14B NCAC 15C .0707      COMMERCIAL BRIBERY

(a)  Industry members shall not give gifts or payments to purchasing agents, clerks, bartenders, salesmen, or other employees of retail permittees.

(b)  Industry members shall not give a bonus, premium, or compensation to a retailer or an officer, employee, or agent of the retailer. Prohibited acts include:

(1)           monetary inducements ("push money") to retailers or their employees;

(2)           payment of any part of a retailer's employee's salary;

(3)           sales promotion contests where a retailer's employees are offered or awarded prizes financed by an industry member;

(4)           payments or gratuities to groups or associations of retailer's employees;

(5)           gifts to retail corporate officers; or

(6)           participation in a retailer's sales or management meeting, convention, or outing by sponsoring or underwriting events at the meeting, convention, or outing, unless participation is limited to providing a hospitality suite with hors d'oeuvres and beverages, and the price paid for the suite is not greater than that paid by any other participant in the meeting, convention, or outing.

(c)  Notwithstanding Paragraphs (a) and (b) of this Rule, an industry member may invite and pay for up to two employees or representatives of a retail permittee permitted pursuant to G.S. 18B-1001, for a business meal to discuss sales and promotions in person with the following conditions:

(1)           the industry member shall conduct the business meal in North Carolina but not in conjunction with entertainment;

(2)           if the industry member provides transportation, the industry member shall use only a personal vehicle;

(3)           the industry member must accompany the employees or representatives of a retail permitee for the duration of the business meal;

(4)           the industry member shall provide the business meal without a corresponding obligation of the retailer to purchase alcoholic beverages or to provide a benefit to the industry member;

(5)           the industry member shall provide the business meal without a corresponding obligation of the retailer to exclude from sale the products of another industry member; and

(6)           the industry member shall pay for no more than two business meals per retail permittee per calendar year.

This Paragraph does not apply to an industry member with a pre-existing relationship with a retail permittee separate from the beverage alcohol industry.

History Note:        Authority G.S. 18B-100; 18B-207;

Eff. January 1, 1982;

Amended Eff. April 1, 2011; July 1, 1992; May 1, 1984;

Transferred and Recodified from 04 NCAC 02T .0708 Eff. August 1, 2015;

Pursuant to G.S. 150B-21.3A, rule is necessary without substantive public interest Eff. August 19, 2017;

Readopted Eff. May 1, 2026.