AGO 81-042.

• Case Date: April 21, 1981
• Court: North Dakota

North Dakota Attorney General Opinions 1981. AGO 81-042. OPINION 81-42Date Issued: April 21, 1981 (AGO 81-42) Requested by: Richard P. Gallagher, Mandan City Attorney- QUESTION PRESENTED - Whether the owner of an off-sale retail liquor license can dispense free samplings of alcoholic beverages on the licensed premises.- ATTORNEY GENERAL'S OPINION - It is my opinion that state law does not prohibit the dispensement of free samples of alcoholic beverages on the licensed premises of an off-sale establishment. However, a local governing body may regulate or restrict such an activity pursuant to section 5-02-09 and 40-05-01(29) of the North Dakota Century Code. - ANALYSIS - Pursuant to sections 5-02-03 and 5-02-04 of the North Dakota Century Code, beer and liquor can be sold at retail in two possible manners, i.e., "on-sale" or "off-sale". The North Dakota Century Codes does not define the terms "on-sale" and "off-sale". However, the definition of general acceptance is found in a case entitled Affiliated Distillers Brands Corp. v. Gillis, 130 N.W.2d. 597, 598 (S.D. 1964), wherein the terms were defined as follows: As the terms imply the off-sale store sells liquor by the package for use off the premises where sold and the on-sale establishment sells it by the drink for consumption on its premises. Thus, an alcoholic beverage may be sold "on-sale" which means it must be sold by the drink and consumed on the licensed premises (in the bar), or it may be sold "off-sale" which means it must be sold by the package for consumption off the licensed premises. It is not permissible with either an on-sale or off-sale license to sell an alcoholic beverage by the drink...