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Restrictions on Giving Away Alcoholic Beverages

Restrictions on Giving Away Alcoholic Beverages

Retailers May Not Give Away Alcoholic Beverages

Retailer licenses, such as bars, restaurants, hotels, clubs, grocery stores, liquor stores, and convenience stores, may not give away alcoholic beverages to customers for free, except for small samples allowed in certain circumstances:

  • MCL 436.1537(2) allows a Specially Designated Merchant (SDM) licensee that has been issued a Beer and Wine Tasting Permit to give a customer no more than 3 free samples of up to 3 oz. of beer or up to 2 oz. of wine.
  • MCL 436.2027(2) allows an on-premises retailer (Class C, B-Hotel, etc.) to give a customer no more than 2 free samples of up to 3 oz. of beer, 2 oz. of wine, or ½ oz. of spirits.

Retailer licensees must sell alcoholic beverages to customers for no less than the cost the retailer paid for the alcoholic beverages.

Salesperson Licensees May Purchase Drinks for Customers

Beer

A Salesperson licensee that represents a beer manufacturer, Outstate Seller of Beer, or Wholesaler licensee may purchase drinks for customers from an on-premises retailer (bar, restaurant, hotel, etc.) for promotional purposes under these conditions:

  • Only one (1) drink per customer.
  • The Salesperson licensee may spend no more than $100.00 per day to purchase drinks from the retailer.
  • The drinks must be the brand of beer represented by the Salesperson licensee.
  • The drinks must be purchased from the retailer licensee’s inventory and the Salesperson cannot bring alcoholic beverages to give away to customers.

Spirits or Wine

A Salesperson licensee that represents spirits or wine brands may purchase drinks for customers from an on-premises retailer (bar, restaurant, hotel, etc.) for promotional purposes under these conditions:

  • Only one (1) drink per customer.
  • The drinks must be the brand of spirits or wine represented by the Salesperson licensee.
  • The drinks must be purchased from the retailer licensee’s inventory and the Salesperson cannot bring alcoholic beverages to give away to customers.

A Salesperson licensee may not purchase alcohol beverages for customers at an off-premises licensee, such as a grocery store, convenience store, or liquor store.