The bill amends Arkansas Code Title 26, Chapter 57, Subchapter 2, by adding a new section, 26-57-268, which establishes regulations regarding the suspension of permits for retailers who fail to pay wholesalers or manufacturers for tobacco products, vapor products, alternative nicotine products, or e-liquids. It mandates that permitted manufacturers or wholesalers can only sell these products to retailers in exchange for cash or established payment terms. If a retailer's payment is overdue or returned due to insufficient funds, the manufacturer or wholesaler must notify Arkansas Tobacco Control within five business days. Upon notification, Arkansas Tobacco Control will inform other wholesalers and manufacturers that the retailer is prohibited from making further purchases until the debt is settled.

The bill outlines a process for handling payment failures, including the potential suspension of a retailer's permit for up to seven days for a first offense and longer for subsequent offenses within a 48-month period. It also stipulates that if a retailer does not pay the debt in full within 30 days, the Director of Arkansas Tobacco Control may suspend the retailer's permit until the debt is resolved. Additionally, if a new owner takes over a retail location with an outstanding debt, they will be responsible for that debt. The Director and the Arkansas Tobacco Control Board are authorized to adopt necessary rules to implement these provisions.