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  The ILCC Legal Division

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TPP-7:
Point Of Sale Materials - Manufacturer To Distributor

I. Purpose

To set the policy of the Illinois Liquor Control Commission and establish the procedures whereby manufacturers may provide point-of-sale advertising and materials to distributors.

II. Policy

It is the policy of this Commission that manufacturers may provide point-of-sale materials to distributors free of charge. Distributors may also purchase point-of-sale materials from manufacturers, but any purchase by a distributor or importing distributor from a manufacturer or a manufacturer’s designated supplier shall be voluntary and the manufacturer may not require the distributor or the importing distributor to purchase signs or advertising materials from the manufacturer or the manufacturer’s designated supplier.

III. Background

"Point-of-sale" materials include, any signs, advertising materials and consumer advertising specialties. Section 5/6-5 of the Illinois Liquor Control Act is concerned only with something "of value" being remitted to the retail licensee, therefore it has no application here.

IV. Procedure

It is the policy of this Commission that between manufacturers and distributors:

  1. Free point-of-sale materials may be provided by manufacturers to distributors, without limit on the amounts provided;
  2. Pursuant to Sec. 5/6-6, distributors may purchase inside and
    outside signs, except permanent outside signs, as well as advertising materials and consumer advertising specialties from manufacturers. Distributors are prohibited from providing retailers with any signs purchased from manufacturers, which is not in compliance with the mandates of Sec. 5/6-6.
  3. Distributor may purchase point-of-sale materials; such purchases shall be voluntary and the manufacturer may not require the distributor or the importing distributor to purchase signs or advertising materials from the manufacturer or the manufacturer’s designated supplier; Point-of-sale materials purchased by distributors may be purchased at a value below the cost to manufacturers.

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