Source: http://lis.virginia.gov/cgi-bin/legp604.exe?001+ful+SB653
Timestamp: 2019-03-23 16:33:24
Document Index: 617714225

Matched Legal Cases: ['§ 59', '§ 59', '§ 58', '§ 1333', '§ 5754', '§ 1335', '§ 1333', '§ 58', '§ 58', '§ 5713', '§ 2', '§ 1333', '§ 3', '§ 3', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 59', '§ 58', '§ 58', '§ 58', '§ 58', '§ 5702', '§ 5702', '§ 1332', '§ 58', '§ 1555', '§ 54']

009811436
SENATE BILL NO. 653 Offered January 24, 2000 A BILL to amend the Code of Virginia by adding in Title 58.1 a chapter numbered 10.1, consisting of sections numbered 58.1-1031 through 58.1-1040, and to amend and reenact § 59.1-200 of the Code of Virginia, relating to the sale of cigarettes produced for export; penalties. ----------
Patrons-- Hawkins, Chichester, Forbes, Lambert, Mims and Reynolds; Delegates: Albo, Blevins, Diamonstein, Pollard and Rollison
1. That the Code of Virginia is amended by adding in Title 58.1, a chapter numbered 10.1, consisting of sections numbered 58.1-1031 through 58.1-1040 and to amend and reenact § 59.1-200 of the Code of Virginia, as follows:
CHAPTER 10.1. CIGARETTE ENFORCEMENT.
§ 58.1-1031. Prohibitions.
A. To sell or distribute in this Commonwealth, to acquire, hold, own, possess, or transport, for sale or distribution in this Commonwealth, or to import, or cause to be imported, into this Commonwealth for sale or distribution in this Commonwealth (i) any cigarettes the package of which bears any statement, label, stamp, sticker, or notice indicating that the manufacturer did not intend the cigarettes to be sold, distributed, or used in the United States, including but not limited to labels stating "For Export Only," "U.S. Tax-Exempt," "For Use Outside U.S.," or similar wording, or any cigarettes the package of which does not comply with all requirements imposed by or pursuant to federal law regarding warnings and other information on packages of cigarettes manufactured, packaged, or imported for sale, distribution, or use in the United States, including but not limited to the precise warning labels specified in the Federal Cigarette Labeling and Advertising Act, 15 U.S.C. § 1333, or does not comply with all federal trademark and copyright laws; (ii) any cigarettes imported into the United States on or after January 1, 2000, in violation of 26 U.S.C. § 5754 or any other federal law, or implementing federal regulations; (iii) any cigarettes that such person otherwise knows or has reason to know the manufacturer did not intend to be sold, distributed, or used in the United States; or (iv) any cigarettes for which there has not been submitted to the Secretary of the U. S. Department of Health and Human Services the list or lists of the ingredients added to tobacco in the manufacture of such cigarettes required by the Federal Cigarette Labeling and Advertising Act, 15 U.S.C. § 1335a.
B. To alter the package of any cigarettes, prior to sale or distribution to the ultimate consumer, so as to remove, conceal or obscure (i) any statement, label, stamp, sticker, or notice described in subdivision A (i) of this section, or (ii) any health warning that is not specified in, or does not conform with the requirements of, the Federal Cigarette Labeling and Advertising Act, 15 U.S.C. § 1333;
C. To affix any stamp required pursuant to Chapter 10 (§ 58.1-1000 et seq.) of this title to the package of any cigarettes described in subsection A of this section or altered in violation of subsection B of this section.
§ 58.1-1032. Documentation.
On the first business day of each month, each person licensed to affix the state tax stamp to cigarettes shall file with the Department, for all cigarettes imported into the United States to which such person has affixed the tax stamp in the preceding month, (i) a copy of the permit issued pursuant to the Internal Revenue Code, 26 U.S.C. § 5713, to the person importing such cigarettes into the United States allowing such person to import such cigarettes, and the customs form containing, with respect to such cigarettes, the internal revenue tax information required by the U. S. Bureau of Alcohol, Tobacco and Firearms; (ii) a statement, signed by such person under the penalty of perjury, which shall be treated as confidential by the Department and exempt from disclosure under the Virginia Freedom of Information Act (§ 2.1-340 et seq.), identifying the brand and brand styles of all such cigarettes, and the person or persons, if any, to whom such cigarettes have been conveyed for resale, and a separate statement signed by such person under penalty of perjury, which shall not be treated as confidential or exempt from disclosure, separately identifying the brand and brand styles of such cigarettes; and (iii) a statement, signed by an officer of the manufacturer or importer under penalty of perjury, certifying that the manufacturer or importer has complied with the package health warning and ingredient reporting requirements of the Federal Cigarette Labeling and Advertising Act, 15 U.S.C. §§ 1333 and 1335a, with respect to such cigarettes and §§ 3.1-336.1 and 3.1-336.2 of the Code of Virginia, including a statement indicating whether the manufacturer is, or is not, a participating tobacco manufacturer within the meaning of § 3.1-336.1.
§ 58.1-1033. Criminal penalties.
Any person who commits any of the acts prohibited by § 58.1-1031, either knowingly or having reason to know he is doing so, or who fails to comply with any of the requirements of § 58.1-1032, shall be guilty of a Class 5 felony.
§ 58.1-1034. Administrative sanctions.
A. The Department may revoke or suspend the permit or permits of any dealer for a violation of this chapter or any implementing rule promulgated by the Department as provided in § 58.1-1011.
B. The Department may impose a civil penalty in an amount not to exceed the greater of 500 percent of the retail value of the cigarettes involved or $5,000 upon finding a violation of this chapter and assess tax due and interest on any product acquired, possessed, sold, or offered for sale in violation of this chapter.
§ 58.1-1035. Seizure.
Cigarettes that are acquired, held, owned, possessed, transported in, imported into, or sold or distributed in this Commonwealth in violation of this chapter shall be deemed contraband and shall be subject to seizure, forfeiture and destruction by the Department of Alcoholic Beverage Control. Such cigarettes shall be deemed contraband whether the violation of this chapter is knowing or otherwise.
§ 58.1-1036. Unfair trade practices.
A violation of § 58.1-1031 or § 58.1-1032 shall constitute a prohibited practice as provided in § 59.1-200, and, in addition to any remedies or penalties set forth in this chapter, shall be subject to any remedies or penalties available for a violation of that section.
§ 58.1-1037. Unfair cigarette sales.
For the purposes of this chapter, cigarettes imported or reimported into the United States for sale or distribution under any trade name, trade dress, or trademark that is the same as, or is confusingly similar to, any trade name, trade dress, or trademark used for cigarettes manufactured in the United States for sale or distribution in the United States shall be presumed to have been purchased outside of the ordinary channels of trade.
§ 58.1-1038. General provisions.
A. For the purpose of enforcing this chapter, the Department may request or share information with any state or local agency, federal agency or any agency of any other state or any local agency thereof.
B. Any person who acquires, holds, owns, possesses, transports in or imports into this Commonwealth cigarettes which are subject to this chapter shall, with respect to such cigarettes, maintain and keep all records required pursuant to Chapter 10 (§ 58.1-1000 et seq.) of this title.
C. In addition to any other remedy provided by law, any person may bring an action for appropriate injunctive or other equitable relief for a violation of this chapter, actual damages, if any, sustained by reason of the violation, and, as determined by the court, interest on the damages from the date of the complaint and taxable costs. If the trier of facts finds that the violation was willful, it may increase damages to an amount not exceeding three times the actual damages sustained by reason of the violation.
§ 58.1-1039. Definitions.
A. "Cigarette" means any product that contains nicotine, is intended to be burned or heated under ordinary conditions of use, and consists of or contains (i) any roll of tobacco wrapped in paper or in any substance not containing tobacco; (ii) tobacco, in any form, that is functional in the product, which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette; or (iii) any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette described in clause (i) of this definition.
B. "Importer" means "importer" as that term is defined in 26 U.S.C. § 5702 (1).
C. "Manufacturer" means "manufacturer" as that term is defined in 26 U.S.C. § 5702 (d).
D. "Package" means "package" as that term is defined in 15 U.S.C. § 1332(4).
§ 58.1-1040. Applicability.
A. This chapter does not apply to (i) cigarettes allowed to be imported or brought into the United States for personal use free of federal tax or (ii) cigarettes sold or intended to be sold as duty-free merchandise by a duty-free sales enterprise in accordance with the provisions of 19 U.S.C. § 1555(b) and any implementing regulations; provided, however, that this section shall apply to any such cigarettes that are brought back into the customs territory for resale within the customs territory.
B. The penalties provided in this chapter are in addition to any other penalties imposed under other law.
33. Violating any provision of Chapter 40 (§ 54.1-4000 et seq.) of Title 54.1.