125.545(3)(b)4.4. A cooperative wholesaler shall work with all of its members on evenhanded terms. Any preferential treatment by a cooperative wholesaler for the benefit of a member that is a Wisconsin winery or Wisconsin manufacturer, and any discrimination against a member that is an out-of-state winery or out-of-state manufacturer, is prohibited. Effective date noteNOTE: Par. (b) is shown as amended eff. 1-1-25 by 2023 Wis. Act 73. Prior to 1-1-25 it reads: Effective date text(b) 1. Notwithstanding s. 125.54 (1), and except as provided in subd. 3., a cooperative wholesaler issued a wholesaler’s permit under par. (a) is authorized to sell and distribute only wine. Except as provided in subd. 3., a cooperative wholesaler may not sell or distribute any alcohol beverages, or any other product, except wine.
Effective date text2. A cooperative wholesaler shall purchase on consignment wine from its members to be resold to retailers and other wholesalers. Notwithstanding s. 125.69 (5), a cooperative wholesaler may not purchase wine from any person other than a member. A cooperative wholesaler may not resell or distribute wine unless it has been purchased on consignment from a member. Notwithstanding s. 125.54 (1), a cooperative wholesaler may not sell or distribute wine except to a retailer or to a wholesaler holding a permit under s. 125.54.
Effective date text3. A cooperative wholesaler may purchase ancillary wine industry trade goods such as bottles, corks, and other supplies used by wineries in the bottling and sale of wine if such trade goods do not include any alcohol beverages. Any wine industry trade goods purchased by a cooperative wholesaler under this subdivision may be offered for resale to the cooperative wholesaler’s members or to any winery that was formerly a member of the cooperative wholesaler.
Effective date text4. A cooperative wholesaler shall work with all of its members on evenhanded terms. Any preferential treatment by a cooperative wholesaler for the benefit of a member that is a Wisconsin winery, and any discrimination against a member that is an out-of-state winery, is prohibited.
125.545(3)(c)(c) Neither a cooperative wholesaler nor its members are subject to any restriction on dealings under s. 125.69 (1) between wholesalers and wineries or manufacturers. Except as provided in s. 125.54 (7) (e) and as otherwise provided in this section, all provisions of this chapter and ch. 139 that apply to a wholesaler issued a permit under s. 125.54 also apply to a cooperative wholesaler issued a permit under s. 125.54. Effective date noteNOTE: Par. (c) is shown as amended eff. 1-1-25 by 2023 Wis. Act 73. Prior to 1-1-25 it reads: Effective date text(c) Neither a cooperative wholesaler nor its members are subject to any restriction on dealings under s. 125.69 (1) between wholesalers and wineries. Except as provided in s. 125.54 (7) (e) and as otherwise provided in this section, all provisions of this chapter and ch. 139 that apply to a wholesaler issued a permit under s. 125.54 also apply to a cooperative wholesaler issued a permit under s. 125.54.
125.545(4)(4) Exclusive distribution. A member of a cooperative wholesaler may make its intoxicating liquor available for purchase by a retailer or another wholesaler only through the cooperative wholesaler of which it is a member. A member of a cooperative wholesaler may not sell its intoxicating liquor directly to any other wholesaler or directly to a retailer. Effective date noteNOTE: Sub. (4) is shown as amended eff. 1-1-25 by 2023 Wis. Act 73. Prior to 1-1-25 it reads: Effective date text(4) Exclusive distribution. A member of a cooperative wholesaler may make its wine available for purchase by a retailer or another wholesaler only through the cooperative wholesaler of which it is a member. A member of a cooperative wholesaler may not sell its wine directly to any other wholesaler or directly to a retailer.
125.545(5)(5) Biennial reports. With each application for renewal of a wholesaler’s permit issued to a cooperative wholesaler, each cooperative wholesaler shall file with the division, in the form and manner prescribed by the division by rule, a biennial report that includes detailed information on its members, board of directors, and sale and distribution activities. 125.545(6)(6) Division certification and rule making. 125.545(6)(a)1.1. The division shall, upon application, certify eligible applicants as small wineries and renew prior certifications of eligible applicants as small wineries. Effective date noteNOTE: Subd. 1. is amended eff. 1-1-25 by 2023 Wis. Act 73 to read: Effective date text1. The division shall, upon application, certify eligible applicants as small wineries or small manufacturers and renew prior certifications of eligible applicants as small wineries or small manufacturers.
125.545(6)(a)2.2. Any winery seeking to become a member of, or to maintain its membership in, a cooperative wholesaler may apply to the division for certification as a small winery. If the winery meets the definition of a small winery under this section, satisfies the requirement under sub. (2) (a) 3. a., and submits any other information that the division determines is necessary to certify that the winery is operating as a small winery and is eligible for membership in a cooperative wholesaler, the division shall certify the winery as a small winery. This certification shall remain valid for one year. 125.545(6)(a)2m.2m. Any manufacturer seeking to become a member of, or to maintain its membership in, a cooperative wholesaler may apply to the division for certification as a small manufacturer. If the manufacturer meets the definition of a small manufacturer under this section and submits any other information that the division determines is necessary to certify that the manufacturer is operating as a small manufacturer and is eligible for membership in a cooperative wholesaler, the division shall certify the manufacturer as a small manufacturer. This certification shall remain valid for one year. 125.545(6)(a)3.3. In certifying any winery under subd. 2., the division shall classify the winery as either a Wisconsin winery or an out-of-state winery. 125.545(6)(a)3m.3m. In certifying any manufacturer under subd. 2m., the division shall classify the manufacturer as either a Wisconsin manufacturer or an out-of-state manufacturer. 125.545(6)(a)4.4. The division shall refuse to certify under this paragraph any winery that cannot demonstrate it holds all necessary permits for its operations or that the division finds is otherwise not in full compliance with the laws of this state. Effective date noteNOTE: Subd. 4. is amended eff. 1-1-25 by 2023 Wis. Act 73 to read: Effective date text4. The division shall refuse to certify under this paragraph any winery or manufacturer that cannot demonstrate it holds all necessary permits for its operations or that the division finds is otherwise not in full compliance with the laws of this state.
125.545(6)(b)(b) The division shall promulgate rules to administer and enforce the requirements under this section. 125.545(7)(a)(a) Any winery that sells or distributes its wine directly to a retailer, rather than through a wholesaler or cooperative wholesaler, is subject to a fine of not more than $10,000 and revocation of all of its permits by the division under s. 125.12 (5). 125.545(7)(b)(b) Any cooperative wholesaler that provides preferential treatment to a Wisconsin winery or discriminates against an out-of-state winery is subject to a fine of not more than $10,000 and revocation of its wholesaler’s permit by the division under s. 125.12 (5). Effective date noteNOTE: Sub. (7) is amended eff. 1-1-25 by 2023 Wis. Act 73 to read: Effective date text(7) Penalties. (a) Any winery or manufacturer that sells or distributes its intoxicating liquor directly to a retailer, rather than through a wholesaler or cooperative wholesaler, is subject to a fine of not more than $10,000 and revocation of all of its permits by the division under s. 125.12 (5).
Effective date text(b) Any cooperative wholesaler that provides preferential treatment to a Wisconsin winery or Wisconsin manufacturer or discriminates against an out-of-state winery or out-of-state manufacturer is subject to a fine of not more than $10,000 and revocation of its wholesaler’s permit by the division under s. 125.12 (5).
125.545 Cross-referenceCross-reference: See also s. Tax 8.05, Wis. adm. code. 125.55125.55 Combination permits. 125.55(1)(1) The division may issue a combination manufacturer’s and rectifier’s permit. 125.55(2)(2) A combination manufacturer’s and wholesaler’s permit may not be issued. A combination rectifier’s and wholesaler’s permit may not be issued. 125.56125.56 Sacramental wine. 125.56(1)(1) Authorization to sell. Any person holding a permit under s. 125.52 (1), 125.53 or 125.54 may sell sacramental wine directly to persons holding permits under sub. (2). 125.56(2)(a)(a) The division shall issue sacramental wine permits to organized religious bodies authorizing them to purchase for their own use sacramental wine from any permittee under s. 125.52 (1), 125.53 or 125.54. A permit under this subsection does not authorize the resale of sacramental wine by the permittee. 125.56(2)(b)(b) No sacramental wine permit may be issued to a person acting as an agent for or in the employ of another. 125.56(2)(c)(c) Shipments of sacramental wine shall be conspicuously labeled “for sacramental purposes” and shall meet any other requirements the division prescribes by rule. 125.56 HistoryHistory: 1981 c. 79; 1983 a. 516 s. 8; 2023 a. 73. 125.58125.58 Out-of-state shippers’ permit; exception to requirement. 125.58(1)(1) The division shall issue out-of-state shippers’ permits which authorize persons located outside this state to sell or ship intoxicating liquor into this state. Except as provided under subs. (4) and (5), intoxicating liquor may be shipped into this state only to a person holding a wholesaler’s permit under s. 125.54 or, if shipped from a manufacturer or rectifier in another state holding a permit under this section, to a person holding a manufacturer’s or rectifier’s permit under s. 125.52 or a winery permit under s. 125.53. Except as provided under subs. (4) and (5), a separate out-of-state shipper’s permit is required for each location from which any intoxicating liquor is sold or shipped into this state, including the location from which the invoices are issued for the sales or shipments. Any person holding an out-of-state shipper’s permit issued under this section may solicit orders for sales or shipments by the permittee without obtaining the sales solicitation permit required by s. 125.65, but every agent, salesperson or other representative who solicits orders for sales or shipments by an out-of-state shipper shall first obtain a permit for soliciting orders under s. 125.65. No holder of an out-of-state shipper’s permit issued under this section may sell intoxicating liquor in this state or ship intoxicating liquor into this state unless the out-of-state shipper is the primary source of supply for that intoxicating liquor. 125.58(2)(a)(a) Out-of-state shippers’ permits may be issued only to a person who holds a valid certificate issued under s. 73.03 (50), but may not be issued to a person acting as an agent for or in the employ of another. Notwithstanding s. 125.04 (5) (a), natural persons obtaining out-of-state shippers’ permits are not required to be residents of this state. Notwithstanding s. 125.04 (5) (a) 5., a person is not required to complete a responsible beverage server training course to be eligible for a permit under this section. Notwithstanding s. 125.04 (6), corporations or limited liability companies obtaining out-of-state shippers’ permits are not required to appoint agents. 125.58(2)(b)1.1. Unless the permittee or agent of the permittee appointed under s. 125.04 (6) is a resident of this state, or unless the permittee maintains a registered agent in this state under s. 180.0501, 180.1507, 183.0105, or 183.1007, [s. 180.0501, 180.1507, 183.0115, or 183.0903,] a permittee under this section shall appoint and continually engage the services of an agent in this state to act as agent for the service of process on whom all processes, and any action or proceeding against the permittee concerning or arising out of the enforcement of any provision of this chapter or ch. 139, may be served in any manner authorized by law. That service shall constitute legal and valid service of process on the permittee. The permittee shall provide to the division, in the form and manner prescribed by the division, the name, address, phone number, and proof of the appointment and availability of the agent. 125.58 NoteNOTE: The correct cross-references are shown in brackets. Corrective legislation is pending.
125.58(2)(b)2.2. The permittee shall provide notice to the division 30 calendar days before termination of the authority of an agent under subd. 1. and shall provide proof to the satisfaction of the division of the appointment of a new agent no less than 5 calendar days before the termination of an existing agent appointment. In the event an agent terminates an agency appointment, the permittee shall notify the division of that termination within 5 calendar days and shall include proof to the satisfaction of the division of the appointment of a new agent. 125.58(2)(b)3.3. If a permittee fails to maintain an agent in this state after a permit is issued under this section, the permittee is considered to have appointed the department of financial institutions as the permittee’s agent, and the permittee may be proceeded against in courts of this state by service of process upon the department of financial institutions. 125.58(2)(c)(c) The application for a permit under this section shall include a provision that the permittee agrees to do all of the following: 125.58(2)(c)1.1. File reports, provide records, and allow inspections and examinations to the extent provided in s. 125.025 and ch. 139. 125.58(2)(c)2.2. Pay the expenses reasonably attributable to inspections and examinations made by the division at the premises of the permittee located outside this state. 125.58(2)(c)3.3. Accept service of process and consent to jurisdiction in any proceeding in this state to enforce the provisions of this chapter or ch. 139. 125.58(4)(4) A winery located outside of this state may ship wine into this state as provided under s. 125.535 and is not required to hold an out-of-state shipper’s permit under this section. 125.58(5)(5) A fulfillment house located outside this state that holds a permit under s. 125.23 may ship wine into this state as provided in s. 125.23 and is not required to hold an out-of-state shipper’s permit under this section. 125.58 Cross-referenceCross-reference: See also ss. Tax 8.35 and 8.61, Wis. adm. code. 125.58 AnnotationTreating All Grapes Equally: Interstate Alcohol Shipping After Granholm. Gary. Wis. Law. Mar. 2010.
125.60125.60 Wholesale alcohol permit. 125.60(1)(1) The division may issue a wholesale alcohol permit which authorizes the permittee to sell ethyl alcohol of 190 proof or more to persons holding permits or licenses issued under s. 125.61 or 125.62. Nothing in this section requires manufacturers, rectifiers and wholesalers holding permits issued under s. 125.52 (1) or 125.54 to obtain a wholesale alcohol permit. 125.60(2)(2) Wholesale alcohol permits may be issued to any person who holds a valid certificate issued under s. 73.03 (50) and who is qualified under s. 125.04 (5), except a person acting as an agent for or in the employ of another. Notwithstanding s. 125.04 (5) (a) 5., a person is not required to complete a responsible beverage server training course to be qualified for a permit under this section. 125.60(3)(3) Holders of wholesale alcohol permits who do not hold permits issued under s. 125.52 (1) or 125.54 are exempt from s. 125.65 as it relates to special permits for agents or representatives of wholesale alcohol permit holders. 125.60(4)(4) Holders of wholesale alcohol permits under this section who do not hold permits issued under s. 125.52 (1) or 125.54 may sell or deal in ethyl alcohol, except that no alcohol may be sold for consumption on the premises of the permittee. 125.61125.61 Medicinal alcohol permit. 125.61(1)(1) The division may issue a medicinal alcohol permit which authorizes the permittee to purchase and use alcohol for medicinal purposes only. The permit may be issued only to persons who prove to the division that they use alcohol for medicinal purposes. 125.61(2)(2) Medicinal alcohol permits may be issued to any person qualified under s. 125.04 (5), except a person acting as an agent for or in the employ of another. Notwithstanding s. 125.04 (5) (a) 5., a person is not required to complete a responsible beverage server training course to be qualified for a permit under this section. 125.61(3)(3) Shipments of medicinal alcohol shall be conspicuously labeled “for medicinal purposes” and shall meet other requirements which the division prescribes by rule. 125.61(4)(4) A medicinal permit shall be issued free of charge by the division and is not subject to s. 125.04 (11) (a). 125.62125.62 Industrial alcohol permit. 125.62(1)(1) The division may issue an industrial alcohol permit which authorizes the permittee to purchase and use alcohol for industrial purposes only. Such permits may be issued only to persons who prove to the division that they use alcohol for industrial purposes. 125.62(2)(2) Industrial alcohol permits may be issued to any person who holds a valid certificate issued under s. 73.03 (50) and who is qualified under s. 125.04 (5), except a person acting as agent for or in the employ of another. Notwithstanding s. 125.04 (5) (a) 5., a person is not required to complete a responsible beverage server training course to be qualified for a permit under this section. 125.62(3)(3) Shipments of industrial alcohol shall be conspicuously labeled “for industrial purposes” and shall meet other requirements which the division prescribes by rule. 125.63125.63 Industrial wine permit. 125.63(1)(1) The division may issue an industrial wine permit which authorizes the purchase and use of wine for industrial purposes only. An industrial wine permit may be issued only to persons who prove to the division that they use wine for industrial purposes. 125.63(2)(2) Industrial wine permits may be issued to any person who holds a valid certificate issued under s. 73.03 (50) and who is qualified under s. 125.04 (5), except a person acting as an agent for or in the employ of another. Notwithstanding s. 125.04 (5) (a) 5., a person is not required to complete a responsible beverage server training course to be qualified for a permit under this section. 125.63(3)(3) Shipments of industrial wine shall be conspicuously labeled “for industrial purposes” and shall meet other requirements which the division prescribes by rule. 125.65125.65 Permit to solicit for future sales.
