Section 100.140 Miniatures (Repealed)
Section 100.150 Salvaged Alcoholic
Liquors
a) Insurance companies or their duly authorized
representatives may take possession of alcoholic beverages
insured by such companies and damaged as a result of flood,
wreck, fire or similar occurrence, for which insurance was
provided.
b) Common carriers or their duly authorized representatives may
take possession of alcoholic beverages transported by such
carrier and damaged in transit.
c) Alcoholic beverages salvaged may be sold to retail licensees
provided the conditions enumerated in this Section have been
complied with. Alcoholic beverages so salvaged shall be referred
to as "distressed merchandise".
d) Each container of alcoholic beverages sold pursuant to this
Section shall be labeled to identify the goods as distressed
merchandise. The letters on the label shall be no smaller than 12
point type bold faced. The label shall be no less than two inches
long and one inch wide, and shall be affixed diagonally over the
regular label on each container prior to delivery to any retail
licensee. The label once applied shall not be capable of removal
without damaging the label or causing damage to the underlying
product label. The following statement shall be printed on the
label: "The alcoholic beverages contained herein have been
designated distressed merchandise by the Illinois Liquor Control
Commission. This container has been salvaged from a fire, flood,
wreck or similar catastrophe. This label is not affixed by the
manufacturer. Do not remove this label."
e) Any insurance company, common carrier or representative of
either, seeking to sell distressed merchandise shall first obtain
a distributor's license from the Commission. The application
shall provide, "The applicant seeks to sell distressed
merchandise in Illinois." Retailer's licenses may also be
applied for, if the insurance company, common carrier or
representative of either seeks to sell alcoholic liquors to
consumers in Illinois.
f) Alcoholic beverages so salvaged outside of Illinois may not be
imported into Illinois for purposes of sale pursuant to this
Section. Prior to release of distressed merchandise for sale in
Illinois, an affidavit by the insurance company's or common
carrier's authorized representative must be presented to the
Commission stating firsthand knowledge that the distressed
merchandise was salvaged from a fire, flood, wreck or similar
catastrophe which occurred within the State of Illinois, stating
with particularity the time, place and nature of the occurrence,
and a complete inventory of the items so salvaged including the
quantity, brand names and container sizes.
g) In the event the tax provided under Art.VIII of the Act [235
ILCS 5/Art.VIII] is unpaid on the distressed merchandise, the
applicant shall make payment of the tax on such merchandise to
the Department of Revenue, and evidence of payment must be
presented to the Commission prior to release of such distressed
merchandise for sale in Illinois.
h) An entity seeking to sell distressed merchandise shall also
indicate on its letter of application to sell such distressed
merchandise in Illinois whether the sale shall be by auction or
to a designated licensee. If the sale shall be by auction, the
time and place of the auction and the name of the auctioneer or
other person authorized to sell such distressed merchandise shall
be listed. If the sale is to be made directly to a given licensee
or licensees, the name and address of the licensee or licensees,
together with the current State retail liquor license number of
such licensee or licensees shall be listed. No sale may be made
by auction to any person, firm or corporation not licensed under
the provisions of the Act.
i) Written approval and release for sale made under this Section
must first be obtained from the Commission. Approval and release
shall not be issued until a physical inspection has been made of
the merchandise by an authorized representative of the Commission
in order to determine that the seller has complied with this
Section. After any sale of dis-tressed merchandise has been
completed, the insurance company, common carrier or their
representative shall report in writing to the Commission the name
of the licensee or licensees who purchased the distressed
merchandise and the quantities and brand names of such distressed
merchandise.
j) In the event that the seller disposed of less than the entire
inventory of distressed merchandise, the written report shall
list the remaining inventory, indicating the quantity, container
sizes and brand names, the place where such inventory is stored,
and the person in control or possession of such inventory.
k) No distressed merchandise shall be sold in Illinois where the
original packages have been so damaged as to render the label
illegible, or when the substantive labeling requirements under
Section 6-7 of the Act [235 ILCS 5/6-7] and under Section 100.70
are not complied with as a result of the damage to the container.
(Source: Amended at 18 Ill. Reg. 4811, effective March 9, 1994)