What's happening
This bill allows New York liquor and wine wholesalers to offer quantity discounts on different bottle sizes of the same product.
Why it matters
Encourages flexibility and price competition. Allowing wholesalers to combine different bottle sizes of the same brand for quantity discounts can help retailers access better pricing, potentially lowering costs for consumers or improving retailer margins.
Levels the playing field for small retailers. Small retailers who might not sell large quantities of a single bottle size can now aggregate purchases across sizes to reach discount thresholds, helping them compete with larger stores.
Clarifies rules to prevent loopholes and unfair practices. The bill defines “brand or trade name” and restricts combining products from different manufacturers or suppliers for discounts, aiming to prevent manipulation or abuse of discounting rules.
May impact product variety and inventory management. Retailers could be incentivized to carry a broader range of bottle sizes within a brand, affecting shelf space decisions and potentially increasing consumer choice.
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Who cares
Wine and liquor retailers
The bill would let them combine eligible products and bottle sizes under the same brand or trade name and class and type to qualify for quantity discounts of two cases or more.
Manufacturers and brand owners
The bill would permit eligible same-brand products to be combined for discounts, including flavored versions of the same class and type of distilled spirit, but would bar combinations across manufacturers or suppliers.
Licensed wine and liquor wholesalers
The bill would allow a licensed wholesale agent for an unlicensed brand owner, or a wholesaler with Liquor Authority approval, to offer the combined-product discounts.
New York State Liquor Authority
The authority would oversee the expanded discount rules through price schedules and approval of wholesaler combinations.
Headline styles
Allow Wine Bulk Discounts
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 40
No co-sponsors yet.
History
- Committed to rules
- Advanced to third reading
- 2nd report cal.
- 1st report cal.437
- Referred to investigations and government operations
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Allow Wine Bulk Discounts
In Assembly Committee · Economic Development · Sponsor Carrie Woerner
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
7609
IN SENATE
January 30, 2018
Introduced by Sen. MURPHY -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations
AN ACT to amend the alcoholic beverage control law, in relation to authorizing the offering by wholesalers of quantity discounts on different sized bottles of the same type of liquor or wine
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph (b) of subdivision 3 of section 101-b of the alcoholic beverage control law, as amended by section 1 of part E of chapter 56 of the laws of 2006, is amended to read as follows:
(b) No brand of liquor or wine shall be sold to or purchased by a retailer unless a schedule, as provided by this section, is transmitted to and received by the liquor authority, and is then in effect. Such schedule shall be transmitted to the authority in such form, manner, medium and format as the authority may direct; shall be deemed duly verified by the person submitting such schedule upon its transmission to the authority; and shall contain, with respect to each item, the exact brand or trade name, capacity of package, nature of contents, age and proof where stated on the label, the number of bottles contained in each case, the bottle and case price to retailers, the net bottle and case price paid by the seller, which prices, in each instance, shall be individual for each item and not in "combination" with any other item, the discounts for quantity, if any, and the discounts for time of payment, if any. Provided, however, that for the purposes of offering quantity discounts of two cases or more to retailers, different products and/or different sized bottles with the same brand or trade name, and the same class and type that are price scheduled by one brand owner, or by the licensed wholesale agent for one brand owner, if the brand owner is not licensed by the authority, or with the approval of the authority, by a wholesaler, may be combined. For the purpose of this paragraph, a "class and type of a brand or trade name distilled spirit" shall also include the flavored product composed of that same class and type of distilled spirit. For the purposes of this paragraph, "brand or trade name" shall
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13720-01-7
S. 7609 2
mean the name under which a product is commonly marketed and sold to the general public, but shall not include a branded product marketed under a fanciful name which fanciful name, in addition to or in part, is in lieu of, the brand or trade name. Products from the same manufacturer or supplier shall not be combined for the purpose of offering quantity discounts unless such products of the same class and type are marketed and sold under the same brand or trade name, and shall not be combined with products of another manufacturer or supplier. Such brand of liquor or wine shall not be sold to retailers except at the price and discounts then in effect unless prior written permission of the authority is granted for good cause shown and for reasons not inconsistent with the purpose of this chapter. Such schedule shall be transmitted by each manufacturer selling such brand to retailers and by each wholesaler selling such brand to retailers.
§ 2. This act shall take effect on the first of January next succeeding the date on which it shall have become a law.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the alcoholic beverage control law, in relation to authorizing the offering by wholesalers of quantity discounts on different sized bottles of the same type of liquor or wine
Purpose or general idea of bill
Authorizes manufacturers and wholesalers to offer quantity discounts to retailers on different sized bottles of similar wines or liquors from the same manufacturer
Summary of provisions
Section 1 of the bill amends paragraph (b) of subdivision 3 of section 101-b of the alcoholic beverage control law to provide that for the purposes of offering quantity discounts of two or more cases to retail- ers, different products and/or different bottles with the came brand or trade name, and the same class and type that are price scheduled by one brand owner or by the licensed wholesale agent for one brand owner, may be combined.
Section 2 contains the effective date.
Justification
Volume discounts are incentives offered by sellers that provide price reductions to buyers to encourage them to purchase more of a product. flew York's current volume discount law applies specifically to an exact label of a specific product. Thus, if the product is available in alter- native flavors, the buyer is prohibited by law from "mixing and match- ing" within a specific product's flavors. This limits the availability of certain products and raises the price for consumers. By allowing a limited ability for buyers to mix and match, consumers will benefit.
Prior legislative history
New bill
Fiscal implications for state and local governments
None.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.