2023 -- H 5334

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LC000046

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2023

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A N   A C T

RELATING TO ALCOHOLIC BEVERAGES -- RETAIL LICENSES -- HAPPY HOUR

     

     Introduced By: Representatives Alzate, McEntee, Voas, Carson, Henries, Batista,
Kazarian, Caldwell, Felix, and McGaw

     Date Introduced: February 03, 2023

     Referred To: House Corporations

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 3-7-26 of the General Laws in Chapter 3-7 entitled "Retail Licenses"

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is hereby amended to read as follows:

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     3-7-26. Certain practices prohibited.

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     (a) No licensee, employee or agent of any licensee who operates under a license to sell

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alcoholic beverages shall:

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     (1) Cause or require any person or persons to buy more than one drink at a time by reducing

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the price of that drink;

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     (2) Increase the volume of alcohol contained in any alcoholic beverage without

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proportionately increasing the price;

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     (3) Sell, propose to sell or deliver to any person or persons an unlimited number of drinks

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during a certain period of time for a fixed price; or

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     (4) Allow or encourage any game or promotion on the premises which involves the

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drinking of alcoholic beverages or the awarding of alcoholic beverages as prizes for consumption

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on the premises.

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     (b)(1) No licensee, other than those authorized pursuant to subsection (e) of this section,

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shall advertise or promote in any manner, or in any medium, happy hours, open bars, two-for-one

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nights and/or free drink specials.

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     (2) Any licensee is prohibited from knowingly allowing the use of its premises as part of

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an organized pub crawl, so-called. A pub crawl shall be defined as an organized event intended to

 

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promote the organized, commercial travel of significantly large groups of individuals between

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licensed premises for the primary purpose of consuming alcoholic beverages at more than one

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premise. Evidence of a pub crawl shall include, but not be limited by:

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     (i) The existence of advertising, flyers, tickets or other printed or electronic material

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promoting or describing a planned pub crawl;

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     (ii) Organized, commercial transportation intended to move a total of fifty (50) or more

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individuals from one premise to another in an organized fashion; and

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     (iii) Evidence of compensation paid to an organizer by participants in a pub crawl. The

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department of business regulation is authorized to promulgate rules and regulations consistent with

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this section.

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     (c) Nothing in this section shall be construed to prohibit a licensee from offering free food

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or entertainment at any time; or to prohibit licensees from including an alcoholic beverage as part

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of a meal package; or to prohibit the sale or delivery of wine by the bottle or carafe when sold with

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meals or to more than one person; or to prohibit free wine tastings. Except as otherwise limited by

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this section, nothing contained in this section shall limit or may restrict the price which may be

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charged by any licensee for any size alcoholic beverage to be consumed on the licensed premises.

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     (d) Adherence to this section is deemed to be a condition attached to the issuance and/or

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continuation of every license to sell alcoholic beverages for consumption on the licensed premises,

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and this section shall be enforced by the applicable local licensing authority, its agents, and the

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department.

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     (e)(1) Notwithstanding the prohibition of happy hours contained in this section, happy hour

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drink specials served as part of a transaction that includes the purchase of a food item shall be

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permitted. For the purposes of this section, "happy hour" means a period of time during which a

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licensee sells or provides discount alcoholic beverages. For the purposes of this section, a "food

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item" means any food product, prepared on premises, which is included on the establishment's

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menu or included in the daily specials as either an appetizer or entrée item.

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     (2) Snacks, including, but not limited to, pretzels, popcorn, chips, or similar food products

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commonly eaten between regular meals do not meet the definition of a food item.

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     (3) Advertisements or promotions for happy hour shall be permitted pursuant to this

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section; provided that, the advertisement or promotion specifically mentions the requirement that a

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food item must be included in the transaction for the happy hour special to apply.

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     (4) The department of business regulation shall promulgate rules and regulations necessary

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to implement the provisions of this section.

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     (e)(f) The provisions of this section are deemed to be severable and any final decision by

 

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a court of competent jurisdiction holding that any provision of this section is void, shall not make

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void nor affect any of the remaining provisions of this section.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO ALCOHOLIC BEVERAGES -- RETAIL LICENSES -- HAPPY HOUR

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     This act would allow happy hour drink specials served in conjunction with the purchase of

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a food item, which would include appetizers or entrees prepared on premises.

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     This act would take effect upon passage.

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