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S.B. 205






Sponsor: Curtis S. Bramble

             6      This act amends the Utah Criminal Code and the Judicial Code. The act increases
             7      penalties for illegal possession of cigars, cigarettes, or tobacco by minors. This act also
             8      clarifies the rules governing use of retail store space by tobacco manufacturers to sell
             9      tobacco in Utah, and prohibits after a certain period of time, tobacco manufacturers from
             10      engaging in certain practices regarding cigarette merchandising, shelf space, advertising,
             11      stocking, or display in the retail sale of tobacco, including prohibiting tobacco
             12      manufacturers from requiring retailers to engage in such practices as a condition of
             13      receiving merchandising and promotional programs and payments from the
             14      manufacturer in connection with direct, face-to-face retail sales of tobacco products.
             15      This act affects sections of Utah Code Annotated 1953 as follows:
             16      AMENDS:
             17          76-10-105, as last amended by Chapter 212, Laws of Utah 2002
             18          76-10-105.1, as last amended by Chapters 1 and 176, Laws of Utah 2000
             19          78-3a-502, as last amended by Chapter 212, Laws of Utah 2002
             20      Be it enacted by the Legislature of the state of Utah:
             21          Section 1. Section 76-10-105 is amended to read:
             22           76-10-105. Buying or possessing cigars, cigarettes, or tobacco by minors --
             23      Penalty -- Compliance officer authority -- Juvenile court jurisdiction.
             24          (1) Any 18 year old person who buys or attempts to buy, accepts, or has in his
             25      possession any cigar, cigarette, or tobacco in any form is guilty of a class C misdemeanor and
             26      subject to:
             27          (a) a minimum fine or penalty of [$60] $100; and

             28          (b) participation in a court-approved tobacco education program, which may include a
             29      participation fee.
             30          (2) Any person under the age of 18 who buys or attempts to buy, accepts, or has in his
             31      possession any cigar, cigarette, or tobacco in any form is subject to the jurisdiction of the
             32      Juvenile Court and:
             33          (a) a minimum fine or penalty of [$60] $100; and
             34          (b) participation in a court-approved tobacco education program, which may include a
             35      participation fee.
             36          (3) A compliance officer appointed by a board of education under Section 53A-3-402
             37      may issue citations for violations of this section committed on school property. Cited
             38      violations shall be reported to the appropriate juvenile court.
             39          Section 2. Section 76-10-105.1 is amended to read:
             40           76-10-105.1. Requirement of direct, face-to-face sale of tobacco products.
             41          (1) As used in this section:
             42          (a) (i) "Cigarette" means any product which contains nicotine, is intended to be burned
             43      under ordinary conditions of use, and consists of:
             44          (A) any roll of tobacco wrapped in paper or in any substance not containing tobacco; or
             45          (B) any roll of tobacco wrapped in any substance containing tobacco which, because of
             46      its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to
             47      be offered to, or purchased by, consumers as a cigarette described in Subsection (1)(a)(i).
             48          (ii) "Cigarette" does not include a standard 60 carton case.
             49          (b) "Cigarette tobacco" means any product that consists of loose tobacco that contains
             50      or delivers nicotine and is intended for use by consumers in a cigarette. Unless otherwise
             51      stated, the requirements pertaining to cigarettes shall also apply to cigarette tobacco.
             52          (c) "Retailer" means any person who sells cigarettes or smokeless tobacco to
             53      individuals for personal consumption or who operates a facility where vending machines or
             54      self-service displays are permitted under this section.
             55          (d) "Self-service display" means any display of cigarettes or smokeless tobacco
             56      products to which the public has access without the intervention of a retail employee.
             57          (e) "Smokeless tobacco" means any product that consists of cut, ground, powdered, or
             58      leaf tobacco that contains nicotine and that is intended to be placed in the oral cavity.

             59      "Smokeless tobacco" does not include multi-container packs of smokeless tobacco.
             60          (2) (a) Except as provided in Subsection (3), a retailer may sell cigarettes and
             61      smokeless tobacco only in a direct, face-to-face exchange between the retailer and the
             62      consumer. Examples of methods that are not permitted include vending machines and
             63      self-service displays.
             64          (b) Subsection (2)(a) does not prohibit the use or display of locked cabinets containing
             65      cigarettes or smokeless tobacco if the locked cabinets are only accessible to the retailer or its
             66      employees.
             67          (3) The following sales are permitted as exceptions to Subsection (2):
             68          (a) mail-order sales, excluding mail-order redemption of coupons and distribution of
             69      free samples through the mail; and
             70          (b) vending machines, including vending machines that sell packaged, single cigarettes,
             71      and self-service displays that are located in a separate and defined area within a facility where
             72      the retailer ensures that no person younger than 19 years of age is present, or permitted to enter,
             73      at any time, unless accompanied by a parent or legal guardian.
             74          (4) Any ordinance, regulation, or rule adopted by the governing body of a political
             75      subdivision or state agency that affects the sale, placement, or display of cigarettes or
             76      smokeless tobacco that is not essentially identical to the provisions of this section and Section
             77      76-10-102 is superceded.
             78          (5) (a) A parent or legal guardian who accompanies a person younger than 19 years of
             79      age into an area described in Subsection (3)(b) and permits the person younger than 19 years of
             80      age to purchase or otherwise take a cigar, cigarette, or tobacco in any form is guilty of
             81      providing tobacco as provided for in Section 76-10-104 and the penalties provided for in that
             82      section.
             83          (b) Nothing in this section may be construed as permitting a person to provide tobacco
             84      to a minor in violation of Section 76-10-104 .
             85          (6) (a) A cigarette retailer may enter into and participate in a cigarette manufacturer's
             86      merchandising, advertising, display, or consumer discount or promotional agreement or
             87      program in which the retailer:
             88          (i) provides cigarette merchandising, shelf space, advertising, stocking, or display to
             89      the manufacturer;

             90          (ii) conducts the manufacturer's consumer promotion and discount programs and
             91      provides such promotions and discounts to consumers; and
             92          (iii) is paid or compensated by the manufacturer for performing such activities.
             93          (b) A cigarette manufacturer may:
             94          (i) offer and enter into retailer agreements and programs as described in Subsection
             95      (6)(a);
             96          (ii) pay or provide other compensation to retailers for participating in agreements and
             97      programs; and
             98          (iii) provide consumer promotions and discounts to retailers for the retailers to furnish
             99      to consumers.
             100          (c) It is unlawful for a cigarette manufacturer to directly or indirectly:
             101          (i) condition a retailer's receipt of consumer promotions or consumer price discounts
             102      on the retailer's conduct or actions relating to the manufacturer's products or the products of
             103      any other manufacturer's products or the products of any other manufacturer, except for
             104      requirements that the retailer:
             105          (A) provide the promotion or discount to consumers; and
             106          (B) advertise and display the promotion and the promoted or discounted product to
             107      consumers;
             108          (ii) require or cause the retailer to allocate a specified percentage or fraction of the
             109      retailer's merchandising, stocking, display, shelf, or advertising space to the manufacturer;
             110          (iii) prevent, restrict, or limit a retailer from stocking, advertising, displaying, or
             111      participating in a program for another manufacturer's product;
             112          (iv) prevent, restrict, or limit the retailer from determining the size or location of the
             113      space that the retailer uses to stock, display, promote, or advertise cigarettes; or
             114          (v) require the retailer to raise its prices on, or prevent the retailer from setting,
             115      retaining, or reducing its prices on, another manufacturer's products.
             116          [(6)] (7) Violation of Subsection (2) [or], (3), or (6) is a:
             117          (a) class C misdemeanor on the first offense;
             118          (b) class B misdemeanor on the second offense; and
             119          (c) class A misdemeanor on the third and all subsequent offenses.
             120          (8) Any person affected by a violation of Subsection (6) has a private right of action to

             121      seek civil legal and equitable relief against any person violating Subsection (6), including a
             122      civil action for injunctive relief.
             123          (9) The requirements of Subsection (6) shall be met upon the first to occur of the
             124      following:
             125          (a) the natural expiration or earlier termination of a cigarette manufacturer's contract
             126      with a retailer; or
             127          (b) January 1, 2004.
             128          Section 3. Section 78-3a-502 is amended to read:
             129           78-3a-502. Petition -- Preliminary inquiry -- Nonjudicial adjustments -- Formal
             130      referral -- Citation -- Failure to appear.
             131          (1) Proceedings in minor's cases are commenced by petition.
             132          (2) (a) A peace officer or any public official of the state, any county, city, or town
             133      charged with the enforcement of the laws of the state or local jurisdiction shall file a formal
             134      referral with the juvenile court within ten days of the minor's arrest. If the arrested minor is
             135      taken to a detention facility, the formal referral shall be filed with the juvenile court within 72
             136      hours, excluding weekends and holidays. There shall be no requirement to file a formal
             137      referral with the juvenile court on an offense that would be a class B misdemeanor or less if
             138      committed by an adult.
             139          (b) When the court is informed by a peace officer or other person that a minor is or
             140      appears to be within the court's jurisdiction, the probation department shall make a preliminary
             141      inquiry to determine whether the interests of the public or of the minor require that further
             142      action be taken.
             143          (c) Based on the preliminary inquiry, the court may authorize the filing of or request
             144      that the county attorney or district attorney as provided under Sections 17-18-1 and 17-18-1.7
             145      file a petition. In its discretion, the court may, through its probation department, enter into a
             146      written consent agreement with the minor and the minor's parent, guardian, or custodian for the
             147      nonjudicial adjustment of the case if the facts are admitted and establish prima facie
             148      jurisdiction. Efforts to effect a nonjudicial adjustment may not extend for a period of more
             149      than two months without leave of a judge of the court, who may extend the period for an
             150      additional two months. The probation department may not in connection with any nonjudicial
             151      adjustment compel any person to appear at any conference, produce any papers, or visit any

             152      place.
             153          (d) The nonjudicial adjustment of a case may include conditions agreed upon as part of
             154      the nonjudicial closure:
             155          (i) payment of a financial penalty of not more than $100 to the Juvenile Court;
             156          (ii) payment of victim restitution;
             157          (iii) satisfactory completion of compensatory service;
             158          (iv) referral to an appropriate provider for counseling or treatment;
             159          (v) attendance at substance abuse programs or counseling programs;
             160          (vi) compliance with specified restrictions on activities and associations; and
             161          (vii) other reasonable actions that are in the interest of the minor and the community.
             162          (e) Proceedings involving offenses under Section 78-3a-506 are governed by that
             163      section regarding suspension of driving privileges.
             164          (f) A violation of Section 76-10-105 that is subject to the jurisdiction of the Juvenile
             165      Court shall include a minimum fine or penalty of [$60] $100 and participation in a
             166      court-approved tobacco education program, which may include a participation fee.
             167          (3) Except as provided in Section 78-3a-602 , in the case of a minor 14 years of age or
             168      older, the county attorney, district attorney, or attorney general may commence an action by
             169      filing a criminal information and a motion requesting the juvenile court to waive its jurisdiction
             170      and certify the minor to the district court.
             171          (4) (a) In cases of violations of fish and game laws, boating laws, class B and class C
             172      misdemeanors, other infractions or misdemeanors as designated by general order of the Board
             173      of Juvenile Court Judges, and violations of Section 76-10-105 subject to the jurisdiction of the
             174      Juvenile Court, a petition is not required and the issuance of a citation as provided in Section
             175      78-3a-503 is sufficient to invoke the jurisdiction of the court. A preliminary inquiry is not
             176      required unless requested by the court.
             177          (b) Any failure to comply with the time deadline on a formal referral may not be the
             178      basis of dismissing the formal referral.

Legislative Review Note
    as of 2-4-03 1:45 PM

A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

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