New York State Law

Alcoholic Beverage Control Law

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Article 4 - Alcoholic Beverage Control Law

SPECIAL PROVISIONS RELATING TO BEER

Section Description
50 Kinds of licenses.
51 Brewer`s license.
51-A Farm brewery license.
53 Wholesaler`s license.
53-A Vendor`s license.
54 License to sell beer at retail for consumption off the premises.
54-A License to sell beer and wine products at retail for consumption off the premises.
54-B Beer tasting.
55 License to sell beer at retail for consumption on the premises.
55-A License to sell beer at retail, in certain counties, for consumption at baseball parks, race tracks and outdoor athletic fields and stadia where admission fees are charged, in operation for certain periods of the year.
55-B Manner of changing beer prices to wholesalers and retail licensees.
55-C Agreements between brewers and beer wholesalers.
56 License fees.
56-A Filing fees and refunds.
57 License fees; when due and payable; fee for part of year.
57-A Change in duration of licenses.
S 50.Kinds of licenses.  The following kinds of licenses may be
issued for the brewing and sale of beer:
  1. Brewer`s licenses;
  2. Brewer`s retail licenses;
  3. Wholesaler`s licenses;
  4. Vendor`s licenses;
  5. Licenses to sell beer at retail for consumption off the premises;
     and
  6. Licenses to sell beer at retail for consumption on the premises.

S 51.Brewer`s license.   1.  Any  person  may  apply  to  the  liquor
authority for a license to brew beer within this state  for  sale.  Such
  application  shall  be  in  writing  and verified and shall contain such
  information as the liquor  authority  shall  require.  Such  application
  shall be accompanied by a check or draft for the amount required by this
  article  for  such  license.  If  the  liquor  authority shall grant the
  application, it  shall  issue  a  license  in  such  form  as  shall  be
  determined by its rules. Such license shall contain a description of the
  licensed premises and in form and in substance shall be a license to the
  person  therein  specifically  designated  to  brew beer in the premises
  therein specifically licensed.
    2. Such a license shall authorize the sale from the licensed  premises
  of  the  beer  brewed  by  such  licensee  to duly licensed wholesalers,
  retailers and permittees in this state, and to sell or deliver such beer
  to persons outside the state pursuant to the laws of the place  of  such
  sale  or  delivery.  A person holding a brewer's license may apply for a
  license to sell beer brewed by him at wholesale at premises  other  than
  those  designated  in  the  brewery  license  and the provisions of this
  article  relative  to  wholesaler's  licenses  shall  apply  so  far  as
  applicable to such application.
    3.  A  licensed  brewer may, under such rules as may be adopted by the
  liquor authority, sell beer at retail in bulk by the keg, cask or barrel
  for consumption and not for resale at  a  clam-bake,  barbeque,  picnic,
  outing  or  other  similar  outdoor  gathering  at which more than fifty
  persons are assembled.
    3-a. A licensed brewer may at the licensed premises  conduct  tastings
  of,  and sell at retail for consumption on or off the licensed premises,
  any beer manufactured by the licensee or  any  New  York  state  labeled
  beer.  Provided,  however,  that  for tastings and sales for on-premises
  consumption, the licensee shall regularly keep food available  for  sale
  or  service  to  its retail customers for consumption on the premises. A
  licensee providing the following shall be deemed in compliance with this
  provision: (i) sandwiches, soups or other  such  foods,  whether  fresh,
  processed,  pre-cooked  or  frozen;  and/or  (ii) food items intended to
  complement the tasting  of  alcoholic  beverages,  which  shall  mean  a
  diversified  selection  of  food that is ordinarily consumed without the
  use of tableware and can be  conveniently  consumed  while  standing  or
  walking,  including  but  not  limited  to: cheeses, fruits, vegetables,
  chocolates, breads, mustards and crackers. All of the provisions of this
  chapter relative to licenses to sell beer at retail for  consumption  on
  and off the premises shall apply so far as applicable to such licensee.
    4.  A  licensed  brewery  may  operate  a  restaurant, hotel, catering
  establishment, or other food and drinking establishment in  or  adjacent
  to  the  licensed  premises  and  sell  at  such  place,  at  retail for
  consumption on the premises, beer manufactured by the licensee  and  any
  New  York  state  labeled  beer.  All  of the provisions of this chapter
  relative to licenses to sell beer  at  retail  for  consumption  on  the
  premises   shall   apply   so   far  as  applicable  to  such  licensee.
  Notwithstanding any other provision of  law,  the  licensed  brewer  may
  apply to the liquor authority for a license to sell beer, wine or liquor
  at  retail for consumption on the premises at such establishment. All of
  the provisions of this chapter relative to licenses to sell  beer,  wine
  or  liquor  at retail for consumption on the premises shall apply so far
  as applicable to such application.
    5. A licensed brewer  whose  annual  production  is  less  than  sixty
  thousand  barrels may apply to the liquor authority for a permit to sell
  beer in a sealed container for off-premises  consumption  at  the  state
  fair,  at  recognized county fairs and at farmers' markets operated on a
  not-for-profit basis. As a condition of the permit a representative from
  the brewer must be present at the time of sale.
    5-a.  Except  as  otherwise provided in subdivisions three, four, five
  and six-a of this section and except as provided in section fifty-two of
  this article no brewer shall sell any beer, wine or liquor at retail.
    6. Notwithstanding the provisions of subdivision one  of  section  one
  hundred  one  of this chapter the authority may issue a brewer's license
  pursuant to this section for a premises which shall  be  located  wholly
  within  the  town  of  Hyde Park, county of Dutchess, state of New York,
  known and designated as Lot No. 1 shown on a map  entitled  "Subdivision
  for  Piney" filed in the Dutchess County Clerk's Office as Map No. 8764,
  being more particularly bounded and described as follows:
    BEGINNING at a point on the easterly line of  State  Highway  Route  9
  (also  known  as Albany Post Road) at the northwest corner of the herein
  described parcel and the southwest corner of the lands now  or  formerly
  of  Friendly Ice Cream Corp.; thence along the division line between the
  herein described parcel and the last mentioned lands; South 77  deg  10'
  10"  East  310.17  feet  to the northeast corner of the herein described
  parcel and the southeast corner of the last mentioned lands at  a  point
  on  the  westerly  line  of  other  lands  of  Fernando  Piney which are
  designated as Lot No. 1 as shown of Filed Map  5678;  thence  along  the
  division line between the herein described parcel and the last described
  lands  of  Piney. South 06 deg 34' 20" West 157.76 feet to the southeast
  corner of the herein described parcel and the northeast  corner  of  Lot
  No. 2 as shown on Filed Map No. 8764; thence along the northerly line of
  Lot No. 2 as shown on the last mentioned filed map. North 81 deg 25' 42"
  West  155.26  feet  and  South  87  deg  45' 20" West 155.00 feet to the
  southwest corner of Lot No. 1 and the northwest corner of Lot No. 2 at a
  point on the easterly line of State Highway Route 9;  thence  along  the
  easterly line of State Highway Route 9. North 06 deg 34' 20" East 210.00
  feet  to  the point of beginning. Being the same premises as conveyed to
  Anthony Lobianco,  Joseph  Lobianco  and  Carmelo  DeCicco  by  deed  of
  Universal  Land Abstract, as agent of the grantor, Fernando Piney, dated
  March 21, 1995 and recorded in the office of the Dutchess  County  Clerk
  on  such  date as Receipt no. R12437, Batch record no. A00209; Being the
  same premises as conveyed to Angela DeCicco by deed of Schirmer Hrdlicka
    Strohsahl, as agent of the grantor, Carmelo  DeCicco,  dated  November
  17,  2003  and  recorded  in  the office of the Dutchess County Clerk on
  December 9, 2004 as document no. 02  2004  12028,  Receipt  no.  R98669,
  Batch record no. C00440.
    6-a. A licensed brewer producing New York state labelled beer may:
    (a)  sell  such  beer to licensed farm distillers, farm wineries, farm
  cideries and farm breweries. All such beer sold by the licensee shall be
  securely sealed and have attached thereto a label as shall  be  required
  by section one hundred seven-a of this chapter;
    (c)  sell  such beer at retail for consumption off the premises at the
  state fair, at recognized county fairs and at farmers  markets  operated
  on a not-for-profit basis;
    (e)  apply  for  a  permit  to conduct tastings away from the licensed
  premises of such beer. Such permit shall be valid throughout  the  state
  and may be issued on an annual basis or for individual events. Each such
  permit  and  the  exercise  of  the  privilege  granted thereby shall be
  subject to such rules and  conditions  of  the  authority  as  it  deems
  necessary.   Tastings  shall  be  conducted  subject  to  the  following
  conditions:
    (i) tastings shall be conducted by an official  agent,  representative
  or  solicitor  of  the licensee. Such agent, representative or solicitor
  shall be physically present at all  times  during  the  conduct  of  the
  tastings; and
    (ii)  any  liability  stemming from a right of action resulting from a
  tasting of beer or cider as authorized herein and in accordance with the
  provisions of sections 11-100 and 11-101 of the general obligations law,
  shall accrue to the licensee.
    (f) if it holds a tasting permit issued pursuant to paragraph  (e)  of
  this subdivision, apply to the authority for a permit to sell such beer,
  for  consumption  off  the  premises,  during  such tastings in premises
  licensed  under  sections  sixty-four,  sixty-four-a,   eighty-one   and
  eighty-one-a  of  this chapter. Each such permit and the exercise of the
  privilege granted thereby shall be subject to such rules and  conditions
  of the authority as it deems necessary.
    7.  Notwithstanding  any  contrary  provision of law or of any rule or
  regulation  promulgated  pursuant  thereto,  and  in  addition  to   the
  activities which may otherwise be carried on by any person licensed as a
  brewer  under  this chapter, such person may, on the premises designated
  in such license: (a) produce, package, bottle,  sell  and  deliver  soft
  drinks  and  other  non-alcoholic beverages, vitamins, malt, malt sirup,
  and other by-products; (b) dry spent grain from the brewery; (c) recover
  carbon dioxide and yeast;  (d)  store  bottles,  packages  and  supplies
  necessary  or  incidental  to  all such operations; (e) package, bottle,
  sell and deliver wine products; (f) allow  for  the  premises  including
  space  and  equipment  to  be rented by a licensed tenant brewer for the
  purposes of alternation; and (g) manufacture, produce,  blend,  package,
  bottle,  purchase, sell and deliver alcoholic beverages. If any licensed
  brewer desires to engage in any of the activities in paragraph (a), (b),
  (c), (d) or (e) of  this  subdivision  which  (a)  require  the  use  of
  by-products   or  wastage  from  the  production  of  beer,  or  utilize
  buildings, room-areas or equipment not fully employed in the  production
  of  beer; or (b) are reasonably necessary to realize the maximum benefit
  from the premises and equipment  and  to  reduce  the  overhead  of  the
  brewery;  or  (c)  are  in  the  public  interest  because  of emergency
  conditions; or (d) involve experiments or research projects  related  to
  equipment, materials, processes, products, by-products or wastage of the
  brewery,  he  shall  submit  an  application  so  to  do  to  the liquor
  authority, on forms prescribed and furnished by  it.  If  the  authority
  determines  that  the  activities  specified in the application will not
  impede the effective administration of the  alcoholic  beverage  control
  law,  it  may  approve such application, subject to such restrictions or
  modifications, and in such manner and form as it may determine,  and  no
  brewer  licensed  under this chapter shall engage in any such activities
  without the prior approval of the authority. Provided, however,  if  the
  licensed  brewer  desires  to  engage  in  any  activities identified in
  paragraph (f) or (g) of this subdivision the licensee  shall  submit  an
  application  to  do  so to the liquor authority, on forms prescribed and
  furnished by  it.  If  the  authority  determines  that  the  activities
  specified   in   the   application   will   not   impede  the  effective
  administration of this chapter, it may approve such application, subject
  to such restrictions or modifications, and in such manner and form as it
  may determine. The approval of such application shall be subject to  the
  imposition   of   such  additional  license  fees  for  such  activities
  identified in paragraph (g) of  this  subdivision  consistent  with  the
  manufacture  of  any alcoholic beverages under this article and articles
  five and six of this chapter. The liquor authority is hereby  authorized
  to  adopt  such  rules  and regulations as it may determine necessary to
  effectuate the provisions of this subdivision.
    8.  (a) A licensee or his or her employee, or a brewer or manufacturer
  as defined  in  section  three  of  this  chapter  or  its  employee  or
  representative,  or  an  importer  having  a basic permit as required by
  section 1.20 of title 27 of the  code  of  federal  regulations  or  its
  employee  or  representative, may obtain a permit to serve small samples
  of  beer  or  malt  beverages  he  or  she  produces   or   imports   at
  establishments licensed under section fifty-four or fifty-four-a of this
  article.  Furthermore such permit may also be obtained for serving small
  samples of beer or malt beverages produced or imported by such licensee,
  brewer,  manufacturer  or  importer  at  annual   fairs   sponsored   by
  agricultural  and horticultural societies as defined in section fourteen
  hundred nine of the not-for-profit corporation law, and for sampling  at
  the  licensed  premises  of  the  holder of a wholesaler's license under
  section fifty-three of this article issued  or  renewed  prior  to  July
  first,  nineteen  hundred  sixty, and thereafter renewed or transferred,
  which authorizes the holder thereof to sell beer at retail to  a  person
  for  consumption  in  his or her home. For purposes of this paragraph, a
  representative  shall  not  include  a  person  licensed  under  section
  fifty-three of this article or his or her employees.
    (b)  The  fee  for  a  temporary brewer tasting permit shall be twenty
  dollars and shall be issued by the authority and dated for its period of
  use, which shall not exceed three days. An applicant for such permit may
  also apply for an annual brewer tasting permit for a fee of one thousand
  dollars which shall be issued by the authority.
    (c) Tastings at such licensed establishments or annual fairs shall  be
  conducted  only  within  the hours fixed by or pursuant to this chapter,
  during which alcoholic beverages may be lawfully sold or permitted  upon
  premises  licensed  to  sell  beer  or  malt  beverages for off-premises
  consumption.
    (d) A licensee or his or her employee may  provide  small  samples  of
  beer   or   malt   beverages  he  or  she  produces  at  their  licensed
  establishment. No permit shall be required for a licensee or his or  her
  employee  to provide small samples of beer or malt beverages when served
  at his or her licensed establishment.
    (e) Each serving at tastings shall be served only  by  the  brewer  or
  importer  or his or her employee and shall be limited to three ounces or
  less of a brand of beer or malt beverage produced by the  brewer  or  by
  the  importer  and  no  consumer of legal age shall be provided or given
  more than two servings of such brands offered for tasting.
    (f) All beer or other malt  beverages  served  pursuant  to  a  permit
  issued  under  this  subdivision shall have been purchased by the retail
  licensee upon whose premises the serving of samples is taking place.
    (g) A brewer or importer to whom a permit is issued pursuant  to  this
  subdivision  may  not be assessed a fee or charge by the retail licensee
  upon whose premises the serving is taking place  for  the  privilege  of
  serving such samples.
    (h)  The  brewer  or  importer,  or  his  or her employee serving such
  samples, shall be responsible for ensuring that such  samples  are  only
  served to individuals legally eligible to consume alcoholic beverages in
  this state.
    (i)  Any  liability stemming from a right of action resulting from the
  sampling  of  beer  or  other  malt  beverages  as  authorized  by  this
  subdivision,  and  in  accordance with the provisions of sections 11-100
  and 11-101 of the general obligations law, shall accrue to the brewer or
  importer.
    (j) The authority is authorized and directed to provide such forms  to
  a  brewer  or  importer to obtain the necessary temporary brewer tasting
  permit and promulgate such rules and regulations, as it deems  necessary
  or  appropriate  to  implement  the  provisions  of  this subdivision to
  protect the health, safety and welfare of the people of this state.
    9.  A  brewery  shall  manufacture  at  least  fifty  barrels  of beer
  annually.

  S 51-a. Farm  brewery  license. 1. Any person may apply to the authority
 for  a farm brewery license as provided for in this section to brew beer
 within this state for sale. Such application shall  be  in  writing  and
 verified  and  shall  contain  such  information  as the authority shall
 require. Such application shall be accompanied by a check or  draft  for
 the  amount  required by this article for such license. If the authority
 grants the application, it shall issue a license in such form  as  shall
 be  determined by its rules. Such license shall contain a description of
 the licensed premises and in form and in substance shall be a license to
 the person therein specifically designated to brew beer in the  premises
 therein specifically licensed.
   2.  A  farm  brewery  license  shall  authorize  the holder thereof to
 operate a brewery for the manufacture of New York state  labelled  beer.
 Such a license shall also authorize the licensee to:
   (a) manufacture New York state labelled cider;
   (b)  sell  in  bulk beer and cider manufactured by the licensee to any
 person licensed to manufacture alcoholic beverages in this state or to a
 permittee engaged in the manufacture of products  which  are  unfit  for
 beverage use;
   (c)  sell  or  deliver  beer and cider manufactured by the licensee to
 persons outside the state pursuant to the laws  of  the  place  of  such
 delivery;
   (d)  sell  beer  and cider manufactured by the licensee to wholesalers
 and retailers licensed in this  state  to  sell  such  beer  and  cider,
 licensed farm distillers, licensed farm wineries, licensed farm cideries
 and any other licensed farm brewery. All such beer and cider sold by the
 licensee  shall  be securely sealed and have attached thereto a label as
 shall be required by section one hundred seven-a of this chapter;
   (e) sell at the licensed premises beer and cider manufactured  by  the
 licensee or any other licensed farm brewery at retail for consumption on
 or off the licensed premises;
   (f)  conduct  tastings  at  the  licensed  premises  of beer and cider
 manufactured by the licensee or any other licensed farm brewery;
   (g) operate a restaurant, hotel, catering establishment, or other food
 and drinking establishment in or adjacent to the licensed  premises  and
 sell  at such place, at retail for consumption on the premises, beer and
 cider manufactured by the licensee and any New York state  labeled  beer
 or  New  York state labeled cider. All of the provisions of this chapter
 relative to licenses to sell beer at retail for consumption on  and  off
 the  premises  shall  apply  so  far  as  applicable  to  such licensee.
 Notwithstanding any other provision of law, the  licensed  farm  brewery
 may  apply  to  the  authority  for a license under this chapter to sell
 other alcoholic beverages at retail for consumption on the  premises  at
 such establishment;
   (h)  sell  beer  and  cider  manufactured by the licensee or any other
 licensed farm brewery at retail for consumption off the premises, at the
 state fair, at recognized county fairs and at farmers  markets  operated
 on a not-for-profit basis;
   (i)  conduct  tastings  of  and sell at retail for consumption off the
 premises New York state labelled wine manufactured by a licensed  winery
 or licensed farm winery;
   (j)  conduct  tastings  of  and sell at retail for consumption off the
 premises New York state labelled cider manufactured by a licensed  cider
 producer or licensed farm cidery;
   (k)  conduct  tastings  of  and sell at retail for consumption off the
 premises New York state  labelled  liquor  manufactured  by  a  licensed
 distiller  or  licensed  farm  distiller;  provided,  however,  that  no
 consumer may be provided, directly or indirectly:  (i)  with  more  than
 three  samples of liquor for tasting in one calendar day; or (ii) with a
 sample of liquor for tasting equal to more than one-quarter fluid ounce;
 and
   (l)  engage  in any other business on the licensed premises subject to
 such rules and regulations as the authority may  prescribe.  Such  rules
 and regulations shall determine which businesses will be compatible with
 the policy and purposes of this chapter and shall consider the effect of
 particular  businesses  on the community and area in the vicinity of the
 farm brewery licensee.
   3. (a) A farm brewery licensee may  apply  for  a  permit  to  conduct
 tastings  away  from the licensed premises of beer and cider produced by
 the licensee. Such permit shall be valid throughout the state and may be
 issued on an annual basis or for individual events. Each such permit and
 the exercise of the privilege granted thereby shall be subject  to  such
 rules and conditions of the authority as it deems necessary.
   (b) Tastings shall be conducted subject to the following limitations:
   (i)  tastings  shall be conducted by an official agent, representative
 or solicitor of one or more farm breweries. Such  agent,  representative
 or solicitor shall be physically present at all times during the conduct
 of the tastings; and
   (ii)  any  liability  stemming from a right of action resulting from a
 tasting of beer or cider as authorized herein and in accordance with the
 provisions of sections 11-100 and 11-101 of the general obligations law,
 shall accrue to the farm brewery.
   4. A licensed farm brewery holding a tasting permit issued pursuant to
 subdivision three of this section may  apply  to  the  authority  for  a
 permit  to  sell  beer  and  cider produced by such farm brewery, by the
 bottle,  during  such  tastings  in  premises  licensed  under  sections
 sixty-four,  sixty-four-a,  eighty-one and eighty-one-a of this chapter.
 Each such permit and the exercise of the privilege granted thereby shall
 be subject to such rules and conditions of the  authority  as  it  deems
 necessary.
   5.  A licensed farm brewery may, under such rules as may be adopted by
 the authority, sell beer or cider manufactured by the  licensee  or  any
 other licensed farm brewery at retail in bulk by the keg, cask or barrel
 for  consumption  and  not  for resale at a clam-bake, barbeque, picnic,
 outing or other similar outdoor  gathering  at  which  more  than  fifty
 persons are assembled.
   6. A licensed farm brewery may apply to the authority for a license to
 sell  liquor  and/or wine at retail for consumption on the premises in a
 restaurant owned by him and conducted and operated by the licensee in or
 adjacent to its farm brewery. All of  the  provisions  of  this  chapter
 relative  to licenses to sell liquor or wine at retail or consumption on
 the premises shall apply so far as applicable.
   7. A farm brewery  license  shall  authorize  the  holder  thereof  to
 manufacture,  bottle  and  sell  food  condiments  and  products such as
 mustards, sauces, hop seasonings, beer nuts, and  other  hops  and  beer
 related  foods  in  addition  to  beer  and  hop soaps, hop pillows, hop
 wreaths and other  such  food  and  crafts  on  and  from  the  licensed
 premises.  Such  license shall authorize the holder thereof to store and
 sell gift items in a tax-paid room upon the licensed premises incidental
 to the sale of beer. These gift items shall be limited to the  following
 categories:
   (a)  non-alcoholic  beverages  for  consumption  on  or  off premises,
 including but not limited to bottled water, juice and soda beverages;
   (b) food items  for  the  purpose  of  complementing  beer  and  cider
 tastings,  which  shall  mean  a  diversified  selection of food that is
 ordinarily consumed without the use of tableware and can be conveniently
 consumed while standing or walking. Such food items  shall  include  but
 not  be  limited  to:  cheeses,  fruits, vegetables, chocolates, breads,
 mustards and crackers;
   (c) food items, which shall include locally produced farm products and
 any  food  or  food  product  not  specifically  prepared  for immediate
 consumption upon the premises. Such food items may be  combined  into  a
 package containing cider, beer and/or hop related products;
   (d)  beer  supplies  and  accessories,  which  shall  include any item
 utilized for  the  storage,  serving  or  consumption  of  beer  or  for
 decorative  purposes.  These supplies may be sold as single items or may
 be combined into a package containing beer;
   (e) beer-making equipment and supplies including, but not limited  to,
 home beer-making or homebrewing kits, filters, bottling equipment, hops,
 barley,  yeasts,  chemicals and other beer additives, and books or other
 written  material  to  assist  beer-makers  and  home   beer-makers   or
 homebrewers to produce and bottle beer;
   (f)  souvenir  items,  which  shall  include,  but  not  be limited to
 artwork, crafts, clothing, agricultural products and any other  articles
 which can be construed to propagate tourism within the region.
   8.  Notwithstanding any provision of this chapter to the contrary, any
 farm brewery licensee may charge for tours of its premises.
   9. The holder of a license issued under this section may operate up to
 five branch offices located away from the licensed  farm  brewery.  Such
 locations  shall  be  considered  part  of the licensed premises and all
 activities allowed at and limited to the farm brewery may  be  conducted
 at  the branch offices. Such branch offices shall not be located within,
 share a common entrance and exit with, or have any  interior  access  to
 any  other  business,  including  premises  licensed  to  sell alcoholic
 beverages at retail. Prior to commencing operation of  any  such  branch
 office,  the licensee shall notify the authority of the location of such
 branch office and the authority may issue a permit for the operation  of
 same.
   10.  (a)  No  farm brewery shall manufacture in excess of seventy-five
 thousand finished barrels of beer and cider annually.
   (b) A farm brewery shall manufacture at least fifty  barrels  of  beer
 and cider annually.
   11.  (a)  Except  as provided in paragraph (b) of this subdivision, no
 licensed farm brewery shall manufacture or sell any beer other than  New
 York state labelled beer.
   (b)  In  the  event  that the commissioner of agriculture and markets,
 after investigating and compiling information  pursuant  to  subdivision
 forty-two  of  section  sixteen  of  the  agriculture  and  markets law,
 determines that a natural disaster, act of  God,  or  continued  adverse
 weather  condition  has  destroyed much of the necessary ingredients for
 brewing beer, such commissioner, in consultation with  the  chairman  of
 the authority, may give authorization to a duly licensed farm brewery to
 manufacture  or  sell  beer  produced from ingredients grown or produced
 outside this state. No such authorization shall be  granted  to  a  farm
 brewery licensee unless such licensee certifies to such commissioner the
 quantity  of New York grown ingredients unavailable to such licensee due
 to such natural disaster, act  of  God  or  continuing  adverse  weather
 condition  and  satisfies such commissioner that reasonable efforts were
 made to obtain brewing ingredients from a New York state source for such
 beer making  purpose.  No  farm  brewery  shall  utilize  an  amount  of
 out-of-state  grown  or produced ingredients exceeding the amount of New
 York grown ingredients that such brewery is unable to obtain due to  the
 destruction  of  New  York  grown  or  produced ingredients by a natural
 disaster,  act  of  God  or  continuing  adverse  weather  condition  as
 determined  by  the  commissioner of agriculture and markets pursuant to
 this subdivision. For purposes of this subdivision,  the  department  of
 agriculture  and markets and the authority are authorized to adopt rules
 and  regulations  as they may deem necessary to carry out the provisions
 of this subdivision which shall include ensuring that  in  manufacturing
 beer  farm  breweries  utilize ingredients grown or produced in New York
 state to the extent they are reasonably available,  prior  to  utilizing
 ingredients from an out-of-state source for such purpose.
   (c)  The  commissioner of agriculture and markets shall make available
 to farm breweries and  to  the  public  each  specific  ingredient  loss
 determination issued pursuant to paragraph (b) of this subdivision on or
 before August twentieth of each year.
   (d)  In  the  event that the continuing effects of a natural disaster,
 act of God, or adverse weather condition which occurred prior to  August
 twentieth of each year or the effects of a natural disaster, act of God,
 or adverse weather condition which occurs subsequent to August twentieth
 each  year  results  in  any  ingredient  loss which meets the standards
 provided in paragraph (b)  of  this  subdivision,  the  commissioner  of
 agriculture  and  markets,  in  consultation  with  the  chairman of the
 authority, may issue additional ingredient loss determinations and shall
 expeditiously make available to farm breweries and to  the  public  each
 specific ingredient loss determination issued pursuant to this paragraph
 prior to October tenth of each year.
   12.  (a)  Except  as provided in paragraph (b) of this subdivision, no
 licensed farm brewery shall manufacture or sell any cider other than New
 York state labelled cider.
   (b) In the event that the commissioner  of  agriculture  and  markets,
 after  investigating  and  compiling information pursuant to subdivision
 forty-two of  section  sixteen  of  the  agriculture  and  markets  law,
 determines  that  a  natural  disaster, act of God, or continued adverse
 weather condition has destroyed much of the  apple  crop  necessary  for
 producing cider, such commissioner, in consultation with the chairman of
 the authority, may give authorization to a duly licensed farm brewery to
 manufacture or sell cider produced from apples grown outside this state.
 No such authorization shall be granted to a farm brewery licensee unless
 such  licensee  certifies  to such commissioner the quantity of New York
 grown apples unavailable to such licensee due to such natural  disaster,
 act  of  God  or continuing adverse weather condition and satisfies such
 commissioner that reasonable efforts were made to obtain apples  from  a
 New  York  state  source  for such cider making purpose. No farm brewery
 shall utilize an amount  of  out-of-state  grown  apples  exceeding  the
 amount  of  New  York grown apples that such brewery is unable to obtain
 due to the destruction of New York grown apples by a  natural  disaster,
 act  of God or continuing adverse weather condition as determined by the
 commissioner of agriculture and markets pursuant  to  this  subdivision.
 For  purposes  of  this  subdivision,  the department of agriculture and
 markets and the authority are authorized to adopt rules and  regulations
 as  they  may  deem  necessary  to  carry  out  the  provisions  of this
 subdivision which shall include ensuring  that  in  manufacturing  cider
 farm breweries utilize apples grown in New York state to the extent they
 are reasonably available, prior to utilizing apples from an out-of-state
 source for such purpose.
   (c)  The  commissioner of agriculture and markets shall make available
 to  farm  breweries  and  to  the  public  each  specific   apple   loss
 determination issued pursuant to paragraph (b) of this subdivision on or
 after August twentieth of each year.
   (d)  In  the  event that the continuing effects of a natural disaster,
 act of God, or adverse weather condition which occurred prior to  August
 twentieth of each year or the effects of a natural disaster, act of God,
 or adverse weather condition which occurs subsequent to August twentieth
 of  each  year  results in any apple crop loss which meets the standards
 provided  in  paragraph  (b)  of  this  subdivision, the commissioner of
 agriculture and markets,  in  consultation  with  the  chairman  of  the
 authority, may issue additional apple crop loss determinations and shall
 expeditiously  make  available  to  farm breweries and to the public the
 loss determination issued pursuant to this paragraph  prior  to  October
 tenth of each year.
   13.  Notwithstanding  any  contrary provision of law or of any rule or
 regulation  promulgated  pursuant  thereto,  and  in  addition  to   the
 activities  which  may  otherwise  be carried out by any person licensed
 under this section, such person may, on the premises designated in  such
 license:
   (a)  produce,  package, bottle, sell and deliver soft drinks and other
 non-alcoholic  beverages,  vitamins,  malt,  malt   syrup,   and   other
 by-products;
   (b) dry spent grain from the brewery;
   (c) recover carbon dioxide and yeast;
   (d)  store  bottles,  packages and supplies necessary or incidental to
 all such operations;
   (e) package, bottle, sell and deliver wine products;
   (f) allow for the premises including space and equipment to be  rented
 by a licensed tenant brewer for the purposes of alternation.
   14. Notwithstanding any other provision of this chapter, the authority
 may  issue a farm brewery license to the holder of a farm winery or farm
 distiller's  license  for  use  at  such  licensee's  existing  licensed
 premises.  The  holder of a farm winery or farm distiller's license that
 simultaneously holds a farm brewery license on an adjacent premises  may
 share  and  use the same tasting room facilities to conduct any tastings
 that such licensee is otherwise authorized to conduct.
   15. The  authority  is  hereby  authorized  to  promulgate  rules  and
 regulations  to  effectuate the purposes of this section. In prescribing
 such rules and regulations, the authority shall  promote  the  expansion
 and  profitability  of  beer  and cider production and of tourism in New
 York, thereby promoting the conservation, production and enhancement  of
 New York state agricultural lands.

S 53.Wholesaler`s license.  Any person may apply to the liquor
authority for a license to sell beer at wholesale. Such application
shall be in writing and verified and shall contain such information as
the liquor authority shall require.  Such application shall be
accompanied by a check or draft for the amount required by this article
for such license. If the liquor authority shall grant the application it
shall issue a license in such form as shall be determined by its rules.
Such a license shall contain a description of the licensed premises and
in form and in substance shall be a license to the person therein
specifically designated to sell beer at wholesale in the premises
therein specifically licensed to duly licensed wholesalers, retailers
and permittees in this state, and to sell or deliver beer to persons
outside the state pursuant to the laws of the place of such sale or
delivery. A wholesaler`s license issued or renewed prior to July first,
nineteen hundred sixty, and thereafter renewed or transferred, shall
authorize the holder thereof to sell beer at retail to a person for
consumption in his home; provided, however, that regardless of the date
issued, renewed or transferred, a wholesaler`s license issued to a
brewer or to the wholly-owned subsidiary of a brewer, shall authorize
the holder thereof to sell beer at retail to a person for consumption in
his home.

S 53-a.Vendor`s license.  In cities having a population of one
million or more, any individual person may apply for a license to sell
beer as a vendor. Such application shall be in writing, and verified,
and shall contain such information as the liquor authority shall
require. Such application shall be accompanied by a check or draft for
the amount required by this article for such license. If the liquor
authority shall grant the application it shall issue a license in such
form as shall be determined by its rules. Such a license shall contain a
description of the licensed premises and in form and in substance shall
be a license to the person therein specifically designated to sell beer
as a vendor in cities having a population of one million or more only,
from the premises therein specifically licensed.  A vendor`s license
shall authorize the holder thereof to sell beer at retail to be
delivered by such vendor to a person for consumption in his home and
shall authorize the holder thereof to operate one vehicle for the
delivery of beer, but shall not authorize the sale to any person or
licensee for resale.

S 54.License to sell beer at retail for consumption off the premises.
1. Any person may apply to the appropriate board for a license to sell
beer at retail not to be consumed upon the premises where sold.  Such
application shall be in writing and verified and shall contain such
information as the liquor authority shall require. Such application
shall be accompanied by a check or draft for the amount required by this
article for such license. The term "premises" shall include any duly
licensed supply ship operating in harbors in Lake Erie.
  2. In the event that the liquor authority issues such license it shall
forward the same to the applicant.
  3. If the authority shall disapprove an application for a license or
permit, it shall state and file in its offices the reasons therefor and
shall notify the applicant thereof. Such applicant may thereupon apply
to the liquor authority for a review of such action in a manner to be
prescribed by the rules of the liquor authority. A hearing upon notice
to the applicant shall thereupon be held by the liquor authority or by
one of its members at its office most conveniently situated to the
office of its duly authorized representative in a manner to be
prescribed in its rules; and on such hearing proof may be taken by oral
testimony or by affidavit relative thereto. After such hearing, if the
liquor authority confirms such disapproval, it shall endorse such
application accordingly and shall send notice to the applicant of its
action in such form as the liquor authority may prescribe. If the liquor
authority does not confirm the disapproval action it may grant such
application and issue such license.
  4. No such license shall be issued, however, to any person for any
premises other than a grocery store, drug store, or duly licensed supply
ship operating in harbors in Lake Erie.
  5. Such license shall contain a description of the licensed premises
and in form and in substance shall be a license to the person
specifically designated therein to sell beer at retail in the premises
specifically licensed, not to be consumed upon said premises.

S 54-a.License   to  sell  beer  and  wine  products  at  retail  for
consumption off the premises. 1. Any person may apply to the appropriate
board for a license to sell beer and wine products at retail not  to  be
consumed  upon  the  premises  where  sold. Such application shall be in
writing and verified and shall contain such information  as  the  liquor
authority  shall  require.  Such  application  shall be accompanied by a
check or draft for the amount required  by  section  fifty-six  of  this
article  for  such  license.  The term "premises" shall include any duly
licensed supply  ship  operating  in  harbors  in  Lake  Erie.  All  the
provisions contained in subdivisions two and three of section fifty-four
of  this article shall apply to the procedure relative to an application
for a license under this section.
  2. No such license shall be issued, however, to  any  person  for  any
premises other than a grocery store, drug store, or duly licensed supply
ship operating in harbors in Lake Erie.
  3.  Such  license shall contain a description of the licensed premises
and in  form  and  in  substance  shall  be  a  license  to  the  person
specifically designated therein to sell beer and wine products at retail
in  the  premises  specifically  licensed,  not to be consumed upon said
premises.

 S 54-b. Beer  tasting. Any person holding a retail license to sell beer
 under  this  chapter  shall be permitted to conduct consumer tastings of
 beer upon such person's licensed premises. All such  tastings  shall  be
 subject to the following limitations:
   (a)  Tastings  of  beer  shall  be  conducted  by  the  licensee or an
 authorized agent of the licensee. Provided, however, a licensed beer  or
 cider  wholesaler  shall  not  serve as the authorized agent for another
 entity, nor shall a licensed beer or cider wholesaler be involved in any
 manner with a beer tasting conducted by another entity.
   (b) No more than three samples of beer may be provided to a person  in
 one calendar day.
   (c) No sample may exceed three fluid ounces.
   (d)  No  tasting  shall  be  held  during  the hours prohibited by the
 provisions of sections one hundred five and one hundred five-a  of  this
 chapter.
   (e)  Any  liability  stemming  from a right of action resulting from a
 tasting authorized by this section and in accordance with the provisions
 of sections 11-100 and 11-101  of  the  general  obligations  law  shall
 accrue to the licensee.
   (f)  No person under the age of twenty-one shall be permitted to serve
 a sample or handle an open container of beer.

S 55.License to sell beer at retail for consumption on the premises.
  1.  Any person may make an application to the appropriate  board  for  a
  license  to  sell  beer at retail to be consumed upon the premises. Such
  application shall be in writing and  verified  and  shall  contain  such
  information  as  the  liquor  authority  shall require. Such application
  shall be accompanied by a check or draft for the amount required by this
  article  for  such  license.  All  of  the   provisions   contained   in
  subdivisions  two  and three of the preceding section shall apply to the
  procedure relative to an application for a license under this section.
    2. Such a license shall contain a description of the licensed premises
  and in form and in substance shall be a license to  the  person  therein
  specifically   designated   to   sell   beer  in  the  premises  therein
  specifically licensed, at retail, to be  consumed  upon  such  premises.
  Such  license shall also include the privilege of selling beer at retail
  to be consumed off the premises.
    3. No such license shall be issued, however, to  any  person  for  any
  premises  other  than  premises  for which a license may be issued under
  section sixty-four or  sixty-four-a  of  this  chapter  or  a  hotel  or
  premises which are kept, used, maintained, advertised or held out to the
  public  to  be a place where food is prepared and served for consumption
  on the premises in such quantities as to satisfy  the  liquor  authority
  that the sale of beer intended is incidental to and not the prime source
  of revenue from the operation of such premises. The foregoing provisions
  of  this  subdivision shall not apply to any premises located at, in, or
  on the area leased by the city of New York to New York World's Fair 1964
  Corporation  pursuant  to  the  provisions  of  chapter   four   hundred
  twenty-eight  of  the  laws  of  nineteen hundred sixty, as amended by a
  chapter of the laws of nineteen hundred sixty-one, during  the  term  or
  duration  of  such  lease.  Such  license may also include such suitable
  space outside of the licensed  premises  and  adjoining  it  as  may  be
  approved by the liquor authority.

S 55-a.License to sell beer at retail, in certain counties, for consumption
at baseball parks, race tracks and outdoor athletic fields and stadia where
admission fees are charged, in operation for certain periods of the year.
1. Any person may make an application to the
appropriate board for a license to sell beer to be consumed at baseball
parks, race tracks, and other athletic fields and stadia where admission
fees are charged, other than such parks, fields and stadia as are
operated and maintained by educational institutions, to be consumed on
the premises. Such application shall be in writing and verified and
shall contain such information as the liquor authority shall require.
Such application shall be accompanied by a check or draft for the amount
required by this article for such license. All of the provisions
contained in subdivisions two and three of section fifty-four shall
apply to the procedure relative to an application for a license under
this section.
  2. Such a license shall contain a description of the licensed premises
and in form and substance shall be a license to the person therein
specifically designated to sell beer on the premises therein
specifically licensed, at retail, to be consumed upon such premises.

S 55-b.Manner of changing beer prices to wholesalers and retail licensees.
 1. It is hereby declared as the policy of the state that the
sale and distribution of beer shall be subject to certain restrictions,
prohibitions and regulations which tend to maintain an orderly market
and prevent destructive competition. The necessity of the provisions of
this section is therefore declared as a matter of legislative necessity.
  2. No brewer or beer wholesaler may increase the price per case, draft
package or special package of beer sold to beer wholesalers or retail
licensees until at least one hundred eighty days have elapsed since his
last price decrease on such case, draft package or special package,
provided, however, that the brewer or beer wholesaler may increase any
price established by him at any time in the amount of any direct tax
increase on beer, or on containers thereof, actually paid by such brewer
or beer wholesaler, and provided further, however, that if a brewer or
beer wholesaler has increased his price to beer wholesalers at any time
pursuant to the provisions hereof, the beer wholesaler may increase the
price established by him on such package in an amount equal to the
direct price increase to the beer wholesaler. The price per case, draft
package or special package of beer sold to beer wholesalers or retail
licensees on the first day of the month following the effective date of
this act shall be deemed the base price, to or from which price
increases or decreases may be made in accordance with the provisions of
this section.
  3. The authority is authorized and empowered to do such acts,
prescribe such forms and adopt rules and regulations as it may deem
necessary or proper to carry into effect the purpose and provisions of
this section and to prevent circumvention or evasion thereof.
  Without limiting the generality of the foregoing, and in addition to
its other powers, the authority may, in its discretion, adopt rules or
regulations:
  a. Particularizing the standards of packaging which constitute a case,
special package and draft package of beer.
  b. Defining the guidelines relating to "price" within the purview of
this section which guidelines may provide, without limitation thereto,
that,
  (1) Whenever a brewer or beer wholesaler decreases his price per case,
draft package or special package of beer to beer wholesalers, the beer
wholesaler may decrease his price to retail licensees on such reduced
item or items by no more than the amount in dollars and cents by which
the brewer or beer wholesaler has decreased the price per case, draft
package or special package to the beer wholesaler.
  (2) Whenever the price per case, draft package or special package of
beer is increased to retail licensees by action of the brewer or beer
wholesaler following a price decrease, the brewer or beer wholesaler may
not increase its price to retailers on any item or items more than
one-half of the price decrease previously granted, nor may the brewer or
beer wholesaler selling such item or items to the beer wholesaler
increase its price to such beer wholesaler more than one-half of the
price decrease previously granted, provided, however, such restrictions
on price increases by both brewers and beer wholesalers shall remain in
effect for the period of one hundred eighty days.
  (3) Whenever a brewer or beer wholesaler lowers its price per case,
draft package or special package of beer to any beer wholesaler in New
York state it must lower its price on each item or items by the same
amount to all beer wholesalers throughout New York state to whom such
item or items is offered for sale.
  (4) Whenever a brewer or beer wholesaler, following a price decrease,
raises its price per case, draft package or special package of beer to
any beer wholesaler in New York state it must raise its price on each
item or items by the same amount to all beer wholesalers throughout New
York state to whom such item or items are offered for sale.
  c. Providing that for good cause shown to its satisfaction, the
authority may grant waivers to licensees adversely affected by this
section, under such terms and conditions as the authority deems
appropriate.
  d. Requiring licensees to file with the authority reports certifying
their prices of beer, the dates of any changes in the price of any item
of beer, and such other matters as the authority may determine from time
to time to be necessary to disclose accurately the price of beer during
the previous twelve months and requiring licensees to keep forms,
records and memoranda prescribed by the authority.
  4. For the purpose of defraying the expenses incurred in the
administration of this section, there shall be paid to the authority by
each person hereafter applying for a license as brewer or beer
wholesaler the following sums: brewer whose annual production is sixty
thousand barrels per year or more, one thousand dollars; brewer whose
annual production is less than sixty thousand barrels per year, one
hundred dollars; beer wholesaler, one hundred dollars. A like sum shall
be paid by each person hereafter applying for the issuance or renewal of
any such license and such sum shall accompany the application and the
license fee prescribed by this chapter for such license or renewal
thereof, as the case may be. The sums prescribed by this subdivision
shall not be pro-rated for any portion of the license fee and shall have
no refund value.
  5. For any violation of any provision of this section or of any rule
or regulation duly promulgated under this section the authority may
revoke, cancel or suspend a license or recover, as provided in section
one hundred twelve of this chapter, the penal sum of the bond filed by
the licensee.

S 55-c.Agreements between brewers and beer wholesalers. 1.  Purpose.
  It is hereby declared to be the policy of this state, that the sale  and
  delivery  of  beer by brewers to beer wholesalers shall be pursuant to a
  written agreement. That further, the regulation  of  business  relations
  between brewers and beer wholesalers is necessary and appropriate to the
  general economy and tax base of this state and in the public interest.
    2.  Definitions.  As  used  in this section, the following words shall
  have the following meanings:
    (a) "Agreement" means any contract, agreement, arrangement, course  of
  dealing   or  commercial  relationship  between  a  brewer  and  a  beer
  wholesaler pursuant to which a beer wholesaler is granted the  right  to
  purchase,  offer  for sale, resell, warehouse or physically deliver beer
  sold by a brewer.
    (b) "Brewer" means any person or entity engaged primarily in  business
  as  a  brewer,  manufacturer of alcoholic beverages, importer, marketer,
  broker or agent of any of the foregoing who sells or offers to sell beer
  to a beer wholesaler in this state or any successor to a brewer.
    (c) "Successor to a brewer" means any person or entity which  acquires
  the  business  or beer brands of a brewer, without limitation, by way of
  the purchase, assignment, transfer, lease, or license or disposition  of
  all  or  a  portion of the assets, business or equity of a brewer in any
  transaction, including merger, corporate reorganization or consolidation
  or the  formation  of  a  partnership,  joint  venture  or  other  joint
  marketing alliance.
    (d)   "Beer  wholesaler"  and  "wholesaler"  means  the  holder  of  a
  wholesaler's license pursuant to section fifty-three of this article who
  purchases, offers to sell, resells,  markets,  promotes,  warehouses  or
  physically distributes beer sold by a brewer.
    (e) "Good cause" means and shall be limited to:
    (i)  (A)  The  implementation  by  a  brewer of a national or regional
  policy of  consolidation  which  is  reasonable,  nondiscriminatory  and
  essential.    Such  policy  shall  have  been  previously  disclosed, in
  writing, in reasonable detail to the  brewer's  wholesalers,  and  shall
  result  in  a  contemporaneous  reduction  in  the  number of a brewer's
  wholesalers not only for a brand in this state, but also for a brand  in
  contiguous  states  or  in  a majority of the states in which the brewer
  sells the brand. All affected wholesalers and affected brewers shall  be
  afforded  ninety days prior notice of the implementation of such policy,
  and such notice shall  be  provided  by  the  brewer  implementing  said
  policy.  Further, an affected wholesaler who has actual knowledge of the
  intended  implementation  of such policy shall also notify each affected
  brewer.  The term "affected brewers" means all  other  brewers  with  an
  agreement   with  an  affected  wholesaler  who  is  a  multiple  brands
  wholesaler. The term "affected wholesalers" means  wholesalers  who  may
  reasonably  be  expected to experience a loss or diminishment of a right
  to distribute a brand, in whole or  in  part,  as  a  consequence  of  a
  proposed consolidation policy.
    (B)  An  affected  brewer  receiving notice pursuant to this paragraph
  may, within  one  hundred  twenty  days  after  receiving  such  notice,
  terminate  an  agreement with a multiple brands wholesaler in the event:
  (1) the total  case  purchases  computed  in  twenty-four  twelve  ounce
  equivalence  units  by  the  wholesaler  of the products of the affected
  brewer  amounted  to  two  percent  or  less  of  the  multiple   brands
  wholesaler's total sales volume during the twelve month period preceding
  the notice; and (2) the affected brewer, prior to such termination, pays
  compensation to the multiple brands wholesaler.
    (ii)  There  is  a  failure  by  the  beer wholesaler to comply with a
  material term of an agreement required  by  subdivision  three  of  this
  section  between  the brewer and beer wholesaler, provided that: (A) the
  wholesaler was given written notice by the  brewer  of  the  failure  to
  comply  with  the  agreement as provided for in subdivision five of this
  section  and in which the brewer states with particularity the basis for
  the brewer's determination of non-compliance, and upon the  wholesaler's
  written request within ten days of receipt of the notice, the brewer has
  supplemented  such notice by submitting to the wholesaler in writing the
  brewer's recommended plan of  corrective  action  to  cure  the  claimed
  defaults  or  deficiencies  in  a  manner  satisfactory  to  it; (B) the
  wholesaler was afforded a reasonable opportunity to  assert  good  faith
  efforts  to  comply with the agreement by curing the claimed defaults or
  deficiencies specified in said notice within the time  provided  for  in
  clause  (C)  of  this  subparagraph; and (C) the wholesaler was afforded
  fifteen days after receipt of such notice to submit a  written  plan  of
  corrective  action  to  comply  with the agreement by curing the claimed
  non-compliance and seventy-five days  to  cure  such  non-compliance  in
  accordance  with  the plan. Provided, however, that such period for cure
  may be increased or reduced to a commercially reasonable  period  by  an
  order  of  a  court  in  this state entered after a hearing at which the
  brewer has the burden  to  demonstrate  that  the  claimed  defaults  or
  deficiencies  can  be  substantially  rectified  in  the  period of time
  afforded the wholesaler or that, after receipt of notice of  default  or
  deficiency  as  provided  for  in  subdivision five of this section, the
  wholesaler has intentionally engaged in an affirmative course of conduct
  in which the brewer's current marketing plans and  other  trade  secrets
  are  disclosed  to a third party without the prior consent of the brewer
  or in which the wholesaler acts or threatens  to  act  to  significantly
  impair,  harm  or  dilute  the reputation or competitive position of the
  brewer or  otherwise  irreparably  injure  the  brewer,  its  brands  or
  trademarks.  Provided,  further  however:  (1) that such period for cure
  need not exceed forty-five days if within the twelve months  immediately
  following  a cure, the wholesaler intentionally engages in conduct which
  repeats the same specified default and deficiency which the  brewer  had
  deemed  cured;  and  (2) that such period for cure need not exceed sixty
  days in the event that during the  twelve  month  period  preceding  the
  notice,  the  total  case  purchases  by  the wholesaler of the affected
  products of the brewer account for less than one-half of one percent  of
  the  wholesaler's  aggregate  case  purchases  from  all  sources or one
  thousand cases. For purposes of  this  subdivision,  case  purchases  of
  affected  products  whether  package  or  draught  shall  be computed in
  twenty-four twelve ounce equivalence units.
    (f)  "Good  faith"  means  honesty  in  fact  and  the  observance  of
  reasonable commercial standards in the trade.
    (g)  "Material modification" of an agreement or to "materially modify"
  means  and  includes  a  substantial  and  significant  change  in   the
  competitive circumstances under which the agreement was entered into and
  is  performed  which  is caused by a brewer without fault on the part of
  the wholesaler.
    (h) "Multiple brands wholesaler" means a wholesaler which pursuant  to
  agreements  with different brewers holds the rights to purchase, resell,
  warehouse or physically  deliver  two  or  more  competing  products  in
  substantially the same geographic area or to the same customer class.
    (i)  "Fair  market  value  of  distribution rights" means the amount a
  willing seller, under no compulsion to sell, would be willing to  accept
  and  a  willing buyer, under no compulsion to purchase, would be willing
  to pay for the distribution rights.
    3. Written agreement required. Except as provided for  in  subdivision
  ten  of this section, beer offered for sale in this state by a brewer to
  a beer wholesaler shall be sold and  delivered  pursuant  to  a  written
  agreement  which  conforms  to  the provisions of this section and which
  sets forth all essential and material terms, requirements, standards  of
  performance and conditions of the business relationship between a brewer
  and  a  beer  wholesaler.  Such  agreement may be cancelled, terminated,
  materially modified or not renewed for good cause  as  defined  in  this
  section, provided the brewer has acted in good faith.
    4.  Termination  for  cause and opportunity to cure. (a) No brewer may
  cancel, fail to renew,  or  terminate  an  agreement  unless  the  party
  intending  such  action has good cause for such cancellation, failure to
  renew, or termination and in any case in  which  prior  notification  is
  required  under  this  section, the party intending to act has furnished
  said prior notification as provided for  in  subdivision  five  of  this
  section  and  the  wholesaler  has  failed  to  cure  such  defaults  or
  deficiencies after a period for cure, as provided for in clause  (C)  of
  subparagraph (ii) of paragraph (e) of subdivision two of this section.
    (b)  No brewer shall amend or materially modify or otherwise terminate
  any essential and material term or requirement of  an  agreement  unless
  the  brewer has good cause therefor and has furnished the affected party
  with at least fifteen days prior notification as required by subdivision
  five of this section.
    (c) Notwithstanding any provision of this subdivision to the contrary:
    (i) Any brewer with an annual volume as defined in  subparagraph  (iv)
  of  this  paragraph  of less than three hundred thousand barrels of beer
  and whose sales to an affected beer wholesaler are three percent or less
  of the beer wholesaler's total  annual  brand  sales  measured  in  case
  equivalent  sales  of  twenty-four--twelve  ounce units may terminate an
  agreement with any beer wholesaler without having good  cause  for  such
  termination,  as  defined  in  paragraph  (e) of subdivision two of this
  section, and shall not be subject to liability to  the  beer  wholesaler
  under  paragraph (b) of subdivision seven of this section provided that,
  prior to the effective date of the termination, the brewer pays the beer
  wholesaler the fair market value of the distribution rights  which  will
  be  lost  or diminished by reason of the termination. If such brewer and
  beer wholesaler cannot mutually agree to the fair market  value  of  the
  applicable  distribution  rights  lost  or  diminished  by reason of the
  termination, then the brewer shall pay the beer wholesaler a good  faith
  estimate of the fair market value of the applicable distribution rights.
    (ii) If the beer wholesaler being terminated under subparagraph (i) of
  this  paragraph  disputes  that  the payment made by the brewer was less
  than the fair market value of the distribution  rights,  then  the  beer
  wholesaler may within forty-five days of termination submit the question
  of  fair  market  value  of  the  applicable distribution rights lost or
  diminished by reason of the termination to binding arbitration before  a
  panel  of  three  neutral  arbitrators  appointed in accordance with the
  commercial arbitration rules of the  American  Arbitration  Association,
  which  panel  shall  determine by majority decision whether the brewer's
  payment meets the requirements of subparagraph (i) of this paragraph. If
  the arbitration panel rules that the payment made by the brewer  to  the
  beer  wholesaler upon termination was less than the fair market value of
  distribution rights lost or diminished by  reason  of  the  termination,
  then  the brewer must pay the beer wholesaler the difference between the
  payment made to the beer wholesaler and the determined fair market value
  plus interest. If the arbitration panel rules that the payment  made  by
  the  brewer  to  the  beer wholesaler upon termination was more than the
  fair market value of distribution rights lost or diminished by reason of
  the termination, then the  beer  wholesaler  must  pay  the  brewer  the
  difference  between  the  payment  made  to  the beer wholesaler and the
  determined fair market value plus interest.  All  arbitration  fees  and
  expenses  shall  be equally divided among the parties to the arbitration
  except if the arbitration panel determines  that  the  brewer's  payment
  upon termination was not a good faith estimate of the fair market value,
  then  the  panel  may award up to one hundred percent of the arbitration
  costs to the brewer.
    (iii) Notwithstanding any provision of this section to  the  contrary,
  for  purposes of this paragraph, the term "brewer" shall mean any person
  or entity engaged primarily in business as a brewer or  manufacturer  of
  beer.
    (iv) For the purpose of this paragraph, the term "annual volume" shall
  mean:  (1)  the  aggregate  number  of barrels of beer, under trademarks
  owned by that brewery and brewed,  directly  or  indirectly,  by  or  on
  behalf  of the brewer during the measuring period, on a worldwide basis,
  plus (2) the aggregate number of barrels  of  beer  brewed,  during  the
  measuring  period, directly or indirectly, by or on behalf of any person
  or entity which, at any time during the  measuring  period,  controlled,
  was  controlled  by  or  was  under common control with the brewer, on a
  worldwide basis. Annual volume  shall  not  include  beer  brewed  under
  contract  for any other brewer. There shall be no double counting of the
  same barrels of beer under clauses one and two of this subparagraph.
    (v) For the purposes of this paragraph, the  term  "measuring  period"
  shall  mean  the  twelve month calendar period immediately preceding the
  date notice of termination, as required under subparagraph (i)  of  this
  paragraph, was given by a brewer to the beer wholesaler.
    5.  Notice  of  default  or  deficiency.  (a)  Except  as  provided in
  paragraph (d) of this subdivision, no brewer may cancel, fail  to  renew
  or terminate an agreement unless the brewer or beer wholesaler furnished
  prior notification in accordance with paragraph (c) of this subdivision.
    (b)  Notwithstanding  any  agreement, no brewer or beer wholesaler may
  materially amend or modify an essential and material term or requirement
  unless the brewer or beer wholesaler  furnished  prior  notification  in
  accordance with paragraph (c) of this subdivision.
    (c)  The  notification  required  under paragraphs (a) and (b) of this
  subdivision shall be in writing  and  sent  to  the  affected  party  by
  certified mail. Such notification shall contain:
    (i)  a  statement of intent to cancel, not renew, otherwise terminate,
  materially amend or modify an agreement;
    (ii) a statement of all reasons therefor, stated  with  particularity;
  and
    (iii) the date on which such action shall take effect.
    (d) A brewer or beer wholesaler may cancel, fail to renew or otherwise
  terminate   an  agreement  without  furnishing  the  prior  notification
  required under this section only:
    (i) in the event the affected party has made  an  assignment  for  the
  benefit  of creditors or similar disposition of all or substantially all
  of the assets of such party's business;
    (ii) in the event of a conviction or plea of guilty or no contest to a
  felony which in the reasonable judgment  of  the  brewer  may  adversely
  affect the goodwill or interests of the wholesaler or brewer;
    (iii) in the event of the revocation or suspension for thirty-one days
  or  more  of  any  license  or permit required of the wholesaler for the
  normal operation of its business;
    (iv) in the event there was fraudulent conduct  on  the  part  of  the
  brewer or beer wholesaler in its dealings with the other party;
    (v)  in  the event of the failure by either party to pay sums of money
  to the other party when due or if either the wholesaler or brewer  takes
  any  action  which  would  provide  grounds  for  immediate  termination
  pursuant to the reasonable terms  of  a  written  enforceable  agreement
  between   them,   which  was  freely  entered  into  without  threat  of
  termination or other coercion or compulsion and was in  full  force  and
  effect  sixty days from the effective date of the chapter of the laws of
  nineteen hundred ninety-seven which amended this subparagraph;
    (vi) in the event the brewer and beer wholesaler voluntarily agree  in
  writing to terminate the agreement.
    6. Right of action. If a brewer fails to comply with the provisions of
  this  section,  a beer wholesaler may maintain a civil action in a court
  of competent jurisdiction within this state  for  damages  sustained  in
  accordance  with  the laws of this state which shall govern all disputes
  arising under an agreement or by reason of its making  and  performance.
  In  any  such  action  the  court  may grant such equitable relief as is
  necessary or appropriate, considering the purposes of this  section,  to
  remedy  the effects of any failure to comply with the provisions of this
  section or  the  effects  of  conduct  prohibited  hereunder,  including
  declaratory  judgment,  mandatory  or  prohibitive injunctive relief, or
  preliminary or other interim equitable relief; provided,  however,  that
  permanent  injunctive  relief  shall  not  be  granted  to  prohibit the
  effectiveness of  a  termination  or  non-renewal  of  an  agreement  in
  furtherance  of  a  policy  of  consolidation that is in compliance with
  subparagraph (i) of paragraph (e) of subdivision two of this section. In
  any legal action challenging any cancellation, termination or failure to
  renew, or where an issue is the brewer's compliance with the  provisions
  of subparagraph (i) of paragraph (e) of subdivision two of this section,
  the brewer shall have the burden of proof that its action was based upon
  good  cause, provided however, the wholesaler shall retain the burden of
  proof in all other respects. The rights and remedies  provided  in  this
  section  to a beer wholesaler with respect to an agreement with a brewer
  and to an affected wholesaler or an affected brewer shall be intended to
  supplement and not be exclusive of any  rights  and  remedies  otherwise
  available pursuant to any other statute, or at law or equity.
    7.  Reasonable  compensation.  (a)  Any  brewer  who shall implement a
  national or regional consolidation policy,  pursuant  to  this  section,
  shall  not  terminate its relationship with an affected wholesaler until
  compensation as provided for in this subdivision  has  been  paid.  Such
  brewer  shall  pay the affected beer wholesaler the fair market value of
  the distribution rights which will be lost or diminished  by  reason  of
  the  implementation  of  such  policy, together with fair and reasonable
  compensation for other damages sustained.
    (b) Every brewer who without good cause amends,  cancels,  terminates,
  materially modifies or fails to renew any agreement, or who in violation
  of  this section causes a beer wholesaler to resign from an agreement or
  denies or withholds consent to any assignment, transfer  or  sale  of  a
  beer  wholesaler's  business  assets or capital stock or other equity or
  debt securities, shall pay the affected beer wholesaler the fair  market
  value  of the beer wholesaler's business, including distribution rights,
  which have been lost  or  diminished  as  the  result  of  the  brewer's
  actions.
    (c) In the event that the brewer and the beer wholesaler are unable to
  agree  on  the  compensation  to  be  paid  for  the  value  of the beer
  wholesaler's business and assets, the matter may  with  the  consent  of
  both  the  brewer  and  the  beer  wholesaler, be submitted to a neutral
  arbitrator to be selected by the parties; if they cannot agree  on  such
  an  arbitrator,  the  same  shall  be  selected by a judge of a court of
  competent jurisdiction. No brewer or beer wholesaler may impose  binding
  arbitration  of  any  issue  as  a  term  or  condition of an agreement.
  Arbitration costs shall be equally divided by the  beer  wholesaler  and
  the brewer. The award of the arbitrator shall be confirmed by a court of
  competent  jurisdiction  in  this  state, the judgment of which shall be
  binding.
    8.  Sale  and  transfer of beer wholesaler's business. No brewer shall
  unreasonably withhold or delay its approval of any assignment,  sale  or
  transfer  of all or any portion of beer wholesaler's corporate equity or
  debt or assets, including the beer wholesaler's rights  and  obligations
  under  the  terms  of an agreement, whenever the person or persons to be
  substituted meet objectively reasonable standards imposed by the brewer.
  A wholesaler who sells, assigns or transfers an agreement made  pursuant
  to this section shall provide written notice of such sale, assignment or
  transfer to all other brewers with whom it has entered agreements.
    9.  (a) A brewer qualified to do business in the state of New York may
  hold an interest in a limited partnership licensed by the authority as a
  wholesaler, when the brewer or its affiliate is a  limited  partner  and
  the  beer  wholesaler  is the general partner. Notwithstanding any other
  provision of law, such brewer may loan money to a general partner of  an
  aforementioned limited partnership. Provided, however, any brewer or its
  affiliate who holds an interest in a limited partnership licensed by the
  authority  as  a  wholesaler  or who loans money to a general partner of
  such limited partnership may only exercise such control of the  business
  as permitted by section 121-303 of the partnership law.
    (b)  Notwithstanding subdivision (a) of this subdivision, no brewer or
  its affiliate may acquire or hold an interest in  or  loan  money  to  a
  general  partner  of  a  multiple brands wholesaler unless and until all
  other brewers having agreements with  said  multiple  brands  wholesaler
  have  been  afforded  sixty  days prior written notice of the particular
  terms and conditions of the limited partnership or loan agreement or  of
  any  change therein. A "loan" for purposes of this subdivision shall not
  include  bona  fide  credit  terms  for  product  purchases  customarily
  extended by a brewer to wholesalers in the normal course of business.
    (c)  For  one  hundred  twenty days after the formation, licensing and
  commencement of operations as a beer wholesaler of a limited partnership
  or the  making  of  a  loan,  and  upon  at  least  fifteen  days  prior
  notification  as  required by subdivision five of this section, a brewer
  may terminate an agreement with a  multiple  brands  wholesaler  in  the
  event: (i) a competing brewer or its affiliate becomes a limited partner
  with  or  loans  money  to  a  general  partner  of  a  multiple  brands
  wholesaler, (ii) by reason of said  loan,  the  performance  of  a  loan
  agreement,  or the terms or conduct of the limited partnership, there is
  a reasonable likelihood that competition between brands of the competing
  brewers  has  been  or  may  be  significantly  reduced  in  a  relevant
  geographic  area  or  market,  and  (iii)  in  lieu  of other rights and
  remedies it might have under this chapter to terminate for  good  cause,
  the   terminating  brewer  pays  compensation  to  the  multiple  brands
  wholesaler.
    10. Coverage. (a) This section shall not apply to  written  agreements
  that  were  in  effect prior to the effective date of this section which
  set forth all terms and conditions of  material  significance  governing
  the  relationship  between the brewer and beer wholesaler, including but
  not limited to the grounds and procedures which govern: (i)  termination
  of  the  relationship;  (ii) approval and disapproval of managers; (iii)
  change in ownership; and (iv) whether or not the wholesaler is  entitled
  to  compensation in the event the wholesaler is terminated for deficient
  performance under  such  agreement  or  without  good  cause.  Provided,
  however,  that  this  section shall apply to any agreement entered into,
  and renewals, extensions, amendments or conduct constituting a  material
  modification  of  an  agreement  on  or after the effective date of this
  section.
    (b)  Where an agreement between a brewer and beer wholesaler in effect
  prior to the effective date of this section is continuous in  nature  or
  has  no  specific  duration or has no renewal provision and fails to set
  forth all terms and conditions of material  significance  governing  the
  relationship  between  the brewer and beer wholesaler, including but not
  limited to the grounds and procedures which govern: (i)  termination  of
  the  relationship;  (ii)  approval  and  disapproval  of managers; (iii)
  change in ownership; and (iv) whether or not the wholesaler is  entitled
  to  compensation in the event the wholesaler is terminated for deficient
  performance under such agreement or without good cause;  such  agreement
  shall  be  considered  for purposes of this section to have been renewed
  sixty days after the effective date of this section.
    11. The requirements of this section may not  be  altered,  waived  or
  modified by written or oral agreement in advance of a bona fide case and
  controversy  arising  under  a  written  agreement  complying  with this
  section.

  S 56.License fees..  The  annual fee for a license to manufacture
  beer shall be:
    (a) four thousand dollars for a brewer's license,  unless  the  annual
  production  of  the brewer is less than sixty thousand barrels per year,
  in which case the annual fee shall be three hundred twenty dollars;
    (b) three hundred twenty dollars for a farm brewery license.
    2. The annual fee for a  wholesaler's  beer  license  shall  be  eight
  hundred dollars.
    3.  The  annual  fee  for  a  vendor's  license  shall  be one hundred
  forty-four dollars.
    4. The annual fee for a license to sell  beer  at  retail  not  to  be
  consumed  on  the  premises where sold shall be one hundred ten dollars.
  Where, however, the applicant is the holder of two  such  licenses,  the
  annual  fee  for  each  additional  license  thereafter  issued  to such
  licensee shall be double the amount hereinabove set forth.
    5. The annual fee for a license to sell beer at retail to be  consumed
  on  the  premises  where  sold  shall be three hundred twenty dollars in
  cities having a population of one hundred  thousand  or  over,  and  one
  hundred  sixty  dollars  elsewhere;  provided,  however,  that where the
  premises to be licensed remain open only within  the  period  commencing
  April  first  and  ending  October  thirty-first of any one year or only
  within the period commencing October  first  and  ending  the  following
  April  thirtieth,  the  liquor authority, in its discretion, may grant a
  summer or winter license effective only for such appropriate  period  of
  time, for which an annual fee of one hundred sixty dollars shall be paid
  where  the  premises  are  located  in cities having a population of one
  hundred thousand or over, and eighty dollars  where  such  premises  are
  located elsewhere.
    6.  The  annual  fee  for  selling  beer  upon  any railroad car to be
  consumed on such car or any car connected therewith shall be  ninety-six
  dollars for each railroad car licensed.
    7.  The  annual  fee  for  selling beer upon any vessel in this state,
  other than one regularly and exclusively  engaged  in  the  business  of
  carrying  passengers  for  hire,  by  charter  or otherwise, for fishing
  purposes, to be consumed on such vessel,  shall  be  one  hundred  sixty
  dollars for each vessel licensed. The annual fee for selling beer upon a
  vessel  regularly  and  exclusively  engaged in the business of carrying
  passengers for hire, by charter or otherwise, for fishing  purposes,  to
  be  consumed  on  such  vessel,  shall  be forty dollars for each vessel
  licensed. The annual fee for selling beer  for  off-premise  consumption
  upon  a  vessel  regularly  and  exclusively engaged, as a duly licensed
  supply ship, in furnishing supplies to other vessels,  shall  be  eighty
  dollars.
    8. The annual fee for selling beer at any baseball park, race track or
  outdoor  athletic  field or stadium, to be consumed in any such baseball
  park, race track, or outdoor athletic field or  stadium,  shall  be  one
  hundred ninety-two dollars.
    9.  The  annual  fee  for  a license to sell beer and wine products at
  retail not to be consumed on  the  premises  where  sold  shall  be  one
  hundred ninety-eight dollars.
    10.  The  annual  fee  for a license to sell beer and wine products at
  retail not to be consumed on the premises where sold, when the applicant
  is the holder of two such licenses, the annual fee for  each  additional
  license  thereafter  issued  to  such  licensee  shall  be three hundred
  fifty-two dollars.

S 56-a.Filing fees and refunds.  1. In addition to the annual fees
  provided for in this chapter, there shall be paid to the authority  with
  each  initial  application  for  a  license  filed  pursuant  to section
  fifty-one, fifty-one-a, fifty-three, fifty-eight, sixty-one,  sixty-two,
  seventy-six  or  seventy-eight  of  this  chapter,  a filing fee of four
  hundred dollars; with each  initial  application  for  a  license  filed
  pursuant   to   section   sixty-three,   sixty-four,   sixty-four-a   or
  sixty-four-b of this chapter, a filing fee of two hundred dollars;  with
  each  initial  application  for  a  license  filed  pursuant  to section
  fifty-three-a,  fifty-four,  fifty-five,   fifty-five-a,   seventy-nine,
  eighty-one  or eighty-one-a of this chapter, a filing fee of one hundred
  dollars; with each initial application for a permit  filed  pursuant  to
  section     ninety-one,    ninety-one-a,    ninety-two,    ninety-two-a,
  ninety-three, ninety-three-a, if such  permit  is  to  be  issued  on  a
  calendar   year   basis,   ninety-four,   ninety-five,   ninety-six   or
  ninety-six-a, or pursuant to paragraph b, c, e or j of  subdivision  one
  of  section ninety-nine-b of this chapter if such permit is to be issued
  on a  calendar  year  basis,  or  for  an  additional  bar  pursuant  to
  subdivision four of section one hundred of this chapter, a filing fee of
  twenty  dollars;  and  with  each application for a permit under section
  ninety-three-a of this chapter, other than a permit to be  issued  on  a
  calendar year basis, section ninety-seven, ninety-eight, ninety-nine, or
  ninety-nine-b of this chapter, other than a permit to be issued pursuant
  to paragraph b, c, e or j of subdivision one of section ninety-nine-b of
  this chapter on a calendar year basis, a filing fee of ten dollars.
    2.  In addition to the annual fees provided for in this chapter, there
  shall be paid to the authority  with  each  renewal  application  for  a
  license  filed  pursuant to section fifty-one, fifty-one-a, fifty-three,
  fifty-eight, sixty-one, sixty-two, seventy-six or seventy-eight of  this
  chapter,  a  filing  fee  of  one  hundred  dollars;  with  each renewal
  application  for  a  license  filed  pursuant  to  section  sixty-three,
  sixty-four,  sixty-four-a  or sixty-four-b of this chapter, a filing fee
  of ninety dollars; with each renewal application  for  a  license  filed
  pursuant  to  section  seventy-nine,  eighty-one or eighty-one-a of this
  chapter, a filing fee of twenty-five  dollars;  and  with  each  renewal
  application   for   a  license  or  permit  filed  pursuant  to  section
  fifty-three-a,   fifty-four,   fifty-five,   fifty-five-a,   ninety-one,
  ninety-one-a, ninety-two, ninety-two-a, ninety-three, ninety-three-a, if
  such   permit   is   issued  on  a  calendar  year  basis,  ninety-four,
  ninety-five, ninety-six or ninety-six-a of this chapter or  pursuant  to
  subdivisions  b,  c,  e or j of section ninety-nine-b, if such permit is
  issued on a calendar year basis, or with each renewal application for an
  additional bar pursuant to subdivision four of section  one  hundred  of
  this chapter, a filing fee of thirty dollars.
    3.  If  the authority shall deny an application filed pursuant to this
  chapter it shall return the annual fee to the applicant and  retain  the
  filing fee.

S 57.License fees; when due and payable; fee for part of year.  1.
(a) Except as otherwise provided pursuant to section fifty-seven-a, each
license issued pursuant to this article other than the one specified in
paragraph (b) of this subdivision shall be effective for a license year
expiring on the thirtieth day of June following the date of its issuance
and the license fee prescribed therefor shall be the license fee due and
payable therefor and shall be paid in advance at the time of the
application as provided for in this article.
  (b) Each license issued pursuant to section fifty-five-a of this
article shall be effective for a license year expiring on the
thirty-first day of March following the date of its issuance and the
license fee prescribed therefor shall be the license fee due and payable
therefor and shall be paid in advance of the time of the application as
provided for in this article.
  2. When application for any license under this article is made after
the commencement of the license year hereinbefore provided the license
fee therefor shall, for the balance of the license year, be in
proportion as the remainder of such year shall bear to the whole year,
except that it shall in no case be for less than one-half of such year.

S 57-a.Change in duration of licenses. The liquor authority is
authorized to change the periods during which the licenses authorized by
sections fifty-three-a, fifty-four, fifty-five and fifty-five-a shall be
effective and to establish the commencement dates, duration and
expiration dates thereof, provided that no such license shall be
effective for a period in excess of three years. When any change or
changes are made in the duration of any such license, the license fee
shall be equal to the annual license fee specified in this article
multiplied by the number of years for which such license is issued.  The
liquor authority may make such rules as shall be appropriate to carry
out the purpose of this section.

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Alcoholic Beverage Control Law | Law Terms Defined | F.A.Q.'s | Law Spelling Guide
01 (1-3) | 02 (10-19) | 04 (50-57a) | 04-A (58-59) | 05 (60-67) | 06 (75-85) | 07 (90-99g) | 08 (100-131) | 09 (140-147) | 10 (150-155) | 11 (160-164)

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