Tex. Alcoh. Bev. Code Section 61.74
Grounds for Cancellation or Suspension: Distributor


(a)

The commission or administrator may suspend for not more than 60 days or cancel an original or renewal general or branch distributor’s license if it is found, after notice and hearing, that the licensee:

(1)

violated a provision of this code or a rule of the commission during the existence of the license sought to be cancelled or suspended or during the immediately preceding license period;

(2)

was finally convicted for violating a penal provision of this code;

(3)

was finally convicted of a felony while holding an original or renewal license;

(4)

violated Section 101.41-101.43, 101.68 (Consignment Sale Prohibited), 102.11-102.15, 104.04 (Draft Malt Beverage Dispenser: Sign Required), 108.01 (Deceptive, Disparaging, or Otherwise Unlawful Advertising), or 108.04-108.06, or a rule or regulation promulgated under Section 5.40 (Regulation of Malt Beverage Container Deposits);

(5)

failed to comply with a requirement of the commission relating to the keeping of records or making of reports;

(6)

failed to pay any tax due the state on any malt beverages the licensee sold, stored, or transported;

(7)

refused to permit or interfered with an inspection of the licensee’s premises, vehicles, books, or records by an authorized representative of the commission;

(8)

consummated a sale of malt beverages outside the county or counties in which the licensee was authorized to sell malt beverages under the license;

(9)

purchased, sold, offered for sale, distributed, or delivered malt beverages while the license was under suspension;

(10)

permitted the use of the licensee’s license in the operation of a business conducted for the benefit of a person not authorized by law to have an interest in the business;

(11)

made a false or misleading representation or statement in the licensee’s original application or a renewal application;

(12)

has developed an incapacity that prevents or could prevent the license holder from managing the license holder’s establishment with reasonable skill, competence, and safety to the public;

(13)

misrepresented any malt beverages sold by the licensee to a retailer or to the public;

(14)

with criminal negligence sold or delivered malt beverages to a minor; or

(15)

purchased, possessed, stored, sold, or offered for sale malt beverages in an original package bearing a brand or trade name of a brewer other than the brand or trade name of the brewer shown on the container.

(b)

Each ground specified in Subsection (a) of this section also applies to each member of a partnership or association and, as to a corporation, to the president, manager, and owner of the majority of the corporate stock. The grounds specified in Subdivisions (7)-(9) and (13)-(15) also apply to an agent, servant, or employee of the licensee.
Acts 1977, 65th Leg., p. 471, ch. 194, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1979, 66th Leg., p. 1972, ch. 777, Sec. 20, eff. Aug. 27, 1979; Acts 1981, 67th Leg., p. 256, ch. 107, Sec. 6, eff. Sept. 1, 1981; Acts 1985, 69th Leg., ch. 285, Sec. 7, eff. Sept. 1, 1986; Acts 1985, 69th Leg., ch. 462, Sec. 8, eff. Sept. 1, 1986; Acts 1993, 73rd Leg., ch. 437, Sec. 3, eff. Sept. 1, 1993; Acts 1993, 73rd Leg., ch. 934, Sec. 54, eff. Sept. 1, 1993.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 1359 (H.B. 1545), Sec. 199(a), eff. September 1, 2019.
Acts 2019, 86th Leg., R.S., Ch. 1359 (H.B. 1545), Sec. 199(b), eff. September 1, 2021.

Source: Section 61.74 — Grounds for Cancellation or Suspension: Distributor, https://statutes.­capitol.­texas.­gov/Docs/AL/htm/AL.­61.­htm#61.­74 (accessed May 4, 2024).

61.01
License Required
61.02
Nature of License
61.03
Expiration or Suspension of License
61.04
License Not Assignable
61.05
Name of Business
61.06
Privileges Limited to Licensed Premises
61.07
Agent for Service
61.08
Statement of Stock Ownership
61.09
Change of Location
61.10
Replacement of License
61.12
Restriction on Consumption
61.13
Conduct Surety Bond
61.14
Altering Form of Business Entity
61.15
Certain Applications Prohibited
61.16
Unauthorized Use of License
61.031
Notification of Expired or Suspended License
61.31
Application for License
61.34
Appeal from Denial
61.35
License Fees
61.36
Local Fee Authorized
61.37
Certification of Wet or Dry Status
61.38
Notice of Application
61.40
Premises Ineligible for License
61.41
Second License at Same Location
61.42
Mandatory Grounds for Denial: Distributor or Retailer
61.43
Discretionary Grounds for Denial: Distributor or Retailer
61.44
Denial of Distributor’s or Retailer’s License: Prohibited Interests
61.45
Denial of Retailer’s or Distributor’s License: Prohibited Interest in Premises
61.46
Brewer’s License: Grounds for Denial
61.48
Renewal Application
61.49
Action on Renewal Application by Commission
61.50
Renewal of Retail Dealer’s License: Grounds for Denial
61.51
Premises Defined
61.52
Administrative Penalty in Certain Counties
61.71
Grounds for Cancellation or Suspension: Retail Dealer
61.72
Suspension or Cancellation: Retailer: Premises
61.73
Retail Dealer: Credit Purchase or Dishonored Check
61.74
Grounds for Cancellation or Suspension: Distributor
61.75
Suspension of Brewer’s License
61.76
Suspension Instead of Cancellation
61.77
Certain Acts Also Violations of Code
61.78
Violator Not Excused by Cancellation or Suspension
61.79
Notice of Hearing: Denial, Cancellation, or Suspension of License
61.80
Hearing for Cancellation or Suspension of License
61.81
Appeal from Cancellation or Suspension of License
61.82
May Not Restrain Suspension Order
61.83
Cancellation or Suspension: When Effective
61.84
Activities Prohibited During Cancellation or Suspension
61.85
Disposal of Stock on Termination of License
61.86
Discipline for Actions of Agent
61.87
Affirmation of Compliance
61.111
Health Risks Warning Sign
61.313
Protest by Member of the Public
61.314
Protest by Government Official
61.381
Notice by Sign
61.382
Notice by Mail
61.421
Denial of License Authorizing On-premises Consumption
61.711
Retail Dealer: Conviction of Offense Relating to Discrimination
61.712
Grounds for Cancellation or Suspension: Sales Tax
61.713
Cancellation for Improper Display or Use of License
61.721
Cancellation of Permit or License in Certain Municipalities
61.761
Alternatives to Suspension, Cancellation

Accessed:
May 4, 2024

§ 61.74’s source at texas​.gov