R19-1-319

R19-1-319. Commercial Coercion or Bribery Prohibited

1. A distiller, vintner, brewer, rectifier, blender, or other producer or wholesaler shall not directly or indirectly or through an affiliate engage in any of the following activities unless specifically authorized under A.R.S. Title 4 or this Chapter:
   1. Furnishing, giving, renting, lending, or selling to a licensed retailer an article of primary utilitarian value in the conduct of the business;
   2. Selling food or food products to a licensed retailer at less than the cost that the producer or wholesaler paid for the food or food products;
   3. Selling non-alcoholic malt beverage, non-alcoholic wine, or other non-alcoholic beverage or cocktail mixer to a licensed retailer at less than the cost that the producer or wholesaler paid for the non-alcoholic malt beverage, non-alcoholic wine, or cocktail mixer.
   4. Extending credit or furnishing financing to a licensed retailer through the licensed retailer's purchase of spirituous liquor or other products;
   5. Providing a service to a licensed retailer, including stocking, resetting, or pricing merchandise;
   6. Paying or crediting a licensed retailer for a promotion, advertising, display, public relations effort, or distribution service;
   7. Sharing with a licensed retailer the cost of a promotion or advertising through any medium;
   8. Guaranteeing a loan to or repayment of a financial obligation of a licensed retailer;
   9. Providing financial assistance to a licensed retailer;
   10. Engaging in a practice that requires a licensed retailer to take and dispose of a quota of spirituous liquor;
   11. Offering or giving a meal, local ground transportation, or event ticket to a licensed retailer unless the item is deductible as a business entertainment expense under the Internal Revenue Code;
   12. Offering a product to an on-sale licensee at a price not available to all on-sale licensees. A price based on the volume delivered within a 24-hour period is permitted if the volume-based price is available to all on-sale licensees; or
   13. Offering a product to an off-sale licensee at a price not available to all off-sale licensees. A price based on the volume delivered within a 24-hour period is permitted if the volume-based price is available to all off-sale licensees.
2. A licensed retailer shall not require that a producer or wholesaler provide stocking or resetting services as a condition for being allocated shelf, cold box, or product display space.
   
   
3. A licensed retailer shall not solicit from a distiller, vintner, brewer, rectified, blender, or other producer or wholesaler any activity outlined in subsections (A)(1) through (A)(13) unless specifically authorized under A.R.S. Title 4 or this Chapter.
   
   
4. This Section is authorized by A.R.S. § 4-243(A).