Returns

An industry member can accept returns of products in original, unopened containers from a retailer for specific reasons, but the industry member is not required to accept any return.

Returns for the following reasons are not allowed:

• Overstocked or slow-moving products
• Products for which there is only a limited or seasonal demand

Allowable reasons for returns:

• Defective products: Products which are no longer marketable because of product deterioration, leaking containers, damaged labels, or missing or mutilated tamper evident closures may be returned for cash or credit
  • Freshness dating: Beer can be returned for cash or credit or exchanged for freshness reasons provided all of the following conditions are met:
    1. The manufacturer of the beer has policies and procedures in place that specify the date the retailer must pull the product
    2. The industry member has freshness return/exchange policies and procedures that are readily verifiable and consistently followed
    3. The beer container has identifying markings that correspond with the pull date
    4. The beer pulled for freshness reasons does not reenter the retail marketplace
• Error in products delivered: Any difference between products ordered and products delivered may be corrected within a reasonable period after delivery.
• Products which may no longer be lawfully sold: Instances where a product can no longer be sold due to a change in regulation or administrative procedure
  • Example: A particular size or brand of product is no longer legally allowed to be sold
• Termination of business: Products on hand when a wholesaler or retailer goes out of business and cancels their alcohol license
  • This does not include a temporary seasonal shutdown of a business with a 12-month alcohol license
  • 5-day, 14-day, and 8-month retail licensees may return products once their license expires or is canceled
• Termination of franchise: When an industry member has sold products for cash or credit to one of its wholesalers and the distributorship arrangement is terminated, stocks of the product on hand may be returned
• Change in product: A product which has changed in formula, proof, label, or container may be exchanged for equal quantities of the new version of that product
  • This does not include products for which there is only a limited or seasonal demand
• Discontinued products: When a producer or importer discontinues the products or importation of a product, a wholesaler or retailer may return their inventory of that product
• Seasonal dealers: Retailers holding an 8-month seasonal license that expires or is canceled may return remaining inventory

Iowa Administrative Code rule 701—1003.25