{"data":{"id":"us-ut/utah-code-32b-4-703","jurisdiction":"us-ut","citation":"Utah Code § 32B-4-703","heading":"Exclusive outlets.","body":"(1) It is unlawful for an industry member, directly or indirectly, or through an affiliate, to require, by agreement or otherwise, that the department or a retailer purchase a product from the industry member or the department to the exclusion in whole or in part of a product that is sold or offered for sale by another person.\n(2)\n(a) Subsection (1) applies only to a transaction between:\n(i) one or more industry members; and\n(ii)\n(A) the department; or\n(B) one or more retailers.\n(b) Subsection (1) does not apply to a transaction between two or more industry members, including between a manufacturer and a wholesaler.\n(3) Subsection (1) includes purchases coerced by an industry member through an act or threat of physical or economic harm, as well as through a voluntary industry member-retailer purchase agreement.\n(4)\n(a) Subsection (1) includes a contract or agreement, written or unwritten, that has the effect of requiring the department or retailer to purchase an alcoholic product from the industry member beyond a single sales transaction.\n(b) Examples of a contract or agreement described in Subsection (4)(a) include:\n(i) an advertising contract between an industry member and a retailer with the express or implied requirement of the purchase of the advertiser's product; or\n(ii) a sales contract awarded on a competitive bid basis that has the effect of prohibiting the department or retailer from purchasing from another industry member by:\n(A) requiring that the retailer purchase a product or line of products exclusively from the industry member for the period of the agreement; or\n(B) requiring that the retailer purchase a specific or minimum quantity during the period of the agreement.\n(5)\n(a) Subsection (1) includes a contract, agreement, or other arrangement between an industry member and a third party nonretailer that requires the department or a retailer to purchase the industry member's product to the exclusion in whole or in part of a product sold or offered for sale by another person.\n(b) This Subsection (5) applies whether a contract, agreement, or other arrangement originates with the industry member or the third party.\n(c) Examples of a contract, agreement, or other arrangement described in this Subsection (5) include:\n(i) a contract, agreement, or arrangement:\n(A) with a third party, such as a ball club or municipal or private corporation, that is not a retailer;\n(B) under which the third party leases the concession rights and is able to control the purchasing decisions of a retailer; and\n(C) that requires the retailer to purchase the industry member's product to the exclusion in whole or in part of a product sold or offered for sale by another person; or\n(ii) a contract, agreement, or arrangement with a third party nonretailer that requires a retailer to purchase the industry member's product to the exclusion in whole or in part of a product sold or offered for sale by another person in return for which the third party provides a service or other thing of value such as:\n(A) sponsoring radio or television broadcasting;\n(B) paying for advertising; or\n(C) providing other services or things of value.","path":["Title 32B Alcoholic Beverage Control Act","Chapter 32B-4 Criminal Offenses and Procedure Act","Part 32B-4-7 Trade Practices Act"],"source_url":"https://le.utah.gov/xcode/Title32B/Chapter4/32B-4-S703.html","current_through":"2026 General Session","vintage":"","retrieved_at":"2026-09-03T11:34:33Z","sha256":"d0f2f3e3c59a5b99a07c92e4f0ffbf015fb1f3787334403622f7107e340c77e5","source_id":"us-ut","stale":false,"prev":"us-ut/utah-code-32b-4-702","next":"us-ut/utah-code-32b-4-704"},"notice":"GroundRules: Original legal text. Not legal advice."}
