Except for stock withdrawals by officers of wholesale licensees for their personal use and consumption and samples of pints of alcoholic beverages not previously sold by a wholesaler to a retailer as authorized in § 64:75:04:10, no wholesaler may dispose of alcoholic beverages other than by bona fide sale. No alcoholic beverages may be disposed of by gift except as samples specifically authorized or for use in trade or business meetings of licensed wholesalers or retailers. Except as provided in SDCL 35-2-6.10, no alcoholic beverages may be given by a wholesaler to any groups, associations, or conventions for use in contests, for prizes, or other activity.

Each wholesaler must keep an accurate and complete record of all alcoholic beverages disposed of. Records must show each item of alcoholic beverages disposed of, the date of the disposition, and the name and address of the recipient. All accounts and records required by this section shall be kept by wholesalers as permanent records, subject to audit.

Notwithstanding any other provision of this article, the secretary may authorize the special disposition of any alcoholic beverage with an order describing the alcoholic beverage disposed of and any special circumstances relating to the beverage.

Source: SL 1975, ch 16, § 1; 13 SDR 129, 13 SDR 134, effective July 1, 1987; 21 SDR 219, effective July 1, 1995; 31 SDR 214, effective July 6, 2005; 45 SDR 83, effective December 18, 2018.

General Authority: SDCL 35-10-1(4)(6).

Law Implemented: SDCL 35-10-1(4)(6).

Prior versions effective: 2005-07-06.