Honorable CokeR. Stevenson, Jr.

Administrator Texas Liquor Control Board Austin, Texas 

## opinion NO. w-186 Be: Is the practice of affixing to the containers andthe original packages of alcoholic beverages labels advertising the alcoholic beverage business of the licensee in violation of the Texas Liquor Control Act, or the rules andregulaDear Mr. Stevenson: tions of the Board?

Youhave submitted for our consideration the question of whether the pra,ctice of affixing to the containers or the original packages of alcoholic beverages, labels advertising the alcoholic beverage business of the licensee is aviolation of the Texas Liquor Control Act, or the rules andregulations of the Texas Liquor Control Board. Youhave pointed out for our convenience Section 24a of Article 667, V.P.C. (Texas Li uor Control Act) andRegulation 8a-1, titicle II, Section 10h) s of the Regulations of the Texas Liquor Control Board promulgated pursuant to the provisions of the Texas Liquor Control Act.

According to the facts submitted to us, the retailer places stickers onthe cardboard cartons or containers of alcoholic beverages, which stickers advertise the place of,business of the retailer andshowthe price of the beverage. Whenthe case of beer or other container of alcoholic beverage is sold, the carton, or container, andthe attached sticker are taken from the retailer’s premises bythe purchaser.

Section 24a of article 667, V.P.C. provides as follows:

“1. Theterm ‘outdoor advertising’ as used herein shall meananysign bearing anywords, marks, description or other device andused to advertise the alcoholic beverage business of anyperson engaged in the manufacture, sale or distribution of alcoholic beverages, or in the advertisement of anybeverage containine alcohol inHonorable CokeR. Stevenson, Jr., page 2 (rJw-186)

excess of one-half of one percent (l/2 of 1%)by volume, whensuch sign is displayed anywhere outside the walls or enclosure of anybuilding or structure where there exists alicense or permit to sell alcoholic beverages

. . . For the purposesof this Section the word ‘sign,’ as applied to its use by aRetailer, shall not include any identifying label affixed to anycontainer as authorized bylaw, nor to anycard or certificate of membership in any association or organization, provided such card.or certificate is not larger than eighty (80) square inches.

“2. All outdoor advertising as herein defined is hereby prohibited within the State of Texas except as herein expressly provided: e
. .” Concerning the second above quoted sentence of subsection 1 of Section 24a of Article 667, it would appear that the statute does not cover the labels here considered.

Regulation Sa-1, Sec. 10th) of the Texas Liquor Control Board reads as follows:

“(h)

. Coverings, cartons, cases, Individual coverings, cartons, cases’ or other wrappers of. containers of malt beverage , used for sale at retail, or anywritten, printed, graphic, or other matter accompanying the container shall not contain any statement or any graphic, pictorial, or emblematic representation,- or other matter, which is prohibited from appearing on anylabel or container of malt beverage. It shall be unlawful for ,enyretailer to affix to anycarton or case anypaper or sticker bearing anypainted, printed, or other graphic matter whatever; andit shall be unlawful for anyretailer to paint, imprint, or otherwise impose any wording, lettering, picture, or design of anychsracter whatsoever on anycarton or case.” It is clear that the submitted practice of,retailers is directly in the teeth of the second sentence of SectionlO andtherefore would constitute aviolation of the Regulations of the Texas Liquor Control Board.

Thepractice of retailers of alcoholic beverages of placing stickers or labels on.cases, cartonsHonorable CokeR. Stevenson, Jr., page 

### 3 (W-186)

or containers of alcoholic beverage which labels advertise the business of the licensee andare displayed off the licensed premises violates Regulation 8a-1, Sec. 10th) of the Texas Liquor Control Board, relating to the attachment by a retailer of papers or stickers to coverings, cartons or cases of alcoholic beverage. Yours very truly,

JEiM:pf :wb RPPRO WD: OPINIONCOMMITTEE H. GradyChandler, Chairman Richard Wells Robert 0. Smith Byron Fullerton REVIEWED

FORTHE ATTORNEY GENERAL BY: Geo. P. Blackburn