Winebusiness.com - Homepage for the Wine Industry

WSWA Applauds Fifth Circuit Decision Upholding States' Rights and the Three-Tier System


Date: 01/27/10

Press Release from WSWA - Wine & Spirits Wholesalers of America (WSWA) President and CEO Craig Wolf issued a statement applauding yesterday’s unanimous decision by the Fifth Circuit Court of Appeals upholding a Texas law that allows in-state – but not out-of-state – retailers to ship to their consumers.

“This unanimous opinion from one of the most respected circuits in the country clearly and forcefully reinforces WSWA’s view that the landmark 2005 Supreme Court decision in Granholm v. Heald preserved a state’s right to control the distribution of alcohol,” Wolf said.

“This decision is a very strong affirmation of state authority under the 21st Amendment to regulate the distribution of beverage alcohol.” In what is arguably one of the most important post-Granholm cases, the Fifth Circuit stated that Granholm affirms that “the Twenty-first Amendment still gives each State quite broad discretion to regulate alcoholic beverages.”

Agreeing with WSWA and those in the beverage alcohol industry who have long asserted that alcohol is different from other products, the court stated that “[t]he dormant Commerce Clause applies, but it applies differently than it does to products whose regulation is not authorized by a specific constitutional amendment.”

The court further underscored the power conferred by the 21st Amendment by stating that “regulating alcoholic beverage retailing is largely a State’s prerogative.”

“The Fifth Circuit’s affirmation of the three-tier system and its recognition that Granholm is limited to products and producers mirrors earlier rulings by the Second and Fourth Circuits, and is in line with the interpretation that WSWA and its industry partners have argued in the amicus briefs it has filed in each of these appeals,” Wolf noted. “But while we certainly are pleased with those important and persuasive decisions, the fact is that the battle to deregulate alcohol through litigation continues unabated.”

Nancy White

Director, Communications and Public Affairs

Wine & Spirits Wholesalers of America

805 15th St., NW Suite 430 Washington, D.C. 20005

202-371-9792 x305

Subscribe to Daily news Email

FREE Wine Business Daily News delivers the industry's top stories emailed to you from our editorial team.

most popular daily news links

latest used barrels

- used barrels  •  yesterday at 7:46AM PDT
- used barrels  •  Sep 30, 2014 at 1:52PM PDT
- used barrels  •  Sep 29, 2014 at 9:16AM PDT
- used barrels  •  Sep 29, 2014 at 8:09AM PDT

latest real estate

- real estate  •  Sep 29, 2014 at 1:20PM PDT
- real estate  •  Sep 29, 2014 at 11:48AM PDT
- real estate  •  Sep 29, 2014 at 8:18AM PDT
- real estate  •  Sep 26, 2014 at 1:59PM PDT
- real estate  •  Sep 21, 2014 at 5:00PM PDT

latest used equipment

- used equipment  •  Sep 29, 2014 at 9:49AM PDT
- used equipment  •  Sep 29, 2014 at 9:49AM PDT
- used equipment  •  Sep 28, 2014 at 4:26PM PDT
- used equipment  •  Sep 25, 2014 at 4:26AM PDT
- used equipment  •  Sep 25, 2014 at 4:26AM PDT

latest services & supplies

- services & supplies  •  Sep 30, 2014 at 2:51PM PDT
- services & supplies  •  Sep 25, 2014 at 5:56PM PDT
- services & supplies  •  Sep 25, 2014 at 9:21AM PDT
- services & supplies  •  Sep 22, 2014 at 11:29AM PDT
- services & supplies  •  Sep 19, 2014 at 4:11PM PDT

industry events

Oct 4
CA
Oct 5
CA
Search Events:

Copyright© 1994-2014 by Wine Communications Group. All Rights Reserved. Copyright protection extends to all written material, graphics, backgrounds and layouts. None of this material may be reproduced for any reason without written permission of the Publisher. Wine Business Insider, Wine Business Monthly, Grower & Cellar News and Wine Market News are all trademarks of Wine Communications Group and will be protected to the fullest extent of the law.