SECTION 41.43. Sale after Cancellation, Expiration, or Voluntary Suspension of License or Permit

(a) In the event any license or permit granted under the code is cancelled, expires, or is voluntarily suspended by the license or permit holder, the license or permit holder is authorized for 30 days thereafter to sell or dispose of its remaining inventory of alcoholic beverages on hand at the time of the license or permit cancellation, expiration, or voluntary suspension, in bulk, to a licensee or permittee authorized to purchase and sell same.

(b) If a necessity exists for a longer period, written permission must be procured from the executive director or the executive director's designee. The application for such permission shall specify the reasons.

(c) A holder of a license or permit who holds more than one such license or permit and who submits one to the commission for cancellation or voluntary suspension may request approval to transfer the inventory on hand to one of its other licensed or permitted locations.

(d) In all cases where alcoholic beverages are disposed of or sold in bulk as herein set out, a sworn transfer document shall be filed with the local office of the commission and is subject to approval by the executive director or the executive director's designee. Approval of the sale or transfer shall not be granted if either the seller or purchaser is delinquent under Alcoholic Beverage Code §102.32 and §45.130 of this title at the time of the request.

(e) The transfer document filed with the commission must show the complete inventory of alcoholic beverages on hand. The inventory shall show the quantity, brand, and size of each container of alcoholic beverage, and for distilled spirits it shall also show the identification stamp number affixed to each container.

(f) Both the transferor and the transferee shall sign the transfer document under oath before a notary public swearing to the correctness of the transaction.

(g) All alcoholic beverages shall be transferred in a single transaction unless, based on the circumstances, multiple transactions are approved by the executive director or the executive director's designee.

(h) No person shall dispose of any alcoholic beverages after the expiration, cancellation, or voluntary suspension of a license or permit except in the manner and within the time herein specified unless written permission is procured from the executive director or the executive director's designee.

Source Note: The provisions of this §41.43 adopted to be effective December 6, 2021, 46 TexReg 8246