Donation-Fueled Drinking: Legal In California?

California has strict laws regarding the sale and distribution of alcohol, with specific regulations surrounding donations. Alcohol donation laws can be challenging to interpret, and it is important to understand the legal requirements to ensure compliance. The state's Alcoholic Beverage Control Act (ABC Act) governs these regulations, and any violation of its provisions is considered a misdemeanor. This act permits licensees to donate to specified charities and nonprofit organizations, but there are conditions and exceptions to be aware of. For example, licensees are prohibited from giving a gift or thing of value in connection with the sale or distribution of alcoholic beverages. This includes advertising that a portion of the proceeds from alcohol sales will be donated to charity, as it is seen as incentivizing consumption. Understanding these laws is crucial for individuals and organizations involved in fundraising events or alcohol-related businesses in California.

California alcohol donation laws for nonprofits

Alcohol donation laws in California for nonprofits can be challenging to interpret. Generally, California law prohibits an alcohol beverage licensee from giving a gift or "thing of value" in connection with the sale and distribution of alcoholic beverages unless there is a statutory exception.

The Alcoholic Beverage Control Act (ABC Act) permits licensees to donate to specified charities and nonprofit organizations (typically 501(c)(3)s). However, when such donations are tied to sales of alcohol beverage products and advertised as such, the California Department of Alcohol Beverage Control (ABC) considers these donations "gifts" or "things of value" to consumers that "incentivize" or "entice" them to purchase and consume alcohol, which is against California law.

During the COVID-19 pandemic, the CA ABC temporarily allowed an exception to this prohibition, but only for COVID-19-related charities. Assembly Bill 1267 (AB 1267) expanded and codified this relief, amending Section 25600 of the ABC Act. This new statutory exception will expire on January 1, 2025, unless it is made permanent or extended.

Additionally, Assembly Bill 239 (AB 239), effective January 1, 2022, allows consumers to provide their own bottles and containers to be filled at a Duplicate Type 2 tasting room premise, providing a cost-effective way for wineries to provide wine to consumers.

Nonprofits in California that wish to serve or sell donated alcohol at fundraising events typically require a Special Daily Permit, which costs $25 per day and must be obtained at least two weeks before the event. If the event is open to the general public, an ABC-licensed bartender or caterer must be hired, even if alcohol is not being charged for.

It is important to note that these laws and regulations are subject to change, and nonprofits should refer to the ABC's website for the most up-to-date information and guidance.

ABC Act and licensee donations

In California, the Alcohol Beverage Control (ABC) Act permits licensees to donate to specified charities and non-profit organisations (usually 501(c)(3)s). However, when such donations are tied to the sales of alcoholic beverages, the ABC considers these donations as "gifts" or "things of value" that incentivise consumers to purchase and consume alcohol, which is against California law.

An example of this would be when a licensee advertises that they will donate a portion of the proceeds from the sale of an alcoholic product to a charity. During the COVID-19 pandemic, the CA ABC temporarily allowed this type of donation, but only for COVID-19-related charities. This exception was expanded and codified with the passing of Assembly Bill 1267, which amended Section 25600 of the ABC Act. However, this exception is set to expire on January 1, 2025, unless it is extended or made permanent.

The ABC Act has strict provisions that govern alcohol suppliers' ability to sponsor events. Suppliers sponsoring an event must comply with all their obligations as licensees. Donations to non-profits are permitted, but donations to other entities are not, unless specifically allowed by the Act. Licensees must also ensure that their charitable giving is not perceived as a gift to another licensee in a different "tier" of the industry. For example, licensees can donate to industry-wide organisations such as the National Restaurant Education Foundation or the U.S. Bartenders Guild.

Additionally, licensees involved in sponsoring or participating in events must keep detailed records of their sponsorship or participation for at least three years. Non-retail licensees may donate alcoholic beverages to a non-profit organisation only as provided by Section 25503.9 of the ABC Act. A non-retail licensee must not pay or provide any other thing of value to a permanent retail licensee that is also a sponsor of the event.

Public events and alcohol

California has a complex regulatory scheme for serving alcohol at public events. Generally, a license or permit is required before alcohol can be served at a special event, unless certain exceptions are met.

Firstly, if the event is deemed a "private party", no license is needed. A "private party" is defined as an event with a bona fide guest list, restricting access to invited guests only, with no members of the public in attendance. All drinks must be complimentary, with no admission cost, food charge, entry fee, raffle fees, or other such fees that could be interpreted as a way of paying for the alcohol.

If the event is open to the public, even if alcohol is not being charged for, a bartender or caterer with a license from the California Department of Alcoholic Beverage Control (ABC) must be hired. An exception is made for 501(c)(3) or 501(c)(4) non-profit organizations, which can obtain a special daily license authorizing the sale of distilled spirits, wine, and beer for $25 per day.

To obtain an ABC Event Permit (ABC 218), a catering company licensed with the ABC must be hired, and the request and permit fee must be submitted and paid to the ABC at least 10 days prior to the event. The catering company will be responsible for serving the alcohol, which can be bought separately.

It is important to note that local laws regarding drinking alcohol in public should also be considered, as it is considered a state infraction to drink in public in cities, counties, or public places where it is prohibited. Additionally, it is illegal to be intoxicated in public to the extent that one's ability to care for their own or others' safety is impaired or if one is blocking or preventing the use of a sidewalk or public street.

DUI laws in California

California has stringent driving under the influence (DUI) laws that are vigorously enforced by the California Highway Patrol (CHP) and local law enforcement agencies. DUI laws apply to both alcohol and drugs, and it is illegal to drive while under the influence of any substance that affects your ability to drive safely. This includes illegal drugs, prescription medications, and over-the-counter drugs.

In California, the legal blood-alcohol limit for driving is .08%. If you are under 21, the limit is much lower, at .01%. Even if your BAC is below the legal limit, it does not necessarily mean it is safe to drive, as alcohol can affect your driving even at lower levels. If you are found to have any alcohol in your system while driving, you could be charged with "wet reckless" driving.

If a law enforcement officer suspects you of DUI, you are required by law to submit to a chemical test to determine your BAC. This can be a blood, breath, or urine test. If you refuse to take the test, there are consequences, including the suspension of your driving privileges for one year for a first offense and revocation for two years for a second offense within ten years.

If you are convicted of a DUI in California, you face serious penalties. The DMV will suspend or revoke your driver's license, and you may be required to complete a DUI program, file SR-22/SR-1P, and pay reissue or restriction fees. You may also have to install an ignition interlock device (IID) in your vehicle. Additional penalties can include jail time, fines, vehicle impoundment, and storage fees. If you cause serious injury or death while driving under the influence, you may face civil lawsuits.

It is important to note that DUI laws in California also apply to operating certain vessels, such as boats, jet skis, and similar watercraft. Additionally, local laws in some cities or counties may prohibit drinking alcohol in public spaces, and violating these laws can result in infractions or misdemeanors.

Public intoxication in California

California's public intoxication laws aim to prevent disruptive or hazardous behaviour in public spaces caused by a person's intoxication. Public intoxication is classified as a misdemeanour under California Penal Code 647(f) and is punishable by up to six months in jail.

To be convicted of public intoxication, prosecutors must prove that the individual willfully ingested the alcohol or drugs and that their level of intoxication created a real and immediate danger to themselves or others or caused a public disturbance. For example, if an individual is visibly intoxicated, struggling to stand, causing a scene, or unable to navigate their surroundings safely, they may be charged with public intoxication. Additionally, individuals sleeping on a sidewalk or in public spaces due to intoxication may be charged if they are unable to care for themselves, posing a risk to their safety.

It's important to note that simply being intoxicated in public is not enough for a conviction. The prosecution must prove beyond a reasonable doubt that the individual's behaviour met the criteria of California Penal Code 647(f). Furthermore, there are strategies a California criminal defence lawyer can use to challenge a public intoxication charge, such as arguing that the individual was involuntarily intoxicated or that they remained in control of their safety.

In addition to public intoxication laws, California also has laws prohibiting drinking alcohol in public places in certain cities or counties, as well as DUI laws that prohibit operating a vehicle while impaired.

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