§ 3-5-11.1. Liquor franchises prohibited.
(a) To promote the effective and reasonable control and regulation of the Rhode Island alcoholic beverage industry and to help the consumer by protecting their choices and ensuring equitable pricing. Class A liquor license authorized by this title shall not be granted, issued, renewed, or transferred to or for the use of any liquor franchisor or franchisee. Class A liquor license holders are expressly prohibited from utilizing the provisions of the Rhode Island Franchise Investment Act, chapter 28.1 of title 19.
(b) Any franchise agreements involving the retail sales of alcoholic beverages are hereby declared null and void and illegal as of the effective date of this section [April 1, 2005].
(c) Any franchise agreements involving the retail sales of alcoholic beverages shall be terminated by the franchisor or the franchisee within thirty (30) days of the effective date of this section.
(d) Upon finding of a violation of this section by either the franchisor or the licensee, the department shall be empowered to set a fine up to the amount of ten thousand dollars ($10,000) per violating franchisor or licensee, revoke the license of the violator or suspend the license of the violator for a period of time to be determined by the department. Additionally, the department shall have the power to revoke or suspend the franchise registration in accordance with § 19-28.1-18 and to order it to cease and desist from all operations that are violative of the provisions of this section.
Notwithstanding anything contained in this chapter to the contrary, this act shall not be construed as to prevent the utilization of duly licensed professionals rendering services as independent contractors.
History of Section.P.L. 2004, ch. 376, § 2; P.L. 2004, ch. 469, § 2; P.L. 2016, ch. 511, art. 1, § 3.
Structure Rhode Island General Laws
Chapter 3-5 - Licenses Generally
Section 3-5-1. - License required for manufacture, sale, or importation of beverages.
Section 3-5-2. - Local option — Questions put to electors — Petition for election.
Section 3-5-3. - Tabulation of votes.
Section 3-5-4. - Denial of licenses after adverse vote.
Section 3-5-5. - Towns and cities in which licenses authorized.
Section 3-5-6. - Classes of licenses.
Section 3-5-7. - Wholesale and retail sales distinguished.
Section 3-5-8. - Expiration date of licenses.
Section 3-5-9. - Premises covered.
Section 3-5-10. - Residence of licensees and qualifications of persons and corporations as licensee.
Section 3-5-11. - Licensing of chain stores.
Section 3-5-11.1. - Liquor franchises prohibited.
Section 3-5-12. - Licensees to keep or sell legal beverages only — Minimum size of containers.
Section 3-5-13. - Consumption of distilled liquors on premises.
Section 3-5-14. - Licenses issued by department of business regulation.
Section 3-5-14.1. - Licenses issued by the department of business regulation.
Section 3-5-15. - Local licensing authorities.
Section 3-5-16. - Maximum number of licenses.
Section 3-5-16.1. - Revocation of abandoned Class A licenses.
Section 3-5-17. - Notice and hearing on licenses.
Section 3-5-18. - Signature on licenses — Posting and exhibition.
Section 3-5-19. - Transfer or relocation of license.
Section 3-5-20. - Rules and regulations — Notice and procedure.
Section 3-5-20.1. - Manufacturer’s and wholesaler’s licenses — Notice and procedure.
Section 3-5-21. - Revocation or suspension of licenses — Fines for violating conditions of license.
Section 3-5-22. - Reissuance of license after revocation.
Section 3-5-24. - Licensee becoming bail.
Section 3-5-25. - Antiunion discrimination.
Section 3-5-26. - Records of proceedings — Admission in evidence.
Section 3-5-27. - Annual reports.
Section 3-5-28. - Uniform procedures.
Section 3-5-29. - Prohibition against assignment or leasing of license.