Rules & Regulations of the State of Tennessee Title 0100 - Alcoholic Beverage Commission
Tennessee Rules & Regulations – Title 0100: Alcoholic Beverage Commission
Purpose: Title 0100 contains the rules set by the Tennessee Alcoholic Beverage Commission (TABC) to regulate the production, distribution, sale, and consumption of alcoholic beverages in Tennessee. These rules govern licenses, enforcement, penalties, and procedures.
1. Key Chapters and Provisions
Chapter 0100‑01: Sale of Liquor by the Drink
License Requirements: Establishments must have a valid license to sell alcohol by the drink. Managers must be licensed and have proper training. Changes in management must be reported to the Commission within 7 days.
Hours of Sale:
Monday–Saturday: Sale prohibited from 3:00 a.m. to 8:00 a.m.
Sunday: Sale prohibited until 10:00 a.m. unless local laws allow extended hours.
Inspections: TABC agents may inspect premises at any time; refusal can lead to fines, suspension, or license revocation.
Restrictions: Licensees cannot redistribute alcohol purchased by others or combine purchases with other licensees.
Chapter 0100‑03: Local Option Liquor Rules
Local option areas are counties or cities where voters decide whether alcohol sales are allowed.
Recordkeeping: Retailers and wholesalers must keep invoices and purchase records for at least three years.
Sale Restrictions: Wholesalers cannot store alcohol for retailers without written permission, and hours of operation are restricted.
Transfers: Only allowed under explicit rules; unauthorized transfers can result in fines or license suspension.
Chapter 0100‑04: Contested Case Procedures
Establishes how disputes between the Commission and licensees are handled.
Hearings: Conducted before an administrative law judge or Commission hearing officer.
Evidence: Licensees may present evidence; Commission may assess costs for transcripts and depositions.
Outcome: Decisions can include fines, license suspension, or revocation.
Chapter 0100‑06: Intra-Industry Conduct
Regulates interactions between manufacturers, wholesalers, and retailers.
Promotions: Industry members may provide promotional equipment or advertising materials only under specified conditions.
Prohibited Practices: Any practice that unfairly restricts competition or redistributes alcohol improperly is prohibited.
Chapter 0100‑07 through 0100‑14
Covers specific areas like:
Wine production, sale, and shipment to consumers.
Professional alcohol server training and certification.
Responsible Beer Vendor programs.
Manager permits and responsibilities.
Access to Commission records by the public.
2. Key Compliance Obligations
| Area | Requirement |
|---|---|
| Management & Permits | Managers must be licensed; server permits required for staff serving alcohol. |
| Sale Hours | Restricted hours based on law and local option ordinances. |
| Access & Inspections | Premises must allow inspection and provide truthful information. |
| Recordkeeping | Maintain sales and purchase records for at least 3 years. |
| Promotions & Advertising | Follow rules on permissible industry marketing. |
| Enforcement | Commission can impose fines, suspend, or revoke licenses; contested case procedures apply. |
3. Notable Case Law
Johnson v. Alcoholic Beverage Commission (Tenn. Ct. App. 1992)
Issue: A liquor license renewal was denied because the applicant did not provide a required local compliance certificate.
Holding: Commission denial upheld; statutory prerequisites must be met before a license is issued.
Significance: Shows strict compliance requirements with statutory and local regulations.
Tennessee Wine & Spirits Retailers Association v. Thomas (U.S. Supreme Court, 2019)
Issue: Tennessee required retail liquor license holders to be residents of the state for 2–10 years.
Holding: Violated the Commerce Clause; residency requirement struck down.
Significance: Even alcohol regulations must comply with constitutional protections against discrimination of out-of-state businesses.
Lookout Winery Case (Tennessee, 2024)
Issue: The Commission used a minor sting operation against a winery, allegedly violating its own rules.
Holding: Court sided with the winery, noting due process issues and improper enforcement tactics.
Significance: Courts review both the substance and the fairness of Commission enforcement.
4. Practical Takeaways
Tennessee alcohol regulations are detailed and strictly enforced.
Licensees must:
Keep proper records.
Adhere to sales hours and local option rules.
Ensure staff are trained and licensed.
Comply fully with inspections and audits.
Commission enforcement is legally reviewable; improper procedures or constitutional violations may lead to reversal of penalties.
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