2023 Maryland Statutes › Alcoholic Beverages and Cannabis › Division I - General Provisions Affecting Multiple Jurisdictions › Title 2 - State-Issued Permits and Licenses › Subtitle 2 - Manufacturer's Licenses › Section 2-203 - Class 9 Limited Distillery License. [Effective Until July 1, 2024]

(a)    There is a Class 9 limited distillery license.
(b)    The limited distillery license may be issued only to a holder of a:
(1)    Class D beer, wine, and liquor license where sales for both on– and off–premises consumption are permitted for use on the premises for which the Class D license was issued; or
(2)    Class B beer, wine, and liquor license where sales for both on– and off–premises consumption are permitted for use on the premises for which the Class B license was issued.
(c)    A holder of the limited distillery license:
(1)    may establish and operate a plant in the State for distilling, rectifying, and bottling brandy, rum, whiskey, alcohol, and neutral spirits if the holder:
(i)    maintains only one brand at any one time for each product of brandy, rum, whiskey, alcohol, and neutral spirits that is distilled, rectified, and sold; and
(ii)    does not manufacture or rectify product of any other brand for another entity;
(2)    may acquire bulk alcoholic beverages from the holder of a distillery or rectifying license in the State or from the holder of a nonresident dealer’s permit;
(3)    after acquiring an individual storage permit, may store on the licensed premises those products manufactured under the license;
(4)    may sell and deliver those products manufactured under the license only to a licensed wholesaler in the State or person authorized to acquire distilled spirits in another state and not to a county dispensary;
(5)    may sell the products manufactured under the license at retail in a manner consistent with the underlying Class D or Class B license;
(6)    may conduct guided tours of that portion of the licensed premises used for the limited distillery operation; and
(7)    may serve not more than three samples of products manufactured at the licensed premises, with each sample consisting of not more than one–half ounce from a single product, to persons who:
(i)    have attained the legal drinking age;
(ii)    participated in a guided tour; and
(iii)    are present on that portion of the premises used for the limited distillery operation.
(d)    A holder of the limited distillery license may not:
(1)    apply for or possess a wholesaler’s license;
(2)    sell bottles of the products manufactured at the Class 9 limited distillery on that part of the premises used for the distillery operation;
(3)    except as provided in subsection (e) of this section, distill, rectify, bottle, or sell more than 100,000 gallons of brandy, rum, whiskey, alcohol, and neutral spirits each calendar year;
(4)    sell at retail on the premises of the Class D or Class B license, for on–premises or off–premises consumption, more than 31,000 gallons of the products manufactured under the license each calendar year; and
(5)    own, operate, or be affiliated in any manner with another manufacturer.
(e)    To distill more than the gallonage specified in subsection (d)(3) of this section, a holder of the limited distillery license shall divest itself of any Class D or Class B retail license and obtain a Class 1 distillery license.
(f)    A holder of the limited distillery license shall abide by all trade practice restrictions applicable to distilleries.
(g)    The annual license fee is $500.