32B-18-205. Management agreements -- Inventory transfers.

264 words·~1 min read·/ut/title-32b/chapter-18/32b-18-205·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/3/2023

(a)A management agreement may provide for the sharing of revenue from a business utilizing an alcohol license, including revenue from the sale of an alcoholic product, if, regardless of which party holds the alcohol license, neither the owner nor operator is disqualified from holding the license for a previous violation of this title.

(b)The parties to a management agreement shall submit to the department:

(i)a copy of the management agreement; and

(ii)any other information the department requires.

(c)If there is a material change to the management agreement submitted to the department under Subsection (1)(b) , the parties to the management agreement shall submit to the department the following within 30 days after the day on which the change occurs:

(i)a copy of the changed management agreement; and

(ii)any other information the department requires.

(a)Notwithstanding any other provision of this title, in connection with a change of ownership described in Section 32B-18-202 or an asset sale of an alcohol licensee, the parties to the transaction may enter into an inventory transfer agreement.

(b)The inventory transfer agreement described in Subsection (2)(a) may allow for the transfer of inventory between parties regardless of whether the parties hold or are applying for the same retail license.

(3)In accordance with this section and Title 63G, Chapter 3, Utah Administrative Rulemaking Act , the commission may make rules governing the requirements of:

(a)a management agreement; or

(b)an inventory transfer agreement.

Amended by Chapter 371 , 2023 General Session