AB-67 – Pricing Rules for Montgomery County DLC
What suppliers must know about equal pricing, discount rules, and enforcement requirements
Maryland requires suppliers to treat the Montgomery County Department of Liquor Control (DLC) the same as all other wholesalers, and this guidance reinforces non-discrimination rules, prohibits dependent discounting, and outlines enforcement expectations for pricing and sales practices.
What you need to know
- Montgomery County DLC must be treated the same as other wholesalers
- Prices, discounts, and terms must be equal
- Discounts cannot depend on a retailer’s pricing practices
- Violations will be enforced
Who This Applies To
This guidance applies to:
- Non-resident dealers (suppliers)
- Wholesalers
- County dispensaries, including Montgomery County DLC
Core Requirement
Suppliers may NOT:
- Discriminate between wholesalers
This includes:
- Montgomery County DLC, which must be treated the same as all other wholesalers
All pricing and sales practices must be applied equally.
What Must Be Equal
The following must be the same across all wholesalers:
- Invoice price
- Discounts
- Depletion allowances
- Conditions of sale
These must be offered:
- Simultaneously and equally to all accounts
Dependent Discounting Is Not Allowed
Suppliers may NOT:
- Offer discounts, rebates, or allowances that depend on how a retailer prices products
Example:
- A depletion allowance based on a retailer’s pricing policy is not allowed
Limited Exception
Differences in pricing are allowed only if:
- Products are shipped from different locations
Any difference must:
- Reflect actual transportation costs
Enforcement Position
Although prior statutory language may have been unclear:
- The State will enforce non-discrimination requirements as intended
Violations of these requirements:
- Will be enforced moving forward
What This Means for Businesses
Suppliers should:
- Review pricing and discount practices across all wholesalers
- Ensure Montgomery County DLC is treated equally
- Remove any pricing tied to retailer behavior
- Document any allowable transportation-based differences
Important Notes
- Legislative intent requires equal treatment across wholesalers
- Dependent discounting is prohibited
- Enforcement applies immediately
Need Help?
For questions about pricing and discount compliance, contact the ATCC: 410-260-7314 ext. 2 or [email protected]