Transfers of liquor between affiliated retail liquor stores; notification of boundaries of marketing areas.

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1. Except as otherwise provided in NRS 369.4865, a retail liquor store may receive and store liquor and transfer an original package of liquor to another retail liquor store, and that other retail liquor store may receive the original package of liquor pursuant to the transfer, if:

(a) Each retail liquor store is in the marketing area of the wholesale dealer that holds the franchise for the brand of liquor purchased as indicated by the forms filed by the wholesale dealer with the Department;

(b) The retail liquor store obtains a special permit for the transportation pursuant to subsection 4 of NRS 369.450; and

(c) The initial retail liquor store:

(1) Obtained the original package of liquor in compliance with the provisions of this chapter and chapter 597 of NRS; and

(2) Is an affiliate of the retail liquor store that receives the transfer.

2. A transfer of an original package of liquor between retail liquor stores which are not located within the same marketing area may occur only if:

(a) The wholesale dealers in the marketing areas where the retail liquor stores are located:

(1) Are affiliates;

(2) Consent, in writing, to the transfer; and

(3) Hold the franchises for the brands of liquor purchased in each marketing area involved in the transfer;

(b) The retail liquor store obtains a special permit for the transportation pursuant to subsection 4 of NRS 369.450; and

(c) The initial retail liquor store:

(1) Obtained the original package of liquor in compliance with the provisions of this chapter; and

(2) Is an affiliate of the retail liquor store that receives the transfer.

3. A transfer authorized by this section shall not be deemed a sale.

4. A retail liquor store that transfers or receives an original package of liquor as authorized by this section:

(a) Shall not be deemed to be engaged in business as a wholesale dealer based upon the transfer authorized by this section; and

(b) Shall not sell any original package of liquor that has been transferred to any other wholesale dealer or retail liquor store.

5. A wholesale dealer shall notify the retail liquor stores located in the marketing area of the wholesaler dealer of the boundaries of that marketing area.

6. As used in this section:

(a) "Affiliate" means a person who, directly or indirectly through one or more intermediaries, controls, is controlled by or is under common control with, a specified person.

(b) "Franchise" has the meaning ascribed to it in NRS 597.130.

(c) "Liquor" does not include beer or malt-based beverages, but does include flavored malt beverages if the supplier and the wholesale dealer holding the franchise for such flavored malt beverages consent in writing. As used in this paragraph, "flavored malt beverages" means flavored malt beverages that are not marketed, merchandised or sold as beer.

(d) "Marketing area" has the meaning ascribed to it in NRS 597.136.

(e) "Retail liquor store" includes a facility that is owned or operated by a retailer and is used for the temporary storage and transfer of liquor pursuant to this section.

(Added to NRS by 2005, 2681)


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