42.11.421    BAILMENT LIMITS

(1) Vendors shall supply the state liquor warehouse with regular products and maintained special order products in an amount above the minimum level and below the maximum level as set forth in (2) and (3).

(2) The minimum level is a historical three-week case demand. The historical three-week case demand is calculated by taking the product's sales from the previous 12 months and dividing by 52 to obtain a weekly demand. This figure is then multiplied by three to obtain a three-week demand.

(3) The maximum level is a historical eight-week case demand. The historical eight-week case demand is calculated by taking the product's sales from the previous 12 months and dividing by 52 to obtain a weekly demand. This figure is then multiplied by eight to obtain an eight-week demand. The maximum level may be exceeded if a vendor demonstrates to the department's satisfaction that a larger amount is needed to meet a sales forecast or to obtain an economical shipment.

(4) Vendors will be charged a bailment fee equivalent to one dollar per case based on a historical three-week case demand for each day a regular product is out of stock. A bailment fee will not be charged if the unavailability of supply is due to an incident beyond the vendor's control or it is based on department error.

(5) Vendors shall honor a product's sale price for agency liquor store orders that were not filled during a sale month due to insufficient inventory.

(6) Fees and credits will be offset against the department's payment for products.

History: 16-1-103, 16-1-303, MCA; IMP, 16-1-103, 16-1-302, MCA; NEW, 1990 MAR p. 1839, Eff. 9/28/90; AMD, 2001 MAR p. 348, Eff. 2/23/01; AMD, 2003 MAR p. 2899, Eff. 12/25/03; AMD, 2007 MAR p. 478, Eff. 4/13/07; AMD, 2015 MAR p. 2093, Eff. 11/26/15; AMD, 2020 MAR p. 1745, Eff. 9/26/20.