Today's Law As Amended

PDF |Add To My Favorites | print page

SB-254 Delivery network companies: deliveries of alcoholic beverages.(2017-2018)



SECTION 1.

 Section 25513 is added to the Business and Professions Code, to read:

25513.
 (a) A certified delivery network shall not deliver alcoholic beverages sold by an off-sale retail licensee to persons within this state without first obtaining a license issued by the Department of Alcoholic Beverage Control. Delivery of alcohol shall take place only under the following circumstances:
(1) The off-sale retail licensee selects the products offered for sale and delivery on the delivery network company’s application or platform, determines the price at which the products will be sold, and has sole discretion to accept or reject any order.
(2) The alcoholic beverages are dispatched for delivery from the premises of the off-sale licensee directly to the recipient.
(3) The person delivering alcoholic beverages shall:
(A) Be at least 21 years of age.
(B) Verify by means of bona fide evidence of majority and identity that the person taking delivery of the alcoholic beverage is at least 21 years of age and refuse delivery to any person not providing such evidence.
(C) Refuse delivery to any person who is obviously intoxicated.
(D) Refuse delivery to any person located on property identified as a college campus.
(4) The off-sale retail licensee has exclusive and continuous control of the proceeds from the sale of alcoholic beverages and shall be identified as the merchant of record on receipts, invoices, and billing statements.
(5) Delivery of the alcoholic beverages occurs in a person-to-person transfer with the recipient taking delivery of the alcoholic beverage.
(6) Delivery of the alcoholic beverages is to a physical address.
(7) Delivery of the alcoholic beverages will take place between 9:00 a.m. and 1:00 a.m.
(8) A certified alcohol delivery network shall be able to charge a price no more than 10 percent higher than the price determined by the off-sale retail license.
(9) A certified alcohol delivery network shall be able to charge a fee for delivery.
(b) In addition to any other penalty or remedy provided by law, a certified delivery network company’s failure to maintain or operate a system meeting any requirement of this section shall be cause for revocation or suspension of the license issued pursuant to subdivision (a). The delivery of alcoholic beverages to a person under 21 years of age or who is intoxicated may be enforced in the same form and manner as for persons holding an off-sale retail license. For purposes of this section, the acts or omissions of the person making the delivery shall be imputed to the certified delivery network company,
(c) For purposes of this section, a “certified delivery network company” means a person who operates an online-enabled application or platform licensed by the Department of Alcoholic Beverage Control that connects consumers with a network of persons for the delivery of alcoholic beverages purchased from an off-sale retail licensee, and the person delivering the alcoholic beverage is not directly compensated and contracted by the retail licensee.
(d) A noncertified delivery network company shall not deliver alcoholic beverages sold by an off-sale retail licensee to persons within this state without meeting the following requirements:
(1) The off-sale retail licensee selects the products offered for sale and delivery on the delivery network company’s application or platform, determines the price at which the products will be sold, and has sole discretion to accept or reject any order.
(2) The alcoholic beverages are dispatched for delivery from the premises of the off-sale licensee directly to the recipient.
(3) The person delivering alcoholic beverages shall:
(A) Be at least 21 years of age.
(B) Verify by means of bona fide evidence of majority and identity that the person taking delivery of the alcoholic beverage is at least 21 years of age and refuse delivery to any person not providing such evidence.
(C) Refuse delivery to any person who is obviously intoxicated.
(D) Refuse delivery to any person located on property identified as a college campus.
(4) The off-sale retail licensee has exclusive and continuous control of the proceeds from the sale of alcoholic beverages and shall be identified as the merchant of record on receipts, invoices, and billing statements.
(5) Delivery of the alcoholic beverages occurs in a person-to-person transfer with the recipient taking delivery of the alcoholic beverage.
(6) Delivery of the alcoholic beverages is to a physical address.
(7) Delivery of the alcoholic beverages is limited to beer and wine.
(8) Delivery of the alcoholic beverages will take place between 12:00 p.m. and 9:00 p.m.
(9) The price that the delivery network company may charge shall match the price determined by the off-sale retail licensee and the only fee that may be charged is for delivery.
(10) Any agreement between the delivery network company and the off-sale retail licensee includes a form signed by both the off-sale retail licensee and the delivery network company issued by the department dictating that the off-sale retail licensee takes full liability for any legal violations pursuant to the law.
(e) On or before January 1, 2020, the department shall issue licenses to certified delivery network company pursuant to the requirements of subdivision (a).
(f) Beginning January 1, 2020, a certified delivery network shall submit to the department all of the signed forms described in paragraph (10) of subdivision (d).
(g) The department may charge an original and annual fee in an amount no greater than the amount required to cover the actual and reasonable costs of administering the review and approval program established by this section.
(h) This section shall not apply to a motor carrier or freight forwarder as defined in Section 13102 of Title 49 of the United States Code or an air carrier as defined in Section 40102 of Title 49 of the United States Code.
SEC. 2.
 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.