Or. Admin. Code § 845-006-0396

Current through Register Vol. 63, No. 10, October 1, 2024

Section 845-006-0396 - Requirements for Delivery of Manufacturer-Sealed and Securely-Covered Containers of Malt Beverages to a Final Consumer

(1) Definitions. For this rule:

(a) "Manufacturer-sealed container of malt beverages" means a container holding malt beverages that:

(A) Was sealed by the manufacturer upon removal from federal bond; and

(B) Has a label that complies with Commission regulations, including federal labeling regulations, prior to being sold in Oregon.

(b) "Securely covered container of malt beverages" means:

(A) An empty container with a capacity of no more than two gallons filled by a Full On-Premises Sales, Limited On-Premises Sales, Off-Premises Sales, Brewery-Public House, Brewery, Winery, Grower Sales Privilege, or Temporary Sales licensee with malt beverages, that was removed from federal bond prior to filling the container, and then securely covered so that liquid doesn't leak from it; and

(B) The empty container was supplied by a final consumer to the licensee, or sold by the licensee to the final consumer, prior to or at the time of filling with wine or cider.

(2) An eligible business may sell for delivery directly to a final consumer:

(a) Manufacturer-sealed containers of malt beverages only if the person is a Full On-Premises Sales, Limited On-Premises Sales, Off-Premises Sales, Brewery-Public House, Brewery, Winery, Grower Sales Privilege, Temporary Sales licensee or a Direct Shipper permittee

(b) Securely covered containers of malt beverages only if the person is a Full On-Premises Sales, Limited On-Premises Sales, Off-Premises Sales, Brewery-Public House, Brewery, Winery, Grower Sales Privilege, or Temporary Sales licensee.

(3) An eligible business may deliver or cause the delivery of malt beverages directly to a final consumer only as allowed by this rule.

(4) To deliver, or cause the delivery of, malt beverages directly to a final consumer, an eligible business, in addition to complying with all other requirements of this rule, must use:

(a) A third-party delivery facilitator permittee; or

(b) An individual who is an employee or agent under the direct control of the eligible business.

(5) When an eligible business uses a third-party delivery facilitator permittee to deliver malt beverages on behalf of the eligible business:

(a) The eligible business must collect information that must be retained by the eligible business for a minimum of two years from the date of transferring the malt beverages to the physical possession of the third-party delivery facilitator permittee or any delivery person used by the third-party delivery facilitator permittee. The information retained must include:

(A) The name of the third-party delivery facilitator permittee;

(B) The date and time the malt beverages were transferred to the third-party delivery facilitator permittee; and

(C) The name and delivery address of the final consumer receiving the malt beverages.

(b) After transferring the malt beverages to the physical possession of the third-party delivery facilitator permittee, or any delivery person used by the third-party delivery facilitator permittee, the eligible business is not responsible for any failure of the third-party delivery facilitator permittee, or any delivery person used by the third-party delivery facilitator permittee, to follow regulations or rules specific to third-party delivery facilitator permittees.

(6) When an eligible business uses an individual who is an employee or agent under its direct control to deliver malt beverages directly to a final consumer, in addition to complying with all other requirements of this rule, the eligible business must:

(a) Use an individual who is at least 18 years of age and has a valid driver license or other state-issued identification;

(b) Use an individual who has a valid Commission-issued service permit or has completed a training program within the last five years that includes training on at least:

(A) Forms of identification required by ORS 471.130 and Commission rules and methods for identifying, inspecting, accepting or rejecting identification;

(B) Signs of visible intoxication and methods for recognizing these signs and for refusing to deliver alcoholic beverages to a final consumer; and

(C) Rules adopted by the Commission relating to the delivery of alcoholic beverages to a final consumer.

(c) Collect information that must be retained by the eligible business for a minimum of two years from the date of delivery of the malt beverages to the final consumer. The information retained must include:

(A) The date and time the malt beverages were delivered to the final consumer;

(B) The amount of malt beverages contained in each delivery to the final consumer;

(C) The name, or information that can be used to determine the name, of the individual delivering the malt beverages to the final consumer; and

(D) The name and delivery address of the final consumer receiving the malt beverages.

(7) An eligible business, in addition to complying with all other requirements of this rule, may deliver, or cause the delivery of, malt beverages direct to final consumer only:

(a) If the malt beverages are transferred to the physical possession of a final consumer at a delivery address

(b) In a container that complies with these rules and does not exceed two gallons;

(c) To a final consumer who is at least 21 years of age, and only if the malt beverages are for personal use and not for the purpose of resale;

(d) To a final consumer who is not visibly intoxicated at the time the final consumer takes physical possession of the malt beverages;

(e) When the malt beverages is in a container conspicuously labeled with the words "Contains alcohol: signature of person age 21 years or older required for delivery" or similar language approved by the Commission;

(f) Pursuant to an order and payment for malt beverages that are received by the eligible business prior to removal from the eligible business for delivery to the final consumer;

(g) To a delivery address or to a location that is within 100 feet of the boundary of the eligible business;

(h) When the time of transferring the malt beverages to the physical possession of a final consumer at a delivery address is between the hours of 7:00 am and 10:00 pm. Despite this requirement, an off-premises sales licensee may transfer the malt beverages to the physical possession of a final consumer at a delivery address between the hours of 6:00 am and 10:00 pm.

(i) When the eligible business holds a license or permit issued under ORS 471.200, 471.221, 471.223, 471.227, or 471.282, it must not deliver or cause the delivery of more than two cases of malt beverages containing not more than nine liters per case per day to a final consumer and may not deliver more than a total of two cases of malt beverage containing not more than nine liters per case per month to the same final consumer.

(j) When the eligible business holds a license issued under ORS 471.175, 471.178, 471.186, or 471.190, it must not deliver more than a total of two cases of malt beverages containing not more than nine liters per case per day to a final consumer.

(8) An eligible business who holds a direct shipper permit issued under ORS 471.282 must:

(a) Allow the Commission to audit the permit holder's records of wine and cider delivered to Oregon residents upon request and shall make those records available to the Commission in Oregon no later than 14 days after the Commission mails the notice;

(b) Report to the Commission all deliveries of wine or cider made to a final consumer under the permit as required by ORS Chapter 473. The report must be made in a form prescribed by the Commission; and

(c) Timely pay to the Commission all taxes imposed under ORS Chapter 473 on wine and cider sold and delivered directly to a final consumer under the permit.

(d) For the purpose of the privilege tax imposed under ORS Chapter 473, all wine or cider sold and delivered pursuant to a direct shipper permit is sold in this state. The permit holder, not the purchaser, is responsible for paying the tax to the Commission.

(9) An eligible business who holds a direct shipper permit issued under ORS 471.282 and who is located in a state outside of Oregon, consents to the jurisdiction of the Commission and the courts of this state for the purpose of enforcing the provisions of this rule and any related laws or rules.

(10) A violation of section (8) of this rule is a Category IV violation. A violation of any other section of this rule is a Category III violation.

Or. Admin. Code § 845-006-0396

OLCC 19-2000, f. 12-6-00, cert. ef. 1-1-01; OLCC 7-2003(Temp), f. & cert. ef. 5-20-03 thru 11-16-03; OLCC 12-2003, f. 9-23-03, cert. ef. 11-1-03; OLCC 23-2007(Temp), f. 12-14-07, cert. ef. 1-1-08 thru 6-28-08; OLCC 6-2008(Temp), f. & cert. ef. 4-18-08 thru 6-28-08; OLCC 8-2008, f. 6-12-08, cert. ef. 6-29-08; OLCC 4-2012, f. 4-10-12, cert. ef. 5-1-12; OLCC 4-2013(Temp), f. 7-12-13, cert. ef. 7-15-13 thru 1-11-14; OLCC 13-2013, f. 12-12-13, cert. ef. 1-1-14; OLCC 5-2015(Temp), f. 12-22-15, cert. ef. 1-1-16 thru 6-28-16; OLCC 7-2016, f. 6-28-16, cert. ef. 6/29/2016; OLCC 4-2020, temporary amend filed 03/19/2020, effective 03/19/2020 through 09/14/2020; OLCC 17-2020, amend filed 09/11/2020, effective 9/15/2020; OLCC 7-2021, temporary amend filed 07/15/2021, effective 7/16/2021through 12/31/2021; OLCC 22-2021, amend filed 12/30/2021, effective 1/1/2022; OLCC 9-2023, temporary amend filed 12/18/2023, effective 1/2/2024 through 6/28/2024; OLCC 7-2024, amend filed 06/21/2024, effective 6/28/2024

Statutory/Other Authority: ORS 471.030, 471.040, 471.730 (1) & (5) & E.O. 20-07

Statutes/Other Implemented: ORS 471.305, 471.534 & 2021 OL Ch. 180