Source: https://tabc.texas.gov/credit_law/index.asp
Timestamp: 2019-04-22 15:16:31+00:00

Document:
The Credit Law section of the Audit and Investigations Division is responsible for generating the Credit Law Delinquent List, as required by Section 102.32 of the Alcoholic Beverage Code and Chapter 45.121 of the TABC Rules. "Credit Law" applies to the terms under which liquor (distilled spirits, wine, & malt liquor) is sold from an authorized upper tier member to a retailer. Authorized upper tier members may include wholesalers, wineries, breweries that hold self-distribution permits (DA), qualified brewpubs, and package stores that hold local distributors permits (LP). For purposes of credit law, wineries are considered retailers when purchasing wine under credit terms from wholesalers.
If a retailer becomes delinquent, the authorized upper tier member must report this to the Texas Alcoholic Beverage Commission. The TABC compiles and publishes the Credit Law Delinquent List twice a month, listing all retailers who are delinquent.
While a retailer is delinquent, NO sales or deliveries may be made to that retailer on or after the effective date of the list, even if the order was taken prior to the effective date. The retailer's buying privileges may resume only when all delinquencies are paid and the TABC's records are cleared.
No authorized upper tier member is required to sell liquor on credit to a retailer. However, if credit is extended, it may only be extended in accordance with the provisions of the law. Briefly, on purchases made from the 1st through the 15th day of a month, payment must be made on or before the 25th of that month. On purchases made from the 16th through the last day of a month, payment must be made on or before the 10th day of the following month.
To speed the loading and printing of the Complete Credit Law Delinquent List, the list has been split into four segments in alphabetical order by trade name. A through E, F through L, M through R, and S through 9. Please note that trade names beginning with numeric characters (1,2,3…0) appear at the end of the list.
The CLP Number/Related column displays the Class License Permit (CLP) account that is on the delinquent list over the "Related" CLP that placed them on the list. The "Related" CLP appears in parenthesis and italic print. An asterisk (*) that appears next to the "Related" CLP indicates that there are multiple related delinquent accounts. Example: (P 123456*). An account is not released from the delinquent list until all "Related" accounts have been released.
Sec. 102.32. Sale of Liquor: Credit Restrictions.
(2) "Retailer" means a package store, wine only package store, wine and beer retailer's, wine and beer retailer's off-premise, or mixed beverage permittee, any other retailer, or a private club registration permittee. For purposes of this section, the holder of a winery permit issued under Chapter 16 is a retailer when the winery permit holder purchases wine from the holder of a wholesaler's permit issued under Chapter 19 for resale to ultimate consumers in unbroken packages.
(b-1) A wholesale dealer who accepts a check or draft as payment from a retailer for the purchase of liquor must deposit the check or draft in the back for payment or present the check or draft for payment within five business days after it is received.
(d-1) The commission or administrator may not accept the voluntary cancellation or suspension of a permit or allow a permit to be renewed or transferred if the permit holder is delinquent in the payment of an account for liquor under this section. A person whose permit is canceled by the commission or whose permit has expired is not eligible to hold any other permit or license under this code until the person has cured any delinquency of the permit under this section.
§45.121. Credit Restrictions and Delinquent List for Liquor.
(a) Purpose. This section implements §§102.32, 11.61(b)(2), 11.66, and 109.64 of the Texas Alcoholic Beverage Code (Code).
(b) Definitions. For purposes of this section, the following terms have the definitions given in this subsection.
(1) Alcoholic beverage--As used in this section includes only liquor, as that term is defined in §1.04 of the Code.
(2) Cash equivalent--A financial transaction or instrument that is not conditioned on the availability of funds upon presentment, including, money order, cashier's check, certified check or completed electronic funds transfer.
(3) Delinquent payment--A financial transaction or instrument that fails to provide payment in full or is returned to the Seller as unpaid for any reason, on or before the fourth business day after the date that payment is due under §102.32(c) of the Code, or is returned to the Seller as unpaid for any reason after the fourth business day after the date payment is due under §102.32(c) of the Code. A delinquent payment also occurs in the event the Retailer fails to submit payment on or before the fourth business day after the date that payment is due under §102.32(c) of the Code.
(4) Event--A financial transaction or instrument that fails to provide payment to a Retailer and results in a Retailer making one or more delinquent payments to one or more Sellers.
(5) Incident--A single delinquent payment. Failure to submit payment also constitutes an incident.
(6) Retailer--A package store permittee, wine only package store permittee, private club permittee, private club exemption certificate permittee, mixed beverage permittee, or other Retailer, and their agents, servants and employees. For purposes of this section, the holder of a winery permit issued under Chapter 16 of the Code is a Retailer when the winery permit holder purchases wine from the holder of a wholesaler's permit issued under Chapter 19 of the Code for resale to ultimate consumers in unbroken packages. For purposes of this section and pursuant to Code §109.64, the holder of an industrial permit under Chapter 38 of the Code is treated in the same manner as a Retailer when the industrial permit holder makes a bulk purchase of liquor from the holder of a wholesaler’s permit issued under Chapter 19 of the Code.
(F) the agents, servants and employees of a permit or license holder identified in subparagraphs (A) – (E).
(c) Invoices. A delivery of alcoholic beverages by a Seller, to a Retailer, must be accompanied by an invoice of sale showing the name and permit number of the Seller and the Retailer, a full description of the alcoholic beverages, the price and terms of sale, and the place and date of delivery.
(1) The Seller's copy of the invoice must be signed by the Retailer to verify receipt of alcoholic beverages and accuracy of invoice.
(2) The Seller and Retailer must retain invoices in compliance with the requirements of §206.01 of the Code.
(3) Invoices may be created, signed and retained in an electronic or internet based inventory system, and may be retained on or off the licensed premise, as long as the records can be accessed from the licensed premises and made available to the commission during normal business hours.
(d) Delinquent Payment Violation. A Retailer who makes a delinquent payment to a Seller for the delivery of alcoholic beverages violates this section unless an exception applies.
(1) A Retailer who violates this section must pay a delinquent amount, and a Seller may accept payment, only in cash or cash equivalent financial transaction or instrument.
(2) A Retailer whose permit or license expires or is cancelled for cause, voluntarily cancelled, suspended or placed in suspension while on the Delinquent List will be disqualified from applying for or being issued an original or renewal permit or license until all delinquent payments are satisfied. For purposes of this section, the Retailer includes all persons who were owners, officers, directors and shareholders of the Retailer at the time the delinquency occurred.
(e) Reporting Violation and Payment; Failure to Report.
(1) A report of a violation or payment must be submitted electronically to the commission on the commission's web based reporting system at www.tabc.texas.gov.
(B) contract with another Seller or service provider to make electronic reports on behalf of the Seller.
(3) All reports of violations or payment under this subsection must be made to the commission before the date the Delinquent List is published.
(4) A Seller who fails to report a violation or a payment as required by this subsection is in violation of this section.
(f) Prohibited Sales and Delivery.
(1) Sellers are prohibited from selling or delivering alcoholic beverages to any licensed location of a Retailer who appears on the commission's Delinquent List from the date the violation appears on the Delinquent List until the Release Date on the Delinquent List, or until the Retailer no longer appears on the Delinquent List.
(2) A sale or delivery of alcoholic beverages prohibited by this section is a violation of this section.
(g) Prohibited Purchase or Acceptance.
(1) A Retailer who violates subsection (d) of this section is prohibited from purchasing or accepting delivery of alcoholic beverages from any source at any of Retailer's licensed locations from the date any violation occurs until all delinquent payment are paid in full.
(2) A prohibited purchase or acceptance of a delivery of alcoholic beverages is a violation of this section.
(h) Exception. A Retailer who wishes to dispute a violation of this section or inclusion on the commission's Delinquent List based on a good faith dispute between the Retailer and the Seller may submit a detailed electronic or paper written statement with the commission with an electronic or paper copy to the Seller explaining the basis of the dispute.
(ii) the check cleared Retailer's account and funds were withdrawn from Retailer's account in the amount of the check.
(2) A disputed delinquent payment will not be removed from the List until documents and/or other records tending to support the Retailer's dispute are submitted to the commission.
(3) The Retailer must immediately submit an electronic notice of resolution of a dispute to the commission under this subsection.
(i) Penalty for Violation. An action to cancel or suspend a permit or license may be initiated under §11.61(b)(2) of the Code for one or more violations of this section. The commission may consider whether a violation is the result of an event or incident when initiating an action under this subsection.
(1) The Delinquent List is published bi-monthly on the commission's public web site at http://www.tabc.texas.gov. An interested person may receive the Delinquent List by electronic mail each date the Delinquent List is published by registering for this service online.
(2) Except as otherwise specified in subsection (k) of this section, the Delinquent List will be published on the fifth business day after the 25th day of the month for purchases made from the 1st to the 15th day of that month and for which payment was not received by the fourth business day after the 25th day of that month. Except as otherwise specified in subsection (k) of this section, the Delinquent List will be published on the fifth business day after the 10th day of the next month for purchases made between the 16th and the last day of the preceding month and for which payment was not received by the fourth business day after the 10th day of the next month.
(3) The Delinquent List is effective at 12:01 A.M. on the date of publication.
(4) The Delinquent List is updated hourly to reflect reports of payments submitted.
(k) Calculation of Time. A due date under this section or §102.32(c) of the Code or the publication date of the Delinquent List that would otherwise fall on a Saturday, a Sunday, a state or federal holiday (unless the commission is required to be open for business), or a standard Federal Reserve bank holiday (as published at http: //www.frbservices.org/holidayschedules /index.html) will be the next regular business day. For purposes of this section, a business day means a day which is not a Saturday, a Sunday, a state or federal holiday (unless the commission is required to be open for business), or a standard Federal Reserve bank holiday (as published at http://www.frbservices.org/holiday schedules/index.html). A payment hand delivered to an individual authorized to accept payment on behalf of the Seller is deemed received when the authorized individual takes possession of the payment.

References: §45
 §1
 §102
 §102
 §102
 §109
 §206
 §11
 §102