AB 445: California Extends the Beer Glassware Exception to 2029

Updated November 8, 2026. This article was first written on October 2, 2025, the day after Governor Newsom signed AB 445. It describes the law as enacted then, before its January 1, 2026 effective date. Later developments are kept separate in the “Current context” section near the end. It is general information, not legal advice.

A small exception with a deadline

Few things look more harmless than a branded pint glass. Yet in California, a beer company handing a bar a box of free glasses runs straight into tied-house law, the set of rules that keep manufacturers and wholesalers from giving retailers things of value. For several years a narrow exception has allowed it, within strict limits. That exception was set to expire on January 1, 2026.

On October 1, 2025, the Governor approved Assembly Bill 445 (Aguiar-Curry, Chapter 153, Statutes of 2025). Among other things, it extends the retail advertising glassware exception in Business and Professions Code section 25600.05 until January 1, 2029. The same bill also authorizes up to 10 additional on-sale general licenses for bona fide public eating places in Colusa County, which matters a great deal to that county but is not the focus here.

For on-sale bars, brewpubs, and restaurants elsewhere in the state, the practical question is simple: if a brewery offers glassware, what can you accept, and what records do you need to keep?

What counts as retail advertising glassware

Section 25600.05, as amended by AB 445, defines the key terms precisely:

• Beer manufacturer has the meaning given in the tied-house provisions of section 25600.
• Glassware means a single-service glass container or nonglass container that holds no more than 23 ounces of liquid and is intended for serving beer.
• Retail advertising glassware is glassware that bears conspicuous advertising of beer required of a sign.
• Case means a box containing up to 24 pieces of glassware.

So the exception is for beer service glasses carrying beer advertising. It is not a general license for suppliers to furnish wine glasses, cocktail glassware, or unbranded barware.

The limits on both sides of the transaction

The statute caps what the manufacturer may give and what the retailer may accept, and the two caps are different.

From the manufacturer’s side: a beer manufacturer may give, without direct or indirect charge, up to five cases of retail advertising glassware to an on-sale retail licensee, per licensed location, each calendar year, for use at that location. The glassware must be delivered by the beer manufacturer itself to the retailer’s licensed premises, and no more than five cases from that manufacturer may be delivered to any single on-sale premises.

From the retailer’s side: an on-sale retail licensee may accept, without charge, up to 10 cases of retail advertising glassware per licensed location each calendar year from licensed beer manufacturers. In practice, that means a bar could accept five cases each from two breweries, or smaller amounts from several, but no more than 10 cases in total for that location in a calendar year.

Three conditions apply on top of the numbers:

1. The gift cannot be conditioned, directly or indirectly, on the purchase or sale of any product, including the manufacturer’s own beer.
2. The retailer cannot condition its purchase of a manufacturer’s products on receiving glassware.
3. The retailer may not sell the glassware, give it away, or return it to a manufacturer for cash, credit, or replacement.

That last point catches some operators by surprise. The glasses are for use at the licensed location. Handing them out as souvenirs, selling them at the bar, or trading them back for a discount is outside the exception.

Wholesalers stay out of it

The exception is for beer manufacturers, not distributors. Section 25600.05(c) says a beer wholesaler may not directly or indirectly underwrite, share in, or contribute to the cost of the glassware, its transportation, or shipping. A wholesaler also may not act as the manufacturer’s agent to deliver, stock, or store glassware for an on-sale retailer.

If your distributor’s driver arrives with a box of a brewery’s branded glasses, that is a signal to pause and ask questions. The statute requires the manufacturer to deliver them.

The recordkeeping requirement for retailers

This is where an otherwise simple rule becomes a compliance task. Under section 25600.05(f), an on-sale retail licensee must keep records for three years of:

• all glassware received under this exception, and
• all other retail advertising glassware purchased or otherwise received.

The records must be kept at the licensed premises where the manufacturer delivered the glassware, and the licensee must produce them to ABC promptly on request. Manufacturers have their own obligations: they must file records of glassware provided with ABC, in the manner the department prescribes, within 30 days of delivery, and keep their own records for three years.

A workable system for a bar does not need to be elaborate. A single log, paper or digital, with these columns covers it:

• date received
• manufacturer name
• number of cases and approximate pieces per case
• who received it on site
• whether it was a free gift under section 25600.05 or a purchase, with the invoice attached if purchased
• running total of free cases received this calendar year

The running total is the line that protects you. When it reaches 10 cases for that location, the answer to the next offer that year is no.

Why ABC cares about something so small

Tied-house rules exist to keep suppliers from gaining influence over retailers through money or valuable gifts, and to protect consumers from aggressive marketing. A single box of pint glasses is unlikely to change a bar’s tap list. But the legal structure treats any thing of value from a supplier to a retailer as prohibited unless an exception specifically allows it. Glassware is allowed only because the Legislature wrote an exception with clear limits, and only for as long as that exception is in force.

That has a practical consequence for operators. Exceptions are interpreted narrowly. Accepting glassware that does not meet the definition, exceeding the case limits, or skipping the records can turn an authorized gift into an unauthorized thing of value. Discipline for trade practice violations is handled through ABC’s normal accusation process, and penalties can include suspension. Our guide to ABC penalties and offers in compromise explains how monetary alternatives to suspension work.

Practical scenarios

A brewery rep offers six cases of branded pints. The manufacturer may not deliver more than five cases to a single on-sale premises in a calendar year. Accept no more than five from that brewery.

You already received four cases from one brewery and five from another this year. You are at nine. You may accept one more case from a beer manufacturer for that location this calendar year.

A rep suggests the glasses come “with” a new tap placement. The gift cannot be conditioned on any purchase or sale. Decline the arrangement as described and keep purchasing decisions separate.

Your marketing manager wants to give branded pints to guests at a trivia night. Free glassware received under the exception may not be given away. If you want giveaway glasses, buy them through a lawful channel and confirm that the promotion itself complies with ABC rules on premiums and gifts.

Your restaurant group has three locations. The limits apply per licensed location, and each location must keep its own records on site.

Connecting glassware to the rest of your supplier relationships

Glassware is one of several places where retailers and suppliers interact under detailed rules. Beginning January 1, 2026, retailers will also pay wholesalers for alcoholic beverage deliveries by electronic funds transfer under AB 2991, a change covered in our article on electronic payments to wholesalers. Managers who receive deliveries, sign invoices, and talk with sales reps should understand both sets of rules.

A short staff briefing works well: who is allowed to accept supplier items, where the glassware log lives, and the principle that anything free from a supplier must fit a written exception or be politely declined.

Questions to ask before accepting any glassware

Before a box of glasses goes onto the shelf, a manager should be able to answer each of these questions with a clear yes:

• Is the giver a licensed beer manufacturer, rather than a wholesaler, a wine or spirits supplier, or a marketing agency?
• Is each piece a beer service glass or nonglass container that holds no more than 23 ounces?
• Does it carry conspicuous beer advertising, so that it is retail advertising glassware rather than plain barware?
• Is the manufacturer delivering it to our licensed premises itself?
• Will this delivery keep the manufacturer at or below five cases for our location this calendar year, and our location at or below 10 cases from all beer manufacturers?
• Is the gift free of any purchase condition, written or unwritten?
• Have we recorded it in the log kept at this premises?

If any answer is no or uncertain, decline the glassware or ask the manufacturer to clarify before accepting it. Turning down a box of pints costs little. Accepting one outside the rules can create a violation for both businesses.

It also helps to tell sales representatives about your policy in advance. Many will appreciate a retailer that knows the rules, and it saves awkward conversations at the delivery door.

Finally, remember the calendar. The limits reset each calendar year, and the exception itself is scheduled to end on January 1, 2029. Put a reminder in your compliance calendar for late 2028 to check whether the Legislature has extended it again.

Current context as of November 8, 2026

ABC’s 2025 Chaptered Legislation summary lists AB 445 as effective January 1, 2026 and describes it as extending the sunset date of the retail advertising glassware law from January 1, 2026 to January 1, 2029. As of this update, the exception remains scheduled to expire on January 1, 2029 unless the Legislature acts again. ABC’s November 5, 2025 tied-house reminder later emphasized that each exception is narrowly constructed and must be followed exactly.

The bottom line

AB 445 keeps a small, useful exception alive for three more years. On-sale retailers can still accept branded beer glassware from beer manufacturers, but only within the case limits, only for use on site, and only with records kept at the premises for three years. Start a log now, keep the running total, and the free pint glasses will stay free in every sense.

Sources

1. California Legislature: AB 445 (Aguiar-Curry, Chapter 153, Statutes of 2025), chaptered text
2. ABC: 2025 Chaptered Legislation (current note)
3. ABC: Tied House Reminder: Payments Between Retailers and Suppliers (Nov. 5, 2025, current note)

This article is general information, not legal advice.