. Nonresident Seller License or Manufacturer's
License..............................$750.00
29. Manufacturer's Agent License..........$55.00
30. Sacramental Wine Supplier License....$100.00
31. Charitable Auction License.............$1.00
32. Charitable Alcoholic Beverage License.$55.00
33. Winemaker Self-Distribution License..$750.00
34. Annual Public Event License........$1,005.00
35. One-Time Public Event License........$255.00
36. Small Brewer Self-Distribution License
.....................................$750.00
37. Brewpub License....................$1,005.00
38. Brewpub Self-Distribution License....$750.00
39. Complimentary Beverage License........$75.00
B. 1. There shall be added to the initial or renewal fees for a
Mixed Beverage License an administrative fee, which shall not be
deemed to be a license fee, in the amount of Five Hundred Dollars
($500.00), which shall be paid at the same time and in the same
manner as the license fees prescribed by paragraph 12 of subsection A
of this section; provided, this fee shall not be assessed against
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service organizations or fraternal beneficiary societies which are
exempt under Section 501(c)(19), (8) or (10) of the Internal Revenue
Code.
2. There shall be added to the fee for a Mixed Beverage/Caterer
Combination License an administrative fee, which shall not be deemed
to be a license fee, in the amount of Two Hundred Fifty Dollars
($250.00), which shall be paid at the same time and in the same
manner as the license fee prescribed by paragraph 13 of subsection A
of this section.
C. Notwithstanding the provisions of subsection A of this
section:
1. The license fee for a mixed beverage or bottle club license
for those service organizations or fraternal beneficiary societies
which are exempt under Section 501(c)(19), (8) or (10) of the
Internal Revenue Code shall be Five Hundred Dollars ($500.00) per
year; and
2. The renewal fee for an airline/railroad/commercial passenger
vessel beverage license held by a railroad described in 49 U.S.C.,
Section 24301, shall be One Hundred Dollars ($100.00).
D. An applicant may apply for and receive both an on-premises
beer and wine license and a caterer license.
E. All licenses, except as otherwise provided, shall be valid
for one (1) year from date of issuance unless revoked or surrendered.
Provided, all employee licenses shall be valid for two (2) years.
F. The holder of a license, issued by the ABLE Commission, for a
bottle club located in a county of this state where the sale of
alcoholic beverages by the individual drink for on-premises
consumption has been authorized, may exchange the bottle club license
for a mixed beverage license or an on-premises beer and wine license
and operate the licensed premises as a mixed beverage establishment
or an on-premises beer and wine establishment subject to the
provisions of the Oklahoma Alcoholic Beverage Control Act. There
shall be no additional fee for such exchange and the mixed beverage
license or on-premises beer and wine license issued shall expire one
(1) year from the date of issuance of the original bottle club
license.
G. In addition to the applicable licensing fee, the following
surcharge shall be assessed annually on the following licenses:
1. Nonresident Seller or Manufacturer License
.....................................$2,500.00
2. Wine and Spirits Wholesaler License. .$2,500.00
3. Beer Distributor.....................$1,000.00
4. Retail Spirits License for cities and towns
over 5,000 population..................$250.00
5. Retail Spirits License for cities and towns
from 2,501 to 5,000 population.........$200.00
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6. Retail Spirits License for cities and towns
from 200 to 2,500 population...........$150.00
7. Retail Wine License....................$250.00
8. Retail Beer License....................$250.00
9. Mixed Beverage License..................$25.00
10. Mixed Beverage/Caterer Combination License
........................................$25.00
11. Caterer License........................$25.00
12. On-Premises Beer and Wine License......$25.00
13. Annual Public Event License............$25.00
14. Small Farm Winery License..............$25.00
15. Small Brewer License...................$35.00
16. Complimentary Beverage License.........$25.00
The surcharge shall be paid concurrent with the licensee's annual
licensing fee and, in addition to Five Dollars ($5.00) of the
employee license fee, shall be deposited in the Alcoholic Beverage
Governance Revolving Fund established pursuant to Section 5-128 of
this title.
H. Any license issued by the ABLE Commission under this title
may be relied upon by other licensees as a valid license, and no
other licensee shall have any obligation to independently determine
the validity of such license or be held liable solely as a
consequence of another licensee's failure to maintain a valid
license.
Added by Laws 2016, c. 366, § 13, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 10, eff. Oct. 1, 2018; Laws 2018, c. 312, § 2, eff.
Oct. 1, 2018; Laws 2019, c. 102, § 1, eff. Nov. 1, 2019; Laws 2019,
c. 185, § 2, eff. July 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-101v2. Annual license fees - Administrative fees.
A. Except as otherwise provided in this section, the licenses
issued by the ABLE Commission, and the annual fees therefor, shall be
as follows:
1. Brewer License......................$1,250.00
2. Small Brewer License..................$125.00
3. Distiller License...................$3,125.00
4. Winemaker License.....................$625.00
5. Small Farm Winery License..............$75.00
6. Rectifier License...................$3,125.00
7. Wine and Spirits Wholesaler License.$3,000.00
8. Beer Distributor License..............$750.00
9. The following retail spirits license fees shall be determined
by the latest Federal Decennial Census:
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a. Retail Spirits License for cities and
towns from 200 to 2,500 population
................................$305.00
b. Retail Spirits License for cities and
towns from 2,501 to 5,000 population
................................$605.00
c. Retail Spirits License for cities and
towns over 5,000 population.....$905.00
10. Retail Wine License................$1,000.00
11. Retail Beer License..................$500.00
12. Mixed Beverage License.............$1,005.00
(initial license)
$905.00
(renewal)
13. Mixed Beverage/Caterer Combination License
...................................$1,250.00
14. On-Premises Beer and Wine License....$500.00
(initial license)
$450.00
(renewal)
15. Bottle Club License................$1,000.00
(initial license)
$900.00
(renewal)
16. Caterer License....................$1,005.00
(initial license)
$905.00
(renewal)
17. Annual Special Event License..........$55.00
18. Quarterly Special Event License.......$55.00
19. Hotel Beverage License.............$1,005.00
(initial license)
$905.00
(renewal)
20. Airline/Railroad Beverage License..$1,005.00
(initial license)
$905.00
(renewal)
21. Agent License.........................$55.00
22. Employee License......................$30.00
23. Industrial License....................$23.00
24. Carrier License.......................$23.00
25. Private Carrier License...............$23.00
26. Bonded Warehouse License.............$190.00
27. Storage License.......................$23.00
28. Nonresident Seller License or Manufacturer's
License..............................$750.00
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29. Manufacturer's Agent License..........$55.00
30. Sacramental Wine Supplier License....$100.00
31. Charitable Auction License.............$1.00
32. Charitable Alcoholic Beverage License.$55.00
33. Winemaker Self-Distribution License..$750.00
34. Annual Public Event License........$1,005.00
35. One-Time Public Event License........$255.00
36. Small Brewer Self-Distribution License
.....................................$750.00
37. Brewpub License....................$1,005.00
38. Brewpub Self-Distribution License....$750.00
39. Satellite Tasting Room License.......$100.00
B. 1. There shall be added to the initial or renewal fees for a
Mixed Beverage License an administrative fee, which shall not be
deemed to be a license fee, in the amount of Five Hundred Dollars
($500.00), which shall be paid at the same time and in the same
manner as the license fees prescribed by paragraph 10 of subsection A
of this section; provided, this fee shall not be assessed against
service organizations or fraternal beneficiary societies which are
exempt under Section 501(c)(19), (8) or (10) of the Internal Revenue
Code.
2. There shall be added to the fee for a Mixed Beverage/Caterer
Combination License an administrative fee, which shall not be deemed
to be a license fee, in the amount of Two Hundred Fifty Dollars
($250.00), which shall be paid at the same time and in the same
manner as the license fee prescribed by paragraph 11 of subsection A
of this section.
C. Notwithstanding the provisions of subsection A of this
section:
1. The license fee for a mixed beverage or bottle club license
for those service organizations or fraternal beneficiary societies
which are exempt under Section 501(c)(19), (8) or (10) of the
Internal Revenue Code shall be Five Hundred Dollars ($500.00) per
year; and
2. The renewal fee for an airline/railroad beverage license held
by a railroad described in 49 U.S.C., Section 24301, shall be One
Hundred Dollars ($100.00).
D. An applicant may apply for and receive both an on-premises
beer and wine license and a caterer license.
E. All licenses, except as otherwise provided, shall be valid
for one (1) year from date of issuance unless revoked or surrendered.
Provided, all employee licenses shall be valid for two (2) years.
F. The holder of a license, issued by the ABLE Commission, for a
bottle club located in a county of this state where the sale of
alcoholic beverages by the individual drink for on-premises
consumption has been authorized, may exchange the bottle club license
for a mixed beverage license or an on-premises beer and wine license
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and operate the licensed premises as a mixed beverage establishment
or an on-premises beer and wine establishment subject to the
provisions of the Oklahoma Alcoholic Beverage Control Act. There
shall be no additional fee for such exchange and the mixed beverage
license or on-premises beer and wine license issued shall expire one
(1) year from the date of issuance of the original bottle club
license.
G. In addition to the applicable licensing fee, the following
surcharge shall be assessed annually on the following licenses:
1. Nonresident Seller or Manufacturer License
.....................................$2,500.00
2. Wine and Spirits Wholesaler License..$2,500.00
3. Beer Distributor.....................$1,000.00
4. Retail Spirits License for cities and towns
over 5,000 population..................$250.00
5. Retail Spirits License for cities and towns
from 2,501 to 5,000 population.........$200.00
6. Retail Spirits License for cities and towns
from 200 to 2,500 population...........$150.00
7. Retail Wine License....................$250.00
8. Retail Beer License....................$250.00
9. Mixed Beverage License..................$25.00
10. Mixed Beverage/Caterer Combination License
........................................$25.00
11. Caterer License........................$25.00
12. On-Premises Beer and Wine License......$25.00
13. Annual Public Event License............$25.00
14. Small Farm Winery License..............$25.00
15. Small Brewer License...................$35.00
The surcharge shall be paid concurrent with the licensee's annual
licensing fee and, in addition to Five Dollars ($5.00) of the
employee license fee, shall be deposited in the Alcoholic Beverage
Governance Revolving Fund established pursuant to Section 5-128 of
this title.
H. Any license issued by the ABLE Commission under this title
may be relied upon by other licensees as a valid license, and no
other licensee shall have any obligation to independently determine
the validity of such license or be held liable solely as a
consequence of another licensee's failure to maintain a valid
license.
Added by Laws 2016, c. 366, § 13, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 10, eff. Oct. 1, 2018; Laws 2018, c. 312, § 2, eff.
Oct. 1, 2018; Laws 2019, c. 420, § 2, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-2-102. See the following versions:
OS 37A-2-102v1 (SB 819, Laws 2019, c. 226, § 1).
OS 37A-2-102v2 (SB 906, Laws 2019, c. 322, § 3).
§37A-2-102.1. Charitable Collaboration Brewer License.
Charitable Collaboration Brewer License.
A. A charitable collaboration brewer license shall authorize the
collaborating licensed brewers and holders thereof:
1. To formulate, manufacture, bottle, package and store the
charitable collaboration beer, or any part thereof, on the licensed
premises;
2. To sell the charitable collaboration beer in this state to
holders of beer distributor licenses;
3. To sell the charitable collaboration beer out of this state
to qualified persons for the sole purpose of fundraising for the
stated charitable purposes;
4. To sell the charitable collaboration beer in this state to
holders of retail licenses;
5. To serve free samples of the charitable collaboration beer
produced by the collaborating licensed brewers to visitors twenty-one
(21) years of age or older on the collaborating brewery licensed
premises;
6. To sell the charitable collaboration beer produced by the
collaborating licensee brewers for either on-premises or off-premises
consumption to consumers on the brewery premises, or on premises
located contiguous thereto;
7. To sell the charitable collaboration beer produced by the
collaborating licensed brewers at public events such as trade shows
or festivals; and
8. To purchase the charitable collaboration beer produced by the
collaborating licensed brewers in retail containers from the holder
of a beer distributor license to sell or serve in accordance with
this section.
B. Nothing in this section shall prohibit the holder of a
charitable collaboration brewer license from also holding or owning
an interest in the holder of a brewpub license.
C. For purposes of this section, no visitor may sample more than
a total of twelve (12) fluid ounces of the charitable collaboration
beer per day. The brewer must restrict the distribution and
consumption of charitable collaboration beer samples to an area
within the licensed premises designated by the brewer. A current
floor plan that includes the designated sampling area must be on file
with the ABLE Commission. No visitor under twenty-one (21) years of
age shall be permitted to enter this designated sampling area when
samples are being distributed or consumed. Samples of the charitable
collaboration beer served by a collaborating brewery under this
section shall not be considered a sale of beer within the meaning of
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Article XXVIII-A of the Oklahoma Constitution or Section 1-103 of
Title 37A of the Oklahoma Statutes; however, such samples of the
charitable collaboration beer shall be considered beer removed or
withdrawn from the brewery for use or consumption within the meaning
of Section 5-110 of Title 37A of the Oklahoma Statutes for excise tax
determination and reporting requirements. Sales and sampling may
only occur between the hours of 10:00 a.m. and 2:00 a.m.
D. If a small brewer is a licensed charitable collaborating
brewer and such small brewer holds a self-distribution license, it
shall authorize the holder thereof to distribute the charitable
collaboration beer produced to a holder of a retail beer license,
retail spirits license, mixed beverage license, beer and wine
license, caterer's license, special event license, public event
license, charitable auction license or brewpub license. If a small
brewer has elected to distribute through a distributor or self-
distribute in a subject territory, for purposes of the charitable
collaboration brewer license such small brewer and the other
collaborating brewer may elect to do both simultaneously in a subject
territory upon notice to the ABLE Commission.
E. The ABLE Commission shall promulgate rules, forms and fees to
implement and enforce the charitable collaboration brewer license.
F. When more than one Oklahoma-licensed brewer makes application
to the ABLE Commission to develop a charitable collaboration beer
offering and seeks to obtain a charitable collaboration brewer
license, the ABLE Commission shall evaluate the application based
upon any of the following:
1. Whether the collaboration has a legitimate charitable purpose
in this state, another state or a national charitable effort;
2. Whether the formula needs approval by any federal regulatory
authority;
3. Whether the Oklahoma Tax Commission has been notified of the
request for a tax exemption to allow the collaborators to transfer-
in-bond products between the licensed premises of the collaborating
brewers and whether the Tax Commission approves such transfer-in-
bond;
4. The license standing of each licensed collaborating brewer in
this state, including, but not limited to, any required storage
licenses.
Upon consideration of the application facts and detailed plans
submitted by the collaborating brewers, the ABLE Commission shall
make its determination whether or not to issue the charitable
collaboration brewer license. Upon approval of a charitable
collaboration brewer license, such license shall be issued to both
licensed brewers for the development and manufacture of a charitable
collaboration beer offering. Each licensed brewer shall be required
to post the charitable collaboration brewer license at their licensed
premises and such license number shall be clearly affixed to any
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alcohol products stored or transferred-in-bond between the
collaborating breweries. The charitable collaboration beer offering
shall require a private label approved by the ABLE Commission
according to the label requirements promulgated by the ABLE
Commission rules.
Added by Laws 2019, c. 422, § 3, eff. Nov. 1, 2019.
§37A-2-102v1. Brewer license - Small brewer license - Small brewer
self-distribution license.
A. A brewer license shall authorize the holder thereof:
1. To manufacture, bottle, package and store beer or cider on
the licensed premises; and
2. To sell beer or cider in this state to holders of beer
distributor licenses and to sell beer or cider out of this state to
qualified persons.
B. A small brewer license shall authorize the holder thereof:
1. To manufacture, bottle, package and store beer or cider
produced by the licensee on licensed premises;
2. To sell beer or cider in this state to holders of beer
distributor licenses and retail licenses or to sell beer or cider out
of this state to qualified persons;
3. To serve free samples of beer or cider produced by the
licensee to visitors twenty-one (21) years of age or older;
4. To sell beer or cider produced by the licensee for either on-
premises or off-premises consumption to consumers on the brewery
premises, or on premises located contiguous thereto;
5. To sell beer or cider at public events such as trade shows or
festivals;
6. To purchase wine in retail containers from the holder of a
wholesaler license or as specifically provided by law; and
7. To sell, offer for sale and possess wine for on-premises
consumption.
C. Nothing in the Oklahoma Alcoholic Beverage Control Act shall
prohibit the holder of a small brewer license from also holding or
owning an interest in the holder of a brewpub license.
D. For purposes of this section, no visitor may sample more than
a total of twelve (12) fluid ounces of beer or cider per day. The
brewer must restrict the distribution of beer or cider to the serving
area within the licensed premises as defined in this subsection. A
current floor plan that includes the designated serving area must be
on file with the ABLE Commission. No visitor under twenty-one (21)
years of age shall be permitted to enter this designated serving
area. Accompanied visitors under twenty-one (21) years of age shall
be allowed anywhere on the premises except for a serving area.
Samples of beer or cider served by a brewery under this section shall
not be considered a sale of beer or cider within the meaning of
Article XXVIIIA of the Oklahoma Constitution or Section 1-103 of this
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title; however, such samples of beer or cider shall be considered
beer or cider removed or withdrawn from the brewery for use or
consumption within the meaning of Section 5-110 of this title for
excise tax determination and reporting requirements. Sales and
sampling may only occur between the hours of 10:00 a.m. and 2:00 a.m.
For purposes of this subsection, "serving area" means the area of the
bar where drinks are sold, prepared and served to paying customers
and shall not include other areas of the brewery where customers
consume purchased products.
E. A small brewer self-distribution license shall authorize
holders of a small brewer license to distribute beer or cider
produced only by such licensee to a holder of a retail beer license,
retail spirits license, mixed beverage license, beer and wine
license, caterer's license, special event license, public event
license, winemaker license charitable auction license or brewpub
license. A small brewer shall elect whether it will distribute
through a distributor or self-distribute in a subject territory;
however, a small brewer may not elect to do both simultaneously in a
subject territory. The election shall be made through notice to the
ABLE Commission. Any changes to the election shall require immediate
notification to the ABLE Commission before the change in election
will take effect. A small brewer that elects to self-distribute in
multiple territories shall only be required to have one small brewer
self-distribution license.
Added by Laws 2016, c. 366, § 14, eff. Oct. 1, 2018. Amended by Laws
2017, c. 84, § 1, eff. Oct. 1, 2018; Laws 2018, c. 315, § 1, eff.
Oct. 1, 2018; Laws 2019, c. 226, § 1, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-102v2. Brewer license - Small brewer license - Small brewer
self-distribution license.
A. A brewer license shall authorize the holder thereof:
1. To manufacture, bottle, package and store beer and cider on
the licensed premises; and
2. To sell beer and cider in this state to holders of beer
distributor licenses and to sell beer and cider out of this state to
qualified persons.
B. A small brewer license shall authorize the holder thereof:
1. To manufacture, bottle, package and store beer produced by
the licensee on licensed premises;
2. To sell beer in this state to holders of beer distributor
licenses and retail licenses or to sell beer out of this state to
qualified persons;
3. To serve free samples of beer produced by the licensee to
visitors twenty-one (21) years of age or older;
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4. To sell beer produced by the licensee for either on-premises
or off-premises consumption to consumers on the brewery premises, or
on premises located contiguous thereto;
5. To sell beer at public events such as trade shows or
festivals;
6. To purchase wine in retail containers from the holder of a
wholesaler license or as specifically provided by law; and
7. To sell, offer for sale and possess wine for on-premises
consumption.
C. Nothing in this act shall prohibit the holder of a small
brewer license from also holding or owning an interest in the holder
of a brewpub license.
D. For purposes of this section, no visitor may sample more than
a total of twelve (12) fluid ounces of beer per day. The brewer must
restrict the distribution and consumption of beer samples to an area
within the licensed premises designated by the brewer. A current
floor plan that includes the designated sampling area must be on file
with the ABLE Commission. No visitor under twenty-one (21) years of
age shall be permitted to enter this designated sampling area when
samples are being distributed or consumed. Samples of beer served by
a brewery under this section shall not be considered a sale of beer
within the meaning of Article XXVIII-A of the Oklahoma Constitution
or Section 1-103 of this title; however, such samples of beer shall
be considered beer removed or withdrawn from the brewery for use or
consumption within the meaning of Section 5-110 of this title for
excise tax determination and reporting requirements. Sales and
sampling may only occur between the hours of 10:00 a.m. and 2:00 a.m.
E. A small brewer self-distribution license shall authorize
holders of a small brewer license to distribute beer produced only by
such licensee to a holder of a retail beer license, retail spirits
license, mixed beverage license, beer and wine license, caterer's
license, special event license, public event license, charitable
auction license or brewpub license. A small brewer shall elect
whether it will distribute through a distributor or self-distribute
in a subject territory; however, a small brewer may not elect to do
both simultaneously in a subject territory. The election shall be
made through notice to the ABLE Commission. Any changes to the
election shall require immediate notification to the ABLE Commission
before the change in election will take effect. A small brewer that
elects to self-distribute in multiple territories shall only be
required to have one small brewer self-distribution license.
F. All manufacturer's licenses held by brewers during the first
calendar year beginning October 1, 2018, shall automatically convert
to brewer licenses and be deemed effective as of the date of the
first issuance of the manufacturer's license. Upon the first renewal
of said license, the brewer will need to obtain the appropriate
brewer's license. If a brewer elects to market wine and spirits, the
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brewer will also be required to obtain a manufacturer's license and
comply with the rules and regulations for both licenses.
Added by Laws 2016, c. 366, § 14, eff. Oct. 1, 2018. Amended by Laws
2017, c. 84, § 1, eff. Oct. 1, 2018; Laws 2018, c. 315, § 1, eff.
Oct. 1, 2018; Laws 2019, c. 322, § 3, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-103. Distiller license.
A distiller license shall authorize the holder thereof:
1. To manufacture, bottle, package and store spirits on licensed
premises;
2. To sell spirits in this state to licensed wholesalers and
manufacturers only;
3. To sell spirits out of this state to qualified persons; to
purchase from licensed distillers and rectifiers in this state, and
import spirits from without this state for manufacturing purposes in
accordance with federal laws and regulations; and
4. To serve free samples of spirits produced only by the
licensee to visitors twenty-one (21) years of age and older. For
purposes of this section, no visitor may sample more than a total of
three (3) fluid ounces of spirits per day. The distiller shall
restrict the distribution and consumption of spirits samples to an
area within the licensed premises designated by the distiller. A
current floor plan that includes the designated sampling area shall
be on file with the ABLE Commission. No visitor under twenty-one
(21) years of age shall be permitted to enter the designated sampling
area when samples are being distributed and consumed. Samples of
spirits served by a distiller under this section shall not be
considered a sale of spirits within the meaning of Article XXVIIIA of
the Oklahoma Constitution or Section 3 of this act; provided, such
samples of spirits shall be considered removed or withdrawn from the
distillery for use or consumption within the meaning of Section 113
of this act for excise tax determination and reporting requirements.
Added by Laws 2016, c. 366, § 15, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-104. Winemaker license.
A winemaker license shall authorize the holder thereof:
1. To manufacture (including such mixing, blending and cellar
treatment as authorized by federal law), bottle, package and store on
licensed premises wine containing not more than twenty-four percent
(24%) alcohol by volume, provided the bottle or package sizes
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authorized shall be limited to the capacities approved by the United
States Alcohol and Tobacco Tax and Trade Bureau;
2. To sell wine in this state to licensed wholesalers and
manufacturers;
3. To sell wine produced at the winery from grapes and other
fruits and berries grown in this state, if available, for either on-
premises or off-premises consumption to consumers on the premises of
the winery;
4. To serve free samples of wine produced at the winery to
visitors twenty-one (21) years of age and older. For purposes of
this section, no visitor may sample more than a total of six (6)
fluid ounces of wine per day. The winery shall restrict the
distribution and consumption of wine samples to an area within the
licensed premises designated by the winery. A current floor plan
that includes the designated sampling area shall be on file with the
ABLE Commission. No visitor under twenty-one (21) years of age shall
be permitted to enter the designated sampling area when samples are
being distributed and consumed. Samples of wine served by a winery
under this section shall not be considered a sale of wine within the
meaning of Article XXVIII-A of the Oklahoma Constitution or Section
1-103 of this title; provided, such samples of wine shall be
considered removed or withdrawn from the winery for use or
consumption within the meaning of Section 5-110 of this title for
excise tax determination and reporting requirements;
5. To serve free samples of wine produced at the winery at
public events such as festivals and trade shows;
6. To sell wine produced at the winery, for either on-premises
or off-premises consumption at public events such as festivals and
trade shows;
7. To sell wine out of this state to qualified persons;
8. To purchase from licensed winemakers, distillers and
rectifiers in this state, and to import into this state wine, brandy
and fruit spirits for use in manufacturing in accordance with federal
laws and regulations;
9. To sell and serve Oklahoma-manufactured wine, mulled wine, or
spiced wine, mixed with nonalcoholic beverages or food items such as
water, sugar, fruits and vegetables, at any temperature for either
on-premises or off-premises consumption;
10. To purchase beer in retail containers from the holder of a
wholesaler, beer distributor, small brewer self-distributor or
brewpub self-distributor license or as specifically provided by law;
11. To sell, offer for sale and possess beer for on-premises
consumption; and
12. To establish satellite tasting rooms as defined and
authorized in this act where the winemaker's products may be tasted,
sampled, sold and served for on-premises consumption and the
winemaker is permitted to sell its products in sealed containers;
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provided, the small farm winery license or winemaker license is
active and in good standing. The wine sold at a satellite tasting
room must have been produced/manufactured by the holder of a small
farm winery license or winemaker license and must have all
manufacturing taxes paid.
Added by Laws 2016, c. 366, § 16, eff. Oct. 1, 2018. Amended by Laws
2017, c. 307, § 2, eff. Oct. 1, 2018; Laws 2018, c. 315, § 2, eff.
Oct. 1, 2018; Laws 2019, c. 420, § 3, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-105. Winemaker self-distribution license.
A. A winemaker self-distribution license shall authorize a
licensed winemaker within or without this state which is permitted by
Article XXVIIIA of the Oklahoma Constitution and this section:
1. To distribute its wine directly to retail spirits, retail
wine and retail beer licensees, mixed beverage licensees, beer and
wine licensees, and restaurants in this state; and
2. If such a winemaker elects to do so, to sell and deliver its
wines directly to licensed retail package stores, mixed beverage
licensees, beer and wine licensees, and restaurants in this state in
full case lots only, and in accordance with the provisions of the
Oklahoma Alcoholic Beverage Control Act and such rules as the ABLE
Commission shall promulgate.
B. A winemaker either within or without this state that annually
produces no more than fifteen thousand (15,000) gallons of wine may
elect to sell and self-distribute the wine produced by such winemaker
directly to licensed retail package stores, mixed beverage licensees,
beer and wine licensees, and restaurants in this state; provided:
1. Any such winemaker which elects to directly sell its wine to
package stores, mixed beverage licensees, beer and wine licensees,
and restaurants shall not also use a licensed wholesale distributor
as a means of distribution, and shall be required to sell its wines
to every package store, mixed beverage licensee, beer and wine
licensee, and restaurant licensee who desires to purchase the same,
on the same price basis and without discrimination;
2. If a winemaker or winery sells directly to a retail package
store, mixed beverage licensee, beer and wine licensee or restaurant,
the winemaker shall transport the wine from the winemaker's winery to
the premises where the wine is to be delivered only in vehicles owned
or leased by the winemaker and not by common or private contract
carrier and shall obtain all necessary permits as required by the
Oklahoma Alcoholic Beverage Control Act; and
3. If the production volume limit applicable to winemakers is
ruled to be unconstitutional by a court of competent jurisdiction,
then no winemaker shall be permitted to directly sell its wine to
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retail package stores, non-package-store retailers, mixed beverage
licensees, beer and wine licensees or restaurants in this state.
Added by Laws 2016, c. 366, § 17, eff. Oct. 1, 2018. Amended by Laws
2018, c. 113, § 1, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-2-106. Rectifier license.
A rectifier license shall authorize the holder thereof:
1. To rectify spirits and wines and to bottle, package and store
same on the licensed premises;
2. To sell spirits and wines in this state to licensed
wholesalers and manufacturers only;
3. To sell spirits and wines out of this state to qualified
persons;
4. To purchase from licensed manufacturers in this state; and
5. To import into this state for manufacturing purposes spirits
and wines in accordance with federal laws and regulations.
Added by Laws 2016, c. 366, § 18, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-107. Wine and spirits wholesaler license.
A. A wine and spirits wholesaler license shall authorize the
holder thereof:
1. To purchase and import into this state spirits and wines from
persons authorized to sell same who are the holders of a manufacturer
or nonresident seller license, and their agents who are the holders
of manufacturer's agent licenses;
2. To purchase spirits and wines from licensed distillers,
rectifiers and winemakers in this state;
3. To purchase spirits and wines from licensed wholesalers, to
the extent set forth in subsections B and C of this section;
4. To sell in retail containers in this state to retailers,
mixed beverage, caterer, special event, public event, hotel beverage
or airline/railroad beverage licensees, spirits and wines which have
been received and unloaded at the bonded warehouse facilities of the
wholesaler before such sale;
5. To sell to licensed wholesalers, to the extent set forth in
subsections B and C of this section, spirits and wines which have
been received and unloaded at the bonded warehouse facilities of the
wholesaler before such sale; and
6. To sell spirits and wines out of this state to qualified
persons.
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Provided, however, sales of spirits and wine in containers with a
capacity of less than one-twentieth (1/20) gallon by a holder of a
wholesaler license shall be in full case lots and in the original
unbroken case. Wholesalers shall be authorized to place such signs
outside their place of business as are required by Acts of Congress
and by such laws and regulations promulgated under such Acts.
B. A wholesaler may sell spirits and wine to other wholesalers
or purchase spirits and wines from other wholesalers without
complying with subsection A of this section in the case of the sale,
purchase or other transfer or acquisition of the entire business of a
wholesaler, including the inventory of spirits and wine.
C. A wholesaler license shall authorize the holder thereof to:
1. Maintain not more than three (3) self-owned or leased and
self-operated bonded warehouses within this state. All invoices
shall be stored at the principal place of business for which the
wholesaler license was granted; and
2. Accept as payment cash, personal check, cashier's check,
money order or electronic fund transfer from persons licensed to
purchase alcoholic beverages; provided, a wholesaler shall not be
permitted to accept payment by credit card.
Added by Laws 2016, c. 366, § 19, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 11, eff. Oct. 1, 2017.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-108. Beer distributor license.
A. A beer distributor license shall authorize the holder
thereof:
1. To purchase and import into this state cider from persons
authorized to sell the same who are the holders of manufacturer's
licenses, and their agents who are the holders of manufacturer's
agent licenses;
2. To purchase and import into this state beer or cider from
persons authorized to sell the same who are the holders of brewer's
or small brewer's licenses;
3. To purchase beer and cider from licensed beer distributors in
this state;
4. To sell in retail containers to retailers, on-premises beer
and wine, mixed beverage, caterer, special event, public event, hotel
beverage and airline/railroad beverage licensees or any other
licensee permitted to sell beer to consumers in this state, beer and
cider which has been received, unloaded and stored at the holder's
self-owned or leased and self-operated warehouses before such sale,
unless otherwise permitted by this section;
5. To sell beer and cider in this state to beer distributors and
out of this state to qualified persons, including federal
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instrumentalities and voluntary associations of military personnel on
federal enclaves in this state over which this state has ceded
jurisdiction;
6. To donate beer and cider to organizations, associations or
nonprofit corporations organized for political, fraternal,
charitable, religious or social purposes or to charitable events; and
7. To transport wine, spirits, beer and cider in vehicles owned,
leased or operated by the beer distributor, a subsidiary of the beer
distributor, or its agent, in addition to any nonalcoholic items.
Provided, if the beer distributor transports wine and spirits, a
valid wine and spirits wholesaler license must be maintained by the
beer distributor or affiliated entity having common ownership with
the licensed beer distributor.
B. In the event that no in-state beer distributor for a
particular brewer or manufacturer is willing to deliver beer or cider
to a county or counties located within the state, the ABLE Commission
may grant an economic hardship exemption to an out-of-state beer
distributor for a particular brewer and waive the at-rest requirement
set forth in this section, upon a good-faith showing that:
1. It is economically infeasible or impractical for an in-state
beer distributor for a particular brewer to deliver to the county or
counties due to remoteness, or population, or both;
2. No in-state beer distributor of a particular brewer or
manufacturer objects to the waiver within thirty (30) days of
receiving written notice of the economic hardship application sent by
the ABLE Commission; and
3. The out-of-state beer distributor agrees to pay all necessary
licensing fees and remit all applicable taxes to the State of
Oklahoma.
C. The economic hardship exemption provided for in subsection B
of this section shall renew annually, provided that no in-state beer
distributor for a particular brewer or manufacturer submits an
executed distribution agreement to assume responsibility to
distribute the beer in the subject county or counties at least sixty
(60) days prior to the renewal date of the exemption. The in-state
beer distributor who has executed a distribution agreement to assume
responsibility to distribute beer in the subject territory shall
compensate the out-of-state distributor the fair market value of the
distribution rights of the territory as determined pursuant to
Section 3-108 of this title.
D. Provided, nothing in this section shall require an Oklahoma
licensed beer distributor with an Oklahoma designated territory on
the effective date of this act to meet the hardship provisions in
subsections B and C of this section to continue to operate as a
licensed Oklahoma beer distributor.
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Added by Laws 2016, c. 366, § 20, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 12, eff. Oct. 1, 2018; Laws 2019, c. 322, § 4, emerg.
eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-109. Retail spirits license - Retail wine license - Retail
beer license.
A. A retail spirits license shall authorize the holder thereof:
1. To purchase wine or spirits from a wine and spirits
wholesaler;
2. To purchase beer from a beer distributor or from the holder
of a small brewer self-distribution license; and
3. To sell same on the licensed premises in such containers to
consumers for off-premises consumption only and not for resale;
provided, spirits, wine and beer may be sold to charitable
organizations that are holders of charitable alcoholic beverage
auction or charitable alcoholic beverage event licenses.
B. A retail wine license shall authorize the holder thereof:
1. To purchase wine from a wine and spirits wholesaler;
2. To purchase wine from a small farm winemaker who is permitted
and has elected to self-distribute as provided in Article XXVIIIA of
the Oklahoma Constitution; and
3. To sell same on the licensed premises in such containers to
consumers for off-premises consumption only and not for resale;
provided, wine may be sold to charitable organizations that are
holders of charitable alcoholic beverage auction or charitable
alcoholic beverage event licenses.
Provided, no holder of a Retail Wine License may sell wine with
alcohol beverage volume in excess of fifteen percent (15%).
C. A retail beer license shall authorize the holder thereof:
1. To purchase beer from a beer distributor;
2. To purchase beer from the holder of a small brewer self-
distribution license; and
3. To sell same on the licensed premises in such containers to
consumers for off-premises consumption only and not for resale;
provided, beer may be sold to charitable organizations that are
holders of charitable alcoholic beverage auction or charitable
alcoholic beverage event licenses.
Provided, no holder of a Retail Beer License may sell a malt
beverage with alcohol beverage volume in excess of eight and ninety-
nine/one hundredths percent (8.99%).
Added by Laws 2016, c. 366, § 21, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-2-110. See the following versions:
OS 37A-2-110v1 (SB 728, Laws 2019, c. 35, § 1).
OS 37A-2-110v2 (HB 1341, Laws 2019, c. 424, § 1).
§37A-2-110v1. Mixed beverage license.
A mixed beverage license shall authorize the holder thereof:
1. To purchase alcohol, spirits, beer and/or wine in retail
containers from the holder of a wine and spirits wholesaler and beer
distributor license as specifically provided by law. The holder of a
mixed beverage license issued for an establishment which is also a
restaurant may purchase wine directly from a winemaker and beer
directly from a small brewer who is permitted and has elected to
self-distribute as provided in Article XXVIII-A of the Oklahoma
Constitution;
2. To sell, offer for sale and possess mixed beverages for on-
premises consumption only; provided, a mixed beverage licensee may
sell beer and wine for off-premises consumption if it meets the
classification of a golf course, country club, or marina pursuant to
the most recently adopted North American Industry Classification
System (NAICS). The mixed beverage licensee shall be permitted to
sell beer and wine for off-premises consumption during all days and
hours in which a retail beer licensee or retail wine licensee is
permitted to sell beer or wine. The gross receipts tax set forth in
Section 5-105 of this title shall apply to all alcoholic beverages
sold by the mixed beverage licensee, whether those alcoholic
beverages are intended for on- or off-premises consumption. The ABLE
Commission shall promulgate rules for the implementation of a special
off-premises permit consistent with this subsection. The mixed
beverage licensee shall secure the special off-premises permit prior
to selling beer and wine for off-premises consumption;
3. Sales and service of mixed beverages by holders of mixed
beverage licenses shall be limited to the licensed premises of the
licensee unless the holder of the mixed beverage license also obtains
a caterer license or a mixed beverage/caterer combination license. A
mixed beverage license shall only be issued in counties of this state
where the sale of alcoholic beverages by the individual drink for on-
premises consumption has been authorized. A separate license shall
be required for each place of business; and
4. Upon application, a mixed beverage license shall be issued
for any place of business functioning as a motion picture theater, as
defined by Section 1-103 of this title. Provided, that upon proof of
legal age to consume alcohol, every patron being served alcoholic
beverages shall be required to wear a wrist bracelet or receive a
hand stamp identifying the patron as being of legal age to consume
alcohol. This requirement shall only apply inside a motion picture
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theater auditorium where individuals under the legal age to consume
alcohol are allowed.
Added by Laws 2016, c. 366, § 22, eff. Oct. 1, 2018. Amended by Laws
2017, c. 381, § 6, eff. Oct. 1, 2018; Laws 2019, c. 35, § 1, emerg.
eff. April 10, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-110v2. Mixed beverage license.
A. A mixed beverage license shall authorize the holder thereof:
1. To purchase alcohol, spirits, beer and/or wine in retail
containers from the holder of a wine and spirits wholesaler and beer
distributor license as specifically provided by law; and
2. To sell, offer for sale and possess mixed beverages for on-
premises consumption only, provided:
a. the holder of a mixed beverage license issued for an
establishment which is also a restaurant may purchase
wine directly from a winemaker and beer directly from a
small brewer who is permitted and has elected to self-
distribute as provided in Article XXVIII-A of the
Oklahoma Constitution, and
b. the holder of a mixed beverage license that is also a
holder of a retail wine license or retail beer license
or both a retail wine license and retail beer license
shall not be prohibited from the on-premises sale of
wine or beer, according to the license held, for off-
premises consumption, subject to the limitations of the
retail wine license or retail beer license.
B. Sales and service of mixed beverages by holders of mixed
beverage licenses shall be limited to the licensed premises of the
licensee unless the holder of the mixed beverage license also obtains
a caterer license or a mixed beverage/caterer combination license. A
mixed beverage license shall only be issued in counties of this state
where the sale of alcoholic beverages by the individual drink for on-
premises consumption has been authorized. A separate license shall
be required for each place of business.
C. Holders of a mixed beverage license shall not be prohibited
from obtaining and holding a retail beer license or retail wine
license or both a retail beer license and retail wine license;
provided, that each holder qualifies and maintains the qualifications
for each license held as set forth in this title and the rules
promulgated by the ABLE Commission.
D. Upon application, a mixed beverage license shall be issued
for any place of business functioning as a motion picture theater, as
defined by Section 1-103 of this title. Provided, that upon proof of
legal age to consume alcohol, every patron being served alcoholic
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beverages shall be required to wear a wrist bracelet or receive a
hand stamp identifying the patron as being of legal age to consume
alcohol. This requirement shall only apply inside a motion picture
theater auditorium where individuals under the legal age to consume
alcohol are allowed.
Added by Laws 2016, c. 366, § 22, eff. Oct. 1, 2018. Amended by Laws
2017, c. 381, § 6, eff. Oct. 1, 2018; Laws 2019, c. 424, § 1, eff.
Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-111. Bottle club license.
A bottle club license shall authorize the holder thereof to
store, possess and mix alcoholic beverages belonging to members of
the club and to serve such alcoholic beverages for on-premises
consumption to club members. A bottle club license shall only be
issued in counties of this state where the sale of alcoholic
beverages by the individual drink for on-premises consumption has not
been authorized. A separate license shall be required for each place
of business.
Added by Laws 2016, c. 366, § 23, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-112. Caterer license.
A caterer license shall authorize the holder thereof to sell
mixed beverages for on-premises consumption incidental to the sale or
distribution of food at particular functions, occasions or events
which are temporary in nature. A caterer license shall not be issued
in lieu of a mixed beverage license. A caterer license shall only be
issued in counties of this state where the sale of alcoholic
beverages by the individual drink for on-premises consumption has
been authorized. A separate license shall be required for each place
of business.
Added by Laws 2016, c. 366, § 24, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-113. Caterer license - Rules and restrictions.
A. 1. A caterer license may be issued to any person for the
purpose of sale, delivery or distribution of alcoholic beverages
incidental to the sale or distribution of food on a premises not
licensed by the ABLE Commission. For purposes of this section,
"incidental to the sale or distribution of food" means food sales
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constituting at least thirty-five percent (35%) of the caterer's
total combined annual sales. A caterer license shall not be issued
to a person whose main purpose is the sale of alcoholic beverages.
2. A caterer license may only be issued to those persons that
prepare, sell and distribute food for consumption either on licensed
or unlicensed premises. In order to renew a caterer license, annual
food sales must constitute at least thirty-five percent (35%) of the
caterer's total combined sales based on the most recent calendar
year. A caterer shall not be required to prepare, sell and
distribute food at every catered event as long as the caterer
satisfies the requirement set forth in this section.
3. Each caterer shall submit an annual sales report containing
revenue attributable to alcoholic beverages, food and all other
revenues attributable to the catering service. The annual sales
report must be submitted thirty (30) days prior to expiration of the
caterer license on forms prescribed by the ABLE Commission. The
caterer license may not be renewed if the caterer fails to provide
complete or sufficient financial data.
4. Each caterer shall submit a monthly event report containing
information on all events scheduled for the subsequent month. If an
event is scheduled after the first day of the month for an event to
occur in the same month, then the caterer shall report that event
within twenty-four (24) hours of scheduling the event or within
twenty-four (24) hours prior to the event, whichever occurs first.
The monthly event report shall be submitted on the first day of each
month.
5. All reports shall be submitted electronically on forms
prescribed by the ABLE Commission. Provided, if the caterer does not
have access to the Internet, then monthly reports must be submitted
by facsimile to the ABLE Commission's office in Oklahoma City, in
which case the caterer must retain a copy of the facsimile
confirmation sheet for at least twelve (12) months.
6. Any caterer who fails to submit a monthly report shall have
the caterer license automatically suspended until such time that the
caterer has fully complied with all reporting requirements. Any
caterer whose annual food sales do not exceed thirty-five percent
(35%) of his or her total annual combined sales shall not have the
caterer's license renewed.
B. The ABLE Commission shall promulgate rules governing the
application for and the issuance of caterer licenses.
C. The restrictions and rules which apply to the sale of mixed
beverages on the premises of a mixed beverage licensee also apply to
the sale under the authority of a caterer license. Any act which if
done on the premises of a mixed beverage licensee would be a ground
for revocation or suspension of the mixed beverage license is a
ground for revocation or suspension of a caterer license.
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D. If the premises where the event being catered is held are
already operating pursuant to another type of license issued by the
ABLE Commission, the caterer and the other licensee shall both be
responsible for the actions of the caterer and shall both be subject
to penalties for violations by the caterer of the Oklahoma Alcoholic
Beverage Control Act and any rules promulgated thereto.
E. A caterer licensee may not store alcoholic beverages unless
the licensee has a storage license issued by the ABLE Commission. A
caterer licensee selling beer and cider to consumers shall only
purchase such beer and cider from the distributor or wholesaler
within the county in which the licensee will be selling the beer and
cider to consumers.
F. A caterer may provide alcoholic beverage sales on the
premises of a person currently applying for a mixed beverage license,
provided the following terms have been satisfied:
1. The caterer shall take reasonable steps to ensure that the
mixed beverage applicant uses only licensed employees to perform
licensable activities while using the caterer's license. The caterer
shall use his or her best efforts to attempt to have a licensed
employee on-site supervising the sale of such caterer's alcoholic
beverages at all times, but the caterer shall not be disciplined for
failing to have a licensed employee on-site. The caterer expressly
acknowledges that he or she is liable for all violations of the
Oklahoma Alcoholic Beverage Control Act and rules of the ABLE
Commission that are committed by the mixed beverage applicant and its
employees during this period;
2. The caterer and mixed beverage applicant must submit to the
ABLE Commission a written agreement setting forth all the terms of
the catering agreement at least twenty-four (24) hours prior to the
commencement of the catered event; and
3. The caterer may not provide alcoholic beverage sales on the
unlicensed premises of the mixed beverage applicant for more than
sixty (60) days, or after the applicant's license has been denied,
whichever occurs first.
G. A caterer may provide alcoholic beverage services for
temporary public events which have been licensed and approved by the
ABLE Commission.
H. A caterer may provide alcoholic beverage services for a mixed
beverage licensee which holds a live performing arts presentation and
is open to the public not more than one hundred twenty (120) days per
year.
Added by Laws 2016, c. 366, § 25, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 5, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-2-114. Special event license - Public event licenses.
A. An annual special event license shall authorize the holder
thereof to sell and distribute mixed beverages for consumption on the
premises for which the license has been issued for up to four events
to be held over a period not to exceed one (1) year, not to exceed
two such events in any three-month period. For purposes of this
subsection, an event shall not exceed a period of ten (10)
consecutive days. An annual special event license shall only be
issued in counties of this state where the sale of alcoholic
beverages by the individual drink for on-premises consumption has
been authorized. The holder of an annual special event license shall
provide written notice to the ABLE Commission of each special event
not less than ten (10) days before the event is held.
B. A quarterly special event license shall authorize the holder
thereof to sell and distribute mixed beverages for consumption on the
premises for which the license has been issued for up to three events
to be held over a period not to exceed three (3) months. For
purposes of this subsection, an event shall not exceed a period of
ten (10) consecutive days. A quarterly special event license shall
only be issued in counties of this state where the sale of alcoholic
beverages by the individual drink for on-premises consumption has
been authorized. The holder of a quarterly special event license
shall provide written notice to the ABLE Commission of each special
event not less than ten (10) days before the event is held.
C. An annual public event license shall authorize the holder
thereof to sell and distribute mixed beverages for consumption on the
premises for which the license has been issued for up to six events
to be held over a period not to exceed one (1) calendar year. The
applicant for an annual public event license, who does not already
hold a license issued by the ABLE Commission, shall make application
not less than sixty (60) days before its first event. The ABLE
Commission shall have the authority to waive the sixty-day
requirement at its discretion. For purposes of this subsection, an
event shall not exceed a period of three (3) consecutive days. An
annual public event license shall only be issued in counties of this
state where the sale of alcoholic beverages by the individual drink
for on-premises consumption has been authorized. The holder of an
annual public event license shall provide written notice to the ABLE
Commission of each promoted public event not less than ten (10) days
before the event is held. A public event license shall not be used
in lieu of a mixed beverage license.
D. A one-time public event license shall authorize the holder
thereof to sell and distribute mixed beverages for consumption on the
premises for which the license has been issued. The applicant for a
one-time public event license, who does not already hold a license
issued by the ABLE Commission, shall make application not less than
sixty (60) days before the event. The ABLE Commission shall have the
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authority to waive the sixty-day requirement at its discretion. For
purposes of this paragraph, an event shall not exceed a period of
three (3) consecutive days. A public event license shall only be
issued in counties of this state where the sale of alcoholic
beverages by the individual drink for on-premises consumption has
been authorized. The holder of a public event license shall provide
written notice to the ABLE Commission of each public event not less
than ten (10) days before the event is held. A public event license
shall not be used in lieu of a mixed beverage license.
Added by Laws 2016, c. 366, § 26, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-115. Special event licenses - Rules and restrictions.
A. A special event license may be issued to an organization,
association or nonprofit corporation organized for political,
fraternal, charitable, religious or social purposes. The holder of a
special event license is authorized to sell and distribute alcoholic
beverage on the premises for which the license is issued.
B. The ABLE Commission shall promulgate rules governing the
application for and the issuance of special event licenses.
C. The restrictions and rules which apply to the sale of mixed
beverages on the premises of a mixed beverage licensee also apply to
the sale of such beverages under the authority of a special event
license. Any act which if done on the premises of a mixed beverage
licensee would be a ground for revocation or suspension of the mixed
beverage license is a ground for revocation or suspension of a
special event license.
D. No special event license may be issued for any premises
already licensed by the ABLE Commission.
E. No special event license shall be required for an
organization, association or nonprofit corporation which is an
economic development chamber or similar entity, provided the event is
not conducted primarily for fundraising purposes, and provided the
services of a licensed caterer are used to provide and distribute the
alcoholic beverages at the event.
Added by Laws 2016, c. 366, § 27, eff. Oct. 1, 2018. Amended by Laws
2017, c. 275, § 4, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-116. Hotel beverage license.
A hotel beverage license shall authorize the holder thereof to
sell or serve alcoholic beverages in fifty (50) milliliter spirits,
one hundred eighty-seven (187) milliliter wine and twelve (12) ounce
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malt beverage containers which are distributed from a hotel room
mini-bar. A hotel beverage license shall only be issued in counties
of this state where the sale of alcoholic beverages by the individual
drink for on-premises consumption has been authorized. A hotel
beverage license shall only be issued to a hotel or motel as defined
by Section 3 of this act which is also the holder of a mixed beverage
license. Provided, that application may be made simultaneously for
both such licenses. A separate license shall be required for each
place of business.
Added by Laws 2016, c. 366, § 28, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-117. Hotel beverage license - Rules and restrictions.
A. A hotel beverage license may be issued to a hotel or motel
which is also the holder of a mixed beverage license. Provided, that
application may be made simultaneously for both such licenses.
B. The ABLE Commission shall promulgate rules governing the
application for and the issuance of hotel beverage licenses.
C. Notwithstanding any other provision of the Oklahoma Alcoholic
Beverage Control Act, a hotel may sell alcoholic beverages to its
registered guests by means of a mini-bar located in the guestrooms of
those registered guests; provided:
1. Access to any mini-bar shall only be by a key, magnetic card
or similar device;
2. Access to a mini-bar in a particular guestroom is provided,
whether by furnishing a key, magnetic card or similar device only to
a registered guest over twenty-one (21) years of age registered to
stay in the guestroom;
3. The licensee shall verify that each registered guest to whom
a key, magnetic card or similar device to access a mini-bar is to be
provided is over twenty-one (21) years of age; and
4. All employees handling the alcoholic beverages to be placed
in the mini-bar possess an employee license issued by the ABLE
Commission.
Added by Laws 2016, c. 366, § 29, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-118. See the following versions:
OS 37A-2-118v1 (HB 1343, Laws 2019, c. 102, § 2).
OS 37A-2-118v2 (SB 115, Laws 2019, c. 307, § 1).
§37A-2-118v1. Airline/railroad/commercial passenger vessel beverage
license.
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A. An airline/railroad/commercial passenger vessel beverage
license shall authorize the holder thereof:
1. To sell or serve alcoholic beverages in or from any size
container on a commercial passenger airplane, vessel or railroad
operated in compliance with a valid license, permit or certificate
issued under the authority of the United States or this state or its
instrumentality, even though the airplane, vessel or train, in the
course of its travel, may cross an area in which the sale of
alcoholic beverages by the individual drink is not authorized; and
2. To store alcoholic beverages in sealed containers of any size
at any airport, station or facility regularly served by the licensee,
in accordance with rules promulgated by the ABLE Commission.
B. Alcoholic beverages purchased by the holder of an
airline/railroad/commercial passenger vessel license from the holder
of a wholesaler license shall be presumed to be purchased for
consumption outside the State of Oklahoma or in interstate commerce,
and shall be exempt from the excise tax provided for in Section 5-101
of this title.
Added by Laws 2016, c. 366, § 30, eff. Oct. 1, 2018. Amended by Laws
2019, c. 102, § 2, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-118v2. Airline/railroad/commercial vessel beverage license.
A. An airline/railroad/commercial vessel beverage license shall
authorize the holder thereof:
1. To sell or serve alcoholic beverages in or from any size
container on a commercial passenger airplane, vessel or railroad
operated in compliance with a valid license, permit or certificate
issued under the authority of the United States or this state or its
instrumentality, even though the airplane, vessel or train, in the
course of its travel, may cross an area in which the sale of
alcoholic beverages by the individual drink is not authorized; and
2. To store alcoholic beverages in sealed containers of any size
at any airport, facility or station regularly served by the licensee,
in accordance with rules promulgated by the ABLE Commission.
B. Alcoholic beverages purchased by the holder of an
airline/railroad license from the holder of a wholesaler license or
beer distributor license shall be presumed to be purchased for
consumption outside the State of Oklahoma or in interstate commerce,
and shall be exempt from the excise tax provided in Section 5-101 of
this title. A commercial vessel operating solely on the waterways
within this state shall purchase alcoholic beverages from the holder
of a wholesaler license or beer distributor license and shall not be
exempt from the excise tax provided in Section 5-101 of this title.
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Added by Laws 2016, c. 366, § 30, eff. Oct. 1, 2018. Amended by Laws
2019, c. 307, § 1, emerg. eff. May 6, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-119. See the following versions:
OS 37A-2-119v1 (HB 1343, Laws 2019, c. 102, § 3).
OS 37A-2-119v2 (SB 115, Laws 2019, c. 307, § 2).
§37A-2-119v1. Airline/railroad/commercial passenger vessel beverage
license - Qualifying licensee.
An airline/railroad/commercial passenger vessel beverage license
may be issued to any corporation operating a commercial airline,
vessel or railroad in or through this state. Application and payment
of the license fee shall be made directly to the ABLE Commission.
Added by Laws 2016, c. 366, § 31, eff. Oct. 1, 2018. Amended by Laws
2019, c. 102, § 3, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-119v2. Airline/railroad/commercial vessel beverage license -
Qualifying licensees.
An airline/railroad/commercial vessel beverage license may be
issued to any corporation operating a commercial airline, vessel or
railroad in or through this state. Application and payment of the
license fee shall be made directly to the ABLE Commission.
Added by Laws 2016, c. 366, § 31, eff. Oct. 1, 2018. Amended by Laws
2019, c. 307, § 2, emerg. eff. May 6, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-120. See the following versions:
OS 37A-2-120v1 (HB 1347, Laws 2019, c. 189, § 1).
OS 37A-2-120v2 (SB 906, Laws 2019, c. 322, § 6).
§37A-2-120v1. Wholesaler's agent license.
A wholesaler's agent license shall authorize the holder thereof:
1. To represent only the holders of licenses within this state,
other than retailers, authorized to sell alcoholic beverages to
retail dealers in Oklahoma; and
2. To solicit and to take orders for the purchase of alcoholic
beverages from retailers including licensees authorized to sell
alcoholic beverages by the individual drink for on-premises
consumption.
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Such license shall be issued only to agents and employees of the
holder of a license under the Oklahoma Alcoholic Beverage Control
Act, but no such license shall be required of an employee making
sales of alcoholic beverages on licensed premises of the employee's
principal or of an employee of a beer distributer licensee regardless
of that employee's job responsibilities.
Added by Laws 2016, c. 366, § 32, eff. Oct. 1, 2018. Amended by Laws
2019, c. 189, § 1, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-120v2. Wholesaler's agent license.
A wholesaler's agent license shall authorize the holder thereof:
1. To represent only the holders of licenses within this state,
other than retailers, authorized to sell wine and spirits to licensed
retailers in Oklahoma; and
2. To solicit and to take orders for the purchase of wine and
spirits from retailers including licensees authorized to sell wine
and spirits in Oklahoma.
Such license shall be issued only to agents and employees of the
holder of a license under the Oklahoma Alcoholic Beverage Control
Act, but no such license shall be required of an employee making
sales of wine and spirits on licensed premises of the employee's
principal. No applicant for a wholesaler's agent license shall also
hold a manufacturer's agent license.
Added by Laws 2016, c. 366, § 32, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 6, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-121. See the following versions:
OS 37A-2-121v1 (HB 1347, Laws 2019, c. 189, § 2).
OS 37A-2-121v2 (SB 816, Laws 2019, c. 225, § 1).
§37A-2-121v1. Employee license.
An employee license shall authorize the holder thereof to work in
a licensed package store, retail spirits, retail wine or retail beer
establishment, brewpub, mixed beverage establishment, beer and wine
establishment, bottle club, public event or any establishment where
alcohol or alcoholic beverages are sold, mixed or served. Persons
employed by a mixed beverage, on-premises beer and wine, retail wine,
retail beer, public event or a bottle club licensee who do not
participate in the service, mixing or sale of mixed beverages shall
not be required to have an employee license. Provided, however, that
a manager employed by a mixed beverage licensee, public event
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licensee or a bottle club shall be required to have an employee
license whether or not the manager participates in the service,
mixing or sale of mixed beverages. Applicants for an employee
license must be at least eighteen (18) years of age and have a health
card issued by the county in which they are employed, if the county
issues such a card; provided, the provisions of this section shall
not be construed to permit any person under twenty-one (21) years of
age to be employed to sell spirits. Employees of a special event,
caterer, unless catering a mixed beverage-licensed premises, or
airline/railroad beverage licensees shall not be required to obtain
an employee license; further, employees of beer distributors and
other licensees holding licenses issued by the ABLE Commission shall
not be required to obtain an employee license if such employee only
sells alcohol or alcoholic beverages to establishments holding
licenses issued by the ABLE Commission and not to the public.
Persons employed by a hotel licensee who participate in the stocking
of hotel room mini-bars or in the handling of alcoholic beverages to
be placed in such devices shall be required to have an employee
license. As a prerequisite to the issuance of an employee license,
not later than fourteen (14) days after initial licensure, the first-
time applicant shall be required to have successfully completed a
training program conducted by the ABLE Commission, or by another
entity approved by the ABLE Commission, including an in-house
training program conducted by the employer. Proof of training
completion shall be made available for inspection by the ABLE
Commission at the business location employing the licensee. The
failure of an employee licensee to comply with this section may
constitute a revocable offense.
Added by Laws 2016, c. 366, § 33, eff. Oct. 1, 2018. Amended by Laws
2018, c. 314, § 1, eff. Oct. 1, 2018; Laws 2019, c. 189, § 2, eff.
Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-121v2. Employee license.
A. An employee license shall authorize the holder thereof to
work in a licensed package store, retail spirits, retail wine or
retail beer establishment, brewpub, mixed beverage establishment,
beer and wine establishment, bottle club, public event or any
establishment where alcohol or alcoholic beverages are sold, mixed or
served. Persons employed by a mixed beverage, on-premises beer and
wine, retail wine, retail beer, public event or a bottle club
licensee who do not participate in the service, mixing or sale of
mixed beverages shall not be required to have an employee license.
Provided, however, that a manager employed by a mixed beverage
licensee, public event licensee or a bottle club shall be required to
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have an employee license whether or not the manager participates in
the service, mixing or sale of mixed beverages. Applicants for an
employee license must be at least eighteen (18) years of age and have
a health card issued by the county in which they are employed, if the
county issues such a card; provided, the provisions of this section
shall not be construed to permit any person under twenty-one (21)
years of age to be employed to sell spirits. Employees of a special
event, caterer, unless catering a mixed beverage-licensed premise or
airline/railroad beverage licensees shall not be required to obtain
an employee license. Persons employed by a hotel licensee who
participate in the stocking of hotel room mini-bars or in the
handling of alcoholic beverages to be placed in such devices shall be
required to have an employee license. As a prerequisite to the
issuance of an employee license, not later than fourteen (14) days
after initial licensure, the first-time applicant shall be required
to have successfully completed a training program conducted by the
ABLE Commission, or by another entity approved by the ABLE
Commission, including an in-house training program conducted by the
employer. Proof of training completion shall be made available for
inspection by the ABLE Commission at the business location employing
the licensee. The failure of an employee licensee to comply with
this section may constitute a revocable offense.
B. In the event the ABLE Commission denies an application for an
employee license, the Commission shall provide written notice to the
applicant's employer, if any. The notice shall be given at the time
notice is provided to the applicant.
Added by Laws 2016, c. 366, § 33, eff. Oct. 1, 2018. Amended by Laws
2018, c. 314, § 1, eff. Oct. 1, 2018; Laws 2019, c. 225, § 1, eff.
July 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-122. Industrial license.
A. An industrial license may be issued to persons desiring to
import, transport and use alcohol for the following purposes:
1. Manufacture of patent, proprietary, medicinal,
pharmaceutical, antiseptic and toilet preparations;
2. Manufacture of extracts, syrups, condiments and food
products; and
3. For use in scientific, chemical, mechanical, industrial and
medicinal products and purposes.
B. No other provisions of the Oklahoma Alcoholic Beverage
Control Act shall apply to alcohol intended for industrial, medical,
mechanical or scientific use.
C. Any person receiving alcohol under authority of an industrial
license who shall use, permit or cause same to be used for purposes
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other than authorized purposes specified above, and all such alcohol,
shall be liable to all provisions of the Oklahoma Alcoholic Beverage
Control Act, including payment of tax thereon.
D. No provisions of the Oklahoma Alcoholic Beverage Control Act
shall apply to alcohol withdrawn by any person free of federal tax
under a tax-free permit issued by the United States government, if
such alcohol is received, stored and used as authorized by federal
laws.
Added by Laws 2016, c. 366, § 34, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-123. Carrier license.
A carrier license may be issued to any common carrier operating
under a certificate of convenience and necessity issued by any duly
authorized federal or state regulatory agency. Such license shall
authorize the holder thereof to transport alcoholic beverages other
than wine sold directly by a winemaker or winery to a retail package
store or restaurant into, within, and out of this state under such
terms, conditions, limitations and restrictions as the ABLE
Commission may prescribe by order issuing such license and by rule.
Added by Laws 2016, c. 366, § 35, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-124. Private carrier license.
A. A private carrier license may be issued to any carrier other
than a common carrier described in Section 35 of this act. Such
license shall authorize the holder thereof to transport alcoholic
beverages other than wine sold directly by a winemaker or winery to a
retail package store or restaurant into, within, or out of this state
under such terms, conditions, limitations and restrictions as the
ABLE Commission may prescribe by order issuing such license and by
rule. No carrier license or private carrier license shall be
required of licensed brewers, distillers, winemakers, rectifiers,
wholesalers or beer distributors, to transport alcoholic beverages
from the place of purchase or acquisition to the licensed premises of
such licensees and from such licensed premises to the licensed
premises of the purchaser in vehicles owned or leased by such
licensee when such transportation is for a lawful purpose and not for
hire.
B. No carrier license or private carrier license shall be
required of the holder of a retail spirits, retail wine, retail beer,
mixed beverage, caterer, special event, hotel beverage, public event
or airline/railroad license to pick up alcoholic beverage orders from
 !"!!5,!##$!%, )!%(
the licensee's wholesaler, beer distributor or holder of a small
brewer self-distribution license or brewpub self-distribution license
from whom they are purchased and to transport such alcoholic
beverages from the place of purchase or acquisition to the licensed
premise of such licensees in vehicles owned or under the control of
such licensee or a licensed employee of such licensee under such
terms, conditions, limitations and restrictions as the ABLE
Commission may prescribe.
Added by Laws 2016, c. 366, § 36, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-125. Bonded warehouse license.
A bonded warehouse license shall authorize the holder thereof to
receive and store alcoholic beverages and nonalcoholic beverages for
the holders of storage licenses on the licensed premises of the
bonded warehouse licensee. No goods, wares or merchandise other than
alcoholic beverages and nonalcoholic beverages may be stored in the
same bonded warehouse with alcoholic beverages. The holder of a
bonded warehouse license shall furnish and file with the ABLE
Commission a bond running to all bailers of alcoholic beverages under
proper storage licenses and their assignees (including mortgagees or
other bona fide lienholders) conditioned upon faithful performance of
the terms and conditions of such bailments.
Added by Laws 2016, c. 366, § 37, eff. Oct. 1, 2018. Amended by Laws
2018, c. 312, § 3, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-126. Storage license.
A storage license may be issued to a holder of a brewer,
distiller, winemaker, rectifier, wine or spirits wholesaler, beer
distributor, nonresident seller, mixed beverage, caterer, public
event or hotel beverage license and shall authorize the holder
thereof to store alcoholic beverages in a public warehouse holding a
bonded warehouse license. The holder of a small brewer license or
brewpub license shall not be required to obtain a storage license to
store beer within the limits set forth in Section 1-103 of this
title. No goods, wares or merchandise other than alcoholic beverages
may be stored in the same warehouse with alcoholic beverages in
private warehouses owned or leased and operated by such licensees
elsewhere than on their licensed premises. Provided:
1. A storage license issued to a beer distributor shall permit
the storage of beer and permit the sale and delivery to retailers
from the premises covered by such license;
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2. Any licensee who is the holder of a mixed beverage/caterer
combination license or the holder of a mixed beverage license and a
hotel beverage license who is issued a storage license shall store
all inventories of alcoholic beverages either on the premises of the
mixed beverage establishment or in the warehouse;
3. A storage license shall not be required for a special event
licensee storing alcoholic beverages for use at a subsequent event;
and
4. A storage license shall be required for a public event
licensee storing alcoholic beverages for use at a subsequent event.
Added by Laws 2016, c. 366, § 38, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 13, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-127. Sacramental wine supplier license.
A sacramental wine supplier license shall authorize the holder
thereof to sell, ship or deliver sacramental wine to any religious
corporation or society of this state holding a valid exemption from
taxation issued pursuant to Section 501(a) of the Internal Revenue
Code, 1986, and listed as an exempt organization in Section 501(c)(3)
of the Internal Revenue Code, 1986, of the United States, as amended.
Added by Laws 2016, c. 366, § 39, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-128. On-premises beer and wine license.
A. An on-premises beer and wine license shall authorize the
holder thereof:
1. To purchase beer and wine in retail containers from the
holder of a wholesaler, beer distributor, small brewer self-
distribution or brewpub self-distribution license or as specifically
provided by law. The holder of an on-premises beer and wine license
issued for an establishment which is also a restaurant may purchase
wine from a winemaker who is permitted and has elected to self-
distribute as provided in Article XXVIII-A of the Oklahoma
Constitution; and
2. To sell, offer for sale and possess beer and wine for on-
premises consumption only; provided, an on-premises beer and wine
licensee may sell beer and wine for off-premises consumption if it
meets the classification of a golf course, country club, or marina
pursuant to the most recently adopted North American Industry
Classification System (NAICS). The mixed beverage licensee shall be
permitted to sell beer and wine for off-premises consumption during
all days and hours in which a retail beer licensee or retail wine
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licensee is permitted to sell beer or wine. The gross receipts tax
set forth in Section 5-105 of this title shall apply to all alcoholic
beverages sold by the on-premises beer and wine licensee, whether
those alcoholic beverages are intended for on- or off-premises
consumption. The ABLE Commission shall promulgate rules for the
implementation of a special off-premises permit consistent with this
subsection. The on-premises beer and wine licensee shall secure the
special off-premises permit prior to selling beer and wine for off-
premises consumption.
B. Sales and service of beer and wine by holders of on-premises
beer and wine licenses shall be limited to the licensed premises of
the licensee unless the holder of the on-premises beer and wine
license also obtains a caterer license. An on-premises beer and wine
license shall only be issued in counties of this state where the sale
of alcoholic beverages by the individual drink for on-premises
consumption has been authorized. A separate license shall be
required for each place of business. No spirits shall be stored,
possessed or consumed on the licensed premises of an on-premises beer
and wine license, unless the premises also has a mixed beverage
license.
Added by Laws 2016, c. 366, § 40, eff. Oct. 1, 2018. Amended by Laws
2017, c. 366, § 1, eff. Oct. 1, 2018; Laws 2019, c. 35, § 2, emerg.
eff. April 10, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-129. Charitable auction or charitable alcoholic beverage
event license.
A. A charitable auction or charitable alcoholic beverage event
license may be issued to a charitable organization exempt from
taxation under Section 501(c)(3), (4), (5), (6), (7), (8), (9), (10)
or (19) of the United States Internal Revenue Code. The charitable
alcoholic beverage event license shall authorize the holder thereof
to conduct a wine, spirit and/or beer event which may consist of one
or more of a wine, spirit and/or beer-tasting event, a wine, spirit
and/or beer dinner event or a wine, spirit and/or beer auction, which
may be either a live auction conducted by an auctioneer or a silent
auction for which:
1. Bid sheets are accepted from interested bidders at the event;
2. The holders of tickets are allowed to bid online for a period
not exceeding thirty (30) days prior to the event; or
3. Both bid sheets are accepted at the event and online bids are
accepted pursuant to paragraph 2 of this subsection.
B. A charitable alcoholic beverage event shall be conducted
solely to raise funds for charitable purposes. A charitable
alcoholic beverage license shall allow the event attendees access to
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tastings, samples, dinners and alcoholic beverages as parts of their
entrance fee or ticket price. Wine, spirits and/or beer used in,
served or consumed at a charitable alcoholic beverage event may be
purchased by the charitable organization or donated by any person or
entity.
C. The charitable alcoholic beverage event license shall be
issued for a period not exceeding four (4) days. Only eight such
licenses may be issued to an organization in any twelve-month period.
The charitable organization holding a charitable alcoholic beverage
event license shall not be required to obtain a special event
license.
D. Charitable auction and charitable alcoholic beverage event
license holders may also utilize a licensed caterer to provide
additional alcohol services at the event and on the premises.
E. The charitable auction license shall authorize the holder
thereof to auction wine, spirits and/or beer purchased from a retail
package store or received as a gift from an individual if the auction
is conducted to raise funds for charitable purposes. The charitable
auction license shall be issued for a period not to exceed two (2)
days. Only four such licenses shall be issued to an organization in
any twelve-month period. The maximum amount of wine, spirits and/or
beer auctioned pursuant to the charitable auction license shall not
exceed fifty (50) gallons. All wines, beer and spirits auctioned
pursuant to the charitable auction license shall be registered and
all fees and taxes shall be paid in accordance with the Oklahoma
Alcoholic Beverage Control Act.
F. No charitable alcoholic beverage event license shall be
required for an organization, association or nonprofit corporation
which is an economic development chamber or similar entity, provided
the event is not conducted primarily for fundraising purposes, and
provided the services of a licensed caterer are used to provide and
distribute the alcoholic beverages at the event.
Added by Laws 2016, c. 366, § 41, eff. Oct. 1, 2018. Amended by Laws
2017, c. 275, § 6, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-130. Mixed beverage/caterer combination license.
A mixed beverage/caterer combination license shall authorize the
holder thereof to purchase or sell mixed beverages as specifically
provided by law for the holder of a mixed beverage license or a
caterer license. All provisions of the Oklahoma Alcoholic Beverage
Control Act applicable to mixed beverage licenses or caterer
licenses, or the holders thereof, shall also be applicable to mixed
beverage/caterer combination licenses or the holders thereof, except
where specifically otherwise provided. A mixed beverage/caterer
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combination license shall only be issued in counties of this state
where the sale of alcoholic beverages by the individual drink for on-
premises consumption has been authorized. A separate license shall
be required for each place of business.
Added by Laws 2016, c. 366, § 42, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-131. Small farm winery license.
A. A small farm winery license shall authorize the holder
thereof:
1. To manufacture and bottle wines produced by that small farm
winery;
2. To bottle and sell wines produced by another small farm
winery. In order for a small farm winery to bottle and sell another
small farm winery's products, both the selling winery and the buying
winery shall be small farm winery permit holders;
3. To establish satellite tasting rooms as defined and
authorized in this act where the winemaker's products may be tasted,
sampled, sold and served for on-premises consumption and the
winemaker is permitted to sell its products in sealed containers;
provided, the small farm winery license is active and in good
standing. The wine sold at a satellite tasting room must have been
produced/manufactured by the holder of a small farm winery license
and must have all manufacturing taxes paid; and
4. The small farm winery licensee shall have the same authority
as the winemaker licensee.
B. A small farm wine may display the trademarked "Oklahoma
Grown" sticker available from the Oklahoma Grape Industry Council.
Added by Laws 2016, c. 366, § 43, eff. Oct. 1, 2018. Amended by Laws
2019, c. 420, § 4, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-132. Brewpub license - Brewpub self-distribution license.
A. A brewpub license shall authorize a small brewer to:
1. Manufacture, bottle, package and store beer on the licensed
premises;
2. Sell beer produced by the licensee for either on-premises or
off-premises consumption to consumers on the brewery premises, or
premises located contiguous thereto;
3. Sell beer at public events such as trade shows or festivals;
4. Also hold a mixed beverage license, beer and wine license or
caterer's license; and
5. Hold a brewpub self-distribution license.
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B. A brewpub self-distribution license shall authorize holders
of a brewpub license to distribute beer produced only by such
licensee and operated by an entity which has common owners with such
brewpub licensee, regardless of which place of business brews the
beverage. "Common owners" means that the owners at each place or
entity together own more than fifty percent (50%) of the interest in
each place or entity that holds a type of license listed in this
subsection.
Added by Laws 2016, c. 366, § 44, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-133. Bottle club or mixed beverage, beer and wine, caterer,
public event, charitable event or special event licensees -
responsibility for violations.
Each bottle club or mixed beverage, beer and wine, caterer,
public event, charitable event or special event licensee shall be
held responsible for violation of any alcoholic beverage law or
administrative rule of the ABLE Commission affecting his or her
license privileges and for any act or omission of his or her servant,
agent, employee or representative in violation of any law, municipal
ordinance or administrative rule affecting his or her license
privileges.
Added by Laws 2016, c. 366, § 45, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-134. Additional hours license.
The ABLE Commission may issue an additional hours license to the
holder of a caterer, public event or special event license. The
additional hours license shall authorize the holder thereof to sell,
dispense or serve alcoholic beverages from 6:00 a.m. to 10:00 a.m.
Added by Laws 2016, c. 366, § 46, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-135. Manufacturer's license - Nonresident seller license.
A. All distillers, winemakers, and spirits manufacturers,
importers, brokers and others seeking to sell wine and spirits in
Oklahoma, regardless of whether such sales are consummated within or
without the state, must either obtain a manufacturer's license or
contract with a person that maintains a nonresident seller license in
order to sell wine and spirits intended for consumption within the
State of Oklahoma.
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A manufacturer's license or nonresident seller license shall
authorize the holder thereof to solicit and take orders for wine and
spirits from the holders of licenses authorized to import the same
into this state, and to ship or deliver, or cause to be shipped or
delivered, wine and spirits into Oklahoma pursuant to such sales.
B. The ABLE Commission may, subject to the provisions of the
Oklahoma Alcoholic Beverage Control Act requiring notice and hearing
in the case of sanctions against holders of licenses, suspend or
revoke a brewer's license, manufacturer's license or nonresident
seller license for any violation of the Oklahoma Alcoholic Beverage
Control Act by the holder thereof.
C. No licensee in this state authorized to import alcoholic
beverages into this state shall purchase or receive any alcoholic
beverages from without this state from any person not holding a valid
and existing brewer, small brewer, manufacturer's or nonresident
seller license. Every manufacturer's license or nonresident seller
license shall expire on the June 30 following its issuance or
renewal, and shall be eligible for subsequent renewal terms of one
(1) year beginning on the July 1 following each expiration. License
fees for a new or initial manufacturer's license or nonresident
seller license applied for after July 1 may be prorated through the
following June 30 on a quarterly basis.
D. The holder of a manufacturer's license or nonresident seller
license shall, promptly upon consignment of any wine and spirits to
an importer in Oklahoma, forward to the ABLE Commission a true copy
of the invoice, bill of lading or other document as the ABLE
Commission may by rule prescribe, showing the details of such
shipment.
E. Any person, not otherwise a dealer in alcoholic beverages,
coming into possession of any alcoholic beverages as security for or
in payment of a debt, or as an insurer or its transferee or assignee
for the salvage or liquidation of an insured casualty or damage or
loss, or as an executor, administrator, trustee or other fiduciary,
may sell the beverages in one lot or parcel to a duly licensed
wholesaler or beer distributor at an agreed-upon price without regard
to current posted prices. However, immediately after taking
possession of the alcoholic beverages, the person shall register with
the Director and furnish a detailed list of the alcoholic beverages
and post with the Director a bond in such amount as the Director
deems sufficient to protect the state from any taxes due on the
alcoholic beverages. The person shall pay to the Director a
registration fee of Fifty Dollars ($50.00), which fee shall permit
the sale of only the alcoholic beverages detailed in the registration
request. A wholesaler or beer distributor receiving a lot or parcel
of alcoholic beverages pursuant to this subsection may sell it in one
lot or parcel or more than one lot or parcel to a licensed package
store or mixed beverage licensee or more than one licensed package
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store or mixed beverage licensee at an agreed-upon price without
regard to current posted prices; provided, the total of the lots sold
by the wholesaler or beer distributor shall not exceed four (4) lots.
Added by Laws 2016, c. 366, § 47, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 7, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-136. Manufacturer's agent license.
A manufacturer's agent license shall authorize the holder thereof
to represent only the holders of a manufacturer's license or
nonresident seller license and to solicit and take orders for the
sale of wine and spirits for the purpose of resale. No such license
shall be issued to any person until it shall have been shown to the
satisfaction of the ABLE Commission that the applicant has been duly
authorized to act as the agent of the principal he or she proposes to
represent, and that the principal or principals he or she proposes to
represent has been duly authorized to do business in the State of
Oklahoma, and has appointed a service agent in this state. No
applicant for a manufacturer's agent license shall also hold an agent
license. It shall be unlawful for any person other than the holder
of a manufacturer's agent license or an agent license to solicit or
take orders in the state from a wine and spirits wholesaler.
Added by Laws 2016, c. 366, § 48, eff. Oct. 1, 2018. Amended by Laws
2019, c. 189, § 3, eff. Nov. 1, 2019 and Laws 2019, c. 322, § 8,
emerg. eff. May 7, 2019.
NOTE: Laws 2019, c. 189, § 3 and Laws 2019, c. 322, § 8 made
identical amendments to this section.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-137. Restriction against additional licenses or permits
outside of this Act.
Except as provided in Sections 101 and 102 of this act with
respect to cities, towns and counties, and except as may be provided
under Title 68 of the Oklahoma Statutes with respect to the Oklahoma
Tax Commission, no license or permit other than licenses as provided
under the Oklahoma Alcoholic Beverage Control Act shall be required
of any licensee by any agency, instrumentality or political
subdivision of this state to engage in any activity covered by the
Oklahoma Alcoholic Beverage Control Act anywhere within the State of
Oklahoma and no agency, instrumentality or political subdivision of
this state shall interfere with the regulation of the ABLE
Commission, or the performance of a wholesaler with respect to the
sale, distribution, possession, handling or marketing of alcoholic
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beverages on any premises of any licensee as defined in Section 3 of
this act.
Added by Laws 2016, c. 366, § 49, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-138. Mixed beverage, beer and wine, caterer, special event,
public event or airline/railroad/commercial vessel licensees -
Restrictions on purchasing alcoholic beverages.
The holder of a mixed beverage, beer and wine, caterer, special
event, public event or airline/railroad/commercial vessel beverage
license shall purchase alcoholic beverages only from a licensed wine
and spirits wholesaler or beer distributor, or as otherwise
specifically provided by law; provided, the holder of a mixed
beverage, beer and wine, caterer or special event license issued for
an establishment which is also a restaurant may purchase wine
produced at small farm wineries or beer produced at small breweries
in this state directly from a winemaker or craft brewer as provided
in Article XXVIIIA of the Oklahoma Constitution.
A wine and spirits wholesaler, beer distributor or a holder of a
small brewer self-distribution license or brewpub self-distribution
license may deliver such products to licensees authorized to sell
alcoholic beverages for on-premises consumption; provided, such
licensees may also pick up alcoholic beverage orders if they hold a
private carrier license issued by the ABLE Commission.
Added by Laws 2016, c. 366, § 50, eff. Oct. 1, 2018. Amended by Laws
2019, c. 307, § 3, emerg. eff. May 6, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-139. Bottle club, mixed beverage or beer and wine
establishment - Minimum distance from schools or churches.
A. It shall be unlawful for any mixed beverage establishment,
beer and wine establishment or bottle club which has been licensed by
the ABLE Commission and which has as its main purpose the selling or
serving of alcoholic beverages for consumption on the premises, or
package store, to be located within three hundred (300) feet of any
public or private school or church property primarily and regularly
used for worship services and religious activities; however, a
college or university located within an improvement district created
pursuant to Section 39-103.1 of Title 11 of the Oklahoma Statutes may
waive the three-hundred-foot requirement by providing written notice
to the establishment seeking the license and to the ABLE Commission;
further, a church may waive the three-hundred-foot requirement by
providing written notice to the establishment seeking the license and
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to the ABLE Commission. Provided, a college or university or church
prior to waiving the three-hundred-foot requirement found in this
subsection shall publish a notice of its intention to waive such
requirement in a legal newspaper of general circulation within the
state at least thirty (30) days but no more than forty (40) days
prior to providing any written notice, waiving the three-hundred-foot
requirement, to the establishment seeking the license or to the ABLE
Commission. As used in this subsection "legal newspaper of general
circulation within this state" means a newspaper meeting the
requisites of a newspaper for publication of legal notices as
prescribed in Section 106 of Title 25 of the Oklahoma Statutes in a
majority of the counties in this state.
B. The distance indicated in this section shall be measured from
the nearest property line of such public or private school or church
to the nearest perimeter wall of the premises of any such mixed
beverage establishment, beer and wine establishment, bottle club or
package store which has been licensed to sell alcoholic beverages.
C. The provisions of this section shall not apply to:
1. Mixed beverage establishments, beer and wine establishments,
or bottle clubs, which have been licensed to sell alcoholic beverages
for on-premises consumption or retail package stores prior to
November 1, 2000; provided, if at the time of application for license
renewal the licensed location has not been in actual operation for a
continuous period of more than sixty (60) days, the license shall not
be renewed; or
2. Establishments licensed prior to October 1, 2018, to sell
low-point beer which were permitted to be located within three
hundred (300) feet of any public or private school or church property
primarily and regularly used for worship services and religious
activities, pursuant to the provisions of Section 163.27 of Title 37
of the Oklahoma Statutes. Such establishments shall be permitted to
have any license in effect on October 1, 2018, transferred to a mixed
beverage license; provided, if such an establishment ceases to
regularly be open to the public or changes ownership, the provisions
of this paragraph shall cease to apply.
D. If any school or church shall be established within three
hundred (300) feet of any package store, mixed beverage
establishment, beer and wine establishment or bottle club subject to
the provisions of this section after such package store, mixed
beverage establishment, beer and wine establishment or bottle club
has been licensed, the provisions of this section shall not be a
deterrent to the renewal of such license if there has not been a
lapse of more than sixty (60) days. When any mixed beverage
establishment, beer and wine establishment or bottle club subject to
the provisions of this section which has a license to sell alcoholic
beverages for on-premises consumption, or package store, changes
ownership or the operator thereof is changed and such change of
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ownership results in the same type of business being conducted on the
premises, the provisions of this section shall not be a deterrent to
the issuance of a license to the new owner or operator if he or she
is otherwise qualified.
E. 1. Any interested party may protest the application for or
granting of a license for a package store, or for a mixed beverage
establishment, beer and wine establishment or bottle club which has
as its main purpose the selling or serving of alcoholic beverages for
consumption on the premises, based on an alleged violation of this
section. To be considered by the ABLE Commission, the protest must:
a. be submitted in writing,
b. be signed by the person protesting,
c. contain the mailing address and address of residence,
if different from the mailing address of the protester,
d. contain the title of the person signing the protest, if
the person is acting in an official capacity as a
church or school official, and
e. contain a concise statement explaining why the
application is being protested.
2. Within thirty (30) days of the date of receipt of a written
protest, the ABLE Commission shall conduct a hearing on the protest
if the protest meets the requirements of paragraph 1 of this
subsection.
3. As used in this subsection, "interested party" means:
a. a parent or legal guardian whose child or children
attend the church or school which is alleged to be
closer to the mixed beverage establishment or bottle
club which has as its main purpose the selling or
serving of alcoholic beverages for consumption on the
premises, or package store, than is allowed by this
section,
b. an official of a church which is alleged to be closer
to the mixed beverage establishment or bottle club
which has as its main purpose the selling or serving of
alcoholic beverages for consumption on the premises, or
package store, than is allowed by this section, or
c. an official of a school which is alleged to be closer
to the mixed beverage establishment or bottle club
which has as its main purpose the selling or serving of
alcoholic beverages for consumption on the premises, or
package store, than is allowed by this section.
Added by Laws 2016, c. 366, § 51, eff. Oct. 1, 2018. Amended by Laws
2018, c. 205, § 1, eff. Oct. 1, 2018; Laws 2019, c. 470, § 1, emerg.
eff. May 28, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
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§37A-2-140. Personal use permit.
The ABLE Commission is authorized to issue, upon application of a
person who is twenty-one (21) years of age or older, an annual
personal use permit which when granted authorizes the holder thereof
to make, store, possess and transport for personal use, beer,
fermented non-distilled ciders and wine, as defined by Section 3 of
this act. The total volume of each authorized beverage made and
possessed for personal use in a given calendar year shall be limited
to a volume less than two hundred (200) gallons. The term "personal
use", as used in this act, means the individual making beverages
pursuant to a valid personal use permit issued by the ABLE Commission
produces such beverages solely for his or her use and consumption,
for consumption by his or her family and guests, and for transport to
and use at organized affairs, exhibitions or competitions, including
but not limited to homemaker contests, tastings or judgings. No
beverage made pursuant to a personal use permit shall be sold or
offered for sale.
Added by Laws 2016, c. 366, § 52, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-141. Applicants for certain licenses to publish a notice of
intention to apply.
Applicants for original brewer, distiller, winemaker, rectifier,
wine and spirits wholesaler, beer distributor, mixed beverage, beer
and wine, bottle club, caterer, retail spirits, retail wine or retail
beer licenses shall, prior to applying for such license, twice
publish, in such form and containing such information as the ABLE
Commission shall by rule prescribe, a notice of its intention to
apply for any such license, once a week for two (2) successive weeks
in a legal newspaper of general circulation within the county where
the proposed premises is to be located, and file proof of such
publication with the ABLE Commission. Unless otherwise provided, the
ABLE Commission shall give notice of approval or disapproval of an
application for a license within thirty (30) days after the filing of
the application. The ABLE Commission shall give notice of approval
or disapproval of an application for a mixed beverage, beer and wine,
bottle club or caterer license within sixty (60) days after the
filing of the application. Provided, the ABLE Commission may extend
the period for making a determination of whether to approve or
disapprove an application an additional thirty (30) days for good
cause. The ABLE Commission may conditionally approve any application
which is subject to Section 54 of this act if:
1. Construction, modification or alteration of premises proposed
for licensed operations is not completed; and
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2. The applicant furnishes a conditional certification issued by
the municipality or county that the applicant's plans and
specifications indicate that the proposed premises will comply with
the municipality's or county's zoning, fire, safety and health codes.
The ABLE Commission shall issue its final notice of approval when
the applicant furnishes final certificates required by Section 54 of
this act.
Added by Laws 2016, c. 366, § 53, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-142. Information to be furnished by license applicants.
A. No license provided for in the Oklahoma Alcoholic Beverage
Control Act shall be issued except pursuant to an application filed
with the ABLE Commission. The ABLE Commission may, however, provide
for a form of simplified application for renewal of a license.
Payment of the prescribed fee shall accompany each application for a
license.
B. Every applicant for an original license, except applicants
for an employee, charitable event, special event or airline/railroad
beverage license, shall also furnish the following:
1. A tax receipt proving payment of ad valorem taxes, including
real and personal taxes, or furnish to the ABLE Commission
satisfactory evidence that no taxes are due or delinquent;
2. A certificate of zoning issued by the municipality in which
the applicant proposes to locate the applicant's principal place of
business under the license, or by the county if the principal place
of business is located outside the incorporated limits of a
municipality, certifying that the applicant's proposed location and
use thereof comply with all municipal zoning ordinances or county
zoning regulations if applicable;
3. A certificate issued by the municipality in which the
applicant proposes to locate the applicant's principal place of
business under the license, or by the county if the principal place
of business is located outside the incorporated limits of a
municipality, certifying that the applicant's existing or proposed
operations under the license comply with all municipal or county fire
codes, safety codes, or health codes, if applicable;
4. Authorization, on forms furnished by the ABLE Commission, for
complete investigation of the applicant's current financial status as
it relates to the application for a license, including but not
limited to access to bank accounts, loan agreements and financial
statements;
5. A deed, management agreement, purchasing agreement or lease;
and
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6. Proof of liability insurance covering both bodily injury and
property damage.
C. The certificates required by paragraphs 2 and 3 of subsection
B of this section shall be signed by the mayor of the municipality or
the chair of the board of county commissioners issuing same, unless
the municipality, by ordinance, or the county designates some other
officer or entity to issue the certificates. Applications for such
certificates shall be in writing and shall contain information in
such detail as the municipality or county may reasonably require
describing the location and nature of operations to be conducted
under the license. Municipalities and counties shall be required to
act on all applications for such certificates within twenty (20) days
of receipt of the written application.
D. Municipalities and counties may grant conditional
certificates for premises proposed for licensed operations for which
construction, modification or alteration is not completed.
Conditional certificates shall indicate that the proposed premises
will comply with the municipal or county zoning, fire, safety and
health codes. The granting of conditional certificates shall not
relieve the applicant of the duty of obtaining the certificates
required by paragraphs 2 and 3 of subsection B of this section after
completion of the construction, modification, or alteration.
E. A municipality or county shall issue the certificates
required by paragraphs 2 and 3 of subsection B of this section within
ten (10) days after all final inspections are completed.
Thereafter if a licensee fails to maintain compliance with
municipal or county zoning ordinances and codes, the mayor or chair
of the board of county commissioners or their designee, shall
forthwith notify the ABLE Commission in writing setting forth details
of the noncompliance.
F. Upon issuance of any license, the ABLE Commission shall
furnish the Oklahoma Tax Commission with a list of such licenses.
G. In the event of denial of an application for a license, the
ABLE Commission shall refund to the applicant the amount of the
tendered fee, less ten percent (10%), which it shall retain as cost
of processing the application.
H. Any licensee, except an employee licensee, who fails to renew
the license prior to the expiration date of the license, shall be
subject to a late renewal penalty as provided by rules of the ABLE
Commission. Further, any licensee, except an employee licensee, who
fails to renew the license within sixty (60) days of the expiration
of the license shall be required to submit a new license application.
An employee licensee who fails to renew prior to the expiration of
the license shall be required to submit a new license application;
provided, however, that under no circumstances shall any licensee,
including an employee licensee, whose license to serve or sell
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alcoholic beverages has expired, continue to serve or sell alcoholic
beverages.
I. The requirements in this section shall be required for a
public event license applicant, except for those certificates
required by paragraphs 2 and 3 of subsection B of this section as the
events are temporary in nature and the locations are not permanently
licensed.
Added by Laws 2016, c. 366, § 54, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-143. Information to be furnished by corporate applicants.
A. Any corporation applying for a mixed beverage, beer and wine,
caterer, public event, beer distributor or bottle club, or as an
equity partner in a wine and spirits wholesaler, shall submit to the
ABLE Commission the following:
1. A certificate of good standing from the office of the
Secretary of State;
2. A list of all corporate officers, directors, executive
committee members or members of a similar governing body and their
addresses, except for a charitable organization exempt from taxation
under Section 501(c)(3),(4),(5),(6),(7),(8),(9),(10), or (19) of the
United States Internal Revenue Code, which shall only be required to
furnish its corporate officers; and
3. A list of all stockholders owning fifteen percent (15%) or
more of the stock and their addresses.
B. Any corporation applying for a retail wine or retail beer
license shall submit to the ABLE Commission the following:
1. A certificate of good standing from the office of the
Secretary of State;
2. A list of all corporate officers and directors, except for a
charitable organization exempt from taxation under Section 501(c)(3),
(4),(5),(6),(7),(8),(9),(10), or (19) of the United States Internal
Revenue Code, which shall only be required to furnish its corporate
officers; and
3. A list of all stockholders owning fifty-one percent (51%) or
more of the stock.
C. A corporate licensee shall notify the ABLE Commission in
writing of any change in the officers or directors of the corporation
or in the principal managers of premises licensed to the corporation
and shall pay a fee of One Hundred Dollars ($100.00) for each
notification of change. Provided, service organizations which are
exempt under Section 501(c)(8), (10), or (14) of the Internal Revenue
Code shall be exempt from such fee.
D. A corporate licensee shall notify the ABLE Commission any
time a person, any type of partnership, limited liability company or
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other entity acquires the percentages specified in paragraph 3 of
subsection A or B of this section, or more, of the stock of the
corporation. Such notification shall be within thirty (30) days of
acquisition, and the corporation shall pay a fee of One Hundred
Dollars ($100.00) for each notification of change.
E. The ABLE Commission may disapprove a change of officers,
directors or principal managers or the acquisition of more than the
percentages specified in paragraph 3 of subsection A or B of this
section of the stock in a licensed corporation if the ABLE Commission
feels that such change would materially affect the conditions under
which the license was issued, such that the license would not have
been issued had such change been in existence at the time of the
original application. If such disapproval occurs, the ABLE
Commission shall notify the licensee in writing and in the case of a
publicly traded corporation, allow a reasonable time for the licensee
to remove such officer, director or manager or for the stockholder to
divest himself or herself of any stock held in excess of the
percentages specified in paragraph 3 of subsection A or B of this
section; provided, a reasonable time may not exceed a ninety-day
period following notification of denial by the ABLE Commission.
Failure to comply with the provisions of this subsection may result
in revocation or suspension of such license.
F. Any person who was an officer or director or who has owned
the percentages specified in paragraph 3 of subsection A or B of this
section or more of the stock in a corporation which has been denied a
license or had a license revoked or suspended pursuant to the
provisions of the Oklahoma Alcoholic Beverage Control Act shall not
own stock in any other corporation seeking a license pursuant to the
provisions of the Oklahoma Alcoholic Beverage Control Act for a
period of twelve (12) months from the date the license was revoked or
suspended.
G. Any person who was a manager or a member of a limited
liability company which has been denied a license or had a license
revoked or suspended pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act shall not own stock in any corporation
seeking a license pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act for a period of twelve (12) months
from the date the license was revoked or suspended.
Added by Laws 2016, c. 366, § 55, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-143.1. Promulgation of rules for employee license payment
plans.
Notwithstanding any provision to the contrary, the Alcoholic
Beverage Laws Enforcement (ABLE) Commission shall promulgate rules
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for employee license payment plans or may recommend changes in
legislation as may be necessary to allow for large corporate
employers to pay for its employee alcohol licenses through either a
purchase card, national credit card, draw account or other method of
corporate payment provided the employer is otherwise qualified under
the standards established by rule and has requested that ABLE provide
an employee license payment plan.
Added by Laws 2019, c. 261, § 1, eff. Nov. 1, 2019.
§37A-2-144. Information to be furnished by limited liability company
applicants.
A. Any limited liability company, formed as provided for in the
Limited Liability Company Act, may apply for a mixed beverage, beer
and wine, bottle club, caterer, public event, beer distributor,
retail wine or retail beer license issued pursuant to the Oklahoma
Alcoholic Beverage Control Act. Any limited liability company
applying for a license shall submit to the ABLE Commission, the
following:
1. A Certificate of Good Standing from the Office of the
Secretary of State;
2. The Articles of Organization with all amendments and
corrections filed with the Office of the Secretary of State with
proof that same has been filed in accordance with the Limited
Liability Company Act;
3. The name and address of the resident agent;
4. The name and address of the manager;
5. The operating agreement;
6. A current list of the full name, social security number and
address of each member; and
7. A copy of the issued Certificate of Membership Interest for
each member.
B. A limited liability company licensee shall notify the ABLE
Commission in writing of any change in the manager of the licensed
company within thirty (30) days of the change and shall pay a fee of
One Hundred Dollars ($100.00) for each notification of change.
C. A limited liability company shall notify the ABLE Commission
in writing any time a membership is assigned or members are added or
disassociated within thirty (30) days of the change. The limited
liability company shall pay a fee of One Hundred Dollars ($100.00)
for each notification of change.
D. The ABLE Commission may disapprove a change of manager or new
membership in a licensed liability company if the ABLE Commission
feels that such change would materially affect any conditions under
which the license was issued, such that the license would not have
been issued had such change been in existence at the time of the
original application. If such disapproval occurs, the ABLE
Commission shall notify the licensee in writing and allow a
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reasonable time for the licensee to remove such manager or for a
member to be disassociated from the company; provided, a reasonable
time not exceed a ninety-day period following notification of denial
by the ABLE Commission. Failure to comply with the provisions of
this subsection may result in revocation or suspension of such
license.
E. Any person who has been a licensee, a partner in a license,
an officer, director or fifteen percent (15%) or more stockholder of
a corporation holding a license revoked or suspended, pursuant to the
provisions of the Oklahoma Alcoholic Beverage Control Act, shall not
serve as a manager or be a member in a limited liability company
seeking a license pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act for a period of twelve (12) months
from the date the license was revoked or suspended.
F. Any person who has been a manager, member or participant in
any business entity which was a manager or member of a limited
liability company which has been denied a license or has a license
revoked or suspended, pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act shall not serve as a manager or member
in a limited liability company seeking a license pursuant to the
provisions of the Oklahoma Alcoholic Beverage Control Act for a
period of twelve (12) months from date the license was revoked or
suspended.
G. Any person who has been convicted of a felony for which a
pardon has not been granted shall not be elected as a manager or be a
member of a limited liability company.
Added by Laws 2016, c. 366, § 56, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-145. Eligibility of persons pardoned for a felony.
Conviction of a felony for which a pardon has been granted, shall
not constitute grounds for the denial or revocation of any license
issued by the ABLE Commission.
Unless otherwise provided by law, any person who has received a
pardon for a felony conviction shall be eligible to apply for,
receive and renew any license granted by the ABLE Commission, which
by law is denied to a convicted felon, if:
1. The person meets all other qualifications and requirements
for obtaining and maintaining the license; and
2. The person has not been convicted of any other felony or
felonies for which a pardon has not been granted.
Added by Laws 2016, c. 366, § 57, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-2-146. Grounds to deny wine and spirits wholesaler, beer
distributor, retail spirits, retail wine or retail beer license.
A. The ABLE Commission shall refuse to issue a wine and spirits
wholesaler, beer distributor, retail spirits, retail wine or retail
beer license, either on an original application or a renewal
application, if it has reasonable grounds to believe and finds any of
the following to be true:
1. Except in the case of a beer distributor, that the applicant
is not a citizen of the United States or is not a qualified elector
in this state, or has not been a continuous resident of this state
for the five (5) years next preceding the application for the
license;
2. That the applicant is under twenty-one (21) years of age;
3. That the applicant or any partner, or spouse of the applicant
or any partner, has been convicted of a felony;
4. That the applicant or any partner, or spouse of the applicant
or any partner, has been convicted of a violation of any state or
federal law relating to alcoholic beverages, has forfeited a bond
while any charge of such violation was pending, nor may any license
be granted for any purpose under the Oklahoma Alcoholic Beverage
Control Act to an Oklahoma resident, who has held or whose spouse has
held a Federal Liquor Stamp in Oklahoma before the adoption of
Article XXVIII-A of the Oklahoma Constitution unless the Liquor Stamp
was granted for supplying alcoholic beverages to a federal military
installation, or was granted under the Oklahoma Alcoholic Beverage
Control Act;
5. That the applicant or any partner has, within twelve (12)
months next preceding the date of the application, violated any
provision of the Oklahoma Alcoholic Beverage Control Act or rule of
the ABLE Commission promulgated pursuant hereto. Provided, however,
that if the ABLE Commission has, during such twelve-month period,
suspended any license sought to be renewed, such renewal application
may be approved if the term of the suspension has been completed and
the applicant has complied with any special conditions imposed in
connection with the suspension;
6. That the applicant is not of good moral character, or that
the applicant is in the habit of using alcoholic beverages to excess,
or is mentally incapacitated. Provided, that the record in any
municipal court showing a conviction of violation of any municipal
ordinances or state statutes involving moral character or public
nuisance obtained after passage and approval of the Oklahoma
Alcoholic Beverage Control Act shall be received in evidence by the
ABLE Commission;
7. That the applicant does not own or have a written lease for
the premises for which a license is sought;
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8. That the applicant, within twelve (12) months next preceding
the date of application, has been the holder of a license revoked for
cause;
9. That the applicant is not the real party in interest, or
intends to carry on the business authorized by the license as the
agent of another;
10. That the applicant, in the case of an application for
renewal of any license, would not be eligible for such license on a
first application;
11. That the applicant is a person who appoints or is a law
enforcement official or is an employee of the ABLE Commission;
12. That the proposed location of the licensed premises would
violate a valid municipal nondiscriminatory zoning ordinance;
13. That, in the case of an application for a wine and spirits
wholesaler license or beer distributor license, any brewer or
manufacturer, including an officer, director or principal stockholder
thereof or any partner, has any financial interest in the business to
be conducted under the license, unless otherwise permitted by law;
14. That the issuance of the license applied for would result in
a violation of any provision of the Oklahoma Alcoholic Beverage
Control Act;
15. That, in the case of an application for a wine and spirits
wholesaler or beer distributor license, the applicant or any partner,
or spouse of the applicant or any partner, is the holder or partner
of the holder of any other class of license issued under the
provisions of the Oklahoma Alcoholic Beverage Control Act, other than
an agent or employee license for employment by the applicant, or a
storage license, bonded warehouse license, carrier license or private
carrier license; provided, nothing shall prohibit a wine and spirits
wholesaler, who is otherwise qualified, from maintaining beer
distributor licenses in the state, nor a beer distributor, who is
otherwise qualified, from maintaining a wine and spirits wholesaler
license in the state;
16. That, in the case of an application for a retail spirits,
retail wine or retail beer license, the applicant or any partner is
the holder or partner of the holder, or employee of such holder of
any other class of license issued under the provisions of the
Oklahoma Alcoholic Beverage Control Act, other than a storage license
or an employee license for the proposed licensed premises of the
applicant, provided, nothing in this title shall prohibit an
applicant for a retail wine and/or retail beer license from
maintaining a separate mixed beverage, caterer, mixed
beverage/caterer combination license, and/or an on-premise beer and
wine license; or
17. That the applicant or any partner, spouse, employee or other
person affiliated with the applicant is not in compliance with the
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tax laws of this state as required in Article XXVIII-A of the
Oklahoma Constitution.
B. The provisions of this section shall not operate to prohibit
the issuance of a beer distributor license to a corporation or
partnership or limited liability company.
Added by Laws 2016, c. 366, § 58, eff. Oct. 1, 2018. Amended by Laws
2018, c. 312, § 4, eff. Oct. 1, 2018; Laws 2019, c. 322, § 9, emerg.
eff. May 7, 2019; Laws 2019, c. 424, § 2, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-147. Grounds to deny mixed beverage, beer and wine, bottle
club, public event, caterer, retail wine or retail beer license.
A. The ABLE Commission shall refuse to issue a mixed beverage,
beer and wine, bottle club, public event, caterer, retail wine or
retail beer license, either on an original application or a renewal
application, if it has reasonable grounds to believe and finds any of
the following to be true:
1. That the applicant, in the case of a natural person, is under
twenty-one (21) years of age;
2. That the applicant, in the case of a corporation, has a
stockholder who owns fifteen percent (15%) or more of the stock, an
officer, or a director who is under twenty-one (21) years of age;
3. That the applicant, in the case of any type of partnership,
has any partner who is under twenty-one (21) years of age;
4. That the applicant, in the case of a limited liability
company, has a manager or member who is under twenty-one (21) years
of age;
5. That the applicant or any type of partner has been convicted
of a felony within fifteen (15) years prior to the application date;
6. That the applicant, in the case of a corporation, has a
stockholder owning fifteen percent (15%) of the stock, an officer or
a director who has been convicted of a felony within fifteen (15)
years prior to the application date;
7. That the applicant, in the case of a limited liability
company, has a manager or a member who has been convicted of a felony
within fifteen (15) years prior to the application date, and such
manager or member has an ownership interest greater than fifty
percent (50%);
8. That the applicant has made false statements to the ABLE
Commission;
9. That the applicant is not the legitimate owner of the
business for which a license is sought or that other persons have
undisclosed ownership interests in the business;
10. That the applicant or any partner, within twelve (12) months
after being issued a license, either on an original application or a
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renewal application, has violated any provision of the Oklahoma
Alcoholic Beverage Control Act or rule of the ABLE Commission
promulgated pursuant hereto. Provided, however, that if the ABLE
Commission, during the twelve-month period, has suspended any license
sought to be renewed, such renewal application may be approved if the
term of the suspension has been completed and the applicant has
complied with any special conditions imposed in connection with the
suspension;
11. That the applicant is not the real party in interest, or
intends to carry on the business authorized by the license as the
agent of another;
12. That the applicant is a person who appoints or is a law
enforcement official or is an employee of the ABLE Commission;
13. That the applicant does not own or have a written lease for
the premises for which a license is sought; or
14. That the applicant or any partner, spouse, employee or other
person affiliated with the applicant is not in compliance with the
tax laws of this state as required in Article XXVIIIA of the Oklahoma
Constitution.
B. 1. The ABLE Commission may refuse to issue a mixed beverage,
beer and wine, bottle club, public event or caterer license, either
on an original application or a renewal application, if it has
reasonable grounds to believe and finds any of the following to be
true:
a. that the applicant or any type of partner has been
convicted of a felony described in paragraph 2 of this
subsection,
b. that the applicant, in the case of a corporation, has a
stockholder owning fifteen percent (15%) of the stock,
an officer or a director who has been convicted of a
felony described in paragraph 2 of this subsection, and
c. that the applicant, in the case of a limited liability
company, has a manager or a member who has been
convicted of a felony within twenty-five (25) years
prior to the application date, who has been convicted
of a felony described in paragraph 2 of this
subsection.
2. The provisions of this section shall apply to the following
felony offenses:
a. an alcohol-related offense,
b. a violent crime as defined in Section 142A-1 of Title
21 of the Oklahoma Statutes, or
c. a crime which would subject a person to registration
pursuant to the Sex Offenders Registration Act.
Added by Laws 2016, c. 366, § 59, eff. Oct. 1, 2018.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-148. See the following versions:
OS 37A-2-148v1 (SB 906, Laws 2019, c. 322, § 10).
OS 37A-2-148v2 (HB 1030, Laws 2019, c. 340, § 1).
§37A-2-148v1. Grounds to revoke or suspend licenses.
A. Any license issued pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act by the ABLE Commission, after due
notice and hearing, may be revoked or suspended if the ABLE
Commission finds or has grounds to believe that the licensee has:
1. Violated any rule promulgated by the ABLE Commission;
2. Procured a license through fraud, or misrepresentation, or
concealment of a material fact;
3. Made any false representation or statement to the ABLE
Commission or the Oklahoma Tax Commission in order to prevent or
induce action by the ABLE Commission or the Tax Commission;
4. Maintained an unsanitary establishment or has supplied impure
or otherwise deleterious beverages or food;
5. Stored, possessed, mixed or served on the premises of a
bottle club any alcoholic beverage upon which the tax levied by
Section 5-101 of this title has not been paid as provided for in the
Oklahoma Alcoholic Beverage Control Act, in a county of this state
where the sale of alcoholic beverages by the individual drink for on-
premises consumption has not been authorized;
6. Misrepresented to a customer or the public any alcoholic
beverage sold by the licensee;
7. Had any permit or license issued by the Tax Commission and
required by the Oklahoma Alcoholic Beverage Control Act, suspended or
revoked by the Tax Commission; or
8. Is not in compliance with the tax laws of this state as
required in Article XXVIII-A of the Oklahoma Constitution.
B. The ABLE Commission may revoke or suspend the license of any
mixed beverage, caterer or bottle club licensee if the ABLE
Commission finds or has grounds to believe that such licensee:
1. Has acted as an agent of a manufacturer, brewer or wholesaler
of alcoholic beverages;
2. Is a manufacturer, brewer or wholesaler of alcoholic
beverages;
3. Has borrowed money or property or accepted gratuities or
rebates from a manufacturer, brewer or wholesaler of alcoholic
beverages;
4. Has obtained the use of equipment from any manufacturer,
brewer or wholesaler of alcoholic beverages or any agent thereof;
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5. Has violated any of the provisions of the Oklahoma Alcoholic
Beverage Control Act for which mandatory revocation or suspension is
not required;
6. Has been convicted within the past twenty-five (25) years, of
a violation of any state or federal law relating to alcoholic
beverage for which mandatory revocation or suspension is not
required; or
7. Is not in compliance with the tax laws of this state as
required in Article XXVIII-A of the Oklahoma Constitution.
C. The ABLE Commission may revoke or suspend the license of any
retail, mixed beverage, caterer or bottle club licensee if the ABLE
Commission finds or has grounds to believe that such licensee has
borrowed money or property or accepted gratuities, discounts,
rebates, free goods, allowances or other inducements from a wine and
spirits wholesaler or beer distributor.
D. The ABLE Commission shall have the authority to revoke the
license of any licensee if the ABLE Commission finds:
1. That the licensee knowingly sold alcoholic beverages or
allowed such beverages to be sold, delivered or furnished to any
person under the age of twenty-one (21) years or to any person
visibly intoxicated or adjudged insane or mentally deficient;
2. That the licensee, any general or limited partner of the
licensee, or in the case of a corporation, an officer or director of
the corporation, has been convicted of a felony or is not in
compliance with the tax laws of this state as required in Article
XXVIII-A of the Oklahoma Constitution. Provided, an employee license
may be issued and held by a person who has been convicted of a felony
if such conviction was not for an offense specified in paragraph 2 of
Section 571 of Title 57 of the Oklahoma Statutes or an offense under
the provisions of this title, and if such conviction was more than
five (5) years prior to the issuance of the license;
3. That, in the case of a wine and spirits wholesaler, beer
distributor, retail spirits, retail wine or retail beer licensee, the
holder of the license or any member of a general or limited
partnership which is the holder of such a license, has been convicted
of a prohibitory law relating to the sale, manufacture or
transportation of alcoholic beverages which constitutes a felony.
E. If the ABLE Commission shall find by a preponderance of the
evidence as in civil cases that a licensee has knowingly sold any
alcoholic beverage to any person under the age of twenty-one (21)
years, after a public hearing, the ABLE Commission shall revoke such
license and no discretion as to the revocation shall be exercised by
the ABLE Commission.
F. The ABLE Commission shall have the authority to promulgate
rules to establish a penalty schedule for violations of any provision
of the Oklahoma Alcoholic Beverage Control Act or any rule of the
ABLE Commission. The schedule shall provide for suspension or
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revocation of any license for major and minor violations as
determined by the ABLE Commission. Penalties shall be increasingly
severe with each violation by a licensee.
Provided, that for a fourth major violation by a licensee within
a twenty-four-month period, the penalty shall be mandatory revocation
of license. The twenty-four-month period shall be calculated from
the date of the most recent violation as set forth in an order signed
by the Director or the designee of the Director.
G. The ABLE Commission or the Tax Commission may impose a
monetary penalty in lieu of or in addition to suspension of a
license. The amount of the fine for a major violation shall be
computed by multiplying the proposed number of days of the suspension
period by One Hundred Dollars ($100.00). The amount of the fine for
a minor violation shall be computed by multiplying the number of days
of the proposed suspension period by Fifty Dollars ($50.00).
H. The failure of any licensee to pay a fine or serve a
suspension imposed by the ABLE Commission or the Tax Commission shall
result in the revocation of the license of the licensee.
I. If the ABLE Commission or the Tax Commission finds that
public health, safety or welfare require emergency action, and
incorporates a finding to that effect in its order, summary
suspension of a license may be ordered pending proceeding for
revocation or other action, pursuant to the provisions of Section 314
of Title 75 of the Oklahoma Statutes.
Added by Laws 2016, c. 366, § 60, eff. Oct. 1, 2018. Amended by Laws
2018, c. 213, § 1, eff. Oct. 1, 2018; Laws 2019, c. 322, § 10, emerg.
eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-2-148v2. Grounds to revoke or suspend licenses.
A. Any license issued pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act by the ABLE Commission, after due
notice and hearing, may be revoked or suspended if the ABLE
Commission finds or has grounds to believe that the licensee has:
1. Violated any rule promulgated by the ABLE Commission;
2. Procured a license through fraud, or misrepresentation, or
concealment of a material fact;
3. Made any false representation or statement to the ABLE
Commission or the Oklahoma Tax Commission in order to prevent or
induce action by the ABLE Commission or the Tax Commission;
4. Maintained an unsanitary establishment or has supplied impure
or otherwise deleterious beverages or food;
5. Stored, possessed, mixed or served on the premises of a
bottle club any alcoholic beverage upon which the tax levied by
Section 5-101 of this title has not been paid as provided for in the
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Oklahoma Alcoholic Beverage Control Act, in a county of this state
where the sale of alcoholic beverages by the individual drink for on-
premises consumption has not been authorized;
6. Misrepresented to a customer or the public any alcoholic
beverage sold by the licensee;
7. Had any permit or license issued by the Tax Commission and
required by the Oklahoma Alcoholic Beverage Control Act suspended or
revoked by the Tax Commission; or
8. Is not in compliance with the tax laws of this state as
required in Article XXVIII-A of the Oklahoma Constitution.
B. The ABLE Commission may revoke or suspend the license of any
mixed beverage, caterer or bottle club licensee if the ABLE
Commission finds or has grounds to believe that such licensee:
1. Has acted as an agent of a manufacturer or wholesaler of
alcoholic beverages;
2. Is a manufacturer or wholesaler of alcoholic beverages;
3. Has borrowed money or property or accepted gratuities or
rebates from a manufacturer or wholesaler of alcoholic beverages;
4. Has obtained the use of equipment from any manufacturer or
wholesaler of alcoholic beverages or any agent thereof;
5. Has violated any of the provisions of the Oklahoma Alcoholic
Beverage Control Act for which mandatory revocation or suspension is
not required;
6. Has been convicted within the past twenty-five (25) years, of
a violation of any state or federal law relating to alcoholic
beverage for which mandatory revocation or suspension is not
required; or
7. Is not in compliance with the tax laws of this state as
required in Article XXVIII-A of the Oklahoma Constitution.
C. The ABLE Commission may revoke or suspend the license of any
retail, mixed beverage, caterer or bottle club licensee if the ABLE
Commission finds or has grounds to believe that such licensee has
borrowed money or property or accepted gratuities, discounts,
rebates, free goods, allowances or other inducements from a wine and
spirits wholesaler or beer distributor.
D. The ABLE Commission shall have the authority to revoke the
license of any licensee if the ABLE Commission finds:
1. That the licensee knowingly sold alcoholic beverages or
allowed such beverages to be sold, delivered or furnished to any
person under the age of twenty-one (21) years or to any person
visibly intoxicated or adjudged insane or mentally deficient;
2. That the licensee, any general or limited partner of the
licensee, or in the case of a corporation, an officer or director of
the corporation, has been convicted of a felony or is not in
compliance with the tax laws of this state as required in Article
XXVIII-A of the Oklahoma Constitution. Provided, an employee license
may be issued and held by a person who has been convicted of a felony
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if such conviction was not for a violent offense specified in
paragraph 2 of Section 571 of Title 57 of the Oklahoma Statutes or an
offense under the provisions of this title; or
3. That, in the case of a wine and spirits wholesaler, beer
distributor, retail spirits, retail wine or retail beer licensee, the
holder of the license or any member of a general or limited
partnership which is the holder of such a license, has been convicted
of a prohibitory law relating to the sale, manufacture or
transportation of alcoholic beverages which constitutes a felony.
E. If the ABLE Commission shall find by a preponderance of the
evidence as in civil cases that a licensee has knowingly sold any
alcoholic beverage to any person under the age of twenty-one (21)
years, after a public hearing, the ABLE Commission may revoke such
license.
F. The ABLE Commission shall have the authority to promulgate
rules to establish a penalty schedule for violations of any provision
of the Oklahoma Alcoholic Beverage Control Act or any rule of the
ABLE Commission. The schedule shall provide for suspension or
revocation of any license for major and minor violations as
determined by the ABLE Commission. Penalties shall be increasingly
severe with each violation by a licensee.
Provided, that for a fourth major violation by a licensee within
a twenty-four-month period, the penalty shall be mandatory revocation
of license. The twenty-four-month period shall be calculated from
the date of the most recent violation as set forth in an order signed
by the Director or the designee of the Director.
G. The ABLE Commission or the Tax Commission may impose a
monetary penalty in lieu of or in addition to suspension of a
license. The amount of the fine for a major violation shall be
computed by multiplying the proposed number of days of the suspension
period by One Hundred Dollars ($100.00). The amount of the fine for
a minor violation shall be computed by multiplying the number of days
of the proposed suspension period by Fifty Dollars ($50.00).
H. The failure of any licensee to pay a fine or serve a
suspension imposed by the ABLE Commission or the Tax Commission shall
result in the revocation of the license of the licensee.
I. If the ABLE Commission or the Tax Commission finds that
public health, safety or welfare requires emergency action, and
incorporates a finding to that effect in its order, summary
suspension of a license may be ordered pending proceeding for
revocation or other action, pursuant to the provisions of Section 314
of Title 75 of the Oklahoma Statutes.
Added by Laws 2016, c. 366, § 60, eff. Oct. 1, 2018. Amended by Laws
2018, c. 213, § 1, eff. Oct. 1, 2018; Laws 2019, c. 102, § 4, eff.
Nov. 1, 2019; Laws 2019, c. 340, § 1, eff. Nov. 1, 2019.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-2-149. Written notice of denial, suspension or revocation of
licenses.
In the case of denial of an application for an original license,
the ABLE Commission shall give written notice to the applicant either
by registered mail directed to the applicant's last-known address or
by delivery, stating the reason for such denial. If the ABLE
Commission proposes to deny renewal of any license or to suspend or
revoke a license, it shall give written notice to the licensee
addressed to the licensed premises by registered mail, by personal
delivery or by posting of the notice on the outside entrance to the
licensed premises, notifying the licensee of such contemplated
denial, suspension or revocation, and of the time and place at which
the licensee may be accorded a hearing before the ABLE Commission on
the matter, which time shall not be less than fifteen (15) days from
the date of mailing, delivery or posting of such notice. Such notice
shall set forth the grounds for the proposed denial, suspension or
revocation. The ABLE Commission may delegate any part of this
function to the Director, but any person aggrieved by any order shall
have the right to be heard by the ABLE Commission and the ABLE
Commission shall provide adequate procedure to protect the right of
persons desiring to do so.
Added by Laws 2016, c. 366, § 61, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-150. Hearing for aggrieved person.
Any person aggrieved by the action of the ABLE Commission in
denying an application for an original license may, within fifteen
(15) days after receipt of notice thereof, file with the ABLE
Commission written request for a hearing, and the ABLE Commission
shall, pursuant to such request, set a time and place for a hearing
on a denial of an application for an original license. At the time
and place set in a notice by the ABLE Commission of contemplated
denial of the renewal of a license or of a proposed suspension or
revocation of a license, the ABLE Commission shall afford the
applicant or the licensee an opportunity to be heard and to present
evidence in the applicant's or licensee's behalf. The hearing shall
be conducted within fifteen (15) days after receipt of the request by
the ABLE Commission. In the conduct of any such hearing, the ABLE
Commission shall have power to administer oaths, examine witnesses
and subpoena records and documents pertaining to the issues involved.
Upon request of and at the expense of the aggrieved party, the ABLE
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Commission shall make or cause to be made a complete record of all
testimony and other evidence taken or introduced at such hearing.
Within fifteen (15) days after conclusion of any such hearing, unless
the time shall be extended by the parties thereto in writing, the
ABLE Commission shall enter an order affirming or modifying its
denial of an original application, an order dismissing its notice of
contemplated denial of renewal of license or affirming same, or an
order dismissing its notice of contemplated suspension or revocation
of a license or an order suspending or revoking same. The ABLE
Commission shall, by written notice mailed to the applicant or
licensee by certified mail or by delivery in person to the applicant
or licensee, or the applicant's or licensee's attorney of record,
advise of its action pursuant to the hearing.
Added by Laws 2016, c. 366, § 62, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-151. Commission authority to conduct initial hearing.
The ABLE Commission shall have the authority to conduct an
initial hearing when a hearing is required by law. The Director of
the ABLE Commission may employ such hearing officers and assistants
as are necessary to conduct the hearings. If a hearing is conducted
by a hearing officer, the hearing officer shall issue a report to the
ABLE Commission. The report of the hearing officer shall include
findings of fact and conclusions of law. Notice of the
recommendation of the hearing officer shall be sent to the last-known
address of the licensee. If the licensee disagrees with the
recommendation of the hearing officer, the licensee may request a
hearing before the ABLE Commission for a review of the record. If
the licensee fails to request a review of the record within fifteen
(15) days after the date of the notice of the hearing officer's
decision, the recommendation of the hearing officer shall become a
final order of the ABLE Commission. A failure to request a review of
the record by the ABLE Commission in a timely manner shall constitute
a failure to exhaust administrative remedies.
Added by Laws 2016, c. 366, § 63, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-152. Appeal from order of Commission - District court appeal
- Supreme Court appeal.
Within thirty (30) days after a final order of the ABLE
Commission, pursuant to a hearing as provided in Section 62 of this
act, an applicant or licensee may appeal from the order of the ABLE
Commission to the district court of the county in which the premises
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licensed or sought to be licensed are located. At the time of filing
such an appeal, the party appealing shall give bond for costs
assessed against such party. The appeal shall be taken by filing
with the clerk of the district court of the proper county a written
notice stating that the party appeals from the action of the ABLE
Commission and stating the pertinent grounds on which the appeal is
founded. Such appeal shall consist of a hearing and review of the
record only as set forth in the Administrative Procedures Act. The
district court may affirm, reverse or modify the order of the ABLE
Commission and shall issue its order within sixty (60) days after the
appeal is heard. Appeals may be taken from a final order of the
district court to the Supreme Court by the applicant, licensee or by
the ABLE Commission. The ABLE Commission shall not be required to
give bond on appeal. The licensee may file a supersedeas bond in an
amount to be fixed by the ABLE Commission staying the order until the
final determination of all issues on an appeal but the order of the
ABLE Commission may not be stayed unless ordered by the judge of the
district court. Permission to stay the order of the ABLE Commission
shall not be granted by any court unless an application therefor be
made in the written notice of the applicant's or licensee's intention
to appeal from the order of the ABLE Commission, and then only after
a hearing before the court upon notice to both parties wherein the
court determines by a preponderance of the evidence that in denying a
license or in ordering the suspension or a revocation of a license,
the ABLE Commission acted without legal cause or upon insufficient
evidence. Provided, that in all cases where the order of the ABLE
Commission is stayed by a supersedeas bond and the licensee is
unsuccessful in the appeal, and the action of the ABLE Commission
becomes final, such bond shall be forfeited to the State of Oklahoma
by the court considering such appeal if the court finds that the
appeal was frivolous or was filed for the purpose of delaying the
effect of the order. In such event, the Attorney General shall
commence legal proceedings in the name of the State of Oklahoma to
recover the amount of the bond, which money shall be placed to the
credit of the General Revenue Fund of the state.
Added by Laws 2016, c. 366, § 64, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-153. Nature of licenses - Deceased, bankrupt or incompetent
licensees - Application to transfer license.
Any license issued pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act shall be a purely personal privilege.
It shall not constitute property nor be subject to attachment,
garnishment or execution, or be alienable or transferable, either
voluntarily or involuntarily; nor shall it descend by the laws of
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descent and distribution, but shall cease upon the death of the
licensee. Provided, the ABLE Commission, under such regulations and
subject to such restrictions as it may prescribe, may permit the
executors or administrators of the estate of any deceased licensee,
or the trustees of an insolvent or bankrupt licensee, or the legal
guardian of a licensee who has been adjudged to be incompetent or
insane, to exercise the privileges under any license held by such
person for such period as the ABLE Commission may deem equitable
during the administration of the deceased or bankrupt licensee's
estate, but not to exceed two (2) years. A license may not be
transferred to a new location, except upon application to the ABLE
Commission and endorsement on the license by the ABLE Commission
showing the new location. An application for transfer of license
shall be accompanied by a certificate reflecting, as to the proposed
new location, compliance with municipal zoning ordinances or county
zoning regulations and municipal or county fire, safety and health
codes as required by Section 54 of this act. A mixed beverage or
bottle club licensee who transfers the license to a new location
shall pay a transfer fee of One Hundred Dollars ($100.00) to the ABLE
Commission.
Added by Laws 2016, c. 366, § 65, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-154. Display of license.
All licenses issued pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act shall be displayed in a conspicuous
place at all times on the licensed premises. No licensee may consent
to or allow the use or display of the license by a person other than
the person to whom the license was issued. No person may use a
license or exercise any privileges granted by the license except at
the place, address, premises or location for which the license is
issued, except as otherwise provided by the Oklahoma Alcoholic
Beverage Control Act.
If the mixed beverage, caterer, public event or bottle club
license for a licensed premises is suspended or revoked by the ABLE
Commission, all other licenses issued by the ABLE Commission for such
premises shall cease to be valid. If a mixed beverage, caterer,
public event or bottle club license is suspended or revoked for any
licensed premises, this shall not invalidate licenses held by the
licensee for other licensed premises.
Added by Laws 2016, c. 366, § 66, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-2-155. Sale or transfer of financial interest in a licensed
premises by mixed beverage or on-premises beer and wine licensees.
A. If a mixed beverage licensee sells or otherwise transfers the
licensee's financial interest in a licensed premises to another party
who obtains a mixed beverage license for the premises, any alcoholic
beverages on the premises may be transferred to the new licensee.
Provided, if the premises are not in continuous operation as a mixed
beverage establishment prior to and during the transfer of financial
interest in the premises, the transfer of alcoholic beverages shall
be limited to alcoholic beverages in the original container which
have not been opened and which have not had the seal broken and the
original cap or cork removed.
B. If an on-premises beer and wine licensee sells or otherwise
transfers the licensee's financial interest in a licensed premises to
another party who obtains an on-premises beer and wine license for
the premises, any beer and wine on the premises may be transferred to
the new licensee. Provided, if the premises are not in continuous
operation as a beer and wine establishment prior to and during the
transfer of financial interest in the premises, the transfer of beer
and wine shall be limited to beer and wine in the original containers
which have not been opened and which have not had the seal broken and
the original cap or cork removed.
C. There shall be no liability on the part of, and no cause of
action of any nature shall arise against the ABLE Commission for the
contents of any alcoholic beverages transferred pursuant to the
provisions of this section.
Added by Laws 2016, c. 366, § 67, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-156. Restrictions on licenses and ownership interest in
package stores - Spousal interests - Package store sales.
A. No retail spirits license shall be issued to a corporation,
limited liability company or similar business entity. No person may
own any interest in more than two package stores; provided, a spouse
of a retail spirits license holder may hold a separate interest in up
to two (2) package stores. For the purpose only of establishing
whether or not a person owns an interest in more than one package
store, any person having a beneficial interest in any package store
shall be deemed to be a partner in the package store except that the
spouse of any retail spirits license holder or partner shall not be
deemed to be a partner or have a beneficial interest in a package
store unless his or her name appears on the license. A beneficial
interest shall be any interest that benefits from any sales or
profits of the package store.
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B. For purposes of this section, any spouse of a retail spirits
license holder shall not hold another license provided for pursuant
to the Oklahoma Alcoholic Beverage Control Act, except a retail wine
license, retail beer license, on-premises beer and wine license,
mixed beverage license, a caterer's license or a retail spirits
license.
C. Package stores licensed under the Oklahoma Alcoholic Beverage
Control Act may sell only alcoholic beverages in retail containers as
defined in Section 1-103 of this title, in the original package for
consumption off the premises; provided, that package stores licensed
under the Oklahoma Alcoholic Beverage Control Act that are also mixed
beverage licensees shall not be prohibited from the exercise of the
authorities granted them by Section 2-110 of this title. All retail
sales shall be made on the licensed premises and all deliveries off
the premises, at retail, of intoxicating liquor or beer are hereby
prohibited. Provided, a holder of a Retail Spirits License shall be
permitted to sell at retail any item that may be purchased at a
grocery store or convenience store, as defined by law, except for
motor fuel, so long as the sale of items other than alcoholic
beverages do not comprise more than twenty percent (20%) of the
holder's monthly sales.
Added by Laws 2016, c. 366, § 68, eff. Oct. 1, 2018. Amended by Laws
2017, c. 76, § 1, eff. Oct. 1, 2018; Laws 2019, c. 424, § 3, eff.
Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-157. Winery self-distribution - Report to Commission on sales
- Notice of exceeding production limit – Fines.
A. Every winemaker or small farm winery electing to directly
sell its wines to retailers, mixed beverage licensees, beer and wine
licensees, and restaurants must obtain a winery self-distribution
license and pay the applicable license fee and shall register its
products and post its prices with the state in the same manner
required of the holder of a nonresident seller license.
B. Every winemaker or small farm winery electing to directly
sell its wines to retailers, mixed beverage licensees, beer and wine
licensees, and restaurants shall report all sales to retail package
stores, mixed beverage licensees, beer and wine licensees, and
restaurants in this state to the ABLE Commission and to the Oklahoma
Tax Commission at least monthly, or in accordance with such rules as
the ABLE Commission shall promulgate and shall pay to the Tax
Commission all excise and other taxes imposed by this state upon such
wine in the same manner required of the holder of a nonresident
seller license.
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C. Any self-distributing winemaker within or without this state
who shall, in any calendar year, exceed the production volume limit
provided for in subsection B of Section 2-105 of this title, shall
immediately notify the ABLE Commission of such fact and shall
thereafter have the option to sell the wines they produce to every
licensed wholesale distributor who desires to purchase the same, on
the same price basis and without discrimination, and shall thereafter
be allowed to sell such beverages only to such licensed wholesale
distributors or cease to sell its products in this state.
D. All winemakers who conduct business in this state shall be
prohibited from creating, forming or participating in any kind of a
cooperative or pooled transportation or distribution arrangement.
E. Any licensed winemaker or winery that sells or distributes
its wine directly to a retailer, mixed beverage licensee, beer and
wine licensee or restaurant in this state after having exceeded the
production volume limit provided for in subsection B of Section 2-105
of this title in any calendar year shall be subject to a fine of Ten
Thousand Dollars ($10,000.00). In addition, if the violation is a
second or subsequent violation, the winemaker or winery shall not be
allowed to transport wine to a retail package store or restaurant for
three (3) years from the date of the second or subsequent violation.
F. If Section 2 of Article XXVIIIA of the Oklahoma Constitution
is ruled to be unconstitutional by a court of competent jurisdiction,
then any licensed winemaker or winery that then continues to sell or
distribute its wine directly to a retail package store, mixed
beverage licensee, beer and wine licensee or restaurant in this state
shall be subject to a fine of Ten Thousand Dollars ($10,000.00) per
violation.
Added by Laws 2016, c. 366, § 69, eff. Oct. 1, 2018. Amended by Laws
2018, c. 113, § 2, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-2-158. Suspension of licenses by Governor in cases of natural
disaster or civil disturbance.
In case of natural disaster or civil disturbance the Governor
may, for the duration of such natural disaster or civil disturbance
thereof, immediately suspend without notice any license granted under
the provisions of the Oklahoma Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 70, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-2-159. Complimentary beverage license.
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A complimentary beverage license shall authorize the holder
thereof: To provide, free of charge for on premises consumption only,
no more than two alcoholic beverages containing spirits, twelve (12)
ounces of wine, or twenty-four (24) ounces of beer per day, to a
guest or client who is twenty-one (21) years of age or older. This
license shall not be issued to a business which possesses any other
form of license issued by the ABLE Commission, except for event-type
licenses. Complimentary beverage licenses shall only be issued to a
business located in a building or structure that has a permanent
physical address. This license shall only be issued to businesses
which involve retail sales or provide services to its clients
including, but not limited to, furniture stores, art studios, nail
salons, hair salons, cigar stores, clothing stores, bridal shops or
business support services. A chamber of commerce, main street,
economic development authority, vocational trade school, higher
education college or similar organization promoting economic
development or an organization that is exempt from taxation pursuant
to the provisions of subsection (c) of Section 501 of the United
States Internal Revenue Code shall also qualify for a complimentary
beverage license. A business whose patronage is primarily persons
under the age of eighteen (18), is a restaurant or a business that
provides adult entertainment shall not qualify for a license. Upon
issuance of the license, the business shall purchase all of its
alcoholic beverages from a brewer, winemaker, retail spirit, retail
beer, or retail wine licensee and will become a licensed premise
subject to inspection by any ABLE Commission agent or any other peace
officer, pursuant to Section 5-115 of Title 37A of the Oklahoma
Statutes. Employees who serve the alcoholic beverage shall be
twenty-one (21) years of age or older and shall not be required to
obtain an employee license. A complimentary beverage license shall
not be used in lieu of a mixed beverage, caterer, brew pub, brewer,
public event, special event, beer and wine, or charitable event
license. This license is an annual license and renewable on an
annual basis.
A chamber of commerce, main street, economic development
authority, vocational trade school, higher education college or
similar organization promoting economic development shall be exempt
from the permanent location requirement and permitted to utilize the
license at other locations within the city in which they are located
or on their campus for member recruitment, education and development
of new business functions.
The holder of an Oklahoma winery or brewers license may serve
free samples and offer for sale sealed product for off premises
consumption at temporary tastings on the premises of a complimentary
beverage licensee.
Added by Laws 2019, c. 185, § 1, eff. July 1, 2019.
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§37A-2-160. Satellite tasting room license.
A satellite tasting room license shall authorize the holder of a
small farm winery license or winemaker license to operate no more
than two satellite locations in addition to his or her licensed
premises for the purpose of providing tastings, samples and retail
sales for on-premises or off-premises consumption to consumers over
twenty-one (21) years of age; provided the wine tasted, sampled or
sold shall have been produced/manufactured by the holder of a small
farm winery or winemaker license and shall have all manufacturing
taxes paid.
The holder of a small farm winery license or winemaker license
must obtain approval for each satellite location from the city, town
or municipality before submitting the application to the ABLE
Commission. The fee for licensing each satellite location will be
One Hundred Dollars ($100.00) annually.
The small farm winery licensee or winemaker licensee operating a
satellite tasting room must keep such license in good standing and is
liable for any violation committed on the premises of its satellite
tasting rooms. Employees and managers of the satellite tasting room
must be trained in alcohol handling, laws and regulations and hold a
current alcohol servers license and must be over twenty-one (21)
years of age.
For purposes of this section, the term "tasting or tastings"
means the serving of free samples of the winemaker's products not to
exceed more than a total of six (6) fluid ounces of wine per person
aged twenty-one (21) years or older per day, or the serving of the
winemaker's products by individual drink purchased by the consumer
for on-premises consumption, or the retail sale of the winemaker's
products in sealed containers to an on-premises customer for off-
premises consumption, or any combination thereof.
Added by Laws 2019, c. 420, § 5, eff. Nov. 1, 2019.
NOTE: Editorially renumbered from § 2-159 of this title to avoid
duplication in numbering.
§37A-3-101. Personal use, possession and making of alcoholic
beverages - Exemptions for dentists, physicians, drugstores, churches
and military reservations - Restrictions on retail sales and shipping
for out-of-state businesses.
A. No person shall manufacture, rectify, sell, possess, store,
import into or export from this state, transport or deliver any
alcoholic beverage except as specifically provided in the Oklahoma
Alcoholic Beverage Control Act. Provided, that nothing herein shall
prevent the possession and transportation of alcoholic beverages for
the personal use of the possessor and his or her family and guests,
so long as the Oklahoma excise tax has been paid thereon, except for
beer. Provided, further, that nothing herein shall prevent a person
from making beer, cider or wine, by simple fermentation and without
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distillation for personal use if the maker of such beverages has
first applied for and possesses a valid personal use permit issued by
the ABLE Commission and the total volume of beer, cider or wine
produced in any given calendar year is less than two hundred (200)
gallons. No beverages made pursuant to a personal use permit shall
be sold or offered for sale.
B. 1. Any duly licensed physician or dentist may possess and
use alcoholic beverages in the strict practice of the profession and
any hospital or other institution caring for sick or diseased persons
may possess and use alcoholic beverages for the treatment of bona
fide patients of such hospital or institution. Any drugstore
employing a licensed pharmacist may possess and use alcoholic
beverages in the preparation of prescriptions of duly licensed
physicians.
2. The possession, transportation and dispensation of wine by
any authorized representative of any church for the conducting of a
bona fide rite or religious ceremony conducted by such church shall
not be prohibited by the Oklahoma Alcoholic Beverage Control Act; nor
shall such act prevent the sale, shipping or delivery of sacramental
wine by any person holding a sacramental wine supplier license issued
pursuant to the Oklahoma Alcoholic Beverage Control Act to any
religious corporation or society of this state holding a valid
exemption from taxation issued pursuant to Section 501(a) of the
Internal Revenue Code, 1954, and listed as an exempt organization in
Section 501(c)(3) of the Internal Revenue Code, 1954, of the United
States, as amended.
3. Provided further, that nothing in the Oklahoma Alcoholic
Beverage Control Act shall prevent the possession, transportation and
sale of alcoholic beverages within military reservations and in
accordance with the laws and rules governing such military
reservations, provided that the Oklahoma excise tax has been paid on
such beverages.
C. 1. Except as otherwise authorized by law, it is unlawful for
any brewer, manufacturer, wine and spirits wholesaler, beer
distributor or retailer of alcoholic beverages, located and doing
business from outside this state, to make retail sales of alcoholic
beverages to purchasers located in this state or to ship alcoholic
beverages sold at retail to persons located in this state. Any
person who engages in the sale or shipping of alcoholic beverages in
violation of the provisions of this subsection, upon conviction,
shall be guilty of a felony punishable by imprisonment for not more
than five (5) years, if the sale or delivery is made to a person
under twenty-one (21) years of age, or a misdemeanor, if the sale or
delivery is made to a person twenty-one (21) years of age or older.
2. The fine for a violation of this subsection shall be not more
than Five Thousand Dollars ($5,000.00).
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3. In addition, if the person holds a license issued by the ABLE
Commission, the license shall be revoked pursuant to Section 60 of
this act.
D. All brewers, importers, brokers and others who sell beer or
cider to licensed beer distributors in Oklahoma or manufacturers,
importers, brokers and others who sell cider to licensed beer
distributors in Oklahoma, regardless of whether such sales are
consummated within or without the state, must obtain a license, as
the case may be, in order to sell beer or cider intended for
consumption within the State of Oklahoma.
Added by Laws 2016, c. 366, § 71, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 11, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-102. Commission authority to promulgate rules.
The ABLE Commission is authorized to promulgate such rules with
respect to packaging, marking, branding and labeling of alcoholic
beverages sold or possessed for sale within this state, including
such rules:
1. As will prohibit deception of the consumer with respect to
such products or the quantity thereof and as will prohibit,
irrespective of falsity, such statement relating to age,
manufacturing processes, analyses, guarantees, and scientific or
irrelevant matter as the ABLE Commission finds likely to mislead or
confuse the consumer;
2. As will provide the consumer with adequate information as to
the identity and quality of the products, the net contents of the
package, and the manufacturer, brewer or importer of the product; and
3. As will prohibit statements on the label that are false,
misleading, obscene or indecent.
The ABLE Commission may promulgate, in whole or in part, or with
such modification as it deems desirable, rules of the federal
government relating to labeling of distilled spirits promulgated
under the Federal Alcohol Administration Act (27 U.S.C. 205).
Added by Laws 2016, c. 366, § 72, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 12, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-103. Filing of rules by Commission - Notice of license
applicants to be sent to municipalities or county commissioners,
county sheriff, district attorney and chief of police.
All rules of the ABLE Commission shall be promulgated and filed
pursuant to the provisions of the Administrative Procedures Act, and
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also shall be filed with the Secretary of State and the State
Librarian pursuant to the provisions of Sections 251 through 253 of
Title 75 of the Oklahoma Statutes. Copies of all rules shall be made
available to each county clerk, district attorney, sheriff and chief
of police in the state upon request.
The ABLE Commission shall send a notice of application for a
license to sell alcohol, alcoholic beverage, wine or beer under the
Oklahoma Alcoholic Beverage Control Act to the district attorney of
the county wherein the premises is located at least fifteen (15) days
prior to the approval or disapproval of the application.
For any applicant for a license issued pursuant to the provisions
of the Oklahoma Alcoholic Beverage Control Act whose place of
business for which the license is being sought is located in a city
or town, the ABLE Commission shall mail a notice of application to
the chief of police of the city or town, the sheriff of the county in
which the city or town is located, and the district attorney of the
county in which the city or town is located. The city or town may
make recommendations on whether or not the applicant should be issued
a license by the ABLE Commission within twenty (20) days after the
date the copies of the application were mailed.
For any applicant for a license issued pursuant to the provisions
of the Oklahoma Alcoholic Beverage Control Act whose place of
business for which the license is being sought is located outside of
the incorporated boundaries of a city or town, the ABLE Commission
shall mail a notice of application to the board of county
commissioners of the county in which the place of business is
located, the sheriff of the county and the district attorney of the
county. The board of county commissioners shall make recommendations
on whether or not the applicant should be issued a license by the
ABLE Commission within twenty (20) days after the date the copies of
the application were mailed.
Any political subdivision which is entitled to notice of an
application for a license shall be considered an interested party to
the proceeding and shall be given notice of any issuance of license.
The political subdivision shall be entitled to appeal any such
issuance in the same manner as the applicant would be entitled to
appeal a denial of the license application.
Added by Laws 2016, c. 366, § 73, eff. Oct. 1, 2018. Amended by Laws
2018, c. 212, § 1, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-3-104. Beer kegs - Identification seals – Record keeping
required for sales - Violations – Penalties.
A. For purposes of this section:
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1. "Beer keg" means any brewery-sealed, single container that
contains not less than four (4) gallons of beer;
2. "Licensed retailer" means a licensed package store; and
3. "Identification seal" means any device approved by the ABLE
Commission which is designed to be affixed to beer kegs and which
displays an identification number and any other information as may be
prescribed by the ABLE Commission.
B. No licensed retailer shall sell beer kegs unless that
retailer affixes an identification seal to each beer keg. An
identification seal shall consist of durable material as determined
by the ABLE Commission that is not easily removed or destroyed.
Identification seals used may contain a nonpermanent adhesive
material in order to apply the seal directly to an outside surface of
a beer keg at the time of sale. Identification seals shall be
attached to beer kegs at the time of sale as determined by the ABLE
Commission. The identification information contained on the seal
shall include the licensed retailer's name, address, beer license
number and telephone number; a unique beer keg number assigned by the
licensed retailer; and a prominently visible warning that intentional
removal or defacement of the seal is a misdemeanor. Upon return of a
beer keg to the licensed retailer that sold the beer keg and attached
the identification seal, the licensed retailer shall be responsible
for the complete and thorough removal of the entire identification
seal and any adhesive or attachment devices of the seal. The seal
beer keg identification number must be kept on file with the retailer
for not less than one (1) year from the date of return.
C. A licensed retailer shall not sell a beer keg unless the beer
keg has attached a seal complying with the standards established by
subsection B of this section.
D. 1. A licensed retailer who sells a beer keg must at the time
of the sale record:
a. the purchaser's name and address and the number of the
purchaser's driver license, identification card issued
by the Department of Public Safety, military
identification card or valid United States or foreign
passport,
b. the date and time of the purchase,
c. the beer keg identification seal number required by
subsection B of this section, and
d. the purchaser's signature.
2. The record shall be retained for not less than one (1) year
after the date of the sale.
E. A licensed retailer required to retain records under
subsection D of this section shall make the records available during
regular business hours for inspection by a law enforcement officer or
an employee of the ABLE Commission.
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F. 1. A person required to record information under subsection
D of this section shall not knowingly make a materially false entry
in the book or register required under subsection D of this section.
In a prosecution under this subsection, it is a defense for the
defendant to prove by a preponderance of the evidence that the
defendant reasonably and in good faith relied upon the identification
provided by the purchaser of a beer keg.
2. No person other than a licensed retailer, a licensed beer
distributor, a law enforcement officer or an employee of the ABLE
Commission may intentionally remove a seal placed on a beer keg in
compliance with subsection C of this section. No person may
intentionally deface or damage the seal on a beer keg to make it
unreadable.
3. Any person who purchases a beer keg and who fails to return
the keg or who returns a keg with a damaged or missing seal shall be
subject to a fine of Five Hundred Dollars ($500.00).
4. Any licensed retailer who fails to report an individual
provided for in paragraph 3 of this subsection to law enforcement
shall be guilty of a misdemeanor and shall be subject to fines of not
less than Five Hundred Dollars ($500.00) for first and second
offenses. A third violation by a licensed retailer of the provisions
of this paragraph shall result in the revocation of the retailer's
license for up to one (1) year.
G. Any person who purchases a beer keg which is subsequently
stolen from such person shall not be liable for any penalty imposed
pursuant to the provisions of this section if such person properly
reported the theft of the beer keg to law enforcement authorities
within twenty-four (24) hours of the discovery of the theft.
H. The ABLE Commission shall promulgate rules for the
implementation and application of this section.
Added by Laws 2016, c. 366, § 74, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-105. Wineries - Shipping to other states - Monthly report of
shipments.
A. Oklahoma wineries may ship products manufactured in the state
to consumers in other states, so long as the recipient is of legal
age and the laws of the recipient's state allow such shipments.
B. Oklahoma wineries that ship products to consumers in other
states shall submit a monthly report of all shipments to the ABLE
Commission. The report shall contain the name, address and age of
the recipient and shall list the common carrier used to ship the
product. The contents of the reports shall be a matter of public
record and shall be made available to the public as well as any law
enforcement or regulatory official in Oklahoma or another state. The
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manufacturer shall also keep a copy of all such reports on its
premises for a period of not less than five (5) years and shall make
those reports available for inspection by any law enforcement officer
of any state or federal agency upon request.
Added by Laws 2016, c. 366, § 75, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-106. Direct Wine Shipper's Permit – Requirements.
A. A Direct Wine Shipper's Permit may be issued by the Oklahoma
ABLE Commission to a winery licensed in this or any other state
within the United States as a wine producer. A Direct Wine Shipper's
Permit allows a winery to ship up to six nine-liter cases of wine
annually directly to an Oklahoma resident who is twenty-one (21)
years of age or older for such resident's personal use and not for
resale. No resident shall be permitted to purchase more than thirty
nine-liter cases of wine per year under the provisions of this
section.
B. The ABLE Commission shall promulgate rules governing the
application, issuance and renewal of Direct Wine Shipper's Permits,
which shall include but not be limited to:
1. Proof of current licensure in this or any other state as a
wine producer;
2. Payment of a registration fee of Three Hundred Dollars
($300.00) for original permits and One Hundred Fifty Dollars
($150.00) for renewal permits; and
3. Any other documentation that the ABLE Commission believes is
reasonably necessary to verify the identity and physical location of
the winery.
C. With regard to direct wine shipments permitted by this
section, Direct Wine Shipper permit holders:
1. Shall not ship more than six nine-liter cases of wine
annually to any person for his or her personal use;
2. Shall not ship wine intended for resale;
3. Shall ensure that all packages containing wine shipped
directly to a resident in this state are conspicuously labeled with
the words "CONTAINS ALCOHOL: SIGNATURE OF PERSON AGE 21 OR OLDER
REQUIRED FOR DELIVERY" or are conspicuously labeled with alternative
wording preapproved by the ABLE Commission;
4. Shall require the transporter or common carrier that delivers
the wine to obtain the signature of a person twenty-one (21) years of
age or older at the delivery address at the time of delivery. At the
expense of the Direct Wine Shipper, the Direct Wine Shipper shall
receive a delivery confirmation from the express company, common
carrier or contract carrier indicating the location of delivery and
the name and signature of the individual who accepted the delivery.
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The ABLE Commission shall design and create a label or approve a
label that must be affixed to the shipping container by the licensee;
5. Shall report to the ABLE Commission annually, by a method
prescribed by the ABLE Commission, the total amount of wine shipped
into the state the preceding calendar year;
6. Shall annually pay to the Oklahoma Tax Commission all
applicable taxes due on sales authorized by this section to Oklahoma
residents in the preceding calendar year. The amount of such taxes
shall be calculated as if the sale were in Oklahoma at the location
where delivery is made. Upon request, permit holders shall permit
the Tax Commission to perform an audit of the permit holder's records
in order to assure compliance;
7. Shall be deemed to have consented to the jurisdiction of any
agency or court of the State of Oklahoma tasked with the enforcement
of or adjudication of controversies related to this section and any
related laws or rules; and
8. Shall require the consumer to verify, by electronic means or
otherwise, that the consumer is at least twenty-one (21) years of
age.
D. Every express company, common carrier, contract carrier and
every firm or corporation that shall bring, carry or transport wine
for delivery to any person in the state, except wine or spirit
wholesalers or beer distributors, shall prepare and file quarterly
with the ABLE Commission a report, which shall not be subject to the
Oklahoma Open Records Act, of known wine shipments containing:
1. The name of the company, carrier, person, firm or corporation
making the report;
2. The period of time covered by the report;
3. The name and business address of the consignor shipping the
wine;
4. The weight of the packages shipped;
5. The unique tracking number of the delivery; and
6. The date of delivery.
E. The provisions of this section do not apply to a motor
carrier or freight forwarder as defined in Section 13102 of Title 49
of the United States Code or to an air carrier as defined in Section
40102 of Title 49 of the United States Code.
Added by Laws 2016, c. 366, § 76, eff. Oct. 1, 2018. Amended by Laws
2017, c. 307, § 3, eff. Oct. 1, 2018; Laws 2018, c. 113, § 3, eff.
Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
NOTE: Laws 2017, c. 360, § 1 repealed by Laws 2018, c. 113, § 7,
eff. Oct. 1, 2018.
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§37A-3-107. Scope of statutory regulation for sales and distribution
of designated brands of beer.
A. In order to provide for regulation of the sales and
distribution of beer in this state by the ABLE Commission, this
Legislature hereby declares it is necessary to implement the section.
B. Statutory regulation of the sales and distribution of
designated brands in designated territories by distributors shall
include but not be limited to:
1. A requirement for written distributor agreements between a
brewer and distributor designating a specific territory within which
the distributor may sell the designated brands of the brewer;
2. Provisions for prohibited acts applicable to the distributor
and brewer; and
3. Provisions for penalties for violations.
Added by Laws 2016, c. 366, § 77, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 13, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-108. Licensed distributor agreement required for licensed
brewers or cider manufacturers - Rights to distribute low-point beer
- Assignment to distribute beer brand - Brand extensions.
A. The provisions of this section shall be in effect except as
otherwise provided in Article XXVIII-A of the Oklahoma Constitution.
B. Subject to the provisions of subsection D of this section,
every licensed brewer or cider manufacturer authorized to sell its
beer or cider in this state shall:
1. Enter into a distributor agreement with a licensed
distributor, as defined herein, to sell the designated brands,
including brand extensions, of the brewer or cider manufacturer. The
agreement shall designate the sales territory of that licensed
distributor and the designated brands to be sold by the licensed
distributor. All such distributor agreements shall specifically
authorize this sale of the designated brands by a licensed
distributor within that sales territory. All such distributor
agreements shall further provide that the licensed brewer or cider
manufacturer who desires to sell a brand extension of a low-point
beer in Oklahoma must assign the low-point beer brand extension to
the licensed distributor to whom the licensed brewer or cider
manufacturer granted the exclusive sales territory to the low-point
beer brand from which the brand extension resulted;
2. Sell its registered and approved designated brands only to a
licensed distributor with whom that brewer or cider manufacturer has
a distributor agreement designating the sales territory of the
licensed distributor and the designated brands to be sold by the
licensed distributor;
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3. Authorize only one licensed distributor for each designated
sales territory. Such licensed distributor shall be the only
licensed distributor for the designated brands of the authorizing
brewer or cider manufacturer within that designated sales territory;
and
4. Designate who is responsible for the distribution of its
designated brands.
C. Subject to the provisions of subsection D of this section,
any and all licensed distributors possessing the rights to distribute
a low-point beer brand in a specific territory prior to the
introduction of that low-point beer's correlating beer brand
extension in that specific territory shall retain the right to
distribute the low-point beer from which the brand extension
resulted.
D. 1. No later than August 2, 2018, a brewer shall assign the
exclusive right to distribute a beer brand, including brand
extensions thereof, to the low-point beer distributor who was, prior
to October 1, 2018, assigned the exclusive distribution rights to the
low-point beer from which the brand extension arose without charge or
payment of compensation, unless the low-point beer distributor is, on
October 1, 2018, a brewer of beer or low-point beer and has therefore
been distributing low-point beer pursuant to a license to so
distribute, subject to the provisions of subsection E of this
section. This subsection shall not apply to a small brewer as
defined in Section 1-103 of this title.
2. With respect to brand extensions which arise after October 1,
2018, the brewer or cider manufacturer shall assign the exclusive
right to distribute the brand extension to the distributor who has
been assigned the exclusive distribution rights to the beer or cider
from which the brand extension arose, without charge or payment of
compensation.
3. With respect to a brand of beer or cider which was, prior to
April 15, 2017, distributed in this state only as strong beer or
cider pursuant to the Oklahoma Alcoholic Beverage Control Act then in
effect, if a low-point version of the brand is introduced after April
15, 2017, no later than August 2, 2018, the brewer or cider
manufacturer shall assign the exclusive rights to distribute the low-
point version of the brand to the distributor who was, immediately
prior to the introduction of the low-point version of the brand,
assigned the exclusive distribution rights to the strong version of
the brand without charge or payment of compensation.
4. No later than August 2, 2018, with respect to dual strength
beer, the brewer thereof shall assign the exclusive right to
distribute the brands represented by the dual strength beer to either
the low-point beer distributor or the nonresident seller who had
theretofore been assigned the exclusive distribution rights in the
territory to either version of the dual strength beer; provided,
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however, whichever party is selected by the brewer must compensate
the party that was not selected by the brewer for the loss of the
distribution rights with respect to that particular territory.
Whichever party is selected shall obtain the requisite distributor
license and shall be subject to the provisions of the Oklahoma
Alcoholic Beverage Control Act.
5. Compensation for the purposes of this provision shall be the
fair market value of the party losing its distribution rights with
respect to the beer within that specific territory. Fair market
value shall be determined as set forth in Section 3-111 of this title
and shall take into account all aspects of brand valuation, including
but not limited to:
a. the diminished value of the distribution of one version
of beer as a consequence of the subsequent introduction
of the other version,
b. the expected annual sales and earnings of the
distributor agreement,
c. the length of time the existing distributor held in the
distribution sales agreement, and
d. any other relevant items of value, such as goodwill and
going concern.
E. If a brewer, whether directly or through an affiliate,
maintained one or more licenses to distribute low-point beer in this
state prior to October 1, 2018, then up to two of the brewer's low-
point beer distribution licenses shall automatically convert to beer
distribution licenses on October 1, 2018, and such brewer shall be
permitted to continue to distribute beer in two territories within
which it currently distributes without the appointment of a
distributor for such period of time as determined by the Legislature
and consistent with the Constitution of the State of Oklahoma;
provided however, it shall not be permitted to distribute beer
outside of the territory unless it enters into a distributor
agreement with an independent licensed distributor as provided in
paragraph 1 of subsection B of this section. This section shall not
apply to small brewers that have elected to self-distribute.
F. If, on October 1, 2018, a licensed distributor possesses
inventory of a brand that it is no longer authorized to distribute
within this state, such inventory shall be sold to a licensed
distributor authorized to distribute such brand, at a price not to
exceed the total of the actual purchase price of the selling
distributor plus the cost of inbound and outbound shipping to the
purchasing distributor. The provisions of this paragraph shall not
apply to inventory purchased on or after September 15, 2018.
Added by Laws 2016, c. 366, § 78, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 14, eff. Oct. 1, 2017; Laws 2018, c. 209, § 1, eff.
Oct. 1, 2018; Laws 2019, c. 322, § 14, emerg. eff. May 7, 2019.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-3-109. Transportation of beer only by marked conveyance owned
or leased by licensed distributor.
In order to regulate distribution of beer in this state and
assure collection of all applicable taxes and fees, all beer sold in
this state by a licensed distributor shall only be transported within
this state to the licensed address and location of a licensed
retailer or between the licensed addresses and locations of licensed
retailers by a marked conveyance owned or leased by a licensed
distributor.
Added by Laws 2016, c. 366, § 79, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-110. Licensed beer distributor - Sales and distribution
restrictions.
A. A licensed distributor designated as the licensed distributor
for a beer brand within a designated sales territory shall present
that beer brand for sale to all on-premise licensees on the same
price basis and without discrimination and to all off-premise
licensees on the same price basis within a particular county and
without discrimination. A licensed distributor shall not sell,
supply or deliver, either directly or indirectly through a third
party, a beer brand to a licensed retailer outside of the designated
sales territory of the designated distributor nor to any person the
licensed distributor has reason to believe will sell or supply any
quantity of the beer brand to any retail location outside of the
designated sales territory of the designated distributor.
B. All beer shall only be transported by a marked conveyance
owned or leased by the licensed distributor and operated by the
licensed distributor or an employee of the distributor for the
products of a licensed brewer or cider manufacturer within the
designated sales territory to the address and location of a licensed
retailer within that designated sales territory.
C. Any beer sold by the licensed distributor shall not be
delivered to, received by or stored at any place other than the
address and location of the licensed retailer for which state and
local retailer licenses or permits have been issued, except as
otherwise provided by law.
D. With the approval of the licensed brewer or cider
manufacturer, a licensed distributor may sell the designated brands
to a licensed retailer located in a designated sales territory of
another licensed distributor if that licensed distributor is
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temporarily unable for any reason to provide the designated brands of
the licensed brewer or cider manufacturer within its designated sales
territory.
E. All beer purchased by a licensed distributor for resale in
this state shall physically come into the possession of the licensed
distributor and be unloaded in and distributed from the licensed
warehouses of the licensed distributor located in this state prior to
being resold in this state.
F. For temporary events, beer distributors shall be permitted to
park full trailers and Waymatics in the supplier area of the events
for the purposes of pulling and selling product to special event,
public event, caterer, on-premises beer and wine and mixed beverage
licensees. A temporary event shall not exceed fourteen (14)
consecutive calendar days in duration. The trailer/Waymatic shall be
deemed an extension of the licensed premises of the beer distributor
and no separate storage license shall be necessary. The following
shall apply to beer and cider transactions during temporary events:
1. Beer distributors shall be permitted to deliver the beer or
cider from the trailer to the selling locations of the licensee(s)
within the event;
2. Beer distributors may not sell directly to consumers;
3. Each delivery of beer or cider shall be accompanied by an
invoice giving the date of purchase and the quantities delivered;
4. At least every fourth day of the event, the distributor shall
generate and deliver a summary invoice. Within three days after the
end of the event, the beer distributor shall reconcile the invoices
with the deliveries made during the event and generate and deliver a
final invoice to be paid immediately upon delivery;
5. For temporary events lasting less than five (5) days and for
university game days, the beer distributor's invoice shall be
generated and submitted to the purchasing licensee the first business
day following the event. The licensee shall pay the invoice upon
receipt; and
6. For all temporary events, the beer distributor has the option
of requiring the purchasing licensee to deliver a check for the full
amount of the product contained within the trailer(s) at the
beginning of the event to be held by the beer distributor pending
completion of the event and reconciliation and payment. Such a
requirement shall not be deemed a consignment sale, a credit
transaction, or a violation of any rules or law.
The provisions of this subsection shall apply to small brewer
self-distributors and brewpub self-distributors.
Added by Laws 2016, c. 366, § 80, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 15, eff. Oct. 1, 2018; Laws 2019, c. 322, § 15,
emerg. eff. May 7, 2019.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-111. Termination of distribution agreement - Requirements -
Immediate termination - Transfer of brand to successor brewer.
A. Except as provided in subsection F of this section, a small
brewer is not subject to the termination provisions of this section.
B. 1. Except as provided in subsections C, D and E of this
section, no brewer shall terminate a distributor agreement with any
beer distributor unless all of the following occur:
a. the brewer establishes good cause for such termination,
b. the beer distributor receives written notification by
certified mail, return receipt requested, from the
brewer of the alleged noncompliance and is afforded no
less than sixty (60) days in which to cure such
noncompliance. If not capable of being cured within
the sixty-day period, the beer distributor shall begin
the cure within the sixty-day period and diligently
pursue the cure as promptly as feasible,
c. the beer distributor fails to cure such noncompliance
within the allotted cure period, and
d. the brewer provides written notice by certified mail,
return receipt requested, to the beer distributor of
such continued noncompliance. The notification shall
contain a statement of the intention of the brewer to
terminate the distributor agreement, the reasons for
the termination and the date the termination shall take
effect.
2. If a beer distributor cures an alleged noncompliance within
the cure period provided in subparagraph b of paragraph 1 of this
subsection, any notice of termination from a brewer to a beer
distributor shall be null and void.
C. A brewer may immediately terminate a distributor agreement,
effective upon furnishing written notification to the beer
distributor by certified mail, return receipt requested, for any of
the following reasons:
1. The beer distributor's failure to pay any account when due
and upon written demand by the brewer for such payment, in accordance
with agreed payment terms;
2. The assignment or attempted assignment by the beer
distributor for the benefit of creditors, the institution of
proceedings in bankruptcy by or against the beer distributor, the
dissolution or liquidation of the beer distributor or the insolvency
of the beer distributor;
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3. The revocation or suspension of, or the failure to renew for
a period of more than fourteen (14) days, a beer distributor's state,
local or federal license or permit to sell beer in this state;
4. The beer distributor has been convicted of a felony that, in
the brewer's sole judgment, adversely affects the goodwill of the
beer distributor or brewer;
5. A beer distributor has been convicted of, found guilty of or
pled guilty or nolo contendere to, a charge of violating a law or
regulation of the United States or of this state if it materially and
adversely affects the ability of the beer distributor or brewer to
continue to sell its beer in this state;
6. Any attempted transfer of ownership of the beer distributor,
stock of the beer distributor or stock of any parent corporation of
the beer distributor, or any change in the beneficial ownership or
control of any entity having control of the beer distributor, without
obtaining the prior written approval of the brewer, which may not be
unreasonably withheld, except as may otherwise be permitted pursuant
to a written agreement between the parties;
7. Fraudulent conduct in the beer distributor's dealings with
the brewer of beer, including the intentional sale of beer outside
the brewer's established quality standards;
8. Cessation of the beer distributor to conduct business for
five (5) consecutive business days, unless conducting the business is
prevented or rendered impractical due to events beyond the
distributor's reasonable control as a result of an act of God, an
insured casualty, war or a condition of national, state or local
emergency; or
9. Any sale of beer, directly or indirectly, to customers
located outside the territory assigned to the beer distributor by the
brewer unless expressly authorized by the brewer.
Provided, the beer distributor shall have the opportunity to sell
the brewer's brands for one hundred twenty (120) days after
termination in accordance with the distributor agreement.
D. The brewer shall have the right to terminate an agreement
with a beer distributor at any time by giving the beer distributor at
least ninety-days' written notice by certified mail, return receipt
requested; provided, the brewer shall give a similar notice to all
other beer distributors in all other states who have entered into the
same distributor agreement with the brewer.
E. If a particular brand of beer is transferred by purchase or
otherwise from a brewer to a successor brewer, the following shall
occur:
1. The successor brewer shall become obligated to all of the
terms and conditions of the agreement in effect on the date of
succession. This subsection applies regardless of the character or
form of the succession. A successor brewer has the right to
contractually require its beer distributor to comply with operational
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standards of performance, if the standards are uniformly established
for all of the successor brewer's distributors. A successor brewer
may, upon written notice, terminate its agreement, in whole or in
part, with a beer distributor of the brewer it succeeded, for the
purpose of transferring the distribution rights in the beer
distributor's territory to a new beer distributor, provided that the
successor beer distributor first pays to the existing beer
distributor the fair market value of the existing distributor's
business with respect to the terminated brand or brands;
2. If the successor brewer decides to terminate its agreement
with the existing beer distributor for purposes of transfer, the
successor brewer shall notify the existing beer distributor in
writing of the successor brewer's intent not to appoint the existing
beer distributor for all or part of the existing beer distributor's
territory. The successor brewer shall mail the notice of termination
by certified mail, return receipt requested, to the existing beer
distributor. The successor brewer shall include in the notice the
names, addresses and telephone numbers of the successor beer
distributor or distributors;
3. a. the successor beer distributor shall negotiate with the
existing beer distributor to determine the fair market
value of the existing beer distributor's right to
distribute in the existing beer distributor's
territory. The successor beer distributor and the
existing beer distributor shall negotiate the fair
market value in good faith, and
b. the existing beer distributor shall continue to
distribute in good faith until payment of the
compensation agreed to under subparagraph a of this
paragraph, or awarded under paragraph 4 of this
subsection, is received; and
4. a. if the successor beer distributor and the existing beer
distributor fail to reach a written agreement on the
fair market value within thirty (30) days after the
existing beer distributor receives the notice required
pursuant to paragraph 2 of this subsection, the
successor beer distributor or the existing beer
distributor shall send a written notice to the other
party requesting arbitration pursuant to the Uniform
Arbitration Act, Part 2 of Article 22 of Title 13,
C.R.S. Arbitration shall be held for the purpose of
determining the fair market value of the existing beer
distributor's right to distribute in the existing beer
distributor territory,
b. notice of intent to arbitrate shall be sent, as
provided in subparagraph a of this paragraph, not later
than forty (40) days after the existing beer
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distributor receives the notice required pursuant to
paragraph 2 of this subsection. The arbitration
proceeding shall conclude not later than sixty (60)
days after the date the notice of intent to arbitrate
is mailed to a party, unless this time is extended by
mutual agreement of the parties and the arbitrator,
c. any arbitration held pursuant to this subsection shall
be conducted in a city within this state that:
(1) is closest to the existing beer distributor, and
(2) has a population of more than twenty thousand
(20,000) people,
d. any arbitration held pursuant to this paragraph shall
be conducted before one impartial arbitrator to be
selected by the American Arbitration Association or its
successor. The arbitration shall be conducted in
accordance with the rules and procedures of the Uniform
Arbitration Act, Part 2 of Article 22 of Title 13,
C.R.S.,
e. an arbitrator's award in any arbitration held pursuant
to this paragraph shall be monetary only and shall not
enjoin or compel conduct. Any arbitration held
pursuant to this paragraph shall be in lieu of all
other remedies and procedures,
f. the cost of the arbitrator and any other direct costs
of an arbitration held pursuant to this paragraph shall
be equally divided by the parties engaged in the
arbitration. All other costs shall be paid by the
party incurring them,
g. the arbitrator in any arbitration held pursuant to this
paragraph shall render a written decision not later
than thirty (30) days after the conclusion of the
arbitration, unless this time is extended by mutual
agreement of the parties and the arbitrator. The
decision of the arbitrator is final and binding on the
parties. The arbitrator's award may be enforced by
commencing a civil action in any court of competent
jurisdiction. Under no circumstances may the parties
appeal the decision of the arbitrator,
h. an existing beer distributor or successor beer
distributor who fails to participate in the arbitration
hearings in any arbitration held pursuant to this
paragraph waives all rights the existing beer
distributor or successor beer distributor would have
had in the arbitration and is considered to have
consented to the determination of the arbitrator, and
i. if the existing beer distributor does not receive
payment from the successor beer distributor of the
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settlement or arbitration award required under
paragraph 2 or 3 of this subsection within thirty (30)
days after the date of the settlement or arbitration
award:
(1) the existing beer distributor shall remain the
beer distributor in the existing beer
distributor's territory to at least the same
extent that the existing beer distributor
distributed the beer immediately before the
successor brewer acquired rights to the brand, and
(2) the existing beer distributor is not entitled to
the settlement or arbitration award.
F. 1. In addition to termination rights that may be set forth
in a distributor agreement, a small brewer who manufactures less than
twenty-five thousand barrels of beer annually may terminate a
distributor agreement with any beer distributor provided that, prior
to the effective date of the termination, the small brewer pays the
beer distributor the fair market value of the distribution rights
which will be lost or diminished by reason of the termination.
2. If such small brewer and beer distributor cannot mutually
agree to the fair market value of the applicable distribution rights
lost or diminished by reason of the termination, then the brewer
shall pay the beer distributor a good faith estimate of the fair
market value of the applicable distribution rights.
3. If the beer distributor being terminated under paragraph 2 of
this subsection disputes that the payment made by the small brewer
was less than the fair market value of the distribution rights, then
the beer distributor may within forty-five (45) days of termination
submit the question of fair market value of the applicable
distribution rights lost or diminished by reason of the termination
to binding arbitration before a panel of three neutral arbitrators
appointed in accordance with the commercial arbitration rules of the
American Arbitration Association, which panel shall determine by
majority decision whether the small brewer's payment meets the
requirements of paragraph 2 of this subsection.
4. If the arbitration panel rules that the payment made by the
small brewer to the beer distributor upon termination was less than
the fair market value of distribution rights lost or diminished by
reason of the termination, then the small brewer must pay the beer
distributor the difference between the payment made to the beer
distributor and the determined fair market value plus interest.
5. If the arbitration panel rules that the payment made by the
small brewer to the beer distributor upon termination was more than
the fair market value of distribution rights lost or diminished by
reason of the termination, then the beer distributor must pay the
small brewer the difference between the payment made to the beer
distributor and the determined fair market value, plus interest.
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6. All arbitration fees and expenses shall be equally divided
among the parties to the arbitration, except if the arbitration panel
determines that the small brewer's payment upon termination was not a
good-faith estimate of the fair market value, then the panel may
award up to one hundred percent (100%) of the arbitration costs to
the small brewer.
G. 1. Any beer distributor or brewer who is aggrieved by a
violation of any provision of subsections B and D of this section
shall be entitled to recovery of damages caused by the violation.
Except for a dispute arising under subsection E of this section,
damages shall be sought in a civil action in any court of competent
jurisdiction.
2. Any dispute arising under subsections B and D of this section
may also be settled by such dispute resolution procedures as may be
provided by a written agreement between the parties.
H. Nothing in this section shall be construed to limit or
prohibit good-faith settlements voluntarily entered into by the
parties.
I. Nothing in this section shall be construed to give a beer
distributor any right to compensation if an agreement with the beer
distributor is terminated by a brewer pursuant to subsections B, C
and D of this section.
J. No brewer shall require any beer distributor to waive
compliance with any provision of the Oklahoma Alcoholic Beverage
Control Act.
K. No brewer shall charge or accept, and no beer distributor
shall pay or provide, any money, property, gratuity, rebate, free
goods, shipping charges different than those charged for all beer
distributors, allowances, thing of value or inducement from a beer
distributor in exchange for the brewer entering into a distributor
agreement with the beer distributor. However, a brewer who also
holds a beer distributor license and desires to sell all or a portion
of its beer distribution rights and business, or a holder of small
brewer license who desires to change its election from self-
distribution to the use of a distributor agreement may accept a
payment for the fair market value of its existing and established
distribution business in the subject territory.
L. This section shall apply to any agreement entered into and
any renewals, extensions, amendments or conduct constituting a
modification of a distributor agreement by a brewer or cider
manufacturer existing on or after the effective date of this act.
M. Where a cider manufacturer distributes cider through a beer
distributor, the rights and obligations of the cider manufacturer,
the distributor, a successor cider manufacturer and a successor
distributor shall be the same as the rights and obligations provided
in this section for a brewer, beer distributor, successor brewer and
successor beer distributor.
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Added by Laws 2016, c. 366, § 81, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 16, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-112. Operation and maintenance conditions for brew pubs.
The operation and maintenance of a brewpub is subject to the
following conditions:
1. No person shall be permitted to own or operate a brewpub
without first paying the required fees set forth in Section 13 of
this act and obtaining a proper brewpub license from the ABLE
Commission in the manner provided in the Oklahoma Alcoholic Beverage
Control Act;
2. Each brewpub licensee shall comply with all other applicable
state and local license and permit requirements; and
3. In order to qualify for a brewpub license, a brewer or
manufacturer must meet the definition of a small brewer.
Added by Laws 2016, c. 366, § 82, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 16, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-113. Small brewers - Sales to licensed distributors or
retailers - Direct sales to consumers.
A. A small brewer is authorized to sell to either licensed
distributors or retailers. A small brewer shall elect whether it
will distribute through a distributor or self-distribute to
retailers; however, a small brewer may not elect to do both
simultaneously. The election shall be made through notice to the
ABLE Commission. Any changes to the election require immediate
notification to the ABLE Commission before the change in election
will take effect. A small brewer that elects to use a distributor
shall be subject to the terms and conditions of the Oklahoma
Alcoholic Beverage Control Act.
B. As a condition to the issuance of a Small Brewer License,
such small brewer shall pay the annual fees as set forth in Section
13 of this act and shall qualify with the Secretary of State of the
State of Oklahoma for a permit to do business within the State of
Oklahoma.
C. A small brewer may sell directly to consumers in this state
if it is the holder of a brewpub license. A licensed small brewer
may serve free samples of beer produced by the small brewer in this
state to visitors twenty-one (21) years of age or older. Samples may
only be distributed or consumed between 10:00 a.m. and 2:00 a.m.
Samples of beer served by a small brewer under this section shall not
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be considered a "sale" of beer within the meaning of Article XXVIIIA
of the Oklahoma Constitution or the Oklahoma Alcoholic Beverage
Control Act. However, such samples of beer shall be considered beer
removed or withdrawn from the small brewer for "use or consumption"
within the meaning of this title for excise tax determination and
reporting requirements.
Added by Laws 2016, c. 366, § 83, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-114. Resale of beer restrictions for retailers - Violations –
Penalties.
A. This section applies to all retailers authorized to sell beer
for consumption off the premises.
B. The holder of a retail beer or retail spirits license may
resell beer only in the packaging in which the holder received the
beer or may resell the contents of the packages as individual
containers.
C. Except for purposes of resale as individual containers, the
licensee shall not:
1. Mutilate, tear apart or cut apart original packaging in which
beer was received; or
2. Repackage beer in a manner misleading to the consumer or that
results in required labeling being omitted or obscured.
D. The ABLE Commission shall impose the following penalties for
a violation of subsection B or C of this section:
1. After notice and hearing, immediately revoke the license of
the licensee committing the violation; and
2. Impose a fine of not more than One Thousand Dollars
($1,000.00) for each violation.
Any licensee whose license is revoked pursuant to this subsection
shall not be eligible to reapply for a license for at least three (3)
months from the date of the revocation. Any stock of beer in
undamaged original packaging in the possession of such licensee shall
be repurchased by the distributor as long as the repurchased
inventory falls within the date considered by the brewer of the
product to be appropriate for sale to a consumer.
E. Administrative fines collected pursuant to this section shall
be enforceable in the district courts of this state. All
administrative fines collected by the ABLE Commission pursuant to
this section shall be forwarded to the State Treasurer for deposit in
the General Revenue Fund.
Added by Laws 2016, c. 366, § 84, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-3-115. Withdrawal of beer from retailer's stock.
A. To assure and control quality, a beer distributor or a holder
of a small brewer self-distribution license or brewpub self-
distribution license, at the time of a regular delivery, may withdraw
with the permission of the retailer, a quantity of beer or cider in
undamaged original packaging from the retailer's stock if:
1. The beer distributor or holder of a small brewer self-
distribution license or brewpub self-distribution license replaces
the stock with beer or cider of equivalent value brands, quantities,
packaging and alcohol by volume as the beer or cider withdrawn; or
2. The stock is withdrawn before the date, or immediately after
the date, considered by the brewer of the product to be the date the
product becomes inappropriate for sale to a consumer.
B. The provisions of this section shall not apply to beer or
cider that:
1. Has suffered damage at the retail licensee's location,
regardless of the date upon which the product becomes inappropriate
for sale to a consumer. Beer distributors, small brewer self-
distributors and brewpub self-distributors are prohibited from giving
a refund for or replacing beer or cider that was damaged while in the
possession of the retail licensee. Retail licensees are prohibited
from requesting or requiring the beer distributor, small brewer self-
distributor and brewpub self-distributor to remove such damaged
product as a condition of continued business with the retail
licensee; or
2. Has a date for recommended use that expired prior to October
1, 2018. Retail licensees and brewers are prohibited from requesting
or requiring the beer distributor, small brewer self-distributor and
brewpub self-distributor to remove such expired beer or cider as a
condition of continued business with the retail licensee or brewer.
C. A consignment sale of beer is not authorized under this
section.
Added by Laws 2016, c. 366, § 85, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 17, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-116. Sale of alcoholic beverages bottled or made in a foreign
country to licensed wine and spirits wholesalers – Violations.
A. Any manufacturer or subsidiary of a manufacturer who markets
its products solely through a subsidiary or subsidiaries, a
distiller, rectifier, bottler, winemaker or importer of alcoholic
beverages, bottled or made in a foreign country, either within or
without this state, may sell such brands or kinds of alcoholic
beverages to every licensed wine and spirits wholesaler who desires
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to purchase the same, on the same price basis and without
discrimination or inducements, and shall further be required to sell
such beverages only to those persons licensed as wine and spirits
wholesalers.
B. The provisions of subsection A of this section shall not
apply to a brewer except as otherwise stated herein. In the event a
brewer, who has entered into territorial distribution agreements with
beer distributors in this state, markets wine and spirits products in
this state either itself or through a subsidiary or affiliate, then
such brewer, subsidiary or affiliate may elect to designate beer
distributors, with whom it has entered into territorial distribution
agreements, as its designated wholesalers for any wine and spirit
products to be sold by the brewer, subsidiary or affiliate within
said beer distributors' existing territories, provided such beer
distributors must also hold a wine and spirits wholesaler license.
In such event, the beer distributors shall be deemed designated
wholesalers for the territory with respect to the designated
products. Provided, in the event a beer distributor has not obtained
a wine and spirits license, has elected not to sell wine and spirits
in its respective territory or, in the brewer's commercially
reasonable discretion, is not suitable to sell wine and spirits in
its respective territory, then the brewer, subsidiary or affiliate
may extend the territory of an existing beer distributor, with whom
it has entered into a territorial distribution agreement and who
holds a wine and spirits wholesaler license, for said territory. For
purposes of this subsection only, the phrase "subsidiary or
affiliate" shall mean any entity that the brewer controls, is
controlled by, or is under common control with, during the time that
the wine and spirits brands are offered for sale in this state, and
"control" shall mean ownership of more than fifty percent (50%) of
the voting securities or assets of, or the ability to dictate the
material operations of, another entity. If the brewer, subsidiary or
affiliate sells the wine and spirits brands to a manufacturer other
than one that would otherwise fall within the provisions of this
subsection, then the rights provided in this subsection which relate
to the wine and spirits brands shall terminate. The rights provided
to beer distributors pursuant to Section 3-111 of this title shall
not be extended to apply to the wine or spirits brands distributed
pursuant to this subsection.
C. No manufacturer shall require a wine and spirits wholesaler
to purchase any alcoholic beverages or any goods, wares or
merchandise as a condition to the wine and spirits wholesaler
obtaining or being entitled to purchase any alcoholic beverages.
Violation of this section shall be a misdemeanor. Conviction
hereunder shall automatically revoke the violator's license.
D. In the event a manufacturer or nonresident seller has not
designated a designated wholesaler to sell its products in the state,
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the nondesignated products shall be posted in accordance with the
following:
1. On the first business day of each month, the manufacturer
shall post with the ABLE Commission the price of all wine and spirits
it proposes to offer for sale to licensed wine and spirit wholesalers
in this state. All prices shall become effective on the first
business day of the following month and shall remain in effect and
unchanged for a period of not less than one (1) month. The posting
shall be submitted on a form approved by the ABLE Commission and
shall identify the brand, size, alcohol content and price of each
item intended to be offered for sale. No change or modification of
the posted price shall be permitted except upon written permission
from the ABLE Commission based on good cause shown;
2. When a new item is registered, or an old item is
discontinued, or any change is made by a manufacturer or nonresident
seller as to price, age, proof, label or type of bottle of any item
offered for sale in this state, such new item, discontinued item or
change in price, age, proof, label or type of bottle of any item
shall be listed separately on the cover page of the price schedule
and, in the case of prices changed, shall reflect both the old and
the new price of the item changed. All new items and changes as to
age, proof, label or type of bottle in which any item is offered for
sale shall first be submitted in writing to the ABLE Commission for
approval under such requirements as it may deem proper. Approval or
disapproval of price changes shall not be required if filed in
conformity with the provisions of this subsection.
a. In addition to the foregoing requirements, the
manufacturer shall, at the same time, on regular forms
provided by the ABLE Commission, re-register all items
of alcoholic beverage which the manufacturer had
registered and offered for sale in this state during
the previous price period.
b. A short form of price posting may be permitted by the
ABLE Commission for any price period in which no new
item is offered or old item discontinued, or change is
made in the price, age, proof, label or type of bottle
of any item offered by any manufacturer. Such short
form shall contain only such statements as the Director
may require or permit;
3. The brand name, size, proof and type of alcoholic beverages
must be shown on each container sold in this state;
4. No brand of alcoholic beverage shall be listed on a price
list or posting in more than one place, or offered for sale by more
than one method, or at more than one price, except as provided
hereafter:
a. a manufacturer who has posted F.O.B. prices from a
foreign shipping point shall also list the same item(s)
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at an F.O.B. point within the continental United
States. Only one United States F.O.B. point shall be
permitted, and
b. a manufacturer may list on their price list or posting
an item of specific size that may be packaged in more
than one type or design container, provided that the
containers being offered have been approved by the ABLE
Commission;
5. The manufacturer shall sell to the wine and spirits
wholesalers all items of wine and spirits at the current posted price
in effect on the date of the shipment as shown on the manifest, bill
of lading or invoice;
6. A full and correct copy of each said price registration shall
be transmitted to wine and spirits wholesalers on the same day such
prices are filed with or mailed to the ABLE Commission. Proof of
such mailing or delivery shall be furnished the ABLE Commission by
the manufacturer with the price registration or upon request;
7. The sale, or offer to sell, of any item of alcoholic beverage
by a manufacturer to a wine and spirits wholesaler at a price not in
compliance with the price posted with the ABLE Commission may be
deemed a violation; and
8. This subsection shall not apply to a manufacturer that has
designated a wine and spirits wholesaler to sell its product in the
state or a brewer who has appointed a beer distributor as a
designated wholesaler pursuant to subsection B of Section 3-116 of
this title, with respect to designated products.
Added by Laws 2016, c. 366, § 86, eff. Oct. 1, 2018. Amended by Laws
2017, c. 364, § 17, eff. Oct. 1, 2018; Laws 2019, c. 322, § 18,
emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-116.1. Manufacturers without a designated wholesaler -
Posting requirements.
A. In the event a manufacturer has not designated a wine and
spirits wholesaler, or a brewer has not appointed a beer distributor
as a designated wholesaler pursuant to subsection B of Section 3-116
of this title, to sell its product in the state, then every wine and
spirits wholesaler that sells that product shall comply with the
following posting requirements:
1. All wine and spirits wholesalers who choose to sell the
Nondesignated Product shall file with the ABLE Commission on the
fifteenth day of each posting month a proposed category percentage
markup. A percentage markup shall be defined as a percentage of
increase or decrease in relation to the wholesaler laid-in-cost for
all items in each category. The percentage does not have to be the
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same for all categories, but in the original posting the percentage
shall be the same for all items in the same category;
2. The proposed markups shall be computed by percentage in the
four categories: Spirits, Cordials and Specialties, Wines-Domestic
and Wines-Imported. In reporting to the ABLE Commission, the
proposed markups shall be set forth in the following categories and
order:
a. Category 1 - Spirits: Straights, Blends, Bonds, Corn,
Rye, Scotch, Canadian, Irish, Vodka, Gin, Rum, Brandy
Alcohol and Tequila,
b. Category 2 - Cordials and Specialties: Cocktails,
Cordials, Domestic and Imported and Miscellaneous
Specialties,
c. Category 3 - Wines-Domestic: Vermouth American,
Fortified American, Light American and Champagne
American, and
d. Category 4 - Wines-Imported: Vermouth Imported,
Fortified Imported, Light French, Light German, Light
Other Imported and Champagne Imported;
3. When a wine and spirits wholesaler desires to charge for
expenses incurred in handling of individual bottles in fractional
cases, or for transportation of their alcoholic beverage to persons
licensed to purchase the same, the wine and spirits wholesaler shall
on the fifteenth day of each posting month include with its proposed
percentage posting the separate amounts, if any, to be charged for
bottle handling and the amount of transportation, respectively, to be
charged per case;
4. The proposed posting by the wine and spirits wholesaler shall
list the percentage posting, and the handling and transportation cost
without discrimination to all licensees regardless of their distance
from the wine and spirits wholesaler's warehouse;
5. The ABLE Commission shall immediately upon receipt of all
proposed category percentage postings, prepare a summation of the
proposal and disseminate an electronic copy to all wine and spirits
wholesalers. The summation shall contain the proposed percentage
posting for each category, including proposed transportation charges
as submitted by each wine and spirits wholesaler;
6. After filing the report required by this subsection, any and
all wine and spirits wholesalers shall be permitted to register on or
before the twenty-fifth day of each posting month an adjusted price.
The adjusted price means percentage or individual item prices
reported and registered by a wine and spirits wholesaler on or before
the twenty-fifth day of the posting month in response to a lower
percentage reported and registered by a competitor on the fifteenth
day of the month. The adjusted price shall be no lower than the
lowest percentage posted on the fifteenth day of said month by any
wine and spirits wholesaler;
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7. The adjusted price posted by a wine and spirits wholesaler in
response to the lowest percentage posted by any wine and spirits
wholesaler may, but need not be, posted in terms of a percentage and,
if not so stated, shall state the price at which the wine and spirits
wholesaler proposes to sell each individual item or size of item
which he proposes to offer for sale during the posting period. The
price postings, except for unmodified percentage markups, shall
describe each item by brand, size, age, type and proof. Wines and
champagnes shall reflect the alcoholic contents thereof;
8. The percentage markup utilized by a wine and spirits
wholesaler in calculating its adjusted prices may be at any level
between its originally posted percentage markup and the lowest
percentage markup originally posted by any other wine and spirits
wholesaler, but may not be above its original posting or below the
lowest percentage posted by any wine and spirits wholesaler. Any
fraction within four (4) decimals in determining final prices of
bottles shall be raised to the next higher cent;
9. Each wine and spirits wholesaler may, upon the twenty-fifth
day of the posting month, adjust his transportation and handling
charges to a level no lower than that of a competitor or higher than
its initial proposal on the fifteenth day of the posting month. Such
bottle handling and transportation charge shall be in effect for the
duration of the price posting which it accompanies. Provided, that
if a licensee shall order any item in full case lots and the wine and
spirits wholesaler does not have in inventory such item in full case
lots, no bottle handling charge may be assessed to the licensee for
the partial case;
10. All wine and spirits wholesalers shall, on the same date of
filing an adjusted price posting with the ABLE Commission, transmit
electronically a copy of its adjusted prices to each wine and spirits
wholesaler in the state;
11. A wine and spirits wholesaler may include a minimum order
charge of no less than One Dollar ($1.00) for any order of alcoholic
beverages to a retail, mixed beverage, caterer or special event
licensee that does not exceed the amount that such wholesaler
designates as a minimum order in his proposed price posting. The
minimum charge, if it is more than One Dollar ($1.00), and the amount
of the minimum order shall be included in the price posting;
12. All price postings, as adjusted, shall become effective on
the first day of the following month and remain in effect for a
period of two (2) months. No other charge may be assessed by the
wholesaler to the licensee except those expressly authorized by the
provisions of the Oklahoma Alcoholic Beverage Control Act or the
rules of the ABLE Commission;
13. A price posting on a new item not previously stocked by a
wine and spirits wholesaler shall be filed with the ABLE Commission
prior to offering for sale, but no such item shall be listed at a
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lower price than is then, or will be, in effect during the price
period for which the new item is filed, and within the percentage in
the proper category of said wine and spirits wholesaler. In the
event of a new item posting, mailings to wine and spirits wholesalers
and those licensed to purchase wine and spirits in the state, as
herein required, shall be sent on the same date as the postings;
14. When a wine and spirits wholesaler discontinues an item, or
does not have an item in its warehouse or on order, the item shall be
deleted from its price posting. When or if the item is restocked or
replaced in the inventory of the wine and spirits wholesaler, it
shall be reentered into the price postings as would a new item;
15. The sale of or the offer to sell alcoholic beverages at the
prices quoted in such price posting before the same is in force and
effect shall be grounds for the suspension or revocation of the wine
and spirits wholesaler's license if the new price varies from the
price then in effect; and
16. The provisions of this section are severable, and if any
provisions of the same shall be void, the decision of the court so
holding shall not affect or impair the remaining parts or provisions
thereof.
B. This section shall not apply to products that have been
designated by a manufacturer for distribution by a wine and spirits
wholesaler or by a brewer for distribution by a beer distributor
pursuant to subsection B of Section 3-116 of this title in the state.
Added by Laws 2017, c. 364, § 18, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 19, emerg. eff. May 7, 2019.
§37A-3-116.2. Designated wholesalers or beer distributors - Posting
requirements.
A. In the event a manufacturer has designated a wine and spirits
wholesaler or a brewer has designated a beer distributor pursuant to
subsection B of Section 3-116 of this title to sell its product in
the state, the wine and spirits wholesaler shall comply with the
following posting requirements: The wine and spirits wholesaler or
beer distributor appointed pursuant to subsection B of Section 3-116
of this title shall submit its line-item price posting for that
product no later than the fifteenth day of each month. If the
fifteenth day of the month falls on a Saturday, Sunday or a holiday
then the wine and spirits wholesaler shall submit its price posting
on the next business day. The price posting submitted by the wine
and spirits wholesaler shall list the line-item price, handling cost,
transportation cost and any other costs that may be associated with
the sale or delivery of that item. All prices shall become effective
on the first business day of the month following posting and shall
remain in effect and unchanged in one-month increments. No change or
modification of the posted price shall be permitted except upon
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written permission from the ABLE Commission based on good cause
shown.
B. This section shall not apply unless a product has been
designated by a manufacturer for distribution by a single wine and
spirits wholesaler in the state or by a brewer for distribution by a
beer distributor pursuant to subsection B of Section 3-116 of this
title.
Added by Laws 2017, c. 364, § 19, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 20, emerg. eff. May 7, 2019.
§37A-3-116.3. Wholesalers - Electronic publishing of price catalog.
A. On the first business day of every month, every wine and
spirits wholesaler shall electronically publish and distribute its
price catalog to the ABLE Commission, to all licensees who have
purchased alcoholic beverages from the wine and spirits wholesaler
within the past sixty (60) days, and to any on-premises or off-
premises licensee who requests an electronic copy of the same. Every
price catalog shall contain the sales price of every item offered for
sale by brand name, size, proof and type of alcoholic beverage, as
well as any transportation, handling and other charges to be assessed
for the delivery of the products. In addition, every price catalog
shall contain the effective date of the price catalog, as well as the
name, physical address, office phone number and facsimile number of
the wine and spirits wholesaler.
B. The wine and spirits wholesaler shall not alter or modify its
price catalog without the prior written consent of the ABLE
Commission for good cause shown. The ABLE Commission may also
approve a modification to a wine and spirits wholesaler's price
catalog in the event a manufacturer is allowed to change the price of
a product within the posting period. For designated products, the
price amendment shall become effective on the first business day of
the following calendar week. For nondesignated products, the price
amendment shall become effective on the first day of the second month
of the sixty-day posting period. The wine and spirits wholesaler
shall publish and distribute all approved price amendments consistent
with the requirements set forth in subsection A of this section.
Added by Laws 2017, c. 364, § 20, eff. Oct. 1, 2018.
§37A-3-116.4. Top brand products – Offered to all wholesalers
without discrimination.
Any wine or spirit product that constitutes a top brand, as
defined in this section, shall be offered by the manufacturer for
sale to every licensed wine and spirits wholesaler who desires to
purchase the same on the same price basis and without discrimination
or inducements. "Top brand" shall mean those brands constituting the
top twenty-five brands in total sales of spirits and of wine by all
wholesalers during the past twelve-month period, according to the
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records of the ABLE Commission as revised by the ABLE Commission
quarterly. In order to allow the ABLE Commission to determine the
top twenty-five brands of spirits and of wine, all wholesalers must
submit to the ABLE Commission every sixty (60) days a sworn affidavit
listing their top thirty brands of spirits and of wine in sales for
the previous sixty (60) days, excluding sales to wholesalers.
Wholesalers who choose to purchase any top-brand wine or spirits
product shall comply with the line-item price posting requirements of
Section 3-116.2 of Title 37A of the Oklahoma Statutes. Any pricing
amendment to which the ABLE Commission provides its written consent
in accordance with Section 3-116.3 of Title 37A of the Oklahoma
Statutes shall become effective on the first business day of the
following week.
Added by Laws 2019, c. 353, § 2.
§37A-3-117. Sale of alcoholic beverages packaged with nonalcoholic
promotional items.
A. A retailer may offer for sale and sell alcoholic beverages
which are packaged or are to be packaged with nonalcoholic
promotional items, if such packaging and all nonalcoholic promotional
items are provided by the manufacturer or brewer or agent of the
manufacturer or brewer at the expense of the manufacturer or brewer
or agent of the manufacturer or brewer, regardless of where such
packages are assembled.
B. The manufacturer or brewer or agent of the manufacturer or
brewer may provide such packaging and any nonalcoholic promotional
items to the retailer at the retailer's premises, or otherwise, and
may deliver such packaging and all nonalcoholic promotional items
provided by the manufacturer or brewer or agent to the retailer by
means of common carrier, or otherwise, at no expense to the retailer,
for the retailer to incorporate the alcoholic beverage product of the
manufacturer or brewer into the manufacturer's or brewer's packaging
or with such promotional items.
C. The manufacturers and brewers of alcoholic beverages, through
their agents, must make access to the packaging for such alcoholic
beverages with nonalcoholic promotional items available equally to
retailers in this state. Such access to the promotional packaging is
subject to the reasonable supplies of such packaging and subject to
the terms of the manufacturer's or brewer's promotion. Such access
to the manufacturer's or brewer's packaging by the retailers shall be
commensurate to the needs of the retailers based on the stock of the
manufacturer's or brewer's product carried by the retailer. The
manufacturers and brewers shall only be required to carry reasonable
supplies of such promotional packages and shall make a good faith
effort to ratably distribute such packaging or items to those
retailers who desire such packaging or items.
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Added by Laws 2016, c. 366, § 87, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 21, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-118. Retail sales of alcoholic beverages - Minimum price
markup – Exceptions.
No alcoholic beverages intended for off-premise or on-premise
consumption shall be sold at retail for less than a six percent (6%)
markup, unless the sale meets one or more of the following
conditions:
1. Where seasonable merchandise is sold in bona fide clearance
sales, if advertised, marked and sold as such;
2. Where merchandise is imperfect or damaged or is being
discontinued and is advertised, marked and sold as such;
3. Where merchandise is sold upon the final liquidation of any
business;
4. Where merchandise is sold for charitable purposes or to
relief agencies;
5. Where merchandise is sold on contract to departments of the
government or governmental institutions;
6. Where merchandise is sold by any officer acting under the
order or direction of any court; or
7. Where merchandise is sold at any bona fide auction sale.
Added by Laws 2016, c. 366, § 88, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-119. Business interests and acts prohibited for manufacturer,
wine and spirts wholesaler, beer distributor, person authorized to
sell alcoholic beverages to a wholesaler and others.
It shall be unlawful for any manufacturer, brewer, wine and
spirits wholesaler, beer distributor or person authorized to sell
alcoholic beverages to a wholesaler, or any employee, officer,
director, stockholder owning fifteen percent (15%) or more of the
stock, any type of partner, manager, member or agent thereof, to
directly or indirectly:
1. Have any financial interest in any premises upon which any
alcoholic beverage is sold at retail or in any business connected
with the retailing of alcoholic beverages; provided, nothing in this
act shall prohibit the operation of a mixed beverage licensee, beer
and wine licensee or caterer licensee by an entity which has common
owners with the holder of a small brewer license or a brewpub
license;
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2. Lend any money or other thing of value, or to make any gift
or offer any gratuity, to any package store, retail wine, retail
beer, mixed beverage, beer and wine, public event or bottle club
licensee or caterer;
3. Guarantee any loan or the repayment of any financial
obligation of any retailer, mixed beverage, beer and wine, public
event or bottle club licensee or caterer;
4. Require any wine and spirits wholesaler, beer distributor,
retailer, mixed beverage, on-premises beer and wine licensee, public
event or caterer to purchase and dispose of any quota of alcoholic
beverages, or to require any retailer to purchase any kind, type,
size, container or brand of alcoholic beverages in order to obtain
any other kind, type, size, container or brand of alcoholic
beverages;
5. Sell to any retailer, mixed beverage, on-premises beer and
wine licensee, public event or caterer any alcoholic beverage on
consignment, or upon condition, or with the privilege of return, or
on any condition other than a bona fide sale; provided, the following
shall not be considered a violation of this paragraph:
a. delivery in good faith, through mistake, inadvertence
or oversight, of an alcoholic beverage that was not
ordered by a retailer, mixed beverage licensee, on-
premises beer and wine licensee, caterer, public event
or special event licensee to such licensee,
b. replacement of product breakage that occurred while the
alcoholic beverages were in transit from the wholesaler
to the licensee, or
c. replacement of cork-tainted wine that makes the product
unsaleable as long as the licensee notifies the wine
and spirits wholesaler of the defect in writing within
ninety (90) days after delivery of the product; or
6. Extend credit to any retailer, other than holders of Federal
Liquor Stamps on United States government reservations and
installations, mixed beverage, public event or on-premises beer and
wine licensee or caterer, other than a state lodge located in a
county which has approved the retail sale of alcoholic beverages by
the individual drink for on-premises consumption. The acceptance of
a postdated check or draft or the failure to deposit for collection a
current check or draft by the second banking day after receipt shall
be deemed an extension of credit. Violation of this section shall be
grounds for suspension of the license.
Added by Laws 2016, c. 366, § 89, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 22, emerg. eff. May 7, 2019; Laws 2019, c. 431, § 1,
emerg. eff. May 23, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-3-120. Business interests prohibited for beverage, beer and
wine, caterer, public event or bottle club licensees.
No mixed beverage, beer and wine, caterer, public event or bottle
club licensee, partner in any type of partnership, manager or member
of a limited liability company, officer, director or stockholder of
any corporate licensee owning more than fifteen percent (15%) of the
stock shall have any right, title, lien, claim or interest, financial
or otherwise in, upon or to the premises, equipment, business or
merchandise of any package store, beer distributor, brewer,
manufacturer or wholesaler. The provisions of this section shall not
prohibit a person who is an officer or director of a fraternal or
veteran's organization which is a tax exempt organization under
Section 501(c)(8),(10) or (19) of the Internal Revenue Code and which
holds a license issued by the ABLE Commission from having a right,
title, lien, claim or interest in the premises, equipment, business
or merchandise of a package store.
Added by Laws 2016, c. 366, § 90, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 23, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-121. Business interests in mixed beverage, beer and wine,
caterer, public event or bottle club prohibited for manufacturer,
wine and spirits wholesaler, beer distributor and others.
No manufacturer, brewer, wine and spirits wholesaler, beer
distributor, partner in any type of partnership, manager or member of
a limited liability company, or officer, director or stockholder of
any nonresident seller, brewer, or manufacturer licensee, owning more
than fifteen percent (15%) of the stock shall have any right, title,
claim or interest, financial or otherwise in, upon or to the
premises, equipment, business or merchandise of any mixed beverage,
beer and wine, caterer, public event or bottle club licensee.
Added by Laws 2016, c. 366, § 91, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 24, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-122. Business interests in interactive entertainment
facilities.
A. As used in this section:
1. "Interactive entertainment facility" means premises that
feature interactive computer and video entertainment attractions,
themed merchandise, food and alcoholic beverages; and
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2. "Main purpose of the business" means that the total gross
income derived from interactive entertainment exceeds the total gross
income derived from the sale, mixing, or serving of alcoholic
beverages.
B. Nothing in Sections 89 or 90 of this act shall be construed
as prohibiting the issuance, transfer or renewal of any mixed
beverage license to any person or corporation with respect to
premises that are an integral part of an interactive entertainment
facility in which a manufacturer, brewer, nonresident seller,
distiller or rectifier has an interest, directly or indirectly, of
less than thirty percent (30%) if all the following conditions are
met:
1. The main purpose of the business conducted within the
facility is providing interactive entertainment, not the sale of
alcoholic beverages;
2. The mixed beverage licensee shall serve other brands of wine,
beer and alcoholic beverages in addition to the brands manufactured,
produced or distributed by any distiller, rectifier, nonresident
seller, brewer or manufacturer that has a direct or indirect interest
in the mixed beverage license;
3. No more than twenty percent (20%) of the mixed beverage
licensee's purchases of alcoholic beverages for sale on its licensed
premises shall be products manufactured, produced or distributed by
the manufacturer, brewer, distiller, rectifier or nonresident seller
that has a direct or indirect interest in the licensed premises;
4. The licensee purchases all alcoholic beverages and beer sold
on the premises from wholesalers or distributors that are licensed in
Oklahoma;
5. The distiller, rectifier, nonresident seller, brewer or
manufacturer does not control, directly or indirectly, the day-to-day
operation of the licensed premises; and
6. Officers, directors and employees of the distiller,
rectifier, nonresident seller, brewer or manufacturer do not serve as
officers or directors of the entity operating the licensed premises.
Added by Laws 2016, c. 366, § 92, eff. Oct. 1, 2018. Amended by Laws
2019, c. 322, § 25, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-123. Sale of alcoholic beverages to wholesalers, beer
distributors or retailers - Unlawful to discriminate in price –
Violations.
A. It shall be unlawful for any person privileged to sell
alcoholic beverages to wholesalers, beer distributors or retailers:
1. To discriminate, directly or indirectly, in price between one
wine and spirits wholesaler and another wine and spirits wholesaler,
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when that manufacturer has not designated a single wine and spirits
wholesaler, or between one retailer and another retailer purchasing
alcoholic beverages bearing the same brand or trade name and of like
age and quality, unless otherwise provided by law; or
2. To grant, directly or indirectly, any discount, rebate, free
goods, allowance or other inducement.
B. The ABLE Commission is hereby authorized to promulgate rules
which are necessary to carry out the purpose of this section and to
prevent its circumvention by offering or giving of any rebate,
allowance, free goods, discount or any other thing or service of
value; provided, the posting or invoicing of charges per order for
processing minimum orders or per case for the handling or repacking
of goods by wine and spirits wholesalers and beer distributors for
sales in less than full case lots shall not constitute a violation of
this section.
C. For the violation of any provision of this section or of any
rule duly promulgated under this section, the ABLE Commission may
suspend or revoke a license as follows:
1. For a first offense, not exceeding ten (10) days' suspension
of license;
2. For a second offense, not exceeding thirty (30) days'
suspension of license; and
3. For a third offense, the ABLE Commission shall revoke the
license.
D. For purposes of this section, and except as otherwise
provided in subsection E of this section, "inducement" means directly
or indirectly offering, selling, trading, giving or furnishing any
discount, free goods, electronic or nonelectronic refrigerated
equipment, barrels, tubs, fixtures, dispensing equipment, outdoor
electric or nonelectric advertising structure displaying the
retailer's name, permanent shelving, supplies, gifts, prizes,
instantly redeemable coupons, premiums, retailer rebates, services of
any employee including but not limited to affixing price labels or
tags, routinely stocking product on shelves other than the stocking
of cold boxes, paying a third party for entering product and price
information into a retailer's computer system, portal, website,
spreadsheet or third-party system, handling product that was not sold
to the retailer by the licensee, paying a slotting fee, selling on
consignment, operating a retailer's cash register, conducting
janitorial services, decoration, samples of alcoholic beverages,
personal property or other inducement or thing of value to any retail
spirit, retail beer, retail wine, beer and wine, mixed beverage,
caterer, bottle club or special event licensee, wine and spirits
wholesaler or beer distributor, their agents or employees.
E. It shall not be deemed an inducement for a brewer, beer
distributor, small brewer self-distributor or brewpub self-
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distributor to voluntarily take the following merchandising actions
with the permission of the retail licensee:
1. Furnish point-of-sale advertising materials and consumer
advertising specialties, as those terms are defined in 27 C.F.R.,
Section 6.84 and in compliance with the other limits and restrictions
provided in 27 C.F.R., Section 6.84;
2. Give or sell product displays, including but not limited to
barrels and tubs, provided that the value of such displays does not
exceed the limits and restrictions provided in 27 C.F.R., Section
6.83;
3. Build product displays, accessible to the customer and
without disturbing competitors' products, for the product being
delivered by the beer distributor;
4. Affix pricing to the shelf strip or product display for the
product being delivered by the beer distributor, small brewer self-
distributor or brewpub self-distributor, or brewed by the brewer;
5. Routinely stock and restock shelves and cold boxes and rotate
product that has been sold to the retail licensee by the beer
distributor, small brewer self-distributor or brewpub self-
distributor, or brewed by the brewer;
6. Furnish things of value to a temporary retailer, as defined
in 27 C.F.R., Section 6.85;
7. Sell equipment or supplies to a retail licensee, provided the
equipment or supplies are sold at a price not less than the cost to
the industry member and payment is collected within thirty (30) days
of the sale;
8. Install dispensing accessories at the retail location, as
long as the retailer bears the cost of installation including
equipment; or furnish, give or sell coil cleaning services to a
retailer;
9. Withdraw quantities of beer or cider in undamaged, original
packaging from the retail licensee's stock, provided the beer
distributor, small brewer self-distributor, brewpub self-distributor
or brewer sold such beer, directly or indirectly, to the retail
licensee and such removal is otherwise permitted under Section 3-115
of this title; provided, however, replacing with beer or cider of
equivalent value shall not be considered a consignment sale;
10. Provide mail-in rebates for beer, cider and nonalcoholic
beverage merchandise items, funded by the brewer and redeemed by the
brewer, either by itself or through a third-party fulfillment
company, for a discount or rebate on the beer, cider or nonalcoholic
item;
11. Provide a recommended shelf plan or shelf schematic to a
retail licensee for all or any portion of the inventory sold by the
retail licensee;
12. Furnish or give a sample of beer or cider to a retailer who
has not purchased the brand from that brewer, beer distributor, small
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brewer self-distributor or brewpub self-distributor within the last
twelve (12) months, provided that the brewer, beer distributor, small
brewer self-distributor or brewpub self-distributor may not give more
than thirty-six (36) ounces of any brand of beer or cider to a
specific retailer;
13. Furnish or give newspaper cuts, mats or engraved blocks for
use in retailers' advertisements;
14. Package and distribute beer or cider in combination with
other nonalcoholic items for sale to consumers;
15. Give or sponsor educational seminars for employees of
retailers either at the brewer, beer distributor, small brewer self-
distributor or brewpub self-distributor's premises or at the
retailer's establishment, including seminars dealing with use of a
retailer's equipment, training seminars for employees of retailers or
tours of the brewer, beer distributor, small brewer self-distributor,
or brewpub self-distributor's plant premises, provided that the
brewer, beer distributor, small brewer self-distributor or brewpub
self-distributor shall not pay the retailer for the employees'
travel, lodging or other expenses in conjunction with an educational
seminar but may provide nominal hospitality during the event;
16. Conduct tasting or sampling activities at a retail
establishment and purchase the products to be used from the retailer
so long as the purchase price paid does not exceed the ordinary
retail price, provided a beer distributor shall not be required to
provide labor for such sampling activities;
17. Offer contest prizes, premium offers, refunds and like items
directly to consumers so long as officers, employees and
representatives of brewers, beer distributors, small brewer self-
distributors, brewpub self-distributors and licensed retailers are
excluded from participation;
18. List the names and addresses of two or more unaffiliated
retailers selling the products of a brewer, beer distributor, small
brewer self-distributor or brewpub self-distributor in an
advertisement of such brewer, beer distributor, small brewer self-
distributor or brewpub self-distributor so long as the requirements
of 27 C.F.R., Section 6.98 are satisfied; or
19. Entering product and price information into a retailer's
portal, website, spreadsheet or third-party system. A brewer may pay
for a third-party system that provides data and pricing services to
the brewer or a beer distributor.
F. It shall not be deemed an inducement for a brewer, beer
distributor, small brewer self-distributor or brewpub self-
distributor to engage in the following marketing activities, provided
that the brewer, beer distributor, small brewer self-distributor or
brewpub self-distributor shall not pay the retailer's travel costs
other than those for local transportation or lodging:
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1. Provide tickets to a retailer for a sporting or entertainment
event so long as a representative of the brewer, beer distributor,
small brewer self-distributor or brewpub self-distributor attends the
event with the retailer;
2. Provide food and beverage to a retailer for immediate
consumption:
a. at a meeting at which the primary purpose is the
discussion of business,
b. at a convention when the food and beverages are offered
to all participants, or
c. at a sports or entertainment event that the
representatives of a brewer, beer distributor, small
brewer self-distributor or brewpub self-distributor
attend with the retailer;
3. Participate in retailer association activities by engaging in
the following actions:
a. displaying products at a convention or trade show,
b. renting display booth space if the rental fee is the
same as paid by all exhibitors at the event,
c. providing its own hospitality which is independent from
association-sponsored activities,
d. purchasing tickets to functions and paying registration
fees if the payments or fees are the same as paid by
all attendees, participants or exhibitors at the event,
or
e. making payments for advertisements in programs or
brochures issued by retailer associations at a
convention or trade show; or
4. Giving or selling outdoor signs to a retailer so long as the
following requirements of 27 C.F.R., Section 6.102 are satisfied:
a. the sign bears conspicuous and substantial advertising
matter about the product or the brewer, beer
distributor, small brewer self-distributor or brewpub
self-distributor which is permanently inscribed or
securely affixed,
b. the retailer is not compensated, directly or
indirectly, such as through a sign company, for
displaying the signs, and
c. a permanent outdoor sign does not contain the
retailer's name.
Added by Laws 2016, c. 366, § 93, eff. Oct. 1, 2018. Amended by Laws
2019, c. 431, § 2, emerg. eff. May 23, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-3-124. Voter approval at county special elections or a general
election required for sale of alcoholic beverages on Sundays or by
individual drink for on-premises consumption.
A. Sale of alcoholic beverages by the individual drink for on-
premises consumption shall be unlawful in any county of this state
unless the sale has been approved by a majority of the registered
voters of the county voting thereon at a special election called by
the board of county commissioners or a General Election. Subject to
the provisions of subsection C of this section, such election shall
be called by the board of county commissioners upon receipt of a
petition signed by registered voters constituting not less than
fifteen percent (15%) of the total votes cast in the county in the
last General Election for the Office of Governor, or such election
may be called by the board of county commissioners upon its own
motion. At the time such election is called, the proposition shall
include those days or portions of days, if any, on which sales of
alcoholic beverages by the individual drink are not authorized. If
the proposition is the result of a motion of the board of county
commissioners, then the ABLE Commission shall designate the days or
portions of days, if any, on which the sales of alcoholic beverages
are not authorized. If the proposition is the result of a petition,
such petition shall specify days or portions of days, if any, on
which the sales of alcoholic beverages are not authorized.
If, at the Special Election or at a General Election, the
proposition to authorize the sale of alcoholic beverages by the
individual drink for on-premises consumption fails to be approved by
the registered voters of the county, the county shall not hold
another election on whether or not to approve such sales, for at
least two (2) years from the date the proposition failed to be
approved.
B. Sales of alcoholic beverages on Sundays by retail spirits
licensees shall be unlawful in any county of this state unless
approved by a majority of the registered voters of the county voting
thereon at a special election called by the board of county
commissioners or a General Election. Subject to the provisions of
subsection C of this section, such election shall be called by the
board of county commissioners upon receipt of a petition signed by
registered voters constituting not less than fifteen percent (15%) of
the total votes cast in the county in the last General Election for
the Office of Governor, or such election may be called by the board
of county commissioners upon its own motion.
C. A proposition otherwise authorized by the provisions of
subsection A or subsection B of this section shall be placed before
the voters of the applicable county at an election to be held on the
same date as:
1. Any regularly scheduled federal, state or county election
held in that county;
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2. A special election held in that county for a federal, state
or county office; or
3. A special election held in that county for another county
proposition or a state question.
Added by Laws 2016, c. 366, § 94, eff. Oct. 1, 2018. Amended by Laws
2017, c. 340, § 1, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-3-125. Restrictions on time of sales of alcoholic beverages on-
premises - Days which may be not authorized for sales of alcoholic
beverages.
A. No alcoholic beverages may be sold, dispensed, served or
consumed on the premises of a mixed beverage, caterer, public event,
charitable event, special event, on-premises beer and wine, small
brewer or brewpub licensee between the hours of 2:00 a.m. and 8:00
a.m. Municipalities may enact ordinances requiring such premises to
be closed to the public between the hours of 2:00 a.m. and 6:00 a.m.
B. Counties that elect to authorize sales of alcoholic beverages
by the individual drink may designate any or all of the following
days as days or portions thereof on which the sales of alcoholic
beverages are not authorized:
1. On the first day of the week, commonly called Sunday; and
2. On Decoration or Memorial Day, Independence Day, Labor Day,
Thanksgiving Day and Christmas Day.
C. Counties that elect to authorize sales of alcoholic beverages
by the individual drink shall not prohibit such sales on the day of
any national, state, county or city election, including primary
elections, provided that the election day does not occur on any day
on which such sales may otherwise be prohibited by any other law.
Added by Laws 2016, c. 366, § 95, eff. Oct. 1, 2018. Amended by Laws
2018, c. 207, § 1, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-3-126. Bottle clubs - Restrictions on hours to dispense, serve
or consume alcoholic beverages.
No alcoholic beverages may be dispensed, served or consumed on
the premise of a bottle club licensee between the hours of 2:00 a.m.
and 10:00 a.m.
Added by Laws 2016, c. 366, § 96, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-3-127. Bottle clubs - Membership cards - Alcoholic beverages -
Nonalcoholic beverages – Violations – Penalties.
A. No person shall be allowed to enter or remain in the
designated bar or lounge area of a bottle club unless that person
possesses a valid membership card for that club issued by the club.
Membership cards issued by a bottle club shall be purchased by the
club from the ABLE Commission at a cost of Three Dollars ($3.00) per
temporary membership card and Twenty-five Dollars ($25.00) per annual
membership card. A temporary membership card shall be valid for a
period of seventy-two (72) consecutive hours from issuance to the
member. The date of issuance of a temporary membership shall be
clearly and prominently marked upon the card. When the card is
issued to a member by the club, the club may require the member to
reimburse the club for the cost of the card. No membership card
shall be issued to any person under twenty-one (21) years of age.
The ABLE Commission shall have the authority to promulgate rules
concerning bottle club membership cards.
B. A bottle club license authorizes alcoholic beverages
belonging to members of the club to be:
1. Stored, possessed and mixed on club premises; and
2. Served for on-premises consumption to members. Each member
shall be served only from the member's individually owned bottle of
alcoholic beverage which shall be marked with the owner's full name
or code number. Such numbers shall be maintained on the club
premises, available for inspection by employees of the ABLE
Commission or by any peace officer.
Pool systems of storage and purchase of alcoholic beverages in a
bottle club are specifically prohibited.
C. The sale, preparation or service of ice or nonalcoholic
beverages that are sold, prepared or served for the purpose of being
mixed with alcoholic beverages for consumption on the premises where
such sale, preparation or service occurs shall be subject to the
sales tax levied by the Oklahoma Sales Tax Code and to any municipal
or county sales taxes.
D. Any bottle club licensee, or employee or agent of such a
licensee who sells to a member any alcoholic beverage shall be deemed
guilty of a misdemeanor and upon conviction thereof shall be punished
by a fine of One Thousand Dollars ($1,000.00) and the club license
shall be revoked for a period of thirty (30) days. Any bottle club
licensee, or employee or agent of such a licensee who delivers or
furnishes to a member any alcoholic beverage that does not belong to
the member shall be deemed guilty of a misdemeanor and upon
conviction thereof shall be punished by a fine of not less than Five
Hundred Dollars ($500.00) nor more than One Thousand Dollars
($1,000.00) and the club license shall be revoked for a period of
thirty (30) days. Any bottle club licensee, or employee or agent of
such a licensee who permits any person who is not a member to enter
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and remain in the designated bar or lounge area of the club premises
shall be deemed guilty of a misdemeanor and upon conviction thereof
shall be punished by a fine of One Thousand Dollars ($1,000.00) and
the bottle club license shall be suspended for a period of thirty
(30) days. No bottle club licensee, or employee or agent of such a
licensee shall serve alcoholic beverages to any person that does not
possess a valid membership card for that club issued by the club.
E. Any bottle club licensed under the provisions of the Oklahoma
Alcoholic Beverage Control Act shall pay the license fee provided by
law and obtain a separate license for each separate place of
business.
F. In counties of this state where retail sale of alcoholic
beverages by the individual drink has not been authorized, no person
shall serve alcoholic beverages by the individual drink for on-
premises consumption or permit the consumption of alcoholic beverages
except in a bottle club licensed pursuant to this section or in a
private residence; provided, this shall not prohibit a winery from
serving visitors on the licensed premises free samples of wine
produced on the premises. No member of a bottle club shall serve
alcoholic beverages lawfully prepared for the member in the
designated bar or lounge area of a bottle club to any person who does
not possess a valid membership card for the bottle club.
Added by Laws 2016, c. 366, § 97, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-4-101. Municipal authority to enact ordinances.
A. Municipalities are authorized to enact ordinances consistent
with the provisions of the Oklahoma Alcoholic Beverage Control Act.
In municipalities with populations of thirty-five thousand (35,000)
or more according to the most recent federal decennial census, these
ordinances may provide for maximum penalties of fines not to exceed
One Thousand Dollars ($1,000.00) plus court costs, an imprisonment
not to exceed ninety (90) days, or both such fine and imprisonment.
B. All municipalities of this state may enact ordinances
prohibiting or regulating nudity or drink solicitation in
establishments licensed pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act.
C. The provisions of this section shall not authorize any
municipality to regulate by ordinance or issue any licenses for
activities for which a license is required to be issued pursuant to
the provisions of the Oklahoma Alcoholic Beverage Control Act.
D. Municipalities are authorized to enact ordinances regulating
the closing time of ABLE Commission licensees who provide alcoholic
beverages for consumption on the premises; provided, no ordinance
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shall be enacted for premises to open later than 6:00 a.m. or close
earlier than 2:00 a.m.
Added by Laws 2016, c. 366, § 98, eff. Oct. 1, 2018. Amended by Laws
2018, c. 207, § 2, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-4-102. Mixed beverage, beer and wine, caterer, public event or
bottle club licensee - Municipal or county proceeding to suspend or
revoke license.
The governing body of any municipality, as to any mixed beverage,
beer and wine, caterer, public event or bottle club licensee having
its principal place of business in such municipality, and the board
of county commissioners of any county, as to any mixed beverage, beer
and wine, caterer, public event or bottle club licensee having its
principal place of business in such county but outside the
incorporated limits of a municipality, may initiate a license
suspension or revocation proceeding as to such licensee by filing a
written complaint with the ABLE Commission. The complaint shall set
forth the grounds for the proposed suspension or revocation. Such
complaint may be based on any ground that the ABLE Commission might
have asserted. Upon receipt of such complaint, the ABLE Commission
shall forward a copy of the complaint to the licensee together with
written notice of the time and place of hearing thereon. If the
complaint is filed by a municipality, the hearing shall be conducted
within the corporate limits of the municipality. If the complaint is
filed by a county, the hearing shall be conducted in the county. The
hearing shall be held within the time limits and in the manner
prescribed for suspension or revocation proceedings initiated by the
ABLE Commission. In any proceeding initiated pursuant to this
section, the municipality or county shall be deemed an interested
party, shall have the right to be heard and to present evidence at
the hearing on the complaint and shall be entitled to appeal from any
final order entered by the ABLE Commission in the manner otherwise
provided in the Oklahoma Alcoholic Beverage Control Act. Such
municipality or county shall not be required to give bond on appeal.
Added by Laws 2016, c. 366, § 99, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-4-103. Municipal zoning authority.
Municipalities and counties are hereby authorized to create a new
zoning classification to regulate the location of establishments that
sell, serve, mix, dispense or allow consumption of alcoholic
beverages on the premises. Such zoning classification may include
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but shall not be limited to reasonable parking, access regulations
and other such zoning regulations as the local authorities may deem
necessary for local control. This authority shall be in addition to
the authority to enact ordinances established in Section 98 of this
act.
Municipal courts are hereby authorized jurisdiction to hear
violations of any ordinances enacted pursuant to the provisions of
this section and Section 98 of this act.
Added by Laws 2016, c. 366, § 100, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-4-104. Municipal occupational tax.
Municipalities are hereby authorized to levy an annual
occupational tax for the privilege of operating as a retailer, mixed
beverage, beer and wine, caterer, public event or special event
licensee, bottle club, manufacturer, brewer, wine and spirits
wholesaler or beer distributor, within their respective
jurisdictions, not to exceed the state license fee for such
licensees; provided, the tax shall be levied only by the municipality
in which such licensee has its principal place of business. This
section shall not give any municipality any right to determine or
regulate the issuance of any license, except as specifically provided
for in this section, as the ABLE Commission shall have exclusive
authority as to issuance and regulations of licenses. No
municipality may prescribe rules or regulations in conflict with or
in addition to the statutes of this state or the rules of the ABLE
Commission. No licensee shall be held liable for engaging in
business otherwise authorized under this title with any other
retailer, mixed beverage, beer and wine, caterer, public event or
special event licensee, bottle club, manufacturer, brewer, wine and
spirits wholesaler or beer distributor solely because such other
party has failed to pay any occupational tax due under this section.
Municipalities which levy an occupational tax under this section
shall make an annual report to the ABLE Commission, covering the
fiscal year, showing the number and class of licensees subject to the
tax authorized by this section, and the amount of money received
therefrom, which information is to be included in the annual report
of the ABLE Commission submitted to the Governor, and transmitted to
the Legislature.
Added by Laws 2016, c. 366, § 101, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 364, § 21, eff. Oct. 1, 2018; Laws 2019, c. 322, § 26,
emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-4-105. County occupational tax.
Counties are hereby authorized to levy an annual occupational tax
for the privilege of operating as a retailer, mixed beverage, beer
and wine, caterer, public event or special event licensee or as a
bottle club, within their respective jurisdictions and not located in
a municipality levying an occupation tax as provided by Section 4-104
of this title, not to exceed the state license fee for such
licensees; provided, the tax shall be levied only by the county in
which such licensee has its principal place of business. All
revenues derived from any such annual occupational tax shall be
deposited in the general revenue fund of the county. This section
shall not give any county any right to determine or regulate the
issuance of any license, except as specifically provided for in this
section, as the ABLE Commission shall have exclusive authority as to
issuance and regulations of licenses. No county may prescribe rules
or regulations in conflict with or in addition to the statutes of
this state or the rules of the ABLE Commission. No licensee shall be
held liable for engaging in business otherwise authorized under this
act with any other mixed beverage, beer and wine, caterer, public
event or special event licensee or bottle club solely because such
other party has failed to pay any occupational tax due under this
section.
Counties which levy an occupational tax under this section shall
make an annual report to the ABLE Commission, covering the fiscal
year, showing the number and class of licensees subject to the tax,
and the amount of money received therefrom, which information is to
be included in the annual report of the ABLE Commission submitted to
the Governor, and transmitted to the Legislature.
Added by Laws 2016, c. 366, § 102, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 364, § 22, eff. Oct. 1, 2018; Laws 2018, c. 215, § 1,
eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-4-106. Enforcement of the Oklahoma Alcoholic Beverage Control
Act.
All sheriffs, marshals and police officers, all district and city
or town attorneys and all employees of the ABLE Commission, shall
diligently enforce all provisions of the Oklahoma Alcoholic Beverage
Control Act. If any such person shall fail or refuse to do or
perform any duty required by the provisions of such statutes, he or
she shall be removed from office as hereinafter provided. In all
cases where any sheriff, marshal, police officer, district or city or
town attorney shall fail or refuse to perform any such duty, a
petition shall be filed in the district court of the county wherein
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such person resides, in the name of the state, upon the
recommendation of a grand jury or on the relation of the board of
county commissioners or of any attorney appointed by the Governor
under the provisions of applicable statutes. In all cases where an
employee of the ABLE Commission fails to perform any duty imposed
upon him or her, such failure shall constitute cause for the
termination of any such employee as provided by law. The Oklahoma
State Bureau of Investigation and the Oklahoma State Bureau of
Narcotics and Dangerous Drugs Control shall also have enforcement
authority for the provisions of the Oklahoma Alcoholic Beverage
Control Act with the power to initiate complaints with the ABLE
Commission and by filing charges, if appropriate, with the district
attorney in the county where the violation occurred.
Added by Laws 2016, c. 366, § 103, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-101. Excise tax on alcoholic beverages.
A. Except as provided in this subsection, an excise tax is
hereby levied and imposed upon all alcoholic beverages imported or
manufactured, for sale, use or distribution, or used or possessed in
this state at the following rates:
1. One Dollar and forty-seven cents ($1.47) per liter, and a
proportionate rate on fractions thereof, on each liter of spirits;
2. Nineteen cents ($0.19) per liter, and a proportionate rate on
fractions thereof, on each liter of wine;
3. Fifty-five cents ($0.55) per liter, and a proportionate rate
on fractions thereof, on each liter of sparkling wine; and
4. Twelve Dollars and fifty cents ($12.50) per barrel (thirty-
one (31) wine gallons) and a proportionate rate on portions thereof,
on each barrel of beer; provided, beer manufactured in this state for
export shall not be taxed.
B. The excise tax levied on alcoholic beverages except beer
under subsection A of this section shall be paid as follows:
1. Payment of the excise tax levied by this section with respect
to all alcoholic beverages, other than beer, shall be made by the
person shipping the same into Oklahoma, or in the case of direct
imports from foreign countries by the importer, or in the case of
alcoholic beverages manufactured in Oklahoma by the first seller
thereof; and
2. The due and payable excise tax levied by this section shall
be remitted electronically simultaneously with tax returns
electronically filed with the Oklahoma Tax Commission using
procedures prescribed by the Tax Commission. The tax returns shall
be made under oath by the person liable for the tax on forms
prescribed and provided by the Tax Commission and shall be
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accompanied by payment of the taxes due and any additional sums due
as provided by this section. Invoices describing all alcoholic
beverages as described in this section which are shipped into this
state or which are first sold in this state shall be delivered to the
Tax Commission immediately following shipment of liquors into the
state or delivery to the first purchaser. Tax returns and payment of
excise tax and other sums due shall be electronically filed with the
Tax Commission no later than the twentieth day of the month
immediately succeeding the month of shipment, importation or first
sale of the alcoholic beverages as provided in paragraph 1 of this
subsection.
C. For the purpose of collecting and remitting the excise tax
imposed under this section, the person liable for such tax is hereby
declared to be the agent of the state for such purposes.
D. Nothing herein shall be construed to impose an additional
excise tax on alcoholic beverages held in inventory by wholesalers
and retailers upon which the excise tax was paid prior to the
effective date of any excise tax increase.
E. The retail sale of alcoholic beverages shall be subject to
the sales tax statutes enacted by the Legislature.
Added by Laws 2016, c. 366, § 104, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 205, § 13, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-102. Intent of excise tax.
The excise tax levied by the Alcoholic Beverages Governance Act
is hereby declared and intended to be a direct tax upon the ultimate
retail consumer of alcoholic beverages in this state, and when such
tax is paid by, or collected from, any other person, as herein
provided for, such payment shall be considered as an advance payment
for convenience and facility only, and such tax shall thereafter be
added to the price of such alcoholic beverages and recovered from the
ultimate retail consumer thereof.
Added by Laws 2016, c. 366, § 105, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-103. Excise tax exemptions.
A. The excise tax levied by Section 104 of this act shall not
apply to:
1. Alcohol used exclusively for industrial purposes by the
holder of an industrial license;
2. Alcohol lawfully withdrawn and used free of tax under a tax-
free permit issued by the United States government;
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3. Alcoholic beverages used exclusively by licensed physicians
and dentists in the bona fide practice of their professions or by
licensed pharmacists in compounding prescriptions;
4. Beer, cider and wine made for personal use pursuant to a
personal use permit issued as provided in Section 70 of this act;
5. Wine used exclusively for sacramental purposes in bona fide
religious ceremonies;
6. Alcoholic beverages, not exceeding one (1) liter, imported
into this state by the possessor for his or her own personal use;
7. Alcoholic beverages provided to attendees, free of charge, at
charitable events licensed and approved by the ABLE Commission; and
8. Mixed beverage and public event licensees which utilize the
services of a licensed caterer.
B. As a condition precedent to the allowance of any exemption
authorized by subsection A of this section:
1. If a license or permit is required by the Oklahoma Alcoholic
Beverage Control Act, for such use, the person claiming any such
exemption must have obtained from the ABLE Commission the license or
permit authorizing such exempt use; and
2. There must be furnished such proof of the exclusive use for
such exempt purposes as the Oklahoma Tax Commission may require.
Added by Laws 2016, c. 366, § 106, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-104. Distribution of excise tax revenue.
All revenue accruing from the excise tax levied by Section 104 of
this act shall be collected by the Oklahoma Tax Commission and
distributed as follows:
1. Two-thirds of ninety-seven percent (2/3 of 97%) of such tax
revenue shall be paid to the State Treasurer and placed to the credit
of the General Revenue Fund of the state; provided, any amounts
derived from the tax levied pursuant to paragraphs 2 and 3 of
subsection A of Section 104 of this act that exceed an amount equal
to the total amount collected from such tax levy for the fiscal year
ending on June 30, 2010, shall be distributed to the Oklahoma
Viticulture and Enology Center Development Revolving Fund created
pursuant to Section 132 of this act, but in no event shall the
distribution to the Oklahoma Viticulture and Enology Center
Development Revolving Fund in any fiscal year exceed Three Hundred
Fifty Thousand Dollars ($350,000.00);
2. One-third of ninety-seven percent (1/3 of 97%) of such
revenue is hereby allocated to the counties of this state and shall
be paid to the county treasurers on the basis of area and population
(giving equal weight to area and population) wherein the sale of
alcoholic beverages is lawful, and all of such funds shall be
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appropriated by the county commissioners of each county and
apportioned by the county treasurer to all incorporated cities and
towns in the county on the basis of population within each city and
town on a per capita basis based on the last preceding Federal
Decennial Census. For the purpose of appropriating and paying the
excise taxes collected under the Oklahoma Alcoholic Beverage Control
Act, or any act which is amendatory thereof or supplemental thereto,
to the incorporated cities and towns in any county, city or town, the
corporate limits of which include territory within more than one
county, shall be considered and treated as being a city or town in
only the county within which more than fifty percent (50%) of the
entire population of such city or town, as shown by the last
preceding Federal Decennial Census, reside, and, for such purpose,
shall not be considered or treated as being a city or town in any
other county. In the event that the last preceding Federal Decennial
Census fails to disclose information from which such fact may be
determined by the board of county commissioners which is
appropriating the tax money then involved to the cities and towns in
its county, the board of county commissioners shall make an estimate,
from the best information then available to it, as to the percentage
of the entire population of such city or town then residing in the
county. If such board of county commissioners determines, either
from information disclosed by the last preceding Federal Decennial
Census, or from the best information then available to the ABLE
Commission (when such information is not disclosed by the last
preceding Federal Decennial Census), that more than fifty percent
(50%) of the population of such a city or town resides in that
county, such city or town shall receive its pro rata share of such
tax money on the basis of its entire population according to the last
preceding Federal Decennial Census; but if such board of county
commissioners so determines that more than fifty percent (50%) of the
population of such city or town does not reside in that county, no
part of such tax money shall be appropriated or paid to such city or
town; and
3. The remaining three percent (3%) of such excise tax revenue
shall be paid to the State Treasurer and placed to the credit of the
Oklahoma Tax Commission Fund to be paid out of the fund pursuant to
appropriations made by the State Legislature.
Added by Laws 2016, c. 366, § 107, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-105. Total gross receipts tax for on-premises beer and wine,
mixed beverage, caterer, public event or special event license.
A. A tax at the rate of thirteen and one-half percent (13.5%) is
hereby levied and imposed on the total gross receipts of a holder of
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an on-premises beer and wine, mixed beverage, caterer, public event
or special event license issued by the ABLE Commission, from:
1. The sale, preparation or service of mixed beverages;
2. The total retail value of complimentary or discounted mixed
beverages;
3. Ice or nonalcoholic beverages that are sold, prepared or
served for the purpose of being mixed with alcoholic beverages and
consumed on the premises where the sale, preparation or service
occurs; and
4. Any charges for the privilege of admission to a mixed
beverage establishment which entitle a person to complimentary mixed
beverages or discounted prices for mixed beverages.
B. For purposes of this section:
1. "Mixed beverages" means mixed beverages as defined by Section
3 of this act;
2. "Total gross receipts" means the total amount of
consideration received as charges for admission to a mixed beverage
establishment, as provided in paragraph 4 of subsection A of this
section, and the total retail sale price received for the sale,
preparation or service of mixed beverages, ice and nonalcoholic
beverages to be mixed with alcoholic beverages. The advertised price
of a mixed beverage may be the sum of the total retail sale price and
the gross receipts tax levied thereon; and
3. "Total retail value" means the total amount of consideration
that would be required for the sale, preparation or service of mixed
beverages.
C. The gross receipts tax levied by this section shall be in
addition to the excise tax levied in Section 104 of this act, the
sales tax levied in the Oklahoma Sales Tax Code and to any municipal
or county sales taxes.
D. The gross receipts tax levied by this section is hereby
declared to be a direct tax upon the receipt of consideration for any
charges for admission to a mixed beverage establishment, as provided
in paragraph 4 of subsection A of this section, for the sale,
preparation or service of mixed beverages, ice and nonalcoholic
beverages to be mixed with alcoholic beverages, and the total retail
value of complimentary or discounted mixed beverages.
E. The total of the retail sale price received for the sale,
preparation or service of mixed beverages, ice and nonalcoholic
beverages to be mixed with alcoholic beverages shall be the total
gross receipts for purposes of calculating the sales tax levied in
the Oklahoma Sales Tax Code.
Added by Laws 2016, c. 366, § 108, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-5-106. Gross receipt tax revenue - General Revenue Fund.
All revenues generated from the gross receipts tax levied
pursuant to Section 108 of this act shall be paid to the State
Treasurer and placed to the credit of the General Revenue Fund of the
State of Oklahoma.
Added by Laws 2016, c. 366, § 109, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-107. Mixed beverage tax permit - Violations – Penalties.
A. Every holder of a mixed beverage, if not catered, beer and
wine, caterer, hotel beverage, public event, if not catered, or
special event license, issued by the ABLE Commission, shall obtain a
mixed beverage tax permit from the Oklahoma Tax Commission prior to
engaging within this state in the sale, preparation or service of
mixed beverages, ice or nonalcoholic beverages that are sold,
prepared or served to be mixed with alcoholic beverages. Each
licensee shall file a verified application for a mixed beverage tax
permit with the Tax Commission, setting forth information as may be
required by the Tax Commission.
The Tax Commission, or its designated agent, shall issue, without
any fees or charges therefor, a mixed beverage tax permit in the name
of the licensee for the place of business set forth in the
application upon verification that:
1. The applicant is a holder of a mixed beverage, if not
catered, beer and wine, caterer, hotel beverage, public event, if not
catered, or special event license issued by the ABLE Commission;
2. The applicant has posted a surety bond or other negotiable
collateral to protect the proper payment of the gross receipts taxes;
3. The applicant is a holder of a sales tax permit for the place
of business set forth in the application; and
4. The applicant is not delinquent in the payment of any gross
receipts taxes or sales taxes.
A mixed beverage tax permit shall expire three (3) years after
issuance; provided, if the holder thereof is also the holder of a
sales tax permit, a mixed beverage tax permit shall be valid for
three (3) years or until expiration of the sales tax permit,
whichever is earlier, after which a renewal permit shall be valid for
three (3) years.
B. A separate mixed beverage tax permit for each place of
business to be operated must be obtained and no charge therefor shall
be made by the Tax Commission. The Tax Commission shall grant and
issue to each applicant a separate permit for each place of business
in this state, upon proper application therefor and verification
thereof by the Tax Commission.
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C. A mixed beverage tax permit is not assignable and shall be
valid only for the person in whose name it is issued and for the
transaction of business at the place designated in the permit.
D. It shall be unlawful for any person to engage in a business
subject to the provisions of this section prior to the issuance of a
mixed beverage tax permit. Any person who engages in a business
subject to the provisions of this section without a mixed beverage
tax permit or permits, or after a permit has been suspended, shall be
guilty of a misdemeanor, and upon conviction thereof, shall be fined
not more than One Thousand Dollars ($1,000.00) or incarcerated for
not more than sixty (60) days, or by both such fine and imprisonment.
E. Any person operating under a mixed beverage tax permit as
provided in this section shall, upon discontinuance of business by
sale or otherwise, return such permit to the Tax Commission for
cancellation, together with payment of any unpaid or accrued taxes.
Failure to surrender a mixed beverage tax permit and pay any and all
accrued taxes will be sufficient cause for the Tax Commission to
refuse to issue a mixed beverage tax permit subsequently to such
person to engage in or transact any business in this state subject to
the provisions of this section. Notwithstanding the provisions of
subsection H of Section 1364 of Title 68 of the Oklahoma Statutes,
the Tax Commission shall not deny a purchaser of a business subject
to the provisions of this section a mixed beverage or sales tax
permit because of outstanding tax liabilities of the seller, provided
the seller pays to the Tax Commission the estimated sales tax owed by
the seller. Provided, further, upon completion of an audit by the
Tax Commission and determination of actual sales tax owed, the
difference between the estimated sales tax paid and the actual sales
tax owed shall be paid by the seller to the Tax Commission if taxes
were underpaid or returned to the seller by the Tax Commission if
taxes were overpaid.
F. Whenever a holder of a mixed beverage tax permit fails to
comply with any provisions of any state alcoholic beverage laws or
tax laws, the Tax Commission, after giving ten-days' notice in
writing of the time and place of hearing to show cause why this
permit should not be revoked, may revoke or suspend the permit. A
mixed beverage tax permit shall be renewed upon removal of cause or
causes of revocation or suspension. Mixed beverage tax permits are
conditioned upon the proper and timely payment of all taxes due and
in the event a holder of a mixed beverage tax permit becomes
delinquent in reporting or paying any tax due under the provisions of
state tax law, any duly authorized agent of the Tax Commission may
cancel the permit and it shall be renewed only upon the filing of
proper reports and payment of all taxes due and application for
renewal in accordance with subsection A of this section.
G. Upon revocation or suspension of the mixed beverage, beer and
wine, caterer, hotel beverage, public event or special event license
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by the ABLE Commission, the Tax Commission, or its duly authorized
agent, shall temporarily suspend the mixed beverage tax permit issued
to the licensee in accordance with Section 212 of Title 68 of the
Oklahoma Statutes.
Added by Laws 2016, c. 366, § 110, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-108. Promulgation of rules to implement reporting method of
taxing - Payment of excise tax on beer.
A. The Oklahoma Tax Commission shall promulgate rules to
implement a reporting method of taxing all alcoholic beverages sold
or delivered in this state to eliminate the use of any type of
stamps.
B. Payment of the excise tax levied by the Oklahoma Alcoholic
Beverage Control Act, with respect to beer shall be made by the
manufacturer or brewer as to all beer produced by such brewer within
the state for sale within this state, and shall be made by the
importing manufacturer or beer distributor who is the original
consignee of beer manufactured or produced outside of this state as
to all beer imported into this state by such importing licensee. It
is the duty of each Oklahoma licensed brewer with respect to beer
produced by such brewer within this state, and of each Oklahoma
licensed beer distributor as to beer produced outside of this state
and imported into this state by such beer distributor, to pay the
excise tax on such beer to the Oklahoma Tax Commission as hereinafter
provided.
C. Notwithstanding any other provision of law, the tax levied by
the Oklahoma Alcoholic Beverage Control Act shall be part of the
gross proceeds or gross receipts from the sale of alcoholic
beverages, as those terms are defined in paragraph 12 of Section 1352
of Title 68 of the Oklahoma Statutes.
Added by Laws 2016, c. 366, § 111, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 322, § 27, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-109. Credit or refund for money paid for stamps.
The Oklahoma Tax Commission shall have authority to allow credit
for or make refunds of any money paid for stamps issued by the Tax
Commission in payment of state excise tax by the manufacturer or
brewer pursuant to authority granted by the Tax Commission. All
applications to the Tax Commission for credit or replacement under
the provisions of this section shall be verified by affidavit and all
proof and evidence supporting such application shall be made in
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strict conformity with the rules of the Tax Commission setting forth
the requirements in connection with such evidence and application.
Added by Laws 2016, c. 366, § 112, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 322, § 28, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-110. Excise tax payments by brewers and beer distributors -
Monthly itemized and verified report - Violations – Penalties.
A. Payment of the excise tax levied by Section 104 of this act
with respect to beer shall be made by the brewer or the beer
distributor as herein provided. The tax shall be due and payable on
the first day of each month for the preceding calendar month and if
not paid on or before the tenth day of each month shall thereafter be
delinquent.
B. Every brewer and beer distributor shall make and transmit to
the Oklahoma Tax Commission on or before the tenth day of each
calendar month, upon a form prescribed and furnished by the Tax
Commission, an itemized and verified report, for the preceding
calendar month, showing the following information:
1. Total quantity and description of opening inventory of beer
as of the first day of the month;
2. Total receipts and acquisitions during month from every
source. This shall be itemized showing:
a. imports and purchases within and without this state
separately,
b. the kind and quantity of each type of beer as shown by
the shipper's or seller's invoices thereof,
c. the date of each purchase,
d. the quantities purchased,
e. the date received,
f. the person from whom purchased,
g. the manifest, bill of lading or delivery invoice number
of each shipment, which number shall be the number used
by the original seller as shown on the basic shipping
records which accompany the shipment,
h. the point of origin and point of destination of each
shipment, and
i. the name and ABLE Commission license number of the
carrier if shipped by carrier;
3. The kind and quantity of all beer sold or withdrawn from
stock for sale, use or consumption in the State of Oklahoma during
the preceding calendar month; the date of each sale; the kind and
quantity of beer in each sale; the name, address and ABLE Commission
license number of each purchaser; the manifest, bill of lading or
delivery invoice number, which number shall be the number as shown on
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the basic shipping records which accompany the delivery; and the name
and ABLE Commission license number of the carrier if shipped by
carrier;
4. All nontaxable sales and dispositions made during the month,
including exports and sales and deliveries to military installations
located within this state, shall be reported and information in
reference to each such nontaxable sale, disposition and export shall
be shown in detail as is required for sales in the State of Oklahoma
and shall be supported by evidence satisfactory to the Tax
Commission;
5. Closing inventory of beer as of the last day of the calendar
month; and
6. Such other information pertaining to the brewer's and beer
distributor's beginning inventory of beer, receipts or acquisitions
thereof, sales and dispositions thereof, and the closing inventory,
as the Tax Commission may by form or rule require.
C. Every brewer and beer distributor, at the time of making the
monthly report required by this section, shall remit to the Tax
Commission the total amount of the excise tax due as shown by the
report. It shall be unlawful for any brewer or beer distributor to
sell or offer for sale any beer while delinquent in the payment of
any excise tax due the state.
D. Reports and remittances, as required herein, which are mailed
on the tenth day of the month and received by the Tax Commission
subsequent to the tenth of the month in which the excise tax is
payable, shall be deemed to have been received by the Tax Commission
before becoming delinquent. Postmark or registry receipt showing
deposit in the United States mails shall be conclusive evidence of
the date of mailing. The time for filing returns and paying the
excise tax levied by the Oklahoma Alcoholic Beverage Control Act
shall not be extended.
E. If upon investigation it is determined by the Tax Commission
that any nontaxable disposition or sale claimed by any brewer or beer
distributor is not supported by a valid invoice, or is fraudulently
or falsely claimed in any manner by such brewer or beer distributor
or any agent of such licensee, the Tax Commission shall disallow any
such deduction and shall assess and collect the tax, together with
the penalty and interest thereon, on the total amount of the
disallowed deduction taken by the licensee.
F. The taking and claiming of any deduction not authorized by
law, upon a report by any brewer or beer distributor, or the failure
to file monthly reports or to pay any excise tax due, shall
constitute grounds for the revocation of such person's license by the
ABLE Commission and the Tax Commission shall promptly notify the ABLE
Commission of all such cases.
Added by Laws 2016, c. 366, § 113, eff. Oct. 1, 2018.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-111. Wine and spirits wholesaler and other importers -
Monthly itemized and verified report - Violations – Penalties.
A. Every wine and spirits wholesaler and/or other person
authorized under the Oklahoma Alcoholic Beverage Control Act to
import alcoholic beverages into this state, shall make and transmit
to the Oklahoma Tax Commission on or before the tenth day of each
month, upon a form prescribed and furnished by the Tax Commission, an
itemized and verified report for the preceding calendar month,
showing the following information:
1. Opening inventory of alcoholic beverages other than beer;
2. Total receipts and acquisitions during month from every
source. This shall be itemized showing:
a. imports and purchases from within and without this
state separately,
b. the kind, proof and quantity of each type of alcoholic
beverage as shown by the shipper's or seller's invoices
thereof,
c. the date of each purchase,
d. the amount purchased,
e. the date received,
f. the person from whom purchased,
g. the manifest, bill of lading or delivery invoice number
of each shipment, which number shall be the number used
by the original seller as shown on the basic shipping
records which accompany the shipment, and
h. the point of origin and point of destination of each
shipment;
3. The kind and quantity of all alcoholic beverages sold or
withdrawn from inventory for sale, use or consumption during the
calendar month; the date of each sale; and the kind, proof and
quantity of alcoholic beverages in each sale; the name, address and
ABLE Commission license number of each purchaser; and the manifest,
bill of lading or delivery invoice number, which number shall be the
number as shown on the basic shipping records which accompany the
delivery;
4. All nontaxable sales and dispositions made during the month,
supported by evidence satisfactory to the Tax Commission;
5. Closing inventory of alcoholic beverages as of the last day
of the calendar month; and
6. Such other information pertaining to the wholesaler's
beginning inventory of alcoholic beverages, receipts or acquisitions
thereof, sales and dispositions thereof, and closing inventory, as
the Tax Commission may by form or rule require.
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B. If upon investigation it is determined by the Tax Commission
that any nontaxable disposition or sale claimed by any licensee is
not supported by a valid invoice, or is fraudulently or falsely
claimed in any manner by such licensee or any agent of such licensee,
the Tax Commission shall disallow any such deduction and shall assess
and collect the excise tax, together with the penalty and interest
thereon, on the total amount of the disallowed deduction taken by the
licensee.
C. The taking and claiming of any deduction not authorized by
law, upon a report by any wholesaler or the failure to file monthly
reports or pay any excise tax due, shall constitute grounds for the
revocation of such person's license, distributor permit or wholesaler
permit by the ABLE Commission and the Tax Commission shall promptly
notify the ABLE Commission of all such cases.
Added by Laws 2016, c. 366, § 114, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-112. Distributor permit - Wholesaler permit - Permit
applications.
A. All manufacturers, importers, brokers and others who sell
alcoholic beverages to a wholesaler in Oklahoma, regardless of
whether the sale is consummated within or without the State of
Oklahoma, shall obtain a distributor permit from the Oklahoma Tax
Commission.
B. Any person having a wholesaler's license shall obtain a
wholesaler permit from the Tax Commission.
C. A distributor permit or wholesaler permit may be obtained by
filing a verified permit application with the Tax Commission on a
form furnished by the Tax Commission.
Added by Laws 2016, c. 366, § 115, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-113. Furnishing of permits prior to selling or purchasing
alcoholic beverages - Itemized and verified record of monthly sales
or purchases.
A. The Oklahoma Tax Commission, as provided by the Uniform Tax
Procedure Code, may issue a distributor permit or wholesaler permit
to any person who sells alcoholic beverages to a wine and spirits
wholesaler or beer distributor or to any person having a wholesaler
license.
B. Each wholesaler or beer distributor shall furnish a copy of
the wholesaler or distributor permit to manufacturers, brewers,
importers, brokers and others who sell alcoholic beverages prior to
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purchasing alcoholic beverages from a holder of a wholesaler or
distributor permit. Each manufacturer, brewer, importer, broker and
other who sells alcoholic beverages shall furnish a copy of the
wholesaler or distributor permit to the wine and spirits wholesaler
or beer distributor prior to selling alcoholic beverages to a
wholesaler or distributor.
C. Holders of distributor permits or wholesaler permits shall
maintain an itemized and verified record for the preceding calendar
month of all sales or purchases of alcoholic beverages and shall
transmit the verified record to the Tax Commission on or before the
tenth day of each month, upon a form prescribed and furnished by the
Tax Commission. Permit holders shall maintain records of sales and
purchases of alcoholic beverages for three (3) years.
Added by Laws 2016, c. 366, § 116, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 322, § 29, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-114. Unpaid taxes - Contraband - Violations - Penalties -
Application of Uniform Tax Procedure Code.
A. All bottles or other original containers of alcoholic
beverages in the possession of any person upon which the taxes have
not been paid as required by the Oklahoma Alcoholic Beverage Control
Act and the rules thereunder are declared to be contraband. Any duly
authorized employee of the ABLE Commission or the Oklahoma Tax
Commission is authorized to seize the same, and such containers of
alcoholic beverages so seized shall be subject to confiscation and
forfeiture by the Tax Commission as hereinafter provided.
B. If, upon examination of invoices or from other investigation,
the Tax Commission finds that any alcoholic beverages have been sold
without tax payment as required by the Oklahoma Alcoholic Beverage
Control Act, the Tax Commission shall have the power to require such
person to pay to the Tax Commission as such tax a sum equal to twice
the amount of the tax due. If any person is unable to furnish
evidence to the Tax Commission of excise tax payment to cover
purchases of alcoholic beverages made by such person, the prima facie
presumption shall arise that such alcoholic beverages were sold
without excise tax payment.
It is expressly provided, except where specific provisions of the
Oklahoma Alcoholic Beverage Control Act require otherwise, that the
procedures and remedies contained in the Uniform Tax Procedure Code
of the Oklahoma Statutes in connection with the making of
assessments, and the enforcement and collection thereof, the
penalties and interest to be applied, all lien and tax warrant
provisions, all incidental remedies, including procedure for an
injunction, and all other provisions of the Uniform Tax Procedure
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Code which may be applied or used to enforce the provisions of the
Oklahoma Alcoholic Beverage Control Act, shall be applicable and
available to the Tax Commission in administering the provisions
hereof and collecting the taxes herein levied on alcoholic beverages.
Added by Laws 2016, c. 366, § 117, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-115. Power and authority of ABLE Commission or Oklahoma Tax
Commission employees to enter and examine licensed premises.
Any employee of the ABLE Commission or the Oklahoma Tax
Commission shall have power and authority, without a warrant, to
enter and examine the licensed premises of all licensees to determine
whether any licensee possesses any container of alcoholic beverage
upon which the taxes have not been paid as required by the Oklahoma
Alcoholic Beverage Control Act and the rules thereunder, and if such
employee shall find any such container of alcoholic beverages, he or
she shall immediately seize the same. Such employees of the ABLE
Commission or the Tax Commission shall be given free access to and
shall not be hindered or interfered with in their examination of the
licensed premises of any licensees, and, in case any such employee is
denied free access or is hindered or interfered with in making such
examination, any license held by the person preventing such free
access or interfering with or hindering such employee shall be
subject to suspension or revocation.
Added by Laws 2016, c. 366, § 118, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-116. Hearing to determine whether taxes are unpaid - Order to
confiscate and forfeit.
A. After the seizure of such container of alcoholic beverage
upon which the taxes have not been paid, any officer or employee of
the ABLE Commission, designated in writing by the Director, shall
hold a hearing to determine whether the container of alcoholic
beverage seized did not have the necessary taxes paid as required by
the Oklahoma Alcoholic Beverage Control Act and the rules thereunder.
The ABLE Commission shall give not less than seven-days' notice of
the time and place of such hearing to the owner of such container of
alcoholic beverage, if known, and also to the person in whose
possession such container was found, if such person is known, and if
such person in possession is not the owner of the property. The
Director, or any employee of the ABLE Commission, designated to
conduct such hearing, shall have power to administer oaths and the
power to issue subpoenas requiring the attendance of and the giving
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of testimony by witnesses and subpoenas duces tecum requiring the
production of books, papers, records and memoranda.
B. Pursuant to such hearing, the ABLE Commission shall determine
whether the container of alcoholic beverage seized did not have the
taxes paid as required by the Oklahoma Alcoholic Beverage Control Act
and the rules thereunder, and upon a decision to that effect, an
order shall be entered that such container of alcoholic beverage is
confiscated and forfeited to the State of Oklahoma. The ABLE
Commission shall give notice of such order to the owner of such
container of alcoholic beverage, if known, and also to the person in
whose possession the property so taken was found, if such person is
known, and if such person in possession is not the owner of the
property.
Added by Laws 2016, c. 366, § 119, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-117. Sale of forfeited alcoholic beverage.
After an order of forfeiture, and when a proceeding for judicial
review of the order has been concluded or the time for judicial
review has expired, the ABLE Commission, to the extent that its order
is sustained on review, shall sell such forfeited alcoholic beverage
at such time and place and in such manner as it deems advisable.
Proceeds of such sales shall be deposited with the State Treasurer
for the credit of the General Revenue Fund of the State of Oklahoma.
Added by Laws 2016, c. 366, § 120, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-118. Possession of alcoholic beverage for which excise tax
has not been paid - Misdemeanor - Suspension or revocation of
license.
Every person who shall possess more than one (1) liter of
alcoholic beverage, the bottle or other original container upon which
the excise tax levied by Section 104 of this act has not been paid as
provided for by the Oklahoma Alcoholic Beverage Control Act, shall be
guilty of a misdemeanor, and if such person is the holder of a
license under the Oklahoma Alcoholic Beverage Control Act, such
license shall be subject to revocation or suspension by the ABLE
Commission. The Oklahoma Tax Commission may promulgate rules for
hearings on a revocation of a license for violation of the provisions
of this section. Provided, the ABLE Commission may suspend any
license for a violation of this section for a period of thirty (30)
days with notice of hearing as the ABLE Commission may determine.
Added by Laws 2016, c. 366, § 121, eff. Oct. 1, 2018.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-119. Alcoholic beverages other than beer - Sealed cases
required.
Every manufacturer of alcoholic beverages other than beer shall
package, ship, store and deliver same in cases, and no alcoholic
beverage other than beer shall be sold, shipped, stored or delivered
by any such manufacturer except in sealed cases. Every manufacturer
of alcoholic beverages other than beer shall serially number such
cases on the end of the case where the brand and product are
identified. All such cases shall be sealed by tape or such other
method as the ABLE Commission by rule may provide so that the
contents of such cases cannot be removed without breaking or
destroying such seal. It shall be unlawful for any person to remove
the alcoholic beverage contents of a case so sealed without breaking
or destroying such seal. No wholesaler or beer distributor shall
receive or accept any alcoholic beverages other than beer in this
state except in sealed cases so numbered. Any holder of a license or
permit violating the provisions of this section shall be subject to
revocation or suspension of the license.
Added by Laws 2016, c. 366, § 122, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-120. Licensees required to keep books and records.
All licensees under the Oklahoma Alcoholic Beverage Control Act
shall keep books and records with regard to alcoholic beverages which
shall contain such information and itemization thereof as the ABLE
Commission may prescribe by rule. All books, records, inventories,
invoices and other accounting documents required by the Oklahoma
Alcoholic Beverage Control Act shall be kept for three (3) years and
shall at all times be available for inspection by duly authorized
representatives of the ABLE Commission or the Oklahoma Tax
Commission.
Added by Laws 2016, c. 366, § 123, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-121. Nonresident seller license - Monthly itemized and
verified report of shipments and sales.
Every holder of a nonresident seller license, when applicable,
shall make and transmit to the Oklahoma Tax Commission, on or before
the tenth day of each month upon a form prescribed and furnished by
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the Tax Commission, an itemized and verified report for the preceding
calendar month, showing each shipment or sale of alcoholic beverages
into Oklahoma. Such report shall show:
1. The date of the shipment;
2. The total quantity of the shipment;
3. The name and ABLE Commission license number of the Oklahoma
purchaser; and
4. The manifest, bill of lading or invoice number of each
shipment.
Such report shall be accompanied by duplicate original copies of
each manifest, invoice, bill of lading or other document showing the
details, including the proof of all spirits, of all shipments during
such calendar month.
Added by Laws 2016, c. 366, § 124, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-122. Manufacturer and brewer subject to licensing - Monthly
itemized and verified report.
Every manufacturer and brewer, subject to licensing hereunder,
shall make and transmit to the Oklahoma Tax Commission, on or before
the tenth day of each calendar month, upon a form prescribed and
furnished by the Tax Commission, an itemized and verified report, for
the preceding calendar month, showing:
1. The kind and quantity of all alcoholic beverages manufactured
within this state during the month, including:
a. the proof of all spirits,
b. the kind and quantity of all alcoholic beverages
purchased within this state, including the proof of all
spirits,
c. the kind and quantity of all alcoholic beverages
imported into this state during the month, including
the proof of all spirits,
d. the name and ABLE Commission license number of the
person from whom purchased or received,
e. the manifest, bill of lading or invoice number of each
shipment, which number shall be the number used by the
original seller as shown by the basic shipping records
which accompanied the shipment,
f. the date of receipt of each shipment,
g. the name and ABLE Commission license number of the
carrier, if transported by carrier; and
2. All sales of alcoholic beverages made by such manufacturer or
brewer during such calendar month, both within and without Oklahoma,
including in detail the kind and quantity of all alcoholic beverages
sold, including:
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a. the proof of all spirits, as shown by the invoice
covering each such sale,
b. the invoice number,
c. the date of each sale,
d. the name, address and the ABLE Commission license
number of the purchaser,
e. the name and ABLE Commission license number of the
carrier, if shipped by carrier, and
f. such other information as the Tax Commission may
require.
Added by Laws 2016, c. 366, § 125, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 322, § 30, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-123. Repealed by Laws 2018, c. 113, § 8, eff. Oct. 1, 2018.
§37A-5-124. Bond required for manufacturers, brewers, importers,
brokers and others.
Every manufacturer, brewer, importer, broker or other who sells
alcoholic beverages to a wine and spirits wholesaler, or beer
distributor in Oklahoma, after having been issued a license by the
ABLE Commission, shall, before manufacturing, purchasing or selling
any alcoholic beverage within this state, file with the Oklahoma Tax
Commission a bond issued by a surety company authorized to transact
business in this state, in such amount as the Tax Commission may fix,
but which shall be at least equal to the estimated amount of the tax
liability of such licensee for a three-month period, to secure the
payment of all excise taxes due from sales of alcoholic beverages to
a wholesaler, or beer distributor, under the provisions of the
Oklahoma Alcoholic Beverage Control Act. Provided, the amount of the
bond for every wholesaler or beer distributor shall be not less than
One Thousand Dollars ($1,000.00). Such bonds shall be payable to the
State of Oklahoma and conditioned upon compliance with the excise tax
provisions of the Oklahoma Alcoholic Beverage Control Act and the
rules of the Tax Commission relating thereto. In lieu of such surety
bond, any such manufacturer, brewer, wine and spirits wholesaler, or
beer distributor, may deposit cash or negotiable securities, approved
by the Tax Commission, in such amount as it may prescribe.
Added by Laws 2016, c. 366, § 127, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 322, § 31, emerg. eff. May 7, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-5-125. Information required at time of sale, transit and
delivery of alcoholic beverages - Violations – Penalties.
A. Every manufacturer, brewer, wine and spirits wholesaler, beer
distributor or nonresident seller, selling alcoholic beverages in
this state, or selling alcoholic beverages for shipment into this
state shall, at the time such sale is made, make and deliver to the
purchaser or transporter an invoice, bill of lading, manifest or
other document describing such alcoholic beverages, showing:
1. The date of such sale or delivery;
2. The name and ABLE Commission license number of the seller;
3. The point of origin of the movement of such alcoholic
beverages and the destination of same;
4. The kind and quantity and a description of such alcoholic
beverages, including the proof of all spirits;
5. The name and ABLE Commission license number of the purchaser;
6. The sale price; and
7. Such other information as the Oklahoma Tax Commission may, by
form or rule, require.
Every such invoice, bill of lading, manifest or other document
describing such alcoholic beverages, except beer, must be identified
by consecutive numbers printed upon the invoice or document, and each
such seller and purchaser must account for each copy of his or her
invoice and each number thereof.
B. Every manufacturer, brewer, wine and spirits wholesaler or
beer distributor importing into or purchasing in this state any
alcoholic beverage, and any retailer purchasing any alcoholic
beverage in this state, shall at the time of delivery or acceptance
of such alcoholic beverage, demand and receive a proper bill of
lading, invoice, manifest or other document, particularly describing
such alcoholic beverage and showing the proof of all spirits.
C. Every manufacturer, brewer, wine and spirits wholesaler, beer
distributor, nonresident seller and retailer shall retain one copy of
each invoice, bill of lading, manifest or similar document covering
all such sales and purchases by such licensee, as a part of the
permanent records of such licensee for a period of at least three (3)
years.
D. Any person violating any of the provisions of this section,
whether acting for himself or herself or as the agent or employee of
any licensee hereunder, shall be guilty of a misdemeanor and, upon
conviction, shall be punished as provided by law. Any violation of
the provisions of this section shall also constitute grounds for the
revocation by the ABLE Commission of any license issued under the
Oklahoma Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 128, eff. Oct. 1, 2018. Amended by
Laws 2018, c. 113, § 4, eff. Oct. 1, 2018; Laws 2019, c. 322, § 32,
emerg. eff. May 7, 2019.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-5-126. Record keeping for all alcoholic beverages imported,
purchased, received, manufactured, produced, sold, delivered or
otherwise disposed of.
A. Every manufacturer, brewer, wine and spirits wholesaler, beer
distributor, nonresident seller, retailer, mixed beverage, caterer,
public event and special event licensee shall keep a record of all
alcoholic beverages imported, purchased, received, manufactured,
produced, sold, delivered or otherwise disposed of, and the amount of
all alcoholic beverages on hand, as herein provided. Such records
must be kept for a period of at least three (3) years, as required by
27 C.F.R., Chapter 1, and shall include:
1. The date;
2. The number of the invoice, manifest, bill of lading or
similar type document; and
3. The total amount of alcoholic beverages purchased, imported,
received, manufactured, produced, sold, delivered or otherwise
disposed of, by such licensee in each transaction.
Each such licensee shall keep and maintain such other records in
detail as the Oklahoma Tax Commission may require.
B. If a manufacturer, brewer, wine and spirits wholesaler, beer
distributor, nonresident seller, retailer, mixed beverage, caterer,
public event or special event licensee has been previously audited by
the Tax Commission with an audit finding that the licensee correctly
reported and kept sufficient records for audit purposes, the next
subsequent audit shall be limited to records kept for one (1) year
prior to the date of such audit; provided, however, if an audit
finding determines that the licensee incorrectly reported or failed
to keep sufficient records for audit purposes, then the audit shall
not be limited by the provisions of this subsection. If any audit
limited by the provisions of this subsection determines that the
licensee has incorrectly reported or failed to keep sufficient
records for audit purposes, then the licensee shall no longer be
eligible for limited audits.
Added by Laws 2016, c. 366, § 129, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 322, § 33, emerg. eff. May 7, 2019; Laws 2019, c. 431,
§ 3, emerg. eff. May 23, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-127. County excise boards - Yearly revenue estimates.
The county excise board of each county in the state, in approving
the estimates of needs for cities and towns for each fiscal year,
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shall make reasonable estimates of the revenue to be derived under
the provisions of the Oklahoma Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 130, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-128. Alcoholic Beverage Control Fund - Alcoholic Beverage
Governance Revolving Fund.
A. There is hereby created in the State Treasury a fund to be
known as the "Alcoholic Beverage Control Fund" which shall consist of
revenues collected by the state from license and registration fees,
with any interest, fines or penalties levied and collected by the
ABLE Commission pursuant to the provisions of the Oklahoma Alcoholic
Beverage Control Act; provided, the first Three Hundred Thousand
Dollars ($300,000.00) of such revenues collected each fiscal year
shall be deposited to the Community-Based Substance Abuse Revolving
Fund and the next Twenty Thousand Dollars ($20,000.00) of such
revenues collected each fiscal year shall be deposited in the
Prevention of Youth Access to Alcohol Revolving Fund. Any
unappropriated balance in the Oklahoma Alcoholic Beverage Control
Fund at the close of each fiscal year shall revert to the General
Revenue Fund of the State of Oklahoma, except for the amount
necessary to satisfy any appropriations made or to be made from the
fund by the Oklahoma State Legislature for the ensuing fiscal year.
All such monies collected by the ABLE Commission pursuant to the
provisions of the Oklahoma Alcoholic Beverage Control Act shall be
deposited in the State Treasury for credit to the General Revenue
Fund of the state, except as provided in subsection B of this
section.
B. There is hereby created in the State Treasury a revolving
fund for the ABLE Commission to be designated the "Alcoholic Beverage
Governance Revolving Fund". The fund shall be a continuing fund, not
subject to fiscal year limitations, and shall consist of any monies
received from the surcharge collected by the Tax Commission pursuant
to subsection F of Section 13 of this act and any other sources of
funds provided by law. All monies accruing to the credit of the fund
shall be budgeted and expended by the ABLE Commission for general
operations. Expenditures from the fund shall be made upon warrants
issued by the State Treasurer against claims filed as prescribed by
law with the Director of the Office of Management and Enterprise
Services for approval and payment.
Added by Laws 2016, c. 366, § 131, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-5-129. Oklahoma Viticulture and Enology Center Development
Revolving Fund.
A. There is hereby created in the State Treasury a revolving
fund for the Oklahoma Department of Agriculture, Food, and Forestry
to be designated the "Oklahoma Viticulture and Enology Center
Development Revolving Fund".
B. The fund shall be a continuing fund, not subject to fiscal
year limitations, and shall consist of all monies distributed to the
fund:
1. From the apportionment provided in paragraph 1 of Section 107
of this act; and
2. From any other source in accordance with state and federal
law.
C. All monies accruing to the credit of the fund are hereby
appropriated and may be budgeted and expended by the Department for
the purpose of:
1. Establishing a Viticulture and Enology Center on the campus
of Redlands Community College;
2. Developing viticulture-related and enology-related education
programs;
3. Developing technologies, strategies or practices that aid in
the production of grapes and wine in Oklahoma; and
4. Increasing the positive economic impact of the Oklahoma wine
industry on this state.
D. Expenditures from the fund shall be made upon warrants issued
by the State Treasurer against claims filed as prescribed by law with
the Director of the Office of Management and Enterprise Services for
approval and payment.
Added by Laws 2016, c. 366, § 132, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-130. Authority to promulgate rules on labeling of alcoholic
beverages.
The ABLE Commission is hereby authorized to promulgate rules
governing the labeling of alcoholic beverages bottled, packaged, sold
or possessed for sale within this state, not inconsistent with the
provisions of the Oklahoma Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 133, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-131. Alcoholic beverage not labeled in conformity with rules.
The bottling, packaging, sale or possession by any licensee of
any alcoholic beverage not labeled in conformity with such rules and
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the provisions of the Oklahoma Alcoholic Beverage Control Act shall
be grounds for suspension, revocation or cancellation of the license.
Added by Laws 2016, c. 366, § 134, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-132. Brand label required - Application for registration of
brand label - Form – Fees.
A. Except as provided in subsection D of this section, no
alcoholic beverage shall be labeled, offered or advertised for sale
in this state unless in accordance with rules promulgated pursuant to
the provisions of Section 5-130 of this title and unless the brand
label shall have been registered with and approved by the ABLE
Commission and the appropriate fee paid as provided for in this
section.
B. An application for registration of a brand label shall be
filed by and fees paid by the manufacturer or brewer of the brand if
the manufacturer or brewer is licensed by the ABLE Commission;
however, if the brewer or manufacturer is represented by a
manufacturer's agent, licensed nonresident seller, wine and spirits
wholesaler or beer distributor, then the manufacturer's agent,
nonresident seller, wine and spirits wholesaler or beer distributor
may submit each label for each product the manufacturer or brewer
offers for sale in this state, along with payment of the brand
registration fee, on behalf of the manufacturer or brewer; provided,
the manufacturer or brewer must fully reimburse the manufacturer's
agent, licensed nonresident seller, wine and spirits wholesaler or
beer distributor for the cost of the brand registration fee within
forty-five (45) days of the time the original brand registration fee
is paid. Cordials and wines which differ only as to age or vintage
year, as defined by such rules, shall be considered the same brand,
and those that differ as to type or class may be considered the same
brand by the ABLE Commission where consistent with the purposes of
this section.
C. The application for registration of a brand label shall be
filed on a form prescribed by the ABLE Commission, and shall contain
such information as the ABLE Commission shall require. Such
application shall be accompanied by a certified check, bank officers'
check or draft or money order in the amount of the annual
registration fee, or the properly prorated portion thereof prescribed
by this section.
D. 1. The annual fee for registration of any brand label for
spirits shall be Three Hundred Seventy-five Dollars ($375.00). The
annual fee for registration of any brand label for beer shall be Two
Hundred Dollars ($200.00). The annual fee for registration of any
brand label for wine made in the United States, or for registration
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of any category of imported wine as defined by the Tax Commission,
shall be Two Hundred Dollars ($200.00). Beer manufactured in this
state shall be exempt from brand label registration fees.
2. Each brand label registered and approved pursuant to this
section shall be valid for a term of up to one (1) year, expiring on
the June 30 next following registration, and may be renewed for
subsequent terms of one (1) year beginning on the July 1 following
the initial registration. Brand registration fees for labels
registered after July 1 may be prorated through the following June 30
on a quarterly basis. The brand registration fee shall not be
transferable, unless otherwise allowed by law. A nonresident seller
who registered brands prior to May 7, 2019, may transfer brand
registrations to the brewer or manufacturer that produces those
brands, provided the brewer or manufacturer has obtained a license,
at no expense to the nonresident seller, brewer or manufacturer.
E. If the ABLE Commission shall deny the application for
registration of a brand label, it shall return the registration fee
to the applicant, less twenty-five percent (25%) of such fee.
F. The ABLE Commission may at any time exempt any discontinued
brand from fee provisions of this section where a manufacturer,
brewer, beer distributor or wholesaler has an inventory of one
hundred cases or less of liquor or wine and five hundred cases or
less of beer, and certifies to the ABLE Commission in writing that
such brand is being discontinued.
G. No private labels or control labels shall be approved for
sale in this state; except for charity collaboration beer as
authorized in Section 3 of this act.
Added by Laws 2016, c. 366, § 135, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 364, § 23, eff. Oct. 1, 2018; Laws 2019, c. 322, § 34,
emerg. eff. May 7, 2019; Laws 2019, c. 422, § 1, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-132.1. Charitable collaboration beer – Transfer of alcohol
products between breweries without taxation.
For purposes of an approved charitable collaboration beer as
authorized in Section 3 of this act, the production of wort and non-
retail packaged alcohol products necessary for the development,
mixing, fermentation, brewing, storage or retail packaging, in whole
or any part thereof, shall be allowed to be transferred-in-bond
without taxation between charitable collaborating breweries licensed
in this state; provided, all such transfers are made in accordance
with applicable federal law and regulations, and, provided further,
all such products containing alcohol shall bear the specific license
number for the approved charitable collaboration brewery. The
Oklahoma Tax Commission shall abate taxes upon notice and application
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and only until the charitable collaboration beer is packaged for
purposes of distribution as may be divided, in whole or any part
thereof, between the licensed collaborating breweries.
For purposes of this section, "transfer-in-bond" means the
movement of alcohol or products containing any percentage of alcohol
between licensed bonded brewery facilities without payment of tax.
The Tax Commission and the ABLE Commission may conduct such
inspections and audits necessary to maintain strict compliance and
record keeping during the development, mixing, fermentation, brewing,
storage or retail packaging, in whole or any part thereof, of an
approved charitable collaboration beer. The Tax Commission shall
promulgate rules and forms to exempt and allow transfer-in-bond in
accordance with the provisions of this act and ABLE Commission rules.
Added by Laws 2019, c. 422, § 2, eff. Nov. 1, 2019.
§37A-5-133. Refilling of containers prohibited - Infused drinks
requirements.
A. No holder of a mixed beverage, beer and wine, caterer,
special event, public event or airline/railroad beverage license
shall refill with any substance a container which contained any
alcoholic beverage on which the tax levied by Section 104 of this act
has been paid.
B. A mixed beverage licensee shall not be prohibited from
preparing and selling infused drinks on the licensed premises,
provided the licensee complies with this section. "Infusion" is the
process in which a distilled spirit has one or more ingredients
including but not limited to fruits, vegetables, spices or nuts added
to the distilled spirit. Provided, it shall not be lawful for a
distilled spirit to be infused with any hallucinogenic substances or
to have pure or supplemental caffeine or other stimulants added,
including but not limited to guarana, ginseng or taurine. A mixed
beverage licensee who prepares and sells infused drinks shall comply
with the following requirements:
1. The infusion shall be mixed and stored on the licensed
premises;
2. The container that the infusion is stored in cannot exceed
five (5) gallons, must have a lid, and be maintained in sanitary
condition;
3. The infusion shall not be aged more than fourteen (14) days;
4. The infusion must be used or destroyed within twenty-one (21)
days after the end of the aging process;
5. Cleaning reports for the container must be available for
inspection by the ABLE Commission; and
6. The container in which the infusion is stored must have a
label affixed to the container that provides the production date of
the infusion, the base spirit of the infusion, the date the infusion
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will finish the aging process and the date in which the infusion must
be destroyed.
Added by Laws 2016, c. 366, § 136, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-134. Mixed beverage, beer and wine, caterer, public event or
special event license holders - Bond required for gross receipts tax
liability.
A. Every holder of a mixed beverage, beer and wine, caterer,
public event or special event license issued by the ABLE Commission,
as a condition precedent to the issuance of a mixed beverage tax
permit, shall furnish to the Oklahoma Tax Commission a bond from a
surety company chartered or authorized to do business in this state,
cash bond, certificates of deposits, certificates of savings or U.S.
Treasury bond, or an assignment of negotiable stocks or bonds, as the
Tax Commission may deem necessary to secure payment of the gross
receipts tax levied upon gross receipts of the licensees.
B. Any surety bond furnished under this section shall be a
continuing instrument and shall constitute a new and separate
obligation in the sum stated therein for each calendar year or a
portion thereof while such bond is in force. Such bond shall remain
in effect until the surety or sureties are released and discharged by
the Tax Commission.
C. The Tax Commission, or its duly authorized agent, shall fix
the amount of such bond or other security for each licensee for each
place of business after considering the estimated gross receipts tax
liability of such licensee. Such bond shall be no less than an
amount equal to the average estimated quarterly gross receipts tax
liability and no greater than an amount equal to three times the
amount of the average estimated quarterly gross receipts tax
liability. The minimum bond required for a new permit holder shall
be not less than One Thousand Five Hundred Dollars ($1,500.00).
D. Notwithstanding the provisions of subsection C of this
section, if the permit holder has held the permit for at least four
(4) years and is not delinquent in the payment of mixed beverage
taxes, the Tax Commission shall not require any increase in the bond
so long as the permit holder remains current in the payment of such
taxes.
E. Any bond or other security shall be such as will protect this
state against failure of the taxpayer or licensee to pay the tax
levied by Section 108 of this act. The forfeiture or cancellation of
such bond or security, for any reason whatsoever, shall automatically
revoke the mixed beverage tax permit issued pursuant to the
provisions of the Oklahoma Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 137, eff. Oct. 1, 2018.
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NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-135. Monthly report required for mixed beverage tax permit
holders and others - Calculation of gross receipts tax - Delinquent
taxes - Monthly report required for licensed wholesalers - Audit
authority.
A. Every mixed beverage tax permit holder, or any person
transacting business subject to the gross receipts tax levied by
Section 108 of this act, shall file with the Oklahoma Tax Commission
a monthly report for each place or location of business, on or before
the twentieth day of the month immediately following the month of
receipt. The reports shall be made under oath, on forms prescribed
by the Tax Commission, which shall include the following information:
1. Name of mixed beverage tax permit holder;
2. Mixed beverage tax permit number;
3. Sales tax permit number;
4. Mixed beverage, caterer, public event or special event
license number;
5. Gross receipts for the month for the sale, preparation or
service of mixed beverages, ice and nonalcoholic beverages mixed with
alcoholic beverages;
6. Gross receipts for the month from charges for the privilege
of admission to a mixed beverage establishment which entitles a
person to complimentary mixed beverages or discounted prices for
mixed beverages;
7. Total retail value of complimentary or discounted alcoholic
beverages served for the month; and
8. Such other information as may be required by the Tax
Commission to enable it to collect taxes imposed as provided by law.
B. The gross receipts tax levied by Section 108 of this act
shall be calculated by multiplying the tax rate, thirteen and one-
half percent (13.5%), and the total gross receipts for each month
from the sale, preparation or service of mixed beverages, ice and
nonalcoholic beverages mixed with alcoholic beverages, the total
gross receipts of charges received for admission to mixed beverage
establishments, as provided in paragraph 6 of subsection A of this
section, and the total retail value of complimentary or discounted
mixed beverages. Gross receipts from the sale of food prepared with
alcoholic beverages shall not be included in the calculation of the
monthly tax liability. The tax due for the preceding month shall
accompany the report required in subsection A of this section. All
taxes, penalties and interest imposed by the Oklahoma Alcoholic
Beverage Control Act may be paid in the form of electronic funds
transfer or by a personal or company check, cashier's check,
certified check or postal money order payable to the Tax Commission.
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C. If the gross receipts tax levied pursuant to the provisions
of Section 108 of this act is not paid on or before the twentieth day
of each month, the tax shall be delinquent, and interest and penalty
shall accrue on and from the twenty-first day of each month, pursuant
to the provisions of the Uniform Tax Procedure Code.
D. Every licensed wholesaler of alcoholic beverages in this
state shall file with the Tax Commission a monthly report, under
oath, on forms prescribed by the Tax Commission, which shall include
the name, location and mixed beverage tax permit number of each mixed
beverage, caterer, public event or special event licensee to whom the
licensed wholesaler sold alcoholic beverages during the report month.
E. If the report required by subsection A of this section is not
filed with the Tax Commission on or before the twentieth day of the
month, the Tax Commission may assess an additional penalty of Five
Dollars ($5.00) for each day thereafter that the report is not filed
pursuant to the provisions of this section. The Tax Commission may
waive the penalty assessed pursuant to the provisions of the Uniform
Tax Procedure Code; provided, however, the additional penalty, if
assessed, shall not exceed an amount equal to twice the amount of tax
due for the period for which such report was required to be filed, or
the sum of Three Hundred Dollars ($300.00), whichever is greater.
F. Taxes paid as provided by law represented by accounts
receivable which are found to be worthless or uncollectible may be
credited upon subsequent reports and remittances of such tax, in
accordance with rules promulgated by the Tax Commission. If such
accounts are thereafter collected, the same shall be reported and the
tax shall be paid upon the amount so collected.
G. In addition to any other authority granted by law, the Tax
Commission is hereby authorized to audit any mixed beverage, beer and
wine, caterer, public event or special event licensee to determine if
the correct amount of tax payable under Section 108 of this act has
been collected; provided, if such an audit reveals that the amount
collected is within the following percentages of the amount of tax
payable, the taxpayer shall be deemed to be in compliance:
1. For spirits, eighty-four percent (84%) to one hundred sixteen
percent (116%);
2. For wine, ninety percent (90%) to one hundred ten percent
(110%);
3. For beer sold at draft and not in original packages, eighty-
six percent (86%) to one hundred fourteen percent (114%); and
4. For beer sold in original packages, ninety-five percent (95%)
to one hundred five percent (105%).
Added by Laws 2016, c. 366, § 138, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-5-136. Tax discount for mixed beverage tax permit holders.
The mixed beverage tax permit holder or taxpayer may retain one
percent (1%) of the tax due and timely reported and paid, in
accordance with the provisions of Section 138 of this act, as
remuneration for establishing and maintaining the records required by
the Oklahoma Alcoholic Beverage Control Act. If such tax becomes
delinquent, such taxpayer forfeits his or her claim to the one
percent (1%) discount.
Added by Laws 2016, c. 366, § 139, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-5-137. Possession of alcoholic beverage containers not listed
on an invoice - Contraband – Penalties.
A. No mixed beverage, beer and wine, caterer, public event or
special event licensee nor any officer, agent or employee of such
licensee may possess or permit to be possessed on the premises, for
which such license was issued, any container of an alcoholic beverage
which is not listed on an invoice from the wholesaler from whom the
alcoholic beverage was purchased, unless otherwise permitted by
statute.
B. All containers of alcoholic beverages which are on the
premises of a mixed beverage, beer and wine, caterer, public event or
special event licensee and which are not listed on an invoice from
the wholesaler pursuant to the provisions of this section are
declared contraband. Any duly authorized employee of the ABLE
Commission or the Oklahoma Tax Commission is authorized to seize such
containers or cases, and such seized containers or cases shall be
subject to confiscation and forfeiture pursuant to the provisions of
the Oklahoma Alcoholic Beverage Control Act.
C. Any holder of a wholesaler, mixed beverage, beer and wine,
caterer, public event or special event license who violates the
provisions of this section shall, upon conviction, be guilty of a
misdemeanor and shall be subject to revocation or suspension of such
license issued by the ABLE Commission pursuant to the provisions of
the Oklahoma Alcoholic Beverage Control Act.
Added by Laws 2016, c. 366, § 140, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-101. Prohibited acts - Violations – Penalties.
A. No person shall:
1. Knowingly sell, deliver or furnish alcoholic beverages to any
person under twenty-one (21) years of age;
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2. Sell, deliver or knowingly furnish alcoholic beverages to an
intoxicated person or to any person who has been adjudged insane or
mentally deficient;
3. Open a retail container or consume alcoholic beverages on the
premises of a package store, grocery store, convenience store or drug
store, unless otherwise permitted by law;
4. Import into this state, except as provided for in the
Oklahoma Alcoholic Beverage Control Act, any alcoholic beverages;
provided, that nothing herein shall prohibit the importation or
possession for personal use of not more than one (1) liter of
alcoholic beverages upon which the Oklahoma excise tax is delinquent;
5. Receive, possess or use any alcoholic beverage in violation
of the provisions of the Oklahoma Alcoholic Beverage Control Act;
6. Knowingly transport into, within or through this state more
than one (1) liter of alcoholic beverages upon which the Oklahoma
excise tax has not been paid unless the person accompanying or in
charge of the vehicle transporting same shall possess a true copy of
a bill of lading, invoice, manifest or other document particularly
identifying that alcoholic beverages are being transported and
showing the name and address of the consignor and consignee;
provided, this prohibition shall not apply to the first one hundred
eighty (180) liters of alcoholic beverages classified as household
goods by military personnel, age twenty-one (21) or older, when
entering Oklahoma from temporary active assignment outside the
contiguous United States;
7. Knowingly transport in any vehicle upon a public highway,
street or alley any alcoholic beverage except in the original
container which shall not have been opened and the seal upon which
shall not have been broken and from which the original cap or cork
shall not have been removed, unless the opened container be in the
rear trunk or rear compartment, which shall include the spare tire
compartment in a vehicle commonly known as a station wagon and panel
truck, or any outside compartment which is not accessible to the
driver or any other person in the vehicle while it is in motion;
8. Consume spirits in public except on the premises of a
licensee of the ABLE Commission who is authorized to sell or serve
spirits by the individual drink, or be intoxicated in a public place.
This provision shall be cumulative and in addition to existing law;
9. Forcibly resist lawful arrest, or by physical contact
interfere with an investigation of any infringement of the Oklahoma
Alcoholic Beverage Control Act or with any lawful search or seizure
being made by a law enforcement officer or an employee of the ABLE
Commission, when such person knows or should know that such acts are
being performed by a state, county or municipal officer or employee
of the ABLE Commission;
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10. Manufacture, duplicate, counterfeit or in any way imitate
any bottle club membership card required to be issued by the ABLE
Commission without the permission of the ABLE Commission;
11. Consume or possess alcoholic beverages on the licensed
premises of a bottle club unless such person possesses a valid
membership card for that club issued by the club;
12. Knowingly possess any bottle club membership card required
to be issued by the ABLE Commission which has been manufactured,
counterfeited, imitated or in any way duplicated without the
permission of the ABLE Commission; or
13. Knowingly and willfully permit any individual under twenty-
one (21) years of age who is an invitee to the person's residence,
any building, structure or room owned, occupied, leased or otherwise
procured by the person or on any land owned, occupied, leased or
otherwise procured by the person, to possess or consume any alcoholic
beverage as defined by Section 1-103 of this title, any controlled
dangerous substance as defined in the Uniform Controlled Dangerous
Substances Act, or any combination thereof, in such place.
B. Except as provided for in subsection C of this section,
punishment for violation of paragraph 13 of subsection A of this
section shall be as follows:
1. Any person who is convicted of a violation of the provisions
of paragraph 13 of subsection A of this section shall be deemed
guilty of a misdemeanor for the first offense and be punished by a
fine of not more than Five Hundred Dollars ($500.00);
2. Any person who, within ten (10) years after previous
convictions of a violation:
a. of paragraph 13 of subsection A of this section,
b. of the provisions of any law of another state
prohibiting the offense provided for in paragraph 13 of
subsection A of this section, or
c. in a municipal criminal court of record for the
violation of a municipal ordinance prohibiting the
offense provided for in paragraph 13 of subsection A of
this section,
shall be guilty of a misdemeanor and shall be punished by a fine of
not more than One Thousand Dollars ($1,000.00);
3. Any person who, within ten (10) years after two or more
previous convictions of a violation:
a. of paragraph 13 of subsection A of this section,
b. of the provisions of any law of another state
prohibiting the offense provided for in paragraph 13 of
subsection A of this section, or
c. in a municipal criminal court of record for the
violation of a municipal ordinance prohibiting the
offense provided for in paragraph 13 of subsection A of
this section, or
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d. or any combination of two or more thereof,
shall be guilty of a felony and shall be punished by a fine of not
more than Two Thousand Five Hundred Dollars ($2,500.00), or by
imprisonment in the custody of the Department of Corrections for not
more than five (5) years, or by both such fine and imprisonment.
C. Any person who violates paragraph 13 of subsection A of this
section, and such actions cause great bodily injury or the death of a
person, shall, in addition to any other penalty provided by law, be
guilty of a felony, punishable by imprisonment in the custody of the
Department of Corrections for not more than five (5) years, a fine of
not less than Two Thousand Five Hundred Dollars ($2,500.00) nor more
than Five Thousand Dollars ($5,000.00), or both such fine and
imprisonment.
D. Except as provided in subsection C of Section 6-126 of this
title, any person who shall engage in any of the following and
disturb the peace of any person:
1. In any public place, or in or upon any passenger coach,
streetcar, or in or upon any other vehicle commonly used for the
transportation of passengers, or in or about any depot, platform,
waiting station or room, drink or otherwise consume any intoxicating
liquor unless authorized by the Oklahoma Alcoholic Beverage Control
Act, intoxicating substance or intoxicating compound of any kind, or
inhale glue, paint or other intoxicating substance;
2. Be drunk or intoxicated in any public or private road, or in
any passenger coach, streetcar or any public place or building, or at
any public gathering, from drinking or consuming such intoxicating
liquor, intoxicating substance or intoxicating compound or from
inhalation of glue, paint or other intoxicating substance; or
3. Be drunk or intoxicated from any cause,
shall be guilty of a misdemeanor, and upon conviction thereof shall
be punished by a fine of not less than Ten Dollars ($10.00), nor more
than One Hundred Dollars ($100.00) or by imprisonment for not less
than five (5) days nor more than thirty (30) days or by both such
fine and imprisonment.
Added by Laws 2016, c. 366, § 141, eff. Oct. 1, 2018. Amended by
Laws 2018, c. 113, § 5, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 307, which was
adopted at election held on Nov. 8, 2016.
§37A-6-102. See the following versions:
OS 37A-6-102v1 (SB 814, Laws 2019, c. 291, § 1).
OS 37A-6-102v2 (SB 804, Laws 2019, c. 421, § 1).
§37A-6-102.1. Serving of tasting flights.
Notwithstanding Section 6-102 of Title 37A of the Oklahoma
Statutes, which limits a licensee to serving not more than two drinks
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to one person at one time, a licensee may serve and deliver tasting
flights as follows:
For purposes of this section, a "tasting flight" means several
samples of various beers, wines or spirits served at one time to one
person by the licensee who is authorized to sell and serve beer, wine
or spirits; provided the serving is within the size limitations
stated below:
1. A beer tasting flight shall be not more than four separate
individual beers of not more than five (5) ounces each, served
together at one time;
2. A wine tasting flight shall be not more than four separate
individual wines of not more than one and one half (1.5) ounces each,
served together at one time; and
3. A spirit tasting flight shall be not more than four separate
individual spirits of not more than a half (0.5) ounce each, served
together at one time.
A tasting flight shall not be free samples, but shall be
considered a single drink.
Added by Laws 2019, c. 291, § 2, eff. Nov. 1, 2019.
§37A-6-102v1. Prohibited acts of licensees.
No licensee of the ABLE Commission shall:
1. Receive, possess or sell any alcoholic beverage except as
authorized by the Oklahoma Alcoholic Beverage Control Act and by the
license or permit which the licensee holds;
2. Employ any person under eighteen (18) years of age in the
selling of beer or wine or employ any person under twenty-one (21)
years of age in the selling of spirits. Provided:
a. a mixed beverage, beer and wine, caterer, public event,
special event, bottle club, retail wine or retail beer
licensee may employ servers or sales clerks who are at
least eighteen (18) years of age, except persons under
twenty-one (21) years of age may not serve in
designated bar or lounge areas, and
b. a mixed beverage, beer and wine, caterer, public event,
special event or bottle club licensee may employ or
hire musical bands who have musicians who are under
eighteen (18) years of age if each such musician is
either accompanied by a parent or legal guardian or has
on their person, to be made available for inspection
upon demand by any employee of the ABLE Commission or
law enforcement officer, a written, notarized affidavit
from the parent or legal guardian giving the underage
musician permission to perform in designated bar or
lounge areas;
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3. Give any alcoholic beverage as a prize, premium or
consideration for any lottery, game of chance or skill or any type of
competition;
4. Use any of the following means or inducements to stimulate
the consumption of alcoholic beverages, including but not limited to:
a. deliver more than two drinks to one person at one time,
except as provided for serving tasting flights defined
in Section 2 of this act,
b. sell or offer to sell to any person or group of persons
any drinks at a price that is less than six percent
(6%) below the markup of the cost to the mixed beverage
licensee; provided, a mixed beverage licensee shall be
permitted to offer these drink specials on any
particular hour of any particular day and shall not be
required to offer these drink specials for an entire
calendar week or from open to close,
c. sell or offer to sell to any person an unlimited number
of drinks during any set period of time for a fixed
price, except at private functions not open to the
public,
d. sell or offer to sell drinks to any person or group of
persons on any one day or portion thereof at prices
less than those charged the general public on that day,
except at private functions not open to the public,
e. increase the volume of alcoholic beverages contained in
a drink without increasing proportionately the price
regularly charged for such drink during the same
calendar week, or
f. encourage or permit, on the licensed premises, any game
or contest which involves drinking or the awarding of
drinks as prizes.
Provided, that the provisions of this paragraph shall not
prohibit the advertising or offering of food or entertainment in
licensed establishments;
5. Permit or allow any patron or person to exit the licensed
premises with an open container of any alcoholic beverage. Provided,
this prohibition shall not be applicable to closed original
containers of alcoholic beverages which are carried from the licensed
premises of a bottle club by a patron, closed original wine
containers removed from the premises of restaurants, hotels and
motels, or to closed original containers of alcoholic beverages
transported to and from the place of business of a licensed caterer
by the caterer or an employee of the caterer;
6. Serve or sell alcoholic beverages with an expired license
issued by the ABLE Commission; or
7. Permit any person to be drunk or intoxicated on the
licensee's licensed premises.
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Added by Laws 2016, c. 366, § 142, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 291, § 1, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-102v2. Prohibited acts of licensees.
A. No licensee of the ABLE Commission shall:
1. Receive, possess or sell any alcoholic beverage except as
authorized by the Oklahoma Alcoholic Beverage Control Act and by the
license or permit which the licensee holds;
2. Employ any person under eighteen (18) years of age in the
selling of beer or wine or employ any person under twenty-one (21)
years of age in the selling of spirits. Provided:
a. a mixed beverage, beer and wine, caterer, public event,
special event, bottle club, retail wine or retail beer
licensee may employ servers or sales clerks who are at
least eighteen (18) years of age, except persons under
twenty-one (21) years of age may not serve in
designated bar or lounge areas, and
b. a mixed beverage, beer and wine, caterer, public event,
special event or bottle club licensee may employ or
hire musical bands who have musicians who are under
eighteen (18) years of age if each such musician is
either accompanied by a parent or legal guardian or has
on their person, to be made available for inspection
upon demand by any employee of the ABLE Commission or
law enforcement officer, a written, notarized affidavit
from the parent or legal guardian giving the underage
musician permission to perform in designated bar or
lounge areas;
3. Give any alcoholic beverage as a prize, premium or
consideration for any lottery, game of chance or skill or any type of
competition;
4. Use any of the following means or inducements to stimulate
the consumption of alcoholic beverages, including but not limited to:
a. deliver more than two drinks to one person at one time,
b. sell or offer to sell to any person or group of persons
any drinks at a price that is less than six percent
(6%) below the markup of the cost to the mixed beverage
licensee; provided, a mixed beverage licensee shall be
permitted to offer these drink specials on any
particular hour of any particular day and shall not be
required to offer these drink specials for an entire
calendar week or from open to close,
c. sell or offer to sell to any person an unlimited number
of drinks during any set period of time for a fixed
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price, except at private functions not open to the
public,
d. sell or offer to sell drinks to any person or group of
persons on any one day or portion thereof at prices
less than those charged the general public on that day,
except at private functions not open to the public,
e. increase the volume of alcoholic beverages contained in
a drink without increasing proportionately the price
regularly charged for such drink during the same
calendar week, or
f. encourage or permit, on the licensed premises, any game
or contest which involves drinking or the awarding of
drinks as prizes.
Provided, that the provisions of this paragraph shall not
prohibit the advertising or offering of food or entertainment in
licensed establishments;
5. Permit or allow any patron or person to exit the licensed
premises with an open container of any alcoholic beverage. Provided,
this prohibition shall not be applicable to closed original
containers of alcoholic beverages which are carried from the licensed
premises of a bottle club by a patron, closed original wine
containers removed from the premises of restaurants, hotels and
motels, or to closed original containers of alcoholic beverages
transported to and from the place of business of a licensed caterer
by the caterer or an employee of the caterer;
6. Serve or sell alcoholic beverages with an expired license
issued by the ABLE Commission; or
7. Permit any person to be drunk or intoxicated on the
licensee's licensed premises.
B. A mixed beverage or beer and wine licensee shall not be
deemed to have violated the provisions of paragraph 5 of subsection A
of this section if it allowed a patron to leave the licensed premises
with an open container of beer or wine only and:
1. The otherwise prohibited act was committed during the hours
of 8 a.m. to midnight on the day of a scheduled home football game of
institutions within The Oklahoma State System of Higher Education,
and the establishment is located within two thousand (2,000) feet of
the institution;
2. The licensee is participating by invitation in a municipally
sanctioned art, music or sporting event within city limits when the
municipality has provided written notice of the event and a list of
invited licensees to the ABLE Commission at least five (5) days prior
to the event; or
3. The patron remains on the connected, physical property of the
licensee or in a public area adjacent to the physical property of the
licensee with prior municipal approval; provided that written notice
of the use of the connected, physical property of the licensee or
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public area shall be provided to the ABLE Commission at least five
(5) days prior to such use.
Added by Laws 2016, c. 366, § 142, eff. Oct. 1, 2018. Amended by
Laws 2019, c. 421, § 1, eff. July 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-103. Prohibited acts of retail spirits licensees.
A. No retail spirits licensee shall:
1. Purchase or receive any alcoholic beverage other than from a
wine and spirits wholesaler, beer distributor, winery or small brewer
self-distribution licensee who elects to self-distribute;
2. Suffer or permit any retail container to be opened, or any
alcoholic beverage to be consumed on the licensed premises, unless
otherwise permitted by law;
3. Sell any alcoholic beverages at any hour other than between
the hours of 8:00 a.m. and midnight Monday through Saturday, and
shall not be permitted to be open on Thanksgiving Day or Christmas
Day; provided, a county may, pursuant to the provisions of
subsections B and C of Section 3-124 of this title, elect to allow
such sales between the hours of noon and midnight on Sunday. Retail
spirits licensees shall be permitted to sell alcoholic beverages on
the day of any General, Primary, Runoff Primary or Special Election
whether on a national, state, county or city election, provided that
the election day does not occur on any day on which such sales are
otherwise prohibited by law;
4. Sell spirits in a city or town, unless such city or town has
a population in excess of two hundred (200) according to the latest
Federal Decennial Census;
5. Sell any alcoholic beverage on credit; provided, that
acceptance by a licensee of a cash or debit card or a nationally
recognized credit card in lieu of actual cash payment does not
constitute the extension of credit; provided, further, as used in
this section:
a. "cash or debit card" means any instrument or device
whether known as a debit card or by any other name,
issued with or without fee by an issuer for the use of
the cardholder in depositing, obtaining or transferring
funds from a consumer banking electronic facility, and
b. "nationally recognized credit card" means any
instrument or device, whether known as a credit card,
credit plate, charge plate or by any other name, issued
with or without fee by an issuer for the use of the
cardholder in obtaining money, goods, services or
anything else of value on credit which is accepted by
over one hundred retail locations;
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6. Offer or furnish any prize, premium, gift or similar
inducement to a consumer in connection with the sale of alcoholic
beverages, except that goods or merchandise included by the
manufacturer in packaging with alcoholic beverages or for packaging
with alcoholic beverages shall not be included in this prohibition,
but no wholesaler or retailer shall sell any alcoholic beverage
prepackaged with other goods or merchandise at a price which is
greater than the price at which the alcoholic beverage alone is sold;
or
7. Pay for alcoholic beverages by a check or draft which is
dishonored by the drawee when presented to such drawee for payment;
and the ABLE Commission may cancel or suspend the license of any
retailer who has given a check or draft, as maker or endorser, which
is so dishonored upon presentation.
B. No retail spirits licensee shall permit any person under
twenty-one (21) years of age to enter into or remain within or about
the licensed premises unless accompanied by the person's parent or
legal guardian.
Added by Laws 2016, c. 366, § 143, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 84, § 2, eff. Oct. 1, 2018; Laws 2017, c. 340, § 2,
eff. Oct. 1, 2018; Laws 2019, c. 237, § 1, eff. Nov. 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-104. Prohibited acts of wholesaler licensees.
No wine or spirits wholesaler licensee shall sell or deliver, and
no wine or spirits retail licensee shall receive:
1. Any amount of spirits or wines to any licensee on Sunday; or
2. Any amount of spirits or wines to any licensee on New Year's
Day, the Fourth of July, Thanksgiving Day or Christmas Day.
Added by Laws 2016, c. 366, § 144, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 364, § 24, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-105. Prohibited acts of mixed beverage, public event, special
event or on-premises beer and wine licensees.
No mixed beverage, public event, special event or on-premises
beer and wine licensee shall:
1. Purchase or receive any alcoholic beverage other than from a
person holding a wine and spirit wholesaler or beer distributor
license issued pursuant to the Oklahoma Alcoholic Beverage Control
Act; provided, a mixed beverage or on-premises beer and wine licensee
whose premises are a restaurant may purchase wine produced at
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wineries in this state directly from a winemaker as provided in
Section 2 of Article XXVIIIA of the Oklahoma Constitution;
2. Transport alcoholic beverages from the place of purchase to
the licensed premises unless the licensee also holds a private
carrier license issued by the ABLE Commission;
3. Use or allow the use of any mark or label on a container of
alcoholic beverage which is kept for sale which does not clearly and
precisely indicate the nature of the contents or which might deceive
or conceal the nature, composition, quantity, age or quality of such
beverage;
4. Keep or knowingly permit any alcoholic beverage to be kept,
brought or consumed on the licensed premises which is not allowed to
be sold or served upon such premises; or
5. Allow any person under twenty-one (21) years of age to enter
into, remain within or loiter about the designated bar area of the
licensed premises, except for persons who incidentally pass through
the designated area.
The prohibition in this subsection against persons under twenty-
one (21) years of age entering or remaining within the designated bar
area of the licensed premises shall not apply:
a. if the licensed premises are closed to the public
during a time the premises are legally permitted to be
open for business and the premises are used for a
private party at which alcoholic beverages may be
served to persons twenty-one (21) years of age or
older. Any alcoholic beverages served at a private
party on the licensed premises may be purchased from
the licensee at a negotiated price or purchased
privately and served at the private party on the
licensed premises. Any licensee who desires to conduct
such a private party shall notify the ABLE Commission,
in writing, at least ten (10) calendar days prior to
the private party. The notification shall include the
date, time and purpose of the private party and any
other information the ABLE Commission may deem
necessary, or
b. to a designated bar area which is a concessions stand
serving beer and wine, in addition to food and non-
alcoholic beverages, which concession stand is located
at, in, or on the premises of a sports, music or
entertainment venue, convention center, fairgrounds or
similar facility.
Added by Laws 2016, c. 366, § 145, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 366, § 2, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-6-106. Prohibited acts of bottle club licensees.
No bottle club licensee shall:
1. Use or allow the use of any mark or label on a container of
alcoholic beverage which does not clearly and precisely indicate the
nature of the contents or which might deceive or conceal the nature,
composition, quantity, age or quality of any such beverage;
2. Act as an agent for any bottle club member and purchase any
alcoholic beverage for the member;
3. Use or allow the use of any pool system of storage or
purchase of alcoholic beverages;
4. Allow any person to enter or remain in the designated bar or
lounge area of the club unless that person possesses a valid
membership card for that club issued by the club;
5. Sell any alcoholic beverage;
6. Deliver or furnish to any club member any alcoholic beverage
that does not belong to the member;
7. Serve alcoholic beverages to any person who does not possess
a valid membership card for that club issued by the club;
8. Issue a membership card for the club to a person under
twenty-one (21) years of age; or
9. Allow any person under twenty-one (21) years of age to enter
into, remain within or loiter about the designated bar area of the
licensed premises, except for members of a musical band employed or
hired as provided in paragraph 2 of Section 142 of this act when the
band is to perform within such area.
The prohibition in this subsection against persons under twenty-
one (21) years of age entering or remaining within the designated bar
area of the licensed premises shall not apply if the licensed
premises are closed to the public during a time the premises are
legally permitted to be open for business and the premises are used
for a private party at which alcoholic beverages may be served to
persons twenty-one (21) years of age or older. Any alcoholic
beverages served at a private party on the licensed premises may be
purchased from the licensee at a negotiated price or purchased
privately and served at the private party on the licensed premises.
Any licensee who desires to conduct such a private party shall notify
the ABLE Commission, in writing, at least ten (10) calendar days
prior to the private party. The notification shall include the date,
time and purpose of the private party and any other information the
ABLE Commission may deem necessary.
Added by Laws 2016, c. 366, § 146, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-107. Prohibited acts of special event or caterer licensees.
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No special event or caterer licensee shall:
1. Purchase or receive any alcoholic beverage other than from a
person holding a wine and spirits wholesaler or beer distributor
license issued pursuant to the provisions of the Oklahoma Alcoholic
Beverage Control Act; provided, a special event or caterer licensee
may purchase wine produced at small farm wineries or beer produced by
a small brewer in this state directly from a winemaker or small
brewer as provided in Section 2 of Article XXVIIIA of the Oklahoma
Constitution or in this act; or
2. Transport alcoholic beverages from the place of purchase to
the licensed premises unless the licensee also holds a private
carrier license issued by the ABLE Commission.
Added by Laws 2016, c. 366, § 147, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-108. See the following versions:
OS 37A-6-108v1 (SB 113, Laws 2019, c. 306, § 1).
OS 37A-6-108v2 (HB 1315, Laws 2019, c. 431, § 4).
§37A-6-108v1. Prohibited acts of holders of retail wine or retail
beer licenses.
No holder of a Retail Wine License or a Retail Beer License
shall:
1. Purchase or receive any alcoholic beverage other than from a
wine and spirits wholesaler, beer distributor, winery or small brewer
self-distribution licensee;
2. Suffer or permit any retail container to be opened, or any
alcoholic beverage to be consumed on the licensed premises, unless
otherwise permitted by law;
3. Sell any beer or wine at any hour other than between the
hours of 6:00 a.m. and 2:00 a.m. the following day, Monday through
Sunday. Retail wine and retail beer licensees shall be permitted to
sell beer and wine on the day of any General, Primary, Runoff Primary
or Special Election whether on a national, state, county or city
election;
4. Sell any beer and wine on credit; except as follows:
a. the acceptance by a grocery store, convenience store or
drug store of a cash or debit card, or a nationally
recognized credit card, in lieu of actual cash payment
does not constitute the extension of credit; provided,
further, as used in this section:
(1) "cash or debit card" means any instrument or
device whether known as a debit card or by any
other name, issued with or without fee by an
issuer for the use of the cardholder in
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depositing, obtaining or transferring funds from a
consumer banking electronic facility, and
(2) "nationally recognized credit card" means any
instrument or device, whether known as a credit
card, credit plate, charge plate or by any other
name, issued with or without fee by an issuer for
the use of the cardholder in obtaining money,
goods, services or anything else of value on
credit which is accepted by over one hundred
retail locations, and
b. when the holder of a Retail Wine License, Retail Beer
License or Mixed Beverage License is a private
membership club, marina, golf course or country club
that normally charges food, drinks and other purchases
to the member's monthly dues account in the regular
course of business, in lieu of actual cash payment at
the time of purchase, such practice does not constitute
the extension of credit;
5. Offer or furnish any prize, premium, gift or similar
inducement to a consumer in connection with the sale of beer or wine,
except that goods or merchandise included by the manufacturer in
packaging with beer or wine or for packaging with beer or wine shall
not be included in this prohibition; but no retail wine or retail
beer licensee shall sell any beer or wine prepackaged with other
goods or merchandise at a price which is greater than the price at
which the alcoholic beverage alone is sold; or
6. Pay for beer or wine by a check or draft which is dishonored
by the drawee when presented to such drawee for payment; and the ABLE
Commission may cancel or suspend the license of any retailer who has
given a check or draft, as maker or endorser, which is so dishonored
upon presentation.
Added by Laws 2016, c. 366, § 148, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 84, § 3, eff. Oct. 1, 2018; Laws 2019, c. 306, § 1,
eff. July 1, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-108v2. Prohibited acts of holders of retail wine or retail
beer licenses.
No holder of a Retail Wine License or a Retail Beer License
shall:
1. Purchase or receive any alcoholic beverage other than from a
wine and spirits wholesaler, beer distributor, winery or small brewer
self-distribution licensee;
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2. Suffer or permit any retail container to be opened, or any
alcoholic beverage to be consumed on the licensed premises, unless
otherwise permitted by law;
3. Sell any beer or wine at any hour other than between the
hours of 6:00 a.m. and 2:00 a.m. the following day, Monday through
Sunday. Retail wine and retail beer licensees shall be permitted to
sell beer and wine on the day of any General, Primary, Runoff Primary
or Special Election whether on a national, state, county or city
election;
4. Sell any beer and wine on credit; provided, that acceptance
by a grocery store, convenience store or drug store of a cash or
debit card, or a nationally recognized credit card, in lieu of actual
cash payment does not constitute the extension of credit; provided,
further, as used in this section:
a. "cash or debit card" means any instrument or device
whether known as a debit card or by any other name,
issued with or without fee by an issuer for the use of
the cardholder in depositing, obtaining or transferring
funds from a consumer banking electronic facility, and
b. "nationally recognized credit card" means any
instrument or device, whether known as a credit card,
credit plate, charge plate or by any other name, issued
with or without fee by an issuer for the use of the
cardholder in obtaining money, goods, services or
anything else of value on credit which is accepted by
over one hundred retail locations;
5. Offer or furnish any prize, premium, gift or similar
inducement to a consumer in connection with the sale of beer or wine,
except that goods or merchandise included by the manufacturer in
packaging with beer or wine or for packaging with beer or wine shall
not be included in this prohibition, nor shall a retail wine or
retail beer license holder selling wine or beer at a multiunit
discount be included in this prohibition; but no retail wine or
retail beer licensee shall sell any beer or wine prepackaged with
other goods or merchandise at a price which is greater than the price
at which the alcoholic beverage alone is sold; or
6. Pay for beer or wine by a check or draft which is dishonored
by the drawee when presented to such drawee for payment; and the ABLE
Commission may cancel or suspend the license of any retailer who has
given a check or draft, as maker or endorser, which is so dishonored
upon presentation.
Added by Laws 2016, c. 366, § 148, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 84, § 3, eff. Oct. 1, 2018; Laws 2019, c. 431, § 4,
emerg. eff. May 23, 2019.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
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§37A-6-109. Prohibited acts of mixed beverage, beer and wine, bottle
club, caterer, charitable event, public event or special event
licensees or employee, manager, operator or agent thereof.
No mixed beverage, beer and wine, bottle club, caterer,
charitable event, public event or special event licensee or any
employee, manager, operator or agent thereof shall:
1. Consume or be under the influence of alcoholic beverages
during the hours he or she is on duty. For the purposes of this
section, licensees will be deemed to be on duty from the time the
licensee first comes on duty until the time the licensee goes off
duty at the end of the shift, including any break periods permitted
by management. This paragraph shall not apply to any person who
works on the premises as an entertainer only;
2. Permit or tolerate any conduct or language which is intended
to threaten another with physical harm or any fighting or offensive
physical contact, in or upon the licensed premises or areas just
outside the licensed premises which are controlled by the licensee;
3. Permit empty or discarded alcoholic beverage containers to be
in public view outside the licensed premises. All empty or discarded
containers shall be disposed of in accordance with ABLE Commission
rules and regulations;
4. Permit any illegal gambling activity, violations of the state
narcotic and dangerous drug laws, prostitution activity or any other
criminal conduct to occur on the licensed premises;
5. Refuse or fail to promptly open a door to the licensed
premises upon request of an employee of the ABLE Commission or any
other peace officer to enter the premises when the licensee or
employee knows or should know that such request is made by an
employee of the ABLE Commission or a peace officer. This provision
shall not be construed to deny employees of the ABLE Commission or
peace officers access at any time to any licensed premises;
6. Permit a sealed or unsealed container of alcoholic beverage
to be removed from the licensed premises. Provided, that
restaurants, hotels and motels may permit the removal of closed
original wine containers the contents of which have been partially
consumed and bottle clubs may permit the removal by a club member of
closed original containers of alcoholic beverages belonging to
members. The provisions of this paragraph shall not be construed to
prohibit or restrict:
a. hotels or motels who are holders of mixed beverage or
on-premises beer and wine licenses from allowing
alcoholic beverages to be served away from the bar area
anywhere on the licensed premises,
b. licensees, who are lawfully operating in a facility or
on property owned or operated by any agency, political
subdivision or public trust of this state, from
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allowing persons to transport alcoholic beverages from
one licensed premises to another within the same
building or property, provided that the building or
property or a part thereof is defined as a common
drinking area for consumption of alcohol by resolution
of the governing body of the agency, political
subdivision or public trust of this state, or
c. licensees, who are licensed to operate in a facility or
on property owned or operated by any agency, political
subdivision or public trust of this state, from
allowing other licensees to operate on their licensed
premises for events that are temporary in nature. In
the event that multiple licensees are operating in a
facility or on property owned or operated by any
agency, political subdivision or public trust of this
state, each licensee shall be responsible for
violations occurring in their area designated to be
their temporary licensed premises; or
7. Destroy, damage, alter, remove or conceal potential evidence,
or attempt to do so, or refuse to surrender evidence when lawfully
requested to do so by an inspector, agent or any other peace officer
or incite another person to do any of the above.
Added by Laws 2016, c. 366, § 149, eff. Oct. 1, 2018. Amended by
Laws 2017, c. 205, § 8, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-110. Prohibited acts on or about commercial premises where
intoxicating beverages are dispensed or consumed.
No owner, operator, partner, manager or person having supervisory
control of any establishment licensed to sell or serve intoxicating
beverages shall permit any of the following on or about any
commercial premises where intoxicating beverages are dispensed or
consumed:
1. The performance by any person of acts, or simulated acts, of
sexual intercourse, masturbation, sodomy, bestiality, oral
copulation, flagellation or any sexual acts which are otherwise
prohibited by law;
2. The actual intentional touching or caressing or fondling by
any person of the breasts, anus or genitals;
3. Any person on the licensed premises while such person is
unclothed or in such attire, costume or clothing as to expose to view
any portion of the areola of the female breast or any portion of the
pubic hair, buttocks or genitals; or
4. Any person to perform acts of, or acts which simulate, sexual
acts which are prohibited by law, or permit any person to use
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artificial devices or inanimate objects to depict any prohibited
activities or permit the showing of films, still pictures, electronic
reproductions or other visual reproductions depicting any of the
prohibited activities described in this paragraph.
Added by Laws 2016, c. 366, § 150, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-111. Authority to remove persons while making arrests.
An agent, inspector or any peace officer while making arrests
incidental to investigating violations of state law may remove from
licensed premises and adjacent areas customers, employees and those
individuals who may pose a threat to public safety or a threat to the
safety of agents, inspectors or peace officers for the period of time
necessary to effect the arrests and complete the pending
investigation.
Added by Laws 2016, c. 366, § 151, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-112. Damaging or destroying information required on original
containers or cases - Misdemeanor.
Any person who erases, removes, obliterates, destroys or renders
illegible in any manner any serial numbers, marks, brands, legends,
license numbers, case numbers or other information required by the
Oklahoma Alcoholic Beverage Control Act or by Acts of Congress to be
attached or placed upon any original containers or cases containing
alcoholic beverages before the contents of such packages or cases
have been entirely removed is guilty of a misdemeanor.
Added by Laws 2016, c. 366, § 152, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-113. Unlawful to possess alcoholic beverages with intent to
sell without procuring a license.
It shall be unlawful for any person, firm or corporation to
possess any alcoholic beverages with the intent to sell the same
without having first procured a license therefor from the ABLE
Commission as now provided for by law. All alcoholic beverages found
in the possession or under the control of any person or persons, firm
or corporation who, on the same date, or within fifteen (15) days
prior thereto, has violated Section 153 of this act, shall be seized
by the arresting officer and shall be forfeited to the State of
Oklahoma, as provided for in Section 167 of this act; provided,
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property seized by a county or municipal law enforcement officer
shall be forfeited to the county or municipality in which the seizure
of the property took place, whichever is appropriate, as provided for
in Section 167 of this act.
Added by Laws 2016, c. 366, § 153, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-114. Age restrictions for premises with a lounge or bar area
for selling or distributing alcoholic beverages - Admission charge in
determining purpose – Exceptions.
A. 1. If the premises of a licensee of the ABLE Commission
contains a separate or enclosed lounge or bar area, which has as its
main purpose the sale or distribution of alcoholic beverages for on-
premises consumption, notwithstanding that as an incidental service,
meals or short order foods are made available therein, no person
under twenty-one (21) years of age shall be admitted to such area,
except for members of a musical band employed or hired as provided in
paragraph 2 of Section 142 of this act when the band is to perform
within such area, or persons under twenty-one (21) years of age who
are on the licensed premises for the limited purpose of performing
maintenance, construction, remodeling, painting or other similar
services relating to the building or equipment installation, repair
or maintenance on the premises during those hours when the licensed
establishment is closed for business. The provisions of this section
shall not prohibit persons under twenty-one (21) years of age from
being admitted to an area which has as its main purpose some
objective other than the sale or mixing or serving of alcoholic
beverages, in which sales or serving of alcoholic beverages are
incidental to the main purpose, as long as the persons under twenty-
one (21) years of age are not sold or served alcoholic beverages.
The incidental service of food in the bar area shall not exempt a
licensee from the provisions of this section. The ABLE Commission
shall have the authority to designate the portions of the premises of
a licensee where persons under twenty-one (21) years of age shall not
be admitted pursuant to this section. When determining a licensee’s
main purpose, a licensee that operates a full kitchen, sells food
items from a full menu, and has thirty-five percent (35%) or more of
its monthly gross sales attributable to food items, shall have as its
main purpose other than the sale of alcoholic beverages. The main
purpose of those mixed beverage establishments whose main purpose was
other than the sale of alcoholic beverages prior to October 1, 2018,
shall not automatically lose that designation upon the elimination of
low-point beer in the state. If the ABLE Commission wishes to change
said mixed beverage establishments’ main purpose designation, it
shall be the burden of the ABLE Commission to prove by clear and
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convincing evidence that said mixed beverage establishments no longer
qualify for that designation.
2. A new licensee that claims as its main purpose some objective
other than the sale of alcoholic beverages may be granted a separate
or enclosed lounge or bar area for a period of ninety (90) days. At
the end of that ninety-day period, the licensee shall have the burden
of showing that the business continues to qualify for a separate or
enclosed bar area. If the licensee fails to satisfy this burden,
then that licensee's main purpose shall automatically convert to the
sale of alcoholic beverages.
B. Except as otherwise provided, an admission charge shall not
be considered in any calculation designed to determine the main
purpose of an establishment pursuant to subsection A of this section.
As used in this section, "admission charge" means any form of
consideration received by an establishment from a person in order for
that person to gain entrance into the establishment.
C. The provisions of subsection B of this section shall not
apply:
1. If only persons eighteen (18) years of age or older are
permitted to enter the licensed premises; provided, if the licensee
is claiming an exception from the requirements of subsection B of
this section pursuant to this paragraph and fails to restrict the
entry by persons under age eighteen (18) into the licensed premises,
the ABLE Commission shall designate that only persons twenty-one (21)
years of age or older are allowed on the licensed premises;
2. If the licensed premises are owned or operated by a service
organization or fraternal establishment which is exempt under Section
501(c)(19), (8), or (10) of the Internal Revenue Code; or
3. To a public event held in a facility owned or operated by any
agency, political subdivision or public trust of this state.
D. The ABLE Commission shall promulgate rules necessary to
implement the provisions of this section.
Added by Laws 2016, c. 366, § 154, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-115. Operation of whiskey still with intent to produce
alcoholic beverages - Distiller business without distiller's license
– Penalties.
Any person who shall operate a whiskey still with intent to
produce alcoholic beverages or any person who shall carry on the
business of a distiller without possessing a valid and existing
distiller's license issued pursuant to the provisions of the Oklahoma
Alcoholic Beverage Control Act shall be guilty of a felony and upon
conviction, be fined not less than Two Thousand Five Hundred Dollars
($2,500.00) nor more than Five Thousand Dollars ($5,000.00), or
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imprisoned in the State Penitentiary for not more than three (3)
years, or by both such fine and imprisonment.
Added by Laws 2016, c. 366, § 155, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-116. False or fraudulent return in connection with any tax
imposed by Act – Penalties.
Any person who shall file a false or fraudulent return in
connection with any tax imposed by the Oklahoma Alcoholic Beverage
Control Act, or willfully evade, or attempt to evade, any tax herein
levied shall be guilty of a felony and upon conviction, be fined not
less than Two Thousand Five Hundred Dollars ($2,500.00) nor more than
Five Thousand Dollars ($5,000.00), or imprisoned in the State
Penitentiary for not more than three (3) years, or by both such fine
and imprisonment.
Added by Laws 2016, c. 366, § 156, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-117. Engaging in activities or performing transactions or
acts without proper license – Penalties.
Any person who shall knowingly engage in any activity or perform
any transaction or act for which a license is required under the
Oklahoma Alcoholic Beverage Control Act, not having such license,
shall be guilty of a misdemeanor and for the first offense, upon
conviction, be fined not more than Two Thousand Five Hundred Dollars
($2,500.00) and imprisoned for not less than thirty (30) days nor
more than six (6) months, and for a second or subsequent offense
shall be guilty of a felony and be fined not more than Two Thousand
Five Hundred Dollars ($2,500.00), or imprisoned in the State
Penitentiary for not more than one (1) year, or by both such fine and
imprisonment.
Added by Laws 2016, c. 366, § 157, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-118. Unlawful selling, delivering, possessing and buying
alcoholic beverages – Penalties.
Any person holding a license issued pursuant to the Oklahoma
Alcoholic Beverage Control Act who shall sell or deliver alcoholic
beverage to any person not entitled to purchase or receive same,
except as provided in Section 160 of this act, or who shall possess
for sale any alcoholic beverage which he or she is not entitled to
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sell under the license, or any person who buys any alcoholic
beverage, either retail or wholesale, from any person other than a
licensed dealer under the terms of the Oklahoma Alcoholic Beverage
Control Act, shall be guilty of a misdemeanor and upon conviction, be
fined not more than One Thousand Five Hundred Dollars ($1,500.00), or
imprisoned in the county jail for not more than six (6) months, or by
both such fine and imprisonment.
Added by Laws 2016, c. 366, § 158, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-119. Persons under 21 - Misrepresentation of age to induce
persons to sell or serve alcoholic beverages - Entering or attempting
to enter package store or bar area - Penalties - Substance abuse
prevention program.
A. Any person under twenty-one (21) years of age who shall
misrepresent his or her age in writing or by presenting false
documentation of age for the purpose of inducing any person to sell
or serve him or her alcoholic beverage or issue him or her a bottle
club membership card, or who enters or attempts to enter a package
store or a separate or enclosed bar area as designated by the ABLE
Commission, shall be guilty of a misdemeanor and fined not more than
Fifty Dollars ($50.00).
B. In addition, if a person is convicted or pleads guilty to a
violation of the provisions of this subsection in any court having
jurisdiction over the offense, the court may order the Department of
Public Safety to cancel or deny the offender's privilege to operate a
motor vehicle and, upon such order, shall require that the operator's
or chauffeur's license, if any, be surrendered to the Department
pursuant to Section 6-209 of Title 47 of the Oklahoma Statutes. The
cancellation or denial period shall be for one (1) year, or until the
person reaches twenty-one (21) years of age, whichever is longer.
C. Any person whose driving privileges are ordered cancelled or
denied pursuant to this section may petition the court of original
jurisdiction for review of the order. Upon notice and hearing, the
court may modify or withdraw the order as the court deems appropriate
except:
1. A court may not withdraw an order for at least ninety (90)
days following the issuance of the order if it is the first such
order issued regarding the person named; and
2. A court may not withdraw an order for at least six (6) months
following the issuance of the order if it is the second or subsequent
such order issued regarding the person named. If the Department
receives written notice from the court of original jurisdiction that
it has withdrawn such an order, the Department shall immediately
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reinstate any driving privileges that have been canceled or denied
under this section, without requiring payment of a reinstatement fee.
D. In addition to any other penalty provided by law, a person
convicted of a violation of the provisions of this section shall be
required to complete a substance abuse prevention program conducted
by the Department of Mental Health and Substance Abuse Services or a
private entity approved by the Department. Such program shall
include at least two sessions, each of which shall be not less than
two (2) hours in length. The cost of the program shall be paid by
the person required to complete the program.
Added by Laws 2016, c. 366, § 159, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-120. Selling, furnishing or giving alcoholic beverage to
persons under 21.
Any person who shall sell, furnish or give alcoholic beverage to
a person under twenty-one (21) years of age shall be guilty of a
misdemeanor for a first violation, and upon conviction shall be fined
not more than Five Hundred Dollars ($500.00), or imprisoned in the
county jail for not more than one (1) year, or by both such fine and
imprisonment. Any person convicted of a second or subsequent
violation shall be guilty of a felony, and shall be fined not less
than Two Thousand Five Hundred Dollars ($2,500.00) nor more than Five
Thousand Dollars ($5,000.00), or imprisoned in the State Penitentiary
for not more than five (5) years, or by both such fine and
imprisonment. The ABLE Commission shall revoke the license of any
person convicted of a violation of this section.
Added by Laws 2016, c. 366, § 160, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-121. Knowingly selling, furnishing or giving alcoholic
beverages to insane, mentally deficient or intoxicated persons –
Penalties.
Any person who shall knowingly sell, furnish or give alcoholic
beverage to an insane, mentally deficient or intoxicated person shall
be guilty of a misdemeanor for a first violation, and upon conviction
shall be fined not more than Five Hundred Dollars ($500.00), or
imprisoned in the county jail for not more than one (1) year, or by
both such fine and imprisonment. Any person convicted of a second or
subsequent violation shall be guilty of a felony, and shall be fined
not less than Two Thousand Five Hundred Dollars ($2,500.00) nor more
than Five Thousand Dollars ($5,000.00), or imprisoned in the State
Penitentiary for not more than five (5) years, or by both such fine
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and imprisonment. The ABLE Commission shall revoke the license of
any person convicted of a violation of this section.
Added by Laws 2016, c. 366, § 161, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-122. Payment of federal tax for liquor dealers prima facie
evidence.
The payment of the special tax required of liquor dealers by the
United States by any person within this state without a corresponding
state license shall constitute prima facie evidence of an intention
to violate the provisions of the Oklahoma Alcoholic Beverage Control
Act.
Added by Laws 2016, c. 366, § 162, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-123. Selling alcoholic beverages during unauthorized day or
hours – Penalties.
Any person selling or keeping a package store open to sell any
alcoholic beverage during any day or hours not authorized by the
Oklahoma Alcoholic Beverage Control Act, and any person selling or
permitting the sale of alcoholic beverages at a grocery store,
convenience store or drug store during any day or hours not
authorized by the Oklahoma Alcoholic Beverage Control Act shall be
guilty of a misdemeanor for a first violation, and upon conviction
shall be fined not more than Five Hundred Dollars ($500.00), or
imprisoned in the county jail for not more than one (1) year, or by
both such fine and imprisonment. Any person convicted of a second or
subsequent violation shall be guilty of a felony, and shall be fined
not less than Two Thousand Five Hundred Dollars ($2,500.00) nor more
than Five Thousand Dollars ($5,000.00), or imprisoned in the State
Penitentiary for not more than five (5) years, or by both such fine
and imprisonment. The ABLE Commission shall revoke the license of
any person convicted of a violation of this section.
Added by Laws 2016, c. 366, § 163, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-124. Permitting a person to be drunk or intoxicated on
licensed premises – Penalties.
Any licensee permitting a person to be drunk or intoxicated on
the licensee's licensed premises shall be guilty of a misdemeanor,
and upon conviction punishable by a fine in an amount not exceeding
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One Hundred Dollars ($100.00), by imprisonment in the county jail for
a term not more than thirty (30) days, or by both such fine and
imprisonment.
Added by Laws 2016, c. 366, § 164, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-125. Violations of Act with no specific penalty – Penalties.
A. Any person who shall violate any provision of the Oklahoma
Alcoholic Beverage Control Act for which no specific penalty is
prescribed shall be guilty of a misdemeanor and be fined not more
than Five Hundred Dollars ($500.00), or imprisoned in the county jail
for not more than six (6) months, or by both such fine and
imprisonment.
B. Provided, however, notwithstanding any provision of law to
the contrary, any offense, including traffic offenses, in violation
of any of the provisions of the Oklahoma Alcoholic Beverage Control
Act which is not otherwise punishable by a term of imprisonment or
confinement shall be punishable by a term of imprisonment not to
exceed one day in the discretion of the court, in addition to any
fine prescribed by law.
Added by Laws 2016, c. 366, § 165, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-126. Arrest of license holders - Notice to ABLE Commission -
Circumstances for immunity from prosecution.
A. All law enforcement officers, upon the arrest of any holder
of a license issued by the ABLE Commission for a violation of any
state law or municipal ordinance in which the violation of any
alcoholic beverage law had any part, shall immediately notify the
ABLE Commission thereof. Such officers shall notify the ABLE
Commission of any acts, practices or other conduct of any such
licensee which may be subversive to the general welfare or contrary
to the spirit of the Oklahoma Alcoholic Beverage Control Act and
shall recommend appropriate action to be taken by the ABLE Commission
or the Oklahoma Tax Commission.
B. A peace officer may not take a person into custody based
solely on the commission of an offense involving alcohol described in
subsection C of this section if the law enforcement officer, after
making a reasonable determination and considering the facts and
surrounding circumstances, reasonably believes that all of the
following apply:
1. The law enforcement officer has contact with the person
because the person requested emergency medical assistance for an
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individual who reasonably appeared to be in need of medical
assistance due to alcohol consumption; and
2. The person:
a. provided the person's full name and any other relevant
information requested by the law enforcement officer,
b. remained at the scene with the individual who
reasonably appeared to be in need of medical assistance
due to alcohol consumption until emergency medical
assistance arrived, and
c. cooperated with emergency medical assistance personnel
and law enforcement officers at the scene.
C. A person who meets the criteria of subsection B of this
section is immune from criminal prosecution for an offense under
subsection D of Section 141 of this act if the offense involved a
state of intoxication caused by the person's use of alcohol or if the
offense involved the person being, or becoming, intoxicated as a
result of the person's use of alcohol.
D. A person may not initiate or maintain an action against a
peace officer or the employing political subdivision based on the
officer's compliance or failure to comply with this section.
E. For the purposes of this section, "peace officer" shall have
the same meaning as defined in Section 99 of Title 21 of the Oklahoma
Statutes.
Added by Laws 2016, c. 366, § 166, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-127. Purpose of issuing search warrants – Forfeiture.
A. A search warrant may be issued pursuant to the provisions of
Sections 1221 through 1264 of Title 22 of the Oklahoma Statutes, as
amended, for the purpose of:
1. Searching for, seizing, destroying or holding any alcoholic
beverages possessed, sold, transported, manufactured, kept or stored
in violation of the Oklahoma Alcoholic Beverage Control Act; or
2. Searching for and seizing any apparatus, vehicle, equipment
or instrumentality used for, or intended for use in, manufacturing or
transporting any alcoholic beverage in violation of the Oklahoma
Alcoholic Beverage Control Act.
All such property shall be forfeited to the State of Oklahoma.
This section shall not be construed to require a search warrant for
duly authorized employees of the ABLE Commission to enter upon and
inspect any licensed premises, but such right of entry and inspection
shall be a condition on which every license shall be issued and the
application for, and acceptance of, any license hereunder shall
conclusively be deemed to be consent of the applicant and licensee to
such entry and inspection.
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B. Any alcoholic beverages upon which the appropriate federal
excise tax has not been paid at the time of seizure under this
section shall be destroyed by the sheriff who seized the same or to
whom the same has been delivered in accordance with the provisions of
Section 1261 of Title 22 of the Oklahoma Statutes, as amended, after
the same is no longer needed as evidence in any criminal prosecution.
All other property, including alcoholic beverages upon which the
appropriate federal excise tax has been paid, seized under this
section, shall be forfeited to the State of Oklahoma by order of the
court issuing the process by virtue of which such property was
seized, or before which the persons violating the law, or to which
such property was taken by the officer or officers making the
seizure. The court shall, without a jury, order an immediate hearing
as to whether the property so seized was subject to seizure under
this section, and take such legal evidence as is offered, and
determine the same as in civil cases. If the court finds from a
preponderance of the evidence that the property so seized was subject
to seizure under this section, it shall render judgment accordingly
and order the property forfeited to the State of Oklahoma unless
seized by county or municipal law enforcement officers, in which case
the property shall be forfeited to the county or municipality,
whichever is appropriate, in which the seizure of the property took
place. Such seized property shall be sold by the officer having the
same in charge, after giving ten-days' notice by one publication in a
legal newspaper of the county or, if no legal newspaper is published
in the county, after five notices of such sale have been posted in
conspicuous places in the city or town wherein such sale is to be
made, at least ten (10) days before such sale. Appeal from such an
order may be taken as in civil cases. When such property is sold
under the provisions of this section, the proceeds thereof shall be
distributed as follows: first, to the payment of the costs of the
case in which the order of forfeiture was made and the actual
expenses of preserving the property; and second, the remainder to be
deposited with the county or municipal treasurer of the county or
municipality in which the seizure took place if the property was
seized by county or municipal law enforcement officials or with the
State Treasurer to the credit of the General Revenue Fund of the
State of Oklahoma in all other cases.
Added by Laws 2016, c. 366, § 167, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-128. Order to show cause for witnesses before Commission –
Penalties.
A. If a witness in attendance before the Director of the ABLE
Commission refuses without reasonable cause to be examined or to
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answer a legal or pertinent question, or to produce a book, record or
paper when ordered to do so by the Director, the Director may apply
to the judge of the district court of any county where such witness
is in attendance, upon proof by affidavit of the fact, for a rule or
order returnable in not less than two (2) nor more than five (5)
days, directing such witness to show cause before the judge who made
the order, or any other district judge of the county, why he or she
should not be punished for contempt. Upon the return of such order,
the judge before whom the matter shall come for hearing shall examine
under oath such witness or person, and such person shall be given an
opportunity to be heard. If the judge shall determine that such
person has refused, without reasonable cause or legal excuse, to be
examined or answer a legal or pertinent question, or to produce a
book, record or paper which he or she was ordered to bring or
produce, the judge may punish the offender as for contempt of court
and shall fix the penalty in any sum not less than Two Hundred Fifty
Dollars ($250.00) but not to exceed Five Hundred Dollars ($500.00) or
require him or her to serve a maximum of thirty (30) days in jail, or
by both such fine and imprisonment.
B. Subpoenas shall be served and witness fees and mileage paid
as in civil cases in the district court in the county to which such
witness shall be called. Witnesses subpoenaed at the instance of the
Director shall be paid their fees and mileage by the Director out of
funds appropriated by the Legislature. Court costs in the contempt
proceedings shall be paid as taxed by the court.
Added by Laws 2016, c. 366, § 168, eff. Oct. 1, 2018.
NOTE: Laws 2016, c. 366, was conditionally effective upon passage of
State Question No. 792, Legislative Referendum No. 370, which was
adopted at election held on Nov. 8, 2016.
§37A-6-129. Powdered alcohol - Unlawful use, purchase, sale or
possession.
A. As used in this section, "powdered alcohol" means alcohol
prepared or sold in a powder form for either direct use or
reconstitution.
B. It is unlawful for any person or licensee to use, offer for
use, purchase, offer to purchase, sell, offer to sell or possess
powdered alcohol.
C. It is unlawful for a holder of a license pursuant to the
provisions of Title 37A of the Oklahoma Statutes for on-premises or
off-premises consumption of alcoholic beverages to use powdered
alcohol as an alcoholic beverage.
D. Any person or license holder that violates this section is
guilty of a misdemeanor and shall be punished as follows:
1. For a first offense, by a fine of not more than Three Hundred
Dollars ($300.00) or by imprisonment for not more than thirty (30)
days or by both;
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2. For a second offense, by a fine of not more than Seven
Hundred Fifty Dollars ($750.00) or by imprisonment for not more than
six (6) months or by both; or
3. For a third or subsequent offense, by a fine of not more than
Three Thousand Dollars ($3,000.00) or by imprisonment for not more
than two (2) years or by both.
Added by Laws 2017, c. 275, § 2, eff. Oct. 1, 2018.
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