35-4-129. Sale of alcoholic beverages below cost prohibited--Exception.
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/sd/title-35/chapter-35-4/35-4-129A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
No alcoholic beverage may be sold below the wholesale cost of the alcoholic beverage, unless the sale constitutes the termination of the sale of the alcoholic beverage on the licensed premises. Any alcoholic beverage offered for sale at less than wholesale cost may not be offered again for sale on the licensed premises for a period of less than one year after termination of the sale of the product on the licensed premises. The wholesale cost is the consideration paid by a retailer to a wholesaler to acquire an alcoholic beverage and includes the purchase price and freight charges.
If no wholesaler is used in the sale, the direct shipper may not sell the alcoholic beverage below the manufacturer's cost.