42.31.307 PREMIUM PROMOTIONS (1) Manufacturer's premiums may be attached to cigarette packs or cartons without being considered in violation of minimum pricing under the following conditions: (a) the department is notified of the promotion at least two weeks in advance of the beginning date of the promotion; and (b) the premiums are packaged along with each carton or package of cigarettes, or specifically identified as associated with the sale of a particular cigarette or carton of cigarettes. For example, a promotional display may designate a free item will be provided with each purchase of a carton of a specific brand of cigarettes. The item may be physically a part of the promotional display; (i) manufacturer's representatives may attach premiums at the retail locations; (ii) there is a written contract between the manufacturer and the wholesaler, subjobber or independent jobber directing the attachment of premiums. (2) Contractual arrangements and payment for premium attachment services must be documented in a manner consistent with standard business practices and may not be netted against invoices for cigarettes. History: 16-10-104, MCA; IMP, 16-10-301, MCA; NEW, 1992 MAR p. 668, Eff. 3/27/92. |