Tenn. Code Ann. § 57-4-114 — TN Code / Title 57 / Chapter 4 / Section 57-4-114
Electronic documentation
Status: in_force

(a) A licensee may store such documentation or paperwork electronically, and the commission shall accept the electronic documentation for purposes of an inspection of the licensee or verification of compliance with this chapter or chapter 3, part 7 of this title. If a licensee stores documentation or paperwork electronically, all information necessary to verify the validity of the license, permit, document, or other paperwork must be legible and verifiable in the electronic copy. (b) Notwithstanding subsection (a), a license issued under this chapter must be prominently displayed and posted on the licensed premises. Added by 2022 Tenn. Acts, ch. 1013, s 1, eff. 7/1/2022.
(a) A licensee may store such documentation or paperwork electronically, and the commission shall accept the electronic documentation for purposes of an inspection of the licensee or verification of compliance with this chapter or chapter 3, part 7 of this title. If a licensee stores documentation or paperwork electronically, all information necessary to verify the validity of the license, permit, document, or other paperwork must be legible and verifiable in the electronic copy.
(b) Notwithstanding subsection (a), a license issued under this chapter must be prominently displayed and posted on the licensed premises.
Added by 2022 Tenn. Acts, ch. 1013, s 1, eff. 7/1/2022.
Tenn. Code Ann. § 57-3-203 — TN Code / Title 57 / Chapter 3 / Section 57-3-203
Wholesaler's licenses - Qualifications of applicants - Permits - Salespersons - Employees - Fees - Disposition of alcoholic beverages after nonlicensed persons secure title
Status: in_force

(a) Any person, or general or limited partnership desiring to sell at wholesale any alcoholic spirituous beverage shall make application to the commission for a license so to do, which application shall be in writing and verified, on the forms herein authorized to be prescribed and furnished; thereupon the commission may grant such license subject to the restrictions of this chapter. (b) (1) Each applicant for a wholesale license shall pay to the commission a one-time, nonrefundable fee in the amount of three hundred dollars ($300) when the application is submitted for review. Such wholesaler's license, however, shall not be issued unless and until there shall be paid to the commission a separate license fee therefor of three thousand dollars ($3,000), and no license shall be issued except to individuals who are citizens of this state and either have been for at least the two (2) years next preceding citizens of this state or have been citizens of this state at any time for at least fifteen (15) consecutive years. (2) Notwithstanding any law to the contrary, it shall be lawful for any qualified applicant, including a corporation meeting the requirements of subsection (f), to receive and operate under both an alcoholic beverage wholesaler's license issued pursuant to this part, and a beer wholesaler's license issued pursuant to § 57-5-102 , upon satisfying all federal, state and local registration and permitting requirements applicable to both operations. Nothing in this title is intended or shall be construed to prohibit a wholesaler licensed under this part or under chapter 5 of this title from holding more than one (1) license or permit for the wholesale of alcoholic beverages or beer in this state. (c) No wholesale alcoholic spirituous beverage license shall be issued until the applicant has secured a basic permit to engage in the wholesale liquor business from the federal government. (d) (1) Each representative or salesperson of any wholesale licensee in this state must obtain a permit from the commission before soliciting orders from retail licensees. No other person shall be allowed to solicit orders for alcoholic beverages from retail licensees, and retail licensees shall not give an order to anyone other than the holder of a wholesale salesperson's permit. (2) Where a wholesaler licensed under this part also maintains a beer wholesale operation as provided in subdivision (b)(2), it shall be lawful for anyone holding a permit pursuant to this subsection (d) to carry out similar duties with respect to such beer wholesale operation; provided, that the permit holder has also satisfied any legal requirements applicable to such function within a beer wholesale operation. (e) (1) Every wholesale licensee shall, before employing any person to dispense alcoholic beverages, secure from the commission an employee's permit authorizing such person to serve as an employee in the place of business of such wholesaler. It is made the duty of the wholesaler to see that each person dispensing alcoholic beverages in the wholesaler's place of business has an employee's permit as above required, which permit must be on the person of such employee or upon the premises of the licensee at all times, subject to inspection by the commission or its duly authorized agent. Nothing in this subdivision (e)(1) requires an employee of a wholesaler to obtain a permit unless the employee is directly involved with the delivery or sale of alcoholic beverages. Employees involved only in warehousing, administrative, or clerical services for a wholesaler are not required to obtain a permit under this subdivision (e)(1). (2) Where a wholesaler licensed under this part also maintains a beer wholesale operation as provided in subdivision (b)(2), it shall be lawful for anyone holding a permit pursuant to this subsection (e) to carry out similar duties with respect to such beer wholesale operation; provided, that the permit holder has also satisfied any legal requirements applicable to such function within a beer wholesale operation. (f) (1) A wholesaler's license may, in the discretion of the commission, be issued to a corporation; provided, that no license shall be issued to any corporation unless such corporation meets the following requirements: (A) All of its capital stock must be owned by individuals who have been residents of Tennessee for not less than five (5) years next preceding or who at any time have been residents of this state for at least fifteen (15) consecutive years, and who have not been convicted within a period of five (5) years preceding acquisition of such stock for violation of either state or United States prohibition laws or revenue laws relating to intoxicating liquors; (B) No person owning stock in such corporation shall have any interest as partner or otherwise in a business licensed to engage in the retail sale of intoxicating liquors in Tennessee; (C) No stock of any corporation licensed under this subsection (f) shall be transferred to any person who has not been a resident of Tennessee for at least five (5) years next preceding or who at any time has not been a resident of Tennessee for at least fifteen (15) consecutive years. (2) The commission is hereby authorized to revoke the wholesale license of any corporation which fails to comply with this subsection (f). (g) Notwithstanding subsection (f), the commission, in its discretion, may issue a wholesale license to any corporation which has been domiciled in this state for twenty-five (25) years, or which has acquired substantially all of the assets of a Tennessee partnership (or limited liability company) which partnership (or limited liability company) has been continuously operating in this state for ten (10) years where such corporation has the majority of its assets located in this state and all of whose officers in actual control of the wholesale operations shall be actively present at the licensed premises and who are in actual charge of the operations of the wholesaler substantially full- time. If any officers of such corporation have been convicted of any violation of the criminal code or of any violation relating to the enforcement of the liquor laws, no license under this subsection (g) shall issue. (h) If at any time subsequent to the granting of a wholesale liquor license to any such corporation, the majority of its assets shall cease to remain and be located in this state, and if any of its active officers shall cease to be residents of Tennessee, then the commission, within its discretion, shall have the right to revoke such license. The commission is further granted the right to make investigations at any time to ascertain if the majority of the assets of such corporation are located within this state and whether all of its active officers are residents of Tennessee, as above set out, and should its findings be in the negative, it may revoke such license. The foregoing shall apply irrespective of the provisions contained in § 57-3-404(d) . (i) (1) No license entitling the holder thereof to sell or deal in alcoholic spirituous beverages at wholesale shall be granted except in respect to premises situated within either a county having a population in excess of one hundred twenty thousand (120,000), according to the 2010 federal census or any subsequent federal census, or a county in which the voters of any municipality or other jurisdiction within that county have approved retail package sales or consumption of alcoholic beverages on premises by referendum as provided in this title. (2) Notwithstanding the requirement imposed in subdivision (i)(1), a wholesale liquor license, limited to the sale and distribution of wine only, not to exceed six thousand (6,000) cases of wine per year, may be issued to an entity that is located in any municipality which: (A) Has authorized the sale of alcoholic beverages for consumption on the premises pursuant to § 57-4-103 ; (B) Has a bond rating of AAA issued by a nationally recognized bond rating agency; and (C) Is located within a county which has a bond rating of AAA issued by a nationally recognized bond rating agency. (j) When a person not licensed under this chapter secures title to any alcoholic beverage owned by a wholesaler as a result of a default on loans or revocation of license, the manufacturer, rectifier, distiller or vintner who sold the alcoholic beverage to the wholesaler shall purchase the alcoholic beverage from the nonlicensed person who secured title in order that the creditors are satisfied. Any manufacturer, rectifier, distiller or vintner who fails within thirty (30) days following default or revocation of license of the wholesaler to effect the purchase from the nonlicensed person who secured title shall not be allowed to ship or sell any alcoholic beverage in this state until the purchase is effected. Amended by 2017 Tenn. Acts, ch. 443,s 5, eff. 5/25/2017. Amended by 2014 Tenn. Acts, ch. 554,s 21, eff. 7/1/2014. Amended by 2013 Tenn. Acts, ch. 394,s 1, eff. 5/14/2013. Acts 1939, ch. 49, § 7; 1945, ch. 167, § 4; 1947, ch. 73, § 1; 1947, ch. 166, § 1; 1949, ch. 284, §§ 3, 5; C. Supp. 1950, § 6648.12 (Williams, § 6648.10); Acts 1951, ch. 98, § 1; impl. am. Acts 1959, ch. 9, § 14; Acts 1961, ch. 145, §§ 1, 2; impl. am. Acts 1963, ch. 257, §§ 11, 19; Acts 1967, ch. 215, § 3; 1972, ch. 656, § 1; 1976, ch. 505, §§ 1, 2; T.C.A. (orig. ed.), § 57-116; Acts 1995, ch. 396, §§ 2, 3; 2004, ch. 876, § 5; 2012, ch. 592, § 1.
(a) Any person, or general or limited partnership desiring to sell at wholesale any alcoholic spirituous beverage shall make application to the commission for a license so to do, which application shall be in writing and verified, on the forms herein authorized to be prescribed and furnished; thereupon the commission may grant such license subject to the restrictions of this chapter.
(b) (1) Each applicant for a wholesale license shall pay to the commission a one-time, nonrefundable fee in the amount of three hundred dollars ($300) when the application is submitted for review. Such wholesaler's license, however, shall not be issued unless and until there shall be paid to the commission a separate license fee therefor of three thousand dollars ($3,000), and no license shall be issued except to individuals who are citizens of this state and either have been for at least the two (2) years next preceding citizens of this state or have been citizens of this state at any time for at least fifteen (15) consecutive years. (2) Notwithstanding any law to the contrary, it shall be lawful for any qualified applicant, including a corporation meeting the requirements of subsection (f), to receive and operate under both an alcoholic beverage wholesaler's license issued pursuant to this part, and a beer wholesaler's license issued pursuant to § 57-5-102 , upon satisfying all federal, state and local registration and permitting requirements applicable to both operations. Nothing in this title is intended or shall be construed to prohibit a wholesaler licensed under this part or under chapter 5 of this title from holding more than one (1) license or permit for the wholesale of alcoholic beverages or beer in this state.
(1) Each applicant for a wholesale license shall pay to the commission a one-time, nonrefundable fee in the amount of three hundred dollars ($300) when the application is submitted for review. Such wholesaler's license, however, shall not be issued unless and until there shall be paid to the commission a separate license fee therefor of three thousand dollars ($3,000), and no license shall be issued except to individuals who are citizens of this state and either have been for at least the two (2) years next preceding citizens of this state or have been citizens of this state at any time for at least fifteen (15) consecutive years.
(2) Notwithstanding any law to the contrary, it shall be lawful for any qualified applicant, including a corporation meeting the requirements of subsection (f), to receive and operate under both an alcoholic beverage wholesaler's license issued pursuant to this part, and a beer wholesaler's license issued pursuant to § 57-5-102 , upon satisfying all federal, state and local registration and permitting requirements applicable to both operations. Nothing in this title is intended or shall be construed to prohibit a wholesaler licensed under this part or under chapter 5 of this title from holding more than one (1) license or permit for the wholesale of alcoholic beverages or beer in this state.
(c) No wholesale alcoholic spirituous beverage license shall be issued until the applicant has secured a basic permit to engage in the wholesale liquor business from the federal government.
(d) (1) Each representative or salesperson of any wholesale licensee in this state must obtain a permit from the commission before soliciting orders from retail licensees. No other person shall be allowed to solicit orders for alcoholic beverages from retail licensees, and retail licensees shall not give an order to anyone other than the holder of a wholesale salesperson's permit. (2) Where a wholesaler licensed under this part also maintains a beer wholesale operation as provided in subdivision (b)(2), it shall be lawful for anyone holding a permit pursuant to this subsection (d) to carry out similar duties with respect to such beer wholesale operation; provided, that the permit holder has also satisfied any legal requirements applicable to such function within a beer wholesale operation.
(1) Each representative or salesperson of any wholesale licensee in this state must obtain a permit from the commission before soliciting orders from retail licensees. No other person shall be allowed to solicit orders for alcoholic beverages from retail licensees, and retail licensees shall not give an order to anyone other than the holder of a wholesale salesperson's permit.
(2) Where a wholesaler licensed under this part also maintains a beer wholesale operation as provided in subdivision (b)(2), it shall be lawful for anyone holding a permit pursuant to this subsection (d) to carry out similar duties with respect to such beer wholesale operation; provided, that the permit holder has also satisfied any legal requirements applicable to such function within a beer wholesale operation.
(e) (1) Every wholesale licensee shall, before employing any person to dispense alcoholic beverages, secure from the commission an employee's permit authorizing such person to serve as an employee in the place of business of such wholesaler. It is made the duty of the wholesaler to see that each person dispensing alcoholic beverages in the wholesaler's place of business has an employee's permit as above required, which permit must be on the person of such employee or upon the premises of the licensee at all times, subject to inspection by the commission or its duly authorized agent. Nothing in this subdivision (e)(1) requires an employee of a wholesaler to obtain a permit unless the employee is directly involved with the delivery or sale of alcoholic beverages. Employees involved only in warehousing, administrative, or clerical services for a wholesaler are not required to obtain a permit under this subdivision (e)(1). (2) Where a wholesaler licensed under this part also maintains a beer wholesale operation as provided in subdivision (b)(2), it shall be lawful for anyone holding a permit pursuant to this subsection (e) to carry out similar duties with respect to such beer wholesale operation; provided, that the permit holder has also satisfied any legal requirements applicable to such function within a beer wholesale operation.
(1) Every wholesale licensee shall, before employing any person to dispense alcoholic beverages, secure from the commission an employee's permit authorizing such person to serve as an employee in the place of business of such wholesaler. It is made the duty of the wholesaler to see that each person dispensing alcoholic beverages in the wholesaler's place of business has an employee's permit as above required, which permit must be on the person of such employee or upon the premises of the licensee at all times, subject to inspection by the commission or its duly authorized agent. Nothing in this subdivision (e)(1) requires an employee of a wholesaler to obtain a permit unless the employee is directly involved with the delivery or sale of alcoholic beverages. Employees involved only in warehousing, administrative, or clerical services for a wholesaler are not required to obtain a permit under this subdivision (e)(1).
(2) Where a wholesaler licensed under this part also maintains a beer wholesale operation as provided in subdivision (b)(2), it shall be lawful for anyone holding a permit pursuant to this subsection (e) to carry out similar duties with respect to such beer wholesale operation; provided, that the permit holder has also satisfied any legal requirements applicable to such function within a beer wholesale operation.
(f) (1) A wholesaler's license may, in the discretion of the commission, be issued to a corporation; provided, that no license shall be issued to any corporation unless such corporation meets the following requirements: (A) All of its capital stock must be owned by individuals who have been residents of Tennessee for not less than five (5) years next preceding or who at any time have been residents of this state for at least fifteen (15) consecutive years, and who have not been convicted within a period of five (5) years preceding acquisition of such stock for violation of either state or United States prohibition laws or revenue laws relating to intoxicating liquors; (B) No person owning stock in such corporation shall have any interest as partner or otherwise in a business licensed to engage in the retail sale of intoxicating liquors in Tennessee; (C) No stock of any corporation licensed under this subsection (f) shall be transferred to any person who has not been a resident of Tennessee for at least five (5) years next preceding or who at any time has not been a resident of Tennessee for at least fifteen (15) consecutive years. (2) The commission is hereby authorized to revoke the wholesale license of any corporation which fails to comply with this subsection (f).
(1) A wholesaler's license may, in the discretion of the commission, be issued to a corporation; provided, that no license shall be issued to any corporation unless such corporation meets the following requirements: (A) All of its capital stock must be owned by individuals who have been residents of Tennessee for not less than five (5) years next preceding or who at any time have been residents of this state for at least fifteen (15) consecutive years, and who have not been convicted within a period of five (5) years preceding acquisition of such stock for violation of either state or United States prohibition laws or revenue laws relating to intoxicating liquors; (B) No person owning stock in such corporation shall have any interest as partner or otherwise in a business licensed to engage in the retail sale of intoxicating liquors in Tennessee; (C) No stock of any corporation licensed under this subsection (f) shall be transferred to any person who has not been a resident of Tennessee for at least five (5) years next preceding or who at any time has not been a resident of Tennessee for at least fifteen (15) consecutive years.
(A) All of its capital stock must be owned by individuals who have been residents of Tennessee for not less than five (5) years next preceding or who at any time have been residents of this state for at least fifteen (15) consecutive years, and who have not been convicted within a period of five (5) years preceding acquisition of such stock for violation of either state or United States prohibition laws or revenue laws relating to intoxicating liquors;
(B) No person owning stock in such corporation shall have any interest as partner or otherwise in a business licensed to engage in the retail sale of intoxicating liquors in Tennessee;
(C) No stock of any corporation licensed under this subsection (f) shall be transferred to any person who has not been a resident of Tennessee for at least five (5) years next preceding or who at any time has not been a resident of Tennessee for at least fifteen (15) consecutive years.
(2) The commission is hereby authorized to revoke the wholesale license of any corporation which fails to comply with this subsection (f).
(g) Notwithstanding subsection (f), the commission, in its discretion, may issue a wholesale license to any corporation which has been domiciled in this state for twenty-five (25) years, or which has acquired substantially all of the assets of a Tennessee partnership (or limited liability company) which partnership (or limited liability company) has been continuously operating in this state for ten (10) years where such corporation has the majority of its assets located in this state and all of whose officers in actual control of the wholesale operations shall be actively present at the licensed premises and who are in actual charge of the operations of the wholesaler substantially full- time. If any officers of such corporation have been convicted of any violation of the criminal code or of any violation relating to the enforcement of the liquor laws, no license under this subsection (g) shall issue.
(h) If at any time subsequent to the granting of a wholesale liquor license to any such corporation, the majority of its assets shall cease to remain and be located in this state, and if any of its active officers shall cease to be residents of Tennessee, then the commission, within its discretion, shall have the right to revoke such license. The commission is further granted the right to make investigations at any time to ascertain if the majority of the assets of such corporation are located within this state and whether all of its active officers are residents of Tennessee, as above set out, and should its findings be in the negative, it may revoke such license. The foregoing shall apply irrespective of the provisions contained in § 57-3-404(d) .
(i) (1) No license entitling the holder thereof to sell or deal in alcoholic spirituous beverages at wholesale shall be granted except in respect to premises situated within either a county having a population in excess of one hundred twenty thousand (120,000), according to the 2010 federal census or any subsequent federal census, or a county in which the voters of any municipality or other jurisdiction within that county have approved retail package sales or consumption of alcoholic beverages on premises by referendum as provided in this title. (2) Notwithstanding the requirement imposed in subdivision (i)(1), a wholesale liquor license, limited to the sale and distribution of wine only, not to exceed six thousand (6,000) cases of wine per year, may be issued to an entity that is located in any municipality which: (A) Has authorized the sale of alcoholic beverages for consumption on the premises pursuant to § 57-4-103 ; (B) Has a bond rating of AAA issued by a nationally recognized bond rating agency; and (C) Is located within a county which has a bond rating of AAA issued by a nationally recognized bond rating agency.
(1) No license entitling the holder thereof to sell or deal in alcoholic spirituous beverages at wholesale shall be granted except in respect to premises situated within either a county having a population in excess of one hundred twenty thousand (120,000), according to the 2010 federal census or any subsequent federal census, or a county in which the voters of any municipality or other jurisdiction within that county have approved retail package sales or consumption of alcoholic beverages on premises by referendum as provided in this title.
(2) Notwithstanding the requirement imposed in subdivision (i)(1), a wholesale liquor license, limited to the sale and distribution of wine only, not to exceed six thousand (6,000) cases of wine per year, may be issued to an entity that is located in any municipality which: (A) Has authorized the sale of alcoholic beverages for consumption on the premises pursuant to § 57-4-103 ; (B) Has a bond rating of AAA issued by a nationally recognized bond rating agency; and (C) Is located within a county which has a bond rating of AAA issued by a nationally recognized bond rating agency.
(A) Has authorized the sale of alcoholic beverages for consumption on the premises pursuant to § 57-4-103 ;
(B) Has a bond rating of AAA issued by a nationally recognized bond rating agency; and
(C) Is located within a county which has a bond rating of AAA issued by a nationally recognized bond rating agency.
(j) When a person not licensed under this chapter secures title to any alcoholic beverage owned by a wholesaler as a result of a default on loans or revocation of license, the manufacturer, rectifier, distiller or vintner who sold the alcoholic beverage to the wholesaler shall purchase the alcoholic beverage from the nonlicensed person who secured title in order that the creditors are satisfied. Any manufacturer, rectifier, distiller or vintner who fails within thirty (30) days following default or revocation of license of the wholesaler to effect the purchase from the nonlicensed person who secured title shall not be allowed to ship or sell any alcoholic beverage in this state until the purchase is effected.
Amended by 2017 Tenn. Acts, ch. 443,s 5, eff. 5/25/2017.
Amended by 2014 Tenn. Acts, ch. 554,s 21, eff. 7/1/2014.
Amended by 2013 Tenn. Acts, ch. 394,s 1, eff. 5/14/2013.
Acts 1939, ch. 49, § 7; 1945, ch. 167, § 4; 1947, ch. 73, § 1; 1947, ch. 166, § 1; 1949, ch. 284, §§ 3, 5; C. Supp. 1950, § 6648.12 (Williams, § 6648.10); Acts 1951, ch. 98, § 1; impl. am. Acts 1959, ch. 9, § 14; Acts 1961, ch. 145, §§ 1, 2; impl. am. Acts 1963, ch. 257, §§ 11, 19; Acts 1967, ch. 215, § 3; 1972, ch. 656, § 1; 1976, ch. 505, §§ 1, 2; T.C.A. (orig. ed.), § 57-116; Acts 1995, ch. 396, §§ 2, 3; 2004, ch. 876, § 5; 2012, ch. 592, § 1.
Tenn. Code Ann. § 57-3-604 — TN Code / Title 57 / Chapter 3 / Section 57-3-604
Prohibited actions
Status: in_force

No holder of a nonresident seller's permit, nor any officer, director, agent, or employee of the holder, nor any affiliate of the holder, regardless of whether the affiliation is corporate or by management, direction, or control, may do any of the following: (1) Have an interest, direct, or indirect in any business licensed under §§ 57-3-204 and 57-4-101 ; (2) Fail to make or file a report with the commission as required by rule of the commission; (3) Sell liquor for resale inside this state that fails to meet the standards of quality, purity, and identity prescribed by the commission; (4) Advertise any liquor contrary to the laws of this state or to the rules of the commission, or sell liquor for resale in this state in violation of advertising or labeling rules of the commission; (5) Sell liquor for resale inside this state or cause it to be brought into the state in a size of container prohibited by this code or by rule of the commission; (6) Solicit or take orders for liquor from a person not authorized to import liquor into this state for the purpose of resale; (7) Induce, persuade, or influence, or attempt to induce, persuade or influence, a person to violate this code or a rule of the commission, or conspire with a person to violate this code or a rule of the commission; or (8) Exercise a privilege granted by a nonresident seller's permit while an order or suspension against the permit is in effect. Acts 1981, ch. 157, § 4; 2012, ch. 968, § 2.
No holder of a nonresident seller's permit, nor any officer, director, agent, or employee of the holder, nor any affiliate of the holder, regardless of whether the affiliation is corporate or by management, direction, or control, may do any of the following:
(1) Have an interest, direct, or indirect in any business licensed under §§ 57-3-204 and 57-4-101 ;
(2) Fail to make or file a report with the commission as required by rule of the commission;
(3) Sell liquor for resale inside this state that fails to meet the standards of quality, purity, and identity prescribed by the commission;
(4) Advertise any liquor contrary to the laws of this state or to the rules of the commission, or sell liquor for resale in this state in violation of advertising or labeling rules of the commission;
(5) Sell liquor for resale inside this state or cause it to be brought into the state in a size of container prohibited by this code or by rule of the commission;
(6) Solicit or take orders for liquor from a person not authorized to import liquor into this state for the purpose of resale;
(7) Induce, persuade, or influence, or attempt to induce, persuade or influence, a person to violate this code or a rule of the commission, or conspire with a person to violate this code or a rule of the commission; or
(8) Exercise a privilege granted by a nonresident seller's permit while an order or suspension against the permit is in effect.
Acts 1981, ch. 157, § 4; 2012, ch. 968, § 2.
Tenn. Code Ann. § 57-3-301 — TN Code / Title 57 / Chapter 3 / Section 57-3-301
Brand name alcoholic beverages - Tax - Sale or importation - Contracts - Revocation of permits or licenses
Status: in_force

(a) As used in this section "brand" means: (1) Each and every distilled spirits, wine product, beer with an alcoholic content of five percent (5%) by weight or greater high alcohol content beer product bearing a distinct brand name or trade name as defined or used by the United States department of the treasury, alcohol and tobacco tax and trade bureau, shall be considered a separate "brand" for purposes of this section; (2) Within the group of wine or distilled spirits products bottled, manufactured, distilled, rectified, imported or marketed under a particular "brand name" or "trade name" as described in subdivision (a)(1), products which fall within separate classes or types as defined in the standards of identity for the several classes and types of wine and distilled spirits promulgated by the federal bureau of alcohol, tobacco and firearms shall be considered separate "brands" for purposes of this section; provided, that wine or distilled spirits products which differ only in the amount of alcohol or proof they contain shall not be considered separate brands for purposes of this section; (3) The name, trademark, or trade name of the product, as indicated on the certificate of label approval as registered with the alcohol and tobacco tax and trade bureau of the United States department of the treasury, or, if no certificate of label approval is required, then the name, trademark, or trade name of the product. (b) (1) There is imposed a tax of two hundred fifty dollars ($250) per annum upon each brand of distilled spirits sold in this state, for which actual wholesale sales during the twelve (12) months immediately preceding May 22, 1979, were fifty (50) cases or more. (2) There is imposed a tax of one hundred dollars ($100) per annum upon each brand of distilled spirits sold in this state for which actual wholesale sales during the twelve (12) months immediately preceding May 22, 1979, were less than fifty (50) cases. (3) There is imposed an annual tax upon each brand of wine sold in this state. The amount of this tax shall be based on the number of cases sold at wholesale in this state during the year immediately preceding any tax year as follows: (A) Less than two hundred fifty (250) cases - No tax due; and (B) Two hundred fifty (250) or more cases - Two hundred fifty dollars ($250). (4) There is imposed a tax of one hundred dollars ($100) per annum upon each brand of beer with an alcoholic content greater than five percent (5%) by weight or each brand of high alcohol content beer sold in this state. (c) No manufacturer, importer or representative shall introduce into this state any brand of alcoholic beverages until such tax has been paid to the department of revenue. (d) No wholesaler shall give an order, receive, accept or offer for sale any brand of alcohol beverages until the annual tax has been paid to the department of revenue. (e) (1) No brand may be introduced into the state except pursuant to written contract to sell such brand in this state between the manufacturer, brewer or importer of such brand and the Tennessee wholesaler who is to sell such brand in this state. Every contract shall contain the specified area in which such wholesaler will sell such brand and no more than one wholesaler may sell such brand in any specified area. (2) If any party to a contract described in subdivision (e)(1) fails to comply with any provision of the contract, an aggrieved party may bring an action in the circuit or chancery courts of this state. (3) No contract shall include the entire state of Tennessee as the specified area in which such wholesaler will sell any brand. (4) No manufacturer or importer nor any successor to a manufacturer or importer may terminate a contract prior to the expiration of its term except for good cause, asserted in good faith, as determined by the commissioner of revenue. No manufacturer or importer, nor any successor to a manufacturer or importer may seek to terminate a contract for good cause, unless such manufacturer or importer has afforded the affected wholesaler with whom it has contracted a reasonable opportunity to cure any deficiency which in no event shall be less than thirty (30) days. No successor to a manufacturer or importer may register a contract to distribute a brand in this state with the department of revenue which differs from the contract previously filed for the distribution of such brand except for good cause, asserted in good faith, as determined by the commissioner of revenue. (5) No manufacturer or importer nor any successor to a manufacturer or importer may fail to renew a contract with a wholesaler except for good cause, asserted in good faith, as determined by the commissioner of revenue. No manufacturer or importer, nor any successor to a manufacturer or importer may fail to renew a contract for good cause, unless such manufacturer or importer has afforded the affected wholesaler a reasonable opportunity to cure any deficiency which in no event shall be less than thirty (30) days. (6) For purposes of this section, any modification of the designated area serviced by a wholesaler shall constitute a termination of its contract. (f) If the commissioner of revenue, after a hearing, determines the manufacturer or importer has failed to establish good cause asserted in good faith as required herein, the provisions of the contract between such manufacturer or importer and the designated Tennessee wholesaler are still in force and a failure by such manufacturer or importer or its successor to ship to such a wholesaler a reasonable amount of the brand shall be grounds for a revocation of that manufacturer's or importer's nonresident seller's permit or winery license. (g) The department of revenue is authorized to accept the brand registrations required under this section and the contracts described in subdivision (e)(1) by electronic means. The department of revenue is authorized to approve one (1) or more third parties to facilitate electronic submissions on behalf of importers, manufacturers, suppliers, or wholesalers; provided, that such third parties shall: (1) Be permitted to assess a reasonable cost against the importer, supplier, manufacturer, or wholesaler that elects to use the electronic service; (2) Not assess any fees or costs against the state for providing such service; (3) Adhere to the records requirements, privacy requirements, and technical requirements imposed by the department of revenue; (4) Agree to provide documentation and support for all brand registrations and contract registrations as required by the department of revenue as part of the electronic process; and (5) Agree to facilitate communication between the department of revenue and the affected importers, manufacturers, suppliers, and wholesalers to relate the status of any filing, transfer, or tax liability. (h) The department of revenue is authorized to promulgate rules and regulations relative to the brand registration provisions of this section. (i) (1) The department of revenue shall make available to the public the identity of the wholesalers and suppliers operating in this state, including their addresses, brands, and designated territories for which a contract has been registered with the department. Such information may be made available electronically. (2) If a manufacturer, supplier, importer, nonresident seller, or nonmanufacturer nonresident seller registers a contract with a wholesaler for a brand, the department of revenue shall provide notice by electronic means of such registration to the manufacturer, supplier, importer, nonresident seller, or nonmanufacturer nonresident seller, as applicable, and the contracted wholesaler. Amended by 2021 Tenn. Acts, ch. 324, s 1, eff. 5/4/2021. Amended by 2014 Tenn. Acts, ch. 861, s 20, s 21, s 22 eff. 5/1/2014. Amended by 2013 Tenn. Acts, ch. 171, s 1, s 2 eff. 4/16/2013. Acts 1979, ch. 341, § 1; T.C.A., § 57-130; Acts 1980, ch. 782, § 1; 1984, ch. 684, §§ 1, 2; 1985, ch. 125, § 1; 1996, ch. 706, §§ 1, 2.
(a) As used in this section "brand" means: (1) Each and every distilled spirits, wine product, beer with an alcoholic content of five percent (5%) by weight or greater high alcohol content beer product bearing a distinct brand name or trade name as defined or used by the United States department of the treasury, alcohol and tobacco tax and trade bureau, shall be considered a separate "brand" for purposes of this section; (2) Within the group of wine or distilled spirits products bottled, manufactured, distilled, rectified, imported or marketed under a particular "brand name" or "trade name" as described in subdivision (a)(1), products which fall within separate classes or types as defined in the standards of identity for the several classes and types of wine and distilled spirits promulgated by the federal bureau of alcohol, tobacco and firearms shall be considered separate "brands" for purposes of this section; provided, that wine or distilled spirits products which differ only in the amount of alcohol or proof they contain shall not be considered separate brands for purposes of this section; (3) The name, trademark, or trade name of the product, as indicated on the certificate of label approval as registered with the alcohol and tobacco tax and trade bureau of the United States department of the treasury, or, if no certificate of label approval is required, then the name, trademark, or trade name of the product.
(1) Each and every distilled spirits, wine product, beer with an alcoholic content of five percent (5%) by weight or greater high alcohol content beer product bearing a distinct brand name or trade name as defined or used by the United States department of the treasury, alcohol and tobacco tax and trade bureau, shall be considered a separate "brand" for purposes of this section;
(2) Within the group of wine or distilled spirits products bottled, manufactured, distilled, rectified, imported or marketed under a particular "brand name" or "trade name" as described in subdivision (a)(1), products which fall within separate classes or types as defined in the standards of identity for the several classes and types of wine and distilled spirits promulgated by the federal bureau of alcohol, tobacco and firearms shall be considered separate "brands" for purposes of this section; provided, that wine or distilled spirits products which differ only in the amount of alcohol or proof they contain shall not be considered separate brands for purposes of this section;
(3) The name, trademark, or trade name of the product, as indicated on the certificate of label approval as registered with the alcohol and tobacco tax and trade bureau of the United States department of the treasury, or, if no certificate of label approval is required, then the name, trademark, or trade name of the product.
(b) (1) There is imposed a tax of two hundred fifty dollars ($250) per annum upon each brand of distilled spirits sold in this state, for which actual wholesale sales during the twelve (12) months immediately preceding May 22, 1979, were fifty (50) cases or more. (2) There is imposed a tax of one hundred dollars ($100) per annum upon each brand of distilled spirits sold in this state for which actual wholesale sales during the twelve (12) months immediately preceding May 22, 1979, were less than fifty (50) cases. (3) There is imposed an annual tax upon each brand of wine sold in this state. The amount of this tax shall be based on the number of cases sold at wholesale in this state during the year immediately preceding any tax year as follows: (A) Less than two hundred fifty (250) cases - No tax due; and (B) Two hundred fifty (250) or more cases - Two hundred fifty dollars ($250). (4) There is imposed a tax of one hundred dollars ($100) per annum upon each brand of beer with an alcoholic content greater than five percent (5%) by weight or each brand of high alcohol content beer sold in this state.
(1) There is imposed a tax of two hundred fifty dollars ($250) per annum upon each brand of distilled spirits sold in this state, for which actual wholesale sales during the twelve (12) months immediately preceding May 22, 1979, were fifty (50) cases or more.
(2) There is imposed a tax of one hundred dollars ($100) per annum upon each brand of distilled spirits sold in this state for which actual wholesale sales during the twelve (12) months immediately preceding May 22, 1979, were less than fifty (50) cases.
(3) There is imposed an annual tax upon each brand of wine sold in this state. The amount of this tax shall be based on the number of cases sold at wholesale in this state during the year immediately preceding any tax year as follows: (A) Less than two hundred fifty (250) cases - No tax due; and (B) Two hundred fifty (250) or more cases - Two hundred fifty dollars ($250).
(A) Less than two hundred fifty (250) cases - No tax due; and
(B) Two hundred fifty (250) or more cases - Two hundred fifty dollars ($250).
(4) There is imposed a tax of one hundred dollars ($100) per annum upon each brand of beer with an alcoholic content greater than five percent (5%) by weight or each brand of high alcohol content beer sold in this state.
(c) No manufacturer, importer or representative shall introduce into this state any brand of alcoholic beverages until such tax has been paid to the department of revenue.
(d) No wholesaler shall give an order, receive, accept or offer for sale any brand of alcohol beverages until the annual tax has been paid to the department of revenue.
(e) (1) No brand may be introduced into the state except pursuant to written contract to sell such brand in this state between the manufacturer, brewer or importer of such brand and the Tennessee wholesaler who is to sell such brand in this state. Every contract shall contain the specified area in which such wholesaler will sell such brand and no more than one wholesaler may sell such brand in any specified area. (2) If any party to a contract described in subdivision (e)(1) fails to comply with any provision of the contract, an aggrieved party may bring an action in the circuit or chancery courts of this state. (3) No contract shall include the entire state of Tennessee as the specified area in which such wholesaler will sell any brand. (4) No manufacturer or importer nor any successor to a manufacturer or importer may terminate a contract prior to the expiration of its term except for good cause, asserted in good faith, as determined by the commissioner of revenue. No manufacturer or importer, nor any successor to a manufacturer or importer may seek to terminate a contract for good cause, unless such manufacturer or importer has afforded the affected wholesaler with whom it has contracted a reasonable opportunity to cure any deficiency which in no event shall be less than thirty (30) days. No successor to a manufacturer or importer may register a contract to distribute a brand in this state with the department of revenue which differs from the contract previously filed for the distribution of such brand except for good cause, asserted in good faith, as determined by the commissioner of revenue. (5) No manufacturer or importer nor any successor to a manufacturer or importer may fail to renew a contract with a wholesaler except for good cause, asserted in good faith, as determined by the commissioner of revenue. No manufacturer or importer, nor any successor to a manufacturer or importer may fail to renew a contract for good cause, unless such manufacturer or importer has afforded the affected wholesaler a reasonable opportunity to cure any deficiency which in no event shall be less than thirty (30) days. (6) For purposes of this section, any modification of the designated area serviced by a wholesaler shall constitute a termination of its contract.
(1) No brand may be introduced into the state except pursuant to written contract to sell such brand in this state between the manufacturer, brewer or importer of such brand and the Tennessee wholesaler who is to sell such brand in this state. Every contract shall contain the specified area in which such wholesaler will sell such brand and no more than one wholesaler may sell such brand in any specified area.
(2) If any party to a contract described in subdivision (e)(1) fails to comply with any provision of the contract, an aggrieved party may bring an action in the circuit or chancery courts of this state.
(3) No contract shall include the entire state of Tennessee as the specified area in which such wholesaler will sell any brand.
(4) No manufacturer or importer nor any successor to a manufacturer or importer may terminate a contract prior to the expiration of its term except for good cause, asserted in good faith, as determined by the commissioner of revenue. No manufacturer or importer, nor any successor to a manufacturer or importer may seek to terminate a contract for good cause, unless such manufacturer or importer has afforded the affected wholesaler with whom it has contracted a reasonable opportunity to cure any deficiency which in no event shall be less than thirty (30) days. No successor to a manufacturer or importer may register a contract to distribute a brand in this state with the department of revenue which differs from the contract previously filed for the distribution of such brand except for good cause, asserted in good faith, as determined by the commissioner of revenue.
(5) No manufacturer or importer nor any successor to a manufacturer or importer may fail to renew a contract with a wholesaler except for good cause, asserted in good faith, as determined by the commissioner of revenue. No manufacturer or importer, nor any successor to a manufacturer or importer may fail to renew a contract for good cause, unless such manufacturer or importer has afforded the affected wholesaler a reasonable opportunity to cure any deficiency which in no event shall be less than thirty (30) days.
(6) For purposes of this section, any modification of the designated area serviced by a wholesaler shall constitute a termination of its contract.
(f) If the commissioner of revenue, after a hearing, determines the manufacturer or importer has failed to establish good cause asserted in good faith as required herein, the provisions of the contract between such manufacturer or importer and the designated Tennessee wholesaler are still in force and a failure by such manufacturer or importer or its successor to ship to such a wholesaler a reasonable amount of the brand shall be grounds for a revocation of that manufacturer's or importer's nonresident seller's permit or winery license.
(g) The department of revenue is authorized to accept the brand registrations required under this section and the contracts described in subdivision (e)(1) by electronic means. The department of revenue is authorized to approve one (1) or more third parties to facilitate electronic submissions on behalf of importers, manufacturers, suppliers, or wholesalers; provided, that such third parties shall: (1) Be permitted to assess a reasonable cost against the importer, supplier, manufacturer, or wholesaler that elects to use the electronic service; (2) Not assess any fees or costs against the state for providing such service; (3) Adhere to the records requirements, privacy requirements, and technical requirements imposed by the department of revenue; (4) Agree to provide documentation and support for all brand registrations and contract registrations as required by the department of revenue as part of the electronic process; and (5) Agree to facilitate communication between the department of revenue and the affected importers, manufacturers, suppliers, and wholesalers to relate the status of any filing, transfer, or tax liability.
(1) Be permitted to assess a reasonable cost against the importer, supplier, manufacturer, or wholesaler that elects to use the electronic service;
(2) Not assess any fees or costs against the state for providing such service;
(3) Adhere to the records requirements, privacy requirements, and technical requirements imposed by the department of revenue;
(4) Agree to provide documentation and support for all brand registrations and contract registrations as required by the department of revenue as part of the electronic process; and
(5) Agree to facilitate communication between the department of revenue and the affected importers, manufacturers, suppliers, and wholesalers to relate the status of any filing, transfer, or tax liability.
(h) The department of revenue is authorized to promulgate rules and regulations relative to the brand registration provisions of this section.
(i) (1) The department of revenue shall make available to the public the identity of the wholesalers and suppliers operating in this state, including their addresses, brands, and designated territories for which a contract has been registered with the department. Such information may be made available electronically. (2) If a manufacturer, supplier, importer, nonresident seller, or nonmanufacturer nonresident seller registers a contract with a wholesaler for a brand, the department of revenue shall provide notice by electronic means of such registration to the manufacturer, supplier, importer, nonresident seller, or nonmanufacturer nonresident seller, as applicable, and the contracted wholesaler.
(1) The department of revenue shall make available to the public the identity of the wholesalers and suppliers operating in this state, including their addresses, brands, and designated territories for which a contract has been registered with the department. Such information may be made available electronically.
(2) If a manufacturer, supplier, importer, nonresident seller, or nonmanufacturer nonresident seller registers a contract with a wholesaler for a brand, the department of revenue shall provide notice by electronic means of such registration to the manufacturer, supplier, importer, nonresident seller, or nonmanufacturer nonresident seller, as applicable, and the contracted wholesaler.
Amended by 2021 Tenn. Acts, ch. 324, s 1, eff. 5/4/2021.
Amended by 2014 Tenn. Acts, ch. 861, s 20, s 21, s 22 eff. 5/1/2014.
Amended by 2013 Tenn. Acts, ch. 171, s 1, s 2 eff. 4/16/2013.
Acts 1979, ch. 341, § 1; T.C.A., § 57-130; Acts 1980, ch. 782, § 1; 1984, ch. 684, §§ 1, 2; 1985, ch. 125, § 1; 1996, ch. 706, §§ 1, 2.
Tenn. Code Ann. § 57-3-404 — TN Code / Title 57 / Chapter 3 / Section 57-3-404
Regulations for purchase and sale of intoxicating liquors - Wholesalers - Check cashing - Ground floor location - Credit sales
Status: in_force

(a) It is unlawful for any person in this state to buy any alcoholic beverages herein defined from any person, who, to the knowledge of the buyer, does not hold the appropriate license under the laws of this state authorizing the sale of such beverages to the buyer. (b) No retailer shall purchase any alcoholic beverages from anyone other than a licensed wholesaler, nor shall any wholesaler sell any alcoholic beverages to anyone other than a licensed retailer or retail food store licensed to sell wine pursuant to part 8 of this chapter or a licensed wholesaler; provided, that such alcoholic beverages sold by one (1) wholesaler to another wholesaler shall be transported by common carrier or by vehicle owned or leased and operated by either the consignor wholesaler or the consignee wholesaler. (c) No manufacturer or distiller shall sell any alcoholic beverages to any person in this state except a licensed wholesaler and to another manufacturer or distiller, and no manufacturer shall hold a wholesaler's license. (d) (1) No alcoholic beverage for sale to the retailer, or the retailer's representative, shall be sold except by a licensed wholesaler, who sells for resale on the wholesaler's premises and who carries on no other business, directly or indirectly, and whose wholesale business in alcoholic beverages is not operated as an adjunct to, or supplementary to, the business of any other person, either by way of lease of the wholesale premises or otherwise, for any business other than that permitted by the terms of such wholesaler's wholesale license. (2) Notwithstanding the limitations and restrictions imposed by this section, a wholesaler may invest its business assets in other businesses, and may engage in the sale and distribution of products other than alcoholic beverages; provided, that gross revenues from such other businesses and from the sale of products other than alcoholic beverages may not exceed fifty percent (50%) of a wholesaler's total gross revenues. (3) A licensed alcoholic beverages wholesaler may lawfully engage in activities covered by chapter 5 of this title, as provided by § 57-3-203(b)(2) , without regard to the amount of gross revenues produced by such operation. Such wholesaler may, at the wholesaler's discretion, use the same warehouse and other facilities, vehicles and employees in both operations; provided, that all legal requirements applicable to such operations are satisfied with respect to each operation. (e) (1) No retail licensee shall operate its business involving the sale of wine, beer or other alcoholic beverages in connection with the wholesale distribution of wine, beer or other alcoholic beverage nor shall such licensee sell its wine, beer or other alcoholic beverage for purposes of resale. (2) Notwithstanding subsection (a), beginning July 1, 2014, a retail licensee holding a license issued under § 57-3-204 shall be permitted to sell at retail beer and other malt beverages, subject to the restriction in [former] § 57-3-806(e) [repealed]. No permit or license other than the license issued pursuant to § 57-3-204 shall be required for the licensed retailer to engage in such sales of beer and other malt beverages and the issuer of that license has the authority to enforce any laws related to such sales. (3) A retail licensee shall be permitted to cash a check or other negotiable instrument for a fee when such service is made available to a person over twenty-one (21) years of age. No postdated check shall be cashed by a licensee under this section. (4) Beginning July 1, 2014, a retail licensee shall also be permitted to sell at retail items related to or incidental to the use, consumption, dispensing or storage of alcoholic beverages, together with merchandise and supplies related to special events or parties, subject to the restriction in [former] § 57-3-806(e) [repealed]. Such items may include, but are not limited to: (A) Newspapers, magazines, publications, videos and other media related to alcoholic beverages or food; (B) Utensils and supplies related or incidental to the use, consumption, dispensing or storage of alcoholic beverages, including, without limitation, corkscrews, beverage strainers, pourers, flasks, jiggers, stirrers, wine racks, wine refrigerators, wine cellars, decanters, carafes, glassware, ice crushers, bottle openers, can openers, and devices to maximize oxidation in uncorked wine bottles and other items used in connection with the consumption, storage or dispensing of alcoholic beverages; (C) Gift cards, packages and baskets that include alcoholic beverages and nonalcoholic items; (D) Nonalcoholic beverages; (E) Kegs and growlers, whether empty or filled with beer, wine or alcoholic beverages, on the licensed premises; (F) Concentrates and ingredients used in the preparation of mixed alcoholic beverages; (G) Beer and wine-making kits; (H) Products and supplies related to beer and wine-making; (I) Lemons, limes, cherries, olives and other food items used in the preparation or garnishment of alcoholic beverages or mixed alcoholic beverages; (J) Peanuts, pretzels, chips, cheese, crackers, appetizers and other snack foods; (K) Beverage coolers, ice chests and ice in any form; (L) Party supplies, party decorations, gift bags, greeting cards and other items for parties and special events; (M) Articles of clothing and accessories imprinted with advertising, logos, slogans, trademarks or messages related to alcoholic beverages; (N) Combined packages containing multiple alcoholic beverages; (O) Cigarettes, cigars and lighters and other smoking or tobacco related products; (P) Lottery tickets if the retailer's application is approved by the Tennessee education lottery corporation as provided in § 4-51-115(e) ; and (Q) Notwithstanding another law to the contrary, any hemp or hemp-derived cannabinoid product for which all required licenses, permits, or certificates have been obtained authorizing the sale of such product within this state. (5) A retail licensee may sell nonalcoholic products to persons under twenty-one (21) years of age including gift cards. (f) No wholesale or retail store shall be located except on the ground floor, and it may have two (2) main entrances opening on a public street, and such place of business shall have no other entrance for use by the public except as hereafter provided. When a wholesale or retail store is located on the corner of two (2) public streets, such wholesale or retail store may maintain a door opening on each of the public streets. Any sales room adjoining the lobby of a hotel or other public building may maintain an additional door into such lobby so long as same shall be open to the public. Every wholesale and retail store shall be provided with whatever entrances and exits may be required by existing or future municipal ordinances. When the location of a wholesale or retail liquor store is authorized to be located or operated within an established shopping center or shopping mall, and such liquor store cannot and does not have a main entrance or door opening onto a public street, but the main entrance or door would open or front on a shopping center parking area, the commission in its discretion may approve the issuance of a liquor license to cover such location within the shopping center or shopping mall, irrespective of the fact that the main entrance or door does not or would not open onto a public street. (g) (1) No holder of a license for the sale of alcoholic beverages for wholesale or retail shall sell, deliver, or cause, permit or procure to be sold or delivered, any alcoholic beverages on credit, except that holders of wholesale licenses may sell on not more than ten (10) days' credit. (2) The ten-day period begins from delivery and receipt by the retail licensee. The ten-day period cannot include any day that the wholesaler is not open to make deliveries, receive payment or receive mail. (3) Any suspension of deliveries is a credit decision to be made by a wholesaler and a retail licensee. (4) A wholesaler shall be permitted to communicate with another wholesaler about the account status of any retail licensee. (5) Wholesalers shall advise the commission of any failure of a retailer to comply with this subsection (g). (6) The commission shall be permitted to post the account status of a retail licensee with any wholesaler on its website. (7) This subsection (g) shall not apply to nonalcoholic products. (h) (1) No alcoholic beverages shall be sold for consumption on the premises of the seller except as provided in §§ 57-4-101 - 57-4-203, and except as may be permitted by the regulations of the commission for the purpose of conducting consumer educational seminars by a licensee under § 57-3-204 , conducted on the premises of a business licensed pursuant to §§ 57-4-101 - 57-4-203. A wholesaler licensed pursuant to § 57-3-203 or a person holding a permit as a representative or sales person pursuant to § 57-3-203(d) may conduct a sales demonstration on the premises of a licensed retailer and, for such limited purpose, may provide free samples to the employees of a licensed retailer for consumption on such premises. A retail licensee may conduct such a sales demonstration for the persons employed by such licensee holding permits issued pursuant to [former] § 57-3-204(c) [repealed] using products and samples provided by a wholesaler or wholesaler sales representative notwithstanding the absence of the wholesaler or wholesaler sales representative. All such sales demonstrations permitted consumption shall be permitted only for sales, education, and promotional purposes and no one other than a retail licensee, a person holding a permit issued pursuant to [former] § 57-3-204(c) [repealed], a wholesaler or a wholesaler sales representative, or a person holding a permit issued pursuant to § 57-3-202(d) may be present in the room where such demonstration is conducted or may receive a sample for consumption. (2) (A) A retail licensee may offer complimentary samples of the products it sells for tastings to be held on the premises of the retail licensee. Such tastings shall be for sales, education and promotional purposes. No person holding a license under § 57-3-203 shall, directly or indirectly, provide any products, funding, labor, support or reimbursement to a retailer for the consumer tastings authorized by this subdivision (h)(2). (B) (i) The tastings may be held at the option of the retail licensee during the hours the retail licensee is open for business, without filing any notice other than as provided in subdivision (h)(2)(B)(ii) with the commission, and no charge or fee may be assessed by the commission for a retail licensee to offer such complimentary samples. (ii) With its annual renewal, the retail licensee shall notify the commission of its intention to conduct tastings during the year on the premises of the retail licensee. If following the date the license is renewed, the retail licensee makes a determination to offer tastings, the licensee shall notify the commission of its intention to conduct tastings for the remainder of the year. (C) The size of each sample shall be no greater than approximately two ounces (2 oz.) for each wine or high alcohol content beer sample and no greater than approximately one-half ounce (½ oz.) for each liquor sample. It is the responsibility of the retail licensee to limit the number of tastings per customer and the number of products available for tasting. (D) Notwithstanding any law or rule to the contrary, a retail licensee or employee of the licensee may participate in tastings. (E) A server permit is not required for employees conducting tastings if the employee has a permit pursuant to § 57-3-703 ; provided, that every retail licensee which offers tastings is encouraged to ensure that any employee who is involved with the tastings understands that a violation of § 57-3-406(c) and (d) and § 57-3-412 related to retail sales apply equally to those customers who participate in the tastings. (F) A supplier may provide, through licensed wholesalers, products for tasting purposes by a retail licensee. (G) (i) Notwithstanding subdivisions (h)(2)(A)-(F), a manufacturer conducting a consumer tasting at a retail licensee's premises may, in the manufacturer's discretion: (a) Have a licensed wholesaler deliver the product to be tasted directly to the retailer using a zero dollar ($0.00) invoice; or (b) Obtain the product to be tasted from a wholesaler in advance of the tasting and bring the product to the retail licensee's premises to be used exclusively for consumer tastings. (ii) If a manufacturer chooses the option in subdivision (h)(2)(G)(i)( b ), then the applicable wholesaler shall provide a zero dollar ($0.00) invoice for the product requested by the manufacturer. In addition, the manufacturer must notify the wholesaler in writing at least five (5) business days prior to pick up by the manufacturer of any scheduled consumer tasting that includes the date and location of the consumer tastings. If additional tastings occur, each manufacturer shall notify in writing their wholesalers of the date and location of the consumer tasting at least five (5) business days after such tastings. (iii) A manufacturer may acquire a reasonable amount of product for consumer tastings that will occur in the next thirty (30) days. If a manufacturer has leftover product after this thirty-day period, then the manufacturer may email the applicable wholesalers the approximate amount of leftover product, and the manufacturer may possess this overage for another thirty (30) days. This process may continue indefinitely until the extra product is used up or poured out by the manufacturer. (iv) A manufacturer shall not leave excess or leftover product, either sealed or unsealed, with a retail licensee. All product must be taken by the manufacturer to be used by them for future consumer tastings. (i) No wholesaler may provide a discount or other reduction in price to a retailer or retail food store wine licensee by virtue of the sales made to any other licensee. Any discount or pricing made available to a retailer or retail food store wine licensee shall be made available on the same terms and conditions to other retailers and food store wine licensees within the same jurisdiction. Any quantity discounts provided by wholesalers to any retailer licensed under this chapter or any licensee licensed under chapter 4 of this title cannot be cumulative in nature, but can be based only upon products delivered contemporaneously. No retail food store wine licensee may receive any remuneration, by whatever name, at a corporate office located inside or outside this state that affects the profitability of wine or beer sales in this state, that is not made available to all retail licensees or other retail food stores licensed to sell wine or beer in this state. Amended by 2024 Tenn. Acts, ch. 940,s 1, eff. 5/6/2024. Amended by 2021 Tenn. Acts, ch. 437, s 1, eff. 5/13/2021. Amended by 2017 Tenn. Acts, ch. 443, s 6, eff. 5/25/2017. Amended by 2014 Tenn. Acts, ch. 554, s 2, eff. 7/1/2014. Acts 1939, ch. 49, §§ 5, 11, 14; 1945, ch. 48, § 1; 1945, ch. 167, § 6; C. Supp. 1950, §§ 6648.15-6648.17 (Williams, §§ 6648.8, 6648.14, 6648.17); Acts 1955, ch. 347, § 1A; 1967, ch. 211, § 2; 1970, ch. 469, § 2; 1971, ch. 72, § 1; modified; T.C.A. (orig. ed.), § 57-140; Acts 1983, ch. 454, § 1; 1993, ch. 157, § 1; 1997 , ch. 35, § 1; 1998, ch. 765, § 3; 2002, ch. 672, § 2; 2011 , ch. 448, § 19; 2012 , ch. 947, § 2.
(a) It is unlawful for any person in this state to buy any alcoholic beverages herein defined from any person, who, to the knowledge of the buyer, does not hold the appropriate license under the laws of this state authorizing the sale of such beverages to the buyer.
(b) No retailer shall purchase any alcoholic beverages from anyone other than a licensed wholesaler, nor shall any wholesaler sell any alcoholic beverages to anyone other than a licensed retailer or retail food store licensed to sell wine pursuant to part 8 of this chapter or a licensed wholesaler; provided, that such alcoholic beverages sold by one (1) wholesaler to another wholesaler shall be transported by common carrier or by vehicle owned or leased and operated by either the consignor wholesaler or the consignee wholesaler.
(c) No manufacturer or distiller shall sell any alcoholic beverages to any person in this state except a licensed wholesaler and to another manufacturer or distiller, and no manufacturer shall hold a wholesaler's license.
(d) (1) No alcoholic beverage for sale to the retailer, or the retailer's representative, shall be sold except by a licensed wholesaler, who sells for resale on the wholesaler's premises and who carries on no other business, directly or indirectly, and whose wholesale business in alcoholic beverages is not operated as an adjunct to, or supplementary to, the business of any other person, either by way of lease of the wholesale premises or otherwise, for any business other than that permitted by the terms of such wholesaler's wholesale license. (2) Notwithstanding the limitations and restrictions imposed by this section, a wholesaler may invest its business assets in other businesses, and may engage in the sale and distribution of products other than alcoholic beverages; provided, that gross revenues from such other businesses and from the sale of products other than alcoholic beverages may not exceed fifty percent (50%) of a wholesaler's total gross revenues. (3) A licensed alcoholic beverages wholesaler may lawfully engage in activities covered by chapter 5 of this title, as provided by § 57-3-203(b)(2) , without regard to the amount of gross revenues produced by such operation. Such wholesaler may, at the wholesaler's discretion, use the same warehouse and other facilities, vehicles and employees in both operations; provided, that all legal requirements applicable to such operations are satisfied with respect to each operation.
(1) No alcoholic beverage for sale to the retailer, or the retailer's representative, shall be sold except by a licensed wholesaler, who sells for resale on the wholesaler's premises and who carries on no other business, directly or indirectly, and whose wholesale business in alcoholic beverages is not operated as an adjunct to, or supplementary to, the business of any other person, either by way of lease of the wholesale premises or otherwise, for any business other than that permitted by the terms of such wholesaler's wholesale license.
(2) Notwithstanding the limitations and restrictions imposed by this section, a wholesaler may invest its business assets in other businesses, and may engage in the sale and distribution of products other than alcoholic beverages; provided, that gross revenues from such other businesses and from the sale of products other than alcoholic beverages may not exceed fifty percent (50%) of a wholesaler's total gross revenues.
(3) A licensed alcoholic beverages wholesaler may lawfully engage in activities covered by chapter 5 of this title, as provided by § 57-3-203(b)(2) , without regard to the amount of gross revenues produced by such operation. Such wholesaler may, at the wholesaler's discretion, use the same warehouse and other facilities, vehicles and employees in both operations; provided, that all legal requirements applicable to such operations are satisfied with respect to each operation.
(e) (1) No retail licensee shall operate its business involving the sale of wine, beer or other alcoholic beverages in connection with the wholesale distribution of wine, beer or other alcoholic beverage nor shall such licensee sell its wine, beer or other alcoholic beverage for purposes of resale. (2) Notwithstanding subsection (a), beginning July 1, 2014, a retail licensee holding a license issued under § 57-3-204 shall be permitted to sell at retail beer and other malt beverages, subject to the restriction in [former] § 57-3-806(e) [repealed]. No permit or license other than the license issued pursuant to § 57-3-204 shall be required for the licensed retailer to engage in such sales of beer and other malt beverages and the issuer of that license has the authority to enforce any laws related to such sales. (3) A retail licensee shall be permitted to cash a check or other negotiable instrument for a fee when such service is made available to a person over twenty-one (21) years of age. No postdated check shall be cashed by a licensee under this section. (4) Beginning July 1, 2014, a retail licensee shall also be permitted to sell at retail items related to or incidental to the use, consumption, dispensing or storage of alcoholic beverages, together with merchandise and supplies related to special events or parties, subject to the restriction in [former] § 57-3-806(e) [repealed]. Such items may include, but are not limited to: (A) Newspapers, magazines, publications, videos and other media related to alcoholic beverages or food; (B) Utensils and supplies related or incidental to the use, consumption, dispensing or storage of alcoholic beverages, including, without limitation, corkscrews, beverage strainers, pourers, flasks, jiggers, stirrers, wine racks, wine refrigerators, wine cellars, decanters, carafes, glassware, ice crushers, bottle openers, can openers, and devices to maximize oxidation in uncorked wine bottles and other items used in connection with the consumption, storage or dispensing of alcoholic beverages; (C) Gift cards, packages and baskets that include alcoholic beverages and nonalcoholic items; (D) Nonalcoholic beverages; (E) Kegs and growlers, whether empty or filled with beer, wine or alcoholic beverages, on the licensed premises; (F) Concentrates and ingredients used in the preparation of mixed alcoholic beverages; (G) Beer and wine-making kits; (H) Products and supplies related to beer and wine-making; (I) Lemons, limes, cherries, olives and other food items used in the preparation or garnishment of alcoholic beverages or mixed alcoholic beverages; (J) Peanuts, pretzels, chips, cheese, crackers, appetizers and other snack foods; (K) Beverage coolers, ice chests and ice in any form; (L) Party supplies, party decorations, gift bags, greeting cards and other items for parties and special events; (M) Articles of clothing and accessories imprinted with advertising, logos, slogans, trademarks or messages related to alcoholic beverages; (N) Combined packages containing multiple alcoholic beverages; (O) Cigarettes, cigars and lighters and other smoking or tobacco related products; (P) Lottery tickets if the retailer's application is approved by the Tennessee education lottery corporation as provided in § 4-51-115(e) ; and (Q) Notwithstanding another law to the contrary, any hemp or hemp-derived cannabinoid product for which all required licenses, permits, or certificates have been obtained authorizing the sale of such product within this state. (5) A retail licensee may sell nonalcoholic products to persons under twenty-one (21) years of age including gift cards.
(1) No retail licensee shall operate its business involving the sale of wine, beer or other alcoholic beverages in connection with the wholesale distribution of wine, beer or other alcoholic beverage nor shall such licensee sell its wine, beer or other alcoholic beverage for purposes of resale.
(2) Notwithstanding subsection (a), beginning July 1, 2014, a retail licensee holding a license issued under § 57-3-204 shall be permitted to sell at retail beer and other malt beverages, subject to the restriction in [former] § 57-3-806(e) [repealed]. No permit or license other than the license issued pursuant to § 57-3-204 shall be required for the licensed retailer to engage in such sales of beer and other malt beverages and the issuer of that license has the authority to enforce any laws related to such sales.
(3) A retail licensee shall be permitted to cash a check or other negotiable instrument for a fee when such service is made available to a person over twenty-one (21) years of age. No postdated check shall be cashed by a licensee under this section.
(4) Beginning July 1, 2014, a retail licensee shall also be permitted to sell at retail items related to or incidental to the use, consumption, dispensing or storage of alcoholic beverages, together with merchandise and supplies related to special events or parties, subject to the restriction in [former] § 57-3-806(e) [repealed]. Such items may include, but are not limited to: (A) Newspapers, magazines, publications, videos and other media related to alcoholic beverages or food; (B) Utensils and supplies related or incidental to the use, consumption, dispensing or storage of alcoholic beverages, including, without limitation, corkscrews, beverage strainers, pourers, flasks, jiggers, stirrers, wine racks, wine refrigerators, wine cellars, decanters, carafes, glassware, ice crushers, bottle openers, can openers, and devices to maximize oxidation in uncorked wine bottles and other items used in connection with the consumption, storage or dispensing of alcoholic beverages; (C) Gift cards, packages and baskets that include alcoholic beverages and nonalcoholic items; (D) Nonalcoholic beverages; (E) Kegs and growlers, whether empty or filled with beer, wine or alcoholic beverages, on the licensed premises; (F) Concentrates and ingredients used in the preparation of mixed alcoholic beverages; (G) Beer and wine-making kits; (H) Products and supplies related to beer and wine-making; (I) Lemons, limes, cherries, olives and other food items used in the preparation or garnishment of alcoholic beverages or mixed alcoholic beverages; (J) Peanuts, pretzels, chips, cheese, crackers, appetizers and other snack foods; (K) Beverage coolers, ice chests and ice in any form; (L) Party supplies, party decorations, gift bags, greeting cards and other items for parties and special events; (M) Articles of clothing and accessories imprinted with advertising, logos, slogans, trademarks or messages related to alcoholic beverages; (N) Combined packages containing multiple alcoholic beverages; (O) Cigarettes, cigars and lighters and other smoking or tobacco related products; (P) Lottery tickets if the retailer's application is approved by the Tennessee education lottery corporation as provided in § 4-51-115(e) ; and (Q) Notwithstanding another law to the contrary, any hemp or hemp-derived cannabinoid product for which all required licenses, permits, or certificates have been obtained authorizing the sale of such product within this state.
(A) Newspapers, magazines, publications, videos and other media related to alcoholic beverages or food;
(B) Utensils and supplies related or incidental to the use, consumption, dispensing or storage of alcoholic beverages, including, without limitation, corkscrews, beverage strainers, pourers, flasks, jiggers, stirrers, wine racks, wine refrigerators, wine cellars, decanters, carafes, glassware, ice crushers, bottle openers, can openers, and devices to maximize oxidation in uncorked wine bottles and other items used in connection with the consumption, storage or dispensing of alcoholic beverages;
(C) Gift cards, packages and baskets that include alcoholic beverages and nonalcoholic items;
(D) Nonalcoholic beverages;
(E) Kegs and growlers, whether empty or filled with beer, wine or alcoholic beverages, on the licensed premises;
(F) Concentrates and ingredients used in the preparation of mixed alcoholic beverages;
(G) Beer and wine-making kits;
(H) Products and supplies related to beer and wine-making;
(I) Lemons, limes, cherries, olives and other food items used in the preparation or garnishment of alcoholic beverages or mixed alcoholic beverages;
(J) Peanuts, pretzels, chips, cheese, crackers, appetizers and other snack foods;
(K) Beverage coolers, ice chests and ice in any form;
(L) Party supplies, party decorations, gift bags, greeting cards and other items for parties and special events;
(M) Articles of clothing and accessories imprinted with advertising, logos, slogans, trademarks or messages related to alcoholic beverages;
(N) Combined packages containing multiple alcoholic beverages;
(O) Cigarettes, cigars and lighters and other smoking or tobacco related products;
(P) Lottery tickets if the retailer's application is approved by the Tennessee education lottery corporation as provided in § 4-51-115(e) ; and
(Q) Notwithstanding another law to the contrary, any hemp or hemp-derived cannabinoid product for which all required licenses, permits, or certificates have been obtained authorizing the sale of such product within this state.
(5) A retail licensee may sell nonalcoholic products to persons under twenty-one (21) years of age including gift cards.
(f) No wholesale or retail store shall be located except on the ground floor, and it may have two (2) main entrances opening on a public street, and such place of business shall have no other entrance for use by the public except as hereafter provided. When a wholesale or retail store is located on the corner of two (2) public streets, such wholesale or retail store may maintain a door opening on each of the public streets. Any sales room adjoining the lobby of a hotel or other public building may maintain an additional door into such lobby so long as same shall be open to the public. Every wholesale and retail store shall be provided with whatever entrances and exits may be required by existing or future municipal ordinances. When the location of a wholesale or retail liquor store is authorized to be located or operated within an established shopping center or shopping mall, and such liquor store cannot and does not have a main entrance or door opening onto a public street, but the main entrance or door would open or front on a shopping center parking area, the commission in its discretion may approve the issuance of a liquor license to cover such location within the shopping center or shopping mall, irrespective of the fact that the main entrance or door does not or would not open onto a public street.
(g) (1) No holder of a license for the sale of alcoholic beverages for wholesale or retail shall sell, deliver, or cause, permit or procure to be sold or delivered, any alcoholic beverages on credit, except that holders of wholesale licenses may sell on not more than ten (10) days' credit. (2) The ten-day period begins from delivery and receipt by the retail licensee. The ten-day period cannot include any day that the wholesaler is not open to make deliveries, receive payment or receive mail. (3) Any suspension of deliveries is a credit decision to be made by a wholesaler and a retail licensee. (4) A wholesaler shall be permitted to communicate with another wholesaler about the account status of any retail licensee. (5) Wholesalers shall advise the commission of any failure of a retailer to comply with this subsection (g). (6) The commission shall be permitted to post the account status of a retail licensee with any wholesaler on its website. (7) This subsection (g) shall not apply to nonalcoholic products.
(1) No holder of a license for the sale of alcoholic beverages for wholesale or retail shall sell, deliver, or cause, permit or procure to be sold or delivered, any alcoholic beverages on credit, except that holders of wholesale licenses may sell on not more than ten (10) days' credit.
(2) The ten-day period begins from delivery and receipt by the retail licensee. The ten-day period cannot include any day that the wholesaler is not open to make deliveries, receive payment or receive mail.
(3) Any suspension of deliveries is a credit decision to be made by a wholesaler and a retail licensee.
(4) A wholesaler shall be permitted to communicate with another wholesaler about the account status of any retail licensee.
(5) Wholesalers shall advise the commission of any failure of a retailer to comply with this subsection (g).
(6) The commission shall be permitted to post the account status of a retail licensee with any wholesaler on its website.
(7) This subsection (g) shall not apply to nonalcoholic products.
(h) (1) No alcoholic beverages shall be sold for consumption on the premises of the seller except as provided in §§ 57-4-101 - 57-4-203, and except as may be permitted by the regulations of the commission for the purpose of conducting consumer educational seminars by a licensee under § 57-3-204 , conducted on the premises of a business licensed pursuant to §§ 57-4-101 - 57-4-203. A wholesaler licensed pursuant to § 57-3-203 or a person holding a permit as a representative or sales person pursuant to § 57-3-203(d) may conduct a sales demonstration on the premises of a licensed retailer and, for such limited purpose, may provide free samples to the employees of a licensed retailer for consumption on such premises. A retail licensee may conduct such a sales demonstration for the persons employed by such licensee holding permits issued pursuant to [former] § 57-3-204(c) [repealed] using products and samples provided by a wholesaler or wholesaler sales representative notwithstanding the absence of the wholesaler or wholesaler sales representative. All such sales demonstrations permitted consumption shall be permitted only for sales, education, and promotional purposes and no one other than a retail licensee, a person holding a permit issued pursuant to [former] § 57-3-204(c) [repealed], a wholesaler or a wholesaler sales representative, or a person holding a permit issued pursuant to § 57-3-202(d) may be present in the room where such demonstration is conducted or may receive a sample for consumption. (2) (A) A retail licensee may offer complimentary samples of the products it sells for tastings to be held on the premises of the retail licensee. Such tastings shall be for sales, education and promotional purposes. No person holding a license under § 57-3-203 shall, directly or indirectly, provide any products, funding, labor, support or reimbursement to a retailer for the consumer tastings authorized by this subdivision (h)(2). (B) (i) The tastings may be held at the option of the retail licensee during the hours the retail licensee is open for business, without filing any notice other than as provided in subdivision (h)(2)(B)(ii) with the commission, and no charge or fee may be assessed by the commission for a retail licensee to offer such complimentary samples. (ii) With its annual renewal, the retail licensee shall notify the commission of its intention to conduct tastings during the year on the premises of the retail licensee. If following the date the license is renewed, the retail licensee makes a determination to offer tastings, the licensee shall notify the commission of its intention to conduct tastings for the remainder of the year. (C) The size of each sample shall be no greater than approximately two ounces (2 oz.) for each wine or high alcohol content beer sample and no greater than approximately one-half ounce (½ oz.) for each liquor sample. It is the responsibility of the retail licensee to limit the number of tastings per customer and the number of products available for tasting. (D) Notwithstanding any law or rule to the contrary, a retail licensee or employee of the licensee may participate in tastings. (E) A server permit is not required for employees conducting tastings if the employee has a permit pursuant to § 57-3-703 ; provided, that every retail licensee which offers tastings is encouraged to ensure that any employee who is involved with the tastings understands that a violation of § 57-3-406(c) and (d) and § 57-3-412 related to retail sales apply equally to those customers who participate in the tastings. (F) A supplier may provide, through licensed wholesalers, products for tasting purposes by a retail licensee. (G) (i) Notwithstanding subdivisions (h)(2)(A)-(F), a manufacturer conducting a consumer tasting at a retail licensee's premises may, in the manufacturer's discretion: (a) Have a licensed wholesaler deliver the product to be tasted directly to the retailer using a zero dollar ($0.00) invoice; or (b) Obtain the product to be tasted from a wholesaler in advance of the tasting and bring the product to the retail licensee's premises to be used exclusively for consumer tastings. (ii) If a manufacturer chooses the option in subdivision (h)(2)(G)(i)( b ), then the applicable wholesaler shall provide a zero dollar ($0.00) invoice for the product requested by the manufacturer. In addition, the manufacturer must notify the wholesaler in writing at least five (5) business days prior to pick up by the manufacturer of any scheduled consumer tasting that includes the date and location of the consumer tastings. If additional tastings occur, each manufacturer shall notify in writing their wholesalers of the date and location of the consumer tasting at least five (5) business days after such tastings. (iii) A manufacturer may acquire a reasonable amount of product for consumer tastings that will occur in the next thirty (30) days. If a manufacturer has leftover product after this thirty-day period, then the manufacturer may email the applicable wholesalers the approximate amount of leftover product, and the manufacturer may possess this overage for another thirty (30) days. This process may continue indefinitely until the extra product is used up or poured out by the manufacturer. (iv) A manufacturer shall not leave excess or leftover product, either sealed or unsealed, with a retail licensee. All product must be taken by the manufacturer to be used by them for future consumer tastings.
(1) No alcoholic beverages shall be sold for consumption on the premises of the seller except as provided in §§ 57-4-101 - 57-4-203, and except as may be permitted by the regulations of the commission for the purpose of conducting consumer educational seminars by a licensee under § 57-3-204 , conducted on the premises of a business licensed pursuant to §§ 57-4-101 - 57-4-203. A wholesaler licensed pursuant to § 57-3-203 or a person holding a permit as a representative or sales person pursuant to § 57-3-203(d) may conduct a sales demonstration on the premises of a licensed retailer and, for such limited purpose, may provide free samples to the employees of a licensed retailer for consumption on such premises. A retail licensee may conduct such a sales demonstration for the persons employed by such licensee holding permits issued pursuant to [former] § 57-3-204(c) [repealed] using products and samples provided by a wholesaler or wholesaler sales representative notwithstanding the absence of the wholesaler or wholesaler sales representative. All such sales demonstrations permitted consumption shall be permitted only for sales, education, and promotional purposes and no one other than a retail licensee, a person holding a permit issued pursuant to [former] § 57-3-204(c) [repealed], a wholesaler or a wholesaler sales representative, or a person holding a permit issued pursuant to § 57-3-202(d) may be present in the room where such demonstration is conducted or may receive a sample for consumption.
(2) (A) A retail licensee may offer complimentary samples of the products it sells for tastings to be held on the premises of the retail licensee. Such tastings shall be for sales, education and promotional purposes. No person holding a license under § 57-3-203 shall, directly or indirectly, provide any products, funding, labor, support or reimbursement to a retailer for the consumer tastings authorized by this subdivision (h)(2). (B) (i) The tastings may be held at the option of the retail licensee during the hours the retail licensee is open for business, without filing any notice other than as provided in subdivision (h)(2)(B)(ii) with the commission, and no charge or fee may be assessed by the commission for a retail licensee to offer such complimentary samples. (ii) With its annual renewal, the retail licensee shall notify the commission of its intention to conduct tastings during the year on the premises of the retail licensee. If following the date the license is renewed, the retail licensee makes a determination to offer tastings, the licensee shall notify the commission of its intention to conduct tastings for the remainder of the year. (C) The size of each sample shall be no greater than approximately two ounces (2 oz.) for each wine or high alcohol content beer sample and no greater than approximately one-half ounce (½ oz.) for each liquor sample. It is the responsibility of the retail licensee to limit the number of tastings per customer and the number of products available for tasting. (D) Notwithstanding any law or rule to the contrary, a retail licensee or employee of the licensee may participate in tastings. (E) A server permit is not required for employees conducting tastings if the employee has a permit pursuant to § 57-3-703 ; provided, that every retail licensee which offers tastings is encouraged to ensure that any employee who is involved with the tastings understands that a violation of § 57-3-406(c) and (d) and § 57-3-412 related to retail sales apply equally to those customers who participate in the tastings. (F) A supplier may provide, through licensed wholesalers, products for tasting purposes by a retail licensee. (G) (i) Notwithstanding subdivisions (h)(2)(A)-(F), a manufacturer conducting a consumer tasting at a retail licensee's premises may, in the manufacturer's discretion: (a) Have a licensed wholesaler deliver the product to be tasted directly to the retailer using a zero dollar ($0.00) invoice; or (b) Obtain the product to be tasted from a wholesaler in advance of the tasting and bring the product to the retail licensee's premises to be used exclusively for consumer tastings. (ii) If a manufacturer chooses the option in subdivision (h)(2)(G)(i)( b ), then the applicable wholesaler shall provide a zero dollar ($0.00) invoice for the product requested by the manufacturer. In addition, the manufacturer must notify the wholesaler in writing at least five (5) business days prior to pick up by the manufacturer of any scheduled consumer tasting that includes the date and location of the consumer tastings. If additional tastings occur, each manufacturer shall notify in writing their wholesalers of the date and location of the consumer tasting at least five (5) business days after such tastings. (iii) A manufacturer may acquire a reasonable amount of product for consumer tastings that will occur in the next thirty (30) days. If a manufacturer has leftover product after this thirty-day period, then the manufacturer may email the applicable wholesalers the approximate amount of leftover product, and the manufacturer may possess this overage for another thirty (30) days. This process may continue indefinitely until the extra product is used up or poured out by the manufacturer. (iv) A manufacturer shall not leave excess or leftover product, either sealed or unsealed, with a retail licensee. All product must be taken by the manufacturer to be used by them for future consumer tastings.
(A) A retail licensee may offer complimentary samples of the products it sells for tastings to be held on the premises of the retail licensee. Such tastings shall be for sales, education and promotional purposes. No person holding a license under § 57-3-203 shall, directly or indirectly, provide any products, funding, labor, support or reimbursement to a retailer for the consumer tastings authorized by this subdivision (h)(2).
(B) (i) The tastings may be held at the option of the retail licensee during the hours the retail licensee is open for business, without filing any notice other than as provided in subdivision (h)(2)(B)(ii) with the commission, and no charge or fee may be assessed by the commission for a retail licensee to offer such complimentary samples. (ii) With its annual renewal, the retail licensee shall notify the commission of its intention to conduct tastings during the year on the premises of the retail licensee. If following the date the license is renewed, the retail licensee makes a determination to offer tastings, the licensee shall notify the commission of its intention to conduct tastings for the remainder of the year.
(i) The tastings may be held at the option of the retail licensee during the hours the retail licensee is open for business, without filing any notice other than as provided in subdivision (h)(2)(B)(ii) with the commission, and no charge or fee may be assessed by the commission for a retail licensee to offer such complimentary samples.
(ii) With its annual renewal, the retail licensee shall notify the commission of its intention to conduct tastings during the year on the premises of the retail licensee. If following the date the license is renewed, the retail licensee makes a determination to offer tastings, the licensee shall notify the commission of its intention to conduct tastings for the remainder of the year.
(C) The size of each sample shall be no greater than approximately two ounces (2 oz.) for each wine or high alcohol content beer sample and no greater than approximately one-half ounce (½ oz.) for each liquor sample. It is the responsibility of the retail licensee to limit the number of tastings per customer and the number of products available for tasting.
(D) Notwithstanding any law or rule to the contrary, a retail licensee or employee of the licensee may participate in tastings.
(E) A server permit is not required for employees conducting tastings if the employee has a permit pursuant to § 57-3-703 ; provided, that every retail licensee which offers tastings is encouraged to ensure that any employee who is involved with the tastings understands that a violation of § 57-3-406(c) and (d) and § 57-3-412 related to retail sales apply equally to those customers who participate in the tastings.
(F) A supplier may provide, through licensed wholesalers, products for tasting purposes by a retail licensee.
(G) (i) Notwithstanding subdivisions (h)(2)(A)-(F), a manufacturer conducting a consumer tasting at a retail licensee's premises may, in the manufacturer's discretion: (a) Have a licensed wholesaler deliver the product to be tasted directly to the retailer using a zero dollar ($0.00) invoice; or (b) Obtain the product to be tasted from a wholesaler in advance of the tasting and bring the product to the retail licensee's premises to be used exclusively for consumer tastings. (ii) If a manufacturer chooses the option in subdivision (h)(2)(G)(i)( b ), then the applicable wholesaler shall provide a zero dollar ($0.00) invoice for the product requested by the manufacturer. In addition, the manufacturer must notify the wholesaler in writing at least five (5) business days prior to pick up by the manufacturer of any scheduled consumer tasting that includes the date and location of the consumer tastings. If additional tastings occur, each manufacturer shall notify in writing their wholesalers of the date and location of the consumer tasting at least five (5) business days after such tastings. (iii) A manufacturer may acquire a reasonable amount of product for consumer tastings that will occur in the next thirty (30) days. If a manufacturer has leftover product after this thirty-day period, then the manufacturer may email the applicable wholesalers the approximate amount of leftover product, and the manufacturer may possess this overage for another thirty (30) days. This process may continue indefinitely until the extra product is used up or poured out by the manufacturer. (iv) A manufacturer shall not leave excess or leftover product, either sealed or unsealed, with a retail licensee. All product must be taken by the manufacturer to be used by them for future consumer tastings.
(i) Notwithstanding subdivisions (h)(2)(A)-(F), a manufacturer conducting a consumer tasting at a retail licensee's premises may, in the manufacturer's discretion: (a) Have a licensed wholesaler deliver the product to be tasted directly to the retailer using a zero dollar ($0.00) invoice; or (b) Obtain the product to be tasted from a wholesaler in advance of the tasting and bring the product to the retail licensee's premises to be used exclusively for consumer tastings.
(a) Have a licensed wholesaler deliver the product to be tasted directly to the retailer using a zero dollar ($0.00) invoice; or
(b) Obtain the product to be tasted from a wholesaler in advance of the tasting and bring the product to the retail licensee's premises to be used exclusively for consumer tastings.
(ii) If a manufacturer chooses the option in subdivision (h)(2)(G)(i)( b ), then the applicable wholesaler shall provide a zero dollar ($0.00) invoice for the product requested by the manufacturer. In addition, the manufacturer must notify the wholesaler in writing at least five (5) business days prior to pick up by the manufacturer of any scheduled consumer tasting that includes the date and location of the consumer tastings. If additional tastings occur, each manufacturer shall notify in writing their wholesalers of the date and location of the consumer tasting at least five (5) business days after such tastings.
(iii) A manufacturer may acquire a reasonable amount of product for consumer tastings that will occur in the next thirty (30) days. If a manufacturer has leftover product after this thirty-day period, then the manufacturer may email the applicable wholesalers the approximate amount of leftover product, and the manufacturer may possess this overage for another thirty (30) days. This process may continue indefinitely until the extra product is used up or poured out by the manufacturer.
(iv) A manufacturer shall not leave excess or leftover product, either sealed or unsealed, with a retail licensee. All product must be taken by the manufacturer to be used by them for future consumer tastings.
(i) No wholesaler may provide a discount or other reduction in price to a retailer or retail food store wine licensee by virtue of the sales made to any other licensee. Any discount or pricing made available to a retailer or retail food store wine licensee shall be made available on the same terms and conditions to other retailers and food store wine licensees within the same jurisdiction. Any quantity discounts provided by wholesalers to any retailer licensed under this chapter or any licensee licensed under chapter 4 of this title cannot be cumulative in nature, but can be based only upon products delivered contemporaneously. No retail food store wine licensee may receive any remuneration, by whatever name, at a corporate office located inside or outside this state that affects the profitability of wine or beer sales in this state, that is not made available to all retail licensees or other retail food stores licensed to sell wine or beer in this state.
Amended by 2024 Tenn. Acts, ch. 940,s 1, eff. 5/6/2024.
Amended by 2021 Tenn. Acts, ch. 437, s 1, eff. 5/13/2021.
Amended by 2017 Tenn. Acts, ch. 443, s 6, eff. 5/25/2017.
Amended by 2014 Tenn. Acts, ch. 554, s 2, eff. 7/1/2014.
Acts 1939, ch. 49, §§ 5, 11, 14; 1945, ch. 48, § 1; 1945, ch. 167, § 6; C. Supp. 1950, §§ 6648.15-6648.17 (Williams, §§ 6648.8, 6648.14, 6648.17); Acts 1955, ch. 347, § 1A; 1967, ch. 211, § 2; 1970, ch. 469, § 2; 1971, ch. 72, § 1; modified; T.C.A. (orig. ed.), § 57-140; Acts 1983, ch. 454, § 1; 1993, ch. 157, § 1; 1997 , ch. 35, § 1; 1998, ch. 765, § 3; 2002, ch. 672, § 2; 2011 , ch. 448, § 19; 2012 , ch. 947, § 2.
Tenn. Code Ann. § 57-3-415 — TN Code / Title 57 / Chapter 3 / Section 57-3-415
Fulfillment house license
Status: in_force

(a) (1) As used in this section, "fulfillment house" means an in- or out-of-state entity, other than a winery, or farm winery, wholesaler, non-resident seller, or common carrier, that takes physical possession of a winery direct shipper's wine and handles logistics, including warehousing, packaging, order fulfillment, or shipping services on behalf of a winery direct shipper licensee for products that the winery direct shipper is eligible to ship to residents in this state. (2) The winery direct shipper and the fulfillment house may transport the wine to the fulfillment house. It is lawful for a common carrier to transport the wine to a fulfillment house. Section 57-3-207(i) is not applicable to wine transported to a fulfillment house. (b) A person, firm, limited liability company, or corporation may apply to the commission to obtain a fulfillment house license where the fulfillment house is involved in the shipping of wine to residents of this state and pay an application fee of three hundred dollars ($300) and an annual license fee of three hundred dollars ($300) and an additional fifty dollars ($50.00) for each separate location where it takes physical possession of wine before making or causing a shipment into, within, or outside of this state. A fulfillment house license must be renewed annually. A fulfillment house licensee may only provide services related to shipment of wine produced by and belonging to a winery direct shipper licensee into or within this state according to the requirements of this section. A fulfillment house licensee shall not provide services related to shipment of wine into or within this state to a retailer licensed under this title, an entity licensed as an out-of-state retailer, or a person or entity that is not a winery direct shipper licensed pursuant to § 57-3-217 . A fulfillment house license granted pursuant to this section authorizes the licensee to only ship wine into or within this state for winery direct shippers licensed pursuant to § 57-3-217 . Any other activity into or within this state is unlawful. (c) A fulfillment house license applicant shall provide the following information as part of its application: (1) All locations where it takes physical possession of wine for shipment into or within this state; (2) An executed consent to jurisdiction and venue of all actions brought before the commission, a state agency, or the courts of this state, such that all hearings, appeals, and other matters relating to the license of the fulfillment house must be held in this state; (3) A written acknowledgement that it will contract only with common carriers that agree that the delivery of wine in this state will be by face-to-face delivery, that deliveries will only be made to individuals who are at least twenty-one (21) years of age, and that the recipient must sign upon receipt of the wine; and (4) Any other provisions as required by the commission. (d) A fulfillment house licensee shall ensure that all containers of wine shipped directly to an individual in this state are labeled with the conspicuous words "SIGNATURE OF PERSON AGE 21 OR OLDER REQUIRED FOR DELIVERY", and the name, address, and license number of the fulfillment house licensee. (e) All containers of wine shipped directly to a resident of this state must be shipped using a common carrier. A fulfillment house licensee shall not ship wine into or within this state from, or on behalf of: (1) Unlicensed direct shippers, either in-state or out-of-state; (2) A retailer licensed under this title; (3) An out-of-state retailer; or (4) A person or entity that is not a winery direct shipper licensed pursuant to § 57-3-217 . (f) A fulfillment house licensee shall verify that each winery direct shipper is licensed to ship to consumers in this state before making a shipment, and failure to verify proper licensure subjects a fulfillment house licensee to a fine, suspension, or revocation in accordance with subsection (h). (g) A fulfillment house licensee shall maintain records for a minimum of three (3) years from the shipment date, which must include: (1) The name, address, and license number of the licensed winery direct shipper; (2) The name of the common carrier; (3) The date of each shipment; (4) The carrier tracking number; (5) The quantity, by weight or other means, and product type of wine shipped; and (6) The name and address of the recipient. (h) A fulfillment house licensee shall submit these records as a report to the commission quarterly in the manner, form, and format prescribed by the commission. Any fulfillment house licensee found in violation of this section is subject to fines, suspension, or revocation of its license in accordance with this title and shall reimburse the commission for all costs incurred in connection with the investigation and administrative action, including the out-of-pocket costs and reasonable personnel costs. The commission is empowered to make such regulations, investigations, and audits as it may deem necessary for enforcing and preventing violations of this section. (i) The requirements for a common carrier under § 57-3-217 equally apply to wine obtained from a fulfillment house licensee on behalf of a winery direct shipper to the same extent as if the common carrier obtained the wine from the winery direct shipper licensee. Added by 2021 Tenn. Acts, ch. 331, s 4, eff. 1/1/2022.
(a) (1) As used in this section, "fulfillment house" means an in- or out-of-state entity, other than a winery, or farm winery, wholesaler, non-resident seller, or common carrier, that takes physical possession of a winery direct shipper's wine and handles logistics, including warehousing, packaging, order fulfillment, or shipping services on behalf of a winery direct shipper licensee for products that the winery direct shipper is eligible to ship to residents in this state. (2) The winery direct shipper and the fulfillment house may transport the wine to the fulfillment house. It is lawful for a common carrier to transport the wine to a fulfillment house. Section 57-3-207(i) is not applicable to wine transported to a fulfillment house.
(1) As used in this section, "fulfillment house" means an in- or out-of-state entity, other than a winery, or farm winery, wholesaler, non-resident seller, or common carrier, that takes physical possession of a winery direct shipper's wine and handles logistics, including warehousing, packaging, order fulfillment, or shipping services on behalf of a winery direct shipper licensee for products that the winery direct shipper is eligible to ship to residents in this state.
(2) The winery direct shipper and the fulfillment house may transport the wine to the fulfillment house. It is lawful for a common carrier to transport the wine to a fulfillment house. Section 57-3-207(i) is not applicable to wine transported to a fulfillment house.
(b) A person, firm, limited liability company, or corporation may apply to the commission to obtain a fulfillment house license where the fulfillment house is involved in the shipping of wine to residents of this state and pay an application fee of three hundred dollars ($300) and an annual license fee of three hundred dollars ($300) and an additional fifty dollars ($50.00) for each separate location where it takes physical possession of wine before making or causing a shipment into, within, or outside of this state. A fulfillment house license must be renewed annually. A fulfillment house licensee may only provide services related to shipment of wine produced by and belonging to a winery direct shipper licensee into or within this state according to the requirements of this section. A fulfillment house licensee shall not provide services related to shipment of wine into or within this state to a retailer licensed under this title, an entity licensed as an out-of-state retailer, or a person or entity that is not a winery direct shipper licensed pursuant to § 57-3-217 . A fulfillment house license granted pursuant to this section authorizes the licensee to only ship wine into or within this state for winery direct shippers licensed pursuant to § 57-3-217 . Any other activity into or within this state is unlawful.
(c) A fulfillment house license applicant shall provide the following information as part of its application: (1) All locations where it takes physical possession of wine for shipment into or within this state; (2) An executed consent to jurisdiction and venue of all actions brought before the commission, a state agency, or the courts of this state, such that all hearings, appeals, and other matters relating to the license of the fulfillment house must be held in this state; (3) A written acknowledgement that it will contract only with common carriers that agree that the delivery of wine in this state will be by face-to-face delivery, that deliveries will only be made to individuals who are at least twenty-one (21) years of age, and that the recipient must sign upon receipt of the wine; and (4) Any other provisions as required by the commission.
(1) All locations where it takes physical possession of wine for shipment into or within this state;
(2) An executed consent to jurisdiction and venue of all actions brought before the commission, a state agency, or the courts of this state, such that all hearings, appeals, and other matters relating to the license of the fulfillment house must be held in this state;
(3) A written acknowledgement that it will contract only with common carriers that agree that the delivery of wine in this state will be by face-to-face delivery, that deliveries will only be made to individuals who are at least twenty-one (21) years of age, and that the recipient must sign upon receipt of the wine; and
(4) Any other provisions as required by the commission.
(d) A fulfillment house licensee shall ensure that all containers of wine shipped directly to an individual in this state are labeled with the conspicuous words "SIGNATURE OF PERSON AGE 21 OR OLDER REQUIRED FOR DELIVERY", and the name, address, and license number of the fulfillment house licensee.
(e) All containers of wine shipped directly to a resident of this state must be shipped using a common carrier. A fulfillment house licensee shall not ship wine into or within this state from, or on behalf of: (1) Unlicensed direct shippers, either in-state or out-of-state; (2) A retailer licensed under this title; (3) An out-of-state retailer; or (4) A person or entity that is not a winery direct shipper licensed pursuant to § 57-3-217 .
(1) Unlicensed direct shippers, either in-state or out-of-state;
(2) A retailer licensed under this title;
(3) An out-of-state retailer; or
(4) A person or entity that is not a winery direct shipper licensed pursuant to § 57-3-217 .
(f) A fulfillment house licensee shall verify that each winery direct shipper is licensed to ship to consumers in this state before making a shipment, and failure to verify proper licensure subjects a fulfillment house licensee to a fine, suspension, or revocation in accordance with subsection (h).
(g) A fulfillment house licensee shall maintain records for a minimum of three (3) years from the shipment date, which must include: (1) The name, address, and license number of the licensed winery direct shipper; (2) The name of the common carrier; (3) The date of each shipment; (4) The carrier tracking number; (5) The quantity, by weight or other means, and product type of wine shipped; and (6) The name and address of the recipient.
(1) The name, address, and license number of the licensed winery direct shipper;
(2) The name of the common carrier;
(3) The date of each shipment;
(4) The carrier tracking number;
(5) The quantity, by weight or other means, and product type of wine shipped; and
(6) The name and address of the recipient.
(h) A fulfillment house licensee shall submit these records as a report to the commission quarterly in the manner, form, and format prescribed by the commission. Any fulfillment house licensee found in violation of this section is subject to fines, suspension, or revocation of its license in accordance with this title and shall reimburse the commission for all costs incurred in connection with the investigation and administrative action, including the out-of-pocket costs and reasonable personnel costs. The commission is empowered to make such regulations, investigations, and audits as it may deem necessary for enforcing and preventing violations of this section.
(i) The requirements for a common carrier under § 57-3-217 equally apply to wine obtained from a fulfillment house licensee on behalf of a winery direct shipper to the same extent as if the common carrier obtained the wine from the winery direct shipper licensee.
Added by 2021 Tenn. Acts, ch. 331, s 4, eff. 1/1/2022.
Tenn. Code Ann. § 57-1-206 — TN Code / Title 57 / Chapter 1 / Section 57-1-206
Biennial report to prevent underage drinking, drunk driving, and other harmful uses of alcohol - Report requirements
Status: in_force

(a) Beginning in 2025, the commission shall submit to the members of the general assembly, by February 15 of each odd-numbered year, a biennial report to prevent underage drinking, drunk driving, and other harmful uses of alcohol. (b) The report must include, but is not limited to, data collected relating to: (1) Current statistics of violations issued by the commission; (2) Current levels of alcohol-related traffic crashes and boating crashes resulting in death, injury, and property loss within this state; (3) Current levels of alcohol-related arrests for driving or boating under the influence within this state; (4) Current levels of alcohol recovery and treatment admissions within this state; (5) Current levels of alcohol-related hospitalizations and alcohol-related emergency room visits within this state; (6) Current levels of alcohol-attributable deaths within this state; (7) Current programs conducted by state agencies to prevent underage alcohol consumption and other high-risk alcohol consumption within this state; and (8) Prevention recommendations for underage alcohol consumption and other high-risk alcohol consumption. (c) All appropriate state departments and agencies shall assist the commission with the report required by this section. (d) The commission shall produce the report required in this section within the existing resources of the commission. (e) Upon request, copies of the report must be provided to other public officials, public agencies, and the public. Electronic copies must be distributed to all members of the general assembly. Added by 2024 Tenn. Acts, ch. 961,s 4, eff. 5/9/2024.
(a) Beginning in 2025, the commission shall submit to the members of the general assembly, by February 15 of each odd-numbered year, a biennial report to prevent underage drinking, drunk driving, and other harmful uses of alcohol.
(b) The report must include, but is not limited to, data collected relating to: (1) Current statistics of violations issued by the commission; (2) Current levels of alcohol-related traffic crashes and boating crashes resulting in death, injury, and property loss within this state; (3) Current levels of alcohol-related arrests for driving or boating under the influence within this state; (4) Current levels of alcohol recovery and treatment admissions within this state; (5) Current levels of alcohol-related hospitalizations and alcohol-related emergency room visits within this state; (6) Current levels of alcohol-attributable deaths within this state; (7) Current programs conducted by state agencies to prevent underage alcohol consumption and other high-risk alcohol consumption within this state; and (8) Prevention recommendations for underage alcohol consumption and other high-risk alcohol consumption.
(1) Current statistics of violations issued by the commission;
(2) Current levels of alcohol-related traffic crashes and boating crashes resulting in death, injury, and property loss within this state;
(3) Current levels of alcohol-related arrests for driving or boating under the influence within this state;
(4) Current levels of alcohol recovery and treatment admissions within this state;
(5) Current levels of alcohol-related hospitalizations and alcohol-related emergency room visits within this state;
(6) Current levels of alcohol-attributable deaths within this state;
(7) Current programs conducted by state agencies to prevent underage alcohol consumption and other high-risk alcohol consumption within this state; and
(8) Prevention recommendations for underage alcohol consumption and other high-risk alcohol consumption.
(c) All appropriate state departments and agencies shall assist the commission with the report required by this section.
(d) The commission shall produce the report required in this section within the existing resources of the commission.
(e) Upon request, copies of the report must be provided to other public officials, public agencies, and the public. Electronic copies must be distributed to all members of the general assembly.
Added by 2024 Tenn. Acts, ch. 961,s 4, eff. 5/9/2024.
Tenn. Code Ann. § 57-5-103 — TN Code / Title 57 / Chapter 5 / Section 57-5-103
Permit from county or city required - Online sale for curbside pickup - Classification of counties - Purchases of beer "for resale."
Status: in_force

(a) (1) It is unlawful to operate any business engaged in the sale, distribution, manufacture, or storage of beer without a permit issued by the county or city where such business is located under the authority herein delegated to counties and cities. (2) Permits shall be issued to the owner of the business or other entity responsible for the premises for which the permit is sought, whether a person, firm, corporation, joint-stock company, syndicate, association, or local governmental entity where the governing body has authorized such sales of beer. (3) A permit shall be valid: (A) Only for the owner to whom the permit is issued and cannot be transferred to another owner. If the owner is a corporation, a change in ownership shall occur when control of at least fifty percent (50%) of the stock of the corporation is transferred to a new owner; (B) Only for a single location, except as provided in subdivision (a)(4), and cannot be transferred to another location. A permit shall be valid for all decks, patios and other outdoor serving areas that are contiguous to the exterior of the building in which the business is located and that are operated by the business; and (C) Only for a business operating under the name identified in the permit application. (4) Where an owner operates two (2) or more restaurants or other businesses within the same building, the owner may in the owner's discretion operate some or all such businesses pursuant to the same permit. (5) A business can sell beer for both on-premises and off-premises consumption at the same location pursuant to one (1) permit. (6) A permit holder must return a permit to the county or city that issued it within fifteen (15) days of termination of the business, change in ownership, relocation of the business or change of the business's name; provided, that notwithstanding the failure to return a beer permit, a permit shall expire on termination of the business, change in ownership, relocation of the business or change of the business's name. (7) In the case of beer wholesalers, as defined in § 57-6-102 , no county or city shall require a permit from a wholesaler unless such wholesaler operates a warehouse in such county or city. (8) Any person, firm, corporation, joint-stock company, syndicate, or association engaged in the sale, distribution, or manufacture of beer without the permit required by this part commits a Class A misdemeanor. (9) Nothing in this chapter shall be construed as granting counties or cities the authority to require the periodic renewal of beer permits. (10) After July 1, 2015, a city or county shall not issue a permit under this chapter unless the applicant has been a citizen or lawful resident of the United States for not less than one (1) year immediately preceding the date upon which the application is made to the city or county. (11) A permit holder may sell beer online for curbside pickup at the permit holder's location. Purchased beer must be delivered to the customer's vehicle, and the vehicle must be located within a paved parking area adjacent to the place of business. Beer sold through an online curbside pickup service must be pulled from the inventory located at the permitted location of the retailer providing the service and may not be pulled from the inventory of another retailer or permitted location. Any employee bringing beer to a vehicle for online curbside pickup must confirm the individual receiving the beer is at least twenty-one (21) years of age. (b) For the purpose of licensing, regulating and controlling the transportation, storage, sale, distribution, possession, receipt and/or manufacture of beer pursuant to this chapter, the counties of the state shall be classified in two (2) categories, one (1) of which is hereby designated Class A counties consisting of those counties not governed by metropolitan governments as defined in § 7-2-101 , and the other category is hereby designated Class B counties consisting of those counties governed by metropolitan governments as defined in § 7-2-101 . (c) When either "county" or "counties" is used in this chapter, it means counties generally without reference to the classification of counties provided for in this section, and the use of "county" or "counties" shall cause the provision limited by the word "county" or "counties" to apply equally to Class A counties and to Class B counties. When "county legislative body" or "county legislative bodies" is used in this chapter, it means "metropolitan council" or "metropolitan councils" when applicable to Class B counties. (d) (1) It is unlawful for any person to sell, distribute or manufacture beer without having a valid certificate indicating that purchases of beer by that person are "for resale" as that term is used in § 67-6-102(83)(A) . (2) Within ten (10) days after being issued a permit to sell, distribute or manufacture beer, a person shall file with the county or city issuing the permit and with each person from whom the person buys beer a copy of a valid certificate indicating that the purchases of beer are "for resale" as that term is used in § 67-6-102(83)(A) , and shall subsequently maintain at all times a valid resale certificate on file with the county or city issuing the permit and with each person from whom the person buys beer. (e) A city or county is authorized to seek criminal history background or fingerprint checks on applicants. Criminal background checks may include fingerprint checks against state and federal criminal records maintained by the Tennessee bureau of investigation and the federal bureau of investigation. The Tennessee bureau of investigation is authorized to assess fees for the searches in accordance with the fee schedule established by the bureaus. (f) Notwithstanding any law to the contrary, no city or county shall deny the issuance or renewal of a permit upon the basis that the lease between the business and its municipal landlord includes a provision whereby gross sales, which may include or exclude liquor sales, are considered in the determination of a percentage rent or other rent calculation provision. Amended by 2020 Tenn. Acts, ch. 704, s 1, eff. 6/22/2020. Amended by 2019 Tenn. Acts, ch. 377, s 3, eff. 5/10/2019. Amended by 2018 Tenn. Acts, ch. 944, s 3, eff. 5/15/2018. Amended by 2015 Tenn. Acts, ch. 29, s 1, eff. 7/1/2015. Amended by 2014 Tenn. Acts, ch. 754, s 1, eff. 4/22/2014. Acts 1933, ch. 69, § 9c; C. Supp. 1950, § 1191.12; Acts 1963, ch. 76, § 1; 1965, ch. 321, § 1; 1974, ch. 478, § 2; impl. am. Acts 1978, ch. 934, §§ 7, 36; T.C.A. (orig. ed.), § 57-204; Acts 1983, ch. 386, § 1; 1987, ch. 254, § 1; 1991, ch. 424, § 1; 1993, ch. 297, § 4; T.C.A., § 57-5-104 ; Acts 1996, ch. 641, § 2; 2009 , ch. 314, § 1; 2010 , ch. 1002, § 1.
(a) (1) It is unlawful to operate any business engaged in the sale, distribution, manufacture, or storage of beer without a permit issued by the county or city where such business is located under the authority herein delegated to counties and cities. (2) Permits shall be issued to the owner of the business or other entity responsible for the premises for which the permit is sought, whether a person, firm, corporation, joint-stock company, syndicate, association, or local governmental entity where the governing body has authorized such sales of beer. (3) A permit shall be valid: (A) Only for the owner to whom the permit is issued and cannot be transferred to another owner. If the owner is a corporation, a change in ownership shall occur when control of at least fifty percent (50%) of the stock of the corporation is transferred to a new owner; (B) Only for a single location, except as provided in subdivision (a)(4), and cannot be transferred to another location. A permit shall be valid for all decks, patios and other outdoor serving areas that are contiguous to the exterior of the building in which the business is located and that are operated by the business; and (C) Only for a business operating under the name identified in the permit application. (4) Where an owner operates two (2) or more restaurants or other businesses within the same building, the owner may in the owner's discretion operate some or all such businesses pursuant to the same permit. (5) A business can sell beer for both on-premises and off-premises consumption at the same location pursuant to one (1) permit. (6) A permit holder must return a permit to the county or city that issued it within fifteen (15) days of termination of the business, change in ownership, relocation of the business or change of the business's name; provided, that notwithstanding the failure to return a beer permit, a permit shall expire on termination of the business, change in ownership, relocation of the business or change of the business's name. (7) In the case of beer wholesalers, as defined in § 57-6-102 , no county or city shall require a permit from a wholesaler unless such wholesaler operates a warehouse in such county or city. (8) Any person, firm, corporation, joint-stock company, syndicate, or association engaged in the sale, distribution, or manufacture of beer without the permit required by this part commits a Class A misdemeanor. (9) Nothing in this chapter shall be construed as granting counties or cities the authority to require the periodic renewal of beer permits. (10) After July 1, 2015, a city or county shall not issue a permit under this chapter unless the applicant has been a citizen or lawful resident of the United States for not less than one (1) year immediately preceding the date upon which the application is made to the city or county. (11) A permit holder may sell beer online for curbside pickup at the permit holder's location. Purchased beer must be delivered to the customer's vehicle, and the vehicle must be located within a paved parking area adjacent to the place of business. Beer sold through an online curbside pickup service must be pulled from the inventory located at the permitted location of the retailer providing the service and may not be pulled from the inventory of another retailer or permitted location. Any employee bringing beer to a vehicle for online curbside pickup must confirm the individual receiving the beer is at least twenty-one (21) years of age.
(1) It is unlawful to operate any business engaged in the sale, distribution, manufacture, or storage of beer without a permit issued by the county or city where such business is located under the authority herein delegated to counties and cities.
(2) Permits shall be issued to the owner of the business or other entity responsible for the premises for which the permit is sought, whether a person, firm, corporation, joint-stock company, syndicate, association, or local governmental entity where the governing body has authorized such sales of beer.
(3) A permit shall be valid: (A) Only for the owner to whom the permit is issued and cannot be transferred to another owner. If the owner is a corporation, a change in ownership shall occur when control of at least fifty percent (50%) of the stock of the corporation is transferred to a new owner; (B) Only for a single location, except as provided in subdivision (a)(4), and cannot be transferred to another location. A permit shall be valid for all decks, patios and other outdoor serving areas that are contiguous to the exterior of the building in which the business is located and that are operated by the business; and (C) Only for a business operating under the name identified in the permit application.
(A) Only for the owner to whom the permit is issued and cannot be transferred to another owner. If the owner is a corporation, a change in ownership shall occur when control of at least fifty percent (50%) of the stock of the corporation is transferred to a new owner;
(B) Only for a single location, except as provided in subdivision (a)(4), and cannot be transferred to another location. A permit shall be valid for all decks, patios and other outdoor serving areas that are contiguous to the exterior of the building in which the business is located and that are operated by the business; and
(C) Only for a business operating under the name identified in the permit application.
(4) Where an owner operates two (2) or more restaurants or other businesses within the same building, the owner may in the owner's discretion operate some or all such businesses pursuant to the same permit.
(5) A business can sell beer for both on-premises and off-premises consumption at the same location pursuant to one (1) permit.
(6) A permit holder must return a permit to the county or city that issued it within fifteen (15) days of termination of the business, change in ownership, relocation of the business or change of the business's name; provided, that notwithstanding the failure to return a beer permit, a permit shall expire on termination of the business, change in ownership, relocation of the business or change of the business's name.
(7) In the case of beer wholesalers, as defined in § 57-6-102 , no county or city shall require a permit from a wholesaler unless such wholesaler operates a warehouse in such county or city.
(8) Any person, firm, corporation, joint-stock company, syndicate, or association engaged in the sale, distribution, or manufacture of beer without the permit required by this part commits a Class A misdemeanor.
(9) Nothing in this chapter shall be construed as granting counties or cities the authority to require the periodic renewal of beer permits.
(10) After July 1, 2015, a city or county shall not issue a permit under this chapter unless the applicant has been a citizen or lawful resident of the United States for not less than one (1) year immediately preceding the date upon which the application is made to the city or county.
(11) A permit holder may sell beer online for curbside pickup at the permit holder's location. Purchased beer must be delivered to the customer's vehicle, and the vehicle must be located within a paved parking area adjacent to the place of business. Beer sold through an online curbside pickup service must be pulled from the inventory located at the permitted location of the retailer providing the service and may not be pulled from the inventory of another retailer or permitted location. Any employee bringing beer to a vehicle for online curbside pickup must confirm the individual receiving the beer is at least twenty-one (21) years of age.
(b) For the purpose of licensing, regulating and controlling the transportation, storage, sale, distribution, possession, receipt and/or manufacture of beer pursuant to this chapter, the counties of the state shall be classified in two (2) categories, one (1) of which is hereby designated Class A counties consisting of those counties not governed by metropolitan governments as defined in § 7-2-101 , and the other category is hereby designated Class B counties consisting of those counties governed by metropolitan governments as defined in § 7-2-101 .
(c) When either "county" or "counties" is used in this chapter, it means counties generally without reference to the classification of counties provided for in this section, and the use of "county" or "counties" shall cause the provision limited by the word "county" or "counties" to apply equally to Class A counties and to Class B counties. When "county legislative body" or "county legislative bodies" is used in this chapter, it means "metropolitan council" or "metropolitan councils" when applicable to Class B counties.
(d) (1) It is unlawful for any person to sell, distribute or manufacture beer without having a valid certificate indicating that purchases of beer by that person are "for resale" as that term is used in § 67-6-102(83)(A) . (2) Within ten (10) days after being issued a permit to sell, distribute or manufacture beer, a person shall file with the county or city issuing the permit and with each person from whom the person buys beer a copy of a valid certificate indicating that the purchases of beer are "for resale" as that term is used in § 67-6-102(83)(A) , and shall subsequently maintain at all times a valid resale certificate on file with the county or city issuing the permit and with each person from whom the person buys beer.
(1) It is unlawful for any person to sell, distribute or manufacture beer without having a valid certificate indicating that purchases of beer by that person are "for resale" as that term is used in § 67-6-102(83)(A) .
(2) Within ten (10) days after being issued a permit to sell, distribute or manufacture beer, a person shall file with the county or city issuing the permit and with each person from whom the person buys beer a copy of a valid certificate indicating that the purchases of beer are "for resale" as that term is used in § 67-6-102(83)(A) , and shall subsequently maintain at all times a valid resale certificate on file with the county or city issuing the permit and with each person from whom the person buys beer.
(e) A city or county is authorized to seek criminal history background or fingerprint checks on applicants. Criminal background checks may include fingerprint checks against state and federal criminal records maintained by the Tennessee bureau of investigation and the federal bureau of investigation. The Tennessee bureau of investigation is authorized to assess fees for the searches in accordance with the fee schedule established by the bureaus.
(f) Notwithstanding any law to the contrary, no city or county shall deny the issuance or renewal of a permit upon the basis that the lease between the business and its municipal landlord includes a provision whereby gross sales, which may include or exclude liquor sales, are considered in the determination of a percentage rent or other rent calculation provision.
Amended by 2020 Tenn. Acts, ch. 704, s 1, eff. 6/22/2020.
Amended by 2019 Tenn. Acts, ch. 377, s 3, eff. 5/10/2019.
Amended by 2018 Tenn. Acts, ch. 944, s 3, eff. 5/15/2018.
Amended by 2015 Tenn. Acts, ch. 29, s 1, eff. 7/1/2015.
Amended by 2014 Tenn. Acts, ch. 754, s 1, eff. 4/22/2014.
Acts 1933, ch. 69, § 9c; C. Supp. 1950, § 1191.12; Acts 1963, ch. 76, § 1; 1965, ch. 321, § 1; 1974, ch. 478, § 2; impl. am. Acts 1978, ch. 934, §§ 7, 36; T.C.A. (orig. ed.), § 57-204; Acts 1983, ch. 386, § 1; 1987, ch. 254, § 1; 1991, ch. 424, § 1; 1993, ch. 297, § 4; T.C.A., § 57-5-104 ; Acts 1996, ch. 641, § 2; 2009 , ch. 314, § 1; 2010 , ch. 1002, § 1.
Tenn. Code Ann. § 57-3-1004 — TN Code / Title 57 / Chapter 3 / Section 57-3-1004
Persons assisting or aiding in violation - Penalty
Status: in_force

Any individual who, as a director, officer, partner, member, or agent of any person violating this part, assists or aids, directly or indirectly, in such violation, equally with the person for whom such individual acts, commits a Class C misdemeanor. Added by 2018 Tenn. Acts, ch. 783,s 6, eff. 4/20/2018.
Any individual who, as a director, officer, partner, member, or agent of any person violating this part, assists or aids, directly or indirectly, in such violation, equally with the person for whom such individual acts, commits a Class C misdemeanor.
Added by 2018 Tenn. Acts, ch. 783,s 6, eff. 4/20/2018.
Tenn. Code Ann. § 57-5-606 — TN Code / Title 57 / Chapter 5 / Section 57-5-606
Qualification for responsible vendor status
Status: in_force

In order to qualify for responsible vendor status, the vendor shall comply with the following requirements: (1) (A) Require each and every clerk to successfully complete a responsible vendor training program within sixty-one (61) days of commencing employment, whether the employment is for the first time, after rehiring, or for a different responsible vendor. Responsible vendors shall, prior to employing a clerk, verify with the commission that the clerk is eligible for certification; (B) Each clerk shall successfully complete the responsible vendor training program and after doing so, receive a certificate of completion from the program trainer in a format that is in accordance with rules promulgated by the commission. The training program shall be a minimum of one (1) hour of instruction. A clerk shall not be authorized to sell beer for off-premise consumption, unless the clerk has successfully completed the responsible vendor training program and has received a certificate of completion or is within sixty-one (61) days of the date of hire. The original certificate of completion shall be maintained by the responsible vendor employing the clerk. The responsible vendor shall provide the commission with the names and other identifying information as required by the commission, of certified clerks within twenty-one (21) days of the date of training; and (C) Each clerk shall be issued a name badge by the responsible vendor employer. The name badge must have the clerk's first name clearly visible. Clerks shall wear this name badge at all times during which they are on duty; (2) Provide instruction for its employees approved by the commission, which shall include the following: (A) Laws regarding the sale of beer for off-premise consumption; (B) Methods of recognizing and dealing with underage customers; and (C) Procedures for refusing to sell beer to underage customers and for dealing with intoxicated customers; (3) Require all certified clerks to attend at least one (1) annual meeting, at which the responsible vendor shall disseminate updated information prescribed by the commission and the responsible vendor policies and procedures related thereto. In order for the clerk's certification to remain valid, the clerk must attend an annual meeting each year following the clerk's original certification; and the responsible vendor must keep records thereof. Responsible vendors shall notify the commission if a certified clerk does not attend an annual meeting as required by this section. The commission may, at any time, require responsible vendors to disseminate to certified clerks information from the commission that is related to changes in state law or commission rules; and (4) Maintain employment and all responsible vendor training records of all clerks. Amended by 2019 Tenn. Acts, ch. 136,s 3, eff. 8/1/2019. Acts 2006, ch. 864, § 7; 2008, ch. 877, § 2.
In order to qualify for responsible vendor status, the vendor shall comply with the following requirements:
(1) (A) Require each and every clerk to successfully complete a responsible vendor training program within sixty-one (61) days of commencing employment, whether the employment is for the first time, after rehiring, or for a different responsible vendor. Responsible vendors shall, prior to employing a clerk, verify with the commission that the clerk is eligible for certification; (B) Each clerk shall successfully complete the responsible vendor training program and after doing so, receive a certificate of completion from the program trainer in a format that is in accordance with rules promulgated by the commission. The training program shall be a minimum of one (1) hour of instruction. A clerk shall not be authorized to sell beer for off-premise consumption, unless the clerk has successfully completed the responsible vendor training program and has received a certificate of completion or is within sixty-one (61) days of the date of hire. The original certificate of completion shall be maintained by the responsible vendor employing the clerk. The responsible vendor shall provide the commission with the names and other identifying information as required by the commission, of certified clerks within twenty-one (21) days of the date of training; and (C) Each clerk shall be issued a name badge by the responsible vendor employer. The name badge must have the clerk's first name clearly visible. Clerks shall wear this name badge at all times during which they are on duty;
(A) Require each and every clerk to successfully complete a responsible vendor training program within sixty-one (61) days of commencing employment, whether the employment is for the first time, after rehiring, or for a different responsible vendor. Responsible vendors shall, prior to employing a clerk, verify with the commission that the clerk is eligible for certification;
(B) Each clerk shall successfully complete the responsible vendor training program and after doing so, receive a certificate of completion from the program trainer in a format that is in accordance with rules promulgated by the commission. The training program shall be a minimum of one (1) hour of instruction. A clerk shall not be authorized to sell beer for off-premise consumption, unless the clerk has successfully completed the responsible vendor training program and has received a certificate of completion or is within sixty-one (61) days of the date of hire. The original certificate of completion shall be maintained by the responsible vendor employing the clerk. The responsible vendor shall provide the commission with the names and other identifying information as required by the commission, of certified clerks within twenty-one (21) days of the date of training; and
(C) Each clerk shall be issued a name badge by the responsible vendor employer. The name badge must have the clerk's first name clearly visible. Clerks shall wear this name badge at all times during which they are on duty;
(2) Provide instruction for its employees approved by the commission, which shall include the following: (A) Laws regarding the sale of beer for off-premise consumption; (B) Methods of recognizing and dealing with underage customers; and (C) Procedures for refusing to sell beer to underage customers and for dealing with intoxicated customers;
(A) Laws regarding the sale of beer for off-premise consumption;
(B) Methods of recognizing and dealing with underage customers; and
(C) Procedures for refusing to sell beer to underage customers and for dealing with intoxicated customers;
(3) Require all certified clerks to attend at least one (1) annual meeting, at which the responsible vendor shall disseminate updated information prescribed by the commission and the responsible vendor policies and procedures related thereto. In order for the clerk's certification to remain valid, the clerk must attend an annual meeting each year following the clerk's original certification; and the responsible vendor must keep records thereof. Responsible vendors shall notify the commission if a certified clerk does not attend an annual meeting as required by this section. The commission may, at any time, require responsible vendors to disseminate to certified clerks information from the commission that is related to changes in state law or commission rules; and
(4) Maintain employment and all responsible vendor training records of all clerks.
Amended by 2019 Tenn. Acts, ch. 136,s 3, eff. 8/1/2019.
Acts 2006, ch. 864, § 7; 2008, ch. 877, § 2.
Tenn. Code Ann. § 57-3-408 — TN Code / Title 57 / Chapter 3 / Section 57-3-408
Actions by attorney general to recover fees, taxes, penalties
Status: in_force

Whenever any person licensed under this chapter fails to account for or pay over any license fees or taxes or levies by this chapter provided, or defaults in any of the conditions of the person's bond, or whenever any person, whether licensed hereunder or unlicensed, shall have failed or refused to pay any obligations or liability, forfeiture or penalty imposed by this chapter, the commission shall report the same to the attorney general and reporter, who shall immediately institute the necessary action for the recovery of any such license fee, tax, levy, or any sum due the state of Tennessee by reason of any of this chapter, and the district attorney general of the circuit is ordered and directed to assist the attorney general and reporter whenever required. Acts 1939, ch. 49, § 14; C. Supp. 1950, § 6648.17; impl. am. Acts 1963, ch. 257, § 42; T.C.A. (orig. ed.), § 57-144.
Whenever any person licensed under this chapter fails to account for or pay over any license fees or taxes or levies by this chapter provided, or defaults in any of the conditions of the person's bond, or whenever any person, whether licensed hereunder or unlicensed, shall have failed or refused to pay any obligations or liability, forfeiture or penalty imposed by this chapter, the commission shall report the same to the attorney general and reporter, who shall immediately institute the necessary action for the recovery of any such license fee, tax, levy, or any sum due the state of Tennessee by reason of any of this chapter, and the district attorney general of the circuit is ordered and directed to assist the attorney general and reporter whenever required.
Acts 1939, ch. 49, § 14; C. Supp. 1950, § 6648.17; impl. am. Acts 1963, ch. 257, § 42; T.C.A. (orig. ed.), § 57-144.
Tenn. Code Ann. § 57-3-609 — TN Code / Title 57 / Chapter 3 / Section 57-3-609
Investigation of permittees
Status: in_force

(a) If a representative of the commission or the department of revenue wishes to examine the books, accounts, records, minutes, letters, memoranda, documents, checks, telegrams, constitution and bylaws, or other records of a nonresident seller's permittee, the representative shall make a written request to the permittee or the permittee's duly authorized manager or representative or, if the permittee is a corporation, to any officer of the corporation. (b) When a request for an examination is made, the person to whom it is directed shall immediately allow the representative to conduct the examination. (c) The representative may investigate the organization, conduct, and management of any nonresident seller's permittee and may make copies of any records which in the judgment of the representative may show or tend to show that the permittee has violated state law, regulation or the terms of the permit. (d) A representative may not make public any information obtained under this section except to a law enforcement officer of this state or in connection with an administrative or judicial proceeding in which the state or commission is a party concerning the cancellation or suspension of a nonresident seller's permit, the collection of taxes due under state law, or the violation of state law. (e) The commission may revoke or suspend a nonresident seller's permit in accordance with this title if a permittee or the permittee's authorized representative fails or refuses to permit an examination authorized by this section, or to permit the making of copies of any documents as provided by this section, without regard to whether the document is inside or outside the state, or if the permittee or the permittee's authorized representative fails or refuses to answer a question of an officer incident to an examination or investigation in progress. Acts 1981, ch. 157, § 9.
(a) If a representative of the commission or the department of revenue wishes to examine the books, accounts, records, minutes, letters, memoranda, documents, checks, telegrams, constitution and bylaws, or other records of a nonresident seller's permittee, the representative shall make a written request to the permittee or the permittee's duly authorized manager or representative or, if the permittee is a corporation, to any officer of the corporation.
(b) When a request for an examination is made, the person to whom it is directed shall immediately allow the representative to conduct the examination.
(c) The representative may investigate the organization, conduct, and management of any nonresident seller's permittee and may make copies of any records which in the judgment of the representative may show or tend to show that the permittee has violated state law, regulation or the terms of the permit.
(d) A representative may not make public any information obtained under this section except to a law enforcement officer of this state or in connection with an administrative or judicial proceeding in which the state or commission is a party concerning the cancellation or suspension of a nonresident seller's permit, the collection of taxes due under state law, or the violation of state law.
(e) The commission may revoke or suspend a nonresident seller's permit in accordance with this title if a permittee or the permittee's authorized representative fails or refuses to permit an examination authorized by this section, or to permit the making of copies of any documents as provided by this section, without regard to whether the document is inside or outside the state, or if the permittee or the permittee's authorized representative fails or refuses to answer a question of an officer incident to an examination or investigation in progress.
Acts 1981, ch. 157, § 9.