IC 7.1-3-3-1 Application
Sec. 1. Application. The commission may issue a beer
wholesaler's permit to a person who desires to sell beer at wholesale
and who meets the qualifications required by this title. The
commission may require additional proof, by affidavit or otherwise,
that an applicant possesses any or all of the required qualifications. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-2 Necessary investment
Sec. 2. Necessary Investment. An applicant for a beer wholesaler's
permit shall have available for investment, capital, in cash or
property, necessary and useful in his business, exclusively as a beer
wholesaler, of at least fifteen thousand dollars ($15,000), exclusive
of motor vehicles. If his application is granted, the investment shall
actually be made and proof of it submitted to the commission before
the applicant shall engage in business as a beer wholesaler. The
provisions of this section shall not apply to a permittee who held a
valid beer wholesaler's permit as of April 2, 1965. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-3 Building requirements
Sec. 3. Building Requirements. The building to be occupied by a
beer wholesaler shall be owned or leased by him, or storage space in
it shall be leased to him. If the building or storage space is held by
lease, the lease shall be for the full term of the permit, and no other
person, or stockholder of a corporation, interested in the manufacture
of, or in the sale at retail of, alcoholic beverages shall own the
building or have any interest in it. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-4 Premises described in application
Sec. 4. (a) The premises to be used as a warehouse by an applicant
shall be described in the application for the permit. The commission
shall not issue a beer wholesaler's permit to an applicant for any
other warehouse or premises than that described in the application.
The commission shall issue only one (1) beer wholesaler's permit to
an applicant, but a permittee may be permitted to transfer the
permittee's warehouse to another location within the county that is
not required to be within the corporate limits of an incorporated city
or town, upon application to, and approval of, the commission.
(b) As used in this subsection, "immediate relative" means the
father, the mother, a brother, a sister, a son, or a daughter of a
wholesaler permittee. Notwithstanding subsection (a), the
commission, upon the death or legally adjudged mental
incapacitation of a wholesaler permittee, may allow the transfer of
the wholesaler permit only to an immediate relative of the wholesaler
permittee who concurrently holds a majority share in a valid
wholesaler permit. (Formerly: Acts 1973, P.L.55, SEC.1.) As amended by P.L.205-1999,
SEC.13; P.L.94-2008, SEC.27.
IC 7.1-3-3-5 Scope of permit
Sec. 5. (a) The holder of a beer wholesaler's permit may purchase
and import from the primary source of supply, possess, and sell at
wholesale, beer and flavored malt beverages manufactured within or
without this state.
(b) A beer wholesaler permittee may possess, transport, sell, and
deliver beer to:
(1) another beer wholesaler authorized by the brewer to sell the
brand purchased;
(2) an employee; or
(3) a holder of a beer retailer's permit, beer dealer's permit,
temporary beer permit, dining car permit, boat permit, airplane
permit, or supplemental caterer's permit;
located within this state. The sale, transportation, and delivery of
beer shall be made only from inventory that has been located on the
wholesaler's premises before the time of invoicing and delivery.
(c) The beer wholesaler's bona fide regular employees may
purchase beer from the wholesaler in:
(1) bottles, cans, or any other type of permissible containers in
an amount not to exceed forty-eight (48) pints; or
(2) one (1) keg;
at any one (1) time.
(d) The importation, transportation, possession, sale, and delivery
of beer shall be subject to the rules of the commission and subject to
the same restrictions provided in this title for a person holding a
brewer's permit.
(e) The holder of a beer wholesaler's permit may purchase, import,
possess, transport, sell, and deliver any commodity listed in
IC 7.1-3-10-5, unless prohibited by this title. However, a beer
wholesaler may deliver flavored malt beverages only to the holder of
one (1) of the following permits:
(1) A beer wholesaler or wine wholesaler permit, if the
wholesaler is authorized by the primary source of supply to sell
the brand of flavored malt beverage purchased.
(2) A wine retailer's permit, wine dealer's permit, temporary
wine permit, dining car wine permit, boat permit, airplane
permit, or supplemental caterer's permit.
(f) A beer wholesaler may:
(1) store beer for an out-of-state brewer described in
IC 7.1-3-2-9 and deliver the stored beer to another beer
wholesaler that the out-of-state brewer authorizes to sell the
beer;
(2) perform all necessary accounting and auditing functions
associated with the services described in subdivision (1); and
(3) receive a fee from an out-of-state brewer for the services
described in subdivisions (1) through (2). (Formerly: Acts 1973, P.L.55, SEC.1; Acts 1973, P.L.60, SEC.3;
Acts 1974, P.L.25, SEC.2.) As amended by Acts 1978, P.L.52, SEC.1;
P.L.57-1984, SEC.6; P.L.78-1986, SEC.3; P.L.72-1996, SEC.4;
P.L.72-1997, SEC.2; P.L.224-2005, SEC.5; P.L.94-2008, SEC.28.
IC 7.1-3-3-6 Renewals
Sec. 6. Renewals. A permittee who holds a beer wholesaler's
permit and who desires that it be renewed shall file an application for
renewal with the commission not less than thirty (30) days prior to
the expiration of the existing permit. The application shall be made
in the same manner that an application for an original permit is made. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-7 Action of commission on renewals
Sec. 7. Action of Commission on Renewals. The commission
shall notify the applicant in writing of its determination to grant or
deny the renewal of a beer wholesaler's permit not more than ten (10)
days after the filing of the application. The notice may be given by
personal service upon the applicant or by registered mail, addressed
to applicant at the address shown in the application for renewal. The
registration and deposit of the notice, properly addressed, in the post
office within the ten (10) day period shall be sufficient when the
notice is given by registered mail. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-8 Notice of renewal
Sec. 8. Notice of Renewal. The determination shall be final and
conclusive if the notice advises the applicant that his beer
wholesaler's permit will be renewed at the expiration of the existing
permit term. Prior to the expiration of the existing permit term, the
commission shall issue a renewal beer wholesaler's permit to the
applicant for the ensuing year. The failure on the part of the
commission to issue the renewal permit prior to the expiration of the
existing permit shall not deprive the applicant of the right to continue
in operation pending its issuance. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-9 Demand for public hearing
Sec. 9. Demand for Public Hearing. The commission shall state in
the notice to the applicant the reasons for the denial of the renewal
of his beer wholesaler's permit if they decide not to renew the permit.
The commission shall grant a public hearing to the applicant on the
matter if, within five (5) days after receipt by the applicant of the
notice of denial, he files with the commission a written demand for
a public hearing. The hearing shall be held either in the offices of the
commission or in the county seat of the county in which the
applicant's place of business is located after ten (10) days' notice to
the applicant of the time and place of the hearing. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-10 Conduct of hearing
Sec. 10. Conduct of Hearing. The hearing on the denial of the
renewal shall be conducted by a member of the commission or by a
special examiner designated by it for this purpose. A deputy attorney
general of the state shall represent the State of Indiana at the hearing
and he shall present the written and oral evidence in support of the
reasons given in the notice of the denial of the renewal of the beer
wholesaler's permit. The applicant, in person or by counsel, shall
present his evidence in support of his right to the renewal and in
rebuttal of the evidence presented by the state. The burden shall be
upon the state to establish the existence and sufficiency of the
reasons for the denial of the renewal of the permit. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-11 Findings and conclusions; action of commission
Sec. 11. Findings and Conclusions: Action of Commission. The
person who conducted the hearing shall make a report of the
recommended findings of fact and conclusions to the commission
following the hearing. The commission, upon receipt of the report,
by a majority vote of its membership, shall make findings of fact and
state its conclusions affirming or reversing the proposed denial of
renewal. The commission shall enter its order accordingly and that
order shall be final and conclusive except as otherwise provided in
this title. The commission shall serve the applicant, personally or by
registered mail, with a copy of the findings of fact, conclusions, and
order. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-12 Petition for review
Sec. 12. Petition for Review. The applicant, if the order of the
commission affirms the denial of the renewal of his permit, may file,
within ten (10) days following its receipt by him, an action to review
the findings, conclusions and order in the Superior Court of Marion
County, or in the circuit or superior court of the county in which the
applicant has his licensed premises, to set aside and enjoin the
enforcement of the order of denial on the grounds that it is unlawful,
unreasonable, or insufficient, or that it was obtained by wrongful,
fraudulent or other unlawful methods.
(Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-13 Contents of petition
Sec. 13. Contents of Petition. The petition for review shall be
verified by the applicant, or by someone in his behalf having
knowledge of the matters stated in the petition, and may include a
prayer that a temporary restraining order be issued against the
commission, temporarily restraining it from enforcing its order
denying the renewal. The temporary restraining order, if issued, shall
be issued in accordance with the procedures provided in the Indiana
Rules of Civil Procedure. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-14 Ad interim operations
Sec. 14. Ad Interim Operations. The denial of the renewal of the
permit shall not become effective until ten (10) days following the
receipt by the applicant of a copy of the findings of fact, conclusions,
and order of the commission affirming the denial if notice of denial
of renewal has been given and a public hearing has been demanded
as provided in this chapter. The enforcement of the commission's
order of denial of renewal shall be suspended pending the expiration
or dissolution of the temporary restraining order if one has been
sought and issued as provided in this chapter. During the period that
the order of denial is ineffective or suspended, the applicant shall be
fully authorized and entitled to operate as a beer wholesaler to the
same extent and effect as though a renewal permit had been issued
concurrently with the expiration of his previous permit, and without
being liable, criminally or civilly, on the ground of operating his beer
wholesaler's business without a permit. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-15 Trial
Sec. 15. Trial. The court shall give preference to the action for
review in order that, consistent with justice, the matters in issue may
be determined speedily. A change of venue from the county shall not
be granted in an action for review, but either party may apply for and
secure a change of judge under the Indiana Rules of Civil Procedure.
The trial of the action shall be by the court without the intervention
of a jury. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-16 Costs
Sec. 16. Costs. The commission, in the event the denial of renewal
becomes final as a result of a failure to bring an action for review, or
as a result of the final judgment of the court in which the action was
brought, shall deduct from the annual license fee accompanying the
application the amount of court costs taxed against the applicant and
shall pay it to the clerk of the court. The commission shall apply the
balance of the annual license fee to the payment of a license fee for
the period of the beer wholesaler's continued operation computed at
the rate of two dollars and seventy-five cents ($2.75) per day for the
number of calendar days, including Sundays and holidays, elapsed
during the period of continued operation. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-17 Cancellation of franchise agreement
Sec. 17. Cancellation of Franchise Agreement. The circuit or
superior court of the county in which the licensed premises of a beer
wholesaler are located shall have jurisdiction to enjoin the
cancellation or termination of a franchise or agreement between a
beer wholesaler and a brewer in violation of IC 1971, 7.1-5-5-9. The
action may be brought by a beer wholesaler or brewer who is or
might be adversely affected by the cancellation or termination. The
court, in granting an injunction under this section, shall provide that
the brewer shall not supply the customers or territory of the beer
wholesaler through servicing the customers or territory through
another beer wholesaler or by any other means while the injunction
is in effect. An injunction issued under this section shall require the
posting of proper bond against damages for an injunction
improvidently granted and a showing that the danger of irrevocable
loss or damage is immediate. The beer wholesaler shall continue to
service the accounts of the brewer in good faith during the term of
the injunction. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-18 Certain transactions void
Sec. 18. Certain Transactions Void. The transfer, sale, acquisition,
assignment, control of, or beneficial interest, direct or indirect, in or
to a beer wholesaler's permit, or in its business, or in its corporate
stock, by a brewer contrary to the provisions of IC 1971, 7.1-5-9-2,
or the transfer, assignment upon the capital stock book, or other
corporate record, of a corporation holding a beer wholesaler's permit,
of the capital stock, or a part of it, is wholly void and not capable of
validation. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-19 Permits prohibited to persons holding wine wholesaler's permit
and liquor wholesaler's permit
Sec. 19. The commission may not issue a beer wholesaler's permit
to a person who holds a wine wholesaler's permit and a liquor
wholesaler's permit. As added by P.L.72-1996, SEC.5.
IC 7.1-3-3-1 Application
Sec. 1. Application. The commission may issue a beer
wholesaler's permit to a person who desires to sell beer at wholesale
and who meets the qualifications required by this title. The
commission may require additional proof, by affidavit or otherwise,
that an applicant possesses any or all of the required qualifications. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-2 Necessary investment
Sec. 2. Necessary Investment. An applicant for a beer wholesaler's
permit shall have available for investment, capital, in cash or
property, necessary and useful in his business, exclusively as a beer
wholesaler, of at least fifteen thousand dollars ($15,000), exclusive
of motor vehicles. If his application is granted, the investment shall
actually be made and proof of it submitted to the commission before
the applicant shall engage in business as a beer wholesaler. The
provisions of this section shall not apply to a permittee who held a
valid beer wholesaler's permit as of April 2, 1965. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-3 Building requirements
Sec. 3. Building Requirements. The building to be occupied by a
beer wholesaler shall be owned or leased by him, or storage space in
it shall be leased to him. If the building or storage space is held by
lease, the lease shall be for the full term of the permit, and no other
person, or stockholder of a corporation, interested in the manufacture
of, or in the sale at retail of, alcoholic beverages shall own the
building or have any interest in it. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-4 Premises described in application
Sec. 4. (a) The premises to be used as a warehouse by an applicant
shall be described in the application for the permit. The commission
shall not issue a beer wholesaler's permit to an applicant for any
other warehouse or premises than that described in the application.
The commission shall issue only one (1) beer wholesaler's permit to
an applicant, but a permittee may be permitted to transfer the
permittee's warehouse to another location within the county that is
not required to be within the corporate limits of an incorporated city
or town, upon application to, and approval of, the commission.
(b) As used in this subsection, "immediate relative" means the
father, the mother, a brother, a sister, a son, or a daughter of a
wholesaler permittee. Notwithstanding subsection (a), the
commission, upon the death or legally adjudged mental
incapacitation of a wholesaler permittee, may allow the transfer of
the wholesaler permit only to an immediate relative of the wholesaler
permittee who concurrently holds a majority share in a valid
wholesaler permit. (Formerly: Acts 1973, P.L.55, SEC.1.) As amended by P.L.205-1999,
SEC.13; P.L.94-2008, SEC.27.
IC 7.1-3-3-5 Scope of permit
Sec. 5. (a) The holder of a beer wholesaler's permit may purchase
and import from the primary source of supply, possess, and sell at
wholesale, beer and flavored malt beverages manufactured within or
without this state.
(b) A beer wholesaler permittee may possess, transport, sell, and
deliver beer to:
(1) another beer wholesaler authorized by the brewer to sell the
brand purchased;
(2) an employee; or
(3) a holder of a beer retailer's permit, beer dealer's permit,
temporary beer permit, dining car permit, boat permit, airplane
permit, or supplemental caterer's permit;
located within this state. The sale, transportation, and delivery of
beer shall be made only from inventory that has been located on the
wholesaler's premises before the time of invoicing and delivery.
(c) The beer wholesaler's bona fide regular employees may
purchase beer from the wholesaler in:
(1) bottles, cans, or any other type of permissible containers in
an amount not to exceed forty-eight (48) pints; or
(2) one (1) keg;
at any one (1) time.
(d) The importation, transportation, possession, sale, and delivery
of beer shall be subject to the rules of the commission and subject to
the same restrictions provided in this title for a person holding a
brewer's permit.
(e) The holder of a beer wholesaler's permit may purchase, import,
possess, transport, sell, and deliver any commodity listed in
IC 7.1-3-10-5, unless prohibited by this title. However, a beer
wholesaler may deliver flavored malt beverages only to the holder of
one (1) of the following permits:
(1) A beer wholesaler or wine wholesaler permit, if the
wholesaler is authorized by the primary source of supply to sell
the brand of flavored malt beverage purchased.
(2) A wine retailer's permit, wine dealer's permit, temporary
wine permit, dining car wine permit, boat permit, airplane
permit, or supplemental caterer's permit.
(f) A beer wholesaler may:
(1) store beer for an out-of-state brewer described in
IC 7.1-3-2-9 and deliver the stored beer to another beer
wholesaler that the out-of-state brewer authorizes to sell the
beer;
(2) perform all necessary accounting and auditing functions
associated with the services described in subdivision (1); and
(3) receive a fee from an out-of-state brewer for the services
described in subdivisions (1) through (2). (Formerly: Acts 1973, P.L.55, SEC.1; Acts 1973, P.L.60, SEC.3;
Acts 1974, P.L.25, SEC.2.) As amended by Acts 1978, P.L.52, SEC.1;
P.L.57-1984, SEC.6; P.L.78-1986, SEC.3; P.L.72-1996, SEC.4;
P.L.72-1997, SEC.2; P.L.224-2005, SEC.5; P.L.94-2008, SEC.28.
IC 7.1-3-3-6 Renewals
Sec. 6. Renewals. A permittee who holds a beer wholesaler's
permit and who desires that it be renewed shall file an application for
renewal with the commission not less than thirty (30) days prior to
the expiration of the existing permit. The application shall be made
in the same manner that an application for an original permit is made. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-7 Action of commission on renewals
Sec. 7. Action of Commission on Renewals. The commission
shall notify the applicant in writing of its determination to grant or
deny the renewal of a beer wholesaler's permit not more than ten (10)
days after the filing of the application. The notice may be given by
personal service upon the applicant or by registered mail, addressed
to applicant at the address shown in the application for renewal. The
registration and deposit of the notice, properly addressed, in the post
office within the ten (10) day period shall be sufficient when the
notice is given by registered mail. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-8 Notice of renewal
Sec. 8. Notice of Renewal. The determination shall be final and
conclusive if the notice advises the applicant that his beer
wholesaler's permit will be renewed at the expiration of the existing
permit term. Prior to the expiration of the existing permit term, the
commission shall issue a renewal beer wholesaler's permit to the
applicant for the ensuing year. The failure on the part of the
commission to issue the renewal permit prior to the expiration of the
existing permit shall not deprive the applicant of the right to continue
in operation pending its issuance. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-9 Demand for public hearing
Sec. 9. Demand for Public Hearing. The commission shall state in
the notice to the applicant the reasons for the denial of the renewal
of his beer wholesaler's permit if they decide not to renew the permit.
The commission shall grant a public hearing to the applicant on the
matter if, within five (5) days after receipt by the applicant of the
notice of denial, he files with the commission a written demand for
a public hearing. The hearing shall be held either in the offices of the
commission or in the county seat of the county in which the
applicant's place of business is located after ten (10) days' notice to
the applicant of the time and place of the hearing. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-10 Conduct of hearing
Sec. 10. Conduct of Hearing. The hearing on the denial of the
renewal shall be conducted by a member of the commission or by a
special examiner designated by it for this purpose. A deputy attorney
general of the state shall represent the State of Indiana at the hearing
and he shall present the written and oral evidence in support of the
reasons given in the notice of the denial of the renewal of the beer
wholesaler's permit. The applicant, in person or by counsel, shall
present his evidence in support of his right to the renewal and in
rebuttal of the evidence presented by the state. The burden shall be
upon the state to establish the existence and sufficiency of the
reasons for the denial of the renewal of the permit. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-11 Findings and conclusions; action of commission
Sec. 11. Findings and Conclusions: Action of Commission. The
person who conducted the hearing shall make a report of the
recommended findings of fact and conclusions to the commission
following the hearing. The commission, upon receipt of the report,
by a majority vote of its membership, shall make findings of fact and
state its conclusions affirming or reversing the proposed denial of
renewal. The commission shall enter its order accordingly and that
order shall be final and conclusive except as otherwise provided in
this title. The commission shall serve the applicant, personally or by
registered mail, with a copy of the findings of fact, conclusions, and
order. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-12 Petition for review
Sec. 12. Petition for Review. The applicant, if the order of the
commission affirms the denial of the renewal of his permit, may file,
within ten (10) days following its receipt by him, an action to review
the findings, conclusions and order in the Superior Court of Marion
County, or in the circuit or superior court of the county in which the
applicant has his licensed premises, to set aside and enjoin the
enforcement of the order of denial on the grounds that it is unlawful,
unreasonable, or insufficient, or that it was obtained by wrongful,
fraudulent or other unlawful methods.
(Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-13 Contents of petition
Sec. 13. Contents of Petition. The petition for review shall be
verified by the applicant, or by someone in his behalf having
knowledge of the matters stated in the petition, and may include a
prayer that a temporary restraining order be issued against the
commission, temporarily restraining it from enforcing its order
denying the renewal. The temporary restraining order, if issued, shall
be issued in accordance with the procedures provided in the Indiana
Rules of Civil Procedure. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-14 Ad interim operations
Sec. 14. Ad Interim Operations. The denial of the renewal of the
permit shall not become effective until ten (10) days following the
receipt by the applicant of a copy of the findings of fact, conclusions,
and order of the commission affirming the denial if notice of denial
of renewal has been given and a public hearing has been demanded
as provided in this chapter. The enforcement of the commission's
order of denial of renewal shall be suspended pending the expiration
or dissolution of the temporary restraining order if one has been
sought and issued as provided in this chapter. During the period that
the order of denial is ineffective or suspended, the applicant shall be
fully authorized and entitled to operate as a beer wholesaler to the
same extent and effect as though a renewal permit had been issued
concurrently with the expiration of his previous permit, and without
being liable, criminally or civilly, on the ground of operating his beer
wholesaler's business without a permit. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-15 Trial
Sec. 15. Trial. The court shall give preference to the action for
review in order that, consistent with justice, the matters in issue may
be determined speedily. A change of venue from the county shall not
be granted in an action for review, but either party may apply for and
secure a change of judge under the Indiana Rules of Civil Procedure.
The trial of the action shall be by the court without the intervention
of a jury. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-16 Costs
Sec. 16. Costs. The commission, in the event the denial of renewal
becomes final as a result of a failure to bring an action for review, or
as a result of the final judgment of the court in which the action was
brought, shall deduct from the annual license fee accompanying the
application the amount of court costs taxed against the applicant and
shall pay it to the clerk of the court. The commission shall apply the
balance of the annual license fee to the payment of a license fee for
the period of the beer wholesaler's continued operation computed at
the rate of two dollars and seventy-five cents ($2.75) per day for the
number of calendar days, including Sundays and holidays, elapsed
during the period of continued operation. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-17 Cancellation of franchise agreement
Sec. 17. Cancellation of Franchise Agreement. The circuit or
superior court of the county in which the licensed premises of a beer
wholesaler are located shall have jurisdiction to enjoin the
cancellation or termination of a franchise or agreement between a
beer wholesaler and a brewer in violation of IC 1971, 7.1-5-5-9. The
action may be brought by a beer wholesaler or brewer who is or
might be adversely affected by the cancellation or termination. The
court, in granting an injunction under this section, shall provide that
the brewer shall not supply the customers or territory of the beer
wholesaler through servicing the customers or territory through
another beer wholesaler or by any other means while the injunction
is in effect. An injunction issued under this section shall require the
posting of proper bond against damages for an injunction
improvidently granted and a showing that the danger of irrevocable
loss or damage is immediate. The beer wholesaler shall continue to
service the accounts of the brewer in good faith during the term of
the injunction. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-18 Certain transactions void
Sec. 18. Certain Transactions Void. The transfer, sale, acquisition,
assignment, control of, or beneficial interest, direct or indirect, in or
to a beer wholesaler's permit, or in its business, or in its corporate
stock, by a brewer contrary to the provisions of IC 1971, 7.1-5-9-2,
or the transfer, assignment upon the capital stock book, or other
corporate record, of a corporation holding a beer wholesaler's permit,
of the capital stock, or a part of it, is wholly void and not capable of
validation. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-19 Permits prohibited to persons holding wine wholesaler's permit
and liquor wholesaler's permit
Sec. 19. The commission may not issue a beer wholesaler's permit
to a person who holds a wine wholesaler's permit and a liquor
wholesaler's permit. As added by P.L.72-1996, SEC.5.
IC 7.1-3-3-1 Application
Sec. 1. Application. The commission may issue a beer
wholesaler's permit to a person who desires to sell beer at wholesale
and who meets the qualifications required by this title. The
commission may require additional proof, by affidavit or otherwise,
that an applicant possesses any or all of the required qualifications. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-2 Necessary investment
Sec. 2. Necessary Investment. An applicant for a beer wholesaler's
permit shall have available for investment, capital, in cash or
property, necessary and useful in his business, exclusively as a beer
wholesaler, of at least fifteen thousand dollars ($15,000), exclusive
of motor vehicles. If his application is granted, the investment shall
actually be made and proof of it submitted to the commission before
the applicant shall engage in business as a beer wholesaler. The
provisions of this section shall not apply to a permittee who held a
valid beer wholesaler's permit as of April 2, 1965. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-3 Building requirements
Sec. 3. Building Requirements. The building to be occupied by a
beer wholesaler shall be owned or leased by him, or storage space in
it shall be leased to him. If the building or storage space is held by
lease, the lease shall be for the full term of the permit, and no other
person, or stockholder of a corporation, interested in the manufacture
of, or in the sale at retail of, alcoholic beverages shall own the
building or have any interest in it. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-4 Premises described in application
Sec. 4. (a) The premises to be used as a warehouse by an applicant
shall be described in the application for the permit. The commission
shall not issue a beer wholesaler's permit to an applicant for any
other warehouse or premises than that described in the application.
The commission shall issue only one (1) beer wholesaler's permit to
an applicant, but a permittee may be permitted to transfer the
permittee's warehouse to another location within the county that is
not required to be within the corporate limits of an incorporated city
or town, upon application to, and approval of, the commission.
(b) As used in this subsection, "immediate relative" means the
father, the mother, a brother, a sister, a son, or a daughter of a
wholesaler permittee. Notwithstanding subsection (a), the
commission, upon the death or legally adjudged mental
incapacitation of a wholesaler permittee, may allow the transfer of
the wholesaler permit only to an immediate relative of the wholesaler
permittee who concurrently holds a majority share in a valid
wholesaler permit. (Formerly: Acts 1973, P.L.55, SEC.1.) As amended by P.L.205-1999,
SEC.13; P.L.94-2008, SEC.27.
IC 7.1-3-3-5 Scope of permit
Sec. 5. (a) The holder of a beer wholesaler's permit may purchase
and import from the primary source of supply, possess, and sell at
wholesale, beer and flavored malt beverages manufactured within or
without this state.
(b) A beer wholesaler permittee may possess, transport, sell, and
deliver beer to:
(1) another beer wholesaler authorized by the brewer to sell the
brand purchased;
(2) an employee; or
(3) a holder of a beer retailer's permit, beer dealer's permit,
temporary beer permit, dining car permit, boat permit, airplane
permit, or supplemental caterer's permit;
located within this state. The sale, transportation, and delivery of
beer shall be made only from inventory that has been located on the
wholesaler's premises before the time of invoicing and delivery.
(c) The beer wholesaler's bona fide regular employees may
purchase beer from the wholesaler in:
(1) bottles, cans, or any other type of permissible containers in
an amount not to exceed forty-eight (48) pints; or
(2) one (1) keg;
at any one (1) time.
(d) The importation, transportation, possession, sale, and delivery
of beer shall be subject to the rules of the commission and subject to
the same restrictions provided in this title for a person holding a
brewer's permit.
(e) The holder of a beer wholesaler's permit may purchase, import,
possess, transport, sell, and deliver any commodity listed in
IC 7.1-3-10-5, unless prohibited by this title. However, a beer
wholesaler may deliver flavored malt beverages only to the holder of
one (1) of the following permits:
(1) A beer wholesaler or wine wholesaler permit, if the
wholesaler is authorized by the primary source of supply to sell
the brand of flavored malt beverage purchased.
(2) A wine retailer's permit, wine dealer's permit, temporary
wine permit, dining car wine permit, boat permit, airplane
permit, or supplemental caterer's permit.
(f) A beer wholesaler may:
(1) store beer for an out-of-state brewer described in
IC 7.1-3-2-9 and deliver the stored beer to another beer
wholesaler that the out-of-state brewer authorizes to sell the
beer;
(2) perform all necessary accounting and auditing functions
associated with the services described in subdivision (1); and
(3) receive a fee from an out-of-state brewer for the services
described in subdivisions (1) through (2). (Formerly: Acts 1973, P.L.55, SEC.1; Acts 1973, P.L.60, SEC.3;
Acts 1974, P.L.25, SEC.2.) As amended by Acts 1978, P.L.52, SEC.1;
P.L.57-1984, SEC.6; P.L.78-1986, SEC.3; P.L.72-1996, SEC.4;
P.L.72-1997, SEC.2; P.L.224-2005, SEC.5; P.L.94-2008, SEC.28.
IC 7.1-3-3-6 Renewals
Sec. 6. Renewals. A permittee who holds a beer wholesaler's
permit and who desires that it be renewed shall file an application for
renewal with the commission not less than thirty (30) days prior to
the expiration of the existing permit. The application shall be made
in the same manner that an application for an original permit is made. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-7 Action of commission on renewals
Sec. 7. Action of Commission on Renewals. The commission
shall notify the applicant in writing of its determination to grant or
deny the renewal of a beer wholesaler's permit not more than ten (10)
days after the filing of the application. The notice may be given by
personal service upon the applicant or by registered mail, addressed
to applicant at the address shown in the application for renewal. The
registration and deposit of the notice, properly addressed, in the post
office within the ten (10) day period shall be sufficient when the
notice is given by registered mail. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-8 Notice of renewal
Sec. 8. Notice of Renewal. The determination shall be final and
conclusive if the notice advises the applicant that his beer
wholesaler's permit will be renewed at the expiration of the existing
permit term. Prior to the expiration of the existing permit term, the
commission shall issue a renewal beer wholesaler's permit to the
applicant for the ensuing year. The failure on the part of the
commission to issue the renewal permit prior to the expiration of the
existing permit shall not deprive the applicant of the right to continue
in operation pending its issuance. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-9 Demand for public hearing
Sec. 9. Demand for Public Hearing. The commission shall state in
the notice to the applicant the reasons for the denial of the renewal
of his beer wholesaler's permit if they decide not to renew the permit.
The commission shall grant a public hearing to the applicant on the
matter if, within five (5) days after receipt by the applicant of the
notice of denial, he files with the commission a written demand for
a public hearing. The hearing shall be held either in the offices of the
commission or in the county seat of the county in which the
applicant's place of business is located after ten (10) days' notice to
the applicant of the time and place of the hearing. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-10 Conduct of hearing
Sec. 10. Conduct of Hearing. The hearing on the denial of the
renewal shall be conducted by a member of the commission or by a
special examiner designated by it for this purpose. A deputy attorney
general of the state shall represent the State of Indiana at the hearing
and he shall present the written and oral evidence in support of the
reasons given in the notice of the denial of the renewal of the beer
wholesaler's permit. The applicant, in person or by counsel, shall
present his evidence in support of his right to the renewal and in
rebuttal of the evidence presented by the state. The burden shall be
upon the state to establish the existence and sufficiency of the
reasons for the denial of the renewal of the permit. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-11 Findings and conclusions; action of commission
Sec. 11. Findings and Conclusions: Action of Commission. The
person who conducted the hearing shall make a report of the
recommended findings of fact and conclusions to the commission
following the hearing. The commission, upon receipt of the report,
by a majority vote of its membership, shall make findings of fact and
state its conclusions affirming or reversing the proposed denial of
renewal. The commission shall enter its order accordingly and that
order shall be final and conclusive except as otherwise provided in
this title. The commission shall serve the applicant, personally or by
registered mail, with a copy of the findings of fact, conclusions, and
order. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-12 Petition for review
Sec. 12. Petition for Review. The applicant, if the order of the
commission affirms the denial of the renewal of his permit, may file,
within ten (10) days following its receipt by him, an action to review
the findings, conclusions and order in the Superior Court of Marion
County, or in the circuit or superior court of the county in which the
applicant has his licensed premises, to set aside and enjoin the
enforcement of the order of denial on the grounds that it is unlawful,
unreasonable, or insufficient, or that it was obtained by wrongful,
fraudulent or other unlawful methods.
(Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-13 Contents of petition
Sec. 13. Contents of Petition. The petition for review shall be
verified by the applicant, or by someone in his behalf having
knowledge of the matters stated in the petition, and may include a
prayer that a temporary restraining order be issued against the
commission, temporarily restraining it from enforcing its order
denying the renewal. The temporary restraining order, if issued, shall
be issued in accordance with the procedures provided in the Indiana
Rules of Civil Procedure. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-14 Ad interim operations
Sec. 14. Ad Interim Operations. The denial of the renewal of the
permit shall not become effective until ten (10) days following the
receipt by the applicant of a copy of the findings of fact, conclusions,
and order of the commission affirming the denial if notice of denial
of renewal has been given and a public hearing has been demanded
as provided in this chapter. The enforcement of the commission's
order of denial of renewal shall be suspended pending the expiration
or dissolution of the temporary restraining order if one has been
sought and issued as provided in this chapter. During the period that
the order of denial is ineffective or suspended, the applicant shall be
fully authorized and entitled to operate as a beer wholesaler to the
same extent and effect as though a renewal permit had been issued
concurrently with the expiration of his previous permit, and without
being liable, criminally or civilly, on the ground of operating his beer
wholesaler's business without a permit. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-15 Trial
Sec. 15. Trial. The court shall give preference to the action for
review in order that, consistent with justice, the matters in issue may
be determined speedily. A change of venue from the county shall not
be granted in an action for review, but either party may apply for and
secure a change of judge under the Indiana Rules of Civil Procedure.
The trial of the action shall be by the court without the intervention
of a jury. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-16 Costs
Sec. 16. Costs. The commission, in the event the denial of renewal
becomes final as a result of a failure to bring an action for review, or
as a result of the final judgment of the court in which the action was
brought, shall deduct from the annual license fee accompanying the
application the amount of court costs taxed against the applicant and
shall pay it to the clerk of the court. The commission shall apply the
balance of the annual license fee to the payment of a license fee for
the period of the beer wholesaler's continued operation computed at
the rate of two dollars and seventy-five cents ($2.75) per day for the
number of calendar days, including Sundays and holidays, elapsed
during the period of continued operation. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-17 Cancellation of franchise agreement
Sec. 17. Cancellation of Franchise Agreement. The circuit or
superior court of the county in which the licensed premises of a beer
wholesaler are located shall have jurisdiction to enjoin the
cancellation or termination of a franchise or agreement between a
beer wholesaler and a brewer in violation of IC 1971, 7.1-5-5-9. The
action may be brought by a beer wholesaler or brewer who is or
might be adversely affected by the cancellation or termination. The
court, in granting an injunction under this section, shall provide that
the brewer shall not supply the customers or territory of the beer
wholesaler through servicing the customers or territory through
another beer wholesaler or by any other means while the injunction
is in effect. An injunction issued under this section shall require the
posting of proper bond against damages for an injunction
improvidently granted and a showing that the danger of irrevocable
loss or damage is immediate. The beer wholesaler shall continue to
service the accounts of the brewer in good faith during the term of
the injunction. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-18 Certain transactions void
Sec. 18. Certain Transactions Void. The transfer, sale, acquisition,
assignment, control of, or beneficial interest, direct or indirect, in or
to a beer wholesaler's permit, or in its business, or in its corporate
stock, by a brewer contrary to the provisions of IC 1971, 7.1-5-9-2,
or the transfer, assignment upon the capital stock book, or other
corporate record, of a corporation holding a beer wholesaler's permit,
of the capital stock, or a part of it, is wholly void and not capable of
validation. (Formerly: Acts 1973, P.L.55, SEC.1.)
IC 7.1-3-3-19 Permits prohibited to persons holding wine wholesaler's permit
and liquor wholesaler's permit
Sec. 19. The commission may not issue a beer wholesaler's permit
to a person who holds a wine wholesaler's permit and a liquor
wholesaler's permit. As added by P.L.72-1996, SEC.5.
