Tennessee § 57-3-602 - When permit required — Exceptions.

§ 57-3-602. When permit required — Exceptions.

A nonresident seller's permit is required of any manufacturer, distillery, winery, importer, broker, or person which sells or distributes alcoholic beverages to any wholesaler licensed under § 57-3-203 or any manufacturer licensed under § 57-3-202, regardless of whether the sale is consummated inside or outside Tennessee. No such permit is required if such manufacturer, distillery or winery is operating pursuant to § 57-2-104, § 57-3-202, § 57-3-203 or § 57-3-207. A nonresident seller's permit is also required of any importer, broker, or other entity that imports alcoholic beverages into this state for the purpose of the following: Warehousing wine and other alcoholic beverage in the state for the purpose of sale to entities legally authorized to purchase such wine and alcoholic beverages outside this state; Selling wines which are not registered pursuant to § 57-3-301 and which are not capable of being registered in that no qualified manufacturer, winery or distiller exists to approve such registration; provided, that such sales within the state shall be permitted only to wholesalers licensed pursuant to § 57-3-203; and Selling wines which are registered pursuant to § 57-3-301 but as to which vintages are not available from the manufacturer, winery, or distiller, but such sales shall be permitted only to those wholesalers authorized to distribute such wines by the manufacturer, winery, or distiller as identified on the registration records of the department of revenue. A nonresident seller licensed under this subsection (b) is not subject to § 57-3-607. A non-manufacturer non-resident seller's permit is required of any entity that is engaged in marketing, licensing of trademark or trade name, or contracting for the manufacture of any wine, distilled spirit or other alcoholic beverage, where such entity is not directly engaged in the manufacturing, bottling, distilling, blending of such wine, spirit or alcoholic beverage, and is not the holder of a basic permit issued by the alcohol and tobacco tax and trade bureau of the United States department of the treasury as a brewery, distilled spirits plant, or winery. A non-manufacturer non-resident seller's permit under this part may be issued by the commission irrespective of the residence of the entity. The holder of a non-manufacturer non-resident seller's permit issued under subdivision (c)(1) shall be authorized to market, facilitate the sale of, possess intellectual property rights relating to, or cause to be distributed any wine, distilled spirit or other alcoholic beverage to wholesalers licensed pursuant to § 57-3-203. The holder of a non-manufacturer non-resident seller's permit may contract with distillers, wineries, and other manufacturers to produce, rectify, bottle or manufacture wine or distilled spirits on its behalf, may ship or cause to be shipped into or within this state alcoholic beverages as an element of sales made to wholesalers licensed under § 57-3-203 and may contract with wholesalers to purchase such products. Non-manufacturer non-resident seller's permit holders may take title of and store in this state alcoholic beverages and wine from a distiller or winery to which it holds marketing, licensing or trademark rights only if the non-manufacturer non-resident seller's permit holder possesses a basic permit from the alcohol and tobacco tax and trade bureau of the United States department of the treasury, has paid an additional annual fee of three thousand dollars ($3,000) to the commission, and is storing such alcoholic beverages or wine in a location approved by the commission for storage of untaxed alcoholic beverages or wine. The department of revenue may require the posting of a bond for such storage. Acts 1981, ch. 157, § 2; 2011, ch. 448, §§ 1, 6; 2014, ch. 767, § 1; 2015, ch. 269, § 3. Code Commission Notes. Section 57-3-608, formerly referred to in this section, was repealed by Acts 2012, ch. 968, § 4, effective May 10, 2012; therefore, the reference was deleted from the section by authority of the code commission in 2013. Attorney General Opinions. A foreign corporation or limited liability company licensed as a nonresident seller or direct shipper must obtain a certificate of authority from the Tennessee secretary of state only if the corporation or company transacts business in the state within the meaning of the relevant statutes, which depends on the character and extent of the corporation’s or the company’s transactions and business in the state. OAG 18-28, 2018 Tenn. AG LEXIS 27 (7/6/2018).