The passing of Senate File 240 has clarified and defined rules for the delivery of alcoholic beverages. Below is a breakdown of the law, which takes effect July 1, as well as an FAQ section.
Things to Remember:
Prior to Delivery:
Must be Licensed to sell unopened containers for off-premises consumption.
- Class E, Class C Beer Permit, Class B Beer Permit, Class B Liquor License, Class C Liquor License, Special Class C Liquor License, Class B Wine Permit, Native Wineries, Class C Native Wine Permit, Class B Native Wine Permit.
May make deliveries only on Monday - Saturday between 6:00 AM and 10:00 PM, and on Sundays from 8:00 AM to 10:00 PM with a Sunday sales privilege.
May deliver only alcoholic beverages you are licensed to sell for off-premises consumption:
- Spirits, wine and/or beer
May deliver to homes and “other designated location”
- Area designated by purchaser. For example reception hall, etc.
- Must follow the rules of the location if it’s a business.
Alcohol must be for personal use. Cannot be for resale in anyway.
- Example: Cannot delivery beer for a cash bar at a reception.
When Taking Delivery Order:
Payment must be received on the licensed premises at the time of order
- This can be in person or via credit card over the phone
- Cannot pay on delivery
Deliveries can be made seven days a week*, until 10:00 PM.
- Can start at 6:00 AM on Monday – Saturday
- Can start at 8:00 AM on Sunday (Licensee must have the Sunday sales privilege)
It is the licensee’s responsibility to ensure customer making the order is 21.
Employee accepting the order must be at least 16 years old.
Person receiving order must be 21. Must obtain proof of identity & age and recipient's signature.
Recipient must not be intoxicated or simulating intoxication
Delivery must be made by licensee’s employee. No 3rd party deliveries allowed.
Delivery person must be 21.
Deliveries must be made in a vehicle of the licensee. Not allowed to deliver in the employee’s vehicle.
Must keep for a period of 3 years:
- Signature of recipient
- Quantity delivered
- Recipient’s name
- Recipient’s address
Licensees may use the provided sample form below or develop their own record-keeping form as long as it contains all required information.
Sample Form (PDF)
Q. Can the delivery person take tips at the home?
Q. Does the name on the credit card have to match the person IDed during delivery? Does the person paying for the order need to be 21?
A. It is the responsibility of the licensee to ensure both the person making the order and the person accepting the order is at least 21. However, they do not have to be the same person. (The sale of alcohol includes taking an order per Iowa code 123.3 (32))
Q. How do licensees verify a person ordering over the phone is at least 21?
A. It is up to the licensee to decide how to best accomplish this. A viable option would be to make it store policy to only delivery to the person who made the order. Alternatively, you could require the purchase be made in person if the product is to be delivered to a different individual.
Q. How can licensees deliver gift baskets if the person who purchased it is the not same person who is receiving it?
A. See answer to previous question. In this case, the licensee could require customer make the purchase in person to prove their age. The individual receiving the gift basket must also prove their age upon delivery.
Q. Can a customer pay with a check over the phone?
A. Yes, if the licensee allows that option. Payment, in full, must be received on the licensed premises.
Q. How do licensees prove the buyers identity?
A. With a valid form of ID. Use same ID checking technique as used in any sale. (i.e. check picture, date of birth, expiration date, etc.)
Q. What if a customer pays over the phone, then upon delivery, the customer appears to be intoxicated?
A. Delivery cannot be made. Law states “deliveries shall not be made to a person who is intoxicated or is simulating intoxication.” It is up to the individual business how and whether or not to issue a refund or charge a delivery fee.
Q. Can customers who receive delivered alcohol return unopened product to the store?
A. State law does not prohibit that practice. This is up to the individual store policy.
Q. Can the store charge a fee for delivery? Is the amount regulated?
A. Law does not specify how much can be charged for delivery. That is up to the individual licensee.
Q. Does the order have to be made by 10 PM or the actual delivery have to be made by 10 PM?
A. The delivery must be made by 10 PM. It is the responsibility of the licensee to stop taking orders at the appropriate time so that deliveries can be made before the cutoff hour.
Q. Do the delivery personnel have to keep the alcohol in the backseat or trunk?
A. Drivers must follow all applicable laws. Iowa code 321.28 (4) requires open or unsealed containers to be stored in the truck or behind last row of fixed seating.
Q. Can businesses use online ordering or set up deliveries ahead of time to be delivered at a later time/date? Can orders be made outside legal hours for delivery to be delivered at a time during legal hours for delivery?
A. Orders can be made at any time during legal hours of sale (6AM to 2AM Mon-Sat; 8AM-2AM Sunday*). (The sale of alcohol includes taking an order per Iowa code 123.3 (32)) Deliveries must be made during the legal hours for delivery.
*With Sunday sales privilege.
Q. If the delivery person delivers to a minor, who will be charged with the violation. Would it be the person who took the money, or the person who dropped off the alcohol?
A. The licensee is responsible for the actions of all employees. Either or both employees could potentially be charged with a violation.
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