Ohio § 4301.24

§ 4301.24.

(A) Except as provided in sections 4301.242 , 4301.245 , and 4301.246 of the Revised Code , no manufacturer shall aid or assist the holder of any permit for sale at wholesale,

and no manufacturer or wholesale distributor shall aid or assist the holder of any

permit for sale at retail, by gift or loan of any money or property of any description

or other valuable thing, or by giving premiums or rebates.  Except as provided in sections 4301.242 , 4301.245 , and 4301.246 of the Revised Code , no holder of any such permit shall accept the same, provided that the manufacturer

or wholesale distributor may furnish to a retail permittee the inside signs or advertising

and the tap signs or devices authorized by divisions (E) and (F) of section 4301.22 of the Revised Code . (B) No manufacturer shall have any financial interest, directly or indirectly, by stock

ownership, or through interlocking directors in a corporation, or otherwise, in the

establishment, maintenance, or promotion in the business of any wholesale distributor.  No retail permit holder shall have any interest, directly or indirectly, in the

operation of, or any ownership in, the business of any wholesale distributor or manufacturer. (C)(1) No manufacturer shall, except as authorized by section 4303.021 of the Revised Code , have any financial interest, directly or indirectly, by stock ownership, or through

interlocking directors in a corporation, or otherwise, in the establishment, maintenance,

or promotion of the business of any retail dealer.  No wholesale distributor or employee of a wholesale distributor shall have any financial

interest, directly or indirectly, by stock ownership, interlocking directors in a

corporation, or otherwise, in the establishment, maintenance, or promotion of the

business of any retail dealer.  No manufacturer or wholesale distributor or any stockholder of a manufacturer or

wholesale distributor shall acquire, by ownership in fee, leasehold, mortgage, or

otherwise, directly or indirectly, any interest in the premises on which the business

of any other person engaged in the business of trafficking in beer or intoxicating

liquor is conducted. (2) All contracts, covenants, conditions, and limitations whereby any person engaged

or proposing to engage in the sale of beer or intoxicating liquors promises to confine

the person's sales of a particular kind or quality of beer or intoxicating liquor

to one or more products, or the products of a specified manufacturer or wholesale

distributor, or to give preference to those products, shall to the extent of that

promise be void.  The making of a promise in any such form shall be cause for the revocation or suspension

of any permit issued to any party. (D) No manufacturer shall sell or offer to sell to any wholesale distributor or retail

permit holder, no wholesale distributor shall sell or offer to sell to any retail

permit holder, and no wholesale distributor or retail permit holder shall purchase

or receive from any manufacturer or wholesale distributor, any beer, brewed beverages,

or wine manufactured in the United States except for cash.  No right of action shall exist to collect any claims for credit extended contrary

to this section. This section does not prohibit a licensee from crediting to a purchaser the actual

prices charged for packages or containers returned by the original purchaser as a

credit on any sale or from refunding to any purchaser the amount paid by that purchaser

for containers or as a deposit on containers when title is retained by the vendor,

if those containers or packages have been returned to the manufacturer or distributor.  This section does not prohibit a manufacturer from extending usual and customary

credit for beer, brewed beverages, or wine manufactured in the United States and sold

to customers who live or maintain places of business outside this state when the beverages

so sold are actually transported and delivered to points outside this state. No wholesale or retail permit shall be issued to an applicant unless the applicant

has paid in full all accounts for beer or wine, manufactured in the United States,

outstanding as of September 6, 1939.  No beer or wine manufactured in the United States shall be imported into the state

unless the beer or wine has been paid for in cash, and no supplier registration for

any such beer or wine manufactured in the United States shall be issued by the division

of liquor control until the A-2, A-2f, B-1, or B-5 permit holder establishes to the

satisfaction of the division that the beer or wine has been paid for in cash. (E) This section does not prohibit any of the following: (1) A manufacturer from securing and holding any financial interest, directly or indirectly,

by stock ownership or through interlocking directors in a corporation, or otherwise,

in the establishment, maintenance, or promotion of the business or premises of any

C or D permit holder, provided that the following conditions are met: (a) Either the manufacturer or one of its parent companies is listed on a national securities

exchange. (b) All purchases of alcoholic beverages by the C or D permit holder are made from wholesale

distributors in this state or agency stores licensed by the division of liquor control. (c) If the C or D permit holder sells brands of alcoholic beverages that are produced

or distributed by the manufacturer that holds the financial interest, the C or D permit

holder also sells other competing brands of alcoholic beverages produced by other

manufacturers, no preference is given to the products of the manufacturer, and there

is no exclusion, in whole or in part, of products sold or offered for sale by other

manufacturers, suppliers, or importers of alcoholic beverages that constitutes a substantial

impairment of commerce. (d) The primary purpose of the C or D permit premises is a purpose other than to sell

alcoholic beverages, and the sale of other goods and services exceeds fifty per cent

of the total gross receipts of the C or D permit holder at its premises. (2) A manufacturer from giving financial assistance to the holder of a B permit for the

purpose of the holder purchasing an ownership interest in the business, existing inventory

and equipment, or property of another B permit holder, including, but not limited

to, participation in a limited liability partnership, limited liability company, or

any other legal entity authorized to do business in this state.  However, this section does not permit a manufacturer to give financial assistance

to the holder of a B permit to purchase inventory or equipment used in the daily operation

of a B permit holder. (3) A manufacturer or subsidiary of a manufacturer from continuing to operate a wholesale

distribution franchise or distribute beer or wine within a designated territory if

prior to July 30, 2013, the manufacturer either acquired the distribution franchise

or territory, or awarded the franchise or territory to itself or a subsidiary. (4) A manufacturer from securing and holding an A-1c or B-2a permit or permits and operating

as a wholesale distributor pursuant to such permits. (5) A manufacturer from renting or leasing property to the holder of an F class permit

for purposes of an event for which the F class permit has been issued. (6) A permit holder that sells beer or intoxicating liquor at retail from conducting,

sponsoring, or hosting an event for homemade brewers in accordance with section 4301.201 of the Revised Code .