2006 Oklahoma Code - Title 37. — Intoxicating Liquors

OKLAHOMA STATUTES

TITLE 37.

INTOXICATING LIQUORS

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§378.  Consuming or inhaling intoxicants in public places  Penalties.

Any person who shall, in any public place, or in or upon any passenger coach, streetcar, or in or upon any other vehicle commonly used for the transportation of passengers, or in or about any depot, platform, waiting station or room, drink or otherwise consume any intoxicating liquor unless authorized by the Oklahoma Alcoholic Beverage Control Act, intoxicating substance, or intoxicating compound of any kind, or inhale glue, paint or other intoxicating substance, or if any person shall be drunk or intoxicated in any public or private road, or in any passenger coach, streetcar, or any public place or building, or at any public gathering, from drinking or consuming such intoxicating liquor, intoxicating substance or intoxicating compound or from inhalation of glue, paint or other intoxicating substance, or if any person shall be drunk or intoxicated from any cause and shall disturb the peace of any person, he shall be guilty of a misdemeanor, and upon conviction thereof shall be punished by a fine of not less than Ten Dollars ($10.00), nor more than One Hundred Dollars ($100.00), or by imprisonment for not less than five (5) days nor more than thirty (30) days, or by both such fine and imprisonment.


Amended by Laws 1985, c. 6, § 1, emerg. eff. March 14, 1985; Laws 1986, c. 103, § 101, eff. Nov. 1, 1986.  

§37-163.1.  Intoxicating beverages and low-point beer distinguished - Application of statute.

All beverages containing more than three and two-tenths percent (3.2%) alcohol by weight and all mixed beverage coolers, as defined in Section 506 of this title, regardless of percent of alcoholic content, are hereby declared to be intoxicating.  All beverages containing more than one-half of one percent (1/2 of 1%) alcohol by volume and not more than three and two-tenths percent (3.2%) alcohol by weight are hereby declared to be low-point beer.  Wherever the term "nonintoxicating beverage" or "nonintoxicating malt beverage" appears in the Oklahoma Statutes, such term shall be construed to mean low-point beer.  The manufacture, distribution and sale of low-point beer, including but not limited to beer or cereal malt beverages, are hereby declared subject to the provisions of Section 163.1 et seq. of this title.

Added by Laws 1947, p. 285, § 1.  Amended by Laws 1988, c. 93, § 1, emerg. eff. March 31, 1988; Laws 1995, c. 274, § 8, eff. Nov. 1, 1995.


§37163.2.  Definitions.

In the administration of Section 163.1 et seq. of this title, the following words and phrases are given the meanings respectively indicated:

1.  "Low-point beer" means and includes beverages containing more than one-half of one percent (1/2 of 1%) alcohol by volume, and not more than three and two-tenths percent (3.2%) alcohol by weight, including but not limited to beer or cereal malt beverages obtained by the alcoholic fermentation of an infusion of barley or other grain, malt or similar products;

2.  "Person" means and includes an individual, a trust or estate, a partnership, an association or a corporation;

3.  "Manufacturer" means and includes any person who prepares for human consumption by the use of raw materials or other ingredients any low-point beer, as defined herein, upon which a license fee and a tax are imposed by any law of this state;

4.  "Wholesaler" means and includes any person who sells any low-point beer, as defined herein, to a licensed retail dealer, as hereinafter defined, for resale;

5.  "Retail dealer" means and includes any person who sells any low-point beer, as defined herein, at retail for consumption or use, and such definitions include state and county fair associations, and special licenses may be issued for the sale of low-point beer, as herein defined, by such associations, and to other persons for the sale of such low-point beer at rodeos, picnics, or other organized temporary assemblages of people.  The term "retail dealer" also includes railways for the sale of such beverages, and licenses may be issued for each dining car or railway train, which railways and dining cars shall pay the same license fees as regular retail dealers;

6.  "Sale" or "sales", for the purpose of the collection of the taxes imposed by any law of the state upon low-point beer, as defined herein, is hereby defined to mean and include all sales by all wholesalers within this state, for money or any other valuable consideration, to retail dealers for resale; and, also, the term "sale" or "sales" taxable under Section 163.1 et seq. of this title means and includes all sales from manufacturers or wholesalers from outside this state, to retail dealers for resale to consumers or otherwise.  The term "sale" or "sales" shall also include sales from manufacturers without the state to wholesalers located within the state;

7.  "Meals" means foods commonly ordered at lunch or dinner and at least part of which is cooked on the licensed premises and requires the use of dining implements for consumption.  Provided, that the service of only food such as appetizers, sandwiches, salads or desserts shall not be considered "meals"; and

8.  "Motion picture theater" means a place where motion pictures are exhibited and to which the general public is admitted, but does not include a place where meals, as defined by this section, are served, if only persons twenty-one (21) years of age or older are admitted.

Added by Laws 1947, p. 286, § 2.  Amended by Laws 1988, c. 93, § 2, emerg. eff. March 31, 1988; Laws 1989, c. 340, § 1, emerg. eff. June 3, 1989; Laws 1990, c. 258, § 4, operative July 1, 1990; Laws 1995, c. 274, § 9, eff. Nov. 1, 1995.


§37-163.3.  Tax on low-point beer - Exemptions from other taxes.

There is hereby levied on all low-point beer containing more than one-half of one percent (1/2 of 1%) of alcohol measured by volume and not more than three and two-tenths percent (3.2%) of alcohol measured by weight which are manufactured and sold, or removed for consumption or sale, within this state a tax of Eleven Dollars and twenty-five cents ($11.25) for every barrel containing not more than thirty-one (31) gallons, and at a like rate of tax for any other quantities or for a fractional part of a barrel.  Provided, any low-point beer manufactured in this state for export shall not be taxed under this section.

Each wholesaler making reports and remittances to the Tax Commission shall be allowed the sum of one percent (1%) of the tax remittances collected for maintaining and collecting said tax for the benefit of this state.

Machinery and equipment directly used in the manufacture within this state of low-point beer taxed pursuant to the provisions of this section shall be exempt from taxation under any other law of this state levying a sales or consumers or use tax.

Added by Laws 1947, p. 286, § 3.  Amended by Laws 1949, p. 277, § 1; Laws 1951, p. 109, §1; Laws 1953, p. 140, § 1; Laws 1984, c. 153, § 1, emerg. eff. April 21, 1984; Laws 1987, c. 113, § 1, operative June 1, 1987; Laws 1995, c. 274, § 10, eff. Nov. 1, 1995; Laws 2003, c. 484, § 1, eff. Nov. 1, 2003.


§37-163.4.  Payment of taxes - Persons liable - Sales permitted.

The excise tax levied on low-point beer under Section 163.3 of this title shall be paid by the following:

1.  Manufacturers.  When the sale is made by a manufacturer, located and doing business in this state, to a wholesaler, located and doing business in this state, the tax shall be paid by the wholesaler.

When the sale is made by a manufacturer located outside of the state and doing business in this state by virtue of and under permit issued as hereinafter provided to a wholesaler located and doing business in this state, the tax shall be paid by the wholesaler.

When the sale is made by a manufacturer located and doing business in this state to a retail dealer located and doing business in this state, the tax shall be paid by the manufacturer, who must also be the holder of an effective wholesale beverage dealer's license.  Before making any such sale to a retail dealer the manufacturer must apply for and procure a license as a wholesaler, provided for in Section 163.1 et seq. of this title.

When the sale is made by a manufacturer located and doing business in this state to a consumer in this state, the tax shall be paid by the manufacturer;

2.  Wholesalers.  When the sale is made by a wholesaler, located and doing business in this state, to a retail dealer located and doing business in this state, the tax shall be paid by the wholesaler.  Such wholesalers may sell only to licensed retail dealers low-point beer upon which the tax provided by Section 163.3 of this title has first been paid by such wholesaler.

When the sale is made by a wholesaler, located and doing business outside this state, and who has obtained an Oklahoma wholesale beverage dealer's license, to a retail dealer located and doing business in this state, the wholesaler shall be liable for and must pay to the Tax Commission the beverage tax due on such sales.  In the event of a retail dealer, doing business in this state, purchases beverage from a wholesaler doing business outside this state, and who does not have an Oklahoma wholesale beverage dealer's license, the retailer shall be liable for and must pay to the Oklahoma Tax Commission the tax due on such sales.  Both the wholesalers and retailers liable for the payment of such tax shall, on forms prescribed by the Tax Commission, report to the Tax Commission such sales and deliveries.

For the purpose of collecting and remitting the tax imposed under Section 163.1 et seq. of this title, the wholesaler collecting such tax is hereby declared to be the agent of the state for such purposes; and

3.  Retail Dealers.  Retail dealers, where the out-of-state manufacturer or wholesaler has paid the tax under the provisions of Section 163.1 et seq. of this title, shall not be required to pay the tax.  However, nothing in Section 163.1 et seq. of this title shall operate to relieve any retail dealer from payment of the tax where such retail dealer has at any time in his or her possession or exhibits for sale low-point beer upon which the tax has not been paid.  In such case all the provisions of Section 163.1 et seq. of this title relating to reports, returns, and payment of the tax shall apply to such retail dealer, and any refusal to comply with the requirements regarding reports, returns, and payment of the tax, or any violation of any of the penal sections of Section 163.1 et seq. of this title, shall likewise subject such retail dealer to the penalties and punishments prescribed for other taxpayers.  In addition, any retail dealer that manufactures low-point beer for consumption on the licensed premises shall be required to pay the tax.

Except as provided in paragraph 1 of Section 163.7 of this title, no retail dealer may sell any low-point beer except at retail, for consumption or use; and no retail dealer may have in his or her possession, or offer for sale, any such beverage upon which the tax shall not have been paid.

Added by Laws 1947, p. 287, § 4.  Amended by Laws 1984, c. 153, § 2, emerg. eff. April 21, 1984; Laws 1992, c. 91, § 1, eff. Sept. 1, 1992; Laws 1995, c. 274, § 11, eff. Nov. 1, 1995; Laws 2002, c. 460, § 26, eff. Nov. 1, 2002; Laws 2003, c. 484, § 2, eff. Nov. 1, 2003.


§37163.5.  Time of payment  Return showing sales.

The excise tax levied by Section 163.3 of this title on low-point beer shall be due and payable on or before the tenth day of each month for the preceding calendar month.  At the time of paying such tax each taxpayer shall, upon forms prescribed, prepared and furnished by the Tax Commission, file with the Tax Commission a return, under oath, showing the total sales of such beverages during the preceding calendar month, the amount of taxes due, and such further information as the Tax Commission may require to enable it to compute correctly and collect the taxes levied under Section 163.1 et seq. of this title.  Any tax not paid within ten (10) days after the close of the preceding calendar month shall be delinquent.

Added by Laws 1947, p. 288, § 5.  Amended by Laws 1984, c. 153, § 3, emerg. eff. April 21, 1984; Laws 1995, c. 274, § 12, eff. Nov. 1, 1995.


§37163.6.  Disposition of monies collected.

All monies collected pursuant to the provisions of Section 163.1 et seq. of thistitle shall be apportioned to the General Revenue Fund of the state.

Amended by Laws 1986, c. 223, § 21, operative July 1, 1986.  

§37-163.7.  Annual state permits and license taxes.

In addition to the excise tax payable under Section 163.1 et seq. of this title, and in addition to the license required to be procured from the judge of the district court, the following permits shall be required and the following annual license taxes shall be payable to the Oklahoma Tax Commission with respect to low-point beer; provided, any such permit issued prior to November 1, 1995, with respect to low-point beer shall be valid until it expires:

1.  Manufacturers:  Every manufacturer, located and doing business in this state, shall, before commencing the manufacture of low-point beer, obtain from the Tax Commission a permit to engage in such manufacture.  As a condition of the issuance of this permit, such manufacturer shall pay to the Tax Commission a license tax of Four Hundred Fifty Dollars ($450.00), which shall cover a three-year period commencing with the effective date of such permit.  This permit must be renewed and the license tax paid thereafter at the expiration of the preceding permit and license tax period.  Each and every other manufacturer of such beverages, coming within the provisions of Section 163.1 et seq. of this title, shall before selling or offering for sale such beverages within the State of Oklahoma, qualify with the Secretary of State of the State of Oklahoma for a permit to do business within the State of Oklahoma and, after so qualifying, shall obtain a permit or license from the Tax Commission and, in addition to any other license, taxes or fees, pay therefor a license tax of Five Hundred Dollars ($500.00), which shall cover a one-year period commencing with the effective date of such permit.  The permit or license shall be for the privilege of doing business in Oklahoma as a manufacturer of low-point beer.  The permit must be renewed and the license tax paid annually thereafter at the expiration of the preceding permit and license tax period.  The receipt of payment of such permit or license shall be on file with the Tax Commission before such manufacturer shall sell, or offer for sale, such beverages to any person within the State of Oklahoma.  Provided, a manufacturer located and doing business in this state may sell not more than five thousand (5,000) barrels annually of its own products directly to consumers by procuring a retail license.

Every manufacturer, located and doing business outside the State of Oklahoma, desiring to pay the excise tax on sales to retail dealers, as provided for in Section 163.1 et seq. of this title, shall procure annually a permit and pay annually the license tax required of wholesalers, as provided for under this section.  The payment of such fee shall be in addition to the payment of the license fee or tax in the sum of Five Hundred Dollars ($500.00) as provided herein;

2.  Wholesalers:  Every wholesaler, located and doing business in this state, must annually obtain from the Tax Commission a permit to sell low-point beer.  As a condition of the issuance of this permit, such wholesaler shall pay to the Tax Commission a license fee of Two Hundred Fifty Dollars ($250.00) which shall cover a one-year period commencing with the effective date of such permit.  The permit must be renewed and the license tax paid annually thereafter at the expiration of the preceding permit and license tax period. The fee shall be reduced by seventy-five percent (75%) if the applicant is a holder of a license to manufacture low-point beer and is located and doing business in this state.

Every wholesaler, located and doing business outside the state desiring to pay the excise tax on sales to retail dealers, as provided for in Section 163.1 et seq. of this title, shall procure annually a permit and pay annually the license tax required of wholesalers located and doing business in this state.

Wholesalers within this state shall be required to secure an annual permit and must pay an annual license tax for each city or incorporated town from which deliveries of low-point beer are made to retail dealers.

Permits issued to wholesalers shall not be transferable from one person to another person but shall be transferable from one location to another location; and

3.  Retail Dealers:  Every retail dealer shall, before offering low-point beer for sale to the public, obtain from the Tax Commission a permit to engage in such sales, and shall pay to the Tax Commission, in advance of the issuance of the permit, the license tax, as follows:

a. each retail dealer who sells low-point beer, on draught and in original packages, for consumption on or off the premises, shall obtain a permit which shall be valid for a period of three (3) years and shall pay a license tax of Four Hundred Dollars ($400.00) for every permit issued or renewed on or after July 1, 2003, but prior to July 1, 2006, of which One Hundred Dollars ($100.00) shall be deposited in the Community-based Substance Abuse Revolving Fund established in Section 2 of this act.  The fee for every permit issued or renewed on or after July 1, 2006, shall be Five Hundred Dollars ($500.00), of which Two Hundred Dollars ($200.00) shall be deposited in the Community-based Substance Abuse Revolving Fund,

b. each retail dealer who sells such beverages in original packages only for consumption on or off the premises shall obtain a permit which shall be valid for a period of three (3) years and shall pay a license tax of Two Hundred Fifty Dollars ($250.00) for each permit issued or renewed on or after July 1, 2003, but before July 1, 2006, of which One Hundred Dollars ($100.00) shall be deposited in the Community-based Substance Abuse Revolving Fund.  The fee for every permit issued on or after July 1, 2006, shall be Three Hundred Fifty Dollars ($350.00), of which Two Hundred Dollars ($200.00) shall be deposited in the Community-based Substance Abuse Revolving Fund,

c. each retail dealer who sells low-point beer purchased from a licensed manufacturer or licensed wholesaler for consumption on or off the premises and who sells low-point beer manufactured by the retail dealer for consumption on or off the premises shall obtain a permit which shall be valid for a period of three (3) years and shall pay a license fee of Five Hundred Fifty Dollars ($550.00) for each permit issued or renewed on or after July 1, 2003, but before July 1, 2006, of which One Hundred Dollars ($100.00) shall be deposited in the Community-based Substance Abuse Revolving Fund.  The fee for every permit issued on or after July 1, 2006, shall be Six Hundred Fifty Dollars ($650.00), of which Two Hundred Dollars ($200.00) shall be deposited in the Community-based Substance Abuse Revolving Fund.  Provided, a retail dealer licensed pursuant to this subparagraph shall not manufacture more than five thousand (5,000) barrels of low-point beer per year.  A retail dealer, that has obtained a permit pursuant to this subparagraph, may sell low-point beer manufactured by the retail dealer, at any of the retail dealer's places of business, as defined in Section 163.8 of this title, or any other place owned and operated by an entity which has common owners with the licensed dealer, regardless of which place of business brews the beverage.  "Common owners" means that the owners at each place or entity together own more than fifty percent (50%) of the interest in each place or entity that has a permit issued pursuant to this subparagraph.  A retail dealer, that has obtained a permit pursuant to this subparagraph, may sell low-point beer manufactured by the same retailer pursuant to special licenses issued pursuant to subparagraph d of this paragraph,

d. special licenses, as provided, may be issued for the sum of Five Dollars ($5.00) per day for each license; provided, that in the event any state or county fair association shall meet for more than five (5) days in any year, a special license for the sale of such beverages shall be issued for the sum of Twenty-five Dollars ($25.00),

e. each retail dealer who sells such beverages in original packages and not for consumption on the premises, shall obtain a permit which shall be valid for a period of three (3) years and shall pay a license tax of One Hundred Thirty Dollars ($130.00) for each permit issued or renewed on or after July 1, 2003, but prior to July 1, 2006, of which One Hundred Dollars ($100.00) shall be deposited in the Community-based Substance Abuse Revolving Fund.  The fee for every permit issued or renewed on or after July 1, 2006, shall be Two Hundred Thirty Dollars ($230.00), of which Two Hundred Dollars ($200.00) shall be deposited in the Community-based Substance Abuse Revolving Fund.  It shall be unlawful for such off-premise dealer to allow any bottle, can, or original package to be broken or opened, or to allow any of such low-point beer to be consumed, in or upon the premises described in such permit; provided, however, a manufacturer located and doing business in this state and selling its own products for off-premises consumption may serve visitors on the premises free samples of low-point beer produced on the premises provided such samples shall not exceed twelve (12) fluid ounces per customer per visit,  

f. a retail dealer who has obtained a permit pursuant to this paragraph and who ceases to offer low-point beer for sale to the public shall be entitled to receive a refund of the permit fee from the Tax Commission prorated with respect to the amount of time remaining until expiration of the permit, upon surrender of the permit to the Oklahoma Tax Commission.  The manner and prorated refund shall be prescribed by the Tax Commission, and

g. a retail dealer who has obtained a permit pursuant to this paragraph prior to July 1, 2003, shall not be subject to the increased fees provided for in subparagraphs a, b, c or e until the permit is renewed.

Added by Laws 1947, p. 288, § 7, emerg. eff. April 24, 1947.  Amended by Laws 1992, c. 91, § 2, eff. Sept. 1, 1992; Laws 1994, c. 258, § 1, eff. Sept. 1, 1994; Laws 1995, c. 274, § 13, eff. Nov. 1, 1995; Laws 1996, c. 3, § 6, emerg. eff. March 6, 1996; Laws 2000, c. 107, § 1, eff. Nov. 1, 2000; Laws 2000, c. 334, § 3, eff. Nov. 1, 2000; Laws 2003, c. 484, § 3, eff. Nov. 1, 2003; Laws 2004, c. 5, § 25, emerg. eff. March 1, 2004.


NOTE:  Laws 1995, c. 192, § 1 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.  Laws 2000, c. 17, § 1 repealed by Laws 2000, c. 334, § 9, eff. Nov. 1, 2000.  Laws 2003, c. 354, § 1 repealed by Laws 2004, c. 5, § 26, emerg. eff. March 1, 2004.


§37-163.8.  Grant of permits and payment of tax - Renewal - Transfer - Separate places of business - Application for permit - Cancellation.

Prior to applying to the Oklahoma Tax Commission for a permit to engage in the retail sale of low-point beer, the applicant shall first obtain and furnish proof to the Oklahoma Tax Commission of a county permit as required by Section 163.11 of this title.  Said proof shall include the effective and expiration dates of the permit.  On approval of the application and payment of the license tax imposed by Sections 163.1 through 163.21 of this title, the Oklahoma Tax Commission shall grant the applicant a permit to conduct business in the state.  Provided, however, that when a retailer has qualified for and secured a permit to sell low-point beer in original packages only for consumption off the premises and subsequently applies for a permit to sell said beverages on draught and in original packages for consumption on or off the premises, before the expiration of the former permit, the Tax Commission is authorized to credit such retailer with the value of the unused portion of the former permit, prorated in an amount specified by the Oklahoma Tax Commission.  The permit must be renewed and the license tax paid thereafter at the expiration of the preceding permit and license tax period.

The permits issued to retail dealers shall not be transferable from one person to another person, but shall be transferable from one location to another location, provided that such transfer is made with the approval of the Tax Commission and the judge of the district court.

Retail dealers shall be required to secure a permit and must pay a license tax for each place of business at which low-point beer is sold.  "Place of business" as herein used shall mean each room, bar or other service unit from which low-point beer is served, delivered or otherwise furnished.  Provided, retail dealers applying for a special license under the provisions of Section 163.7 of this title shall not be required to obtain a special permit for each bar or service unit within the same enclosed area or within the general vicinity of each other for events held outside a physical structure.

Application for the issuance of the initial and renewal permits required and provided for by this section shall be filed with the Tax Commission and must be accompanied by the required license tax payment in the form of cash, cashier's check, bank draft, or money order payable to the Tax Commission.  Permits shall be issued and renewed in the discretion of the Tax Commission upon full compliance with the provisions of Section 163.1 et seq. of this title by the applicant.  Proof of the issuance of a permit by the district court clerk, including the effective and expiration dates of the permit, shall entitle the applicant to a permit from the Oklahoma Tax Commission and the revocation of any such permit shall be cause for cancellation of the permit issued by the Oklahoma Tax Commission.

Added by Laws 1947, p. 289, § 8.  Amended by Laws 1985, c. 259, § 1, eff. Nov. 1, 1985; Laws 1994, c. 258, § 2, eff. Sept. 1, 1994; Laws 1995, c. 274, § 14, eff. Nov. 1, 1995; Laws 2004, c. 170, § 1, eff. Nov. 1, 2004.


§37163.9.  Operation without permit.

Any person who operates as a retail low-point beer dealer at any time, without having applied to the Commission for an effective permit, may be required to secure a permit and pay the license tax for the balance of the license year from the date on which he or she began operating, and in this event, shall be required to pay fifty cents ($0.50) for each day which he or she operated before applying for a license; provided the first fifteen (15) days of such delinquency shall be exempt from the fifty-cent-per-day penalty, and provided the total penalty shall not exceed the amount of the license fee for the license which is required.  Provided, further, that the said fifty-cent-per-day penalty shall apply likewise to an original applicant and the applicant for a renewal permit and, provided, further, the total penalty shall not exceed the amount of the license fee for the license which is required in case where license is ultimately issued.  Any person who operates as such dealer who has applied for a permit but which said permit is ultimately rejected by the Oklahoma Tax Commission, shall each be liable to the Oklahoma Tax Commission for One Dollar ($1.00) per day for each day of such unauthorized operation, said penalty to be paid on demand of the Oklahoma Tax Commission, and in case of an operator who has applied for a permit, but has been refused, the amount or so much thereof as is necessary of the advanced license fee paid by such applicant, shall be retained by the Oklahoma Tax Commission and applied on the penalty, the remainder of said penalty, if any, to be collected as in case of delinquent tax.  In case the penalty is not equal to the amount of money deposited in advance, then the balance shall be refunded to the applicant.

Added by Laws 1947, p. 290, § 9.  Amended by Laws 1949, p. 278, § 3; Laws 1995, c. 274, § 15, eff. Nov. 1, 1995.


§37163.10.  Taxes and license fees by subdivisions of state.

No tax, license fee, or charge upon the distribution, possession, or handling of low-point beer, as defined by Section 163.2 of this title, shall be levied or collected by any political subdivision of this state, except the sales tax, the general ad valorem tax, and the county low-point beer permit fee.  Municipal corporations may require the payment of an annual license fee of not more than Twenty Dollars ($20.00) from retail dealers, as defined by Section 163.2 of this title, selling low-point beer for consumption on or off the premises, and an annual license fee of not more than Ten Dollars ($10.00) from retail dealers, as defined by Section 163.2 of this title, selling said beverages in original packages and not for consumption on the premises.

Added by Laws 1947, p. 290, § 10.  Amended by Laws 1984, c. 153, § 4, emerg. eff. April 21, 1984; Laws 1995, c. 274, § 16, eff. Nov. 1, 1995.


§37-163.11.  Retail permits from district court clerk.

A.  It shall be unlawful for any person to maintain or operate any place where low-point beer, as herein defined, is sold for consumption on or off the premises without first securing a permit issued by the district court clerk of the county in which the premises are located.

B.  1.  The person applying for a permit must file a verified application every three (3) years and that he or she has never been convicted of violating any of the laws prohibiting the traffic in any spirituous, vinous, fermented or malt liquors, or of any of the gambling laws of this state, or of any other state of the United States, within three (3) years immediately preceding the date of his or her petition, or any of the laws commonly called "Prohibition Laws", or had any permit or license to sell low-point beer revoked in any county of this state within twelve (12) months.

2.  A person who has been convicted of a felony shall not be eligible for a permit unless the person received a pardon for the felony or a period of ten (10) years has elapsed since the completion of the sentence imposed for the felony.

C.  No permit shall be issued to sell low-point beer for on-premises consumption unless the person applying for such permit shall have signed an affidavit stating that the location of the building in which low-point beer is to be sold is not prohibited by the provisions of Section 163.27 of this title.

D.  A fee of One Hundred Fifty Dollars ($150.00) shall be charged for the issuance or renewal of such three-year permit, which fee shall be deposited in the county court fund, in addition to other fees required by law.

E.  Upon petition being filed, the district court clerk shall give fifteen (15) days' notice for an initial application, and it is the applicant's responsibility to cause the same to be posted by the entrance on the front of the building in which said low-point beer is to be sold and to file proof of posting in such case; and a copy of said notice shall also be mailed to the district attorney, the sheriff and the chief of police or marshal of any city or town in which said business is to be operated.  Said notice shall contain the name of the applicant and the location of said place of business.  The initial permit shall be valid for a period of three (3) years and shall expire if not renewed with proper showing required by subsection B of this section, and upon payment of proper fees.  A permit may be renewed within ten (10) days of expiration, upon proper application pursuant to subsection B of this section and payment of the proper fees, but without the payment of any late fees.  Provided, however, that if a proper application under subsection B of this section is filed within eleven (11) days but not more than thirty (30) days after the expiration date of the permit, upon payment of a fee of One Hundred Dollars ($100.00) in addition to the initial permit fee, the court clerk is authorized to treat said application as one for renewal and to issue a renewal permit to the applicant, if all requirements have otherwise been met by the applicant.  A renewal permit granted during the thirty-day grace period shall become effective upon the date of its issuance by the court clerk.

F.  A permit issued prior to September 1, 1994, shall be valid until it expires and shall be renewed for a period of three (3) years or until expiration of the sales tax permit issued by the Oklahoma Tax Commission, if any, held by the person at the time of such renewal, whichever is earlier.  The manner and prorated fee for renewals of less than three (3) years shall be prescribed by the court clerk.

G.  A person who has obtained a permit pursuant to this section and who ceases to maintain or operate any place where low-point beer is sold for consumption on or off the premises shall be entitled to receive a refund of the permit fee from the district court clerk prorated with respect to the amount of time remaining until expiration of the permit, upon surrender of the existing permit to the district court clerk.  The manner and prorated refund shall be prescribed by the Administrative Director of the Courts.

H.  If there are no protests and the petition is sufficient on its face, then said permit shall be granted by the district court clerk.  Provided, that if any citizen of the county files a written protest setting forth objections, then the district court clerk shall advise the chief judge who shall assign such petition to a district judge or associate district judge for hearing.

I.  The application for such permit must be verified and in writing, contain the information above required, and must be set for hearing on a date named in the notice required to be posted.

J.  All testimony before the district court shall be under oath.

K.  A judge of the district court, upon five (5) days' notice to the person holding such permit, shall revoke such permit for any one of the following reasons:

1.  Drunkenness of the person holding such permit or permitting any intoxicated person to loiter in or around his or her place of business;

2.  Person under the influence of drugs holding such permit or permitting any drugged person to loiter in or around his or her place of business;

3.  The sale to any person under twenty-one (21) years of age of low-point beer;

4.  Permitting persons under the age of twenty-one (21) in a separate or enclosed bar area which has as its main purpose the selling or serving of low-point beer for consumption on the premises unless said person's parent or legal guardian is present, in violation of the provisions of Sections 241 through 246 of this title;

5.  Nonpayment of any of the taxes or license fees imposed by the provisions of Section 163.1 et seq. of this title on complaint of the Oklahoma Tax Commission;

6.  Violating any of the laws of the state commonly called "Prohibition Laws" or violating any of the gambling laws of the state or permitting anyone to violate any of said laws in such places or violating any of the provisions of Section 163.1 et seq. of this title;

7.  Conviction for the violation of any of the laws of this state or the United States for the sale or possession of intoxicating liquors within three (3) years immediately preceding the issuance of such dealer's license; or

8.  Violating any law pertaining to the use, possession, or sale of drugs or narcotics or the violation of the narcotics laws of the State of Oklahoma or the United States.

L.  After the revocation of any such permit, for any of the above reasons, except paragraph 5 of subsection K of this section for nonpayment of taxes, or license fees, no new permit shall be issued to the same person for the same location or premises prior to the expiration of a period of one (1) year from the date of such revocation.

M.  On or before the tenth day of each month each district court clerk shall file with the Oklahoma Tax Commission, on forms prescribed and furnished by the Commission, a report showing the name, address, and county permit number of each such person to whom a county permit has been issued or whose permit has been revoked, or who shall have been refused a county permit, during the previous calendar month.  In case of the revocation of a permit by a judge of the district court, the district court clerk shall within five (5) days report such action to the Oklahoma Tax Commission.  If county permits shall have been issued, revoked or refused during the month, the district court clerk shall make a report accordingly to the Commission.

N.  Upon application to and approval by the court clerk of the district court, a retail dealer as defined by Section 163.2 of this title who meets the requirements of this section and Section 163.11a of this title may be granted a special event permit without the requirement of notice or posting, after payment of a fee of Twenty-five Dollars ($25.00) in addition to other fees required by law, which fees shall not be refundable or apportionable.  A special event permit issued under this subsection shall authorize the holder thereof to sell and distribute low-point beer for a period not to exceed ten (10) consecutive days from the date of issuance.  A separate permit shall be required for each individual place of business, whether permanent or a temporary assemblage.  Provided, retail dealers shall not be required to obtain a special permit for each bar or service unit within the same enclosed area or within the general vicinity of each other for events held outside a physical structure.  A special event permit shall not be renewable.  A municipality shall not, by ordinance or otherwise, refuse to issue a special event permit or special event license on the basis that the applicant already possesses a permit or license in the applicant's same name.

Added by Laws 1947, p. 291, § 11.  Amended by Laws 1951, p. 109, § 1; Laws 1968, c. 414, § 5, eff. Jan. 13, 1969; Laws 1970, c. 283, § 1, eff. Jan. 1, 1971; Laws 1978, c. 212, § 13, eff. July 1, 1978; Laws 1985, c. 170, § 1, eff. Nov. 1, 1985; Laws 1987, c. 109, § 1, eff. Nov. 1, 1987; Laws 1992, c. 357, § 12, eff. July 1, 1992; Laws 1994, c. 258, § 3, eff. Sept. 1, 1994; Laws 1995, c. 119, § 1, eff. Sept. 1, 1995; Laws 1995, c. 274, § 17, eff. Nov. 1, 1995; Laws 1997, c. 235, § 1, eff. Nov. 1, 1997; Laws 1997, c. 364, § 1, eff. Nov. 1, 1997; Laws 2000, c. 107, § 2, eff. Nov. 1, 2000; Laws 2004, c. 170, § 2, eff. Nov. 1, 2004.


NOTE:  Laws 1987, c. 77, § 1 repealed by Laws 1989, c. 340, § 8, emerg. eff. June 3, 1989 and Laws 1989, c. 353, § 14, emerg. eff. June 3, 1989.


§37-163.11a.  Affidavit by applicant - Residence and authority of corporations.

A.  Every person applying to a district court clerk of this state for a permit to sell low-point beer at retail, as provided for in Section 163.11 of this title, shall by affidavit at the time of applying for said permit and by such further proof as the district court clerk may require, make the following proof:

1.  Noncorporate Persons.  That each applicant for a permit or other individual who has a beneficial interest in the business for which permit is sought, has for at least one (1) year next preceding the filing of the application maintained a bona fide residence in the State of Oklahoma, and is at the time of making said application maintaining and actually residing in a residence in the county or adjoining county in which said application is made; and

2.  Corporate Persons.  That such corporations are duly authorized to transact business in the State of Oklahoma, and that the agent or employees managing or in charge of the place of business for which the permit is sought is maintaining and residing in a residence located in said county, or adjoining county, and that such corporation consents that any and all notices required to be served under the provisions of Section 163.1 et seq. of this title may be served on such resident agent or employee.

B.  Renewal permits may be granted to corporations which have undergone a name change after the initial permit was granted, provided that the new corporation's affidavit and application demonstrate that the corporation has retained the same officers, and that it is otherwise the same corporation which received the initial permit, in addition to payment of proper fees.  The initial permits issued to noncorporate persons which have changed legal identities or entities may be renewed upon proper application demonstrating that the identity of the renewal permit holder is the same as that sought to be renewed, and that the business address is the same, in addition to payment of proper fees.

Added by Laws 1949, p. 278, § 1.  Amended by Laws 1968, c. 414, § 6, eff. Jan. 13, 1969; Laws 1994, c. 258, § 4, eff. Sept. 1, 1994; Laws 1995, c. 274, § 18, eff. Nov. 1, 1995.  Renumbered from § 163.11A of this title by Laws 1997, c. 235, § 5, eff. Nov. 1, 1997.


§37163.12.  Bonds.

Every wholesaler, as herein defined, after applying for a license and before the same is issued by the Tax Commission, shall file with said Commission a surety or collateral or cash bond in such amount as the Commission may prescribe in an amount of not less then One Thousand Dollars ($1,000.00), nor more than Ten Thousand Dollars ($10,000.00) payable to the State of Oklahoma, and conditioned upon compliance with the provisions of the laws of this state relating to the sale of low-point beer, as herein defined, and the rules and regulations of the Oklahoma Tax Commission.

Provided that the Oklahoma Tax Commission after an examination of the books and records, and an inventory of the stock on hand of any wholesaler, may demand an additional bond of such wholesaler in any amount that in the opinion of said Commission is necessary to properly protect the Commission in the collection of the tax herein levied, provided, that said additional bond shall not exceed the sum of Fifteen Thousand Dollars ($15,000.00).  If said additional bond is not posted with the Oklahoma Tax Commission within ten (10) days after notice in writing to the wholesaler, to be served in person or by registered mail addressed to wholesaler at the address of his or her principal place of business, the Tax Commission may, in its discretion, cancel the license of said wholesaler without further notice, and at the same time declare all taxes levied under Section 163.1 et seq. of this title to be immediately due and payable upon all beverages not sold and in the hands of such wholesaler.

In cases where retail dealers, as herein defined, are liable for the payment of the taxes imposed by any law of the state upon the sale of low-point beer, as herein defined, on account of purchases from without the state, or otherwise, where the tax is not paid by the wholesaler or manufacturer, upon demand of the Oklahoma Tax Commission, such retail dealer, as defined herein, shall likewise file with the Tax Commission a surety bond in an amount of not less than One Thousand Dollars ($1,000.00), payable to the State of Oklahoma and conditioned upon compliance with the provisions of the laws of this state relating to the sale of low-point beer, as herein defined, and the rules and regulations of the Oklahoma Tax Commission.

Added by Laws 1947, p. 292, § 12.  Amended by Laws 1949, p. 277, § 2; Laws 1995, c. 274, § 19, eff. Nov. 1, 1995.


§37163.13.  Records of licensees.

Each and every licensee, subject to the payment of a tax hereunder, is hereby required to keep accurate records, covering the business carried on, and shall, for a period of three (3) years, file and keep his invoices or other memoranda, showing all sales or purchases of such beverages, as herein defined; and such invoices, or memoranda, shall at all times be subject to the examination and inspection of any member or agent of the Oklahoma Tax Commission in the enforcement of this act.


§37163.14.  Reports by manufacturers and wholesalers  Records of retail dealers.

A.  Each and every manufacturer shall report to the Commission in writing, under oath, monthly, not later than the tenth of each month, all sales of beverages, as herein defined, made during the preceding month to licensed wholesalers within the State of Oklahoma; and all sales made otherwise, during said period, including those for delivery outside the state.  Such reports shall be upon forms prepared and furnished by said Commission and shall contain such information as may be required by it.

B.  Each wholesaler shall, likewise, report to the Commission, in writing, under oath, not later than the tenth day of each month, each and every sale of beverages, as herein defined, made for delivery outside the state, and shall likewise report the volume of sales to persons within the state.  At the same time each wholesaler shall report to the Commission, in writing, each and every purchase or consignment of beverage received.

C.  Each and every retail dealer shall keep accurate records of all sales of low-point beer, whether purchased or manufactured by the retail dealer, to consumers or users, and of all purchases of such beverages from wholesalers or otherwise; and such records shall be preserved for a period of three (3) years and shall be open to inspection at all times by the Commission or any of its employees.

Added by Laws 1947, p. 292, § 14.  Amended by Laws 1992, c. 91, § 3, eff. Sept. 1, 1992; Laws 1995, c. 274, § 20, eff. Nov. 1, 1995.


§37163.15.  Possession, display, sale or transportation in violation of law - Confiscation  Actions.

It shall be unlawful for any manufacturer, wholesaler or retail dealer of low-point beer, as herein defined, who has in his or her possession, displays or exhibits for sale, sells or transports or causes to be transported, within this state, any low-point beer as herein defined, in violation of any of the provisions of Section 163.1 et seq. of this title or any other law of the state relating to the sale of such low-point beer; and all such low-point beer found in the possession of any such person shall be subject to confiscation and destruction in an action brought in the name of the State of Oklahoma, on relation of district attorney of the county in which said place of business is operated, or in which said low-point beer is found, in the same manner as liquors purchased in violation of laws of the state relating to the purchase, transportation or sale of intoxicating liquors, and the procedure therein provided shall be followed, as nearly as may be practicable, by the district attorney in the enforcement of the provisions of Section 163.1 et seq. of this title.

The State of Oklahoma on relation of the district attorney, is hereby authorized to institute legal action, in any court of competent jurisdiction, against the owner or operator of any automobile, truck or other means of transportation of any low-point beer, as herein defined, who may be in violation of any of the laws of the state relating to the transportation of such beverages, or the identification of such trucks or other means of transportation, or the provisions relating to invoices; and such legal proceedings shall subject any such automobile, truck or other means of transportation so used to confiscation and sale, according to the same procedure now provided by the laws of the State of Oklahoma for sale of vehicles used in violation of such laws prohibiting the possession, transportation or sale of intoxicating liquors.

It shall be the duty of the district attorneys of the respective counties of the state to enforce the provisions of this section, and authority is hereby conferred upon said district attorneys to maintain any suit necessary therefor, in the name of the State of Oklahoma on relation of such district attorneys.

Added by Laws 1947, p. 293, § 15.  Amended by Laws 1995, c. 274, § 21, eff. Nov. 1, 1995.


§37163.16.  Refusal or revocation of license  Grounds  Notice  Order.

Any license issued to a wholesaler or retail dealer, as defined herein, may be refused or revoked by the Oklahoma Tax Commission upon ten (10) days' notice in writing to such wholesaler or retail dealer, and after opportunity to be heard before the said Commission for any of the following reasons:

1.  The refusal by the judge of the district court to issue any permit to a retail dealer, or the cancellation by the judge of the district court of the county permit of any retail dealer;

2.  Nonpayment of delinquent tax, license fee or permit fees or penalties;

3.  Possession or display for sale by any retail dealer of low-point beer, as herein defined, upon which the tax imposed by any law of this state shall not have been paid;

4.  Failure on the part of any wholesaler or retail dealer to comply with all laws, or the regulations prescribed by the Oklahoma Tax Commission pursuant thereto relating to the enforcement duties imposed upon the Oklahoma Tax Commission by Section 163.1 et seq. of this title.

In any case, before a revocation of license by the Commission, any licensee shall be given ten (10) days' notice in writing and an opportunity to be heard shall be afforded, after which order of revocation may be issued by the Oklahoma Tax Commission, and the same shall thereupon become final; except, that no notice or hearing shall be required in case of a revocation by the Oklahoma Tax Commission after county permit has been revoked by the judge of the district court or application for renewal of county permit shall have been refused by the judge of the district court.

Added by Laws 1947, p. 293, § 16.  Amended by Laws 1995, c. 274, § 22, eff. Nov. 1, 1995.


§37163.17.  Injunction.

Upon application in the name of the State of Oklahoma on relation of the Oklahoma Tax Commission, any court of competent jurisdiction in this state shall have jurisdiction, and it shall be its duty to issue an injunction against any manufacturer, wholesaler or retail dealer as defined by this act:

(a) For failure by any taxpayer to pay any tax or penalty imposed or accrued under this act;

(b) For violation of the provisions of this Act or of the rules and regulations prescribed by the Oklahoma Tax Commission pertaining to the enforcement of any tax or penalty imposed by this act.

Laws 1947, p. 294, § 17.  

§37-163.18.  Invoices - Marking trucks and other vehicles - Evading or avoiding payment of tax - Penalty -  Reports by common carriers.

A.  Every wholesaler of low-point beer, as defined by Section 163.1 et seq. of this title, whether acting for himself or herself or for some other person, who sells such beverages for transportation by railroad or other common carrier, or truck or other vehicle, for transportation from any point within this state to any other point within this state for delivery to a duly-licensed retail dealer, shall deliver to such purchaser of the same an invoice covering each purchase, which invoice shall accurately describe the cargo as to quantity, and shall show the date of sale or delivery, the name, location and Tax Commission number of the wholesaler, the name, location and Tax Commission number of the purchaser, the quantity and description of the cargo, the amount of tax thereon and by whom paid.  Every invoice must be identified by consecutive numbers printed on the invoices and every wholesaler must account for each copy of the invoice and each number thereof.  Every wholesaler must retain one copy of each invoice as a part of the permanent records of such wholesaler for a period of at least three (3) years.

B.  Every person who purchases or receives low-point beer, as defined herein, within this state, and transports the same, or causes the same to be transported, from any point within this state to any other point within this state, by railroad or other common carrier, or by truck or other vehicle, must, at all times, while such beverages are in transit, have in his or her possession or in the possession of the carrier or deliverer thereon, an invoice of the load being transported, properly describing the cargo as to quantity, and showing the amount of tax thereon to have been paid, and by whom paid.  Such person must retain each invoice at the location for which the low-point beer permit was issued and such invoices must be retained by the retail dealer as a part of his or her permanent records for a period of at least three (3) years.

C.  Every person who shall purchase, accept or receive, for himself or herself or any other person, any such low-point beer, shall, at the time of delivery or acceptance of such beverages, demand and receive the statement or invoice specified in subsections A and B of this section.

D.  Each and every truck or other vehicle or conveyance used in the transportation of low-point beer, as defined by Section 163.1 et seq. of this title, on or over the roads and highways in this state, except common carrier in the state, and carriers in interstate commerce, and purchasers at retail, as defined in subsection H of this section, must have painted on both front and rear ends of each vehicle, in a conspicuous position, where it may easily be seen and read, in letters and figures at least four (4) inches high, the wholesaler's or retail dealer's license number, preceded by the initials "O.T.C. Bev.".  If a trailer unit is attached, the foregoing initials and number must be painted on the rear end of the last unit.

E.  If any wholesaler or retail dealer, as hereinabove described, causes to be transported, as hereinabove stated, any such low-point beer, or any private carrier or other person employed by such wholesaler or retail dealer, such private carrier or other person shall place upon the truck or the conveyance used, the license number and "O.T.C. Bev." marking of such wholesaler or retail dealer, as hereinabove provided, which provisions, and the provisions relating to invoices, shall apply to such private carrier or other person, who, for the purposes of Section 163.1 et seq. of this title, shall be the agent of such wholesaler or retail dealer.

F.  Any person or persons violating any of the provisions of subsection A, B, C, D or E of this section shall be guilty of a misdemeanor and upon conviction shall be punished by a fine of not more than One Thousand Dollars ($1,000.00), or by a term in jail of not exceeding one (1) year, or by both such fine and imprisonment.  The venue for any prosecution arising under this section shall be in the district court of any county in which any of said crimes are committed.

G.  Any person within the State of Oklahoma, while acting for himself or herself or who aids or abets any other person, in purchasing, selling, transporting, delivering or using, any low-point beer, as defined in Section 163.1 et seq. of this title, within the State of Oklahoma, with the intent and purpose of evading or avoiding the payment of the tax on such beverage imposed by law of the state, shall be guilty of a misdemeanor, and upon conviction shall be punished therefor as provided in subsection F of this section.

H.  The provisions of this section, relating to the marking of trucks or other vehicles conveying such low-point beer, shall not be construed to apply to manufacturers or wholesalers delivering beverages from without the state to points within the state, nor to common carriers engaged in shipping such beverages in, into or through the state, in interstate commerce, nor to a purchaser at retail of low-point beer upon which the tax has been paid.

I.  Common carriers transporting low-point beer, as defined by law, to points within the State of Oklahoma, shall furnish monthly reports to the Tax Commission showing the point of origin, the consignor, consignee, the date, and the amount of each shipment or consignment of such beverages so transported.  Failure of any common carrier to comply with this provision shall be deemed a misdemeanor, and upon conviction thereof shall be punished for a misdemeanor as provided for under the general statutes of this state.

Added by Laws 1947, p. 294, § 18.  Amended by Laws 1995, c. 274, § 23, eff. Nov. 1, 1995.


§37-163.18A.  Short title - Extent of statutory regulation.

A.  In order to provide for regulation of the sales and distribution of low-point beer, as defined in Section 163.2 of this title, in this state, the Legislature hereby declares it is necessary to implement the provisions of the Low-Point Beer Distribution Act.  Sections 163.18A through 163.18H of this title shall be known and may be cited as the "Low-Point Beer Distribution Act".

B.  Statutory regulation of the sales and distribution of designated brands in designated territories by wholesalers shall include, but not be limited to:

1.  A requirement for written agreements between a manufacturer and wholesaler designating a specific territory within which the wholesaler may sell the designated brands of the manufacturer;

2.  Provisions for prohibited acts applicable to the wholesaler and manufacturer; and

3.  Provisions for penalties for violations of the provisions of the Low-Point Beer Distribution Act.

Added by Laws 1993, c. 140, § 1, eff. Sept. 1, 1993.  Amended by Laws 1995, c. 274, § 24, eff. Nov. 1, 1995.


§37-163.18B.  Duties of manufacturer.

Every manufacturer of low-point beer licensed by the Oklahoma Tax Commission authorizing the licensee to sell its low-point beer in this state shall:

1.  Enter into an agreement with a licensed wholesaler to sell the designated brands of the licensed manufacturer which designates the sales territory of that licensed wholesaler and the designated brands to be sold by the licensed wholesaler.  All such agreements shall specifically authorize the sale of the designated brands by a licensed wholesaler within that sales territory;

2.  Sell its registered and approved designated brands only to a licensed wholesaler with whom that licensed manufacturer has an agreement designating the sales territory of the licensed wholesaler and the designated brands to be sold by the licensed wholesaler;

3.  Authorize only one licensed wholesaler for each designated sales territory.  Such licensed wholesaler shall be the only licensed wholesaler for the designated brands of the authorizing licensed manufacturer within that designated sales territory; and

4.  Designate who is responsible for the distribution of its designated brands.

Added by Laws 1993, c. 140, § 2, eff. Sept. 1, 1993.  Amended by Laws 1995, c. 274, § 25, eff. Nov. 1, 1995.


§37-163.18C.  Transportation - Destinations - Conveyance used.

In order to regulate distribution of low-point beer in this state, and assure collection of all applicable taxes and fees, all low-point beer sold in this state by a licensed wholesaler shall only be transported within this state to the licensed address and location of a licensed retailer or between the licensed addresses and locations of licensed retailers by a marked conveyance owned or leased by a licensed wholesaler.

Added by Laws 1993, c. 140, § 3, eff. Sept. 1, 1993.  Amended by Laws 1995, c. 274, § 26, eff. Nov. 1, 1995.


§37-163.18D.  Designated sales territories - Presentation without discrimination.

A.  A licensed wholesaler designated as the licensed wholesaler for a low-point beer within a designated sales territory shall present that low-point beer for sale to all licensed retailers within the designated sales territory without discrimination.  A licensed wholesaler shall not sell, supply, or deliver either directly or indirectly through a third party, a low-point beer to a licensed retailer outside of the designated sales territory of the designated wholesaler, nor to any person the licensed wholesaler has reason to believe will sell or supply any quantity of the low-point beer to any retail location outside of the designated sales territory of the designated wholesaler.

B.  All low-point beer shall only be transported by a marked conveyance owned or leased by the licensed wholesaler and operated by the licensed wholesaler or an employee of the wholesaler for the products of a licensed manufacturer within the designated sales territory to the address and location of a licensed retail dealer within that designated sales territory.

C.  Any low-point beer sold by the licensed wholesaler shall not be delivered to, received by, or stored at any place other than the address and location of the licensed retailer for which state and local retail dealer licenses and permits have been issued.

D.  With the approval of the licensed manufacturer, a licensed wholesaler may sell the designated brands to a licensed retailer located in a designated sales territory of another licensed wholesaler if that licensed wholesaler is temporarily unable for any reason to provide the designated brands of the licensed manufacturer within its designated sales territory.

E.  All low-point beer purchased by a licensed wholesaler for resale in this state shall physically come into the possession of the licensed wholesaler and be unloaded in and distributed from the licensed warehouse of the licensed wholesaler located in this state, prior to being resold in this state.

Added by Laws 1993, c. 140, § 4, eff. Sept. 1, 1993.  Amended by Laws 1995, c. 274, § 27, eff. Nov. 1, 1995.


§37-163.18E.  Termination, cancellation, or refusal to supply.

A licensed manufacturer may terminate, cancel, or refuse to continue to provide designated brands pursuant to a designated sales territory agreement with any licensed wholesaler who has sold low-point beer supplied by that licensed manufacturer in violation of the provisions of the Low-Point Beer Distribution Act.  Such termination, cancellation, or refusal to supply shall be effective immediately upon receipt of written notification by the offending licensed wholesaler.

Added by Laws 1993, c. 140, § 5, eff. Sept. 1, 1993.  Amended by Laws 1995, c. 274, § 28, eff. Nov. 1, 1995.


§37-163.18F.  Rules and regulations.

The Oklahoma Tax Commission shall be responsible for developing and adopting rules and regulations for implementing the provisions of Sections 163.1 through 163.20, 163.22 through 163.25, and 231 of Title 37 of the Oklahoma Statutes, and Sections 1 through 8 of this act.

Added by Laws 1993, c. 140, § 6, eff. Sept. 1, 1993.


§37-163.18G.  Civil actions for damages or injunctive relief.

Any aggrieved person shall have a cause of action for violations of the provisions of the Low-Point Beer Distribution Act and Section 231 of this title and may recover damages or obtain injunctive relief or both.

Added by Laws 1993, c. 140, § 7, eff. Sept. 1, 1993.  Amended by Laws 1995, c. 274, § 29, eff. Nov. 1, 1995; Laws 1997, c. 235, § 2, eff. Nov. 1, 1997.


§37-163.18H.  Penalties - Remedies available to manufacturer or wholesaler.

A.  In addition to any other powers conferred on the Oklahoma Tax Commission to impose penalties for violations of Sections 163.1 through 163.25 and 231 of this title, whenever in the judgment of the Commission any person has committed an act which constitutes a violation of the Low-Point Beer Distribution Act and Section 231 of this title, the Commission may:

1.  After notice and hearing, issue a cease and desist order to any person that is licensed as a manufacturer or wholesaler;

2.  Impose a fine of not more than Five Thousand Dollars ($5,000.00) for each violation in the event that after the issuance of an order to cease and desist the illegal activity, the person that the order is directed to commits any act in violation of the order; and

3.  Make application to the appropriate court for an order enjoining such acts or practices, and upon a showing by the Commission that such violations have occurred, an injunction, restraining order, or such other order as may be appropriate shall be granted by such court, without bond.

B.  Each day a violation is continuing shall constitute a separate offense.

C.  Administrative fines imposed pursuant to the provisions of this section shall be enforceable in the district courts of this state.

D.  All administrative fines collected by the Commission pursuant to the provisions of this section shall be forwarded to the State Treasurer for deposit in the General Revenue Fund.

E.  Any manufacturer or wholesaler injured by a violation of the Low-Point Beer Distribution Act may:

1.  Bring an action for recovery of damages.  Judgment shall be entered for actual damages plus reasonable attorney's fees and costs; and

2.  Bring an action to restrain and enjoin the violation of the Low-Point Beer Distribution Act.

Added by Laws 1993, c. 140, § 8, eff. Sept. 1, 1993.  Amended by Laws 1995, c. 274, § 30, eff. Nov. 1, 1995; Laws 1997, c. 235, § 3, eff. Nov. 1, 1997.


§37163.19.  Labels  Signs  Misrepresentations.

A.  No low-point beer, as herein defined, may be sold by any licensed wholesaler or retail dealer, unless a label or other device is affixed or attached to each bottle, keg, or other container from which such beverage is immediately consumed or served, bearing the trade name of such beverage and the name and address of the manufacturer thereof.  No retail dealer shall sell or dispense any beverage, as defined herein, from draught or in bulk, and not in the manufacturer's original container, unless each faucet, draught arm, or other dispensing apparatus is equipped with a sign clearly indicating the name of brand of the beverage being at the time dispensed through or by means of such faucet, draught arm, or other apparatus, and which sign shall be in legible lettering and in full sight of the purchaser.

B.  No person shall:

1.  Transfer to any bottle, keg, or other container, any label originally attached to any bottle, keg, or other container as required by subsection A of this section;

2.  Print, use, utter, or attach to any such container any false label or descriptive device in imitation of or substitute for such label or device;

3.  Attach to any container of any substitute for any such beverage, as defined, by Section 163.1 et seq. of this title, the trade name or label of any manufacturer or wholesaler; or

4.  Attach to any container of such beverage any label or device which misrepresents the contents of such container or in any manner indicates the alcoholic content of said beverage or which by wording, lettering, numbering or illustration, or in any manner carries any reference, allusion, or suggestion as to the alcoholic strength of such beverage in excess of three and two-tenths percent (3.2%) by weight, or upon which appears any such word or combination of words, or abbreviations thereof, as "strong", "full strength", "high test", "high proof", "prewar strength", "full old-time alcoholic strength", or any words or figures or other marks or characters alluding or referring to "proof", "balling", or "extract" contents of the beverage, or which bears a label that is untrue in any particular, or which directly, or by ambiguity, omission, or inference tends to create a misleading impression or causes or is reasonably calculated to cause deception of the consumer or purchaser with respect to such beverage.

C.  Any person violating any of the provisions of this section shall be guilty of a misdemeanor and upon conviction shall be fined not to exceed One Thousand Dollars ($1,000.00), or imprisoned in the county jail not exceeding one (1) year or shall be punished by both such fine and imprisonment.

Added by Laws 1947, p. 295, § 19.  Amended by Laws 1985, c. 259, § 2, emerg. eff. July 15, 1985; Laws 1995, c. 274, § 31, eff. Nov. 1, 1995.


§37-163.20.  Sale or shipment of low-point beer - Violations - Penalties.

A.  Any person who shall engage in the sale of low-point beer in violation of the provisions of Sections 163.1 through 163.25 of this title shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punished for such misdemeanor as provided for by the general statutes of this state.

B.  Any person who engages in the sale or shipping of low-point beer in violation of the provisions of Section 1 of this act on or after the effective date of Section 20.1 of Title 21 of the Oklahoma Statutes, upon conviction, shall be guilty of a Schedule G felony if the sale or delivery is made to a person under twenty-one (21) years of age, or a misdemeanor if the sale or delivery is made to a person twenty-one (21) years of age or older.  Any person who engages in the sale or shipping of low-point beer in violation of the provisions of Section 1 of this act before the effective date of Section 20.1 of Title 21 of the Oklahoma Statutes shall be guilty of a felony punishable by imprisonment for not more than two (2) years, if the sale or delivery is made to a person under twenty-one (21) years of age, or a misdemeanor, if the sale or delivery is made to a person twenty-one (21) years of age or older.  The fine for a violation of Section 1 of this act shall be not more than Five Thousand Dollars ($5,000.00).  In addition, if such person holds a permit issued by the Oklahoma Tax Commission pursuant to Section 163.7 of this title, the permit shall be revoked pursuant to the procedures set forth in Section 163.18H of this title.

Added by Laws 1947, p. 296, § 20.  Amended by Laws 1995, c. 274, § 32, eff. Nov. 1, 1995; Laws 1998, c. 302, § 2, eff. Nov. 1, 1998.


§37163.22.  Prices charged by manufacturers not to exceed those charged in adjoining states.

No manufacturer of low-point beer, as defined by Section 163.2 of this title, may sell or offer for sale in this state any low-point beer as so defined, at prices higher than the lowest price at which the specific, or comparable, item is being currently sold or offered for sale to any wholesaler anywhere in any state which adjoins the State of Oklahoma.

Added by Laws 1972, c. 44, § 1, emerg. eff. March 9, 1972.  Amended by Laws 1995, c. 274, § 33, eff. Nov. 1, 1995.


§37163.23.  Penalties.

Failure on the part of any manufacturer to comply with the provisions of Section 1 hereof shall subject such manufacturer to the revocation of permit by the Oklahoma Tax Commission under penalties and procedures set forth in Section 163.16, Title 37 of the Oklahoma Statutes, and penal provisions provided by Section 163.20, Title 37 of the Oklahoma Statutes.

Laws 1972, c. 44, § 1, emerg. eff. March 9, 1972.  

§37-163.24.  Repealed by Laws 1999, c. 391, § 5, eff. July 1, 1999.

§37-163.25.  Sale of low-point beer in motion picture theaters.

No retail license or permit to sell low-point beer shall be issued for any establishment that functions as a motion picture theater.  If an establishment, which has functioned for some other purpose, has been licensed to sell such beverages and subsequently is operated as a motion picture theater, the license or permit shall be revoked.

Added by Laws 1989, c. 340, § 2, emerg. eff. June 3, 1989.  Amended by Laws 1995, c. 274, § 35, eff. Nov. 1, 1995.


§37-163.26.  Retail sale or shipment of low-point beer from outside state to persons located in state.

No person shall manufacture, sell, possess, store, import into or export from this state, transport, or deliver any low-point beer except as specifically provided in this title.  It is unlawful for any manufacturer, wholesaler or retailer of low-point beer, located and doing business from outside this state, to make retail sales of low-point beer to purchasers located in this state or to ship low-point beer sold at retail to persons located in this state.

Added by Laws 1998, c. 302, § 1, eff. Nov. 1, 1998.


§37-163.27.  Location of low-point beer licensee for on-premises consumption - Prohibitions.

It shall be unlawful for any place which has received a permit or which has been licensed to sell low-point beer and which has as its main purpose the selling or serving of low-point beer for consumption on the premises to be located within three hundred (300) feet of any public or private school or church property primarily and regularly used for worship services and religious activities.  The distance indicated in this section shall be measured from the nearest property line of such public or private school or church to the nearest perimeter wall of the premises of any such place which has received a permit or which has been licensed to sell low-point beer.  The provisions of this section shall not apply to places which have received a permit or which have been licensed to sell low-point beer for on-premises consumption prior to the effective date of this act.  If any school or church shall be established within three hundred (300) feet of any place subject to the provisions of this section after such place has received a permit or been licensed, the provisions of this section shall not be a deterrent to the renewal of such permit or license if there has not been a lapse of more than sixty (60) days.  When any place subject to the provisions of this section which has a permit or license to sell low-point beer for on-premises consumption changes ownership or the operator thereof is changed, and such change results in the same type of business being conducted on the premises, the provisions of this section shall not be a deterrent to the issuance of a license or permit to the new owner or operator if he or she is otherwise qualified.

If an establishment selling low-point beer also is the holder of a mixed beverage or beer and wine license issued by the Alcoholic Beverage Laws Enforcement Commission, the establishment shall be subject to the zoning provisions of Section 3 of this act rather than the provisions of this section.

Added by Laws 1999, c. 391, § 3, eff. July 1, 1999.


§37-163.28.  Sale for consumption off the premises - Fines.

A.  This section applies to a licensee or permittee who is authorized to sell low-point beer to an ultimate consumer for consumption off the premises.

B.  The holder of a license or permit described in subsection A of this section may resell low-point beer only in the packaging in which the holder received the low-point beer or may resell the contents of the packages as individual containers.

C.  Except for purposes of resale as individual containers, a licensee or permittee shall not:

1.  Mutilate, tear apart, or cut apart original packaging in which low-point beer was received; or

2.  Repackage low-point beer in a manner misleading to the consumer or that results in required labeling being omitted or obscured.

D.  The Oklahoma Tax Commission shall impose the following penalties for a violation of subsection B or C of this section:

1.  After notice and hearing, immediately revoke the license or permit of the licensee or permittee committing the violation; and

2.  Impose a fine of not more than One Thousand Dollars ($1,000.00) for each violation.

Any licensee or permittee whose license or permit is revoked pursuant to this subsection shall not be eligible to reapply for a license for at least three (3) months from the date of the revocation.  Any stock of low-point beer in the possession of such licensee or permittee shall be repurchased by the wholesaler.

E.  Administrative fines collected pursuant to this section shall be enforceable in the district courts of this state.  All administrative fines collected by the Oklahoma Tax Commission pursuant to this section shall be forwarded to the State Treasurer for deposit in the General Revenue Fund.

F.  To assure and control quality, the holder of a distributor's license or wholesaler's permit, at the time of a regular delivery, may withdraw with the permission of the retailer, a quantity of low-point beer in undamaged original packaging from the retailer's stock if:

1.  The distributor or wholesaler replaces the stock with low-point beer of identical brands, quantities, and packages as the low-point beer withdrawn;

2.  The stock is withdrawn before the date, or immediately after the date considered by the manufacturer of the product to be the date the product becomes inappropriate for sale to a consumer.

G.  A consignment sale of low-point beer is not authorized under subsection F of this section.

Added by Laws 2000, c. 107, § 3, eff. Nov. 1, 2000.


§37-163.29.  Identification seals on kegs - Sale records - Violations - Penalties.

A.  For purposes of this section:

1.  "Beer keg" means any brewery-sealed, single container that contains not less than four (4) gallons of low-point beer, as defined by Section 163.2 of Title 37 of the Oklahoma Statutes;

2.  "Licensed retailer" means a retail dealer licensed to sell low-point beer in original containers for consumption off the premises;

3.  "Commission" means the Oklahoma Tax Commission; and

4.  "Identification seal" means any device approved by the Commission which is designed to be affixed to beer kegs and which displays an identification number and any other information as may be prescribed by the Commission.

B.  No licensed retailer shall sell beer kegs unless that retailer affixes an identification seal to each beer keg.  An identification seal shall consist of durable material as determined by the Commission that is not easily removed or destroyed.  Identification seals used may contain a nonpermanent adhesive material in order to apply the seal directly to an outside surface of a beer keg at the time of sale.  Identification seals shall be attached to beer kegs at the time of sale as determined by the Commission.  The identification information contained on the seal shall include the licensed retailer's name, address, beer license number, and telephone number; a unique beer keg number assigned by the licensed retailer; and a prominently visible warning that intentional removal or defacement of the seal is a misdemeanor.  Upon return of a beer keg to the licensed retailer that sold the beer keg and attached the identification seal, the licensed retailer shall be responsible for the complete and thorough removal of the entire identification seal, and any adhesive or attachment devices of the seal.  The seal beer keg identification number must be kept on file with the retailer for not less than one (1) year from the date of return.

C.  A licensed retailer shall not sell a beer keg unless the beer keg has attached a seal complying with the standards established by subsection B of this section.

D.  1.  A licensed retailer who sells a beer keg must at the time of the sale record:

a. the purchaser's name and address and the number of the purchaser's driver license, identification card issued by the Department of Public Safety, military identification card, or valid United States or foreign passport,

b. the date and time of the purchase,

c. the beer keg identification seal number required by subsection B of this section, and

d. the purchaser's signature.

2.  The record shall be retained for not less than one (1) year after the date of the sale.

E.  A licensed retailer required to retain records under subsection D of this section shall make the records available during regular business hours for inspection by a law enforcement officer or an agent of the Commission.

F.  1.  A person required to record information under subsection D of this section shall not knowingly make a materially false entry in the book or register required under subsection D of this section.  In a prosecution under this subsection, it is a defense for the defendant to prove by a preponderance of the evidence that the defendant reasonably and in good faith relied upon the identification provided by the purchaser of a beer keg.

2.  No person other than a licensed retailer, a licensed wholesaler of low-point beer, a law enforcement officer, or an agent of the Commission may intentionally remove a seal placed on a beer keg in compliance with subsection C of this section.  No person may intentionally deface or damage the seal on a beer keg to make it unreadable.

3.  Any person who purchases a beer keg and who fails to return the keg or who returns a keg with a damaged or missing seal shall be subject to a fine of Five Hundred Dollars ($500.00).

4.  Any licensed retailer who fails to report an individual provided for in paragraph 3 of this subsection to law enforcement shall be guilty of a misdemeanor and shall be subject to fines of not less than Five Hundred Dollars ($500.00) for first and second offenses.  A third violation by a licensed retailer of the provisions of this paragraph shall result in the revocation of the retailer's license to sell low-point beer for up to one (1) year.

G.  Any person who purchases a beer keg which is subsequently stolen from such person shall not be liable for any penalty imposed pursuant to the provisions of this section if such person properly reported the theft of the beer keg to law enforcement authorities within twenty-four (24) hours of the discovery of the theft.

H.  The Commission shall promulgate rules for the implementation and application of this section.

Added by Laws 2003, c. 156, § 1, eff. Nov. 1, 2003.


§37213.  Hours during which sale prohibited - Penalties.

A.  It shall be unlawful for any place licensed to sell beverages containing more than onehalf of one percent (1/2 of 1%) of alcohol by volume and not more than three and twotenths percent (3.2%) of alcohol by weight to sell, dispense, or serve such beverages for consumption on the premises between the hours of two o'clock a.m. and seven o'clock a.m. or allow such beverages to be consumed on the premises between the hours of two o'clock a.m. and seven o'clock a.m. excepting Saturday nights when such beverages may not be sold, dispensed, served, or consumed on the premises between the hours of two o'clock a.m. and twelve o'clock noon on Sundays; provided, the governing body of any city or town is hereby authorized to prohibit, by ordinance regularly enacted, the sale, dispensing, serving, and consumption of such beverages between the hours of two o'clock a.m. on Sunday and seven o'clock a.m. of the following Monday.

B.  It shall be unlawful for any place that is a commercial premises to allow beverages containing more than one-half of one percent (1/2 of 1%) alcohol by volume and not more than three and two-tenths percent (3.2%) of alcohol by weight to be consumed on such commercial premises between the hours of two o'clock a.m. and seven o'clock a.m.  As used in this subsection, "commercial premises" means a location or establishment at which this type of business or activity is carried on for profit.

C.  Any person violating any provision of this section shall be deemed guilty of a misdemeanor and, upon conviction, shall be punished by a fine of not more than Five Hundred Dollars ($500.00) or by imprisonment in the county jail for a term of not more than six (6) months, or by both such fine and imprisonment.  In addition, such violation shall be grounds for revocation of any license or permit for the sale of such beverages, as and in the manner provided by law.

Added by Laws 1943, p. 109, § 3.  Amended by Laws 1953, p. 139, § 1; Laws 1985, c. 128, § 1, emerg. eff. June 5, 1985; Laws 1991, c. 100, § 1, eff. Sept. 1, 1991; Laws 2000, c. 50, § 1, emerg. eff. April 14, 2000.


§37-213.1.  Sale of low-point beer - Prohibited performances, displays or acts - Penalties.

A.  No owner, operator, partner, manager, or person having supervisory control of any establishment licensed to sell low-point beer shall permit any of the following on or about any commercial premises where low-point beer is dispensed or consumed:

1.  The performance by any person of acts, or simulated acts, of sexual intercourse, masturbation, sodomy, bestiality, oral copulation, flagellation, or any sexual acts which are otherwise prohibited by law;

2.  The actual intentional touching or caressing or fondling by any person of the breasts, anus or genitals;

3.  Any person on the licensed premises while such person is unclothed or in such attire, costume or clothing as to expose to view any portion of the areola of the female breast or any portion of the pubic hair, buttocks or genitals; or

4.  Any person to perform acts of, or acts which simulate, sexual acts which are prohibited by law, or permit any person to use artificial devices or inanimate objects to depict any prohibited activities or permit the showing of films, still pictures, electronic reproductions or other visual reproductions depicting any of the prohibited activities described in this paragraph.

B.  Any person convicted of violating the provisions of this section shall be guilty of a misdemeanor punishable by a fine of not more than Five Hundred Dollars ($500.00) for each offense.  Each act in violation of any provision of this section shall be deemed a separate offense.  Conviction for the violation of the provisions of this section shall be sufficient grounds for revocation by the judge of the district court of any license held by such person authorizing the sale of low-point beer or intoxicating beverages.

Added by Laws 1988, c. 295, § 1, emerg. eff. July 1, 1988.  Amended by Laws 1995, c. 274, § 36, eff. Nov. 1, 1995.


§37-213.2.  Sale of low-point beer in establishments permitting persons who are unclothed or partially unclothed - Penalty.

A.  No owner, operator, partner, manager, or person having supervisory control of any establishment that permits any person on the premises who is unclothed or in such attire, costume, or clothing as to expose to view any portion of the areola of the female breast or any portion of the pubic hair, buttocks or genitals, shall permit low-point beer, as defined by Section 163.2 of this title, on or about the premises.

B.  Any person convicted of violating the provisions of this section shall be guilty of a misdemeanor punishable by a fine of not more than Five Hundred Dollars ($500.00) for each offense.  Each act in violation of this section shall be deemed a separate offense.

Added by Laws 1989, c. 340, § 3, emerg. eff. June 3, 1989.  Amended by Laws 1995, c. 274, § 37, eff. Nov. 1, 1995.


§37215.  Licenses not issued for prohibited places.

No original or renewal license shall be issued, pursuant to the laws of this state, to any applicant for the sale of such beverages defined in Section 1 hereof, at any place wherein the sale of such beverages is forbidden in Section 1 and Section 2 of this act.

Laws 1943, p. 109, § 5.  

§37216.  Exception as to hotels, private dances, drug stores, cafes and restaurants.

The limitations on the sale of beverages and issuance of licenses therefor, contained in Section 1, 2 and 5 of this act, shall not be applicable to hotels legally licensed to sell such beverages on the 15th day of March, 1943, nor as they relate to dancing in private homes, or to private dances conducted for recreational purposes and not for profit by bona fide lodges, posts, clubs, fraternal, benevolent, or charitable organizations; nor shall the provisions of this act prevent the sale or licensing of the sale of such beverages in drug stores, cafes or restaurants selling food for consumption on the premises, in which drug stores, cafes or restaurants dancing is not conducted or permitted.

Laws 1943, p. 109, § 6.  

§37217.  Punishment for violations.

Any person violating any provision of this act shall be deemed guilty of a misdemeanor and upon conviction shall be punished by a fine of not more than Five Hundred Dollars ($500.00) or by imprisonment in the county jail for a term of not more than six (6) months, or by both such fine and imprisonment; and such violation shall be additional grounds for revocation of any license or permit for the sale of such beverages, as and in the manner provided by law.

Laws 1943, p. 109, § 7.  

§37219.  Municipalities  Authorization to enact ordinances regulating nudity or drink solicitation in certain establishments.

All municipalities of this state may enact ordinances prohibiting or regulating nudity or drink solicitation in establishments licensed to sell beverages containing more than onehalf of one percent (1/2 of 1%) of alcohol by volume and not more than three and twotenths percent (3.2%) of alcohol by weight, for consumption on the premises of said establishments.

Added by Laws 1987, c. 90, § 1, eff. Nov. 1, 1987.  

§37-219.1.  Sale of low-point beer for off-premises consumption - Hours - Penalties - Revocation of license or permit.

The sale of low-point beer, as defined in Section 163.2 of this title, for off-premises consumption is hereby prohibited between the hours of two o'clock a.m. and six o'clock a.m. of the same day.  Any holder of a retail license or permit to sell low-point beer, or an employee or agent of a holder of such a license or permit, who sells low-point beer in violation of the provisions of this section shall be guilty of a misdemeanor and, upon conviction, shall be punished by a fine of not more than Five Hundred Dollars ($500.00) or by imprisonment in the county jail for a term of not more than six (6) months, or by both such fine and imprisonment.  Such violation shall be additional grounds for revocation of any license or permit for the sale of low-point beer, as and in the manner provided by law.

Added by Laws 1995, c. 274, § 58, eff. Nov. 1, 1995.  Amended by Laws 1996, c. 188, § 1, eff. Nov. 1, 1996.


§37-220.  Sale of low-point beer on-premises - Prohibiting certain acts - Penalties.

A.  No owner, operator, partner, manager, agent, employee, or person having supervisory control of any establishment licensed to sell low-point beer for consumption on the premises and subject to the provisions of subsection B of Section 246 of Title 37 of the Oklahoma Statutes shall:

1.  Sell or offer to sell to any person or group of persons any low-point beer at a price less than the price regularly charged for low-point beer during the same calendar week, except at private functions not open to the public;

2.  Sell or offer to sell to any person an unlimited number of drinks of low-point beer during any set period of time for a fixed price, except at private functions not open to the public; or

3.  Sell or offer to sell low-point beer to any person or group of persons on any one day at prices less than those charged the general public on that day, except at private functions not open to the public.

B.  Any person convicted of violating the provisions of this section shall be guilty of a misdemeanor punishable by a fine of not more than Five Hundred Dollars ($500.00) for each offense.  Each act in violation of this section shall be deemed a separate offense.

Added by Laws 2005, c. 178, § 1, eff. Nov. 1, 2005.


§37-231.  Unlawful acts.

A.  It shall be unlawful for any person, firm, corporation, or others associated therein or employed thereby, engaged in business as a manufacturer, importer, or wholesaler, or other holder of a basic permit from the United States Secretary of the Treasury, of low-point beer, individually or through or by affiliates, subsidiaries, associates, agents, or stockholders, directly or indirectly, to do or cause to be done any of the following acts:

1.  Acquire, hold, or own any interest in the permit, license, premises, or business of a retail dealer in low-point beer;

2.  Acquire, hold, or own any interest in the real or personal property owned, occupied, or used by a retail dealer in low-point beer in the conduct of his or her business;

3.  Furnish, give, rent, lend, or sell to a retail dealer in low-point beer any equipment, fixture, outdoor advertising structures, supplies, or other things having a real or substantial value.  Provided that this paragraph shall not be construed to prohibit the furnishing of normal point of purchase advertising matter to such retail dealer in low-point beer;

4.  Pay or credit a retail dealer in low-point beer for any advertising display or distribution service;

5.  Guarantee or procure another to guarantee any loan or the payment of any financial obligation of a retail dealer in low-point beer;

6.  Extend credit to a retail dealer in low-point beer;

7.  Offer or give any bonus, premium, or compensation to an officer, employee, associate, relative, or representative of a retail dealer in low-point beer;

8.  Sell, offer for sale, or contract to sell to any retail dealer in low-point beer any low-point beer on consignment, or with the privilege of return, or on any basis other than a bona fide cash sale;

9.  Use or employ any device or scheme to subsidize in any manner any retail dealer in low-point beer; or

10.  Permit any retail dealer in low-point beer to do for such brewer, importer, wholesaler, or other holder of a basic permit from the United States Secretary of the Treasury, of low-point beer any of the above acts hereby made unlawful to be done on behalf of such retail dealer in low-point beer.

B.  The provisions of this section shall not preclude a retail dealer from manufacturing low-point beer for consumption on or off the licensed premises of the retail dealer.  As used in this subsection, "licensed premises" means any place of business, as defined by Section 163.8 of this title, for which a retail dealer has obtained a permit pursuant to subparagraph c of paragraph 3 of Section 163.7 of this title or any location for which a retail dealer has obtained a special license pursuant to subparagraph d of paragraph 3 of Section 163.7 of this title.

C.  Outright one-hundred percent (100%) ownership of a retail business by an in-state manufacturer or an in-state manufacturer with a wholesaler permit is not an interest which results in a violation of this section.  An in-state manufacturer or an in-state manufacturer with a wholesaler permit shall not sell at its own retail business more than five thousand (5,000) barrels annually of low-point beer it produces.

Added by Laws 1947, p. 297, § 1.  Amended by Laws 1992, c. 91, § 4, eff. Sept. 1, 1992; Laws 1995, c. 274, § 38, eff. Nov. 1, 1995; Laws 1996, c. 3, § 7, emerg. eff. March 6, 1996; Laws 2000, c. 17, § 2, eff. July 1, 2000; Laws 2003, c. 484, § 4, eff. Nov. 1, 2003; Laws 2005, c. 479, § 1, eff. July 1, 2005.


NOTE:  Laws 1995, c. 192, § 2 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.


§37232.  Violations.

Any violation of this act shall be a misdemeanor on the part of all persons participating therein, and upon final conviction thereof each person shall pay a fine of Five Hundred Dollars ($500.00) for the first offense, and One Thousand Dollars ($1000.00) for each subsequent offense.

Laws 1947, p. 298, § 2.  

§37233.  Application of law  Partial invalidity.

The provisions of Section 231 et seq. of this title shall apply to the business of dealing in low-point beer only, and if any section, sentence, subdivision, or clause hereof shall for any reason be held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of Section 231 et seq. of this title.

Added by Laws 1947, p. 298, § 3.  Amended by Laws 1995, c. 274, § 39, eff. Nov. 1, 1995.


§37-241.  Sale, barter or gift to person under 21 years of age.

A.  It shall be unlawful for any person to sell, barter, or give to any person under twenty-one (21) years of age any low-point beer, as defined in Section 163.2 of this title.

B.  It shall be unlawful for any person who holds a license to sell and dispense low-point beer for consumption on the premises, or any agent, servant, or employee of said license holder, to permit any person under twenty-one (21) years of age to be admitted to or remain in a separate or enclosed bar area of the licensed premises unless said person's parent or legal guardian is present, which has as its main purpose the selling or serving of low-point beer for consumption on the premises.  The provisions of this section shall not prohibit persons under twenty-one (21) years of age from being admitted to an area which has as its main purpose some objective other than the sale or serving of low-point beer, in which sales or serving of said beverages are incidental to the main purpose, as long as persons under twenty-one (21) years of age are not sold or served said beverages; however, the incidental service of food in the bar area shall not exempt a licensee, agent, servant, or employee from the provisions of this section.

C.  It shall be unlawful for any person who holds a license to sell and dispense low-point beer, for consumption on the premises, or any agent, servant or employee of said license holder to permit any person under twenty-one (21) years of age to consume any low-point beer on the licensed premises.

D.  Any person violating the provisions of subsection A, B or C of this section shall upon conviction be guilty of a misdemeanor.

Added by Laws 1953, p. 140, § 1.  Amended by Laws 1983, c. 98, § 1; Laws 1985, c. 170, § 2, eff. Nov. 1, 1985; Laws 1990, c. 209, § 2, emerg. eff. May 14, 1990; Laws 1991, c. 100, § 2, eff. Sept. 1, 1991; Laws 1995, c. 274, § 40, eff. Nov. 1, 1995.


§37-243.  Employment of persons under 18 years of age in place where low-point beer is sold or dispensed.

A.  It shall be unlawful for any person under eighteen (18) years of age to be employed or permitted to work, in any capacity whatsoever, in a place where low-point beer is sold or dispensed for consumption on the premises.

B.  It shall be unlawful for any person under the age of majority to be employed or permitted to work, in any capacity whatsoever, in the separate or enclosed bar area of a place where the main purpose of the area is the sale or consumption of low-point beer.  The provisions of this subsection shall not apply to any area which has as its main purpose some objective other than the sale or serving of low-point beer, in which sales or serving of said beverages are incidental to the main purpose; however, the incidental service of food in the bar area shall not exempt a holder of a license to sell low-point beer for consumption on the premises from the provisions of this subsection.

C.  A parent as regards the employment of his or her own child or children is excepted from the provisions of this section, provided that such employment shall in no capacity whatsoever be related to the selling or dispensing of such beverages.

D.  The provisions of subsection A of this section shall not apply to any business or establishment where sales of said beverages do not exceed twenty-five percent (25%) of the gross sales of the business or establishment.

Added by Laws 1957, p. 410, § 1.  Amended by Laws 1983, c. 98, § 2; Laws 1985, c. 170, § 3, eff. Nov. 1, 1985; Laws 1995, c. 274, § 41, eff. Nov. 1, 1995.


§37244.  Violation as grounds for license revocation  Responsibility for violations committed by servants, agents, employees or representatives.

A.  The violation by any person of the provisions of Sections 241 or 243 of this title or any statute pertaining to the sale of low-point beer, as defined in Section 163.2 of this title, shall be sufficient ground for revocation by the judge of the district court of any permit held by such person authorizing the sale of low-point beer.  The permit shall be revoked if the person is convicted of a violation of the provisions of Section 241 or 243 of this title after a prior conviction of the provisions of Section 241 or 243 of this title.  No new permit shall be issued to such person or to a relative of such person for a period of twelve (12) months after such revocation.  The permit shall be revoked if a servant, agent, employee or representative of the permit holder is convicted of a violation of the provisions of Section 241 or 243 of this title after that person has been convicted of a prior violation of the provisions of Section 241 or 243 of this title within the previous twelve (12) months.

B.  Each holder of a retail license or permit to sell and dispense low-point beer, as defined in Section 163.2 of this title, shall be held responsible for any violation of Section 241 or 243 of this title committed by a servant, agent, employee or representative of the license or permit holder.

Added by Laws 1957, p. 410, § 2.  Amended by Laws 1983, c. 98, § 3; Laws 1989, c. 340, § 4, emerg. eff. June 3, 1989; Laws 1995, c. 274, § 42, eff. Nov. 1, 1995; Laws 1996, c. 188, § 2, eff. Nov. 1, 1996.


§37-246.  Consumption of low-point beer or entry into bar area by persons under 21 years of age.

A.  No person under twenty-one (21) years of age shall consume or possess with the intent to consume low-point beer, as defined in Section 163.2 of this title.  It shall be unlawful for any person under twenty-one (21) years of age to purchase or attempt to purchase low-point beer, as defined in Section 163.2 of this title, except under supervision of law enforcement officers.  Any person violating any of the provisions of this section shall be guilty, upon conviction, of a misdemeanor and punished by a fine not to exceed One Hundred Dollars ($100.00) or by appropriate community service not to exceed twenty (20) hours.  Provided, the provisions of this section shall not apply when such persons are under the direct supervision of their parent or guardian, but in no instance shall this exception be interpreted to allow such persons to consume such beverages in any place licensed to dispense low-point beer as provided in Section 163.11 of this title.

B.  If the premises of a holder of a license to sell low-point beer contains a separate or enclosed bar area which has as its main purpose the sale or serving of low-point beer for consumption on the premises, no person under twenty-one (21) years of age shall enter, attempt to enter, or remain in said area.  The provisions of this subsection shall not prohibit persons under twenty-one (21) years of age from entering or remaining in an area which has as its main purpose some objective other than the sale or serving of low-point beer, in which sales or serving of said beverages are incidental to the main purpose, if the persons under twenty-one (21) years of age are not sold or served or do not consume low-point beer anywhere on the premises; however, the incidental service of food in the bar area shall not exempt persons under twenty-one (21) years of age from the provisions of this subsection.  Any person convicted of violating the provisions of this subsection shall be guilty of a misdemeanor and punished by a fine not to exceed One Hundred Dollars ($100.00).

C.  Except as otherwise provided, an admission charge shall not be considered in any calculation designed to determine the main purpose of an area pursuant to subsection B of this section.  For purposes of this section, an "admission charge" shall mean any form of consideration received by an establishment from a person in order for that person to gain entry into the establishment or an area thereof.

D.  The provisions of subsection C of this section shall not apply:

1.  If only persons eighteen (18) years of age or older are permitted to enter the licensed premises;

2.  If the licensed premises are owned or operated by a service organization or fraternal establishment which is exempt under Section 501(c)(19), (8), or (10) of the Internal Revenue Code; or

3.  To a public event held in a facility owned or operated by any agency, political subdivision or public trust of this state.

E.  A violation of the provisions of this section shall not be a basis for instituting juvenile proceedings to determine if a person under eighteen (18) years of age is a delinquent child; however, if a person under eighteen (18) years of age habitually violates the provisions of this section, juvenile proceedings may be brought to determine if the person is a delinquent child.  A person under eighteen (18) years of age who has been convicted of violating the provisions of this section shall be subject to the penalty provisions provided in this section.

Added by Laws 1981, c. 102, § 1.  Amended by Laws 1983, c. 98, § 4; Laws 1985, c. 9, § 1, eff. Nov. 1, 1985; Laws 1985, c. 170, § 4, eff. Nov. 1, 1985; Laws 1990, c. 209, § 3, emerg. eff. May 14, 1990; Laws 1990, c. 267, § 1, emerg. eff. May 25, 1990; Laws 1995, c. 274, § 43, eff. Nov. 1, 1995; Laws 1997, c. 364, § 2, eff. Nov. 1, 1997; Laws 2000, c. 118, § 1, eff. Nov. 1, 2000.


§37-247.  Furnishing low-point beer to intoxicated person - Penalties - Revocation of license or permit.

No holder of a retail license or permit to sell low-point beer, or an employee or agent of a holder of such a license or permit, shall knowingly, willfully and wantonly sell, deliver or furnish low-point beer to an intoxicated person.  Any person violating the provisions of this section shall be guilty of a misdemeanor and, upon conviction, shall be punished by a fine of not more than Five Hundred Dollars ($500.00) or by imprisonment in the county jail for a term of not more than six (6) months, or by both such fine and imprisonment.  Such violation shall be additional grounds for revocation of any license or permit for the sale of low-point beer as and in the manner provided by law.

Added by Laws 1996, c. 188, § 3, eff. Nov. 1, 1996.


§37501.  Repeal.

37 O.S.1951, Sections 1 through 7 and 9 through 131, as amended, and all laws or parts of laws in conflict with this act are hereby repealed.

Laws 1959, p. 141, § 1.  

§37502.  Citation.

Sections 2 through 105 of this act and Sections 504, 516, 533, 543.1, 562 and 566 of this title shall be known and may be cited as the "Oklahoma Alcoholic Beverage Control Act".

Amended by Laws 1985, c. 6, § 2, emerg. eff. March 14, 1985.  

§37503.  Exercise of police power  Ordinances.

A.  The Oklahoma Alcoholic Beverage Control Act shall be deemed an exercise of the police power of the State of Oklahoma for the protection of the welfare, health, peace, temperance and safety of the people of the state, and all the provisions hereof shall be construed for the accomplishment of that purpose.

B.  Municipalities are authorized to enact ordinances consistent with the provisions of the Oklahoma Alcoholic Beverage Control Act.  In municipalities with populations of thirtyfive thousand (35,000) or more these ordinances may provide for maximum penalties of fines not to exceed One Thousand Dollars ($1,000.00) plus court costs, and imprisonment not to exceed ninety (90) days, or both such fine and imprisonment.

C.  All municipalities of this state may enact ordinances prohibiting or regulating nudity or drink solicitation in establishments licensed pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act.

D.  The provisions of this section shall not authorize any city or town to regulate by ordinance or issue any licenses for activities for which a license is required to be issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act.

Amended by Laws 1985, c. 6, § 3, emerg. eff. March 14, 1985; Laws 1985, c. 195, § 1, emerg. eff. June 26, 1985.  

§37504.  Beverages subject to act  Exemptions.

All alcoholic beverages as herein defined except alcohol produced for use as a motor fuel under a permit issued by the State Department of Agriculture shall be subject to the provisions of the Oklahoma Alcoholic Beverage Control Act.

Laws 1959, p. 142, § 4; Laws 1980, c. 2, § 9, emerg. eff. Feb. 6, 1980.  

§37-505.  Manufacture, sale, possession, shipment, etc. prohibited except as provided in act - Exceptions - Penalties.

A.  No person shall manufacture, rectify, sell, possess, store, import into or export from this state, transport, or deliver any alcoholic beverage except as specifically provided in the Oklahoma Alcoholic Beverage Control Act.  Provided, that nothing herein shall prevent the possession and transportation of alcoholic beverages for the personal use of the possessor, his family and guests, so long as the Oklahoma excise tax has been paid thereon, except for beer. Provided, that nothing herein shall prevent the making of cider or of wine, not to exceed two hundred (200) gallons in any one (1) year pursuant to a license first obtained from the Alcoholic Beverage Laws Enforcement Commission, by simple fermentation and without distillation, if made solely for the use of the maker, his family and guests.

B.  1.  Any duly licensed physician or dentist may possess and use alcoholic beverages in the strict practice of his profession and any hospital or other institution caring for sick and diseased persons may possess and use alcoholic beverages for the treatment of bona fide patients of such hospital or institution.  Any drugstore employing a licensed pharmacist may possess and use alcoholic beverages in the preparation of prescriptions of duly licensed physicians.

2.  The possession, transportation and dispensation of wine by any authorized representative of any church for the conducting of a bona fide rite or religious ceremony conducted by such church shall not be prohibited by the Oklahoma Alcoholic Beverage Control Act; nor shall said act prevent the sale, shipping or delivery of sacramental wine by any person holding a sacramental wine supplier license issued pursuant to the Oklahoma Alcoholic Beverage Control Act to any religious corporation or society of this state holding a valid exemption from taxation issued pursuant to Section 501(a) of the Internal Revenue Code, 1954, and listed as an exempt organization in Section 501(c)(3) of the Internal Revenue Code, 1954, of the United States, as amended.

3.  Provided further, that nothing in the Oklahoma Alcoholic Beverage Control Act shall prevent the possession, transportation and sale of alcoholic beverages, including beer as defined by Section 506 of this title and beer containing not more than three and two-tenths percent (3.2%) of alcohol by weight, within military reservations and in accordance with the laws, rules and regulations governing such military reservations, provided that the Oklahoma excise tax has been paid on spirits and wines.

C.  1.  Except as otherwise authorized by law, it is unlawful for any manufacturer, wholesaler or retailer of alcoholic beverages, located and doing business from outside this state, to make retail sales of alcoholic beverages to purchasers located in this state or to ship alcoholic beverages sold at retail to persons located in this state.  Any person who engages in the sale or shipping of alcoholic beverages in violation of the provisions of this subsection on or after the effective date of Section 20.1 of Title 21 of the Oklahoma Statutes, upon conviction, shall be guilty of a Schedule G felony if the sale or delivery is made to a person under twenty-one (21) years of age or misdemeanor if the sale or delivery is made to a person twenty-one (21) years of age or older.  Any person who engages in the sale or shipping of alcoholic beverages in violation of the provisions of this subsection before the effective date of Section 20.1 of Title 21 of the Oklahoma Statutes shall be guilty of a felony punishable by imprisonment for not more than five (5) years, if the sale or delivery is made to a person under twenty-one (21) years of age, or a misdemeanor, if the sale or delivery is made to a person twenty-one (21) years of age or older.

2.  The fine for a violation of this subsection shall be not more than Five Thousand Dollars ($5,000.00).

3.  In addition, if such person holds a license issued by the Oklahoma Alcoholic Beverage Laws Enforcement Commission, the license shall be revoked pursuant to Section 528 of this title.

Added by Laws 1959, p. 142, § 5, emerg. eff. June 22, 1959.  Amended by Laws 1978, c. 73, § 1, eff. Oct. 1, 1978; Laws 1985, c. 6, § 4, emerg. eff. March 14, 1985; Laws 1998, c. 302, § 3, eff. Nov. 1, 1998.


§37-506.  Definitions.

When used in the Oklahoma Alcoholic Beverage Control Act, the following words and phrases shall have the following meaning:

1.  "ABLE Commission" means the Alcoholic Beverage Laws Enforcement Commission;

2.  "Alcohol" means and includes hydrated oxide of ethyl, ethyl alcohol, ethanol, or spirits of wine, from whatever source or by whatever process produced.  It does not include wood alcohol or alcohol which has been denatured or produced as denatured in accordance with Acts of Congress and regulations promulgated thereunder;

3.  "Alcoholic beverage" means alcohol, spirits, beer, and wine as those terms are defined herein and also includes every liquid or solid, patented or not, containing alcohol, spirits, wine or beer and capable of being consumed as a beverage by human beings, but does not include low-point beer as that term is defined in Section 163.2 of this title;

4.  "Applicant" means any individual, legal or commercial business entity, or any individual involved in any legal or commercial business entity allowed to hold any license issued in accordance with the Oklahoma Alcoholic Beverage Control Act;

5.  "Beer" means any beverage containing more than three and two-tenths percent (3.2%) of alcohol by weight and obtained by the alcoholic fermentation of an infusion or decoction of barley, or other grain, malt or similar products.  "Beer" may or may not contain hops or other vegetable products.  "Beer" includes, among other things, beer, ale, stout, lager beer, porter and other malt or brewed liquors, but does not include sake, known as Japanese rice wine;

6.  "Bottle club" means any establishment in a county which has not authorized the retail sale of alcoholic beverages by the individual drink, which is required to be licensed to keep, mix, and serve alcoholic beverages belonging to club members on club premises;

7.  "Brewer" means any person who produces beer in this state;

8.  "Class B wholesaler" means and includes any person doing any such acts or carrying on any such business that would require such person to obtain a Class B wholesaler license hereunder;

9.  "Convicted" and "conviction" mean and include a finding of guilt resulting from a plea of guilty or nolo contendere, the decision of a court or magistrate or the verdict of a jury, irrespective of the pronouncement of judgment or the suspension thereof;

10.  "Director" means the Director of the Alcoholic Beverage Laws Enforcement Commission under the supervision of said Commission;

11.  "Distiller" means any person who produces spirits from any source or substance, or any person who brews or makes mash, wort, or wash, fit for distillation or for the production of spirits (except a person making or using such material in the authorized production of wine or beer, or the production of vinegar by fermentation), or any person who by any process separates alcoholic spirits from any fermented substance, or any person who, making or keeping mash, wort, or wash, has also in his or her possession or use a still;

12.  "Hotel" or "motel" shall mean an establishment which is licensed to sell alcoholic beverages by the individual drink and which contains guestroom accommodations with respect to which the predominant relationship existing between the occupants thereof and the owner or operator of the establishment is that of innkeeper and guest.  For purposes of this section, the existence of other legal relationships as between some occupants and the owner or operator thereof shall be immaterial;

13.  "Legal newspaper" means a newspaper meeting the requisites of a newspaper for publication of legal notices as prescribed in Sections 101 through 114 of Title 25 of the Oklahoma Statutes;

14.  "Licensee" means any person holding a license under the Oklahoma Alcoholic Beverage Control Act, and any agent, servant, or employee of such licensee while in the performance of any act or duty in connection with the licensed business or on the licensed premises;

15.  "Light beer" means a low-point beer controlled under this title;

16.  "Light wine" means any wine containing not more than fourteen percent (14%) alcohol measured by volume at sixty (60) degrees Fahrenheit;

17.  "Manufacturer's agent" means a salaried or commissioned salesman who sells to a wholesaler or Class B wholesaler only;

18.  "Manufacturer" means a brewer, distiller, winemaker, rectifier, or bottler of any alcoholic beverage;

19.  "Meals" means foods commonly ordered at lunch or dinner and at least part of which is cooked on the licensed premises and requires the use of dining implements for consumption.  Provided, that the service of only food such as appetizers, sandwiches, salads or desserts shall not be considered "meals";

20.  "Mini-bar" means a closed container, either refrigerated, in whole or in part, or nonrefrigerated, and access to the interior of which is (1) restricted by means of a locking device which requires the use of a key, magnetic card, or similar device, or (2) controlled at all times by the licensee;

21.  "Mixed beverage cooler" means any beverage, by whatever name designated, consisting of an alcoholic beverage and fruit or vegetable juice, fruit or vegetable flavorings, dairy products or carbonated water containing more than one-half of one percent (1/2 of 1%) of alcohol measured by volume but not more than seven percent (7%) alcohol by volume at sixty (60) degrees Fahrenheit and which is packaged in a container not larger than three hundred seventy-five (375) milliliters.  Such term shall include, but not be limited to, the beverage popularly known as a "wine cooler";

22.  "Mixed beverages" means one or more servings of a beverage composed in whole or part of an alcoholic beverage in a sealed or unsealed container of any legal size for consumption on the premises where served or sold by the holder of a mixed beverage, beer and wine, caterer, or special event license;

23.  "Motion picture theater" means a place where motion pictures are exhibited and to which the general public is admitted, but does not include a place where meals, as defined by this section, are served, if only persons over twenty-one (21) years of age are admitted;

24.  "Retail salesperson" means a salesperson soliciting orders from and calling upon retail alcoholic beverage stores with regard to his or her product;

25.  "Occupation" as used in connection with "occupation tax" means the sites occupied as the places of business of the manufacturers, wholesalers, Class B wholesalers, retailers, mixed beverage licensees, beer and wine licensees, bottle clubs, caterers, and special event licensees;

26.  "Original package" means any container of alcoholic beverage filled and stamped or sealed by the manufacturer;

27.  "Patron" means any person, customer, or visitor who is not employed by a licensee or who is not a licensee;

28.  "Person" means an individual, any type of partnership, corporation, association, limited liability company or any individual involved in the legal structure of any such business entity;

29.  "Premises" means the grounds and all buildings and appurtenances pertaining to the grounds including any adjacent premises if under the direct or indirect control of the licensee and the rooms and equipment under the control of the licensee and used in connection with or in furtherance of the business covered by a license.  Provided that the ABLE Commission shall have the authority to designate areas to be excluded from the licensed premises solely for the purpose of:

a. allowing the presence and consumption of alcoholic beverages by private parties which are closed to the general public, or

b. allowing the services of a caterer serving alcoholic beverages provided by a private party.

This exception shall in no way limit the licensee's concurrent responsibility for any violations of the Oklahoma Alcoholic Beverage Control Act occurring on the licensed premises;

30.  "Rectifier" means any person who rectifies, purifies, or refines spirits or wines by any process (other than by original and continuous distillation, or original and continuous processing, from mash, wort, wash, or other substance, through continuous closed vessels and pipes, until the production thereof is complete), and any person who, without rectifying, purifying, or refining spirits, shall by mixing (except for immediate consumption on the premises where mixed) such spirits, wine, or other liquor with any material, manufactures any spurious, imitation, or compound liquors for sale, under the name of whiskey, brandy, rum, gin, wine, spirits, cordials, or any other name;

31.  "Regulation" or "rule" means a formal rule of general application promulgated by the ABLE Commission as herein required;

32.  "Restaurant" means an establishment that is licensed to sell alcoholic beverages by the individual drink for on-premises consumption and where food is prepared and sold for immediate consumption on the premises;

33.  "Retail container for spirits and wines" means an original package of any capacity approved by the United States Bureau of Alcohol, Tobacco and Firearms;

34.  "Retailer" means the holder of a Package Store License;

35.  "Sale" means any transfer, exchange or barter in any manner or by any means whatsoever, and includes and means all sales made by any person, whether as principal, proprietor or as an agent, servant or employee.  The term "sale" is also declared to be and include the use or consumption in this state of any alcoholic beverage obtained within or imported from without this state, upon which the excise tax levied by the Oklahoma Alcoholic Beverage Control Act has not been paid or exempted;

36.  "Short order food" means food other than full meals including but not limited to sandwiches, soups, and salads.  Provided that popcorn, chips, and other similar snack food shall not be considered "short order food";

37.  "Sparkling wine" means champagne or any artificially carbonated wine;

38.  "Spirits" means any beverage other than wine, beer or light beer, which contains more than one-half of one percent (1/2 of 1%) alcohol measured by volume and obtained by distillation, whether or not mixed with other substances in solution and includes those products known as whiskey, brandy, rum, gin, vodka, liqueurs, cordials and fortified wines and similar compounds; but shall not include any alcohol liquid completely denatured in accordance with the Acts of Congress and regulations pursuant thereto;

39.  "Wholesaler" means and includes any person doing any such acts or carrying on any such business or businesses that would require such person to obtain a wholesaler's license or licenses hereunder;

40.  "Wine" means and includes any beverage containing more than one-half of one percent (1/2 of 1%) alcohol by volume and not more than twenty-four percent (24%) alcohol by volume at sixty (60) degrees Fahrenheit obtained by the fermentation of the natural contents of fruits, vegetables, honey, milk or other products containing sugar, whether or not other ingredients are added, and includes vermouth and sake, known as Japanese rice wine;

41.  "Winemaker" means any person who produces wine; and

42.  "Oklahoma winemaker" means a business premises in Oklahoma licensed pursuant to the Oklahoma Alcoholic Beverage Control Act wherein wine is produced by the licensee who must be a resident of the state.  The wine product fermented in said licensed premises shall be of grapes, berries and other fruits and vegetables imported into this state and processed herein or shall be of grapes, berries and other fruits and vegetables grown in Oklahoma.

Words in the plural include the singular, and vice versa, and words imparting the masculine gender include the feminine, as well as persons and licensees as defined in this section.

Added by Laws 1959, p. 142, § 6, emerg. eff. June 23, 1959.  Amended by Laws 1980, c. 140, § 1; Laws 1985, c. 6, § 5, emerg. eff. March 14, 1985; Laws 1987, c. 180, § 1, emerg. eff. June 29, 1987; Laws 1988, c. 93, § 3, emerg. eff. March 31, 1988; Laws 1989, c. 340, § 5, emerg. eff. June 3, 1989; Laws 1990, c. 258, § 5, operative July 1, 1990; Laws 1994, c. 361, § 2; Laws 1995, c. 274, § 44, eff. Nov. 1, 1995; Laws 1996, c. 3, § 8, emerg. eff. March 6, 1996; Laws 2001, c. 78, § 1, eff. Nov. 1, 2001; Laws 2005, c. 173, § 1, eff. Nov. 1, 2005.

NOTE:  Laws 1995, c. 192, § 3 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.


§37-506.1.  Alcoholic Beverage Laws Enforcement Commission.

A.  The Alcoholic Beverage Laws Enforcement Commission, also referred to in the Oklahoma Alcoholic Beverage Control Act as the ABLE Commission, created pursuant to the provisions of Section 1 of Article XXVIII of the Oklahoma Constitution, as the successor to the Oklahoma Alcoholic Beverage Control Board, shall be organized as follows:

1.  The five (5) members serving on the Oklahoma Alcoholic Beverage Control Board on September 18, 1984, shall serve as the five (5) at-large members of the ABLE Commission until the dates on which their terms of office on the Oklahoma Alcoholic Beverage Control Board would have expired.  Thereafter, the term of office of a member appointed at-large to the ABLE Commission shall be five (5) years.

2.  Within ninety (90) days after September 18, 1984, the two members required by the provisions of Article XXVIII of the Oklahoma Constitution to have law enforcement experience in this state shall be appointed.  The terms of office of these members and of successors to these positions shall be five (5) years.  Members with law enforcement experience shall meet the qualifications for permanent appointment of police or peace officers provided for in Section 3311 of Title 70 of the Oklahoma Statutes.

B.  Members of the ABLE Commission shall be citizens of the United States, shall be qualified electors in this state, shall have been residents of this state for at least ten (10) consecutive years immediately preceding the date of their appointment and qualification, and shall be persons of outstanding character, experienced, efficient, and successful in business affairs, and of good reputation in their communities.  Said members shall execute the loyalty oath required by law for elected state officials before assuming the duties of their office.  No person shall be appointed who has been convicted of or shall have pleaded guilty to a felony, or of any violation of any federal or state law concerning the manufacture or sale of alcoholic beverage or cereal malt beverages prior or subsequent to the passage of the Oklahoma Alcoholic Beverage Control Act, or who has paid a fine or penalty in settlement in any prosecution against him in any violation of such laws, or who shall have forfeited his bond to appear in court to answer charges for any such violation.  No appointee shall serve if he or any person related to him in the third degree by consanguinity or affinity is an officer, director, employee, or stockholder in any corporation or partnership which has as its business the manufacture, sale, or distribution of an alcoholic beverage.  ABLE Commission members shall not own, mortgage, or lease any retail or wholesale store or warehouse, any establishment selling alcoholic beverages by the individual drink for onpremises consumption, any establishment operated by a caterer who provides alcoholic beverages by the individual drink pursuant to a caterer's license, or any bottle club as provided in the alcoholic beverage control laws of this state.  The provisions of the Oklahoma Alcoholic Beverage Control Act shall not prevent any member of the ABLE Commission from purchasing and keeping in his possession, for his own use or use by the members of his family or any guests, any alcoholic beverage which may be purchased or kept by any person by virtue of the provisions of the Oklahoma Alcoholic Beverage Control Act.  In order to establish the qualifications of members of the ABLE Commission, a national criminal history record check as defined in Section 150.9 of Title 74 of the Oklahoma Statutes shall be required for each member.

C.  A majority of the members of the ABLE Commission shall constitute a quorum to transact business, but no vacancy shall impair the right of the remaining members to exercise all of the powers of said Commission, and every act of a majority of the members shall be deemed to be the act of the ABLE Commission.  The ABLE Commission shall appoint the Director as secretary who shall keep a record of all proceedings and official acts of the Commission and who shall be the custodian of all records and perform such other duties as the ABLE Commission shall prescribe.

D.  Each member of the ABLE Commission shall receive reimbursement for travel expenses incurred in attending meetings as provided for in the State Travel Reimbursement Act.

E.  The office of the ABLE Commission shall be in Oklahoma City in office space provided by the Office of Public Affairs.  All meetings of the ABLE Commission shall be open to the public and all records of the ABLE Commission shall be public records and open for public inspection.  The ABLE Commission shall hold regular meetings at least once a month at its office, and may hold such special meetings as it deems necessary at any time and at any place within the state.  The ABLE Commission, for authentication of its records, process, and proceedings, may adopt, keep, and use a common seal, of which seal judicial notice shall be taken in all the courts of the state.  Any process, notice, or other paper which the ABLE Commission may be authorized by law to issue shall be deemed sufficient if signed by the secretary of the ABLE Commission and authenticated by such seal.  All acts, orders, proceedings, rules, regulations, entries, minutes, and other records of the ABLE Commission, and all reports and documents filed with the ABLE Commission may be proved in any court of this state by copy thereof certified by the secretary of the ABLE Commission with the seal of the ABLE Commission attached.  The ABLE Commission shall not adopt or promulgate any rule or regulation inconsistent with the provisions of the Oklahoma Alcoholic Beverage Control Act or any law of this state.

F.  All unexpended funds, property, records, personnel, and outstanding financial obligations and encumbrances of the Oklahoma Alcoholic Beverage Control Board shall be transferred to the Alcoholic Beverage Laws Enforcement Commission.

Added by Laws 1985, c. 6, § 6, emerg. eff. March 14, 1985. Amended by Laws 1985, c. 178, § 16, operative July 1, 1985; Laws 2003, c. 204, § 4, eff. Nov. 1, 2003.


§37507.1.  Motor vehicle insurance.

The Alcoholic Beverage Laws Enforcement Commission is hereby authorized to utilize funds appropriated by the Legislature to purchase insurance on the motor vehicles owned and operated by said ABLE Commission in accordance with statutory provisions, subject to the approval of the Risk Management Administrator as provided for in Section 85.34 of Title 74 of the Oklahoma Statutes.


Amended by Laws 1985, c. 6, § 7, emerg. eff. March 14, 1985.  

§37507.2.  Automobiles  Purchase.

The Alcoholic Beverage Laws Enforcement Commission is hereby authorized to utilize funds appropriated by the Legislature to purchase automobiles necessary for use in its operations.  Said automobiles shall not be required to have any type of identifying marking thereon.


Amended by Laws 1985, c. 6, § 8, emerg. eff. March 14, 1985.  

§37508.  Director  Powers and duties.

The Alcoholic Beverage Laws Enforcement Commission shall appoint a Director to serve at the pleasure of the ABLE Commission and who shall devote his entire time to the duties of his office. The Director shall be the principal administrative officer of the ABLE Commission.  The ABLE Commission may delegate to the Director such of its powers, functions and duties relating to the administration and enforcement of the Oklahoma Alcoholic Beverage Control Act as it may in its discretion deem desirable, except that it shall not deny any applicant for a license or any licensee the right to a hearing before the ABLE Commission as herein provided.


Amended by Laws 1983, c. 229, § 5, operative July 1, 1983; Laws 1985, c. 6, § 9, emerg. eff. March 14, 1985.  

§37509.  Director  Powers and duties.

The Director shall employ an Assistant Director and inspectors, agents, clerks, stenographers, accountants, chemists and such other personnel as are necessary to properly enforce and administer this law.  He or she shall require bonds in such instances and amounts as the Alcoholic Beverage Laws Enforcement Commission may direct.  He or she shall be in direct charge of all records and if authorized by the ABLE Commission shall have the following duties and responsibilities:

A.  Immediately upon the appointment and qualification of the Director he or she shall become vested with the duties and powers of the management and control of the office of Director, and shall become vested with all duties and powers imposed upon him or her by any orders, rules and regulations as may be prescribed by the ABLE Commission, and in addition thereto shall have the following specific powers and duties:

1.  To issue licenses provided for in the Oklahoma Alcoholic Beverage Control Act, Section 502 et seq. of this title, and to approve or reject any official bond required to be filed with the Director or the ABLE Commission;

2.  To appoint and employ, supervise and discharge such personnel, clerical, skilled and semiskilled help, labor and other employees as may be determined necessary for the proper discharge of the duties of the office of Director, upon salary fixed and determined by the ABLE Commission and subject to all the rules and regulations that may be promulgated by the ABLE Commission.  The Director and the ABLE Commission, in appointing and employing personnel, shall give preference to honorably discharged members of the Armed Forces of the United States;

3.  To conduct such investigations and make such reports as may be necessary to keep the ABLE Commission and members thereof advised concerning any violations of the provisions of the Oklahoma Alcoholic Beverage Control Act and make orders for its enforcement;

4.  To make recommendations to the ABLE Commission concerning the suspension or revocation of any licenses, the levying of fines against licensees for violations of the provisions of the Oklahoma Alcoholic Beverage Control Act or regulations or rules of the ABLE Commission, or any action that should be filed or commenced against any official bond theretofore approved by the Director or the ABLE Commission;

5.  To regularly inspect all places of business of licensees, brewers, distributors, winemakers, rectifiers, wholesalers, Class B wholesalers, industrial licensees, private carriers, bonded warehouses, and package stores, and all other persons, firms or corporations dealing in the manufacture, distribution, transportation, sale or service of alcoholic beverages under the provisions of the Oklahoma Alcoholic Beverage Control Act, and report to the ABLE Commission concerning any and all violations with his recommendation to the ABLE Commission for its determination;

6.  To aid the enforcement authorities of this state or any county or municipality of the state, or federal government, in prosecutions of violations of the Oklahoma Alcoholic Beverage Control Act;

7.  To approve and pay claims for services of professional and clerical, skilled, semiskilled help, labor and other employees in the absence of the ABLE Commission, when the salaries and wages of such persons shall have been previously approved by the ABLE Commission; and

8.  To enforce the provisions of the Prevention of Youth Access to Tobacco Act, Sections 2 through 13 of this act, including, but not limited to, the levying of administrative fines against persons violating the provisions of the Prevention of Youth Access to Tobacco Act, and to at least annually conduct random unannounced inspections at locations where tobacco products are sold or distributed and conduct targeted inspections at those locations which have been in violation of the provisions of the Prevention of Youth Access to Tobacco Act.

B.  If a witness in attendance before the Director refuses without reasonable cause to be examined or to answer a legal or pertinent question, or to produce a book, record or paper when ordered to do so by the Director, the Director may apply to the judge of the district court of any county where such witness is in attendance, upon proof by affidavit of the fact, for a rule or order returnable in not less than two (2) nor more than five (5) days, directing such witness to show cause before the judge who made the order, or any other district judge of said county, why he or she should not be punished for contempt; upon the return of such order, the judge before whom the matter shall come for hearing shall examine under oath such witness or person, and such person shall be given an opportunity to be heard; and if the judge shall determine that such person has refused, without reasonable cause or legal excuse, to be examined or answer a legal or pertinent question, or to produce a book, record or paper which he or she was ordered to bring or produce, he or she may punish the offender as for contempt of court and shall fix the penalty in any sum not less than Two Hundred Fifty Dollars ($250.00) but not to exceed Five Hundred Dollars ($500.00) or require him or her to serve a maximum of thirty (30) days in jail, or both.

C.  Subpoenas shall be served and witness fees and mileage paid as in civil cases in the district court in the county to which such witness shall be called.  Witnesses subpoenaed at the instance of the Director shall be paid their fees and mileage by the Director out of funds appropriated to the ABLE Commission.  Court cost in this contempt proceedings shall be paid as taxed by the court.

Added by Laws 1959, p. 146, § 9.  Amended by Laws 1985, c. 6, § 10, emerg. eff. March 14, 1985; Laws 1994, c. 137, § 1, eff. July 1, 1994.


§37510.  Fixing of salaries and prescribing of duties.

The Director shall, subject to the approval by the Alcoholic Beverage Laws Enforcement Commission and subject to any laws of this state of general application relating to salaries and classification, fix the salaries and prescribe the duties of the Assistant Director, inspectors, agents, clerks, stenographers, accountants, chemists and such other personnel as are necessary to properly enforce and administer the provisions of the Oklahoma Alcoholic Beverage Control Act.


Amended by Laws 1985, c. 6, § 11, emerg. eff. March 14, 1985.  

§37510A.  Public Information Officer  Classification to Merit System of Personnel Administration.

Effective July 1, 1987, any employee occupying the position of Public Information Officer within the Alcoholic Beverage Laws Enforcement Commission shall become classified and subject to the provisions of the Merit System of Personnel Administration prescribed by the Oklahoma Personnel Act, Section 840.1 et seq. of Title 74 of the Oklahoma Statutes, and the rules promulgated thereunder.  Such employee shall be granted permanent status in the class to which the position is allocated by the Office of Personnel Management.


Added by Laws 1987, c. 231, § 8, eff. July 1, 1987.  

§37511.  Convicted felons ineligible to serve as ABLE Commission officer or employee  Prohibited interests and acts  Penalties  Exemptions.

A.  No member of the Alcoholic Beverage Laws Enforcement Commission, Director, Assistant Director, or employee of the ABLE Commission shall be appointed or serve who has been convicted of a felony or of any violation of any federal or state law relating to alcoholic beverages.  No member of the ABLE Commission, Director, Assistant Director, or employee of the ABLE Commission shall directly or indirectly, individually or as a member of a partnership, or as a shareholder of a corporation, have any interest whatsoever in the manufacture, sale or distribution of alcoholic beverages, nor receive any compensation or profit therefrom, nor have any interest, directly or indirectly, in any business authorized by a license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act, Section 501 et seq. of this title.  The holding of membership or elective or appointed office in fraternal organizations which obtain mixed beverage or bottle club licenses shall not be considered to be engagement in the alcoholic beverage business.  No member of the ABLE Commission, Director, Assistant Director, or employee of the ABLE Commission shall solicit or accept any gift, gratuity, emolument, or employment from any person subject to the provisions of the Oklahoma Alcoholic Beverage Control Act, or from any officer, agent or employee thereof, nor solicit, request from or recommend, directly or indirectly, to any such person or to any officer, agent or employee thereof, the appointment of any person to any place or position, and every such person, and every officer, agent or employee thereof, is hereby forbidden to offer to any member of the ABLE Commission, the Director, Assistant Director, or to any employee of the ABLE Commission, any gift, gratuity, emolument or employment.  No member of the ABLE Commission, Director, Assistant Director, or employee of the ABLE Commission shall accept employment within the liquor industry for any holder of a license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act, or represent, directly or indirectly, any such licensee in any proceedings before the Director or the ABLE Commission within two (2) years following his separation from the ABLE Commission.  Violation of any provision of this subsection shall constitute a misdemeanor.  In addition to the penal provisions, any person convicted shall be immediately removed from the office or position he holds.

B.  No license of any kind shall be granted to or retained by any person or any partnership containing any partner who is related to any member of the ABLE Commission or to the Director or Assistant Director by affinity or consanguinity within the third degree.  No member of the ABLE Commission nor the Director or Assistant Director shall be entitled to receive any compensation or other monies from the State of Oklahoma while a license is held in violation of the provisions of this subsection.

C.  It shall be unlawful for any member of the ABLE Commission, the Director, Assistant Director, any inspector, attorney or other agent or employee of the ABLE Commission, to actively participate, as a candidate or otherwise, in any political campaign held in this state.  Nor shall any such member of the ABLE Commission, Director, Assistant Director, or other agent or employee of the ABLE Commission lend, expend or contribute any money, funds, property or other thing of value, or use his official position, for the purpose of securing the nomination or election or the defeat of any candidate for public office in the State of Oklahoma.  Any person who shall violate the provisions of this subsection shall, upon conviction, be fined not less than Two Thousand Five Hundred Dollars ($2,500.00) nor more than Five Thousand Dollars ($5,000.00), or imprisoned in the county jail for not more than one (1) year, or both such fine and imprisonment.  Any person found guilty of violating the provisions of this subsection shall, in addition to the criminal penalty imposed herein, be discharged from the office or position he holds upon conviction and shall not be rehired to any state position.

D.  If the voters of a county in which a state lodge is located approve sale of alcoholic beverages by the individual drink for onpremises consumption, then such sale of alcoholic beverages on the premises of such lodge shall be authorized if a license for such sale, issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act, is obtained.  Provided, further, that a bottle club may be licensed on the premises of a state lodge located in a county where sale of alcoholic beverages by the individual drink for onpremises consumption is not authorized.

E.  The provisions of subsection D of this section shall not prohibit the state or a political subdivision of the state from leasing a public building or facility to a person who obtains a mixed beverage license, bottle club license, special event license, contracts for the services of a licensed caterer, or subleases the building or facility to a person who obtains a mixed beverage license, bottle club license, special event license or contracts for the services of a licensed caterer.

F.  Provided, that nothing in this section shall prohibit the sale of alcoholic beverage legally confiscated as provided by law.

Amended by Laws 1985, c. 6, § 12, emerg. eff. March 14, 1985; Laws 1985, c. 195, § 2, emerg. eff. June 26, 1985; Laws 1991, c. 198, § 1, emerg. eff. May 16, 1991.


§37-511A.  State officers and employees - Engaging in alcoholic beverage business.

A.  All employees of the State of Oklahoma and its political subdivisions are hereby permitted to obtain licenses from the Alcoholic Beverage Laws Enforcement Commission and to be involved in the alcoholic beverage business unless such involvement and licensing is prohibited by this section or otherwise prohibited by law.

B.  The following officers and employees of the State of Oklahoma and its political subdivisions are hereby prohibited from engaging in the alcoholic beverage business:

1.  All judges, district attorneys, assistant district attorneys and any public official who sits in a judicial capacity with jurisdiction over the Oklahoma Alcoholic Beverage Control Act, Section 501 et seq. of this title;

2.  All employees certified as peace officers engaging in law enforcement activities; and

3.  All employees of the Oklahoma Tax Commission who engage in the auditing, enforcement and collection of alcoholic beverage taxes.

C.  The holding of membership or elective or appointed office in fraternal organizations which obtain mixed beverage or bottle club licenses by employees of the state or a political subdivision shall not be considered to be engagement in the alcoholic beverage business.

Added by Laws 1991, c. 198, § 2, emerg. eff. May 16, 1991.


§37512.  Peace officer power and authority.

A.  The members of the Commission, Director, and such agents and inspectors as the ABLE Commission appoints in writing shall have all the powers and authority of peace officers of this state for the purpose of enforcing the provisions of the Oklahoma Alcoholic Beverage Control Act.

B.  The Director or any agent or inspector duly appointed, as provided in subsection A of this section, shall be authorized to arrest violators for offenses against laws of this state committed in the presence of the Director or said agents or inspectors, and further upon the request of a sheriff or another peace officer of this state or any political subdivision thereof assist in apprehension and arrest of a violator or suspected violator of any of the laws of this state.

C.  Effective July 1, 1988:

1.  A commissioned employee of the ABLE Commission shall be entitled to receive, upon retirement by reason of length of service, the continued custody and possession of the sidearm and badge carried by such employee immediately prior to retirement;

2.  A commissioned employee of the ABLE Commission may be entitled to receive, upon retirement by reason of disability, the continued custody and possession of the sidearm and badge carried by such employee immediately prior to retirement, upon approval of the Director;

3.  Custody and possession of the sidearm and badge of a commissioned employee of the ABLE Commission, killed in the line of duty may be awarded by the Director to the spouse or next of kin of the deceased employee.


Amended by Laws 1983, c. 79, § 1, eff. Nov. 1, 1983; Laws 1985, c. 6, § 13, emerg. eff. March 14, 1985; Laws 1988, c. 230, § 4, operative July 1, 1988.  

§37513a.  Employment of attorneys.

The Director may employ attorneys, who shall be unclassified employees of the state, or contract with attorneys, as needed. These attorneys may advise the Director, the Alcoholic Beverage Laws Enforcement Commission and Commission personnel on all legal matters and shall appear for and represent the Director, the Commission and Commission personnel in all administrative hearings and all litigation or other proceedings which may arise in the discharge of their duties.  At the request of the Alcoholic Beverage Laws Enforcement Commission, such attorney shall assist the district attorney in prosecuting charges of violators of the Oklahoma Alcoholic Beverage Control Act.  Provided, if a conflict of interest would be created by such attorney representing the Director, the Commission or Commission personnel, additional counsel may be hired upon approval of the Alcoholic Beverage Laws Enforcement Commission.


Added by Laws 1985, c. 283, § 7, emerg. eff. July 22, 1985.  

§37-514.  Powers and duties of ABLE Commission.

The Alcoholic Beverage Laws Enforcement Commission shall have the following powers and duties:

1.  To supervise, inspect, and regulate every phase of the business of manufacturing, importing, exporting, transporting, storing, selling, distributing, and possessing for the purpose of sale, all alcoholic beverages which shall be necessary and proper to carry out the purposes of the Oklahoma Alcoholic Beverage Control Act;

2.  To promulgate rules and regulations, in the manner herein provided, to carry out the purposes of the Oklahoma Alcoholic Beverage Control Act;

3.  To have the sole authority to issue any license provided for in the Oklahoma Alcoholic Beverage Control Act;

4.  To refuse to issue any license provided for in the Oklahoma Alcoholic Beverage Control Act for cause provided for in said act;

5.  To revoke or suspend, for cause after hearing, any license issued under the authority of the Oklahoma Alcoholic Beverage Control Act;

6.  To prescribe the forms of applications for licenses and the information to be shown thereon, and of all reports which it deems necessary in administering the Oklahoma Alcoholic Beverage Control Act;

7.  To fix standards, not in conflict with those prescribed by any law of this state or of the United States, to secure the use of proper ingredients and methods of manufacture and dispensing of alcoholic beverages;

8.  To make seizures of alcoholic beverages manufactured, sold, possessed, imported, or transported in violation of the Oklahoma Alcoholic Beverage Control Act, and apply for the confiscation thereof whenever required by said act, and cooperate in the prosecution of offenders before any court of competent jurisdiction;

9.  To submit to the Governor and members of the State Legislature annual or semiannual reports upon request of the Governor;

10.  To inspect or cause to be inspected any premises where alcoholic beverages are manufactured, stored, distributed, sold, dispensed or served;

11.  In the conduct of any hearing authorized to be held by the ABLE Commission, to examine or cause to be examined, under oath, any person, and to examine or cause to be examined books and records of any licensee; to hear testimony and take proof material for the ABLE Commission's information and the discharge of its duties hereunder; to administer or cause to be administered oaths; and for any such purposes to issue subpoenas for the attendance of witnesses and the production of books or records which shall be effective in any part of the state; and any district court or any judge thereof, either in term or vacation, may by order duly entered require the attendance of witnesses and the production of relevant books or records subpoenaed by the ABLE Commission, and the court or judge may compel obedience to its or his order by proceedings for contempt;

12.  To prescribe the kind and size of retail containers of alcoholic beverages other than beer which may be purchased, possessed and sold by a licensee;

13.  To prescribe by regulations, in addition to those herein required, the kinds of records to be kept and reports to be rendered by licensees, and the information to be shown therein; provided, that the period for which all such records and reports be retained shall not be less than five (5) years;

14.  To gather, compile and print such statistical data as may in the opinion of the ABLE Commission be needed or useful, and prescribe charges or fees to be collected from any person or company to whom such data shall be provided.  No reports shall contain sales information of either wholesalers, retailers, mixed beverage licensees, caterers or special event licensees by name or license number;

15.  To educate persons employed by licensees to serve alcoholic beverages as to the provisions of Article XXVIII of the Oklahoma Constitution and the Oklahoma Alcoholic Beverage Control Act, with emphasis on recognizing and preventing intoxication and particular emphasis on those provisions prohibiting the serving of alcoholic beverages to minors.  The ABLE Commission may contract with one or more persons to perform the duties specified in this paragraph; and

16.  To exercise all other powers and duties conferred by the Oklahoma Alcoholic Beverage Control Act, and all powers incidental, convenient or necessary to enable it to administer or carry out any of the provisions of the Oklahoma Alcoholic Beverage Control Act.

Added by Laws 1959, p. 148, § 14.  Amended by Laws 1968, c. 51, § 1, emerg. eff. March 18, 1968; Laws 1985, c. 6, § 15, emerg. eff. March 14, 1985; Laws 2000, c. 213, § 1, eff. July 1, 2000.


§37515.  Packaging, marking, branding and labeling of alcoholic beverages.

The Alcoholic Beverage Laws Enforcement Commission is authorized to prescribe such rules and regulations with respect to packaging, marking, branding and labeling of alcoholic beverages sold or possessed for sale within this state, including such rules and regulations:

1.  As will prohibit deception of the consumer with respect to such products or the quantity thereof and as will prohibit, irrespective of falsity, such statement relating to age, manufacturing processes, analyses, guarantees, and scientific or irrelevant matter as the ABLE Commission finds likely to mislead or confuse the consumer;

2.  As will provide the consumer with adequate information as to the identity and quality of the products, the net contents of the package, and the manufacturer or importer of the product; and

3.  As will prohibit statements on the label that are false, misleading, obscene, or indecent.

The ABLE Commission may adopt, in whole or in part, or with such modification as it deems desirable, regulations of the federal government relating to labeling of distilled spirits promulgated under the Federal Alcohol Administration Act (27 U.S.C.  205).


Amended by Laws 1985, c. 6, § 16, emerg. eff. March 14, 1985.  

§37516.  Advertising.

It shall be unlawful for any person, firm or corporation to advertise any alcoholic beverages or the sale of same within the State of Oklahoma, except one sign at the retail outlet bearing the words "Retail Alcoholic Liquor Store," or any combination of such words or any of them and no letter in any such sign shall be more than four (4) inches in height or more than three (3) inches in width, and if more than one (1) line is used the lines shall not be more than one (1) inch apart.



§37-517.  Filing of rules and regulations - Applications.

All regulations and rules of the Alcoholic Beverage Laws Enforcement Commission shall be promulgated and filed pursuant to the provisions of the Administrative Procedures Act, Sections 301 through 323 of Title 75 of the Oklahoma Statutes and also shall be filed with the Secretary of State and the State Librarian pursuant to the provisions of Sections 251 through 253 of Title 75 of the Oklahoma Statutes.  Copies of all regulations and rules shall be made available to each county clerk, district attorney, sheriff and chief of police in the state upon request.  The ABLE Commission shall send a notice of application for a license to sell alcohol, alcoholic beverage, wine, or beer under the Oklahoma Alcoholic Beverage Control Act to the district attorney of the county wherein the premises is located at least fifteen (15) days prior to the approval or disapproval of said application.

For any applicant for a license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act whose place of business for which the license is being sought is located in a city or town, the ABLE Commission shall mail a notice of application to the city or town, the sheriff of the county in which the city or town is located, and the district attorney of the county in which the city or town is located.  The city or town may make recommendations on whether or not the applicant should be issued a license by the ABLE Commission within twenty (20) days after the date the copies of the application were mailed.

For any applicant for a license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act whose place of business for which the license is being sought is located outside of the incorporated boundaries of a city or town, the ABLE Commission shall mail a notice of application to the board of county commissioners of the county in which the place of business is located, the sheriff of said county, and the district attorney of said county.  The board of county commissioners shall make recommendations on whether or not the applicant should be issued a license by the ABLE Commission within twenty (20) days after the date the copies of the application were mailed.

Added by Laws 1959, p. 150, §17.  Amended by Laws 1985, c. 6, § 17, emerg. eff. March 14, 1985; Laws 1985, c. 195, § 3, emerg. eff. June 26, 1985; Laws 1990, c. 209, § 4, emerg. eff. May 14, 1990; Laws 1995, c. 192, § 4, eff. Sept. 1, 1995.


§37-518.  Kinds of license - Fees - Term.

A.  Except as otherwise provided in this section, the licenses issued by the Alcoholic Beverage Laws Enforcement Commission, and the annual fees therefor, shall be as follows:

1.  Brewer License $1,250.00

2.  Oklahoma Brewer License $125.00

3.  Distiller License

a. For each fiscal year ending after June 30, 2006 $3,125.00

b. For the fiscal year ending June 30, 2006 $1,250.00

4.  Winemaker License $625.00

5.  Oklahoma Winemaker License $75.00

6.  Rectifier License

a. For each fiscal year ending after June 30, 2006 $3,125.00

b. For the fiscal year ending June 30, 2006 $1,250.00

7.  Wholesaler License $3,500.00

8.  Class B Wholesaler License $625.00

9.  The following package store license fees shall be determined by the latest Federal Decennial Census:

a. Package Store License for cities and towns from 200 to 2,500 population $305.00

b. Package Store License for cities and towns from 2,501 to 5,000 population $605.00

c. Package Store License for cities and towns over 5,000 population $905.00

10.  Mixed Beverage License $1,005.00

(initial license)

$905.00

(renewal)

11.  Mixed Beverage/Caterer Combination License $1,250.00

12.  Beer and Wine License $500.00

(initial license)

$450.00

(renewal)

13.  Bottle Club License $1,000.00

(initial license)

$900.00

(renewal)

14.  Caterer License $1,005.00

(initial license)

$905.00

(renewal)

15.  Annual Special Event License $55.00

16.  Quarterly Special Event License $55.00

17.  Hotel Beverage License $1,005.00

(initial license)

$905.00

(renewal)

18.  Airline/Railroad Beverage License $1,005.00

(initial license)

$905.00

(renewal)

19.  Agent License $55.00

20.  Employee License $30.00

21.  Industrial License $23.00

22.  Carrier License $23.00

23.  Private Carrier License $23.00

24.  Bonded Warehouse License $190.00

25.  Storage License $23.00

26.  Nonresident Seller License $750.00

27.  Manufacturers Agent License $55.00

28.  Sacramental Wine Supplier License $100.00

29.  Charitable Auction License $1.00

There shall be added to the initial or renewal fees for a Mixed Beverage License an administrative fee, which shall not be deemed to be a license fee, in the amount of Five Hundred Dollars ($500.00), which shall be paid at the same time and in the same manner as the license fees prescribed by paragraph 10 of this subsection; provided, this fee shall not be assessed against service organizations or fraternal beneficiary societies which are exempt under Section 501(c)(19), (8) or (10) of the Internal Revenue Code.  There shall be added to the fee for a Mixed Beverage/Caterer Combination License an administrative fee, which shall not be deemed to be a license fee, in the amount of Two Hundred Fifty Dollars ($250.00), which shall be paid at the same time and in the same manner as the license fee prescribed by paragraph 11 of this subsection.

B.  Notwithstanding the provisions of subsection A of this section:

1.  The license fee for a mixed beverage or bottle club license for those service organizations or fraternal beneficiary societies which are exempt under Section 501(c)(19), (8) or (10) of the Internal Revenue Code shall be Five Hundred Dollars ($500.00) per year;

2.  The fees provided for in subsection A of this section for a brewer license and for a Class B wholesaler license shall be reduced by seventy-five percent (75%) if the applicant therefor is also the holder of a license to manufacture or wholesale any low-point beer as provided for in this title; and

3.  The renewal fee for an airline/railroad beverage license held by a railroad described in 49 U.S.C., Section 24301, shall be One Hundred Dollars ($100.00).

C.  An applicant may apply for and receive both a beer and wine license and a caterer license.

D.  All licenses, except as otherwise provided, shall be valid for one (1) year from date of issuance unless revoked or surrendered.  Provided, all employee licenses issued on or after September 1, 1993, shall be valid for two (2) years.

E.  The holder of a license, issued by the ABLE Commission, for a bottle club located in a county of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized, may exchange the bottle club license for a mixed beverage license or a beer and wine license and operate the licensed premises as a mixed beverage establishment or a beer and wine establishment subject to the provisions of the Oklahoma Alcoholic Beverage Control Act.  There shall be no additional fee for such exchange and the mixed beverage license or beer and wine license issued shall expire one (1) year from the date of issuance of the original bottle club license.

Added by Laws 1959, p. 150, § 18, emerg. eff. June 23, 1959.  Amended by Laws 1978, c. 73, § 2, eff. Oct 1, 1978; Laws 1978, c. 200, § 5, emerg. eff. April 14, 1978; Laws 1983, c. 229, § 6, operative July 1, 1983; Laws 1985, c. 6, § 18, emerg. eff. March 14, 1985; Laws 1985, c. 195, § 4, emerg. eff. June 26, 1985; Laws 1987, c. 180, § 2, emerg. eff. June 29, 1987; Laws 1991, c. 216, § 5, operative July 1, 1991; Laws 1993, c. 243, § 15, eff. Sept. 1, 1993; Laws 1994, c. 361, § 3; Laws 1995, c. 274, § 45, eff. Nov. 1, 1995; Laws 2000, c. 51, § 1, emerg. eff. April 14, 2000; Laws 2000, c. 360, § 1, eff. July 1, 2000; Laws 2001, c. 78, § 2, eff. Nov. 1, 2001; Laws 2001, c. 358, § 1, eff. July 1, 2001; Laws 2002, c. 109, § 1, emerg. eff. April 19, 2002; Laws 2003, c. 484, § 5, eff. Nov. 1, 2003; Laws 2005, c. 381, § 4, eff. July 1, 2005.

NOTE:  Laws 2000, c. 13, § 1 repealed by Laws 2000, c. 360, § 5, eff. July 1, 2000.  Laws 2001, c. 14, § 1 repealed by Laws 2001, c. 358, § 30, eff. July 1, 2001.


§37-518.1.  Purchase of alcoholic beverages from certain wholesalers required - Exceptions.

The holder of a mixed beverage, beer and wine, caterer, special event or airline/railroad beverage license shall purchase alcoholic beverages only from a licensed wholesaler or Class B wholesaler or as specifically provided by law; provided, the holder of a mixed beverage, beer and wine, caterer or special event license issued for an establishment which is also a restaurant may purchase wine produced at wineries in this state directly from an Oklahoma winemaker as provided in Section 3 of Article XXVIII of the Oklahoma Constitution.

A wholesaler or Class B wholesaler may deliver such products to licensees authorized to sell alcoholic beverages for onpremises consumption; provided, such licensees may pick up alcoholic beverage orders if they hold a private carrier license issued by the Alcoholic Beverage Laws Enforcement Commission.

Added by Laws 1985, c. 6, § 78, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 4; Laws 2001, c. 78, § 3, eff. Nov. 1, 2001.


§37-518.2.  Repealed by Laws 1999, c. 391, § 5, eff. July 1, 1999.

§37-518.3.  Location of mixed beverage establishment, beer and wine establishment, or bottle club.

A.  It shall be unlawful for any mixed beverage establishment, beer and wine establishment, or bottle club which has been licensed by the Alcoholic Beverage Laws Enforcement Commission and which has as its main purpose the selling or serving of alcoholic beverages for consumption on the premises, or retail package store, to be located within three hundred (300) feet of any public or private school or church property primarily and regularly used for worship services and religious activities.  The distance indicated in this section shall be measured from the nearest property line of such public or private school or church to the nearest perimeter wall of the premises of any such mixed beverage establishment, beer and wine establishment, bottle club, or retail package store which has been licensed to sell alcoholic beverages.  The provisions of this section shall not apply to mixed beverage establishments, beer and wine establishments, or bottle clubs, which have been licensed to sell alcoholic beverages for on-premises consumption or retail package stores prior to November 1, 2000; provided, if at the time of application for license renewal the licensed location has not been in actual operation for a continuous period of more than sixty (60) days, the license shall not be renewed.  If any school or church shall be established within three hundred (300) feet of any retail package store, mixed beverage establishment, beer and wine establishment, or bottle club subject to the provisions of this section after such retail package store, mixed beverage establishment, beer and wine establishment, or bottle club has been licensed, the provisions of this section shall not be a deterrent to the renewal of such license if there has not been a lapse of more than sixty (60) days.  When any mixed beverage establishment, beer and wine establishment, or bottle club subject to the provisions of this section which has a license to sell alcoholic beverages for on-premises consumption or retail package store changes ownership or the operator thereof is changed and such change of ownership results in the same type of business being conducted on the premises, the provisions of this section shall not be a deterrent to the issuance of a license to the new owner or operator if he or she is otherwise qualified.

B.  1.  Any interested party may protest the application for or granting of a license for a retail package store, or for a mixed beverage establishment, beer and wine establishment, or bottle club which has as its main purpose the selling or serving of alcoholic beverages for consumption on the premises, based on an alleged violation of this section.  To be considered by the ABLE Commission, the protest must:

a. be submitted in writing,

b. be signed by the person protesting,

c. contain the mailing address and address of residence, if different from the mailing address of the protester,

d. contain the title of the person signing the protest, if the person is acting in an official capacity as a church or school official, and

e. contain a concise statement explaining why the application is being protested.

2.  Within thirty (30) days of the date of receipt of a written protest, the ABLE Commission shall conduct a hearing on the protest if the protest meets the requirements of paragraph 1 of this subsection.

3.  As used in this subsection, "interested party" means:

a. a parent or legal guardian whose child or children attend the church or school which is alleged to be closer to the mixed beverage establishment or bottle club which has as its main purpose the selling or serving of alcoholic beverages for consumption on the premises, or retail package store, than is allowed by this section,

b. an official of a church which is alleged to be closer to the mixed beverage establishment or bottle club which has as its main purpose the selling or serving of alcoholic beverages for consumption on the premises, or retail package store, than is allowed by this section, or

c. an official of a school which is alleged to be closer to the mixed beverage establishment or bottle club which has as its main purpose the selling or serving of alcoholic beverages for consumption on the premises, or retail package store, than is allowed by this section.

Added by Laws 1999, c. 391, § 4, eff. July 1, 1999.  Amended by Laws 2000, c. 118, § 2, eff. Nov. 1, 2000; Laws 2000, c. 329, § 1, eff. Nov. 1, 2000.


§37-521.  Acts authorized by the various licenses.

A.  A brewer license shall authorize the holder thereof:  To manufacture, bottle, package, and store beer on licensed premises; to sell beer in this state to holders of Class B wholesaler licenses and retail licenses and to sell beer out of this state to qualified persons.

B.  A distiller license shall authorize the holder thereof:  To manufacture, bottle, package, and store spirits on licensed premises; to sell spirits in this state to licensed wholesalers and manufacturers only; to sell spirits out of this state to qualified persons; to purchase from licensed distillers and rectifiers in this state, and import spirits from without this state for manufacturing purposes in accordance with federal laws and regulations.

C.  A winemaker license shall authorize the holder thereof:  To manufacture (including such mixing, blending and cellar treatment as authorized by federal law), bottle, package, and store on licensed premises wine containing not more than twenty-four percent (24%) alcohol by volume, provided the bottle or package sizes authorized shall be limited to the capacities approved by the United States Bureau of Alcohol, Tobacco and Firearms; to sell wine in this state to licensed wholesalers and manufacturers, provided, an Oklahoma winemaker may sell and ship wine produced at a winery in this state directly to retail package stores and restaurants in this state; to sell bottles of wine produced at the winery from grapes and other fruits and berries grown in this state, if available, to consumers on the premises of the winery; to serve visitors on the licensed premises samples of wine produced on the premises; to serve samples of wine produced at the winery at festivals and trade shows; to sell wine produced at the winery, in original sealed containers, at festivals and trade shows; to sell wine out of this state to qualified persons; to purchase from licensed winemakers, distillers and rectifiers in this state, and to import into this state wine, brandy and fruit spirits for use in manufacturing in accordance with federal laws and regulations.

D.  A rectifier license shall authorize the holder thereof:  To rectify spirits and wines, bottle, package, and store same on the licensed premises; to sell spirits and wines in this state to licensed wholesalers and manufacturers only; to sell spirits and wines out of this state to qualified persons; to purchase from licensed manufacturers in this state; and to import into this state for manufacturing purposes spirits and wines in accordance with federal laws and regulations.

E.  A wholesaler license shall authorize the holder thereof:  To purchase and import into this state spirits and wines from persons authorized to sell same who are the holders of a nonresident seller license, and their agents who are the holders of manufacturers agent licenses; to purchase spirits and wines from licensed distillers, rectifiers, winemakers and wholesalers in this state; to sell spirits and wines in retail containers in this state to retailers, mixed beverage, caterer, special event, hotel beverage or airline/railroad beverage licensees; to sell spirits and wines to wholesalers authorized to sell same; and to sell spirits and wines out of this state to qualified persons.  Provided, however, sales of spirits and wine in containers with a capacity of less than one-twentieth (1/20) gallon by a holder of a wholesaler license shall be in full case lots and in the original unbroken case.  Wholesalers shall be authorized to place such signs outside their place of business as are required by Acts of Congress and by such laws and regulations promulgated under such Acts.

A wholesaler license shall authorize the holder thereof to operate a single bonded warehouse with a single central office together with delivery facilities at a location in this state only at the principal place of business for which the wholesaler license was granted.

F.  A Class B wholesaler license shall authorize the holder thereof:  To purchase and import into this state beer from persons authorized to sell same who are the holders of nonresident seller licenses, and their agents who are the holders of manufacturers agent licenses; to purchase beer from licensed brewers and Class B wholesalers in this state; to sell in retail containers to retailers, mixed beverage, caterer, special event, hotel beverage and airline/railroad beverage licensees in this state, beer which has been unloaded and stored at the holder's self-owned or leased and self-operated warehouse facilities for a period of at least twenty-four (24) hours before such sale; and to sell beer in this state to Class B wholesalers and out of this state to qualified persons, including federal instrumentalities and voluntary associations of military personnel on federal enclaves in this state over which this state has ceded jurisdiction.

G.  A package store license shall authorize the holder thereof: To purchase alcohol, spirits, beer and wine in retail containers from the holder of a brewer, wholesaler or Class B wholesaler license and to purchase wine produced at a winery in this state from an Oklahoma winemaker and to sell same on the licensed premises in such containers to consumers for off-premises consumption only and not for resale; provided, wine may be sold to charitable organizations that are holders of charitable auction or charitable wine event licenses.  All alcoholic beverages that are sold by a package store are to be sold at ordinary room temperature.

H.  A mixed beverage license shall authorize the holder thereof:  To purchase alcohol, spirits, beer or wine in retail containers from the holder of a wholesaler or Class B wholesaler license or as specifically provided by law and to sell, offer for sale and possess mixed beverages for on-premises consumption only; provided, the holder of a mixed beverage license issued for an establishment which is also a restaurant may purchase wine produced at wineries in this state directly from an Oklahoma winemaker as provided in Section 3 of Article XXVIII of the Oklahoma Constitution.

Sales and service of mixed beverages by holders of mixed beverage licenses shall be limited to the licensed premises of the licensee unless the holder of the mixed beverage license also obtains a caterer license or a mixed beverage/caterer combination license.  A mixed beverage license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized.  A separate license shall be required for each place of business.  No mixed beverage license shall be issued for any place of business functioning as a motion picture theater, as defined by Section 506 of this title.

I.  A bottle club license shall authorize the holder thereof:  To store, possess and mix alcoholic beverages belonging to members of the club and to serve such alcoholic beverages for on-premises consumption to club members.  A bottle club license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has not been authorized.  A separate license shall be required for each place of business.

J.  A caterer license shall authorize the holder thereof:  To sell mixed beverages for on-premises consumption incidental to the sale or distribution of food at particular functions, occasions, or events which are temporary in nature.  A caterer license shall not be issued in lieu of a mixed beverage license.  A caterer license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized.  A separate license shall be required for each place of business.

K.  1.  An annual special event license shall authorize the holder thereof:  To sell and distribute mixed beverages for consumption on the premises for which the license has been issued for up to four events to be held over a period not to exceed one (1) year, not to exceed two such events in any three-month period.  For purposes of this paragraph, an event shall not exceed a period of ten (10) consecutive days.  An annual special event license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized.  The holder of an annual special event license shall provide written notice to the ABLE Commission of each special event not less than ten (10) days before the event is held.

2.  A quarterly special event license shall authorize the holder thereof:  To sell and distribute mixed beverages for consumption on the premises for which the license has been issued for up to three events to be held over a period not to exceed three (3) months.  For purposes of this paragraph, an event shall not exceed a period of ten (10) consecutive days.  A quarterly special event license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized.  The holder of a quarterly special event license shall provide written notice to the ABLE Commission of each special event not less than ten (10) days before the event is held.

L.  A hotel beverage license shall authorize the holder thereof:  To sell or serve alcoholic beverages in 50 milliliter spirits, 187 milliliter wine, and 12-ounce malt beverage containers which are distributed from a hotel room mini-bar.  A hotel beverage license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized.  A hotel beverage license shall only be issued to a hotel or motel as defined by Section 506 of this title which is also the holder of a mixed beverage license.  Provided, that application may be made simultaneously for both such licenses.  A separate license shall be required for each place of business.

M.  An airline/railroad beverage license shall authorize the holder thereof:  To sell or serve alcoholic beverages in or from any size container on a commercial passenger airplane or railroad operated in compliance with a valid license, permit or certificate issued under the authority of the United States or this state, even though the airplane or train, in the course of its travel, may cross an area in which the sale of alcoholic beverages by the individual drink is not authorized and to store alcoholic beverages in sealed containers of any size at any airport or station regularly served by the licensee, in accordance with rules promulgated by the Alcoholic Beverage Laws Enforcement Commission.  Alcoholic beverages purchased by the holder of an airline/railroad license from the holder of a wholesaler license shall be presumed to be purchased for consumption outside the State of Oklahoma or in interstate commerce, and shall be exempt from the excise tax provided for in Section 553 of this title.

N.  An agent license shall authorize the holder thereof:  To represent only the holders of licenses within this state, other than retailers, authorized to sell alcoholic beverages to retail dealers in Oklahoma, and to solicit and to take orders for the purchase of alcoholic beverages from retailers including licensees authorized to sell alcoholic beverages by the individual drink for on-premises consumption.  Such license shall be issued only to agents and employees of the holder of a license under the Oklahoma Alcoholic Beverage Control Act, Section 502 et seq. of this title but no such license shall be required of an employee making sales of alcoholic beverages on licensed premises of the employee's principal.  No person holding an agent license shall be entitled to a manufacturers agent license.

O.  An employee license shall authorize the holder thereof:  To work in a package store, mixed beverage establishment, bottle club, or any establishment where alcohol or alcoholic beverages are sold, mixed, or served.  Persons employed by a mixed beverage licensee or a bottle club who do not participate in the service, mixing, or sale of mixed beverages shall not be required to have an employee license.  Provided, however, that a manager employed by a mixed beverage licensee or a bottle club shall be required to have an employee license whether or not the manager participates in the service, mixing or sale of mixed beverages.  Applicants for an employee license must have a health card issued by the county in which they are employed, if the county issues such a card.  Employees of special event, caterer or airline/railroad beverage licensees shall not be required to obtain an employee license.  Persons employed by a hotel licensee who participate in the stocking of hotel room mini-bars or in the handling of alcoholic beverages to be placed in such devices shall be required to have an employee license.

P.  An industrial license may be issued to persons desiring to import, transport, and use alcohol for the following purposes:

1.  Manufacture of patent, proprietary, medicinal, pharmaceutical, antiseptic, and toilet preparations;

2.  Manufacture of extracts, syrups, condiments, and food products; and

3.  For use in scientific, chemical, mechanical, industrial, and medicinal products and purposes.

No other provisions of the Oklahoma Alcoholic Beverage Control Act shall apply to alcohol intended for industrial, medical, mechanical, or scientific use.

Any person receiving alcohol under authority of an industrial license who shall use, permit, or cause same to be used for purposes other than authorized purposes specified above, and all such alcohol, shall be liable to all provisions of the Oklahoma Alcoholic Beverage Control Act, including payment of tax thereon.

No provisions of the Oklahoma Alcoholic Beverage Control Act shall apply to alcohol withdrawn by any person free of federal tax under a taxfree permit issued by the United States government, if such alcohol is received, stored, and used as authorized by federal laws.

Q.  A carrier license may be issued to any common carrier operating under a certificate of convenience and necessity issued by any duly authorized federal or state regulatory agency.  Such license shall authorize the holder thereof to transport alcoholic beverages into, within, and out of this state under such terms, conditions, limitations, and restrictions as the ABLE Commission may prescribe by order issuing such license and by regulations.

R.  A private carrier license may be issued to any carrier other than a common carrier described in subsection P of this section.  Such license shall authorize the holder thereof to transport alcoholic beverages into, within, or out of this state under such terms, conditions, limitations, and restrictions as the ABLE Commission may prescribe by order issuing such license and by regulations.  No carrier license or private carrier license shall be required of licensed brewers, distillers, winemakers, rectifiers, wholesalers, or Class B wholesalers, to transport alcoholic beverages from the place of purchase or acquisition to the licensed premises of such licensees and from such licensed premises to the licensed premises of the purchaser in vehicles owned or leased by such licensee when such transportation is for a lawful purpose and not for hire.

No carrier license or private carrier license shall be required of the holder of a package store, mixed beverage, caterer, special event, hotel beverage or airline/railroad license to pick up alcoholic beverage orders from the licensees' wholesaler or Class B wholesaler from whom they are purchased, and to transport such alcoholic beverages from the place of purchase or acquisition to the licensed premise of such licensees in vehicles owned or under the control of such licensee or a licensed employee of such licensee under such terms, conditions, limitations and restrictions as the ABLE Commission may prescribe.

S.  A bonded warehouse license shall authorize the holder thereof:  To receive and store alcoholic beverages for the holders of storage licenses on the licensed premises of the bonded warehouse licensee.  No goods, wares or merchandise other than alcoholic beverages may be stored in the same bonded warehouse with alcoholic beverages.  The holder of a bonded warehouse license shall furnish and file with the ABLE Commission a bond running to all bailers of alcoholic beverages under proper storage licenses and their assignees (including mortgagees or other bona fide lienholders) conditioned upon faithful performance of the terms and conditions of such bailments.

T.  A storage license may be issued to a holder of a brewer, distiller, winemaker, rectifier, wholesaler, Class B wholesaler, nonresident seller, package store, mixed beverage, caterer, or hotel beverage license, and shall authorize the holder thereof:  To store alcoholic beverages in a public warehouse holding a bonded warehouse license, and no goods, wares or merchandise other than alcoholic beverages may be stored in the same warehouse with alcoholic beverages in private warehouses owned or leased and operated by such licensees elsewhere than on their licensed premises.  Provided:

1.  A storage license issued to a Class B wholesaler shall permit the storage of light beer and permit the sale and delivery to retailers from the premises covered by such license;

2.  Any licensee who is the holder of a mixed beverage/caterer combination license or the holder of a mixed beverage license and a hotel beverage license who is issued a storage license shall store all inventories of alcoholic beverages either on the premises of the mixed beverage establishment or in the warehouse;

3.  A storage license shall not be required for a special event licensee storing alcoholic beverages for use at a subsequent event; and

4.  Notwithstanding the provisions of subsection H of this section or any other provision of this title, a licensee who wholly owns more than one licensed mixed beverage establishment may store alcoholic beverages for each of the licensed establishments in one location under one storage license.  Alcoholic beverages purchased and stored pursuant to the provisions of a storage license, for one licensed mixed beverage establishment may be transferred by a licensee to another licensed mixed beverage establishment which is wholly owned by the same licensee.  Notice of such a transfer shall be given in writing to the Oklahoma Tax Commission and the ABLE Commission within three (3) business days of the transfer.  The notice shall clearly show the quantity, brand and size of every transferred bottle or case.

U.  A sacramental wine supplier license shall authorize the holder thereof:  To sell, ship or deliver sacramental wine to any religious corporation or society of this state holding a valid exemption from taxation issued pursuant to Section 501(a) of the Internal Revenue Code, 1986, and listed as an exempt organization in Section 501(c)(3) of the Internal Revenue Code, 1986, of the United States, as amended.

V.  A beer and wine license shall authorize the holder thereof:  To purchase beer and wine in retail containers from the holder of a wholesaler or Class B wholesaler license or as specifically provided by law and to sell, offer for sale and possess beer and wine for on-premises consumption only; provided, the holder of a beer and wine license issued for an establishment which is also a restaurant may purchase wine produced at wineries in this state directly from an Oklahoma winemaker as provided in Section 3 of Article XXVIII of the Oklahoma Constitution.

Sales and service of beer and wine by holders of beer and wine licenses shall be limited to the licensed premises of the licensee unless the holder of the beer and wine license also obtains a caterer license.  A beer and wine license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized.  A separate license shall be required for each place of business.  No beer and wine license shall be issued for any place of business functioning as a motion picture theater, as defined by Section 506 of this title.  No spirits shall be stored, possessed or consumed on the licensed premises of a beer and wine licensee.

W.  A charitable auction or charitable wine event license may be issued to a charitable organization exempt from taxation under Section 501(c)(3), (4), (5), (7), (8), (9), (10), or (19) of the United States Internal Revenue Code.  The charitable wine event license shall authorize the holder thereof to conduct a wine event which may consist of one or more of a wine tasting event, a wine dinner event or a wine auction.  A charitable wine event shall be conducted solely to raise funds for charitable purposes.  Wine used in or served at a charitable wine event may be purchased by the charitable organization or donated by any person or entity.  The charitable wine event license shall be issued for a period not exceeding four (4) days.  Only one such license may be issued to an organization in any twelve-month period.  The charitable organization holding a charitable wine event license shall not be required to obtain a special event license.  The charitable auction license shall authorize the holder thereof to auction wine purchased from a retail package store or received as a gift from an individual if the auction is conducted to raise funds for charitable purposes.  The charitable auction license shall be issued for a period not to exceed two (2) days.  Only one such license shall be issued to an organization in any twelve-month period.  The maximum amount of wine auctioned pursuant to the charitable auction license shall not exceed fifty (50) gallons.  All wines auctioned pursuant to the charitable auction license shall be registered and all fees and taxes shall be paid in accordance with the Oklahoma Alcoholic Beverage Control Act.  The auction may be either a live auction conducted by an auctioneer or a silent auction for which bid sheets are accepted from interested bidders.

X.  A mixed beverage/caterer combination license shall authorize the holder thereof:  To purchase or sell mixed beverages as specifically provided by law for the holder of a mixed beverage license or a caterer license.  All provisions of the Oklahoma Alcoholic Beverage Control Act applicable to mixed beverage licenses or caterer licenses, or the holders thereof, shall also be applicable to mixed beverage/caterer combination licenses or the holders thereof, except where specifically otherwise provided.  A mixed beverage/caterer combination license shall only be issued in counties of this state where the sale of alcoholic beverages by the individual drink for on-premises consumption has been authorized.  A separate license shall be required for each place of business.

Added by Laws 1959, p. 151, § 21, emerg. eff. June 23, 1959.  Amended by Laws 1978, c. 73, § 4, eff. Oct. 1, 1978; Laws 1985, c. 6, § 19, emerg. eff. March 14, 1985; Laws 1985, c. 195, § 5, emerg. eff. June 26, 1985; Laws 1987, c. 180, § 3, emerg. eff. June 29, 1987; Laws 1989, c. 3, § 2, emerg. eff. March 8, 1989; Laws 1989, c. 340, § 6, emerg. eff. June 3, 1989; Laws 1991, c. 216, § 6, operative July 1, 1991; Laws 1992, c. 58, § 1, eff. Sept. 1, 1992; Laws 1992, c. 357, § 13, eff. July 1, 1992; Laws 1994, c. 361, § 6; Laws 1997, c. 235, § 4, eff. Nov. 1, 1997; Laws 2000, c. 51, § 2, emerg. eff. April 14, 2000; Laws 2000, c. 360, § 2, eff. July 1, 2000; Laws 2001, c. 78, § 4, eff. Nov. 1, 2001; Laws 2002, c. 137, § 1, emerg. eff. April 24, 2002; Laws 2003, c. 43, § 1, eff. Nov. 1, 2003; Laws 2003, c. 484, § 6, eff. Nov. 1, 2003; Laws 2004, c. 72, § 1, eff. Nov. 1, 2004; Laws 2005, c. 1, § 40, emerg. eff. March 15, 2005; Laws 2005, c. 67, § 1, eff. Nov. 1, 2005; Laws 2005, c. 173, § 2, eff. Nov. 1, 2005.

NOTE:  Laws 2000, c. 13, § 2 repealed by Laws 2000, c. 360, § 5, eff. July 1, 2000.  Laws 2004, c. 43, § 1 repealed by Laws 2005, c. 1, § 41, emerg. eff. March 15, 2005.


§37-521.1.  Beer keg identification seals - Sale records - Violations - Penalties.

A.  For purposes of this section:

1.  "Beer keg" means any brewery-sealed, single container that contains not less than four (4) gallons of beer, as defined by Section 506 of Title 37 of the Oklahoma Statutes;

2.  "Licensed retailer" means a licensed package store;

3.  "Commission" means the Oklahoma Beverage Laws Enforcement Commission; and

4.  "Identification seal" means any device approved by the Commission which is designed to be affixed to beer kegs and which displays an identification number and any other information as may be prescribed by the Commission.

B.  No licensed retailer shall sell beer kegs unless that retailer affixes an identification seal to each beer keg.  An identification seal shall consist of durable material as determined by the Commission that is not easily removed or destroyed.  Identification seals used may contain a nonpermanent adhesive material in order to apply the seal directly to an outside surface of a beer keg at the time of sale.  Identification seals shall be attached to beer kegs at the time of sale as determined by the Commission.  The identification information contained on the seal shall include the licensed retailer's name, address, beer license number, and telephone number; a unique beer keg number assigned by the licensed retailer; and a prominently visible warning that intentional removal or defacement of the seal is a misdemeanor.  Upon return of a beer keg to the licensed retailer that sold the beer keg and attached the identification seal, the licensed retailer shall be responsible for the complete and thorough removal of the entire identification seal, and any adhesive or attachment devices of the seal.  The seal beer keg identification number must be kept on file with the retailer for not less than one (1) year from the date of return.

C.  A licensed retailer shall not sell a beer keg unless the beer keg has attached a seal complying with the standards established by subsection B of this section.

D.  1.  A licensed retailer who sells a beer keg must at the time of the sale record:

a. the purchaser's name and address and the number of the purchaser's driver license, identification card issued by the Department of Public Safety, military identification card, or valid United States or foreign passport,

b. the date and time of the purchase,

c. the beer keg identification seal number required by subsection B of this section, and

d. the purchaser's signature.

2.  The record shall be retained for not less than one (1) year after the date of the sale.

E.  A licensed retailer required to retain records under subsection D of this section shall make the records available during regular business hours for inspection by a law enforcement officer or an agent of the Commission.

F.  1.  A person required to record information under subsection D of this section shall not knowingly make a materially false entry in the book or register required under subsection D of this section.  In a prosecution under this subsection, it is a defense for the defendant to prove by a preponderance of the evidence that the defendant reasonably and in good faith relied upon the identification provided by the purchaser of a beer keg.

2.  No person other than a licensed retailer, a licensed Class B wholesaler, a law enforcement officer, or an agent of the Commission may intentionally remove a seal placed on a beer keg in compliance with subsection C of this section.  No person may intentionally deface or damage the seal on a beer keg to make it unreadable.

3.  Any person who purchases a beer keg and who fails to return the keg or who returns a keg with a damaged or missing seal shall be subject to a fine of Five Hundred Dollars ($500.00).

4.  Any licensed retailer who fails to report an individual provided for in paragraph 3 of this subsection to law enforcement shall be guilty of a misdemeanor and shall be subject to fines of not less than Five Hundred Dollars ($500.00) for first and second offenses.  A third violation by a licensed retailer of the provisions of this paragraph shall result in the revocation of the retailer's license for up to one (1) year.

G.  Any person who purchases a beer keg which is subsequently stolen from such person shall not be liable for any penalty imposed pursuant to the provisions of this section if such person properly reported the theft of the beer keg to law enforcement authorities within twenty-four (24) hours of the discovery of the theft.

H.  The Commission shall promulgate rules for the implementation and application of this section.

Added by Laws 2003, c. 156, § 2, eff. Nov. 1, 2003.


§37522.  Publication of notice of intent to apply for license  Notice of approval or disapproval of application  Conditional approval.

Applicants for original brewer, distiller, winemaker, rectifier, wholesaler, Class B wholesaler, mixed beverage, beer and wine, bottle club, caterer or package store licenses shall, prior to applying for such license, twice publish, in such form and containing such information as the Alcoholic Beverage Laws Enforcement Commission shall by regulation prescribe, a notice of its intention to apply for any such license, once a week for two (2) successive weeks in a legal newspaper of general circulation within the county where the proposed premises is to be located, and file proof of such publication with the ABLE Commission.  Unless otherwise provided, the ABLE Commission shall give notice of approval or disapproval of an application for a license within thirty (30) days after the filing of said application.  The ABLE Commission shall give notice of approval or disapproval of an application for a mixed beverage, beer and wine, bottle club or caterer license within sixty (60) days after the filing of said application.  Provided, the ABLE Commission may extend the period for making a determination of whether to approve or disapprove an application an additional thirty (30) days for good cause.

The ABLE Commission may conditionally approve any application which is subject to Section 523 of this title if:

1.  Construction, modification or alteration of premises proposed for licensed operations is not completed; and

2.  The applicant furnishes a conditional certification issued by the municipality or county that the applicant's plans and specifications indicate that the proposed premises will comply with the municipality's or county's zoning, fire, safety, and health codes.

The ABLE Commission shall issue its final notice of approval when the applicant furnishes final certificates required by Section 523 of this title.

Added by Laws 1959, p. 153, § 22.  Amended by Laws 1985, c. 6, § 20, emerg. eff. March 14, 1985; Laws 1985, c. 195, § 6, emerg. eff. June 26, 1985; Laws 1994, c. 361, § 7.


§37-523.  Issuance and renewal of license - Fees - Information required - Conditional certificate - List of licenses - Denial of application - Late renewal penalty.

A.  No license provided for in the Oklahoma Alcoholic Beverage Control Act shall be issued except pursuant to an application filed with the Alcoholic Beverage Laws Enforcement Commission.  The ABLE Commission may, however, provide for a form of simplified application for renewal of license.  Payment of the prescribed fee shall accompany each application for a license.

B.  Every applicant for an original license, except applicants for an employee, special event or airline/railroad beverage license, shall also furnish the following:

1.  A tax receipt proving payment of ad valorem taxes, including real and personal taxes, or furnish to the ABLE Commission satisfactory evidence that no taxes are due or delinquent;

2.  A certificate of zoning issued by the municipality in which the applicant proposes to locate the applicant's principal place of business under the license, or by the county if said principal place of business is located outside the incorporated limits of a municipality, certifying that the applicant's proposed location and use thereof comply with all municipal zoning ordinances or county zoning regulations if applicable;

3.  A certificate issued by the municipality in which the applicant proposes to locate the applicant's principal place of business under the license, or by the county if said principal place of business is located outside the incorporated limits of a municipality, certifying that the applicant's existing or proposed operations under the license comply with all municipal or county fire codes, safety codes, or health codes, if applicable;

4.  Authorization, on forms furnished by the ABLE Commission, for complete investigation of the applicant's current financial status as it relates to the application for a license, including but not limited to access to bank accounts, loan agreements, and financial statements; and

5.  A deed, management agreement, purchasing agreement, or lease.

C.  The certificates required by paragraphs 2 and 3 of subsection B of this section shall be signed by the mayor of the municipality or the chairman of the board of county commissioners issuing same, unless the municipality, by ordinance, or the county designates some other officer or entity to issue the certificates.  Applications for such certificates shall be in writing and shall contain information in such detail as the municipality or county may reasonably require describing the location and nature of operations to be conducted under the ABLE license.  Municipalities and counties shall be required to act on all applications for such certificates within twenty (20) days of receipt of the written application.

D.  Municipalities and counties may grant conditional certificates for premises proposed for licensed operations for which construction, modification, or alteration is not completed. Conditional certificates shall indicate that the proposed premises will comply with the municipal or county zoning, fire, safety, and health codes.  The granting of conditional certificates shall not relieve the applicant of the duty of obtaining the certificates required by paragraphs 2 and 3 of subsection B of this section after completion of the construction, modification, or alteration.

E.  A municipality or county shall issue the certificates required by paragraphs 2 and 3 of subsection B of this section within ten (10) days after all final inspections are completed.

Thereafter if a licensee fails to maintain compliance with municipal or county zoning ordinances and codes, the mayor or chairman of the board of county commissioners or their designee, shall forthwith notify the ABLE Commission in writing setting forth details of the noncompliance.

F.  Upon issuance of any license, the ABLE Commission shall furnish the Oklahoma Tax Commission with a list of such licenses.

G.  In the event of denial of an application for a license, the ABLE Commission shall refund to the applicant the amount of the tendered fee, less ten percent (10%), which it shall retain as cost of processing the application.

H.  Any licensee, except an employee licensee, who fails to renew his license prior to the expiration date of said license shall be subject to a late renewal penalty as provided by ABLE Commission rules and regulations.  Further, any licensee, except an employee licensee, who fails to renew his license within sixty (60) days of the expiration of said license shall be required to submit a new license application.  An employee licensee who fails to renew prior to the expiration of the license shall be required to submit a new license application; provided, however, that under no circumstances shall any licensee, including an employee licensee, whose license to serve or sell alcoholic beverages has expired, continue to serve or sell alcoholic beverages.

Added by Laws 1959, p. 153, §23.  Amended by Laws 1985, c. 6, § 21, emerg. eff. March 14, 1985; Laws 1985, c. 195, § 7, emerg. eff. June 26, 1985; Laws 1986, c. 177, § 4, operative July 1, 1986; Laws 1989, c. 3, § 3, emerg. eff. March 8, 1989; Laws 1995, c. 192, § 5, eff. Sept. 1, 1995; Laws 1997, c. 84, § 1, eff. Nov. 1, 1997.


§37-523.1.  Corporation - Application for mixed beverage, beer and wine, bottle club or caterer license - Information required - Change in officers or directors - Acquisition of 15% or more of stock.

A.  Any corporation applying for a mixed beverage, beer and wine, caterer, or bottle club license shall submit to the Alcoholic Beverage Laws Enforcement Commission the following:

1.  A certificate of good standing from the office of the Secretary of State;

2.  A list of all corporate officers, directors, executive committee members or members of a similar governing body and their addresses; and

3.  A list of all stockholders owning fifteen percent (15%) or more of the stock and their addresses.

B.  A corporate licensee shall notify the ABLE Commission in writing of any change in the officers or directors of said corporation or in the principal managers of premises licensed to said corporation and shall pay a fee of One Hundred Dollars ($100.00) for each notification of change.  Provided, service organizations which are exempt under Section 501(c)(8), (10), or (14) of the Internal Revenue Code shall be exempt from said fee.

C.  A corporate licensee shall notify the ABLE Commission any time a person, any type of partnership, limited liability company, or other entity acquires fifteen percent (15%) or more of the stock of said corporation.  Such notification shall be within thirty (30) days of acquisition and the corporation shall pay a fee of One Hundred Dollars ($100.00) for each notification of change.

D.  The ABLE Commission may disapprove a change of officers, directors or principal managers or the acquisition of more than fifteen percent (15%) of the stock in a licensed corporation if the ABLE Commission feels that such change would materially affect the conditions under which the license was issued, such that the license would not have been issued had such change been in existence at the time of the original application.  If such disapproval occurs, the ABLE Commission shall notify the licensee in writing and in the case of a publicly traded corporation, allow a reasonable time for the licensee to remove such officer, director or manager or for the stockholder to divest himself of any stock held in excess of fifteen percent (15%) of the stock.  Provided that a reasonable time may not exceed a ninetyday period following notification of denial by the ABLE Commission.  Failure to comply with the provisions of this subsection may result in revocation or suspension of such license.

E.  Any person who was an officer or director or who has owned fifteen percent (15%) or more of the stock in a corporation which has been denied a license or had a license revoked or suspended pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act shall not own stock in any other corporation seeking a license pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act for a period of twelve (12) months from the date said license was revoked or suspended.

F.  Any person who was a manager or a member of a limited liability company which has been denied a license or had a license revoked or suspended pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act shall not own stock in any corporation seeking a license pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act for a period of twelve (12) months from the date said license was revoked or suspended.

Added by Laws 1985, c. 6, § 70, emerg. eff. March 14, 1985.  Amended by Laws 1985, c. 195, § 8, emerg. eff. June 26, 1985; Laws 1987, c. 205, § 4, operative July 1, 1987; Laws 1994, c. 361, § 8; Laws 1995, c. 192, § 6, eff. Sept. 1, 1995.


§37-523.2.  Limited liability company - Application for mixed beverage, beer, wine, bottle club or caterer license - Information required - Notification of changes in manager or members - Management and membership limitations.

A.  Any limited liability company, formed as provided for in the Limited Liability Company Act, may apply for a beer and wine, bottle club, caterer, or mixed beverage license issued pursuant to the Oklahoma Alcoholic Beverage Control Act.  Any limited liability company applying for a license shall submit to the Alcoholic Beverage Laws Enforcement Commission, the following:

1.  A Certificate of Good Standing from the Office of the Secretary of State;

2.  The Articles of Organization with all amendments and corrections filed with the Office of the Secretary of State with proof that same has been filed in accordance with the Limited Liability Company Act;

3.  The name and address of the resident agent;

4.  The name and address of the manager;

5.  The operating agreement;

6.  A current list of the full name, social security number, and address of each member; and

7.  A copy of the issued Certificate of Membership Interest for each member.

B.  A limited liability company licensee shall notify the ABLE Commission in writing of any change in the manager of the licensed company within thirty (30) days of said change and shall pay a fee of One Hundred Dollars ($100.00) for each notification of change.

C.  A limited liability company shall notify the ABLE Commission in writing any time a membership is assigned or members are added or disassociated within thirty (30) days of said change.  The limited liability company shall pay a fee of One Hundred Dollars ($100.00) for each notification of change.

D.  The ABLE Commission may disapprove a change of manager or new membership in a licensed liability company if the ABLE Commission feels that such change would materially affect any conditions under which the license was issued, such that the license would not have been issued had such change been in existence at the time of the original application.  If such disapproval occurs, the ABLE Commission shall notify the licensee in writing and allow a reasonable time for the licensee to remove such manager or for a member to be disassociated from the company.  Provided that a reasonable time not exceed a ninety-day period following notification of denial by the ABLE Commission.  Failure to comply with the provisions of this subsection may result in revocation or suspension of such license.

E.  Any person who has been a licensee, a partner in a license, an officer, director or fifteen percent (15%) or more stockholder of a corporation holding a license revoked or suspended, pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act, shall not serve as a manager or be a member in a limited liability company seeking a license pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act for a period of twelve (12) months from the date said license was revoked or suspended.

F.  Any person who has been a manager, member or participant in any business entity which was a manager or member of a limited liability company which has been denied a license or has a license revoked or suspended, pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act shall not serve as a manager or member in a limited liability company seeking a license pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act for a period of twelve (12) months from date said license was revoked or suspended.

G.  Any person who has been convicted of a felony for which a pardon has not been granted shall not be elected as a manager or be a member of a limited liability company.

Added by Laws 1995, c. 192, § 7, eff. Sept. 1, 1995.


§37524.  Nonresident seller license  Sale of alcoholic beverages by nondealer in alcoholic beverages.

A.  A nonresident seller license shall be required of all outofstate distillers, winemakers, brewers, importers, brokers and others who sell alcoholic beverages to wholesalers and Class B wholesalers in Oklahoma regardless of whether such sales are consummated within or without the State of Oklahoma.

A nonresident seller license shall authorize the holder thereof to solicit and take orders for alcoholic beverages from the holders of licenses authorized to import the same into this state, and to ship or deliver, or cause to be shipped or delivered, alcoholic beverages into Oklahoma pursuant to such sales.

B.  The Alcoholic Beverage Laws Enforcement Commission may, subject to the provisions of the Oklahoma Alcoholic Beverage Control Act requiring notice and hearing in the case of sanctions against holders of licenses, suspend or revoke a nonresident seller license for any violation of the Oklahoma Alcoholic Beverage Control Act by the holder thereof.

C.  No licensee in this state authorized to import alcoholic beverages into this state shall purchase or receive any alcoholic beverages from without this state from any person not holding a valid and existing nonresident seller license.

D.  The holder of a nonresident seller license shall, promptly upon consignment of any alcoholic beverages to an importer in Oklahoma, forward to the ABLE Commission a true copy of the invoice, bill of lading, or other document as the ABLE Commission may by regulations prescribe, showing the details of such shipment.

E.  Any person, not otherwise a dealer in alcoholic beverages, coming into possession of any alcoholic beverages as security for or in payment of a debt, or as an insurer (or its transferee or assignee) for the salvage or liquidation of an insured casualty or damage or loss, or as an executor, administrator, trustee or other fiduciary may sell the beverages in one lot or parcel to a duly licensed wholesaler.  However, immediately after taking possession of the alcoholic beverages, the person shall register with the Director and furnish to him a detailed list of the alcoholic beverages and post with the Director a bond in such amount as the Director deems sufficient to protect the state from any taxes due on the alcoholic beverages.  The person shall pay to the Director a registration fee of Ten Dollars ($10.00), which fee shall permit the sale of only the alcoholic beverages detailed in the registration request.


Amended by Laws 1985, c. 6, § 22, emerg. eff. March 14, 1985.  

§37525.  Manufacturers agent license.

A manufacturers agent license shall authorize the holder thereof to represent only the holders of a nonresident seller license, and to solicit and take orders for the sale of alcoholic beverages for the purpose of resale.  No such license shall be issued to any person until it shall have been shown to the satisfaction of the Alcoholic Beverage Laws Enforcement Commission that the applicant has been duly authorized to act as the agent of the principal he proposes to represent, and that the principal or principals he proposes to represent has been duly authorized to do business in the State of Oklahoma, and has appointed a service agent in this state.  No applicant for a manufacturers agent license shall also hold an agent license.  It shall be unlawful for any person other than the holder of a manufacturers agent license or an agent license to solicit or take orders in the state from a wholesaler or Class B wholesaler.


Amended by Laws 1985, c. 6, § 23, emerg. eff. March 14, 1985.  

§37526.1.  Certain pardoned felons eligible for licensing.

Conviction of a felony for which a pardon has been granted, shall not constitute grounds for the denial or revocation of any license issued by the Alcoholic Beverage Laws Enforcement Commission.

Unless otherwise provided by law, any person who has received a pardon for a felony conviction shall be eligible to apply for, receive, and renew any license granted by the ABLE Commission, which by law is denied to a convicted felon, if:

1.  the person meets all other qualifications and requirements for obtaining and maintaining the license; and

2.  the person has not been convicted of any other felony or felonies for which a pardon has not been granted.


Added by Laws 1988, c. 230, § 5, operative July 1, 1988.  

§37-527.  Grounds for refusal to issue wholesaler's, Class B wholesaler's or package store license.

The Alcoholic Beverage Laws Enforcement Commission shall refuse to issue a wholesaler, Class B wholesaler or package store license either on an original application or a renewal application, if it has reasonable grounds to believe and finds any of the following to be true:

1.  That the applicant is not a citizen of the United States or is not a qualified elector in this state, or has not been a continuous resident of this state for the ten (10) years next preceding the application for the license;

2.  That the applicant is under twenty-one (21) years of age;

3.  That the applicant or any partner, or spouse of the applicant or any partner, has been convicted of a felony;

4.  That the applicant or any partner, or spouse of the applicant or any partner, has been convicted of a violation of any state or federal law relating to alcoholic beverages, has forfeited a bond while any charge of such violation was pending, nor may any license be granted for any purpose under the Oklahoma Alcoholic Beverage Control Act, Section 501 et seq. of this title, to an Oklahoma resident, who has held or whose spouse has held a Federal Liquor Stamp in Oklahoma before the adoption of Article XXVII of the Oklahoma Constitution unless said Liquor Stamp was granted for supplying alcoholic beverages to a federal military installation, or was granted under this title;

5.  That the applicant or any partner has, within twelve (12) months next preceding the date of the application, violated any provision of the Oklahoma Alcoholic Beverage Control Act or regulation of the ABLE Commission issued pursuant hereto.  Provided, however, that if the ABLE Commission has, during said twelve-month period, suspended any license sought to be renewed, such renewal application may be approved if the term of the suspension has been completed and the applicant has complied with any special conditions imposed in connection with the suspension;

6.  That the applicant is not of good moral character, or that the applicant is in the habit of using alcoholic beverages to excess, or is mentally incapacitated.  Provided, that the record in any municipal court showing a conviction of violation of any municipal ordinances or state statutes involving moral character or public nuisance obtained after passage and approval of the Oklahoma Alcoholic Beverage Control Act shall be received in evidence by the ABLE Commission;

7.  That the applicant does not own or have a written lease for the premises for which a license is sought;

8.  That the applicant has, within twelve (12) months next preceding the date of application, been the holder of a license revoked for cause;

9.  That the applicant is not the real party in interest, or intends to carry on the business authorized by the license as the agent of another;

10.  That the applicant, in the case of an application for renewal of any license, would not be eligible for such license on a first application;

11.  That the applicant is a person who appoints or is a law enforcement official or is an employee of the ABLE Commission or of the Director;

12.  That the proposed location of the licensed premises would violate a valid municipal nondiscriminatory zoning ordinance;

13.  That, in the case of an application for a wholesaler license, or Class B wholesaler license, any manufacturer, including an officer, director or principal stockholder thereof, or any partner, has any financial interest in the business to be conducted under the license;

14.  That the issuance of the license applied for would result in a violation of any provision of the Oklahoma Alcoholic Beverage Control Act;

15.  That, in the case of an application for a wholesaler or Class B wholesaler license, the applicant or any partner, or spouse of the applicant or any partner, is the holder or partner of the holder of any other class of license issued under the provisions of the Oklahoma Alcoholic Beverage Control Act, other than an agent or employee license for employment by the applicant, or a storage license, bonded warehouse license, carrier license or private carrier license; or

16.  That, in the case of an application for a package store license the applicant or any partner, or the spouse of the applicant or any partner, is the holder or partner of the holder, or employee of such holder of any other class of license issued under the provisions of the Oklahoma Alcoholic Beverage Control Act, other than a storage license or an employee license for the proposed licensed premises of the applicant or of a retail dealer's permit for the same location issued by the Oklahoma Tax Commission for the sale of low-point beer for consumption on the premises as provided by Section 163.7 of this title.

Added by Laws 1959, p. 155, § 27.  Amended by Laws 1976, c. 13, § 1, operative July 1, 1976; Laws 1979, c. 198, § 5, emerg. eff. May 25, 1979; Laws 1985, c. 6, § 24, emerg. eff. March 14, 1985; Laws 1993, c. 180, § 2, emerg. eff. May 13, 1993; Laws 1995, c. 274, § 46, eff. Nov. 1, 1995; Laws 1996, c. 3, § 9, emerg. eff. March 6, 1996; Laws 1997, c. 84, § 2, eff. Nov. 1, 1997.


NOTE:  Laws 1995, c. 192, § 8 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.


§37-527.1.  Denial of mixed beverage, bottle club, beer and wine or caterer license - Grounds.

The Alcoholic Beverage Laws Enforcement Commission shall refuse to issue a mixed beverage, beer and wine, bottle club, or caterer license, either on an original application or a renewal application, if it has reasonable grounds to believe and finds any of the following to be true:

1.  That the applicant, in the case of a natural person, is under twenty-one (21) years of age;

2.  That the applicant, in the case of a corporation, has a stockholder who owns fifteen percent (15%) or more of the stock, officer, or director who is under twenty-one (21) years of age;

3.  That the applicant, in the case of any type of partnership, has any partner who is under twenty-one (21) years of age;

4.  That the applicant, in the case of a limited liability company, has a manager or member who is under twenty-one (21) years of age;

5.  That the applicant or any type of partner has been convicted of a felony;

6.  That the applicant, in the case of a corporation, has a stockholder owning fifteen percent (15%) of the stock, officer or director who has been convicted of a felony;

7.  That the applicant, in the case of a limited liability company, has a manager or a member who has been convicted of a felony;

8.  That the applicant has made false statements to the ABLE Commission;

9.  That the applicant is not the legitimate owner of the business for which a license is sought or that other persons have undisclosed ownership interests in the business;

10.  That the applicant or any partner, within twelve (12) months after being issued a license, either on an original application or a renewal application, has violated any provision of the Oklahoma Alcoholic Beverage Control Act or regulation of the ABLE Commission issued pursuant hereto.  Provided, however, that if the ABLE Commission, during said twelve-month period, has suspended any license sought to be renewed, such renewal application may be approved if the term of the suspension has been completed and the applicant has complied with any special conditions imposed in connection with the suspension;

11.  That the applicant is not the real party in interest, or intends to carry on the business authorized by the license as the agent of another;

12.  That the applicant is a person who appoints or is a law enforcement official or is an employee of the ABLE Commission or of the Director; or

13.  That the applicant does not own or have a written lease for the premises for which a license is sought.

Added by Laws 1985, c. 6, § 69, emerg. eff. March 14, 1985.  Amended by Laws 1987, c. 180, § 4, emerg. eff. June 29, 1987; Laws 1994, c. 361, § 9; Laws 1995, c. 192, § 9, eff. Sept. 1, 1995; Laws 1997, c. 84, § 3, eff. Nov. 1, 1997.


§37528.  Revocation or suspension of license  Grounds  Penalties  Summary suspension.

A.  Any license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act, Section 501 et seq. of this title, by order of the Alcoholic Beverage Laws Enforcement Commission, after due notice and hearing, may be revoked or suspended if the ABLE Commission finds or has grounds to believe that the licensee has:

1.  Violated any rule adopted by the ABLE Commission;

2.  Procured a license through fraud, or misrepresentation, or concealment of a material fact;

3.  Made any false representation or statement to the ABLE Commission in order to prevent or induce action by the ABLE Commission;

4.  Maintained an unsanitary establishment or has supplied impure or otherwise deleterious beverages or food;

5.  Stored, possessed, mixed or served on the premises of a bottle club any alcoholic beverage upon which the tax levied by Section 553 of this title has not been paid as provided for in the Oklahoma Alcoholic Beverage Control Act, in a county of this state where the sale of alcoholic beverages by the individual drink for onpremises consumption has not been authorized;

6.  Misrepresented to a customer or the public any alcoholic beverage sold by the licensee; or

7.  Had any permit or license issued by the Oklahoma Tax Commission and required by the Oklahoma Alcoholic Beverage Control Act, suspended or revoked by the Tax Commission.

B.  The ABLE Commission may revoke or suspend the license of any mixed beverage, caterer or bottle club licensee if the ABLE Commission finds or has grounds to believe that such licensee:

1.  Has acted as an agent of a manufacturer or wholesaler of alcoholic beverages;

2.  Is a manufacturer or wholesaler of alcoholic beverages;

3.  Has borrowed money or property or accepted gratuities or rebates from a manufacturer or wholesaler of alcoholic beverages;

4.  Has obtained the use of equipment from any manufacturer or wholesaler of alcoholic beverages or any agent thereof;

5.  Has violated any of the provisions of the Oklahoma Alcoholic Beverage Control Act for which mandatory revocation or suspension is not required; or

6.  Has been convicted on or after July 1, 1985, of a violation of any state or federal law relating to alcoholic beverage for which mandatory revocation or suspension is not required.

C.  The ABLE Commission shall revoke the license of any licensee if said Commission finds:

1.  That the licensee knowingly sold alcoholic beverages or allowed such beverages to be sold, delivered or furnished to any person under the age of twentyone (21) years, or to any person visibly intoxicated or adjudged insane or mentally deficient;

2.  That the licensee, any general or limited partner of the licensee, or in the case of a corporation, an officer or director of the corporation, has been convicted of a felony;

3.  That, in the case of a wholesaler, Class B wholesaler, or retail package store licensee, the holder of the license or any member of a general or limited partnership which is the holder of such a license, has been convicted of a prohibitory law relating to the sale, manufacture, or transportation of alcoholic beverages which constitutes a felony or a misdemeanor.

D.  If the ABLE Commission shall find by a preponderance of the evidence as in civil cases that the holder of a package store license has knowingly sold any alcoholic beverage to any person under the age of twentyone (21) years, after a public hearing it shall revoke said license and no discretion as to said revocation shall be exercised by the ABLE Commission.

E.  The ABLE Commission shall have the authority to promulgate rules and regulations to establish a penalty schedule for violations of any provision of the Oklahoma Alcoholic Beverage Control Act or any rule or regulation of the ABLE Commission.  The schedule shall provide for suspension or revocation of any license for major and minor violations as determined by the ABLE Commission.  Penalties shall be increasingly severe with each violation by a licensee.

Provided, that for a fourth major violation by a licensee within a twenty-four-month period the penalty shall be mandatory revocation of license.  The twenty-four-month period shall be calculated from the date of the most recent violation as set forth in an order signed by the Director or the designee of the Director.

F.  The ABLE Commission may impose a monetary penalty in lieu of or in addition to suspension of a license.  The amount of fine for a major violation shall be computed by multiplying the proposed number of days of the suspension period by One Hundred Dollars ($100.00).  The amount of fine for a minor violation shall be computed by multiplying the number of days of the proposed suspension period by Fifty Dollars ($50.00).

G.  The failure of any licensee to pay a fine or serve a suspension imposed by the ABLE Commission shall result in the revocation of the license of said licensee.

H.  If the ABLE Commission finds that public health, safety or welfare require emergency action, and incorporates a finding to that effect in its order, summary suspension of a license may be ordered pending proceeding for revocation or other action, pursuant to the provisions of Section 314 of Title 75 of the Oklahoma Statutes.

Amended by Laws 1985, c. 6, § 25, emerg. eff. March 14, 1985; Laws 1991, c. 80, § 1, emerg. eff. April 18, 1991.


§37528.1.  Municipalities and counties  Suspension or revocation of license  Procedure.

The governing board of any municipality, as to any mixed beverage, beer and wine, caterer, or bottle club licensee having its principal place of business in such municipality, and the board of county commissioners of any county, as to any mixed beverage, beer and wine, caterer, or bottle club licensee having its principal place of business in such county but outside the incorporated limits of a municipality, may initiate a license suspension or revocation proceeding as to such licensee by filing a written complaint with the ABLE Commission, setting forth the grounds for the proposed suspension or revocation.  Such complaint may be based on any ground that the ABLE Commission might have asserted.  Upon receipt of such complaint, the ABLE Commission shall forward a copy of the complaint to the licensee together with written notice of the time and place of hearing thereon.  If the complaint is filed by a municipality the hearing shall be conducted within the corporate limits of said municipality.  If the complaint is filed by a county, the hearing shall be conducted in said county.  The hearing shall be held within the time limits, and in the manner, prescribed for suspension or revocation proceedings initiated by the ABLE Commission.  In any proceeding initiated pursuant to this section, the municipality or county shall be deemed an interested party, shall have the right to be heard and to present evidence at the hearing on the complaint, and shall be entitled to appeal from any final order entered by the ABLE Commission in the manner otherwise provided in the Oklahoma Alcoholic Beverage Control Act.  Such municipality or county shall not be required to give bond on appeal.

Added by Laws 1985, c. 6, § 102, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 10.


§37528.2.  Municipalities and counties  Zoning of establishments  Municipal court jurisdiction.

Municipalities and counties are hereby authorized to create a new zoning classification to regulate the location of establishments that sell, serve, mix, dispense, or allow consumption of alcoholic beverages on the premises.  Such zoning classification may include but shall not be limited to reasonable parking, access regulations, and other such zoning regulations as the local authorities may deem necessary for local control.  This authority shall be in addition to the authority to enact ordinances established in Section 503 of Title 37 of the Oklahoma Statutes.

Municipal courts are hereby authorized jurisdiction to hear violations of any ordinances enacted pursuant to the provisions of this section and Section 503 of Title 37 of the Oklahoma Statutes.


Added by Laws 1985, c. 6, § 103, emerg. eff. March 14, 1985.  

§37529.  Notice of denial, suspension of revocation of license.

In the case of denial of an application for an original license, the Alcoholic Beverage Laws Enforcement Commission shall give written notice to the applicant either by registered mail directed to his lastknown address or by delivery, stating the reason for such denial.  If the ABLE Commission proposes to deny renewal of any license or to suspend or revoke a license, it shall give written notice to the licensee addressed to his licensed premises by registered mail, by personal delivery, or by posting of said notice on the outside entrance to the licensed premises, notifying said licensee of such contemplated denial, suspension or revocation, and of the time and place at which the licensee may be accorded a hearing before the ABLE Commission on the matter, which time shall not be less than fifteen (15) days from the date of mailing, delivery or posting of such notice.  Such notice shall set forth the grounds for the proposed denial, suspension or revocation. The ABLE Commission may delegate any part of this function to the Director or his assistants in his department, but any person aggrieved by any order shall have the right to be heard by the ABLE Commission and the ABLE Commission shall provide adequate procedure to protect the right of persons desiring to do so.


Amended by Laws 1985, c. 6, § 27, emerg. eff. March 14, 1985.  

§37530.  Hearing for aggrieved persons.

Any person aggrieved by the action of the Alcoholic Beverage Laws Enforcement Commission in denying an application for an original license may, within fifteen (15) days after receipt of notice thereof, file with the ABLE Commission written request for a hearing, and the ABLE Commission shall, pursuant to such request, set a time and place for a hearing on a denial of an application for an original license.  At the time and place set in a notice by the ABLE Commission of contemplated denial of the renewal of a license or of a proposed suspension or revocation of a license, the ABLE Commission shall afford the applicant or the licensee an opportunity to be heard and to present evidence in his behalf.  Said hearing shall be conducted within fifteen (15) days after receipt of the request by the ABLE Commission.  In the conduct of any such hearing, the ABLE Commission shall have power to administer oaths, examine witnesses, and subpoena records and documents pertaining to the issues involved.  Upon request of and at the expense of the aggrieved party, the ABLE Commission shall make or cause to be made a complete record of all testimony and other evidence taken or introduced at such hearing.  Within fifteen (15) days after conclusion of any such hearing, unless the time shall be extended by the parties thereto in writing, the ABLE Commission shall enter an order affirming or modifying its denial of an original application, an order dismissing its notice of contemplated denial of renewal of license or affirming same, or an order dismissing its notice of contemplated suspension or revocation of a license or an order suspending or revoking same.  The ABLE Commission shall, by written notice mailed to the applicant or licensee by certified mail or by delivery in person to the applicant or licensee, or their attorney of record, advise of its action pursuant to the hearing.



§37530.1.  Director or hearing officer to conduct hearing  Report  Recommendation  Notice  Review.

The Director shall have the authority to conduct an initial hearing when a hearing before the Commission is required by law. The Director may employ such hearing officers and assistants as are necessary to conduct the hearings.  If a hearing is conducted by a hearing officer, the hearing officer shall issue a report to the Director.  The report of the hearing officer shall include findings of fact and conclusions of law.  After conducting a hearing or after receiving the report of the hearing officer, the Director shall issue a recommendation to the Commission.  Notice of the recommendation of the Director shall be sent to the lastknown address of the licensee.  If the licensee disagrees with the recommendation of the Director, he may request a hearing before the Commission for a review of the record.  If the licensee fails to request a review of the record within fifteen (15) days after the date of the notice of the Director's decision, the recommendation of the Director shall become a final order of the Commission.  A failure to request a review of the record by the Commission in a timely manner shall constitute a failure to exhaust administrative remedies.



§37531.  Appeal to district court.

Within thirty (30) days after a final order of the Alcoholic Beverage Laws Enforcement Commission, pursuant to a hearing as provided in Section 530 of this title, an applicant or licensee may appeal from the order of the ABLE Commission to the district court of the county in which the premises licensed or sought to be licensed are located.  At the time of filing such an appeal, the party appealing shall give bond for costs assessed against him.  The appeal shall be taken by filing with the clerk of the district court of the proper county a written notice stating that the party appeals from the action of the ABLE Commission and stating the pertinent grounds on which the appeal is founded.  Such appeal shall consist of a hearing and review of the record only as set forth in the Administrative Procedures Act, Sections 301 through 326 of Title 75 of the Oklahoma Statutes. The district court may affirm, reverse or modify the order of the ABLE Commission and shall issue its order within sixty (60) days after the appeal is heard.  Appeals may be taken from a final order of the district court to the Supreme Court by the applicant, licensee or by the ABLE Commission.  The ABLE Commission shall not berequired to give bond on appeal.  The licensee may file a supersedeas bond in an amount to be fixed by the ABLE Commission staying the order until the final determination of all issues on an appeal but the order of the ABLE Commission may not be stayed unless ordered by the judge of the district court. Permission to stay the order of the ABLE Commission shall not be granted by any court unless an application therefor be made in the written notice of the applicant's or licensee's intention to appeal from the order of the ABLE Commission, and then only after a hearing before the court upon notice to both parties wherein the court determines by a preponderance of the evidence that in denying a license or in ordering the suspension or a revocation of a license the ABLE Commission acted without legal cause or upon insufficient evidence.  Provided, that in all cases where the order of the ABLE Commission is stayed by a supersedeas bond and the licensee is unsuccessful in his appeal, and the action of the ABLE Commission becomes final, such bond shall be forfeited tothe State of Oklahoma by the court considering such appeal if the court finds said appeal was frivolous or was filed for the purpose of delaying the effect of said order, and the Attorney General shall thereupon commence legal proceedings in the name of the State of Oklahoma to recover the amount of said bond, which money shall be placed to the credit of the General Revenue Fund of the state.


Amended by Laws 1985, c. 6, § 28, emerg. eff. March 14, 1985.  

§37532.  Nature of license  Transfer to new location.

Any license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act shall be a purely personal privilege. It shall not constitute property nor be subject to attachment, garnishment, or execution, or be alienable or transferable, either voluntarily or involuntarily; nor shall it descend by the laws of descent and distribution, but shall cease upon the death of the licensee; provided, however, that the Alcoholic Beverage Laws Enforcement Commission, under such regulations and subject to such restrictions as it may prescribe, may permit the executors or administrators of the estate of any deceased licensee, or the trustees of an insolvent or bankrupt licensee, or the legal guardian of a licensee who has been adjudged to be incompetent or insane, to exercise the privileges under any license held by him for such period as the ABLE Commission may deem equitable during the administration of the deceased or bankrupt licensee's estate, but not to exceed two (2) years.  A license may not be transferred to a new location, except upon application to the ABLE Commission and endorsement on the license by the ABLE Commission showing the new location.  An application for transfer of license shall be accompanied by a certificate reflecting, as to the proposed new location, compliance with municipal zoning ordinances or county zoning regulations and municipal or county fire, safety and health codes as required by Section 523 of this title.  A mixed beverage or bottle club licensee who transfers his license to a new location shall pay a transfer fee of One Hundred Dollars ($100.00) to the ABLE Commission.



§37532.1.  Display of license  Authorized use  Effect of suspension of license on other licenses.

All licenses issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act shall be displayed in a conspicuous place at all times on the licensed premises.  No licensee may consent to or allow the use or display of his license by a person other than the person to whom the license was issued.  No person may use a license or exercise any privileges granted by the license except at the place, address, premises or location for which the license is issued, except as otherwise provided by the Oklahoma Alcoholic Beverage Control Act.

If the mixed beverage, caterer or bottle club license for a licensed premises is suspended or revoked by the ABLE Commission, all other licenses issued by the ABLE Commission for such premises shall cease to be valid.  If a mixed beverage, caterer or bottle club license is suspended or revoked for any licensed premises, this shall not invalidate licenses held by the licensee for other licensed premises.


Added by Laws 1985, c. 6, § 89, emerg. eff. March 14, 1985.  

§37-532.2.  Mixed beverage licensee or beer and wine licensee - Transfer of financial interest in licensed premises.

A.  If a mixed beverage licensee sells or otherwise transfers his financial interest in a licensed premises to another party who obtains a mixed beverage license for the premises, any alcoholic beverages on said premises may be transferred to the new licensee.  Provided, if the premises are not in continuous operation as a mixed beverage establishment prior to and during the transfer of financial interest in the premises, said transfer of alcoholic beverages shall be limited to alcoholic beverages in the original container which have not been opened and which have not had the seal broken and the original cap or cork removed.

B.  If a beer and wine licensee sells or otherwise transfers his financial interest in a licensed premises to another party who obtains a beer and wine license for the premises, any beer and wine on said premises may be transferred to the new licensee.  Provided, if the premises are not in continuous operation as a beer and wine establishment prior to and during the transfer of financial interest in the premises, said transfer of beer and wine shall be limited to beer and wine in the original containers which have not been opened and which have not had the seal broken and the original cap or cork removed.

C.  There shall be no liability on the part of, and no cause of action of any nature shall arise against the ABLE Commission, the Director, or the staff of the ABLE Commission for the contents of any alcoholic beverages transferred pursuant to the provisions of this section.

Added by Laws 1987, c. 205, § 6, operative July 1, 1987.  Amended by Laws 1994, c. 361, § 11.


§37533.  Sales to wholesaler without discrimination or inducement.

Any manufacturer or subsidiary of a manufacturer who markets his or its products solely through a subsidiary or subsidiaries, a distiller, rectifier, bottler, winemaker, brewer, or importer of alcoholic beverages, bottled or made in a foreign country, either within or without this state, shall be required to sell such brands or kinds of alcoholic beverages to every licensed wholesaler or Class B wholesaler who desires to purchase the same, on the same price basis and without discrimination or inducements, and shall further be required to sell such beverages only to those persons licensed as wholesalers or Class B wholesalers.

No manufacturer shall require a wholesaler or Class B wholesaler to purchase any alcoholic beverages or any goods, wares or merchandise as a condition to the wholesaler or Class B wholesaler obtaining or being entitled to purchase any alcoholic beverages.

Violation of this section shall be a misdemeanor.  Conviction hereunder shall automatically revoke the violator's license.


Laws 1959, p. 157, § 33.  

§37534.  Package store license.

A.  No package store license shall be issued for premises unless said premises are separated from premises on which any other goods, wares or merchandise are sold or services are rendered by nontransparent walls which may be broken by a passageway to which the public is not admitted.  Provided, it shall be unlawful for any person or persons to take any alcoholic beverage from such store through said passageway for the purpose of selling, reselling, or delivering in connection with the sale of said alcoholic beverage. Such licenses shall apply only to the premises described in the application.  No person may own any interest in more than one package store.  For the purpose only of establishing whether or not a person owns an interest in more than one package store license, the spouse of any person or partner and any person having a beneficial interest in any package store shall be deemed to be a partner in said package store.  A beneficial interest shall be any interest that benefits from any sales or profits of said package store.

B.  Package stores licensed under the Oklahoma Alcoholic Beverage Control Act may sell only alcoholic beverages in retail containers as defined in Section 506 of this title, in the original package for consumption off the premises.  Provided, all alcoholic beverages are to be sold at ordinary room temperature. All retail sales shall be made on the licensed premises and all deliveries off the premises, at retail, of intoxicating liquor or beer are hereby prohibited.


Amended by Laws 1985, c. 6, § 30, emerg. eff. March 14, 1985.  

§37-534.1.  Sale of alcoholic beverages packaged with nonalcoholic promotional items - Provision of packaging by manufacturer or agent - Equal access by retail package store licensees.

A.  A retail package store may offer for sale and sell alcoholic beverages which are packaged or are to be packaged with nonalcoholic promotional items, if such packaging and all nonalcoholic promotional items are provided by the manufacturer or agent of the manufacturer at the expense of the manufacturer or agent of the manufacturer, regardless of where such packages are assembled.

B.  The manufacturer or agent of the manufacturer may provide such packaging and any nonalcoholic promotional items to the retail package store licensee at the retail package store premises, or otherwise, and may deliver such packaging and all nonalcoholic promotional items provided by the manufacturer or agent to the retail package store licensee by means of common carrier, or otherwise, at no expense to the retailer, for the retail package store licensee to incorporate the alcoholic beverage product of the manufacturer into the manufacturer's packaging or with such promotional items.

C.  The manufacturers of alcoholic beverages, through their agents, must make access to the packaging for such alcoholic beverages with nonalcoholic promotional items available equally to retail package store licensees in this state.  Such access to the promotional packaging is subject to the reasonable supplies of such packaging and subject to the terms of the manufacturer's promotion.  Such access to the manufacturer's packaging by the retail package store licensees shall be commensurate to the needs of the retail package store licensee based on the stock of the manufacturer's product carried by the retailer.  The manufacturers shall only be required to carry reasonable supplies of such promotional packages and shall make a good faith effort to ratably distribute such packaging or items to those retail package store licensees who desire such packaging or items.

Added by Laws 1994, c. 361, § 1.


§37-535.  Financial interest in premises by manufacturers, wholesalers, etc., prohibited - Loans and credits to retailers unlawful.

It shall be unlawful for any manufacturer, wholesaler, Class B wholesaler, or person authorized to sell alcoholic beverages to a wholesaler, or any employee, officer, director, stockholder owning fifteen percent (15%) or more of the stock, any type of partner, manager, member or agent thereof, to directly or indirectly:

1.  Have any financial interest in any premises upon which any alcoholic beverage or light beer is sold at retail or in any business connected with the retailing of alcoholic beverages or light beer as defined in Section 506 of this title;

2.  Lend any money or other thing of value, or to make any gift or offer any gratuity, to any package store, mixed beverage, beer and wine or bottle club licensee or caterer;

3.  Guarantee any loan or the repayment of any financial obligation of any retailer, mixed beverage, beer and wine or bottle club licensee or caterer;

4.  Require any wholesaler, Class B wholesaler, retailer, mixed beverage, beer and wine licensee or caterer to purchase and dispose of any quota of alcoholic beverages, or to require any retailer to purchase any kind, type, size container, or brand of alcoholic beverages in order to obtain any other kind, type, size container, or brand of alcoholic beverages;

5.  Sell to any retailer, mixed beverage, beer and wine licensee or caterer any alcoholic beverage on consignment, or upon condition, or with the privilege of return, or on any condition other than a bona fide sale; provided, the delivery in good faith, through mistake, inadvertence, or oversight, of alcoholic beverage that was not ordered by a retailer, mixed beverage licensee, beer and wine licensee, caterer or special event licensee to such licensee shall not be considered a violation of this paragraph, as long as action is taken to correct the error and all invoices and records of the transaction are corrected.  There shall be no time period imposed by the ABLE Commission for notification of or correction of the error; or

6.  Extend credit to any retailer, other than holders of Federal Liquor Stamps on United States government reservations and installations, mixed beverage or beer and wine licensee or caterer other than a state lodge located in a county which has approved the retail sale of alcoholic beverages by the individual drink for onpremises consumption.  The acceptance of a postdated check or draft or the failure to deposit for collection a current check or draft by the second banking day after receipt shall be deemed an extension of credit.  Violation of this subsection shall be grounds for suspension of the license.

Added by Laws 1959, p. 158, § 35.  Amended by Laws 1985, c. 6, § 31, emerg. eff. March 14, 1985; Laws 1987, c. 180, § 6, emerg. eff. June 29, 1987; Laws 1989, c. 351, § 6, eff. Nov. 1, 1989; Laws 1994, c. 361, § 12; Laws 1995, c. 192, § 10, eff. Sept. 1, 1995; Laws 2000, c. 360, § 3, eff. July 1, 2000.


§37-535.1.  Mixed beverage, beer and wine, caterer or bottle club licensees, officers, directors or stockholder of corporate licensee owning more than 15% of stock - Limitations on rights and interests.

No mixed beverage, beer and wine, caterer or bottle club licensee, partner in any type of partnership, manager or member of a limited liability company, officer, director or stockholder of any corporate licensee owning more than fifteen percent (15%) of the stock shall have any right, title, lien, claim or interest, financial or otherwise in, upon or to the premises, equipment, business or merchandise of any package store, manufacturer or wholesaler.  The provisions of this section shall not prohibit a person who is an officer or director of a fraternal or veteran's organization which is a tax exempt organization under Section 501(c)(8), (10) or (19) of the Internal Revenue Code and which holds a license issued by the ABLE Commission from having a right, title, lien, claim, or interest in the premises, equipment, business, or merchandise of a package store.

Added by Laws 1985, c. 6, § 71, emerg. eff. March 14, 1985.  Amended by Laws 1985, c. 195, § 9, emerg. eff. June 26, 1985; Laws 1987, c. 70, § 1, emerg. eff. May 6, 1987; Laws 1994, c. 361, § 13; Laws 1995, c. 192, § 11, eff. Sept. 1, 1995.


§37-535.2.  Limitations on rights and interests in mixed beverage, beer and wine, caterer or bottle club licensees.

No manufacturer, wholesaler, partner in any type of partnership, manager or member of a limited liability company, or officer, director or stockholder of any nonresident seller or manufacturer licensee, owning more than fifteen percent (15%) of the stock shall have any right, title, claim or interest, financial or otherwise in, upon or to the premises, equipment, business or merchandise of any mixed beverage, beer and wine, caterer or bottle club licensee.

Added by Laws 1985, c. 6, § 72, emerg. eff. March 14, 1985.  Amended by Laws 1985, c. 195, § 10, emerg. eff. June 26, 1985; Laws 1994, c. 361, § 14; Laws 1995, c. 192, § 12, eff. Sept. 1, 1995.


§37-535.3.  Interactive entertainment facilities - Mixed beverage license.

A.  As used in this section:

1.  "Interactive entertainment facility" means premises that feature interactive computer and video entertainment attractions, themed merchandise, food, alcoholic beverages, and low-point beer; and

2.  "Main purpose of the business" means that the total gross income derived from interactive entertainment exceeds the total gross income derived from the sale, mixing, or serving of alcoholic beverages and low-point beer.

B.  Nothing in Sections 535, 535.1 or 535.2 of Title 37 of the Oklahoma Statutes shall be construed as prohibiting the issuance, transfer, or renewal of any mixed beverage license to any person or corporation with respect to premises that are an integral part of an interactive entertainment facility in which a manufacturer, nonresident seller, distiller, or rectifier has an interest, directly or indirectly, of less than thirty percent (30%) if all the following conditions are met:

1.  The main purpose of the business conducted within the facility is providing interactive entertainment, not the sale of alcoholic beverages;

2.  The mixed beverage licensee shall serve other brands of wine, low-point beer, and alcoholic beverages in addition to the brands manufactured, produced, or distributed by any distiller, rectifier, nonresident seller, or manufacturer that has a direct or indirect interest in the mixed beverage license;

3.  No more than twenty percent (20%) of the mixed beverage licensee's purchases of alcoholic beverages for sale on its licensed premises shall be products manufactured, produced, or distributed by the manufacturer, distiller, rectifier, or nonresident seller that has a direct or indirect interest in the licensed premises;

4.  The licensee purchases all alcoholic beverages and low-point beer sold on the premises from wholesalers that are licensed in Oklahoma;

5.  The distiller, rectifier, nonresident seller, or manufacturer does not control, directly or indirectly, the day-to-day operation of the licensed premises; and

6.  Officers, directors, and employees of the distiller, rectifier, nonresident seller, or manufacturer do not serve as officers or directors of the entity operating the licensed premises.

Added by Laws 2000, c. 107, § 4, eff. Nov. 1, 2000.


§37536.  Price discrimination  Rebates.

A.  It shall be unlawful for any person privileged to sell alcoholic beverages to wholesalers or retailers:

1.  To discriminate, directly or indirectly, in price between one wholesaler and another wholesaler or between one retailer and another retailer purchasing alcoholic beverages bearing the same brand or trade name and of like age and quality; or

2.  To grant, directly or indirectly, any discount, rebate, free goods, allowance or other inducement.

B.  The Alcoholic Beverage Laws Enforcement Commission is hereby authorized to promulgate rules which are necessary to carry out the purpose of this section and to prevent its circumvention by offering or giving of any rebate, allowance, free goods, discount or any other thing or service of value; provided, that the posting of charges per order for processing minimum orders or per case for the handling or repacking of goods by wholesalers for sales in less than full case lots shall not constitute a violation of this section.

C.  For the violation of any provision of this section or of any rule duly promulgated under this section, the ABLE Commission may suspend or revoke a license as follows:  For the first offense, not exceeding ten (10) days' suspension of license; for a second offense, not exceeding thirty (30) days' suspension of license; and for a third offense, the ABLE Commission shall revoke the license.

Laws 1959, p. 158, § 36; Laws 1982, c. 121, § 1; Laws 1985, c. 6, § 32, emerg. eff. March 14, 1985; Laws 1993, c. 180, § 3, emerg. eff. May 13, 1993.


§37536.1.  Limitation on price of distillers' sales.

No distiller shall sell alcoholic beverages to a wholesaler licensed under the Oklahoma Alcoholic Beverage Control Act at a rate higher than the lowest rate at which such distiller sells in any other state.


Amended by Laws 1985, c. 6, § 33, emerg. eff. March 14, 1985.  

§37-537.  Enumerated prohibited acts.

A.  No person shall:

1.  Knowingly sell, deliver, or furnish alcoholic beverages to any person under twenty-one (21) years of age;

2.  Sell, deliver or knowingly furnish alcoholic beverages to an intoxicated person or to any person who has been adjudged insane or mentally deficient;

3.  Open a retail container or consume alcoholic beverages on the premises of a retail package store;

4.  Import into this state, except as provided for in the Oklahoma Alcoholic Beverage Control Act, any alcoholic beverages; provided, that nothing herein shall prohibit the importation or possession for personal use of not more than one (1) liter of alcoholic beverages upon which the Oklahoma excise tax is delinquent;

5.  Receive, possess, or use any alcoholic beverage in violation of the provisions of the Oklahoma Alcoholic Beverage Control Act;

6.  Transport into, within, or through this state more than one (1) liter of alcoholic beverages upon which the Oklahoma excise tax has not been paid unless the person accompanying or in charge of the vehicle transporting same shall possess a true copy of a bill of lading, invoice, manifest or other document particularly identifying the alcoholic beverages being transported and showing the name and address of the consignor and consignee;

7.  Knowingly transport in any vehicle upon a public highway, street or alley any alcoholic beverage except in the original container which shall not have been opened and the seal upon which shall not have been broken and from which the original cap or cork shall not have been removed, unless the opened container be in the rear trunk or rear compartment, which shall include the spare tire compartment in a vehicle commonly known as a station wagon and panel truck, or any outside compartment which is not accessible to the driver or any other person in the vehicle while it is in motion;

8.  Drink intoxicating liquor in public except on the premises of a licensee of the Alcoholic Beverage Laws Enforcement Commission who is authorized to sell or serve alcoholic beverages by the individual drink or be intoxicated in a public place.  This provision shall be cumulative and in addition to existing law;

9.  Forcibly resist lawful arrest, or by physical contact interfere with an investigation of any infringement of the Oklahoma Alcoholic Beverage Control Act or with any lawful search or seizure being made by an inspector or agent of the ABLE Commission, when such person knows or should know that such acts are being performed by a state, county, or municipal officer, inspector or agent of the ABLE Commission;

10.  Manufacture, duplicate, counterfeit or in any way imitate any bottle club membership card required to be issued by the ABLE Commission without the permission of the Commission;

11.  Consume or possess alcoholic beverages on the licensed premises of a bottle club unless such person possesses a valid membership card for that club issued by the club; or

12.  Knowingly possess any bottle club membership card required to be issued by the ABLE Commission, which has been manufactured, counterfeited, imitated or in any way duplicated without the permission of the Commission.

B.  No licensee of the ABLE Commission shall:

1.  Receive, possess, or sell any alcoholic beverage except as authorized by the Oklahoma Alcoholic Beverage Control Act and by the license or permit which the licensee holds;

2.  Employ any person under the age of twenty-one (21) in the selling or handling of alcoholic beverages.  Provided, that a mixed beverage, beer and wine, caterer, special event or bottle club licensee may employ servers who are at least eighteen (18) years of age, except persons under twenty-one (21) years of age may not serve in designated bar or lounge areas, and a mixed beverage, beer and wine, caterer, special event or bottle club licensee may employ or hire musical bands who have musicians who are under twenty-one (21) years of age if each such musician is either accompanied by a parent or legal guardian or has on their person, to be made available for inspection upon demand by any ABLE Commission officer or law enforcement officer, a written, notarized affidavit from the parent or legal guardian giving the underage musician permission to perform in designated bar or lounge areas;

3.  Give any alcoholic beverage as a prize, premium or consideration for any lottery, game of chance or skill or any type of competition;

4.  Advertise or offer "happy hours" or any other means or inducements to stimulate the consumption of alcoholic beverages including:

a. deliver more than two drinks to one person at one time;

b. sell or offer to sell to any person or group of persons any drinks at a price less than the price regularly charged for such drinks during the same calendar week, except at private functions not open to the public;

c. sell or offer to sell to any person an unlimited number of drinks during any set period of time for a fixed price, except at private functions not open to the public;

d. sell or offer to sell drinks to any person or group of persons on any one day at prices less than those charged the general public on that day, except at private functions not open to the public;

e. increase the volume of alcoholic beverages contained in a drink without increasing proportionately the price regularly charged for such drink during the same calendar week; or

f. encourage or permit, on the licensed premises, any game or contest which involves drinking or the awarding of drinks as prizes.

Provided that the provisions of this paragraph shall not prohibit the advertising or offering of food or entertainment in licensed establishments;

5.  Permit or allow any patron or person to exit the licensed premises with an open container of any alcoholic beverage.  Provided, that this prohibition shall not be applicable to closed original containers of alcoholic beverages which are carried from the licensed premises of a bottle club by a patron, closed original wine containers removed from the premises of restaurants, hotels, and motels, or to closed original containers of alcoholic beverages transported to and from the place of business of a licensed caterer by the caterer or an employee of the caterer; or

6.  Serve or sell alcoholic beverages with an expired license issued by the ABLE Commission.

C.  No package store licensee shall:

1.  Purchase or receive any alcoholic beverage other than from a person holding a brewer, wholesaler or Class B wholesaler license issued pursuant to the Oklahoma Alcoholic Beverage Control Act;

2.  Suffer or permit any retail container to be opened, or any alcoholic beverage to be consumed, on the licensed premises;

3.  Sell, or keep package store premises open for the purpose of selling, any alcoholic beverages at any hour other than between the hours of 10:00 a.m. and 9:00 p.m. Monday through Saturday; provided, that no such sales shall be made, or package store premises be allowed to remain open for the purpose of making such sales, on the day of any General, Primary, Runoff Primary or Special Election while the polls are open whether on a national, state, county or city election or on New Year's Day, Memorial Day, the Fourth of July, Labor Day, Thanksgiving Day or Christmas Day;

4.  Operate a retail package store unless such store shall be located in a city or town having a population in excess of two hundred (200) according to the latest Federal Decennial Census;

5.  Sell any alcoholic beverage on credit; provided that acceptance by a retail liquor store of a cash or debit card, or a nationally recognized credit card, in lieu of actual cash payment does not constitute the extension of credit; provided further, as used in this section:

a. "cash or debit card" means any instrument or device whether known as a debit card or by any other name, issued with or without fee by an issuer for the use of the cardholder in depositing, obtaining or transferring funds from a consumer banking electronic facility,

b. "nationally recognized credit card" means any instrument or device, whether known as a credit card, credit plate, charge plate or by any other name, issued with or without fee by an issuer for the use of the cardholder in obtaining money, goods, services or anything else of value on credit which is accepted by over one hundred merchants;

6.  Offer or furnish any prize, premium, gift or similar inducement to a consumer in connection with the sale of alcoholic beverage, except that goods or merchandise included by the manufacturer in packaging with alcoholic beverages or for packaging with alcoholic beverages shall not be included in this prohibition, but no wholesaler or package store shall sell any alcoholic beverage prepackaged with other goods or merchandise at a price which is greater than the price at which the alcoholic beverage alone is sold;

7.  Permit any person under twenty-one (21) years of age to enter into, remain within or loiter about the licensed premises; or

8.  Pay for alcoholic beverages by a check or draft which is dishonored by the drawee when presented to such drawee for payment; and the ABLE Commission may cancel or suspend the license of any retailer who has given a check or draft, as maker or endorser, which is so dishonored upon presentation.

D.  No wholesaler licensee shall:

1.  Sell or deliver any amount of spirits or wines to any package store licensee on Saturday or Sunday; or

2.  Sell or deliver any amount of spirits or wines to any package store licensee on New Year's Day, Memorial Day, the Fourth of July, Labor Day, Veterans Day, Thanksgiving Day or Christmas Day.

E.  No mixed beverage or beer and wine licensee shall:

1.  Purchase or receive any alcoholic beverage other than from a person holding a wholesaler or Class B wholesaler license issued pursuant to the Oklahoma Alcoholic Beverage Control Act; provided, a mixed beverage or beer and wine licensee whose premises are a restaurant may purchase wine produced at wineries in this state directly from an Oklahoma winemaker as provided in Section 3 of Article XXVIII of the Oklahoma Constitution;

2.  Transport alcoholic beverages from the place of purchase to the licensed premises unless the licensee also holds a private carrier license issued by the ABLE Commission;

3.  Use or allow the use of any mark or label on a container of alcoholic beverage which is kept for sale which does not clearly and precisely indicate the nature of the contents or which might deceive or conceal the nature, composition, quantity, age or quality of such beverage;

4.  Keep or knowingly permit any alcoholic beverage to be kept, brought or consumed on the licensed premises which is not allowed to be sold or served upon such premises; or

5.  Allow any person under twenty-one (21) years of age to enter into, remain within or loiter about the designated bar area of the licensed premises, except for members of a musical band employed or hired as provided in paragraph 2 of subsection B of this section when the band is to perform within such area.

The prohibition in this subsection against persons under twenty-one (21) years of age entering or remaining within the designated bar area of the licensed premises shall not apply, if the licensed premises are closed to the public during a time the premises are legally permitted to be open for business and the premises are used for a private party at which alcoholic beverages may be served to persons twenty-one (21) years of age of older.  Any alcoholic beverages served at a private party on the licensed premises may be purchased from the licensee at a negotiated price or purchased privately and served at the private party on the licensed premises.  Any licensee who desires to conduct such a private party shall notify the ABLE Commission, in writing, at least ten (10) calendar days prior to the private party.  The notification shall include the date, time, and purpose of the private party and any other information the ABLE Commission may deem necessary.

F.  No bottle club licensee shall:

1.  Use or allow the use of any mark or label on a container of alcoholic beverage which does not clearly and precisely indicate the nature of the contents or which might deceive or conceal the nature, composition, quantity, age or quality of any such beverage;

2.  Act as an agent for any bottle club member and purchase any alcoholic beverage for the member;

3.  Use or allow the use of any pool system of storage or purchase of alcoholic beverages;

4.  Allow any person to enter or remain in the designated bar or lounge area of the club unless that person possesses a valid membership card for that club issued by the club;

5.  Sell any alcoholic beverage;

6.  Deliver or furnish to any club member any alcoholic beverage that does not belong to the member;

7.  Serve alcoholic beverages to any person who does not possess a valid membership card for that club issued by the club;

8.  Issue a membership card for the club to a person under twenty-one (21) years of age; or

9.  Allow any person under twenty-one (21) years of age to enter into, remain within or loiter about the designated bar area of the licensed premises, except for members of a musical band employed or hired as provided in paragraph 2 of subsection B of this section when the band is to perform within such area.

The prohibition in this subsection against persons under twenty-one (21) years of age entering or remaining within the designated bar area of the licensed premises shall not apply, if the licensed premises are closed to the public during a time the premises are legally permitted to be open for business and the premises are used for a private party at which alcoholic beverages may be served to persons twenty-one (21) years of age or older.  Any alcoholic beverages served at a private party on the licensed premises may be purchased from the licensee at a negotiated price or purchased privately and served at the private party on the licensed premises.  Any licensee who desires to conduct such a private party shall notify the ABLE Commission, in writing, at least ten (10) calendar days prior to the private party.  The notification shall include the date, time, and purpose of the private party and any other information the ABLE Commission may deem necessary.

G.  No special event or caterer licensee shall:

1.  Purchase or receive any alcoholic beverage other than from a person holding a wholesaler or Class B wholesaler license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act; provided, a special event or caterer licensee may purchase wine produced at wineries in this state directly from an Oklahoma winemaker as provided in Section 3 of Article XXVIII of the Oklahoma Constitution; or

2.  Transport alcoholic beverages from the place of purchase to the licensed premises unless the licensee also holds a private carrier license issued by the ABLE Commission.

H.  No person operating a cafe, restaurant, club, or any place of recreation shall permit any person to be drunk or intoxicated in the person's place of business.

Added by Laws 1959, p. 159, § 37.  Amended by Laws 1961, p. 280, § 1; Laws 1985, c. 6, § 34, emerg. eff. March 14, 1985; Laws 1985, c. 283, § 4, emerg. eff. July 22, 1985; Laws 1989, c. 3, § 4, emerg. eff. March 8, 1989; Laws 1991, c. 198, § 3, emerg. eff. May 16, 1991; Laws 1991, c. 335, § 11, emerg. eff. June 15, 1991; Laws 1994, c. 361, § 15; Laws 1997, c. 364, § 3, eff. Nov. 1, 1997; Laws 2001, c. 78, § 5, eff. Nov. 1, 2001; Laws 2002, c. 460, § 27, eff. Nov. 1, 2002; Laws 2005, c. 196, § 1, eff. Nov. 1, 2005.


NOTE:  Laws 1991, c. 40, § 1 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.


§37-537.1.  Mixed beverage, beer and wine, bottle club, caterer or special event licensee or their officer or agent - Prohibited acts.

No mixed beverage, beer and wine, bottle club, caterer or special event licensee or any employee, manager, operator or agent thereof shall:

1.  Consume or be under the influence of alcoholic beverages during the hours he is on duty.  For the purposes of this section, licensees will be deemed to be on duty from the time he first comes on duty until the time he goes off duty at the end of the shift, including any break periods permitted by management.  This paragraph shall not apply to any person who works on the premises as an entertainer only;

2.  Permit or tolerate any conduct or language which is intended to threaten another with physical harm or any fighting or offensive physical contact, in or upon the licensed premises or areas just outside the licensed premises which are controlled by the licensee;

3.  Permit empty or discarded alcoholic beverage containers to be in public view outside the licensed premises.  All empty or discarded containers shall be disposed of in accordance with ABLE Commission rules and regulations;

4.  Permit any illegal gambling activity, violations of the state narcotic and dangerous drug laws, or prostitution activity or any other criminal conduct to occur on the licensed premises;

5.  Refuse or fail to promptly open a door to the licensed premises upon request of an agent or inspector of the Alcoholic Beverage Laws Enforcement Commission or any other peace officer to enter the premises, when the licensee or employee knows or should know that such request is made by an agent or inspector of the ABLE Commission or any other peace officer.  This provision shall not be construed to deny agents of the ABLE Commission or any other peace officer access at any time to any licensed premises;

6.  Permit a sealed or unsealed container of alcoholic beverage to be removed from the licensed premises.  Provided that restaurants, hotels and motels may permit the removal of closed original wine containers the contents of which have been partially consumed and bottle clubs may permit the removal by a club member of closed original containers of alcoholic beverages belonging to said members.  The provisions of this paragraph shall not be construed to prohibit or restrict hotels or motels who are holders of mixed beverage or beer and wine licenses from allowing alcoholic beverages to be served away from the bar area anywhere on the licensed premises; or

7.  Destroy, damage, alter, remove or conceal potential evidence, or attempt to do so, or refuse to surrender evidence when lawfully requested to do so by an inspector, agent or any other peace officer or incite another person to do any of the above.

Added by Laws 1985, c. 6, § 86, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 16.


§37537.2.  Establishments licensed to sell or serve intoxicating beverages  Prohibited performances, displays or acts.

No owner, operator, partner, manager, or person having supervisory control of any establishment licensed to sell or serve intoxicating beverages shall permit any of the following on or about any commercial premises where intoxicating beverages are dispensed or consumed:

1.  The performance by any person of acts, or simulated acts, of sexual intercourse, masturbation, sodomy, bestiality, oral copulation, flagellation, or any sexual acts which are otherwise prohibited by law;

2.  The actual intentional touching or caressing or fondling by any person of the breasts, anus or genitals;

3.  Any person on the licensed premises while such person is unclothed or in such attire, costume or clothing as to expose to view any portion of the areola of the female breast or any portion of the pubic hair, buttocks or genitals; or

4.  Any person to perform acts of, or acts which simulate, sexual acts which are prohibited by law, or permit any person to use artificial devices or inanimate objects to depict any prohibited activities or permit the showing of films, still pictures, electronic reproductions or other visual reproductions depicting any of the prohibited activities described in this paragraph.


Added by Laws 1988, c. 295, § 2, emerg. eff. July 1, 1988.  

§37-538.  Penalties.

A.  Any person who shall operate a whiskey still with intent to produce alcoholic beverages or any person who shall carry on the business of a distiller without having in his possession a valid and existing distiller's license issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act shall be guilty of a felony and upon conviction be fined not less than Two Thousand Five Hundred Dollars ($2,500.00) nor more than Five Thousand Dollars ($5,000.00), or imprisoned in the State Penitentiary for not more than three (3) years, or both such fine and imprisonment.

B.  Any person who shall file a false or fraudulent return in connection with any tax imposed by the Oklahoma Alcoholic Beverage Control Act, or willfully evade, or attempt to evade, any tax herein levied shall be guilty of a felony and upon conviction be fined not less than Two Thousand Five Hundred Dollars ($2,500.00) nor more than Five Thousand Dollars ($5,000.00), or imprisoned in the State Penitentiary for not more than three (3) years, or both such fine and imprisonment.

C.  Any person who shall knowingly engage in any activity or perform any transaction or act for which a license is required under the Oklahoma Alcoholic Beverage Control Act, not having such license, shall be guilty of a misdemeanor and for the first offense be fined not more than Two Thousand Five Hundred Dollars ($2,500.00) and imprisoned for not less than thirty (30) days nor more than six (6) months, and for a second or subsequent offense shall be guilty of a felony and be fined not more than Two Thousand Five Hundred Dollars ($2,500.00), or imprisoned in the State Penitentiary for not more than one (1) year, or both such fine and imprisonment.

D.  Any person holding a license issued pursuant to the Oklahoma Alcoholic Beverage Control Act who shall sell or deliver alcoholic beverage to any person not entitled to purchase or receive same, except as provided in subsection F of this section, or who shall possess for sale any alcoholic beverage which he is not entitled to sell under his license, or any person who buys any alcoholic beverage, either retail or wholesale, from any person other than a licensed dealer under the terms of the Oklahoma Alcoholic Beverage Control Act, shall be guilty of a misdemeanor and upon conviction be fined not more than One Thousand Five Hundred Dollars ($1,500.00), or imprisoned in the county jail for not more than six (6) months, or both such fine and imprisonment.

E.  Any person under twentyone (21) years of age who shall misrepresent his age in writing or by presenting false documentation of age for the purpose of inducing any person to sell or serve him alcoholic beverage or issue him a bottle club membership card, or who enters or attempts to enter a package store or a separate or enclosed bar area as designated by the ABLE Commission, shall be guilty of a misdemeanor and fined not more than Fifty Dollars ($50.00).  In addition, if a person is convicted or pleads guilty to a violation of the provisions of this subsection in any court having jurisdiction over said offense, the court may order the Department of Public Safety to cancel or deny the offender's privilege to operate a motor vehicle and, upon such order, shall require that the operator's or chauffeur's license, if any, be surrendered to the Department pursuant to Section 6209 of Title 47 of the Oklahoma Statutes.  The cancellation or denial period shall be for one (1) year, or until the person reaches twentyone (21) years of age, whichever is longer.

Any person whose driving privileges are ordered cancelled or denied pursuant to this section may petition the court of original jurisdiction for review of the order.  Upon notice and hearing, the court may modify or withdraw the order as the court deems appropriate except:

1.  A court may not withdraw an order for at least ninety (90) days following the issuance of the order if it is the first such order issued regarding the person named; and

2.  A court may not withdraw an order for at least six (6) months following the issuance of the order if it is the second or subsequent such order issued regarding the person named.

If the Department receives written notice from the court of original jurisdiction that it has withdrawn such an order, the Department shall immediately reinstate any driving privileges that have been canceled or denied under this section, without requiring payment of a reinstatement fee.

F.  Any person who shall knowingly sell, furnish or give alcoholic beverage to a person under twentyone (21) years of age shall be guilty of a felony, and shall be fined not less than Two Thousand Five Hundred Dollars ($2,500.00) nor more than Five Thousand Dollars ($5,000.00), or imprisoned in the State Penitentiary for not more than five (5) years, or both such fine and imprisonment.  The ABLE Commission shall revoke the license of any person convicted of a violation of this subsection.

G.  Any person who shall knowingly sell, furnish or give alcoholic beverage to an insane, mentally deficient, or intoxicated person shall be guilty of a felony, and shall be fined not less than Five Hundred Dollars ($500.00) nor more than One Thousand Dollars ($1,000.00), or imprisoned in the State Penitentiary for not more than one (1) year, or both such fine and imprisonment.

H.  The payment of the special tax required of liquor dealers by the United States by any person within this state without a corresponding state license shall constitute prima facie evidence of an intention to violate the provisions of the Oklahoma Alcoholic Beverage Control Act.

I.  Any person operating a cafe, restaurant, club or any place of recreation who permits any person to be drunk or intoxicated in said place of business shall be guilty of a misdemeanor, and shall be fined not more than One Hundred Dollars ($100.00), or imprisoned for not more than thirty (30) days or by both such fine and imprisonment.

J.  Any person selling or keeping a package store open to sell any alcoholic beverage during any day or hours not authorized by the Oklahoma Alcoholic Beverage Control Act shall be guilty of a misdemeanor.

Added by Laws 1959, p. 160, § 38.  Amended by Laws 1961, p. 280, § 1; Laws 1985, c. 6, § 35, emerg. eff. March 14, 1985; Laws 1988, c. 237, § 3, eff. Nov. 1, 1988; Laws 1997, c. 133, § 451, eff. July 1, 1999; Laws 1999, 1st Ex.Sess., c. 5, § 329, eff. July 1, 1999.


NOTE:  Laws 1998, 1st Ex.Sess., c. 2, § 23 amended the effective date of Laws 1997, c. 133, § 451 from July 1, 1998, to July 1, 1999.


§37538.1.  Removal of certain persons during arrest.

An agent, inspector or any peace officer while making arrests incidental to investigating violations of state law may remove from licensed premises and adjacent areas, customers, employees and those individuals who may pose a threat to public safety or a threat to the safety of agents, inspectors or peace officers for the period of time necessary to effect the arrests and complete the pending investigation.


Added by Laws 1985, c. 6, § 79, emerg. eff. March 14, 1985.  

§37538.2.  Suspension of license during natural disaster or civil disturbance.

In case of natural disaster or civil disturbance the Governor may, for the duration of such natural disaster or civil disturbance thereof, immediately suspend without notice any license granted under the provisions of the Oklahoma Alcoholic Beverage Control Act.


Added by Laws 1985, c. 6, § 83, emerg. eff. March 14, 1985.  

§37538.3.  Law enforcement officers to notify ABLE Commission of violations of act.

All law enforcement officers, upon arrest of any holder of a license issued by the Alcoholic Beverage Laws Enforcement Commission for a violation of any state law or municipal ordinance in which the violation of any alcoholic beverage law had any part, shall immediately notify the ABLE Commission thereof.  Such officers shall notify the ABLE Commission of any acts, practices or other conduct of any such licensee which may be subversive to the general welfare or contrary to the spirit of the Oklahoma Alcoholic Beverage Control Act and shall recommend appropriate action to be taken by the ABLE Commission.


Added by Laws 1985, c. 6, § 85, emerg. eff. March 14, 1985.  

§37539.  Search warrant  Seizure and destruction  Forfeiture and sale.

A.  A search warrant may be issued pursuant to the provisions of Sections 1221 through 1264 of Title 22 of the Oklahoma Statutes, as amended, for the purpose of searching for, seizing, destroying or holding any alcoholic beverages possessed, sold, transported, manufactured, kept, or stored in violation of the Oklahoma Alcoholic Beverage Control Act; for the purpose of searching for and seizing any apparatus, vehicle, equipment, or instrumentality used for, or intended for use in, manufacturing or transporting any alcoholic beverage in violation of the Oklahoma Alcoholic Beverage Control Act; and all such property shall be forfeited to the State of Oklahoma.  This section shall not be construed to require a search warrant for duly authorized agents of the Alcoholic Beverage Laws Enforcement Commission to enter upon and inspect any licensed premises, but such right of entry and inspection shall be a condition on which every license shall be issued and the application for, and acceptance of, any license hereunder shall conclusively be deemed to be consent of the applicant and licensee to such entry and inspection.

B.  Any alcoholic beverages upon which the appropriate federal excise tax has not been paid at the time of seizure under this section shall be destroyed by the sheriff who seized the same or to whom the same has been delivered in accordance with the provisions of Section 1261 of Title 22 of the Oklahoma Statutes, as amended, after the same is no longer needed as evidence in any criminal prosecution.  All other property, including alcoholic beverages upon which the appropriate federal excise tax has been paid, seized under this section shall be forfeited to the State of Oklahoma by order of the court issuing the process by virtue of which such property was seized, or before which the persons violating the law, or to which such property was taken by the officer or officers making the seizure.  Said court shall, without a jury, order an immediate hearing as to whether the property so seized was subject to seizure under this section, and take such legal evidence as is offered, and determine the same as in civil cases.  If the court finds from a preponderance of the evidence that the property so seized was subject to seizure under this section, it shall render judgment accordingly and order said property forfeited to the State of Oklahoma unless seized by county or municipal law enforcement officers in which case said property shall be forfeited to the county or municipality, whichever is appropriate, in which the seizure of the property took place.  Such seized property shall be sold by the officer having the same in charge, after giving ten (10) days' notice by one publication in a legal newspaper of the county or, if no legal newspaper is published in said county, after five notices of such sale have been posted in conspicuous places in the city or town wherein such sale is to be made, at least ten (10) days before such sale.  Appeal from such an order may be taken as in civil cases.  When such property is sold under the provisions of this section, the proceeds thereof shall be distributed as follows: First, to the payment of the costs of the case in which the order of forfeiture was made and the actual expenses of preserving the property; and second, the remainder shall be deposited with the county or municipal treasurer of the county or municipality in which the seizure took place if the property was seized by county or municipal law enforcement officials or with the State Treasurer to the credit of the General Revenue Fund of the State of Oklahoma in all other cases.


Amended by Laws 1985, c. 6, § 36, emerg. eff. March 14, 1985.  

§37-540.  Reporting method of taxing alcoholic beverages - Labeling of 3.2 beer - Payment of tax.

A.  The Oklahoma Tax Commission shall promulgate rules to implement a reporting method of taxing all alcoholic beverages sold or delivered in this state to eliminate the use of any type of stamps.

B.  Every manufacturer or brewer manufacturing or brewing any beer in this state, for sale in this state, and every manufacturer or brewer outside of the state, shipping any beer into this state, shall cause to be printed, upon an affixed label around and upon the body of each bottle or upon the top or the lid of each can of such beer, a symbol or other designation, approved by the Tax Commission, that will serve to indicate that the beer has an alcoholic content in excess of three and two-tenths percent (3.2%) by weight, and such other information as the Tax Commission may require.  Brewers shall be required to submit samples of crowns, tops and labels to the Tax Commission for approval.

C.  Payment of the excise tax levied by the Oklahoma Alcoholic Beverage Control Act, Section 501 et seq. of this title, with respect to beer shall be made by the manufacturer or brewer as to all beer produced by such brewer within the state for sale within this state, and shall be made by the importing manufacturer or Class B wholesaler who is the original consignee of beer manufactured or produced outside of this state as to all beer imported into this state by such importing licensee.  It is the duty of each Oklahoma licensed brewer with respect to beer produced by such brewer within this state, and of each Oklahoma licensed Class B wholesaler as to beer produced outside of this state and imported into this state by such Class B wholesaler, to pay the excise tax on such beer to the Oklahoma Tax Commission as hereinafter provided.

D.  Notwithstanding any other provision of law, the tax levied by the Oklahoma Alcoholic Beverage Control Act shall be part of the gross proceeds or gross receipts from the sale of alcoholic beverages, as those terms are defined in paragraph 7 of Section 1352 of Title 68 of the Oklahoma Statutes.

Added by Laws 1959, p. 162, § 40.  Amended by Laws 1980, c. 143, § 1, operative Jan. 1, 1981; Laws 1985, c. 6, § 37, emerg. eff. March 14, 1985; Laws 1993, c. 207, § 1, eff. Sept. 1, 1993; Laws 1994, c. 104, § 1, eff. Sept. 1, 1994; Laws 1999, c. 390, § 2, emerg. eff. June 8, 1999; Laws 2001, c. 78, § 6, eff. Nov. 1, 2001.


§37541.  Credits and refunds.

The Tax Commission shall have authority to allow credit for or make refunds of any money paid for stamps issued by the Oklahoma Tax Commission in payment of state excise tax by the manufacturer pursuant to authority granted by the Tax Commission.  All applications to the Tax Commission for credit or replacement under the provisions of this section shall be verified by affidavit and all proof and evidence supporting such application shall be made in strict conformity with the rules and regulations of the Tax Commission setting forth the requirements in connection with such evidence and application.


Amended by Laws 1985, c. 6, § 38, emerg. eff. March 14, 1985.  

§37542.  Payment of beer tax  Verified monthly report.

A.  Payment of the excise tax levied by Section 553 of the Oklahoma Alcoholic Beverage Control Act with respect to beer shall be made by the brewer or the Class B wholesaler as herein provided. The tax shall be due and payable on the first day of each month for the preceding calendar month and if not paid on or before the tenth day of each month shall thereafter be delinquent.

B.  Every brewer, and Class B wholesaler, shall make and transmit to the Oklahoma Tax Commission on or before the tenth day of each calendar month, upon a form prescribed and furnished by the Tax Commission, an itemized and verified report, for the preceding calendar month, showing the following information:

1.  Total quantity and description of opening inventory of beer as of the first day of said month;

2.  Total receipts and acquisitions during month from every source.  This shall be itemized showing imports and purchases within and without this state separately; the kind and quantity of each type of beer as shown by the shipper's or seller's invoices thereof; the date of each purchase; the amounts purchased; the date received; the person from whom purchased; the manifest, bill of lading or delivery invoice number of each shipment, which number shall be the number used by the original seller as shown on the basic shipping records which accompany the shipment; the point of origin and point of destination of each shipment; and the name and Alcoholic Beverage Laws Enforcement Commission license number of the carrier if shipped by carrier;

3.  The kind and quantity of all beer sold or withdrawn from stock for sale, use or consumption in the State of Oklahoma during the preceding calendar month; the date of each sale; the kind and quantity of beer in each sale; the name, address and ABLE Commission license number of each purchaser, the manifest, bill of lading or delivery invoice number, which number shall be the number as shown on the basic shipping records which accompany the delivery; and the name and ABLE Commission license number of the carrier if shipped by carrier;

4.  All nontaxable sales and dispositions made during said month, including exports and sales and deliveries to military installations located within this state, shall be reported and information in reference to each such nontaxable sale, disposition, and export shall be shown in detail as is required for sales in the State of Oklahoma and shall be supported by evidence satisfactory to the Oklahoma Tax Commission;

5.  Closing inventory of beer as of the last day of the calendar month; and

6.  Such other information pertaining to the brewer's, and Class B wholesaler's, beginning inventory of beer, receipts or acquisitions thereof, sales and dispositions thereof, and the closing inventory, as the Oklahoma Tax Commission may, by form or regulation, require.

C.  Every brewer, and Class B wholesaler, at the time of making the monthly report required by this section, shall remit to the Oklahoma Tax Commission the total amount of the excise tax due as shown by said report.

It shall be unlawful for any brewer, or Class B wholesaler, to sell or offer for sale any beer while delinquent in the payment of any excise tax due the state.

D.  Reports and remittances, as required herein, which are mailed on the tenth day of the month and received by the Oklahoma Tax Commission subsequent to the tenth of the month in which the excise tax is payable, shall be deemed to have been received by the Tax Commission before becoming delinquent.  Postmark or registry receipt showing deposit in the United States mails shall be conclusive evidence of the date of mailing.  The time for filing returns and paying the excise tax levied by the Oklahoma Alcoholic Beverage Control Act shall not be extended.

E.  If upon investigation it is determined by the Oklahoma Tax Commission that any nontaxable disposition or sale claimed by any brewer or Class B wholesaler is not supported by a valid invoice, or is fraudulently or falsely claimed in any manner by such brewer or Class B wholesaler or any agent of such licensee, the Tax Commission shall disallow any such deduction and shall assess and collect the tax, together with the penalty and interest thereon, on the total amount of the disallowed deduction taken by said licensee.

F.  The taking and claiming of any deduction not authorized by law, upon a report by any brewer or Class B wholesaler, or the failure to file monthly reports or to pay any excise tax due, shall constitute grounds for the revocation of such person's license by the ABLE Commission and the Tax Commission shall promptly notify such ABLE Commission of all such cases.


Amended by Laws 1985, c. 6, § 39, emerg. eff. March 14, 1985.  

§37543.  Monthly report by importers of alcoholic beverages.

A.  Every wholesaler, or other person authorized under the Oklahoma Alcoholic Beverage Control Act to import alcoholic beverages into this state, shall make and transmit to the Oklahoma Tax Commission on or before the tenth day of each month, upon a form prescribed and furnished by the Oklahoma Tax Commission, an itemized and verified report for the preceding calendar month, showing the following information:

1.  Opening inventory of alcoholic beverages other than beer;

2.  Total receipts and acquisitions during month from every source.  This shall be itemized showing imports and purchases from within and without this state separately; the kind, proof and quantity of each type of alcoholic beverages as shown by the shipper's or seller's invoices thereof; the date of each purchase; the amount purchased; the date received; the person from whom purchased; the manifest, bill of lading or delivery invoice number of each shipment, which number shall be the number used by the original seller as shown on the basic shipping records which accompany the shipment; and the point of origin and point of destination of each shipment;

3.  The kind and quantity of all alcoholic beverages sold or withdrawn from inventory for sale, use, or consumption during the calendar month; the date of each sale; and the kind, proof and quantity of alcoholic beverages in each sale; the name, address and Alcoholic Beverage Laws Enforcement Commission license number of each purchaser, and the manifest, bill of lading or delivery invoice number, which number shall be the number as shown on the basic shipping records which accompany the delivery;

4.  All nontaxable sales and dispositions made during said month, supported by evidence satisfactory to the Oklahoma Tax Commission;

5.  Closing inventory of alcoholic beverages as of the last day of the calendar month; and

6.  Such other information pertaining to the wholesaler's beginning inventory of alcoholic beverages, receipts or acquisitions thereof, sales and dispositions thereof, and closing inventory, as the Oklahoma Tax Commission may by form or regulation require.

B.  If upon investigation it is determined by the Oklahoma Tax Commission that any nontaxable disposition or sale claimed by any licensee is not supported by a valid invoice, or is fraudulently or falsely claimed in any manner by such licensee or any agent of such licensee, the Oklahoma Tax Commission shall disallow any such deduction and shall assess and collect the excise tax, together with the penalty and interest thereon, on the total amount of the disallowed deduction taken by said licensee.

C.  The taking and claiming of any deduction not authorized by law, upon a report by any wholesaler or the failure to file monthly reports or pay any excise tax due, shall constitute grounds for the revocation of such person's license, distributor permit or wholesaler permit by the ABLE Commission and the Oklahoma Tax Commission shall promptly notify the ABLE Commission of all such cases.


Amended by Laws 1985, c. 6, § 40, emerg. eff. March 14, 1985.  

§37-543.1.  Distributor permits - Wholesaler permits - Applications.

A.  All manufacturers, importers, brokers and others who sell alcoholic beverages to a wholesaler in Oklahoma, regardless of whether the sale is consummated within or without the State of Oklahoma, shall obtain a distributor permit from the Oklahoma Tax Commission.

B.  Any person having a Wholesaler's License shall obtain a wholesaler permit from the Tax Commission.

C.  A distributor permit or wholesaler permit may be obtained by filing a verified permit application with the Tax Commission on a form furnished by the Tax Commission.

Added by Laws 1980, c. 143, § 11, operative Jan. 1, 1981.  Amended by Laws 2001, c. 78, § 7, eff. Nov. 1, 2001.


§37543.2.  Issuance of distributor or wholesaler permit  Duties of permit holders.

A.  The Oklahoma Tax Commission, as provided by the Uniform Tax Procedure Code, may issue a distributor permit or wholesaler permit to any person who sells alcoholic beverages to a wholesaler or to any person having a wholesaler license.

B.  Each wholesaler shall furnish a copy of the wholesaler permit to manufacturers, importers, brokers and others who sell alcoholic beverages prior to purchasing alcoholic beverages from a holder of a distributor permit.  Each manufacturer, importer, broker and other who sells alcoholic beverages shall furnish a copy of the distributor permit to the wholesaler prior to selling alcoholic beverages to a wholesaler.

C.  Holders of distributor permits or wholesaler permits shall maintain an itemized and verified record for the preceding calendar month of all sales or purchases of alcoholic beverages and shall transmit the verified record to the Oklahoma Tax Commission on or before the tenth day of each month, upon a form prescribed and furnished by the Tax Commission.  Permit holders shall maintain records of sales and purchases of alcoholic beverages for three (3) years.


Amended by Laws 1985, c. 6, § 41, emerg. eff. March 14, 1985.  

§37545.  Unstamped beverages as contraband.

A.  All bottles or other original containers of alcoholic beverages in the possession of any person upon which the taxes have not been paid as required by the Oklahoma Alcoholic Beverage Control Act and the rules and regulations thereunder are declared to be contraband.  Any duly authorized officer or employee of the Alcoholic Beverage Laws Enforcement Commission or Oklahoma Tax Commission is authorized to seize the same, and such containers of alcoholic beverages so seized shall be subject to confiscation and forfeiture by the ABLE Commission as hereinafter provided.

B.  If, upon examination of invoices or from other investigation, the Tax Commission or the ABLE Commission finds that any alcoholic beverages, except beer, have been sold without tax payment as required by the Oklahoma Alcoholic Beverage Control Act, the Tax Commission shall have the power to require such person to pay to the Tax Commission as such tax a sum equal to twice the amount of the tax due.  If any person is unable to furnish evidence to the Tax Commission of excise tax payment to cover purchases of alcoholic beverages, except beer, made by such person, the prima facie presumption shall arise that such alcoholic beverages were sold without excise tax payment.

It is expressly provided, except where specific provisions of the Oklahoma Alcoholic Beverage Control Act require otherwise, that the procedures and remedies contained in the Uniform Tax Procedure Code, of the Oklahoma Statutes in connection with the making of assessments, and the enforcement and collection thereof, the penalties and interest to be applied, all lien and tax warrant provisions, all incidental remedies, including procedure for an injunction, and all other provisions of the Uniform Tax Procedure Code which may be applied or used to enforce the provisions of the Oklahoma Alcoholic Beverage Control Act, shall be applicable and available to the Oklahoma Tax Commission in administering the provisions hereof and collecting the taxes herein levied on alcoholic beverages.


Amended by Laws 1985, c. 6, § 43, emerg. eff. March 14, 1985.  

§37546.  Examination of licensed premises for contraband.

Any officer or enforcement employee of the Alcoholic Beverage Laws Enforcement Commission or Oklahoma Tax Commission shall have power and authority, without a warrant, to enter and examine the licensed premises of all licensees to determine whether any licensee has in his possession any container of alcoholic beverage upon which the taxes have not been paid as required by the Oklahoma Alcoholic Beverage Control Act and the rules and regulations thereunder, and if such officer or employee shall find any such container of alcoholic beverages he shall immediately seize the same.  Such officers and employees of the ABLE Commission or Oklahoma Tax Commission shall be given free access to and shall not be hindered or interfered with in their examination of the licensed premises of any licensees, and, in case any such officer or employee is denied free access or is hindered or interfered with in making such examination, any license held by the person preventing such free access or interfering with or hindering such officer or employee shall be subject to suspension or revocation.

§37547.  Hearing concerning seized beverages.

A.  After the seizure of such container of alcoholic beverage upon which the taxes have not been paid, any officer or employee of the Alcoholic Beverage Laws Enforcement Commission, designated in writing by the Director, shall hold a hearing to determine whether the container of alcoholic beverage seized did not have the necessary taxes paid as required by the Oklahoma Alcoholic Beverage Control Act and the rules and regulations thereunder.  The ABLE Commission shall give not less than seven (7) days' notice of the time and place of such hearing to the owner of such container of alcoholic beverage if he is known, and also to the person in whose possession such container was found if such person is known and if such person in possession is not the owner of said property.  The Director, or any officer or employee of the ABLE Commission, designated to conduct such hearing, shall have power to administer oaths, and the power to issue subpoenas requiring the attendance of and the giving of testimony by witnesses, and subpoenas duces tecum requiring the production of books, papers, records and memoranda.

B.  Pursuant to such hearing, the ABLE Commission shall determine whether the container of alcoholic beverage seized did not have the taxes paid as required by the Oklahoma Alcoholic Beverage Control Act and the rules and regulations thereunder, and upon a decision to that effect an order shall be entered that such container of alcoholic beverage is confiscated and forfeited to the State of Oklahoma.  The ABLE Commission shall give notice of such order to the owner of such container of alcoholic beverage if he is known and also to the person in whose possession said property so taken was found if such person is known and if such person in possession is not the owner of said property.


Amended by Laws 1985, c. 6, § 44, emerg. eff. March 14, 1985.  

§37548.  Sale of forfeited alcoholic beverages.

After an order of forfeiture, and when a proceedings for judicial review of the order has been concluded or the time for judicial review has expired, the Alcoholic Beverage Laws Enforcement Commission, to the extent that its order is sustained on review, shall sell such forfeited alcoholic beverage at such time and place and in such manner as it deems advisable. Proceeds of such sales shall be deposited with the State Treasurer for the credit of the General Revenue Fund of the State of Oklahoma.


Amended by Laws 1985, c. 6, § 45, emerg. eff. March 14, 1985.  

§37549.  Possession of more than one liter of alcoholic beverages on which tax unpaid.

Every person who shall have in his possession more than one (1) liter of alcoholic beverages, the bottle or other original container upon which the excise tax levied by Section 553 of this title has not been paid as provided for by the Oklahoma Alcoholic Beverage Control Act, shall be guilty of a misdemeanor, and if such person is the holder of a license under this act such license shall be subject to revocation or suspension by the Alcoholic Beverage Laws Enforcement Commission.  The ABLE Commission may adopt rules and regulations for hearings on a revocation of a license for violation of the provisions of this section.  Provided the ABLE Commission may suspend any license for a violation of this section for a period of thirty (30) days with notice of hearing as the ABLE Commission may determine.


Amended by Laws 1985, c. 6, § 46, emerg. eff. March 14, 1985.  

§37550.  Erasure, removal etc. of certain information from containers or cases  Misdemeanor.

Any person who erases, removes, obliterates, destroys, or renders illegible in any manner any serial numbers, marks, brands, legends, license numbers, case numbers or other information required by the Oklahoma Alcoholic Beverage Control Act or by Acts of Congress to be attached or placed upon any original containers or cases containing alcoholic beverages, before the contents of such packages or cases have been entirely removed, is guilty of a misdemeanor.


Amended by Laws 1985, c. 6, § 47, emerg. eff. March 14, 1985.  

§37551.  Sealing and numbering of cases.

Every manufacturer of alcoholic beverages other than beer shall package, ship, store and deliver same in cases, and no alcoholic beverage other than beer shall be sold, shipped, stored or delivered by any such manufacturer except in sealed cases.  Every manufacturer of alcoholic beverages other than beer shall serially number such cases on the end of the case where the brand and product are identified.  All such cases shall be sealed by tape or such other method as the Alcoholic Beverage Laws Enforcement Commission by rules and regulations may provide so that the contents of such cases cannot be removed without breaking or destroying such seal.  It shall be unlawful for any person to remove the alcoholic beverage contents of a case so sealed without breaking or destroying such seal.  No wholesaler or Class B wholesaler shall receive or accept any alcoholic beverages other than beer in this state except in sealed cases so numbered.  Any holder of a license or permit violating the provisions of this section shall be subject to revocation or suspension of his license.


Amended by Laws 1985, c. 6, § 48, emerg. eff. March 14, 1985.  

§37552.  Keeping of books and records by licensees.

All licensees under the Oklahoma Alcoholic Beverage Control Act shall keep books and records with regard to alcoholic beverages which shall contain such information and itemization thereof as the Alcoholic Beverage Laws Enforcement Commission may prescribe by rules and regulations.  All books, records, inventories, invoices and other accounting documents required by this act shall be kept for three (3) years and shall at all times be available for inspection by duly authorized representatives of the ABLE Commission and Oklahoma Tax Commission.


Amended by Laws 1985, c. 6, § 49, emerg. eff. March 14, 1985.  

§37-553.  Excise tax - Rates - Filing of returns.

A.  Except as provided in paragraph 6 of this subsection, an excise tax is hereby levied and imposed upon all alcoholic beverages imported or manufactured, for sale, use or distribution, or used or possessed in this state at the following rates:

1.  One Dollar and fortyseven cents ($1.47) per liter, and a proportionate rate on fractions thereof, on each liter of spirits;

2.  Nineteen cents ($0.19) per liter, and a proportionate rate on fractions thereof, on each liter of light wine;

3.  Thirtyseven cents ($0.37) per liter, and a proportionate rate on fractions thereof, on each liter of wine containing more than fourteen percent (14%) of alcohol by volume;

4.  Fiftyfive cents ($0.55) per liter, and a proportionate rate on fractions thereof, on each liter of sparkling wine;

5.  Twelve Dollars and fifty cents ($12.50) per barrel (thirtyone (31) wine gallons) and a proportionate rate on portions thereof, on each barrel of beer; and

6.  Beer manufactured in this state for export shall not be taxed.

B.  The excise tax levied on alcoholic beverages except beer under subsection A of this section shall be paid as follows:

1.  Payment of the excise tax levied by this section with respect to all alcoholic beverages, other than beer, shall be made by the person shipping the same into Oklahoma, or in the case of direct imports from foreign countries by the importer, or in the case of alcoholic beverages manufactured in Oklahoma by the first seller thereof;

2.  On and after January 1, 1981, the due and payable excise tax levied by this section shall be made by tax returns filed with the Oklahoma Tax Commission.  The tax returns shall be made under oath by the person liable for the tax on forms prescribed and provided by the Oklahoma Tax Commission and shall be accompanied by payment of the taxes due and any additional sums due as provided by this section.  Invoices describing all alcoholic beverages as described in this section which are shipped into this state or which are first sold in this state shall be delivered to the Oklahoma Tax Commission and to the Alcoholic Beverage Laws Enforcement Commission immediately following shipment of liquors into the state or delivery to the first purchaser.  Tax returns and payment of excise tax and other sums due shall be delivered to the Oklahoma Tax Commission no later than the tenth day of the month immediately succeeding the month of shipment, importation or first sale of the alcoholic beverages as provided in paragraph 1 of this subsection;

3.  All tax returns required to be filed during the twelvemonth period beginning January 1, 1981, shall be accompanied by payment of the excise tax due plus an additional payment in the amount of twenty percent (20%) of said tax.  Up to ten percent (10%) of the total payments made during said period may be made in the form of revenue stamps previously purchased pursuant to Section 540 of this title; and

4.  On and after February 1, 1982, each person required to file a tax return pursuant to this section shall remit the excise tax due, less an amount not to exceed two percent (2%) of the total of the additional payments made by said taxpayer pursuant to paragraph 3 of this subsection.  The total of said deductions shall not exceed the total of the additional payments made pursuant to paragraph 3 of this subsection.  Up to ten percent (10%) of each tax payment made under this subsection may be made in the form of revenue stamps previously purchased pursuant to Section 540 of this title.

C.  For the purpose of collecting and remitting the excise tax imposed under this section, the person liable for such tax is hereby declared to be the agent of the state for such purposes.

D.  Nothing herein shall be construed to impose an additional excise tax on intoxicating beverages held in inventory by wholesalers and retailers upon which the excise tax was paid prior to the effective date of any excise tax increase.

Added by Laws 1959, p. 168, § 53.  Amended by Laws 1971, c. 215, § 1, emerg. eff. June 9, 1971; Laws 1980, c. 143, § 9, operative Jan. 1, 1981; Laws 1984, c. 153, § 5, emerg. eff. April 21, 1984; Laws 1985, c. 6, § 50, emerg. eff. March 14, 1985; Laws 1987, c. 113, § 2, operative June 1, 1987; Laws 1987, c. 180, § 5, emerg. eff. June 29, 1987; Laws 1993, c. 146, § 3; Laws 2002, c. 460, § 28, eff. Nov. 1, 2002; Laws 2003, c. 484, § 7, eff. Nov. 1, 2003.


§37554.  Exemptions from excise tax.

A.  The excise tax levied by Section 553 of this title shall not apply to:

1.  alcohol used exclusively for industrial purposes by the holder of an industrial license;

2.  alcohol lawfully withdrawn and used free of tax under a taxfree permit issued by the United States government;

3.  alcoholic beverages used exclusively by licensed physicians and dentists in the bona fide practice of their professions or by licensed pharmacists in compounding prescriptions;

4.  cider and wine made for personal use, as provided in Section 505 of this title;

5.  wine used exclusively for sacramental purposes in bona fide religious ceremonies; and

6.  alcoholic beverages, not exceeding one (1) liter, imported into this state by the possessor for his own personal use.

B.  As a condition precedent to the allowance of any exemption authorized by subsection A of this section:

1.  Where a license or permit is required by the Oklahoma Alcoholic Beverage Control Act, for such use, the person claiming any such exemption must have obtained from the Alcoholic Beverage Laws Enforcement Commission the license or permit authorizing such exempt use; and

2.  There must be furnished such proof of the exclusive use for such exempt purposes as the Oklahoma Tax Commission may require.


Amended by Laws 1985, c. 6, § 51, emerg. eff. March 14, 1985.  

§37554.1.  Cities and towns  Occupation tax.

Cities and towns are hereby authorized to levy an annual occupational tax for the privilege of operating as a retailer, mixed beverage, beer and wine, caterer or special event licensee, bottle club, manufacturer, wholesaler or Class B wholesaler, within their respective jurisdictions, not to exceed the state license fee for such licensees; provided that the aforementioned tax shall be levied only by the city or town in which such licensee has his principal place of business.  This section shall not give any city or town any right to determine or regulate the issuance of any license, except as specifically provided for in this section, as the Alcoholic Beverage Laws Enforcement Commission shall have exclusive authority as to issuance and regulations of said licenses and no city or town may prescribe rules or regulations in conflict with or in addition to the statutes of this state or the rules of the ABLE Commission.

Cities or towns which levy an occupational tax under this section shall make an annual report to the ABLE Commission, covering the fiscal year, showing the number and class of licensees subject to said tax, and the amount of money received therefrom, which information is to be included in the annual report of the ABLE Commission submitted to the Governor, and transmitted to the Legislature.

Added by Laws 1985, c. 6, § 73, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 17.


§37554.2.  Counties  Occupation tax.

Counties are hereby authorized to levy an annual occupational tax for the privilege of operating as a mixed beverage, beer and wine, caterer or special event licensee or as a bottle club, within their respective jurisdictions and not located in a city or town levying an occupation tax as provided by Section 554.1 of this title, not to exceed the state license fee for such licensees; provided that the aforementioned tax shall be levied only by the county in which such licensee has his principal place of business.  All revenues derived from any such annual occupational tax shall be deposited in the general revenue fund of the county.  This section shall not give any county any right to determine or regulate the issuance of any license, except as specifically provided for in this section, as the Alcoholic Beverage Laws Enforcement Commission shall have exclusive authority as to issuance and regulations of said licenses and no county may prescribe rules or regulations in conflict with or in addition to the statutes of this state or the rules of the ABLE Commission.

Counties which levy an occupational tax under this section shall make an annual report to the ABLE Commission, covering the fiscal year, showing the number and class of licensees subject to said tax, and the amount of money received therefrom, which information is to be included in the annual report of the ABLE Commission submitted to the Governor, and transmitted to the Legislature.

Added by Laws 1985, c. 6, § 97, emerg. eff. March 14, 1985.  Amended by Laws 1985, c. 195, § 14, emerg. eff. June 26, 1985; Laws 1994, c. 361, § 18.


§37555.  Monthly report by holders of nonresident seller's license.

Every holder of a nonresident seller license shall make and transmit to the Oklahoma Tax Commission, on or before the tenth day of each month upon a form prescribed and furnished by the Oklahoma Tax Commission, an itemized and verified report for the preceding calendar month, showing each shipment or sale of alcoholic beverages into Oklahoma.  Such report shall show the date of the shipment; the total quantity of the shipment; the name and Alcoholic Beverage Laws Enforcement Commission license number of the Oklahoma purchaser; and the manifest, bill of lading or invoice number of each shipment. Such report shall be accompanied by duplicate original copies of each manifest, invoice, bill of lading or other document showing the details, including the proof of all spirits, of all shipments during such calendar month.


Amended by Laws 1985, c. 6, § 52, emerg. eff. March 14, 1985.  

§37556.  Monthly report by manufacturers.

Every manufacturer, subject to licensing hereunder, shall make and transmit to the Oklahoma Tax Commission, on or before the tenth day of each calendar month, upon a form prescribed and furnished by the Oklahoma Tax Commission, an itemized and verified report, for the preceding calendar month, showing:

A.  The kind and quantity of all alcoholic beverages manufactured within this state during said month, including the proof of all spirits; the kind and quantity of all alcoholic beverages purchased within this state, including the proof of all spirits; and the kind and quantity of all alcoholic beverages imported into this state during said month, including the proof of all spirits; the name and Alcoholic Beverage Laws Enforcement Commission license number of the person from whom purchased or received; the manifest, bill of lading, or invoice number of each shipment, which number shall be the number used by the original seller as shown by the basic shipping records which accompanied the shipment; the date of receipt of each shipment; the name and ABLE Commission license number of the carrier, if transported by carrier; and

B.  All sales of alcoholic beverages made by such manufacturer during such calendar month, both within and without Oklahoma, including in detail the kind and quantity of all alcoholic beverages sold, including the proof of all spirits, as shown by the invoice covering each such sale; the invoice number; the date of each sale; the name, address, the ABLE Commission license number of the purchaser; the name and ABLE Commission license number of the carrier, if shipped by carrier, and such other information as the Oklahoma Tax Commission may require.


Amended by Laws 1985, c. 6, § 53, emerg. eff. March 14, 1985.  

§37557.  Monthly report by carriers and warehousemen.

A.  Every common carrier and public carrier transporting alcoholic beverages into, within, or out of, this state, and every bonded warehouseman licensed hereunder, having possession of alcoholic beverages, on or before the tenth day of each month shall make and transmit to the Oklahoma Tax Commission an itemized and verified report for the preceding calendar month on a form prescribed and furnished by the Oklahoma Tax Commission, showing:

1.  By carriers:  Each shipment of alcoholic beverages, the date, point of origin, point of delivery, to whom delivered, and such other information as the Oklahoma Tax Commission shall, by form or regulation, require.

2.  By bonded warehousemen:  The opening inventory of alcoholic beverages, total receipts, date of each receipt, for whom warehoused, warehouse receipt number, date of each withdrawal, by whom each withdrawal is made, withdrawal order number, the closing inventory, and such other information as the Oklahoma Tax Commission may, by regulation or form, require.

B.  All such carriers and warehousemen shall permit an examination by the Oklahoma Tax Commission, its authorized agents or representatives, of their books and records of alcoholic beverages transported or warehoused.  The failure or refusal of any carrier or warehouseman to make and transmit to the Oklahoma Tax Commission any report herein required, or to permit an examination of the records of the carrier or warehouseman, shall constitute grounds for the revocation of such person's license by the Alcoholic Beverage Laws Enforcement Commission.


Amended by Laws 1985, c. 6, § 54, emerg. eff. March 14, 1985.  

§37-559.  Posting of bond or other security to insure payment of excise taxes.

Every manufacturer, importer, broker or other who sells alcoholic beverages to a wholesaler, or Class B wholesaler in Oklahoma, after having been issued a license by the Alcoholic Beverage Laws Enforcement Commission, shall, before manufacturing, purchasing, or selling any alcoholic beverage within this state, file with the Oklahoma Tax Commission a bond issued by a surety company authorized to transact business in this state, in such amount as the Oklahoma Tax Commission may fix, but which shall be at least equal to the estimated amount of the tax liability of such licensee for a three-month period, to secure the payment of all excise taxes due from sales of alcoholic beverages to a wholesaler, or Class B wholesaler, under the provisions of the Oklahoma Alcoholic Beverage Control Act.  Provided, that the amount of the bond for every wholesaler or Class B wholesaler shall be not less than One Thousand Dollars ($1,000.00).  Such bonds shall be payable to the State of Oklahoma and conditioned upon the compliance with the excise tax provisions of the Oklahoma Alcoholic Beverage Control Act and the rules and regulations of the Oklahoma Tax Commission relating thereto.  In lieu of such surety bond, any such manufacturer, wholesaler, or Class B wholesaler, may deposit cash or negotiable securities, approved by the Oklahoma Tax Commission, in such amount as it may prescribe.

Added by Laws 1959, p. 169, § 59.  Amended by Laws 1980, c. 143, § 10, operative Jan. 1, 1981; Laws 1985, c. 6, § 55, emerg. eff. March 14, 1985; Laws 1994, c. 278, § 2, eff. Sept. 1, 1994.


§37560.  Issuance and handling of invoices, bills of lading, etc.

A.  Every manufacturer, wholesaler, Class B wholesaler and nonresident seller, selling alcoholic beverages in this state, or selling alcoholic beverages for shipment into this state shall, at the time such sale is made, make and deliver to the purchaser or transporter an invoice, bill of lading, manifest, or other document describing such alcoholic beverages, showing the date of such sale or delivery, the name and Alcoholic Beverage Laws Enforcement Commission license number of the seller, the point of origin of the movement of such alcoholic beverages and the destination of same, the kind and quantity and a description of such alcoholic beverages, including the proof of all spirits, the name and ABLE Commission license number of the purchaser, the sale price and such other information as the Oklahoma Tax Commission may, by form or regulation, require.  Every such invoice, bill of lading, manifest, or other document describing such alcoholic beverages, except beer, must be identified by consecutive numbers printed upon the invoice or document, and each such seller and purchaser must account for each copy of his invoice and each number thereof.

B.  Every common carrier and private carrier, and every person who transports any alcoholic beverages from any point within this state to any other point within or without this state, or who transports alcoholic beverages into this state, shall at all times while such alcoholic beverages are in transit have in the possession of the driver or operator of the transporting carrier or vehicle the invoice, bill of lading, manifest, or other document describing such alcoholic beverages being transported.

C.  Every manufacturer, wholesaler, or Class B wholesaler, importing into or purchasing in this state any alcoholic beverage, and any retailer purchasing any alcoholic beverage in this state, shall at the time of delivery or acceptance of such alcoholic beverage demand and receive a proper bill of lading, invoice, manifest, or other document, particularly describing such alcoholic beverage and showing the proof of all spirits.

D.  Every manufacturer, wholesaler, Class B wholesaler, nonresident seller, and retailer shall retain one copy of each invoice, bill of lading, manifest, or similar document covering all such sales and purchases by such licensee, as a part of the permanent records of such licensee for a period of at least three (3) years.

E.  Any person violating any of the provisions of this section, whether acting for himself or as the agent or employee of any licensee hereunder, shall be guilty of a misdemeanor and, upon conviction, shall be punished as provided by law.  Any violation of the provisions of this section shall also constitute grounds for the revocation by the ABLE Commission of any license issued under the Oklahoma Alcoholic Beverage Control Act.


Amended by Laws 1985, c. 6, § 56, emerg. eff. March 14, 1985.  

§37561.  Record of imports, purchases, receipts, etc.

Every manufacturer, wholesaler, Class B wholesaler, nonresident seller, retailer, mixed beverage, caterer, and special event licensee shall keep a record of all alcoholic beverages imported, purchased, received, manufactured, produced, sold, delivered, or otherwise disposed of, and the amount of all alcoholic beverages on hand, as herein provided.  Such records must be kept for a period of at least three (3) years and shall include the date, the number of the invoice, manifest, bill of lading, or similar type document, and the total amount of alcoholic beverages purchased, imported, received, manufactured, produced, sold, delivered, or otherwise disposed of, by such licensee in each transaction.  Each such licensee shall keep and maintain such other records in details as the Oklahoma Tax Commission may require.


Amended by Laws 1985, c. 6, § 57, emerg. eff. March 14, 1985.  

§37562.  Excise tax as direct tax.

The excise tax levied by this act is hereby declared and intended to be a direct tax upon the ultimate retail consumer of alcoholic beverages in this state, and when such tax is paid by, or collected from, any other person, as herein provided for, such payment shall be considered as an advance payment for convenience and facility only, and such tax shall thereafter be added to the price of such alcoholic beverages and recovered from the ultimate retail consumer thereof.


Laws 1959, p. 171, § 62.  

§37563.  Distribution of revenues.

All revenue accruing from the excise tax levied by Section 553 of this title shall be collected by the Oklahoma Tax Commission and distributed as follows:

1.  Twothirds of ninetyseven percent (2/3 of 97%) of such tax revenue shall be paid to the State Treasurer and placed to the credit of the General Revenue Fund of the state;

2.  Onethird of ninetyseven percent (1/3 of 97%) of such revenue is hereby allocated to the counties of this state and shall be paid to the county treasurers on the basis of area and population (giving equal weight to area and population) wherein the sale of alcoholic beverages is lawful, and all of said funds shall be appropriated by the county commissioners of each county and apportioned by the county treasurer to all incorporated cities and towns in said county on the basis of population within each city and town on a per capita basis based on the last preceding Federal Decennial Census.  For the purpose of appropriating and paying the excise taxes collected under the Oklahoma Alcoholic Beverage Control Act, or any act which is amendatory thereof or supplemental thereto, to the incorporated cities and towns in any county, city or town, the corporate limits of which include territory within more than one county, shall be considered and treated as being a city or town in only the county within which more than fifty percent (50%) of the entire population of such city or town, as shown by the last preceding Federal Decennial Census, reside, and, for such purpose, shall not be considered or treated as being a city or town in any other county; and, in the event that the last preceding Federal Decennial Census fails to disclose information from which such fact may be determined by the board of county commissioners which is appropriating the tax money then involved to the cities and towns in its county, said board of county commissioners shall make an estimate, from the best information then available to it, as to the percentage of the entire population of such city or town then residing in said county.  If such board of county commissioners determines, either from information disclosed by the last preceding Federal Decennial Census, or from the best information then available to said board (when such information is not disclosed by the last preceding Federal Decennial Census), that more than fifty percent (50%) of the population of such a city or town resides in that county, such city or town shall receive its pro rata share of such tax money, on the basis of its entire population according to the last preceding Federal Decennial Census; but if such board of county commissioners so determines that more than fifty percent (50%) of the population of such city or town does not reside in that county, no part of such tax money shall be appropriated or paid to such city or town; and

3.  The remaining three percent (3%) of such excise tax revenue shall be paid to the State Treasurer and placed to the credit of the Oklahoma Tax Commission Fund to be paid out of said fund pursuant to appropriations made by the State Legislature.


Amended by Laws 1984, c. 289, § 2, operative July 1, 1984; Laws 1985, c. 6, § 58, emerg. eff. March 14, 1985. x

§37564.  Estimates of revenues to be derived.

The county excise board of each county in the state, in approving the estimates of needs for cities and towns for the fiscal year ending June 30, 1960, and each fiscal year thereafter, shall make reasonable estimates of the revenue to be derived under the provisions of the Oklahoma Alcoholic Beverage Control Act.


Amended by Laws 1985, c. 6, § 59, emerg. eff. March 14, 1985.  

§37565.  Rules and regulations for issuance of licenses and permits.

Within sixty (60) days after the passage and approval of this act, the Alcoholic Beverage Laws Enforcement Commission shall adopt such rules and regulations as may be necessary to facilitate the uniform and orderly application for, and issuance of, all licenses or permits provided for on the effective date of this act.


Amended by Laws 1985, c. 6, § 60, emerg. eff. March 14, 1985.  

§37566.  General penalty provision.

A.  Any person who shall violate any provision of this title for which no specific penalty is prescribed shall be guilty of a misdemeanor and be fined not more than Five Hundred Dollars ($500.00), or imprisoned in the county jail for not more than six (6) months, or both such fine and imprisonment.

B.  Provided, however, notwithstanding any provision of law to the contrary, any offense, including traffic offenses, in violation of any of the provisions of this title which is not otherwise punishable by a term of imprisonment or confinement shall be punishable by a term of imprisonment not to exceed one day in the discretion of the court, in addition to any fine prescribed by law.


Amended by Laws 1987, c. 226, § 2, operative July 1, 1987.  

§37567.  Oklahoma Alcoholic Beverage Control Fund  Unobligated balances.

There is hereby created in the State Treasury a fund to be known as the Alcoholic Beverage Control Fund which shall consist of revenues collected by the state from license and registration fees, with any interest, fines or penalties levied and collected by the Alcoholic Beverage Laws Enforcement Commission pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act.  Any unappropriated balance in the Oklahoma Alcoholic Beverage Control Fund at the close of each fiscal year shall revert to the General Revenue Fund of the State of Oklahoma, except for the amount necessary to satisfy any appropriations made or to be made from said fund by the Oklahoma State Legislature for the ensuing fiscal year.

Beginning July 1, 1984, all such monies collected by the Alcoholic Beverage Laws Enforcement Commission pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act shall be deposited in the State Treasury for credit to the General Revenue Fund of the state.

Laws 1959, p. 399, § 1; Laws 1967, c. 309, § 4; Laws 1968, c. 348, § 4, emerg. eff. May 9, 1968; Laws 1976, c. 279, § 7, eff. July 1, 1976; Laws 1984, c. 289, § 3, operative July 1, 1984; Laws 1985, c. 6, § 61, emerg. eff. March 14, 1985.


§37568.  Possession of alcoholic beverages with intent to sell without license  Seizure  Forfeiture.

It shall be unlawful for any person, firm, or corporation to have in their possession any alcoholic beverages with the intent to sell the same without having first procured a license therefor from the Alcoholic Beverage Laws Enforcement Commission as now provided for by law; and all alcoholic beverages found in the possession or under the control of any person or persons, firm, or corporation who, on the same date, or within fifteen (15) days prior thereto, has violated subsection C of Section 538 of this title, shall be seized by the arresting officer and shall be forfeited to the State of Oklahoma, as provided for in Section 539 of this title.  Except that property seized by a county or municipal law enforcement officer shall be forfeited to the county or municipality in which the seizure of the property took place, whichever is appropriate, as provided for in Section 539 of this title.


Amended by Laws 1985, c. 6, § 62, emerg. eff. March 14, 1985.  

§37569.  All law enforcement officers to diligently enforce provisions of the Alcoholic Beverage Control Act.

All sheriffs, marshals, and police officers, all district and city or town attorneys, and all members of the Alcoholic Beverage Laws Enforcement Commission, the Director, and all enforcement employees of the ABLE Commission, shall diligently enforce all provisions of the Oklahoma Alcoholic Beverage Control Act.  If any such officer, ABLE Commission member, Director, or employee shall fail or refuse to do or perform any duty required by the provisions of such statutes he shall be removed from office as hereinafter provided.  In all cases where any sheriff, marshal, police officer, district or city or town attorney shall fail or refuse to perform any such duty a petition shall be filed in the district court of the county wherein such person resides, in the name of the state, upon the recommendation of a grand jury or on the relation of the board of county commissioners or of any attorney appointed by the Governor under the provisions of applicable statutes.  In all cases where a member of the Alcoholic Beverage Laws Enforcement Commission fails to perform any duty imposed upon him, said member shall be subject to removal from office in the manner provided for state officers not subject to impeachment, and, in all cases where an enforcement employee of the ABLE Commission is involved in the failure to perform any duties required by law, such failure shall constitute cause for the removal of any such employee  pursuant to the provisions of Section 833 of Title 74 of the Oklahoma Statutes.  The Oklahoma State Bureau of Investigation and the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control Commission shall also have enforcement authority for the provisions of the Oklahoma Alcoholic Beverage Control Act, with the power to initiate complaints with the ABLE Commission and by filing charges, if appropriate, with the district attorney in the county where the violation occurred.


Amended by Laws 1985, c. 6, § 63, emerg. eff. March 14, 1985.  

§37570.  Qualifications of chief enforcement officer, agents and inspectors.

Persons employed as chief enforcement officer, agents, and inspectors of the Alcoholic Beverage Laws Enforcement Commission shall meet the qualifications for permanent appointment as police or peace officers as provided for in Section 3311 of Title 70 of the Oklahoma Statutes.


Amended by Laws 1985, c. 6, § 64, emerg. eff. March 14, 1985.  

§37571.  Labeling of alcoholic beverage.

The Alcoholic Beverage Laws Enforcement Commission is hereby authorized to promulgate rules and regulations governing the labeling of alcoholic beverages bottled, packaged, sold, or possessed for sale within this state, not inconsistent with the provisions of the Oklahoma Alcoholic Beverage Control Act.


Amended by Laws 1985, c. 6, § 66, emerg. eff. March 14, 1985.  

§37572.  Failure to label.

The bottling, packaging, sale, or possession by any licensee of any alcoholic beverage not labeled in conformity with such rules and regulations and the provisions of the Oklahoma Alcoholic Beverage Control Act shall be grounds for suspension, revocation, or cancellation of the license.


Amended by Laws 1985, c. 6, § 66, emerg. eff. March 14, 1985.  

§37-573.  Registration of Labels - Fees.

A.  Except as provided in subsection D of this section, no liquor, wine, or beer shall be labeled, offered or advertised for sale unless in accordance with such regulations and unless the brand label shall have been registered with and approved by the Alcoholic Beverage Laws Enforcement Commission and the appropriate fee paid as provided for in this section.

B.  An application for registration of a brand label shall be filed by the owner of the brand if such owner is licensed by the ABLE Commission, however, if the owner is not licensed but is represented by a licensed nonresident seller, the nonresident seller licensee shall submit each label for each product he offers for sale in this state. Cordials and wines which differ only as to age or vintage year, as defined by such regulations, shall be considered the same brand; and those that differ as to type or class may be considered the same brand by the ABLE Commission where consistent with the purposes of this section.

C.  The application for registration of a brand label shall be filed on a form prescribed by the ABLE Commission, and shall contain such information as the ABLE Commission shall require.  Such application shall be accompanied by a certified check, bank officers' check or draft, or money order in the amount of the annual registration fee prescribed by this section.

D.  The annual fee for registration of any brand label for liquor shall be Three Hundred Seventyfive Dollars ($375.00); the annual fee for registration of any brand label for beer shall be Two Hundred Dollars ($200.00); the annual fee for registration of any brand label for wine shall be Two Hundred Dollars ($200.00).  Beer manufactured in this state shall be exempt from brand label registration fees.

Each brand label registered and approved pursuant to this section shall be valid for a term which shall run concurrently with the term of the license of the brand owner, or nonresident seller representing the brand owner, registering such label and shall be valid for such licensee and shall not be transferable.

E.  If the ABLE Commission shall deny the application for registration of a brand label it shall return the registration fee to the applicant, less twentyfive percent (25%) of such fee.

F.  The ABLE Commission may at any time exempt any discontinued brand from fee provisions of this section where a manufacturer or wholesaler has an inventory of one hundred cases or less of liquor or wine and five hundred cases or less of beer, and certifies to the ABLE Commission in writing that such brand is being discontinued.

Added by Laws 1968, c. 104, § 3, eff. July 1, 1968.  Amended by Laws 1977, c. 185, § 6, emerg. eff. June 8, 1977; Laws 1978, c. 200, § 7, emerg. eff. April 14, 1978; Laws 1983, c. 229, § 7, operative July 1, 1983; Laws 1985, c. 6, § 67, emerg. eff. March 14, 1985; Laws 2003, c. 484, § 8, eff. Nov. 1, 2003.


§37-576.  Gross receipt tax levied on certain license holders.

A.  A tax at the rate of thirteen and one-half percent (13.5%) is hereby levied and imposed on the total gross receipts of a holder of a mixed beverage, caterer, or special event license, issued by the ABLE Commission, from:

1.  The sale, preparation or service of mixed beverages;

2.  The total retail value of complimentary or discounted mixed beverages;

3.  Ice or nonalcoholic beverages that are sold, prepared or served for the purpose of being mixed with alcoholic beverages and consumed on the premises where the sale, preparation or service occurs; and

4.  Any charges for the privilege of admission to a mixed beverage establishment which entitle a person to complimentary mixed beverages or discounted prices for mixed beverages.

B.  For purposes of this section:

1.  "Mixed beverages" means mixed beverages as defined by Section 506 of this title;

2.  "Total gross receipts" means the total amount of consideration received as charges for admission to a mixed beverage establishment as provided in paragraph 4 of subsection A of this section and the total retail sale price received for the sale, preparation or service of mixed beverages, ice, and nonalcoholic beverages to be mixed with alcoholic beverages.  The advertised price of a mixed beverage shall be the sum of the total retail sale price and the gross receipts tax levied thereon; and

3.  "Total retail value" means the total amount of consideration that would be required for the sale, preparation or service of mixed beverages.

C.  The gross receipts tax levied by this section shall be in addition to the excise tax levied in Section 553 of this title, the sales tax levied in the Oklahoma Sales Tax Code, Section 1350 et seq. of Title 68 of the Oklahoma Statutes and to any municipal or county sales taxes.

D.  The gross receipts tax levied by this section is hereby declared to be a direct tax upon the receipt of consideration for any charges for admission to a mixed beverage establishment as provided in paragraph 4 of subsection A of this section, for the sale, preparation or service of mixed beverages, ice, and nonalcoholic beverages to be mixed with alcoholic beverages, and the total retail value of complimentary or discounted mixed beverages.

E.  The total of the retail sale price received for the sale, preparation or service of mixed beverages, ice, and nonalcoholic beverages to be mixed with alcoholic beverages shall be the total gross receipts for purposes of calculating the sales tax levied in the Oklahoma Sales Tax Code, Section 1350 et seq. of Title 68 of the Oklahoma Statutes.

Added by Laws 1985, c. 6, § 77, emerg. eff. March 14, 1985. Amended by Laws 1985, c. 195, § 11, emerg. eff. June 26, 1985; Laws 1987, c. 113, § 3, operative June 1, 1987; Laws 1987, c. 180, § 7, emerg. eff. June 29, 1987; Laws 2001, c. 78, § 8, eff. Nov. 1, 2001.


§37-576.1.  Disposition of revenues generated by tax levied pursuant to Section 576.

All revenues generated from the gross receipts tax levied pursuant to Section 576 of Title 37 of the Oklahoma Statutes shall be paid to the State Treasurer and placed to the credit of the General Revenue Fund of the State of Oklahoma.

Added by Laws 2001, c. 358, § 2, eff. July 1, 2001.


§37-577.  Mixed beverage tax permit.

A.  Every holder of a mixed beverage, beer and wine, caterer, hotel beverage or special event license, issued by the Alcoholic Beverage Laws Enforcement Commission, shall obtain a mixed beverage tax permit from the Oklahoma Tax Commission prior to engaging, within this state, in the sale, preparation or service of mixed beverages, ice, or nonalcoholic beverages that are sold, prepared or served to be mixed with alcoholic beverages.  Each licensee shall file a verified application for a mixed beverage tax permit with the Tax Commission, setting forth information as may be required by the Tax Commission.

The Tax Commission, or its designated agent, shall issue, without any fees or charges therefor, a mixed beverage tax permit in the name of the licensee for the place of business set forth in the application upon verification that:

1.  The applicant is a holder of a mixed beverage, beer and wine, caterer, hotel beverage or special event license issued by the Alcoholic Beverage Laws Enforcement Commission;

2.  The applicant has posted a surety bond or other negotiable collateral to protect the proper payment of the gross receipts taxes;

3.  The applicant is a holder of a sales tax permit for the place of business set forth in the application; and

4.  The applicant is not delinquent in the payment of any gross receipts taxes or sales taxes.

A mixed beverage tax permit shall expire three (3) years after issuance; provided, if the holder thereof is also the holder of a sales tax permit, a mixed beverage tax permit shall be valid for three (3) years or until expiration of the sales tax permit, whichever is earlier, after which a renewal permit shall be valid for three (3) years.

B.  A separate mixed beverage tax permit for each place of business to be operated must be obtained and no charge therefor shall be made by the Tax Commission.  The Tax Commission shall grant and issue to each applicant a separate permit for each place of business in this state, upon proper application therefor and verification thereof by the Tax Commission.

C.  A mixed beverage tax permit is not assignable and shall be valid only for the person in whose name it is issued and for the transaction of business at the place designated in the permit.

D.  It shall be unlawful for any person to engage in a business subject to the provisions of this section prior to the issuance of a mixed beverage tax permit.  Any person who engages in a business subject to the provisions of this section without a mixed beverage tax permit or permits, or after a permit has been suspended, shall be guilty of a misdemeanor, and upon conviction thereof, shall be fined not more than One Thousand Dollars ($1,000.00) or incarcerated for not more than sixty (60) days, or by both such fine and imprisonment.

E.  Any person operating under a mixed beverage tax permit as provided in this section shall, upon discontinuance of business by sale or otherwise, return such permit to the Tax Commission for cancellation, together with payment of any unpaid or accrued taxes. Failure to surrender a mixed beverage tax permit and pay any and all accrued taxes will be sufficient cause for the Tax Commission to refuse to issue a mixed beverage tax permit subsequently to such person to engage in or transact any business in this state subject to the provisions of this section.  Notwithstanding the provisions of subsection H of Section 1364 of Title 68 of the Oklahoma Statutes, the Tax Commission shall not deny a purchaser of a business subject to the provisions of this section a mixed beverage or sales tax permit because of outstanding tax liabilities of the seller, provided the seller pays to the Tax Commission the estimated sales tax owed by the seller.  Provided further, upon completion of an audit by the Tax Commission and determination of actual sales tax owed, the difference between the estimated sales tax paid and the actual sales tax owed shall be paid by the seller to the Tax Commission if taxes were underpaid or returned to the seller by the Tax Commission if taxes were overpaid.

F.  Whenever a holder of a mixed beverage tax permit fails to comply with any provisions of any state alcoholic beverage laws or tax laws, the Tax Commission, after giving ten (10) days' notice in writing of the time and place of hearing to show cause why this permit should not be revoked, may revoke or suspend the permit.  A mixed beverage tax permit shall be renewed upon removal of cause or causes of revocation or suspension.  Mixed beverage tax permits are conditioned upon the proper and timely payment of all taxes due and in the event a holder of a mixed beverage tax permit becomes delinquent in reporting or paying any tax due under the provisions of state tax law, any duly authorized agent of the Tax Commission may cancel the permit and it shall be renewed only upon the filing of proper reports and payment of all taxes due and application for renewal in accordance with subsection A of this section.

G.  Upon revocation or suspension of the mixed beverage, beer and wine, caterer, hotel beverage or special event license by the ABLE Commission, the Tax Commission, or its duly authorized agent, shall temporarily suspend the mixed beverage tax permit issued to the licensee in accordance with Section 212 of Title 68 of the Oklahoma Statutes.

Added by Laws 1985, c. 6, § 90, emerg. eff. March 14, 1985.  Amended by Laws 1985, c. 195, § 12, emerg. eff. June 26, 1985; Laws 1987, c. 180, § 8, emerg. eff. June 29, 1987; Laws 1994, c. 361, § 19; Laws 1995, c. 1, § 12, emerg. eff. Mar. 2, 1995; Laws 2000, c. 360, § 4, eff. July 1, 2000.


NOTE:  Laws 1994, c. 258, § 5 repealed by Laws 1995, c. 1, § 40, emerg. eff. Mar. 2, 1995.


§37578.  Bond or other security as condition precedent to issuance of mixed beverage tax permit.

A.  Every holder of a mixed beverage, beer and wine, caterer or special event license issued by the Alcoholic Beverage Laws Enforcement Commission, as a condition precedent to the issuance of a mixed beverage tax permit, shall furnish to the Oklahoma Tax Commission a bond from a surety company chartered or authorized to do business in this state, cash bond, certificates of deposits, certificates of savings or U.S. Treasury bond, or an assignment of negotiable stocks or bonds, as the Tax Commission may deem necessary to secure payment of the gross receipts tax levied upon gross receipts of the licensees.

B.  Any surety bond furnished under this section shall be a continuing instrument and shall constitute a new and separate obligation in the sum stated therein for each calendar year or a portion thereof while such bond is in force.  Such bond shall remain in effect until the surety or sureties are released and discharged by the Tax Commission.

C.  The Tax Commission, or its duly authorized agent, shall fix the amount of such bond or other security for each licensee for each place of business after considering the estimated gross receipts tax liability of such licensee.  Such bond shall be no less than an amount equal to the average estimated quarterly gross receipts tax liability and no greater than an amount equal to three times the amount of the average estimated quarterly gross receipts tax liability.  Effective July 1, 2001, the minimum bond required for a new permit holder shall be not less than One Thousand Five Hundred Dollars ($1,500.00).

D.  Notwithstanding the provisions of subsection C of this section, if the permit holder has held the permit for at least four (4) years and is not delinquent in the payment of mixed beverage taxes, the Tax Commission shall not require any increase in the bond so long as the permit holder remains current in the payment of such taxes.

E.  Any bond or other security shall be such as will protect this state against failure of the taxpayer or licensee to pay the tax levied by Section 576 of this title.  The forfeiture or cancellation of such bond or security, for any reason whatsoever, shall automatically revoke the mixed beverage tax permit issued pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act.

Added by Laws 1985, c. 6, § 91, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 20; Laws 2001, c. 358, § 3, eff. July 1, 2001.


§37-579.  Reports of receipts - Calculation of gross receipts tax - Audits.

A.  Every mixed beverage tax permit holder, or any person transacting business subject to the gross receipts tax levied by Section 576 of this title, shall file with the Oklahoma Tax Commission a monthly report for each place or location of business, on or before the twentieth day of the month immediately following the month of receipt.  The reports shall be made under oath, on forms prescribed by the Tax Commission, which shall include the following information:

1.  Name of mixed beverage tax permit holder;

2.  Mixed beverage tax permit number;

3.  Sales tax permit number;

4.  Mixed beverage, caterer or special event license number;

5.  Gross receipts for the month for the sale, preparation or service of mixed beverages, ice and nonalcoholic beverages mixed with alcoholic beverages;

6.  Gross receipts for the month from charges for the privilege of admission to a mixed beverage establishment which entitle a person to complimentary mixed beverages or discounted prices for mixed beverages;

7.  Total retail value of complimentary or discounted alcoholic beverages served for the month; and

8.  Such other information as may be required by the Tax Commission to enable it to collect taxes imposed as provided by law.

B.  The gross receipts tax levied by Section 576 of this title shall be calculated by multiplying the tax rate, thirteen and one-half percent (13.5%), and the total gross receipts for each month from the sale, preparation or service of mixed beverages, ice and nonalcoholic beverages mixed with alcoholic beverages, the total gross receipts of charges received for admission to mixed beverage establishments as provided in paragraph 6 of subsection A of this section, and the total retail value of complimentary or discounted mixed beverages.  Gross receipts from the sale of food prepared with alcoholic beverages shall not be included in the calculation of the monthly tax liability.  The tax due for the preceding month shall accompany the report required in subsection A of this section.  All taxes, penalties and interest imposed by Section 501 et seq. of this title may be paid in the form of electronic funds transfer or by a personal or company check, cashier's check, certified check or postal money order payable to the Tax Commission.

C.  If the gross receipts tax levied pursuant to the provisions of Section 576 of this title is not paid on or before the twentieth day of each month, the tax shall be delinquent and interest and penalty shall accrue on and from the twenty-first day of each month, pursuant to the provisions of the Uniform Tax Procedure Code, Section 201 et seq. of Title 68 of the Oklahoma Statutes.

D.  Every licensed wholesaler of alcoholic beverages in this state shall file with the Tax Commission a monthly report, under oath, on forms prescribed by the Tax Commission, which shall include the name, location and mixed beverage tax permit number of each mixed beverage, caterer or special event licensee to whom the licensed wholesaler sold alcoholic beverages during the report month.

E.  If the report required by subsection A of this section is not filed with the Tax Commission on or before the twentieth day of the month, the Tax Commission may assess an additional penalty of Five Dollars ($5.00) for each day thereafter that the report is not filed pursuant to the provisions of this section.  The Tax Commission may waive the penalty assessed pursuant to the provisions of the Uniform Tax Procedure Code; provided, however, the additional penalty, if assessed, shall not exceed an amount equal to twice the amount of tax due for the period for which such report was required to be filed, or the sum of Three Hundred Dollars ($300.00), whichever is greater.

F.  Taxes paid as provided by law represented by accounts receivable which are found to be worthless or uncollectible may be credited upon subsequent reports and remittances of such tax, in accordance with rules promulgated by the Tax Commission.  If such accounts are thereafter collected, the same shall be reported and the tax shall be paid upon the amount so collected.

G.  In addition to any other authority granted by law, the Tax Commission is hereby authorized to audit any mixed beverage, beer and wine, caterer or special event licensee to determine if the correct amount of tax payable under Section 576 of this title has been collected; provided, if such an audit reveals that the amount collected is within the following percentages of the amount of tax payable, the taxpayer shall be deemed to be in compliance:

1.  For spirits, eighty-four percent (84%) to one hundred sixteen percent (116%);

2.  For wine, ninety percent (90%) to one hundred ten percent (110%);

3.  For beer sold at draft and not in original packages, eighty-six percent (86%) to one hundred fourteen percent (114%); and

4.  For beer sold in original packages, ninety-five percent (95%) to one hundred five percent (105%).

Added by Laws 1985, c. 6, § 92, emerg. eff. March 14, 1985.  Amended by Laws 1987, c. 113, § 4, operative June 1, 1987; Laws 1987, c. 180, § 9, emerg. eff. June 29, 1987; Laws 1988, c. 281, § 8, operative July 1, 1988; Laws 1989, c. 249, § 3, eff. July 1, 1989; Laws 2001, c. 78, § 9, eff. Nov. 1, 2001; Laws 2002, c. 137, § 2, emerg. eff. April 24, 2002; Laws 2005, c. 430, § 1, eff. July 1, 2005.


§37580.  Remuneration for establishing and maintaining records.

The mixed beverage tax permit holder or taxpayer may retain one percent (1%) of the tax due and timely reported and paid, in accordance with the provisions of Section 92 of this act, as remuneration for establishing and maintaining the records required by the Oklahoma Alcoholic Beverage Control Act.  If such tax becomes delinquent, such taxpayer forfeits his claim to the one percent (1%) discount.


Added by Laws 1985, c. 6, § 93, emerg. eff. March 14, 1985.  

§37-581.  Repealed by Laws 2001, c. 78, § 12, eff. Nov. 1, 2001.

§37-581.1.  Repealed by Laws 2001, c. 78, § 12, eff. Nov. 1, 2001.

§37-582.  Containers not listed on wholesaler license - Penalties.

A.  No mixed beverage, beer and wine, caterer or special event licensee nor any officer, agent or employee of such licensee may possess or permit to be possessed on the premises, for which such license was issued, any container of an alcoholic beverage which is not listed on an invoice from the wholesaler from whom the alcoholic beverage was purchased.

B.  All containers of alcoholic beverages which are on the premises of a mixed beverage, beer and wine, caterer or special event licensee and which are not listed on an invoice from the wholesaler pursuant to the provisions of this section are declared contraband.  Any duly authorized officer or employee of the ABLE Commission or the Oklahoma Tax Commission is authorized to seize such containers or cases and such seized containers or cases shall be subject to confiscation and forfeiture pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act.

C.  Any holder of a wholesaler, mixed beverage, beer and wine, caterer or special event license who violates the provisions of this section shall, upon conviction, be guilty of a misdemeanor and shall be subject to revocation or suspension of such license issued by the ABLE Commission pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act.

Added by Laws 1985, c. 6, § 95, emerg. eff. March 14, 1985.  Amended by Laws 1987, c. 180, § 12, emerg. eff. June 29, 1987; Laws 1994, c. 361, § 21; Laws 2001, c. 78, § 10, eff. Nov. 1, 2001.


§37-583.  Repealed by Laws 2001, c. 78, § 12, eff. Nov. 1, 2001.

§37584.  Refilling container with certain substances prohibited.

No holder of a mixed beverage, beer and wine, caterer, special event, or airline/railroad beverage license shall refill with any substance a container which contained any alcoholic beverage on which the tax levied by Section 553 of this title has been paid.

Added by Laws 1985, c. 6, § 98, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 23.


§37-585.  Repealed by Laws 2001, c. 78, § 12, eff. Nov. 1, 2001.

§37-586.  Rules.

The Oklahoma Tax Commission shall promulgate rules as may be necessary to facilitate the uniform and orderly collection of the taxes levied pursuant to the provisions of the Oklahoma Alcoholic Beverage Control Act.

Added by Laws 1985, c. 6, § 101, emerg. eff. March 14, 1985.  Amended by Laws 2001, c. 78, § 11, eff. Nov. 1, 2001.


§37-587.  Repealed by Laws 2001, c. 78, § 12, eff. Nov. 1, 2001.

§37588.  Private clubs currently operating under municipal license  Interim licenses.

Any establishment which, upon the effective date of this act, is operating as a private club pursuant to a permit or license issued by a municipality may continue to operate pursuant to such permit or license until July 1, 1985.

Until September 1, 1985, the ABLE Commission shall be authorized to issue interim licenses to applicants for mixed beverage, caterer, bottle club, and airline/railroad beverage licenses, prior to issuance of permanent licenses.  The issuance of interim licenses may take place before all the procedures required by the Oklahoma Alcoholic Beverage Control Act for such licensing are completed.

To obtain an interim license an applicant shall file an application for a license authorized by this section with the ABLE Commission and shall furnish all other information required by the Oklahoma Alcoholic Beverage Control Act and rules and regulations promulgated by the ABLE Commission, except that, if certificates of zoning or compliance with fire, safety, or health codes, required pursuant to Section 523 of this title, have not been issued by the applicable municipality or county, proof of application for said certificates shall be sufficient for issuance of the interim license.  The certificates shall be furnished to the ABLE Commission prior to issuance of a permanent license.  The interim license shall remain valid until final action either issuing a license or denying the application for a license is taken by the ABLE Commission on the application for a license, on which date the interim license shall expire.


Added by Laws 1985, c. 6, § 105, emerg. eff. March 14, 1985. Amended by Laws 1985, c. 195, § 15, emerg. eff. June 26, 1985.  

§37590.  Counties  Sale of alcoholic beverages by individual drink  Elections.

Sale of alcoholic beverages by the individual drink for onpremises consumption shall be unlawful in any county of this state unless said sale has been approved by a majority of the registered voters of the county voting thereon at a Special Election called by the board of county commissioners. Such election shall be called by the board of county commissioners upon receipt of a petition signed by registered voters constituting not less than fifteen percent (15%) of the total votes cast in the county in the last General Election for the Office of Governor, or such election may be called by the board of county commissioners upon its own motion.  At the time such election is called, the proposition shall include those days or portions of days, if any, on which sales of alcoholic beverages by the individual drink are not authorized.  If the proposition is the result of a motion of the board of county commissioners then the board shall designate the days or portions of days, if any, on which the sales of alcoholic beverages are not authorized. If the proposition is the result of a petition, such petition shall specify days or portions of days, if any, on which the sales of alcoholic beverages are not authorized.

If, at the Special Election, the proposition to authorize the sale of alcoholic beverages by the individual drink for onpremises consumption fails to be approved by the registered voters of the county, the county shall not hold another election on whether or not to approve such sales, for at least two (2) years from the date the proposition failed to be approved.


Added by Laws 1985, c. 6, § 74, emerg. eff. March 14, 1985. Amended by Laws 1987, c. 76, § 1, eff. Nov. 1, 1987.  

§37-591.  Mixed beverage or beer and wine licensee - Limitations on hours to sell, dispense, serve or consume alcoholic beverages - Counties may prohibit sales of individual drinks on certain days.

A.  No alcoholic beverages may be sold, dispensed, served or consumed on the premises of a mixed beverage or beer and wine licensee between the hours of 2:00 a.m. and 10:00 a.m.

B.  Counties that elect to authorize sales of alcoholic beverages by the individual drink may designate any or all of the following days as days or portions thereof on which the sales of alcoholic beverages are not authorized:

1.  On the first day of the week, commonly called Sunday;

2.  On the day of any national, state, county or city election, including primary elections, during the hours the polls are open; and

3.  On Decoration or Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day.

Added by Laws 1985, c. 6, § 75, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 24.


§37592.  Bottle clubs  Hours during which alcoholic beverages may not be dispensed, served or consumed on premises.

No alcoholic beverages may be dispensed, served or consumed on the premise of a bottle club licensee between the hours of 2:00 a.m. and 10:00 a.m.


Added by Laws 1985, c. 6, § 76, emerg. eff. March 14, 1985.  

§37593.  Bottle club membership cards  Privileges of bottle club license  Nonalcoholic beverages  Violations and penalties  License fees  Counties where retail sale of individual drink not authorized.

A.  No person shall be allowed to enter or remain in the designated bar or lounge area of a bottle club unless that person possesses a valid membership card for that club issued by the club.

Membership cards issued by a bottle club shall be purchased by the club from the Alcoholic Beverage Laws Enforcement Commission at a cost of Three Dollars ($3.00) per temporary membership card and Twentyfive Dollars ($25.00) per annual membership card.  A temporary membership card shall be valid for a period of seventytwo (72) consecutive hours from issuance to the member.  The date of issuance of a temporary membership shall be clearly and prominently marked upon the card.  When the card is issued to a member by the club, the club may require said members to reimburse the club for the cost of the card.  No membership card shall be issued to any person under twentyone (21) years of age.

The ABLE Commission shall have the authority to promulgate rules and regulations concerning bottle club membership cards.

B.  A bottle club license authorizes alcoholic beverages belonging to members of the club to be:

1.  Stored, possessed and mixed on club premises; and

2.  Served for onpremises consumption to members.  Each member shall be served only from the member's individually owned bottle of alcoholic beverage which shall be marked with the owner's full name or code number.  Such numbers shall be maintained on the club premises, available for inspection by agents of the ABLE Commission or by any other peace officer.

Pool systems of storage and purchase of alcoholic beverages in a bottle club are specifically prohibited.

C.  The sale, preparation or service of ice or nonalcoholic beverages that are sold, prepared or served for the purpose of being mixed with alcoholic beverages for consumption on the premises where such sale, preparation or service occurs shall be subject to the sales tax levied by the Oklahoma Sales Tax Code and to any municipal or county sales taxes.

D.  Any bottle club licensee, or employee or agent of said licensee who sells to a member any alcoholic beverage shall be deemed guilty of a misdemeanor and upon conviction thereof shall be punished by a fine of One Thousand Dollars ($1,000.00) and the club license shall be revoked for a period of thirty (30) days.  Any bottle club licensee, or employee or agent of said licensee who delivers or furnishes to a member any alcoholic beverage that does not belong to said member shall be deemed guilty of a misdemeanor and upon conviction thereof shall be punished by a fine of not less than Five Hundred Dollars ($500.00) nor more than One Thousand Dollars ($1,000.00) and the club license shall be revoked for a period of thirty (30) days.  Any bottle club licensee, or employee or agent of said licensee who permits any person who is not a member to enter and remain in the designated bar or lounge area of the club premises shall be deemed guilty of a misdemeanor and upon conviction thereof shall be punished by a fine of One Thousand Dollars ($1,000.00) and the bottle club license shall be suspended for a period of thirty (30) days.  No bottle club licensee, or employee or agent of said licensee shall serve alcoholic beverages to any person that does not possess a valid membership card for that club issued by the club.

E.  Any bottle club licensed under the provisions of the Oklahoma Alcoholic Beverage Control Act shall pay the license fee provided by law and obtain a separate license for each separate place of business.

F.  In counties of this state where retail sale of alcoholic beverages by the individual drink has not been authorized no person shall serve alcoholic beverages by the individual drink for onpremises consumption or permit the consumption of alcoholic beverages except in a bottle club licensed pursuant to this section or in a private residence, provided, that this shall not prohibit a winery from serving visitors on the licensed premises free samples of wine produced on the premises.  No member of a bottle club shall serve alcoholic beverages lawfully prepared for said member in the designated bar or lounge area of a bottle club to any person who does not possess a valid membership card for the bottle club.

Added by Laws 1985, c. 6, § 80, emerg. eff. March 14, 1985.  Amended by Laws 1992, c. 58, § 2, eff. Sept. 1, 1992.


§37594.  Caterer license.

A.  A caterer license may be issued to any corporation, association, individual, or limited liability company, or any type of partnership for the purpose of sale, delivery or distribution of alcoholic beverages for onpremises consumption incidental to the sale or distribution of food.

B.  The ABLE Commission shall adopt rules governing the application for and the issuance of caterer licenses.

C.  The restrictions and regulations which apply to the sale of mixed beverages on the premises of a mixed beverage licensee also apply to the sale under the authority of a caterer license.  Any act which if done on the premises of a mixed beverage licensee would be a ground for revocation or suspension of the mixed beverage license is a ground for revocation or suspension of a caterer license.

D.  If the premises, where the event being catered is held, are already operating pursuant to another type of license issued by the ABLE Commission, the caterer and other said licensee shall both be responsible for the actions of the caterer and shall both be subject to penalties for violations, by the caterer, of the Oklahoma Alcoholic Beverage Control Act and any rules promulgated thereto.

E.  A caterer licensee may not store alcoholic beverages unless said licensee has a storage license issued by the ABLE Commission.

Added by Laws 1985, c. 6, § 81, emerg. eff. March 14, 1985.  Amended by Laws 1995, c. 192, § 13, eff. Sept. 1, 1995.


§37594.1.  Hotel beverage license  Minibars.

A.  A hotel beverage license may be issued to a hotel or motel as defined by Section 506 of Title 37 of the Oklahoma Statutes which is also the holder of a mixed beverage license.  Provided, that application may be made simultaneously for both such licenses.

B.  The Alcoholic Beverage Laws Enforcement Commission shall adopt rules and regulations governing the application for and the issuance of hotel beverage licenses.

C.  Notwithstanding any other provision of this act, a hotel may sell alcoholic beverages to its registered guests by means of a minibar located in the guestrooms of those registered guests provided that:

1.  Access to any minibar shall only be by a key, magnetic card or similar device;

2.  Access to a minibar in a particular guestroom is provided, whether by furnishing a key, magnetic card or similar device only to a registered guest over twentyone (21) years of age registered to stay in the guestroom;

3.  The licensee shall verify that each registered guest to whom a key, magnetic card or similar device to access a minibar is to be provided is over twentyone (21) years of age; and

4.  All employees handling the alcoholic beverages to be placed in the minibar possess an employee license issued by the ABLE Commission.


Added by Laws 1987, c. 180, § 13, emerg. eff. June 29, 1987.  

§37-595.  Special event license.

A.  A special event license may be issued to an organization, association or nonprofit corporation organized for political, fraternal, charitable, religious or social purposes.  The holder of a special event license is authorized to sell and distribute alcoholic beverage on the premises for which the license is issued.

B.  The Alcoholic Beverage Laws Enforcement Commission shall adopt rules and regulations governing the application for and the issuance of special event licenses.

C.  The restrictions and regulations which apply to the sale of mixed beverages on the premises of a mixed beverage licensee also apply to the sale of such beverages under the authority of a special event license.  Any act which if done on the premises of a mixed beverage licensee would be a ground for revocation or suspension of the mixed beverage license is a ground for revocation or suspension of a special event license.

D.  No special event license may be issued for any premises already licensed by the ABLE Commission.

Added by Laws 1985, c. 6, § 82, emerg. eff. March 14, 1985.  Amended by Laws 2000, c. 13, § 3, eff. July 1, 2000.


§37-596.  Mixed beverage, bottle club, beer and wine, caterer or special event licensee - Responsibility for violations.

Each bottle club or mixed beverage, beer and wine, caterer or special event licensee shall be held responsible for violation of any alcoholic beverage law or administrative rule of the Alcoholic Beverage Laws Enforcement Commission affecting his license privileges and for any act or omission of his servant, agent, employee or representative in violation of any law, municipal ordinance or administrative rule affecting his license privileges.

Added by Laws 1985, c. 6, § 84, emerg. eff. March 14, 1985.  Amended by Laws 1994, c. 361, § 25.


§37597.  Airline/railroad beverage license.

An airline/railroad beverage license may be issued to any corporation operating a commercial airline or railroad in or through this state.  Application and payment of the license fee shall be made directly to the Alcoholic Beverage Laws Enforcement Commission.


Added by Laws 1985, c. 6, § 87, emerg. eff. March 14, 1985.  

§37-598.  Persons under 21 years of age not to be admitted to certain lounge or bar areas.

A.  If the premises of a licensee of the Alcoholic Beverage Laws Enforcement Commission contains a separate or enclosed lounge or bar area, which has as its main purpose the sale or distribution, of alcoholic beverages for on-premises consumption, notwithstanding that as an incidental service, meals or short order foods are made available therein, no person under twenty-one (21) years of age shall be admitted to such area, except for members of a musical band employed or hired as provided in paragraph 2 of subsection B of Section 537 of this title when the band is to perform within such area, or persons under twenty-one (21) years of age who are on the licensed premises for the limited purpose of performing maintenance, construction, remodeling, painting or other similar services relating to the building or equipment installation, repair or maintenance on the premises during those hours when the licensed establishment is closed for business.  The provisions of this section shall not prohibit persons under twenty-one (21) years of age from being admitted to an area which has as its main purpose some objective other than the sale or mixing or serving of said beverages, in which sales or serving of said beverages are incidental to the main purpose, as long as the persons under twenty-one (21) years of age are not sold or served alcoholic beverages.  The incidental service of food in the bar area shall not exempt a licensee from the provisions of this section.  The ABLE Commission shall have the authority to designate the portions of the premises of a licensee where persons under twenty-one (21) years of age shall not be admitted pursuant to this section.  For purposes of this section only, the term "alcoholic beverages" shall include low-point beer, as defined in Section 163.2 of this title.

B.  Except as otherwise provided, an admission charge shall not be considered in any calculation designed to determine the main purpose of an establishment pursuant to subsection A of this section.  As used in this section, "admission charge" means any form of consideration received by an establishment from a person in order for that person to gain entrance into the establishment.

C.  The provisions of subsection B of this section shall not apply:

1.  If only persons eighteen (18) years of age or older are permitted to enter the licensed premises; provided however, if the licensee is claiming an exception from the requirements of subsection B of this section pursuant to this paragraph and fails to restrict the entry by persons under age eighteen (18) into the licensed premises, the ABLE Commission shall designate that only persons twenty-one (21) years of age or older are allowed on the licensed premises;

2.  If the licensed premises are owned or operated by a service organization or fraternal establishment which is exempt under Section 501(c)(19), (8), or (10) of the Internal Revenue Code; or

3.  To a public event held in a facility owned or operated by any agency, political subdivision or public trust of this state.

D.  The ABLE Commission shall promulgate rules necessary to implement the provisions of this section.

Added by Laws 1985, c. 6, § 88, emerg. eff. March 14, 1985.  Amended by Laws 1989, c. 3, § 5, emerg. eff. March 8, 1989; Laws 1989, c. 340, § 7, emerg. eff. June 3, 1989; Laws 1995, c. 274, § 47, eff. Nov. 1, 1995; Laws 1997, c. 364, § 4, eff. Nov. 1, 1997; Laws 2002, c. 460, § 29, eff. Nov. 1, 2002.


§37599.  Additional hours license.

The Alcoholic Beverage Laws Enforcement Commission may issue an additional hours license to the holder of a caterer or special event license.  The additional hours license shall authorize the holder thereof to sell, dispense or serve alcoholic beverages from 6:00 a.m. to 10:00 a.m.


Added by Laws 1985, c. 6, § 99, emerg. eff. March 14, 1985.  

§37-600.1.  Short title.

This act shall be known and may be cited as the "Prevention of Youth Access to Tobacco Act".

Added by Laws 1994, c. 137, § 2, eff. July 1, 1994.


§37-600.2.  Definitions.

As used in the Prevention of Youth Access to Tobacco Act:

1.  "Person" means any individual, firm, fiduciary, partnership, corporation, trust, or association, however formed;

2.  "Proof of age" means a driver license, license for identification only, or other generally accepted means of identification that describes the individual as eighteen (18) years of age or older and contains a photograph or other likeness of the individual and appears on its face to be valid;

3.  "Sample" means a tobacco product distributed to members of the public at no cost for the purpose of promoting the product;

4.  "Sampling" means the distribution of samples to members of the public in a public place;

5.  "Tobacco product" means any product that contains tobacco and is intended for human consumption;

6.  "Transaction scan" means the process by which a seller checks, by means of a transaction scan device, the validity of a driver license or other government-issued photo identification; and

7.  "Transaction scan device" means any commercial device or combination of devices used at a point of sale or entry that is capable of deciphering in an electronically readable format the information encoded on the magnetic strip or bar code of a driver license or other government-issued photo identification.

Added by Laws 1994, c. 137, § 3, eff. July 1, 1994.  Amended by Laws 1996, c. 144, § 1, eff. Nov. 1, 1996; Laws 2000, c. 277, § 1, eff. Nov. 1, 2000 and Laws 2000, c. 342, § 9, eff. July 1, 2000.


NOTE:  Laws 2000, c. 277, § 1 and Laws 2000, c. 342, § 9 contain duplicate amendments.


§37-600.3.  Furnishing of tobacco products to minors prohibited - Proof of age - Fines - Employee and employer liability - Notification of storeowners - Failure to pay administrative fine - Multiple violations - Municipal ordinances.

A.  It is unlawful for any person to sell, give or furnish in any manner any tobacco product to another person who is under eighteen (18) years of age, or to purchase in any manner a tobacco product on behalf of any such person.  It shall not be unlawful for an employee under eighteen (18) years of age to handle tobacco products when required in the performance of the employee's duties.

B.  A person engaged in the sale or distribution of tobacco products shall demand proof of age from a prospective purchaser or recipient if an ordinary person would conclude on the basis of appearance that the prospective purchaser may be under eighteen (18) years of age.

If an individual engaged in the sale or distribution of tobacco products has demanded proof of age from a prospective purchaser or recipient who is not under eighteen (18) years of age, the failure to subsequently require proof of age shall not constitute a violation of subsection B of this section.

C.  1.  When a person violates subsection A or B of this section, the Alcoholic Beverage Laws Enforcement (ABLE) Commission shall impose an administrative fine of:

a. not more than One Hundred Dollars ($100.00) for the first offense,

b. not more than Two Hundred Dollars ($200.00) for the second offense within a two-year period following the first offense,

c. not more than Three Hundred Dollars ($300.00) for a third offense within a two-year period following the first offense.  In addition to any other penalty, the store's license to sell tobacco products may be suspended for a period not exceeding thirty (30) days, or

d. not more than Three Hundred Dollars ($300.00) for a fourth or subsequent offense within a two-year period following the first offense.  In addition to any other penalty, the store's license to sell tobacco products may be suspended for a period not exceeding sixty (60) days.

2.  When it has been determined that a penalty shall include a license suspension, the ABLE Commission shall notify the Oklahoma Tax Commission, and the Tax Commission shall suspend the store's license to sell tobacco products at the location where the offense occurred for the period of time prescribed by the ABLE Commission.

3.  Proof that the defendant demanded, was shown, and reasonably relied upon proof of age shall be a defense to any action brought pursuant to this section.  A person cited for violating this section shall be deemed to have reasonably relied upon proof of age, and such person shall not be found guilty of such violation if such person proves that:

a. the individual who purchased or received the tobacco product presented a driver license or other government-issued photo identification purporting to establish that such individual was eighteen (18) years of age or older, and

b. the person cited for the violation confirmed the validity of the driver license or other government-issued photo identification presented by such individual by performing a transaction scan by means of a transaction scan device.

Provided, that this defense shall not relieve from liability any person cited for a violation of this section if such person failed to exercise reasonable diligence to determine whether the physical description and picture appearing on the driver license or other government-issued photo identification was that of the individual who presented it.  The availability of the defense described in this subsection does not affect the availability of any other defense under any other provision of law.

D.  If the sale is made by an employee of the owner of a store at which tobacco products are sold at retail, the employee shall be guilty of the violation and shall be subject to the fine.  Each violation by any employee of an owner of a store licensed to sell tobacco products shall be deemed a violation against the owner for purposes of a license suspension pursuant to subsection C of this section.  An owner of a store licensed to sell tobacco products shall not be deemed in violation of the provisions of the Prevention of Youth Access to Tobacco Act for any acts constituting a violation by any person, when the violation occurs prior to actual employment of the person by the store owner or the violation occurs at a location other than the owner's retail store.  For purposes of determining the liability of a person controlling franchises or business operations in multiple locations, for any violations of subsection A or B of this section, each individual franchise or business location shall be deemed a separate entity.

E.  On or before December 15, 1997, the ABLE Commission shall adopt rules establishing a method of notification of storeowners when one of their employees has been determined to be in violation of this section by the ABLE Commission or convicted of a violation by a municipality.

F.  1.  Upon failure of the employee to pay the administrative fine within ninety (90) days of the day of the assessment of such fine, the ABLE Commission shall notify the Department of Public Safety and the Department shall suspend or not issue a driver license to the employee until proof of payment has been furnished to the Department of Public Safety.

2.  Upon failure of a storeowner to pay the administrative fine within ninety (90) days of the assessment of the fine, the ABLE Commission shall notify the Tax Commission and the Tax Commission shall suspend the store's license to sell tobacco products until proof of payment has been furnished to the Oklahoma Tax Commission.

G.  Cities and towns may enact and municipal police officers may enforce ordinances prohibiting and penalizing conduct under provisions of this section, but the provisions of municipal ordinances shall be the same as provided for in this section, and the penalty provisions under such ordinances shall not be more stringent than those of this section.

H.  County sheriffs may enforce the provisions of the Prevention of Youth Access to Tobacco Act.

Added by Laws 1994, c. 137, § 4, eff. July 1, 1994.  Amended by Laws 1996, c. 144, § 2, eff. Nov. 1, 1996; Laws 1997, c. 171, § 1, eff. Nov. 1, 1997; Laws 2000, c. 342, § 10, eff. July 1, 2000; Laws 2001, c. 5, § 12, emerg. eff. March 21, 2001; Laws 2004, c. 253, § 1, eff. July 1, 2004.


NOTE:  Laws 2000, c. 277, § 2 repealed by Laws 2001, c. 5, § 13, emerg. eff. March 21, 2001.


§37-600.4.  Purchase receipt or possession of tobacco products by minors prohibited - Falsifying proof of age - Penalties - Notification of parent or guardian - Municipal ordinances.

A.  It is unlawful for a person who is under eighteen (18) years of age to purchase, receive, or have in their possession a tobacco product, or to present or offer to any person any purported proof of age which is false or fraudulent, for the purpose of purchasing or receiving any tobacco product.  It shall not be unlawful for an employee under eighteen (18) years of age to handle tobacco products when required in the performance of the employee's duties.

B.  When a person violates subsection A of this section, the Alcoholic Beverage Laws Enforcement (ABLE) Commission shall impose an administrative fine of:

1.  Not to exceed One Hundred Dollars ($100.00) for a first offense; and

2.  Not to exceed Two Hundred Dollars ($200.00) for a second or subsequent offense within a one-year period following the first offense.

Upon failure of the individual to pay the administrative fine within ninety (90) days of the day of the fine, the ABLE Commission shall notify the Department of Public Safety and the Department shall suspend or not issue a driver license to the individual until proof of payment has been furnished to the Department of Public Safety.

C.  The ABLE Commission shall establish rules to provide for notification to a parent or guardian of any minor cited for a violation of this section.

D.  Cities and towns may enact and municipal police officers may enforce ordinances prohibiting and penalizing conduct under provisions of this section, but the provisions of such ordinances shall be the same as provided for in this section, and the enforcement provisions under such ordinances shall not be more stringent than those of this section.

Added by Laws 1994, c. 137, § 5, eff. July 1, 1994.  Amended by Laws 1996, c. 144, § 3, eff. Nov. 1, 1996; Laws 1997, c. 171, § 2, eff. Nov. 1, 1997.


§37-600.5.  Signs in retail establishments required - Fines.

A.  Every person who sells or displays tobacco products at retail shall post conspicuously and keep so posted at the place of business a sign, as specified by the Alcoholic Beverage Laws Enforcement (ABLE) Commission, stating the following:  "IT'S THE LAW.  WE DO NOT SELL TOBACCO PRODUCTS TO PERSONS UNDER 18 YEARS OF AGE".  The sign shall also provide the toll-free number operated by the Alcoholic Beverage Laws Enforcement (ABLE) Commission for the purpose of reporting violations of the Prevention of Youth Access to Tobacco Act.

B.  When a person violates subsection A of this section, the Alcoholic Beverage Laws Enforcement (ABLE) Commission shall impose an administrative fine of not more than Fifty Dollars ($50.00) for each day a violation occurs.  Each day a violation is continuing shall constitute a separate offense.  The notice required by subsection A of this section shall be the only notice required to be posted or maintained in any store that sells tobacco products at retail.

Added by Laws 1994, c. 137, § 6, eff. July 1, 1994.  Amended by Laws 1997, c. 171, § 3, eff. Nov. 1, 1997; Laws 2004, c. 253, § 2, eff. July 1, 2004.


§37-600.6.  Notice to retail employees - Signed acknowledgement.

A.  Every person engaged in the business of selling tobacco products at retail shall notify each individual employed by that person as a retail sales clerk that state law:

1.  Prohibits the sale or distribution of tobacco products to any person under eighteen (18) years of age and the purchase or receipt of tobacco products by any person under eighteen (18) years of age; and

2.  Requires that proof of age be demanded from a prospective purchaser or recipient if an ordinary person would conclude on the basis of appearance that the prospective purchaser or recipient may be under eighteen (18) years of age.

B.  This notice shall be provided before the individual commences work as a retail sales clerk.  The individual shall signify that he or she has received the notice required by this section by signing a form stating as follows:

"I understand that state law prohibits the sale or distribution of tobacco products to persons under eighteen (18) years of age and out-of-package sales, and requires proof of age of purchaser or recipient if an ordinary person would conclude on the basis of appearance that the prospective purchaser or recipient may be under eighteen (18) years of age.  I promise, as a condition of my employment, to obey the law.  I understand that violations by me may be punishable by fines, suspension or nonissuance of my driver license.  In addition, I understand that violations by me may subject the storeowner to fines or license suspension."

Added by Laws 1994, c. 137, § 7, eff. July 1, 1994.  Amended by Laws 1997, c. 171, § 4, eff. Nov. 1, 1997.


§37-600.7.  Vending machines sales restricted.

It shall be unlawful for any person to sell tobacco products through a vending machine unless the vending machine is located:

1.  In areas of factories, businesses, offices or other places that are not open to the public; and

2.  In places that are open to the public, but to which persons under eighteen (18) years of age are not admitted.

Added by Laws 1994, c. 137, § 8, eff. July 1, 1994.  Amended by Laws 2004, c. 253, § 3, eff. July 1, 2004.


§37-600.8.  Distribution of tobacco product samples restricted - Fines - Municipal ordinances.

A.  It shall be unlawful for any person or retailer to distribute tobacco products or product samples to any person under eighteen (18) years of age.

B.  No person shall distribute tobacco products or product samples in or on any public street, sidewalk, or park that is within three hundred (300) feet of any playground, school, or other facility when the facility is being used primarily by persons under eighteen (18) years of age.

C.  When a person violates any provision of subsection A or B of this section, the Alcoholic Beverage Laws Enforcement (ABLE) Commission shall impose an administrative fine of:

1.  Not more than One Hundred Dollars ($100.00) for the first offense;

2.  Not more than Two Hundred Dollars ($200.00) for the second offense; and

3.  Not more than Three Hundred Dollars ($300.00) for a third or subsequent offense.

D.  Upon failure of any person to pay an administrative fine within ninety (90) days of the assessment of the fine, the ABLE Commission shall notify the Department of Public Safety, and the Department shall suspend or not issue a driver license to the person until proof of payment has been furnished to the Department of Public Safety.

E.  Cities and towns may enact and municipal police officers may enforce ordinances prohibiting and penalizing conduct under provisions of this section, but the provisions of municipal ordinances shall be the same as provided for in this section, and the penalty provisions under such ordinances shall not be more stringent than those of this section.

Added by Laws 1994, c. 137, § 9, eff. July 1, 1994.  Amended by Laws 1996, c. 144, § 4, eff. Nov. 1, 1996; Laws 1997, c. 171, § 5, eff. Nov. 1, 1997; Laws 2004, c. 253, § 4, eff. July 1, 2004.


§37-600.9.  Sale of tobacco products except in original, sealed packaging prohibited - Fine - Municipal ordinances.

A.  It is unlawful for any person to sell cigarettes except in the original, sealed package in which they were placed by the manufacturer.

B.  When a person violates subsection A of this section, the Alcoholic Beverage Laws Enforcement (ABLE) Commission shall impose an administrative fine of not more than Two Hundred Dollars ($200.00) for each offense.

C.  Cities and towns may enact and municipal police officers may enforce ordinances prohibiting and penalizing conduct under provisions of this section, but the provisions of such ordinances shall be the same as provided for in this section, and the enforcement provisions under such ordinances shall not be more stringent than those of this section.

Added by Laws 1994, c. 137, § 10, eff. July 1, 1994.  Amended by Laws 1996, c. 144, § 5, eff. Nov. 1, 1996; Laws 1997, c. 171, § 6, eff. Nov. 1, 1997.


§37-600.10.  Regulation by political subdivisions restricted.

No agency or other political subdivision of the state, including, but not limited to, municipalities, counties or any agency thereof, may adopt any order, ordinance, rule or regulation concerning the sale, purchase, distribution, advertising, sampling, promotion, display, possession, licensing, or taxation of tobacco products, except as provided in Section 1511 of Title 68 of the Oklahoma Statutes, Section 1-1521 et seq. of Title 63 of the Oklahoma Statutes and Section 1247 of Title 21 of the Oklahoma Statutes.  Provided, however, nothing in this section shall preclude or preempt any agency or political subdivision from exercising its lawful authority to regulate zoning or land use or to enforce a fire code regulation regulating smoking or tobacco products to the extent that such regulation is substantially similar to nationally recognized standard fire codes.

Added by Laws 1994, c. 137, § 11, eff. July 1, 1994.


§37-600.10A.  Display or sale of tabacco products - Public access - Fines - Municipal ordinances.

A.  It is unlawful for any person or retail store to display or offer for sale tobacco products in any manner that allows public access to the tobacco product without assistance from the person displaying the tobacco product or an employee or the owner of the store.  The provisions of this subsection shall not apply to retail stores which do not admit into the store persons under eighteen (18) years of age.

B.  When a person violates subsection A of this section, the Alcoholic Beverage Laws Enforcement (ABLE) Commission shall impose an administrative fine of not more than Two Hundred Dollars ($200.00) for each offense.

C.  Cities and towns may enact and municipal police officers may enforce ordinances prohibiting and penalizing conduct under provisions of this section, but the provisions of municipal ordinances shall be the same as provided for in this section and the penalty provisions under such ordinances shall not be more stringent than those of this section.

Added by Laws 2004, c. 253, § 5, eff. July 1, 2004.


§37-600.11.  Enforcement of act by Alcoholic Beverage Laws Enforcement Commission.

A.  The Alcoholic Beverage Laws Enforcement (ABLE) Commission is authorized and empowered to enforce the provisions of Sections 600.1 et seq. of this title.  The ABLE Commission shall enforce those provisions in a manner that can reasonably be expected to reduce the extent to which tobacco products are sold or distributed to persons under eighteen (18) years of age.

B.  The ABLE Commission may consider mitigating or aggravating circumstances involved with the violation of the Prevention of Youth Access to Tobacco Act when assessing penalties.

C.  Any conviction for a violation of a municipal ordinance authorized by the Prevention of Youth Access to Tobacco Act and any compliance checks by a municipal police officer or a county sheriff pursuant to subsection E of this section shall be reported in writing to the ABLE Commission within thirty (30) days of such conviction or compliance check.  Such reports shall be compiled in the manner prescribed by the ABLE Commission.

D.  For the purpose of determining second or subsequent violations, both the offenses penalized by the ABLE Commission as administrative fines and the offenses penalized by municipalities and towns and reported to the ABLE Commission, shall be considered together in such determination.

E.  Persons under eighteen (18) years of age may be enlisted by the ABLE Commission, a municipality or town, or a county to assist in compliance checks and enforcement; provided, such persons may be used to test compliance only if written parental consent has been provided and the testing is conducted under the direct supervision of the ABLE Commission or conducted by another law enforcement agency if such agency has given written notice to the ABLE Commission in the manner prescribed by the ABLE Commission.  Municipalities which have enacted municipal ordinances in accordance with the Prevention of Youth Access to Tobacco Act may conduct, pursuant to rules of the ABLE Commission, compliance checks without prior notification to the ABLE Commission and shall be exempt from the written notice requirement in this subsection.  This subsection shall not apply to the use of persons under eighteen (18) years of age to test compliance if the compliance test is being conducted by or on behalf of a retailer of cigarettes, as defined in Section 301 of Title 68 of the Oklahoma Statutes, at any location the retailer of cigarettes is authorized to sell cigarettes.  Any other use of persons under eighteen (18) years of age to test compliance shall be unlawful and punishable by the ABLE Commission by assessment of an administrative fine of One Hundred Dollars ($100.00).

F.  At the beginning of each month, the Oklahoma Tax Commission, pursuant to Section 205 of Title 68 of the Oklahoma Statutes, shall provide to the ABLE Commission and to each municipality which has ordinances concerning the Prevention of Youth Access to Tobacco Act, the location, name, and address of each licensee licensed to sell tobacco products at retail or otherwise furnish tobacco products.  Upon violation of an employee at a location, the ABLE Commission shall notify the storeowner for that location of the latest and all previous violations when one of their employees has been determined to be in violation of the Prevention of Youth Access to Tobacco Act by the ABLE Commission or convicted of a violation by a municipality.  If the ABLE Commission fails to notify the licensee of a violation by an employee, that violation shall not apply against the licensee for the purpose of determining a license suspension pursuant to Section 600.3 of this title.  For purposes of this subsection, notification shall be deemed given if the ABLE Commission mails, by mail with delivery confirmation, the notification to the address which is on file with the Oklahoma Tax Commission of the licensee of the location at which the violation occurred and the ABLE Commission receives delivery confirmation from the U.S. Postal Service.

G.  Upon request of a storeowner or a municipality which has enacted ordinances in accordance with the Prevention of Youth Access to Tobacco Act, the ABLE Commission is hereby authorized to provide information on any Prevention of Youth Access to Tobacco Act offense of any applicant for employment or employee of the storeowner.

H.  The ABLE Commission shall prepare for submission annually to the Secretary of the United States Department of Health and Human Services, the report required by Section 1926 of the federal Public Health Service Act (42 U.S.C. 300-26), and otherwise shall be responsible for ensuring the state's compliance with that provision of federal law and any implementing of regulations promulgated by the United States Department of Health and Human Services.

Added by Laws 1994, c. 137, § 12, eff. July 1, 1994.  Amended by Laws 1996, c. 144, § 6, eff. Nov. 1, 1996; Laws 1997, c. 171, § 7, eff. Nov. 1, 1997; Laws 2004, c. 253, § 6, eff. July 1, 2004.


§37-600.11a.  Municipalities to provide information to ABLE Commission.

Any city or town that enacts and enforces ordinances prohibiting and penalizing conduct under provisions of Section 600.3, 600.4, 600.8 or 600.9 of this title shall furnish information requested by the ABLE Commission in the form, manner and time as may be determined by the ABLE Commission which will allow the ABLE Commission to comply with subsection C of Section 600.11 of this title.

Added by Laws 1996, c. 144, § 7, eff. Nov. 1, 1996.


§37-600.11b.  Distribution of administrative fine.

For violations of the Prevention of Youth Access to Tobacco Act which occur in a municipality that has adopted ordinances prohibiting and penalizing conduct under provisions of the Prevention of Youth Access to Tobacco Act, thirty-five percent (35%) of each administrative fine imposed by the Alcoholic Beverage Laws Enforcement (ABLE) Commission pursuant to the Prevention of Youth Access to Tobacco Act shall be remitted to such municipality.

Added by Laws 1997, c. 171, § 8, eff. Nov. 1, 1997.


§37-600.12.  Certain other penalties authorized by law not excluded.

Nothing in the Prevention of Youth Access to Tobacco Act shall be construed to prevent the imposition of any penalty as specified in Section 1241 of Title 21 of the Oklahoma Statutes.

Added by Laws 1994, c. 137, § 13, eff. July 1, 1994.


§37-600.13.  Transfer of any material or device used in smoking, chewing or consumption of tobacco to minors prohibited - Administrative fine for violation.

A.  It is unlawful for any person to sell, give or furnish in any manner to another person who is under eighteen (18) years of age any material or device used in the smoking, chewing, or other method of consumption of tobacco, including cigarette papers, pipes, holders of smoking materials of all types, and other items designed primarily for the smoking or ingestion of tobacco products.

B.  When a person violates subsection A of this section, the Alcoholic Beverage Laws Enforcement (ABLE) Commission shall impose an administrative fine of not more than One Hundred Dollars ($100.00) for each offense.

Added by Laws 2004, c. 375, § 1, eff. July 1, 2004.


§37-600.21.  Legislative findings and policies concerning tobacco manufacturer liability - Master Settlement Agreement.

A.  The Oklahoma Legislature finds that cigarette smoking presents serious public health concerns to the State of Oklahoma and its citizens.  The Oklahoma Legislature also finds that:

1.  The Surgeon General has determined that smoking causes lung cancer, heart disease and other serious diseases;

2.  There are hundreds of thousands of tobacco-related deaths in the United States each year; and

3.  These diseases most often do not appear until many years after the person in question begins smoking.

B.  The Oklahoma Legislature further finds that cigarette smoking also presents serious financial concerns for the State of Oklahoma; that, under certain health care programs, the state may have a legal obligation to provide medical assistance to eligible persons for health conditions associated with cigarette smoking; that those persons may have a legal entitlement to receive such medical assistance; and that, under these programs, the State of Oklahoma pays millions of dollars each year to provide medical assistance for those persons for health conditions associated with cigarette smoking.

C.  The Oklahoma Legislature additionally finds that it is the policy of the State of Oklahoma that financial burdens imposed on the state by cigarette smoking should be borne by tobacco product manufacturers rather than by the State of Oklahoma to the extent that such manufacturers either determine to enter into a settlement with the state, or are found culpable by the courts; and that on November 23, 1998, leading United States tobacco product manufacturers entered into a settlement agreement, entitled the "Master Settlement Agreement", with the state, which obligates these manufacturers, in return for a release of past, present and certain future claims against them as described therein, to pay substantial sums to the state (tied in part to their volume of sales); to fund a national foundation devoted to the interests of public health; and to make substantial changes in their advertising and marketing practices and corporate culture, with the intention of reducing underage smoking.

D.  The Oklahoma Legislature therefore finally finds that it would be contrary to the policy of the State of Oklahoma if tobacco product manufacturers who determine not to enter into such a settlement could use a resulting cost advantage to derive large, short-term profits in the years before liability may arise without ensuring that the state will have an eventual source of recovery from them if they are proven to have acted culpably; and that it is thus in the interest of the State of Oklahoma to require that such manufacturers establish a reserve fund to guarantee a source of compensation and to prevent such manufacturers from deriving large, short-term profits and then becoming judgment-proof before liability may arise.

Added by Laws 1999, c. 357, § 1, eff. July 1, 1999.


§37-600.22.  Definitions.

When used in this act:

1.  "Adjusted for inflation" means increased in accordance with the formula for inflation adjustment set forth in Exhibit C to the Master Settlement Agreement;

2.  "Affiliate" means a person who directly or indirectly owns or controls, is owned or controlled by, or is under common ownership or control with, another person.  Solely for purposes of this definition, the terms "owns", "is owned" and "ownership" mean ownership of an equity interest, or the equivalent thereof, of ten percent (10%) or more, and the term "person" means an individual, partnership, committee, association, corporation or any other organization or group of persons;

3.  "Allocable share" means allocable share as that term is defined in the Master Settlement Agreement;

4.  "Cigarette" means any product that contains nicotine, is intended to be burned or heated under ordinary conditions of use, and consists of or contains:

a. any roll of tobacco wrapped in paper or in any substance not containing tobacco,

b. tobacco, in any form, that is functional in the product, which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette, or

c. any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette described in subparagraph a of this paragraph.

The term "cigarette" includes "roll-your-own" (i.e., any tobacco which, because of its appearance, type, packaging, or labeling is suitable for use and likely to be offered to, or purchased by, consumers as tobacco for making cigarettes).  For purposes of this definition of "cigarette", nine one-hundredths (0.09) of an ounce of "roll-your-own" tobacco shall constitute one individual "cigarette";

5.  "Master Settlement Agreement" means the settlement agreement and related documents entered into on November 23, 1998, by the State of Oklahoma and leading United States tobacco product manufacturers;

6.  "Qualified escrow fund" means an escrow arrangement with a federally or state-chartered financial institution having no affiliation with any tobacco product manufacturer and having assets of at least One Billion Dollars ($1,000,000,000.00) where such arrangement requires that such financial institution hold the escrowed funds' principal for the benefit of releasing parties and prohibits the tobacco product manufacturer placing funds into escrow from using, accessing or directing the use of the funds' principal except as consistent with Section 3 of this act;

7.  "Released claims" means released claims as that term is defined in the Master Settlement Agreement;

8.  "Releasing parties" means releasing parties as that term is defined in the Master Settlement Agreement;

9.  "Tobacco product manufacturer" means an entity that after the effective date of this act directly, and not exclusively through any affiliate:

a. manufactures cigarettes anywhere that such manufacturer intends to be sold in the United States, including cigarettes intended to be sold in the United States through an importer (except where such importer is an original participating manufacturer, as that term is defined in the Master Settlement Agreement, that will be responsible for the payments under the Master Settlement Agreement with respect to such cigarettes as a result of the provisions of subsection II(mm) of the Master Settlement Agreement, and that pays the taxes specified in subsection II(z) of the Master Settlement Agreement, and provided that the manufacturer of such cigarettes does not market or advertise such cigarettes in the United States),

b. is the first purchaser anywhere for resale in the United States of cigarettes manufactured anywhere that the manufacturer does not intend to be sold in the United States, or

c. becomes a successor of an entity described in subparagraph a or b.

The term "tobacco product manufacturer" shall not include an affiliate of a tobacco product manufacturer unless such affiliate itself falls within any of the provisions of subparagraphs a through c of this paragraph; and

10.  "Units sold" means the number of individual cigarettes sold in the state by the applicable tobacco product manufacturer, whether directly or through a distributor, retailer or similar intermediary or intermediaries, during the year in question, as measured by excise taxes collected by the state on packs, or "roll-your-own" tobacco containers, bearing the excise tax stamp of the state.  The Oklahoma Tax Commission shall promulgate such rules as are necessary to ascertain the amount of state excise tax paid on the cigarettes of such tobacco product manufacturer for each year.

Added by Laws 1999, c. 357, § 2, eff. July 1, 1999.


§37-600.23.  Participating manufacturers - Escrow deposits.

(The following text remains in effect pending conditions

set forth in Section 2 of Enrolled House Bill No. 1359 of the 1st Regular Session of the 49th Oklahoma Legislature.  See NOTE following section for those conditions.  Text as it will read when the conditions are met follows the current text.)

A.  Any tobacco product manufacturer selling cigarettes to consumers within the state, whether directly or through a distributor, retailer or similar intermediary or intermediaries, after the effective date of this act shall do one of the following:

1.  Become a participating manufacturer, as that term is defined in Section II(jj) of the Master Settlement Agreement, and generally perform its financial obligations under the Master Settlement Agreement; or

2.  Place into a qualified escrow fund, by April 15 of the year following the year in question, the following amounts, as such amounts are adjusted for inflation:

a. 1999:  ninety-four thousand two hundred forty-one one-hundred-thousandths of one cent ($.0094241) per unit sold after the effective date of this act,

b. 2000:  one hundred four thousand seven hundred twelve one-hundred-thousandths of one cent ($.0104712) per unit sold,

c. for each of 2001 and 2002:  one hundred thirty-six thousand one hundred twenty-five one-hundred-thousandths of one cent ($.0136125) per unit sold,

d. for each of 2003 through 2006:  one hundred sixty-seven thousand five hundred thirty-nine one-hundred-thousandths of one cent ($.0167539) per unit sold, and

e. for each of 2007 and each year thereafter:  one hundred eighty-eight thousand four hundred eighty-two one-hundred-thousandths of one cent ($.0188482) per unit sold.

B.  A tobacco product manufacturer that places funds into escrow pursuant to paragraph 2 of subsection A of this section shall receive the interest or other appreciation on such funds as earned.  Such funds themselves shall be released from escrow only under the following circumstances:

1.  To pay a judgment or settlement on any released claim brought against such tobacco product manufacturer by the state or any releasing party located or residing in the state.  Funds shall be released from escrow under this paragraph:

a. in the order in which they were placed into escrow, and

b. only to the extent and at the time necessary to make payments required under such judgment or settlement;

2.  To the extent that a tobacco product manufacturer establishes that the amount it was required to place into escrow in a particular year was greater than the allocable share for the state of the total payments that such manufacturer would have been required to make in that year under the Master Settlement Agreement (as determined pursuant to Section IX(i)(2) of the Master Settlement Agreement, and before any of the adjustments or offsets described in Section IX(i)(3) of that Agreement other than the Inflation Adjustment) had it been a participating manufacturer, the excess shall be released from escrow and revert back to such tobacco product manufacturer; or

3.  To the extent not released from escrow under paragraph 1 or 2 of this subsection, funds shall be released from escrow and revert back to such tobacco product manufacturer twenty-five (25) years after the date on which they were placed into escrow.

C.  Each tobacco product manufacturer that elects to place funds into escrow pursuant to paragraph 2 of subsection A of this section shall annually certify to the Attorney General that it is in compliance with paragraph 2 of subsection A of this section.  The Attorney General may bring a civil action on behalf of the state against any tobacco product manufacturer that fails to place into escrow the funds required under this section.  Any tobacco product manufacturer that fails in any year to place into escrow the funds required under this section shall:

1.  Be required within fifteen (15) days to place such funds into escrow as shall bring it into compliance with this section.  The court, upon a finding of a violation of paragraph 2 of subsection A or this subsection of this section, may impose a civil penalty to be paid to the General Fund of the state in an amount not to exceed five percent (5%) of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed one hundred percent (100%) of the original amount improperly withheld from escrow;

2.  In the case of a knowing violation, be required within fifteen (15) days to place such funds into escrow as shall bring it into compliance with this section.  The court, upon a finding of a knowing violation of paragraph 2 of subsection A or this subsection of this section, may impose a civil penalty to be paid to the General Fund of the state in an amount not to exceed fifteen percent (15%) of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed three hundred percent (300%) of the original amount improperly withheld from escrow; and

3.  In the case of a second knowing violation, be prohibited from selling cigarettes to consumers within the state, whether directly or through a distributor, retailer or similar intermediary, for a period not to exceed two (2) years.

Each failure to make an annual deposit required under this section shall constitute a separate violation.

Added by Laws 1999, c. 357, § 3, eff. July 1, 1999.


(Text as it will read if conditions set forth

in NOTE following section are met.)

A.  Any tobacco product manufacturer selling cigarettes to consumers within the state, whether directly or through a distributor, retailer or similar intermediary or intermediaries, after July 1, 1999, shall do one of the following:

1.  Become a participating manufacturer, as that term is defined in Section II(jj) of the Master Settlement Agreement, and generally perform its financial obligations under the Master Settlement Agreement; or

2.  Place into a qualified escrow fund, by April 15 of the year following the year in question, the following amounts, as such amounts are adjusted for inflation:

a. 1999:  ninety-four thousand two hundred forty-one one-hundred-thousandths of one cent ($.0094241) per unit sold after July 1, 1999,

b. 2000:  one hundred four thousand seven hundred twelve one-hundred-thousandths of one cent ($.0104712) per unit sold,

c. for each of 2001 and 2002:  one hundred thirty-six thousand one hundred twenty-five one-hundred-thousandths of one cent ($.0136125) per unit sold,

d. for each of 2003 through 2006:  one hundred sixty-seven thousand five hundred thirty-nine one-hundred-thousandths of one cent ($.0167539) per unit sold, and

e. for each of 2007 and each year thereafter:  one hundred eighty-eight thousand four hundred eighty-two one-hundred-thousandths of one cent ($.0188482) per unit sold.

B.  A tobacco product manufacturer that places funds into escrow pursuant to paragraph 2 of subsection A of this section shall receive the interest or other appreciation on such funds as earned.  Such funds themselves shall be released from escrow only under the following circumstances:

1.  To pay a judgment or settlement on any released claim brought against such tobacco product manufacturer by the state or any releasing party located or residing in the state.  Funds shall be released from escrow under this paragraph:

a. in the order in which they were placed into escrow, and

b. only to the extent and at the time necessary to make payments required under such judgment or settlement;

2.  To the extent that a tobacco product manufacturer establishes that the amount it was required to place into escrow on account of units sold in this state in a particular year was greater than the Master Settlement Agreement payments, as determined pursuant to Section IX(i) of that Agreement, including after final determination of all adjustments, that such manufacturer would have been required to make on account of such units sold had it been a participating manufacturer, the excess shall be released from escrow and revert back to such tobacco product manufacturer, unless otherwise provided for by subsection C or D of this section; or

3.  To the extent not released from escrow under paragraph 1 or 2 of this subsection, funds shall be released from escrow and revert back to such tobacco product manufacturer twenty-five (25) years after the date on which they were placed into escrow.

C.  If this act, or any portion of the amendment to paragraph 2 of subsection B of this section made by this act, is held by a court of competent jurisdiction to be unconstitutional, then paragraph 2 of subsection B of this section shall have no force and effect.

D.  If in accordance with the provisions of subsection C of this section, paragraph 2 of subsection B of this section shall have no force and effect because a court of competent jurisdiction found such provisions unconstitutional, and if, thereafter, a court of competent jurisdiction finds that subsection B of this section without the provisions of paragraph 2 of subsection B of this section is unconstitutional, then paragraph 2 of subsection B of this section shall be replaced by the provisions of paragraph 1 of this subsection.

1.  To the extent that a tobacco product manufacturer establishes that the amount it was required to place into escrow in a particular year was greater than the allocable share for the state of the total payments that such manufacturer would have been required to make in that year under the Master Settlement Agreement (as determined pursuant to Section IX(i)(2) of the Master Settlement Agreement, and before any of the adjustments or offsets described in Section IX(i)(3) of that Agreement other than the Inflation Adjustment) had it been a participating manufacturer, the excess shall be released from escrow and revert back to such tobacco product manufacturer.

2.  Neither any holding of unconstitutionality nor the rendering of paragraph 2 of subsection B of this section to have no force and effect shall affect, impair or invalidate any other provision of this section, or the application of this section to any other person or circumstance, and the remaining portions of this section shall at all times continue in full force and effect.

E.  Each tobacco product manufacturer that elects to place funds into escrow pursuant to paragraph 2 of subsection A of this section shall annually certify to the Attorney General that it is in compliance with paragraph 2 of subsection A of this section.  The Attorney General may bring a civil action on behalf of the state against any tobacco product manufacturer that fails to place into escrow the funds required under this section.  Any tobacco product manufacturer that fails in any year to place into escrow the funds required under this section shall:

1.  Be required within fifteen (15) days to place such funds into escrow as shall bring it into compliance with this section.  The court, upon a finding of a violation of paragraph 2 of subsection A or this subsection of this section, may impose a civil penalty to be paid to the General Fund of the state in an amount not to exceed five percent (5%) of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed one hundred percent (100%) of the original amount improperly withheld from escrow;

2.  In the case of a knowing violation, be required within fifteen (15) days to place such funds into escrow as shall bring it into compliance with this section.  The court, upon a finding of a knowing violation of paragraph 2 of subsection A or this subsection of this section, may impose a civil penalty to be paid to the General Fund of the state in an amount not to exceed fifteen percent (15%) of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed three hundred percent (300%) of the original amount improperly withheld from escrow; and

3.  In the case of a second knowing violation, be prohibited from selling cigarettes to consumers within the state, whether directly or through a distributor, retailer or similar intermediary, for a period not to exceed two (2) years.

Each failure to make an annual deposit required under this section shall constitute a separate violation.

Added by Laws 1999, c. 357, § 3, eff. July 1, 1999.  Amended by Laws 2003, c. 401, § 1.


NOTE:  Section 2 of Enrolled House Bill No. 1359 of the 1st Regular Session of the 49th Oklahoma Legislature provides as follows:

The amendments to Section 600.23 of Title 37 of the Oklahoma Statutes made by Enrolled House Bill No. 1359 of the 1st Regular Session of the 49th Oklahoma Legislature shall become effective on January 1 of the year after:

1.  Twenty-five states have enacted similar amendments to their laws on early release of funds from escrow accounts established in compliance with the statutes of other states that are similar to the escrow requirements of Sections 600.21 through 600.23 of Title 37 of the Oklahoma Statutes; and

2.  The Attorney General certifies such fact to the President Pro Tempore of the Senate, the Speaker of the House of Representatives, and the Secretary of State.


§37-601.  Citation.

Sections 59 through 64 of this act shall be known and may be cited as the "Prevention of Youth Access to Alcoholic Beverages and Low-Point Beer Act".

Added by Laws 1995, c. 274, § 59, eff. Nov. 1, 1995.


§37-602.  Definitions.

As used in Sections 59 through 64 of this act:

1.  "Alcoholic beverage" means any beverage so defined pursuant to Section 506 of Title 37 of the Oklahoma Statutes;

2.  "Low-point beer" means any beverage so defined pursuant to Section 163.2 of Title 37 of the Oklahoma Statutes;

3.  "Person" means any individual, firm, fiduciary, partnership, corporation, trust, or association, however formed; and

4.  "Proof of age" means a driver license or a card issued for identification only pursuant to Section 6-105 of Title 47 of the Oklahoma Statutes, or other generally accepted means of identification that describes the individual as twenty-one (21) years of age or older and contains a photograph or other likeness of the individual and appears on its face to be valid.

Added by Laws 1995, c. 274, § 60, eff. Nov. 1, 1995.


§37-603.  Retail sale of alcoholic beverages or low-point beer - Posting of signs - Penalty.

A.  Every person who sells alcoholic beverages at retail shall post conspicuously and keep so posted at the place of business a sign stating the following:  "IT'S THE LAW.  WE DO NOT SELL ALCOHOLIC BEVERAGES TO PERSONS UNDER 21 YEARS OF AGE".  Every person who sells low-point beer at retail shall post conspicuously and keep so posted at the place of business a sign stating the following:  "IT'S THE LAW.  WE DO NOT SELL LOW-POINT BEER TO PERSONS UNDER 21 YEARS OF AGE".

B.  A violation of subsection A of this section constitutes a misdemeanor and upon conviction thereof a violator shall be assessed a fine not to exceed Fifty Dollars ($50.00) for each day such offense occurred.  The notices required by subsection A of this section shall be the only notices required to be posted or maintained in any store that sells alcoholic beverages or low-point beer at retail.

Added by Laws 1995, c. 274, § 61, eff. Nov. 1, 1995.


§37-604.  Sale of alcoholic beverages or low-point beer - Notice to employees.

A.  Every person engaged in the business of selling alcoholic beverages or low-point beer at retail shall notify each individual employed by that person as a retail sales clerk or server that state law:

1.  Prohibits the sale or distribution of alcoholic beverages and low-point beer to any person under twenty-one (21) years of age and the purchase or receipt of alcoholic beverages and low-point beer by any person under twenty-one (21) years of age; and

2.  Requires that proof of age be demanded from a prospective purchaser or recipient if an ordinary person would conclude on the basis of appearance that the prospective purchaser or recipient may be under twenty-one (21) years of age.

B.  This notice shall be provided before the individual commences work as a retail sales clerk or server, or, in the case of an individual employed as a retail sales clerk or server on the date when this section becomes effective, within thirty (30) days of that date.  The individual shall signify that he or she has received the notice required by this section by signing a form stating as follows:

"I understand that state law prohibits the sale or distribution of alcoholic beverages and low-point beer to persons under twenty-one (21) years of age, and requires proof of age of purchaser or recipient if an ordinary person would conclude on the basis of appearance that the prospective purchaser or recipient may be under twenty-one (21) years of age.  I have been advised on the law and I understand the penalty for violating it."

Added by Laws 1995, c. 274, § 62, eff. Nov. 1, 1995.


§37-605.  Enforcement of act - Enlistment of persons under 21 years of age.

A.  All law enforcement agencies are authorized and empowered to enforce the provisions of this act.  The provisions shall be enforced in a manner that can reasonably be expected to reduce the extent to which alcoholic beverages and low-point beer are sold or distributed to persons under twenty-one (21) years of age.

B.  Persons under twenty-one (21) years of age may be enlisted by law enforcement agencies to assist in enforcement.  Provided, however, that such persons may be used to test compliance only if the testing is conducted under the direct supervision of the law enforcement agency; provided, written parental consent shall be obtained prior to the use of any person under the age of eighteen (18) years.  Any other use of persons under twenty-one (21) years of age to test compliance shall be unlawful and punishable by assessment of an administrative fine of One Hundred Dollars ($100.00).

Added by Laws 1995, c. 274, § 63, eff. Nov. 1, 1995.


§37-606.  Other penalties authorized by law not excluded.

Nothing in the Prevention of Youth Access to Alcoholic Beverages and Low-Point Beer Act shall be construed to prevent the imposition of any penalty as otherwise specified in the Oklahoma Statutes.

Added by Laws 1995, c. 274, § 64, eff. Nov. 1, 1995.




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