Amends the definition of cash to include electronic funds transfer for ABC purposes.
TITLE OF BILL: An act to amend the alcoholic beverage control law, in relation to adding electronic funds transfers to the definition of cash
PURPOSE OF THE BILL: To make technical changes to the definition of cash for Alcoholic Beverage Control Law purposes.
SUMMARY OF SPECIFIC PROVISIONS: Section 1. Paragraph g of subdivision 1 of section 101-aaa of the Alcoholic Beverage Control Law is amended to include "electronic funds transfer" in the definition of "cash".
Section 2. Effective Date.
JUSTIFICATION: Electronic Fund Transfers (EFTs) have become common place and are efficient and effective ways of conducting business in today's marketplace.
The State Liquor Authority, through Counsel's opinion in 1999, indicated that EFTs were acceptable transactions through which wholesalers could conduct business with retailers.
In 2004, the law that applies to terms of sale for liquor and wine (section 101-aa of the Alcoholic Beverage Control Law) was amended. In that amendment, the definition of "cash" was changed to add EFTs. The corresponding law for beer, section 101-aaa was untouched.
In light of this discrepancy, it could be interpreted that section 101aaa would no longer allow for the use of EFTs, despite the Counsel's opinion that currently allows for it. This measure will eliminate any confusion in the market place.
PRIOR LEGISLATIVE HISTORY: New bill,
FISCAL IMPLICATIONS: None.
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 10569 IN ASSEMBLY April 7, 2010 ___________Introduced by M. of A. SCHIMMINGER -- read once and referred to the Committee on Economic Development, Job Creation, Commerce and Industry AN ACT to amend the alcoholic beverage control law, in relation to adding electronic funds transfers to the definition of cash THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Paragraph g of subdivision 1 of section 101-aaa of the alcoholic beverage control law, as added by section 183 of part A of chapter 389 of the laws of 1997, is amended to read as follows: g. "Cash" means and includes currency and coin of the United States of America, certified check, money order, ELECTRONIC FUNDS TRANSFER, bank officer's check or draft, or a check drawn on the account of the retail licensee payable to the manufacturer or wholesaler and dated no later than the date of delivery of the alcoholic beverages and which is honored upon presentment for payment; provided, however, that if any check or other instrument described in this paragraph tendered by a retail licensee on the delinquent list is not honored upon presentment for payment, the license of such retail licensee may be suspended for not more than fifteen days for the first offense, and not more than sixty days for a subsequent offense, which penalty shall be in addition to the penalty provided for by the provisions of
[sudivision]SUBDIVI- SION six of this section, and provided further, that nothing in this section shall require a manufacturer or wholesaler to accept a check tendered by or drawn on the account of a retail licensee on the delin- quent list unless the same has been certified. S 2. This act shall take effect immediately.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD16670-01-0