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SB 842

Electronic Smoking Devices - Seizure and Wholesaler Record-Keeping Requirements

2025 Regular Session Introduced by Pam Beidle

Gives warrantless seizure power for unlawfully sold ESDs and requires stricter wholesaler record-keeping and licensing to improve enforcement and traceability.

Approved by the Governor - Chapter 305
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Bill Summary · SB 842

SB 842 — Electronic Smoking Devices: Seizure & Wholesaler Record‑Keeping (Ch. 305, 2025)

Status: Approved by the Governor (Chapter 305). Effective immediately (signed 05/24/2025).
Primary subject: Regulation and enforcement for electronic smoking devices (ESDs) and other tobacco products.

Purpose / Intent

To strengthen enforcement tools against unlawful sale or distribution of electronic smoking devices and to increase accountability and traceability in the wholesale ESD supply chain by (1) authorizing warrantless seizure of unlawfully sold ESD/other tobacco products and (2) creating/clarifying wholesaler licensure and record‑keeping requirements.

Key provisions

  • Warrantless seizure

    • The Executive Director of the Alcohol, Tobacco, and Cannabis Commission (ATCC) or a peace officer may seize other tobacco products and ESDs sold or offered for sale in violation of the law without a warrant.
    • At time of seizure, notice must be given to the person from whom property was seized, including the right to file a claim for return.

  • Procedure for return / forfeiture

    • Owner or interested person may file a claim for return within 30 days of seizure; failure to timely file results in forfeiture of interest.
    • If a claim is filed, the Executive Director (or designee) must act promptly, hold an informal hearing, and direct return of the property unless there is satisfactory evidence the owner was not in compliance at the time of seizure.
    • Final determination must be mailed to claimant.
    • Seized items that are destroyed must be recorded (nature, quantity, reason, manner of destruction). ATCC must post seizure/forfeiture notices on its website for at least one year.

  • Costs, penalties, and recovery

    • Persons whose property is seized remain responsible for penalties and reimbursement of transportation, storage, and disposal costs.
    • ATCC may impose/collect costs and recover reasonable investigative and legal expenses; nonpayment may be grounds for license denial or revocation.

  • Wholesaler licensure and record‑keeping (ESD wholesalers, distributor/importer)

    • Establishes/clarifies a licensed ESD wholesaler category (including wholesaler distributor and wholesaler importer distinctions).
    • Wholesalers must: receive and retain invoices for each purchase; keep daily records (specified information); keep records of retail customers (name, address and political subdivision) and produce invoices for each sale; maintain records of out‑of‑state sales for resale.
    • Monthly inventory of all ESD on premises required (with limited exceptions for written memoranda transferring to retail stock).
    • Records must be retained up to six years and made available for ATCC inspection.
    • ATCC may adopt implementing regulations.

  • Manufacturer sales to consumers

    • The law removes/repeals the manufacturer’s authority to sell ESD directly to consumers via mail/online channels (i.e., sale-to-consumer authority is curtailed).

Who is affected

  • ESD wholesaler distributors and wholesaler importers (new/expanded record‑keeping and licensing obligations).
  • ESD manufacturers (limits on direct-to-consumer sales).
  • Retailers and consumers (indirectly, via supply chain changes and enforcement).
  • ATCC and law enforcement (expanded enforcement and administrative duties).
  • Small businesses: fiscal notes describe minimal fiscal impact; ATCC implementation can be done with existing resources.

Administrative / fiscal notes

  • Fiscal analysis indicates ATCC can implement seizure/hearing duties with existing resources; no expected change in revenues. Costs imposed on violators (transportation, storage, disposal, investigation) may be recoverable by ATCC.

Effective date and chapter

  • Enacted as Chapter 305, 2025; signed by Governor 05/24/2025 and effective immediately.

Compiled from official sources — confirm details with the bill’s official record.

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