Store Research

Assembly Bill 1484 (Ralph-1975)

Chapter 597, Statutes of 1975

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A brief digest of Assembly Bill 1484 as last amended on June 10, 1975 is contained in the Senate Republican Caucus analysis as follows:

Redefines “wholesaler” for purposes of the Alcoholic Beverage Control Act to describe the area within which such a person operates as “within the United States,” rather than “within or without the state,” other than a territory or possession of the United States. It also incorporates within that definition any person dealing in alcoholic beverages within a foreign country having common boundaries with any state of the United States.
(See Exhibit #8)

An explanation of the need for the bill is set forth in the analysis of the Assembly Committee on Governmental Organization. (See Exhibit #3) The analysis states, in part:

It is understood that this measure is being sponsored by Mitsubishi Corporation, a Japanese conglomerate which, among other American holdings, has a leasehold interest in a Palm Springs hotel-country club complex.

Mitsubishi’s application for an on-sale premises license for the complex was denied by the ABC on the grounds that Mitsubishi, which is also engaged as an importer and wholesaler of certain alcoholic beverage products in Japan, would be in violation of California’s tied-house laws.

Mitsubishi argues that the reasoning behind the tied-house laws should not be applicable to a foreign corporation whose wholesaler liquor business is conducted entirely outside the jurisdiction of the United States.
(See Exhibit #3, page 1; see also Exhibit #10, document PE-10)

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