Ga. Comp. R. & Regs. R. 560-2-5-.09 - Registering Additional Brands and Brand Labels for Designation of Wholesalers and Sales Territories; Notice to Previously Designated Wholesaler(s)
(1) After a
Manufacturer, Shipper, Importer, or Broker has made any registration pursuant
to Rule 560-2-5-.08, such Manufacturer, Shipper, Importer, or Broker may register additional Brands
or Brand Labels subject to the following terms:
(a) Such Manufacturer, Shipper, Importer, or
Broker shall, at least thirty (30) days in advance of offering such additional
Brands or Brand Labels, submit the following through the Georgia Tax Center:
1. Except where not required by law, one U.S.
Alcohol and Tobacco Tax and Trade Beverage approved Brand Label for each such
Brand and Brand Label of Alcoholic Beverage to be shipped into, or within,
Georgia;
2. If such Manufacturer,
Shipper, Importer, or Broker is not listed as the applicant on the U.S. Alcohol
and Tobacco Tax and Trade Beverage Certification/Exemption of Label/Bottle
Approval for such Brand or Brand Label, submit a letter of authorization from
such applicant granting such Manufacturer, Shipper, Importer, or Broker the
authority to register such Brand or Brand Label in Georgia;
3. Designate, in the application for
registration, sales territories for each Brand or Brand Label to be sold into,
or within, Georgia; and
4. Name one
Licensed Wholesaler in each territory who shall be the exclusive Wholesaler of
such Brand or Brand Label within that territory.
(b) Such designations of Wholesalers or
Wholesalers' territories shall be initially approved by the Commissioner and
shall not be changed nor initially disapproved except for cause, and the
Commissioner shall determine cause after a hearing pursuant to these
regulations.
(c) Submit a request
through the Georgia Tax Center at least thirty (30) days in advance of offering
such Alcoholic Beverages for sale in Georgia. The registration of additional
Brands or Brand Labels shall be limited to a maximum of ten (10) Brands and
Brand Labels per submission, with unlimited submissions;
(d) Any application for the registration of
Brands or Brand Labels that tends to create a monopoly or lessen competition
with respect to Alcoholic Beverages will not be approved. A proposed change or
transfer that will place more than 25% of the case volume of all Distilled
Spirits sold in Georgia under one Wholesaler or controlled group is presumed to
be an attempt to create a monopoly and lessen competition.
(2) If any Brands or Brand Labels submitted
for registration pursuant to Rule
560-2-5-.08 or this Rule have been
previously designated to a different Wholesaler or if such Brands or Brand
Labels or any material portions thereof are the same as, or similar to, or such
a modification, substitution, upgrade, or extension of, a Brand or Brand Label
that has been previously designated to a different Wholesaler, the
Manufacturer, Shipper, Importer, or Broker shall:
(a) Notify the previously designated
Wholesaler(s) by mailing, via U.S. certified mail, a copy of the request to
register such Brands or Brand Labels that designate different Wholesalers or
sales territories.
(3)
The previously designated Wholesaler(s) shall have thirty (30) days from
receipt of the notification in paragraph (2) of this Rule above to file an
objection with the Commissioner. If an objection is not filed with the
Commissioner within the thirty (30) day period, the right to file such
objection shall be waived.
(a) Objections
shall state the specific reasons which form the basis of the
objection;
(b) Any Brands or Brand
Labels previously registered in Georgia and which have subsequently been
withdrawn from distribution for a period of less than four (4) years shall be
treated in the same manner as registering additional Brands or Brand Labels and
are subject to the provisions in this Rule;
(c) Any Brands or Brand Labels previously
registered in Georgia which have subsequently been withdrawn from distribution
for a period equal to or greater than four (4) years shall be deemed an initial
application to register the Brands or Brand Labels pursuant to Rule
560-2-5-.08;
(d) Any previously designated Wholesaler
filing an objection after the Brand or Brand Label has been withdrawn for a
period equal to or greater than four (4) years and for which an initial
application has been deemed filed pursuant to subparagraph (3)(c) above, and
Rule 560-2-5-.08, shall only have the right to a hearing if an objection is filed with the
Commissioner within six (6) months of the date of registration and a
determination is made by the Commissioner that a hearing is
warranted;
(e) The objection should
include information showing that the last date the Manufacturer shipped
Alcoholic Beverages to the Wholesaler was within the previous four (4)
years;
(f) Maintaining an inventory
of the withdrawn Brand or Brand Label showing subsequent sales of that Brand or
Brand Label to Retailers and/or Retail Consumption Dealers shall NOT constitute
sufficient grounds for a determination that a hearing is warranted;
(g) A Brand or Brand Label is considered
withdrawn as of the date of the letter of withdrawal pursuant to Rule
560-2-5-.10(8), or
if sooner, the date the license expires or is relinquished by the Manufacturer,
Shipper, Importer, or Broker.
(4) The Commissioner shall set a hearing and
provide at least sixty (60) days notice of such hearing via U.S. certified mail
to the previously designated Wholesaler(s), the proposed designated
Wholesaler(s) for such Brands or Brand Labels, and the Manufacturer, Shipper,
Importer or Broker, as provided in subparagraph (a) below:
(a) The Commissioner shall set a hearing as
provided in this Rule if any of the following occur:
1. Any objecting party notifies the
Commissioner that the Manufacturer, Shipper, Importer, or Broker has failed to
provide notice pursuant to paragraph (2) of this Rule above;
2. An objection is filed pursuant to
paragraph (3) of this Rule above within the thirty (30) day period;
3. A Wholesaler notifies the Commissioner
that it believes such Brands or Brand Labels or any material portions thereof
are the same as, or similar to, or such modification, substitution, upgrade or
extension of, a Brand or Brand Label which has already been registered;
or
4. A motion is filed by the
Commissioner.
(b) If it
is determined from the evidence adduced at the hearing that the Brand or Brand
Label involved, including any material portion thereof, is the same as or
similar to or is such a modification, substitution, upgrade or extension of, a
Brand or Brand Label which has already been registered by the Manufacturer,
Shipper, Importer or Broker (or a predecessor of such Brand or Brand Label) so
as to render it unjust or inequitable (without cause being shown) to designate
the Brand or Brand Label being so modified, substituted, upgraded or extended;
then such request shall be denied or reversed, as the case may be;
(c) Provided however, that nothing in this
Regulation shall be construed to prevent the Manufacturer, Shipper, Importer or
Broker from treating the matter as a desire to change Wholesalers, and from
proceeding under Regulation
560-2-5-.10, either before or after
such determination;
(d) Any
inventory of the released Brand may no longer be distributed by the Wholesaler
as of the date of the letter of release as specified in Rule
560-2-5-.10(7).
Notes
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