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ACROSS SESSIONS
- Subject Index: Since 1995
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Developed and maintained by the Division of Legislative Automated Systems.
1995 SESSION
Be it enacted by the General Assembly of Virginia:
1. That § 4.1-215 of the Code of Virginia is amended and reenacted as follows:
§ 4.1-215. Limitation on manufacturers, bottlers and wholesalers; exemptions.
A. Unless exempted pursuant to subsection C B , no retail
license or banquet license for the sale of alcoholic beverages shall be
granted to any (i) manufacturer, bottler or wholesaler of alcoholic
beverages, whether licensed in the Commonwealth or not; (ii) officer or
director of any such manufacturer, bottler or wholesaler; (iii) partnership,
association or corporation, where any partner, member or stockholder is an
officer or director of any such manufacturer, bottler or wholesaler; (iv)
corporation which is a subsidiary of a corporation which owns or has interest
in another subsidiary corporation which is a manufacturer, bottler or
wholesaler of alcoholic beverages; or (v) manufacturer, bottler or wholesaler
of alcoholic beverages who has a financial interest in a corporation which
has a retail license as a result of a holding company, which owns or has an
interest in such manufacturer, bottler or wholesaler of alcoholic beverages.
Nor shall such licenses be granted in any instances where such manufacturer,
bottler or wholesaler and such retailer are under common control, by stock
ownership or otherwise.
B. This section shall not apply to:
1. Corporations operating dining cars, buffet cars, club cars or boats;
2. Brewery or winery licensees engaging in conduct authorized by subdivision
A 5 of § 4.1-201; or
3. Farm winery licensees engaging in conduct authorized by subdivision 5 of § 4.1-207; or
3. 4. Manufacturers, bottlers or wholesalers of alcoholic
beverages who do not (i) sell or otherwise furnish, directly or indirectly,
alcoholic beverages or other merchandise to persons holding a retail license
or banquet license as described in subsection A and (ii) require, by
agreement or otherwise, such person to exclude from sale at his establishment
alcoholic beverages of other manufacturers, bottlers or wholesalers.
C. The General Assembly finds that it is necessary and proper to require a separation between manufacturing interests, wholesale interests and retail interests in the production and distribution of alcoholic beverages in order to prevent suppliers from dominating local markets through vertical integration and to prevent excessive sales of alcoholic beverages caused by overly aggressive marketing techniques. The exceptions established by this section to the general prohibition against tied interests shall be limited to their express terms so as not to undermine the general prohibition and shall therefore be construed accordingly.