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Texas Alcoholic Beverage Code - ALCO BEV § 102.31. Cash Payment Required

Current as of January 01, 2024 | Updated by Findlaw Staff

(a) This section applies to:

(1) the sale of malt beverages or malt beverage containers or the original packages in which malt beverages are received, packaged, or contained by a distributor's licensee to a retail dealer's on-premise or off-premise licensee, a wine and malt beverage retailer's permittee, or a wine and malt beverage retailer's off-premise permittee;  and

(2) the sale of malt beverages by a local distributor's permittee, or by any licensee authorized to sell those beverages for resale, to a mixed beverage permittee.

(b) No person directly or indirectly, or through a subsidiary, affiliate, agent, employee, officer, director, or firm member, may make a sale covered by this section except for cash on or before delivery to the purchaser.

(c) A person who engages in a subterfuge by which credit is extended to the purchaser violates this code.  Acceptance of a postdated check is not a cash sale, but a valid check or draft payable on demand may be accepted as cash.  If a check or draft is accepted in payment, it must be deposited in the bank for payment or presented for payment within two days after it is received.  If the check or draft is dishonored by the drawee, the licensee or permittee who accepted it shall report that fact to the commission within two days after receiving notice of dishonor.  The report shall be on a form prescribed by the commission and shall contain any information the commission requires.

(d) Sundays and legal holidays are not counted in determining time periods under this section.

(e) The commission may promulgate rules to give effect to this section.

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Cite this article: FindLaw.com - Texas Alcoholic Beverage Code - ALCO BEV § 102.31. Cash Payment Required - last updated January 01, 2024 | https://codes.findlaw.com/tx/alcoholic-beverage-code/alco-bev-sect-102-31/

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