Internet and out of state direct wine sales under attack.
New York Circuit Court Upholds State's Right to Regulate Alcohol
- WSWA Available to Discuss What the Ruling Means for New York -
*** SPOKESPERSON AVAILABILITY ***
WHAT: The 2nd Circuit Court of Appeals Thursday upheld the New York
state law that ensures out-of-state alcohol providers comply with
the state's alcohol regulatory system. The court, citing the 21st
Amendment to the U.S. Constitution, confirmed that New York has
the right to regulate alcohol shipments into the state, such as
making sure wineries keep appropriate records and comply with
state laws, including not selling to minors.
The Wine and Spirits Wholesalers of America applauds the appeals
court for standing up for accountability and community standards,
and recognizing that so-called "direct shipments" of alcohol to
consumers bypass the state's system of safeguards that protects
against product tampering and impurities, ensures revenue
collection for the state, and tracks sales to consumers through
face-to-face transactions that keep alcohol out of the hands of
children.
WHO: Interviews are available with:
Mr. Viet Dinh
Constitutional Scholar and former Supreme Court clerk
Media Contact: John Fitzpatrick on 202-289-2001
Ms. Juanita Duggan
President and CEO, Wine and Spirits Wholesalers of America
Media Contact: John Fitzpatrick on 202-289-2001
ADDITIONAL BACKGROUND:
The following is a statement by Juanita D. Duggan, president and CEO of
the Wine and Spirits Wholesalers of America, Inc., released today:
"The unanimous court decision on Thursday is a clear victory for the
people of New York and for common sense. It reaffirms the state's
constitutional right to ensure out-of-state alcohol providers comply with
state alcohol laws. It also deals a significant setback to the influential,
billion-dollar wine industry, which is pursuing a legal and public relations
strategy to use the courts across the country to create alcohol anarchy.
The 2nd Circuit Court of Appeals, citing the U.S. Constitution's 21st
Amendment, acted to protect the state's alcohol regulatory system. The court
confirmed the fact that unregulated and unaccountable alcohol shipments to
consumers would destroy government controls on alcohol:
'Changes in marketing techniques or national consumer demand for a product
do not alter the meaning of a constitutional amendment.'
'Presence ensures accountability ... [In-state] violations are subject to
disciplinary measures carried out in New York ... '
'In 2000, there were over 2100 wineries in the country, a 275% increase
since 1975. Requiring New York officials to traverse the country to ensure
that direct sales to consumers (no matter how small) comply with New York law
would render the regulatory scheme useless.'
This issue has national implications as cases have been filed in eleven
other states. Just last month, the Michigan Attorney General asked the U.S.
Supreme Court to overturn a lower court decision invalidating their ban on
interstate shipment of alcohol to Michigan consumers. Such uncontrolled
alcohol shipments circumvent the careful regulatory systems used by most
states -- a time-tested system. This gold standard of checks and balances --
embraced by the court -- maintains local accountability over alcohol sales
from production to distribution to retail sales by requiring an in-state
presence and state license.
The powerful wine lobby wants to gut these local alcohol controls and make
anonymous alcohol sales as easy as point ... click ... drink. Such a virtual
vending machine online, run by 21st century bootleggers, threatens the safety
of communities and children by eliminating face-to-face ID checks. Previous
investigations by state attorneys general, the National Academy of Sciences, a
group of graduate students at the University of Tennessee, and countless media
outlets confirm that minors in fact are buying alcohol online, over the phone
and through the mail.
With Internet-savvy kids buying everything from beer to grain alcohol,
it's shameful that a handful of wine elites wants to tear up the constitution,
deregulate alcohol, skirt state laws and put kids at greater risk.
The 2nd Circuit Court of Appeals is to be commended for standing up for
accountability and community standards. We believe the U.S. Supreme Court
will come to the same conclusion."
WSWA is a national trade association representing the wholesale tier of
the wine and spirits industry and supports government policies that ensure
sales and deliveries of alcohol are conducted only by those licensed by the
state and in compliance with state and federal law.
CONTACT: John Fitzpatrick, +1-202-289-2001, ext. 214, for the Wine and
Spirits Wholesalers of America.
SOURCE Wine and Spirits Wholesalers of AmericaP
/PRNewswire -- Feb. 13/
/Web site: wswa.org |
