New Hampshire Code of Administrative Rules
Liq - State Liquor Commission
Chapter Liq 900 - LICENSEE DISCOUNT, CREDIT AND BILLING PROCEDURES
Part Liq 904 - LATE/NON PAYMENT
Section Liq 904.01 - Operating Conditions Governing Licensees

(a) For purposes of this section a depletion allowance (depletion) shall be the amount the retail shelf price of a liquor and wine vendor or representative, or liquor or wine manufacturer licensee's product at the commission liquor stores is reduced, and a special purchase allowance (SPA) shall be an agreement by such licensees to reduce the price the commission pays for product in a purchase order.

(b) A licensee may offer an SPA to reduce the cost of product on a purchase order for a specific cost amount and a certain number of product and the commission shall accept the offer unless, based on inventory, the product and the terms of the offer, it will not optimize profitability.

(c) Upon written request by a licensee, the commission shall accept the offer of a depletion from the shelf price of the licensee's product for a specific amount and period of time unless, based on inventory, the product and the terms of the offer, it will not optimize profitability.

(d) The licensee shall pay the agreed upon depletion to the commission in accordance with a schedule agreed upon by the commission and the licensee.

(e) The commission shall track the amount of product sold and the depletion owed by the licensee.

(f) The commission shall request a depletion from a licensee regarding a specific product or products if the request is designed to increase commission revenue. The licensee shall respond within 7 business days.

(g) Any licensee or licensee's agent that fails to pay the depletion in violation of the agreed schedule shall be assessed a fee equal to 18% per annum of the amount overdue if the assessment increases commission revenue.

(h) When any invoice for merchandise is not paid in full under the terms of Liq 903.03 or there is a return of any payment submitted by a licensee by a bank or other collection agent, the commission shall suspend all credit sales of liquor and wine to the licensee until the account is paid unless, based on the licensee's history of payments to the commission and the circumstances of the specific instance of nonpayment, such a suspension will reduce commission revenue.

(i) When a licensee is late with payment more than once in the prior 12 consecutive months, the commission shall suspend credit privileges for up to 6 months unless, based on the licensee's history of payments to the commission and the circumstances of the specific instance of nonpayment, such a suspension will reduce commission revenue. A licensee seeking to re-establish credit may reapply after the period of suspension subject to the rules and conditions of this chapter.

(j) When a licensee has 2 or more checks returned within the prior 12 consecutive months due to insufficient funds, the commission shall require cash, certified check, debit card, or credit card payments for a period of up to 12 consecutive months after receiving payment unless, based on the licensee's history of payments to the commission and the circumstances of the specific instance of nonpayment, such a suspension will reduce commission revenue.

(k) The commission shall apply a fee to checks or money orders returned for insufficient funds, pursuant to RSA 6:11-a, unless the licensee provides the commission with a written statement from the issuing institution establishing that the negotiable instrument was returned due to an error on the part of the drawee.

(l) The commission shall refer all accounts that are 60 or more days in arrears to the commission's legal unit or the department of justice for collection, unless a payment plan under Liq 904.02 is in effect with the commission.

(m) The licensee shall, in any event, be responsible for the payment of all protest and bank fees, if any, in addition to the face value of the check.

(n) The commission shall cancel telecommunication and internet orders awaiting payment if payment is not received within 14 days of order placement.