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Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Business Law
Satisfied Customers: 114800
Experience:  All corporate law, including non-profits and charitable fraternal organizations.
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Can an Illinois Wine & Spirits distributor sponsor an event

Resolved Question:

Can an Illinois Wine & Spirits distributor sponsor an event at a restaurant, bar or banquet hall and pay the proprietor for use of the facility and at the same time request the owner to purchase alcoholic beverages for the event. The price paid for use of the facility would be the same price charged to any other user of said facility. Also, would the distributor be allowed to pay for the performance of a entertainer for the same event.<br /><br />Relevant law:<br />http://www.ilga.gov/commission/jcar/admincode/011/011001000002800R.html<br />The Illinois code sort of addresses this issue. In Chapter 43 paragraph 122 section 6-5 the code states:<br /><br />"Except as otherwise provided in this Section, it is unlawful for any person having a retailer's license or any officer, associate, member, representative or agent of such licensee to accept, receive or borrow money, or anything else of value, or accept or receive credit (other than merchandising credit in the ordinary course of business for a period not to exceed 30 days) directly or indirectly from any manufacturer, importing distributor or distributor of alcoholic liquor"
Submitted: 6 years ago.
Category: Business Law
Expert:  Law Educator, Esq. replied 6 years ago.
If you look at TTP3 from IL, at http://www.state.il.us/lcc/docs/tpp.htm#TPP3 it outlines the procedure to follow where you CAN sponsor events. So yes, there is a way for you to sponsor an event as long as you follow the procedures in the guidelines.


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Customer: replied 6 years ago.
So then are you of the opinion that no payments can be made to the retailer for any services or products (for example: banquet hall rental; paying for food prepared by reatailer) by the distributor.

Thanks again for you response.
Expert:  Law Educator, Esq. replied 6 years ago.
I am of the opinion that if you follow the procedures in the guideline from the Liquor Commission I provided you can hold the events. It is just a matter of following that procedure.