16-2-111. Seven-day credit limitation. (1) A sale or delivery of liquor or table wine may not be made to a retail licensee from an agency liquor store unless cash is paid within 7 days after the delivery of the liquor or table wine.

(2) An agency liquor store may not extend more than 7 days' credit for the sold or delivered liquor or table wine to a retail licensee, and a retail licensee may not accept or receive delivery of the liquor or table wine without agreement to pay in cash for the liquor or table wine within 7 days after the delivery.

(3) A correctly dated check that is honored on presentation is considered cash for the purposes of this section.

(4) Any extension or acceptance of credit in violation of this section is considered rendering or receiving of financial assistance. The licenses of any retail licensees that violate this section must be suspended or revoked, and the franchise agreement of any agency liquor store involved in a violation of this section must be terminated, as determined by the department in its discretion.