Rule 560-2-3-.08. Retailer Purchase from Licensed Wholesaler; No Sales Below Purchase Price; Penalty for Violation

1. (1) Retailers and Retail Consumption Dealers shall only buy, arrange to buy, or in any way effect the transfer of, any Alcoholic Beverages from a licensed Wholesaler.
2. (2) All sales made by Wholesalers to licensed Retailers shall be bona fide sales transactions from the Wholesaler to the licensed Retailer.

3. (3) No Retailer shall sell Alcoholic Beverages for less than the cost for which the Alcoholic Beverages were purchased from a licensed Wholesaler, as evidenced by the Wholesaler's invoice.

   1. (a) The Department shall consider the totality of the invoice as evidence of the cost for which the Alcoholic Beverages were purchased;

   2. (b) For the purposes of auditing, the Department shall calculate the cost of an Alcoholic Beverage by applying to the Brand cost any:

      1. 1. Free Alcoholic Beverages; and/or
      2. 2. Cash discounts.
4. (4) Failure to comply with this Rule shall be cause for revocation of the licenses of all licensed Wholesalers and Retailers involved.

Authority: O.C.G.A. §§ 3-2-2, 3-2-6, 3-4-26, 3-5-26, 3-5-27, 3-6-25, 48-2-12.

History. Original Rule entitled "Authorization to Contact Wholesalers or Retailers" adopted. F. and eff. June 30, 1965.

Repealed: New Rule of same title adopted. F. Oct. 23, 1969; eff. Nov. 1, 1969, as specified by the Agency.

Repealed: New Rule entitled "Through-Shipment Regulations" adopted. F. May 5, 1982; eff. May 25, 1982.

Repealed: F. Sept. 6, 2006; eff. Sept. 26, 2006.

Repealed: New Rule entitled "Retailer Purchase from Licensed Wholesaler, No Sales Below Purchase Price; Penalty for Violation" adopted. F. Oct. 1, 2010; eff. Oct. 21, 2010.

Amended: F. May 31, 2023; eff. June 20, 2023.