Arizona Revised Statutes
Title 4 - Alcoholic Beverages
§ 4-203.04 - Direct shipment license; issuance; fee; requirements; renewal; civil penalties; limitations; duties; violation; classification; applicability

4-203.04. Direct shipment license; issuance; fee; requirements; renewal; civil penalties; limitations; duties; violation; classification; applicability
A. The director may issue a direct shipment license to any winery that holds a federal basic permit issued by the United States alcohol and tobacco tax and trade bureau and a current license to produce wine issued by this state or any other state. A farm winery licensed pursuant to section 4-205.04 and a winery holding a producer's license or a limited producer's license issued by this state may also hold a direct shipment license.
B. A person shall apply for a direct shipment license on a form prescribed and provided by the director. The director may charge an application issuance fee to be used for administrative costs associated with the direct shipment license. An application for a direct shipment license shall include:
1. The address of the premises where the applicant's principal place of business is located.
2. The name, address and telephone number of an officer of the applicant or an individual who is authorized to represent the applicant before the director.
3. A complete and full disclosure by the applicant and by any officer, director, administrator or controlling person of the applicant of any criminal convictions in any state or foreign jurisdiction within the five years immediately preceding the application.
4. The applicant's farm winery license, producer's license or limited producer's license number or, for a winery that is not currently licensed by this state, a copy of the winery's federal basic permit issued by the United States alcohol and tobacco tax and trade bureau and a copy of that winery's current license to produce wine that is issued by another state.
5. The applicant's transaction privilege tax number issued by the department of revenue for the payment of transaction privilege taxes and luxury taxes on wine that is sold to purchasers in this state under the license.
C. The director may refuse to issue a direct shipment license for good cause. The director may not issue a direct shipment license to any person who:
1. Has had a direct shipment license or any other license to deal in spirituous liquor revoked in this state or any other state within one year preceding the application.
2. Has been convicted of a felony in this state or any other state or has been convicted of an offense in another state that would be a felony if convicted in this state within five years immediately preceding the application.
D. A direct shipment license is valid for one year. Direct shipment licenses may not be transferred. A person that holds a direct shipment license may apply for a renewal before the expiration of the person's current license. The director may charge a license renewal fee to be used for administrative costs associated with the direct shipment license, auditing and enforcement.
E. After notice and a hearing pursuant to title 41, chapter 6, article 10, the director may suspend, revoke or refuse to renew a direct shipment license for any violation of this section or for good cause. Any act or omission of a person who makes a sale or delivery of wine for a licensee under subsection F of this section is deemed to be an act or omission of the licensee for the purposes of section 4-210, subsection A, paragraph 9. In lieu of suspension, revocation or refusal to renew a license, the director may impose a civil penalty pursuant to section 4-210.01 against a licensee for each violation of this section. The licensee may appeal the finding or decision of the director to the board. The board may affirm, modify or reverse the finding or decision of the director.
F. Notwithstanding any other law, a licensee annually may sell and ship nine-liter cases of wine that is produced by the licensee directly to a purchaser in this state pursuant to all of the following:
1. The licensee may sell and ship:
(a) Until December 31, 2017, up to six nine-liter cases of wine.
(b) Beginning January 1, 2018 and until December 31, 2018, up to nine nine-liter cases of wine.
(c) Beginning January 1, 2019 and for each year thereafter, up to twelve nine-liter cases of wine.
2. The wine may be ordered by any means, including telephone, mail, fax or the internet.
3. The wine is for personal use only and not for resale.
4. Before shipping the wine, the licensee shall verify the age of the purchaser who is placing the order by obtaining a copy of the purchaser's valid photo identification as prescribed in section 4-241, subsection K demonstrating that the person is at least twenty-one years of age or by using an age verification service.
5. The wine may be shipped to a residential or business address but not to a premises licensed pursuant to this title.
6. All containers of wine shipped pursuant to this subsection shall be conspicuously labeled with the words " contains alcohol, signature of person age 21 or older required for delivery" .
7. The licensee may not sell or ship wine to a purchaser pursuant to this subsection unless the purchaser could have carried the wine lawfully into or within this state.
8. The delivery must be made by a person who is at least twenty-one years of age.
9. The delivery must be made only during the hours of lawful service of spirituous liquor to a person who is at least twenty-one years of age.
10. The delivery must be made only after inspection of the valid photo identification as prescribed in section 4-241, subsection K of the person accepting delivery that demonstrates that the person is at least twenty-one years of age.
11. Payment for the price of the wine must be collected by the licensee not later than at the time of delivery.
G. A licensee shall:
1. Not later than January 31 of each year, file a report regarding the wine shipped to purchasers in this state during the preceding calendar year that includes the information required in paragraph 2 of this subsection.
2. Complete a record of each shipment at the time of shipment. The licensee shall ensure that the record provides the following information:
(a) The name of the licensee making the shipment.
(b) The address of the licensee making the shipment.
(c) The license number.
(d) The date of shipment.
(e) The address at which delivery is to be made.
(f) The amount shipped.
3. On request, allow the director or the department of revenue to perform an audit of the records of wine shipped to purchasers in this state. The director may request the licensee submit records to demonstrate compliance with this section. The licensee shall maintain records of each shipment of wine made to purchasers in this state for two years.
4. Be deemed to have consented to the jurisdiction of the department, any other agency of this state, the courts of this state and all related laws, rules or regulations.
5. Pay the department of revenue all transaction privilege taxes and luxury taxes on sales of wine under the direct shipment license to purchasers in this state. For transaction privilege tax and luxury tax purposes, all wine sold pursuant to this section shall be deemed to be sold in this state.
6. Ship not more than the total number of nine-liter cases of wine authorized under subsection F, paragraph 1 of this section to any purchaser in this state in any calendar year for personal use.
H. A person who knowingly sells and ships wine directly to a purchaser in this state shall be deemed to have consented to the jurisdiction of the department, any other agency of this state, the courts of this state and all related laws, rules or regulations. A person who knowingly sells and ships wine directly to a purchaser in this state is guilty of a class 2 misdemeanor if either:
1. The person does not possess a current direct shipment license.
2. The person does not possess a current farm winery license for a winery that produces twenty thousand gallons or less of wine in the previous calendar year.
I. Section 4-201 does not apply to licenses issued pursuant to this section.
J. Common carriers, other than railroads as defined in section 40-201, that transport wine into and within this state shall:
1. Keep records of wine shipped to purchasers in this state, including the direct shipment licensee's name and address, the recipient's name and address, the shipment and delivery dates and the weight of wine shipped.
2. Remit the records kept pursuant to paragraph 1 of this subsection on request of the department.
K. Farm winery licensees under section 4-205.04 that produced twenty thousand gallons of wine or less in the preceding calendar year may ship wine directly to purchasers in this state pursuant to section 4-205.04 and are exempt from the requirements of this section, including the case limitations prescribed in subsection F of this section.
L. The director shall begin issuing direct shipment licenses pursuant to this section not later than January 1, 2017.

Structure Arizona Revised Statutes

Arizona Revised Statutes

Title 4 - Alcoholic Beverages

§ 4-101 - Definitions

§ 4-111 - State liquor board; department of liquor licenses and control; members; director; appointment and removal

§ 4-112 - Powers and duties of board and director of department of liquor licenses and control; investigations; county and municipal regulation; definition

§ 4-113 - Enforcement officer; credentials; peace officer status

§ 4-114 - Interest in business prohibited; forfeiture of office

§ 4-115 - Disposition of fees and penalties

§ 4-116 - Receipts from club licenses and applications

§ 4-116.01 - Receipts from sampling privilege and growler permits

§ 4-118 - Inspection of premises

§ 4-119 - Records

§ 4-120 - Liquor licenses fund; exemption

§ 4-201 - Licensing; application procedure in city, town or county; burden of proof

§ 4-201.01 - Extending time limits

§ 4-202 - Qualifications of licensees; application; background information; prior convictions

§ 4-203 - Licenses; issuance; transfer; reversion to state

§ 4-203.01 - Interim permit; fee; rules

§ 4-203.02 - Special event license; rules

§ 4-203.03 - Farm winery festival license; farm winery fair license; fee

§ 4-203.04 - Direct shipment license; issuance; fee; requirements; renewal; civil penalties; limitations; duties; violation; classification; applicability

§ 4-203.05 - Licenses held in nonuse status

§ 4-203.06 - Mixed cocktails; off-sale privileges; leases; fees

§ 4-203.07 - Off-sale privileges; leases; mixed cocktails; permits; fees

§ 4-204 - Personal representative or fiduciary acting for licensee

§ 4-205 - Issuance of club license; regulatory provisions; revocation

§ 4-205.01 - Hotel-motel license; issuance; revocation

§ 4-205.02 - Restaurant license; issuance; regulatory provisions; expiration; off-sale leases and permits; fee; definitions

§ 4-205.03 - Government license; issuance; regulatory provisions; agreements with coliseum concessionaires; definitions

§ 4-205.04 - Farm winery license; issuance; regulatory provisions; retail site; fee

§ 4-205.05 - Disposal of seized or recovered liquor

§ 4-205.06 - Hotel or motel minibars; rules; definitions

§ 4-205.07 - Conveyance license for excursion boats

§ 4-205.08 - Microbrewery license; issuance; regulatory provisions; retail site

§ 4-205.09 - Microbrewery and farm winery licenses on same land; requirements

§ 4-205.10 - Craft distiller license; issuance; regulatory provisions; fee

§ 4-205.11 - Craft distillery festival license; craft distillery fair license; craft distillery fee

§ 4-205.12 - Tasting rooms with shared patios

§ 4-205.13 - Registered alcohol delivery contractor; issuance; fee; regulatory provisions

§ 4-206.01 - Bar, beer and wine bar or liquor store licenses; number permitted; fee; sampling privileges; off-sale permit

§ 4-207 - Restrictions on licensing premises near school buildings; definition

§ 4-207.01 - Submission of floor plan required; alteration of licensed premises; ingress and egress to off-sale package sales in on-sale licensed premises

§ 4-207.02 - Multiple licensees with joint premises

§ 4-207.03 - Extended premises; application; requirements; fee

§ 4-208 - Rejection as to location

§ 4-209 - Fees for license, application, issuance, renewal and transfer; late renewal penalty; seasonal operation; surcharges

§ 4-210 - Grounds for revocation, suspension and refusal to renew; notice; complaints; hearings; defense

§ 4-210.01 - Authority to impose civil penalty; training

§ 4-210.02 - Appeals from director

§ 4-211 - Judicial review; bond

§ 4-212 - Injunctions

§ 4-213 - Restaurant audit

§ 4-214 - Arizona wines; labeling

§ 4-215 - Regional shopping centers; commercial offices and retail centers; extension of premises; application; approval; fee; definition

§ 4-221 - Registration of stills; forfeiture; sale; proceeds

§ 4-222 - Registration of retail agents; fees

§ 4-223 - Authority of cities and towns to tax transactions involving spirituous liquors; prohibitions

§ 4-224 - Local ordinances; prohibitions

§ 4-225 - Food safety; federal law; preemption

§ 4-226 - Exemptions

§ 4-227 - Qualified retail cooperatives; pricing; definitions

§ 4-227.01 - Channel pricing; definition

§ 4-228 - Front entrance lock prohibited; exception

§ 4-229 - Licenses; handguns; posting of notice

§ 4-241 - Selling or giving liquor to underage person; illegally obtaining liquor by underage person; violation; classification; definitions

§ 4-242 - Sale of liquor on credit prohibited; exceptions

§ 4-242.01 - Prohibition of automatic teller machine or point-of-sale terminal that accepts electronic benefit transfer cards on premises

§ 4-243 - Commercial coercion or bribery unlawful; exceptions

§ 4-243.01 - Purchasing from other than primary source of supply unlawful; definitions

§ 4-243.02 - Sale of beer, wine or distilled spirits by producer; limitations

§ 4-243.03 - Alternating proprietorships

§ 4-243.04 - On-sale retail licensees; ownership interests; conditions

§ 4-244 - Unlawful acts; definition

§ 4-244.02 - Unlawful importation of spirituous liquor; exceptions

§ 4-244.04 - Farm winery sampling

§ 4-244.05 - Unlicensed business establishment or premises; unlawful consumption of spirituous liquor; civil penalty; seizure and forfeiture of property

§ 4-246 - Violation; classification; fine; civil penalty

§ 4-247 - Peace officers

§ 4-248 - Reporting by court of convictions; definition

§ 4-249 - Consumption of liquor by underage person in religious service allowed

§ 4-250 - Distilled spirits pricing; prohibition

§ 4-250.01 - Out-of-state person engaged in business as producer, exporter, importer, rectifier, retailer or wholesaler; violation; cease and desist order; civil penalty

§ 4-251 - Spirituous liquor in motor vehicles; prohibitions; violation; classification; exceptions; definitions

§ 4-261 - Warning signs; consumption of spirituous liquor during pregnancy; composition of signs; rules; inspection of premises; penalty

§ 4-262 - Display of license

§ 4-301 - Liability limitation; social host

§ 4-302 - Notice of litigation

§ 4-311 - Liability for serving intoxicated person or minor; definition

§ 4-312 - Liability limitation