GrayRobinson Alcohol Law Team: Trademarks and Standards of Identity Are Vital to the Alcohol Beverage Industry
Brand value does not exist without a name and a defined existence. Brand owners in the alcohol industry know this and spend substantial time, effort, and expense designing the perfect product name and logo. Those same industry members also expend considerable resources lobbying the federal government to create standards of identity to assure that specific categories of products meet quality and distinct content criteria; think “Bourbon,” “Tequila,” and most recently "Singani" (a Bolivian brandy).
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GrayRobinson Alcohol Law Team: Attention Alcohol Industry Members: The Deadline to Comment on Whether Alcohol Labels and Ads Include Nutritional Information, Ingredient Listings, and Food Allergen Warnings Ends This Friday!
In its Notice No. 232, published on January 31, 2024, the U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB) announced two virtual listening sessions and opened a docket for written comments to receive input from the public on potential changes to regulations governing the labeling of wine, distilled spirits, and malt beverages. The issue is whether the TTB should amend existing voluntary disclosure regulations to require mandatory disclosure of per-serving alcohol and nutritional information, major food allergens, and/or ingredients—similar to food regulations currently enforced by the U.S. Food and Drug Administration (FDA).
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GrayRobinson Alcohol Law Team: Why the Heck Do They Need My Fingerprints?!
The alcohol beverage business is one of the most heavily regulated industries in the United States. A wide variety of enterprises engage in the retail sale of alcohol beverages, including hotels, restaurants, bars, nightclubs, golf courses, fraternal organizations, private clubs, supermarkets, gas stations, convenience stores, amusement parks, public sports arenas, theaters, entertainment venues, museums, and universities. Yet, these diverse enterprises all have one thing in common: from the smallest mom-and-pop grocery store to the largest publicly held hotel chain, each business must be licensed by the appropriate governmental agency before selling alcohol.
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GrayRobinson Regulated Products Section: New Presidential Executive Order Proposes Changes to Administrative Agencies’ Regulatory Review Process
President Joe Biden issued a directive to modernize regulatory review on the first day of his presidency. Today, the President has issued a new Executive Order, Modernizing Regulatory Review. The Office of Information and Regulatory Affairs (OIRA) has released its proposed revisions to OMB Circular No. A-4: Regulatory Analysis and the preamble to the proposed Circular.
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GrayRobinson Regulated Products Section Chair Richard Blau: The Growing Confluence Between Alcohol and Cannabis: A-B Sells Craft Brands to Tilray
In a move signaling the continuing confluence between alcohol and cannabis, Tilray Brands, Inc. (Nasdaq | TSX: TLRY), a global cannabis-lifestyle and consumer packaged goods company, yesterday announced that it has entered into a definitive agreement to acquire eight beer and beverage brands from AnheuserBusch (NYSE: BUD).
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GrayRobinson Alcohol Law Team: Good News for Alcohol Beverage Exporters
For those members of America’s alcohol beverage industry who seek to market their products outside the United States, good news awaits you. The U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB) announced its new, electronic export certificate system. While the system was unveiled on July 18, 2023, MyTTB functionality has now made the system even easier to use.
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GrayRobinson Alcohol Law Team: Alcohol Industry Leaders Join Retail Groups in Addressing Organized Retail Crime
In Portsmouth, Virginia, a man was recently arrested after stealing liquor from a retail store by stuffing numerous top-shelf bottles in his pants and waddling out without paying. Although video footage of the incident is comical, many other incidents of alcohol-related retail crime are far from funny.
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Distilled Spirits Break a Record for Alcohol Consumption Growth in America
In an economic report released on February 9, 2023, the Distilled Spirits Council of the United States (DISCUS) announced that the distilled spirits segment of America’s alcohol beverage industry achieved record market share and sales driven by two main factors. These factors include continued consumer interest in premium spirits and the ongoing recovery of the hospitality industry.
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Once Again, Words Make a Difference!
Sazerac Company, Inc., one of America's foremost alcohol beverage suppliers and the makers of Fireball Cinnamon Whisky, is being sued in federal court for fraud and misrepresentation. The lawsuit alleges consumer confusion over another Sazerac product - the Fireball Cinnamon mini bottles that are low alcohol products made with whisky flavoring and added caramel coloring, but contain no distilled spirits.
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How the World Turns: The U.S. and Bolivia Come to Trade Terms Over Singani and American Bourbon / Tennessee Whiskey
The U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB) has officially recognized Bolivian Singani as a unique type of brandy with its own Standard of Identity (SOI). Singani is a spirit distilled from Muscat of Alexandria grapes and supposedly originated when Spanish missionaries arrived in the Sixteenth Century to colonize what is now Bolivia.
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Canada Issues New Alcohol Beverage Consumption Guidelines
New guidelines published by the Canadian Centre of Substance Use and Addiction (CCSA) recommend that citizens consume no more than two drinks per week, with the report asserting that “any amount of alcohol is not good for your health.” The new guidelines, contained in a January, 2023 report entitled “Lifetime Risk of Alcohol – Attributable Death and Disability,” suggest Canadians who consume seven or more alcohol beverages per week are considered "high-risk" for serious health issues, including cancer, heart disease and stroke.
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US Treasury Issues Unified Agenda and Rule-Making Initiatives for TTB
Twice each year, the federal government publishes a list of regulations either recently adopted, in process, or under consideration for promulgation. Over 60 departments and agencies of the federal government, including the Treasury Department and its Alcohol and Tobacco Tax and Trade Bureau (TTB), participate in this regulatory disclosure process by contributing to a document that is titled The Unified Agenda.
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The Most Valuable Alcohol Industry Members in America? You Might Be Surprised!
Last month, the business news organization Forbes recently issued its 2022 list of “America’s Largest Private Companies” with estimated fiscal year revenues of at least $2 billion. It should not be surprising that several members of this elite corporate community are alcohol beverage licensees. Within the 246 private companies that qualified for top achiever status, a smattering of alcohol producers made the list, with only one breaking into the Top 100. Many more distributors made it into the club, and even more retailers were ranked, including one that Forbes listed as the Number Three largest privately owned business in America licensed to sell alcohol.
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Reassessing America’s Regulation Of the Alcohol Beverage Industry’s Trade Practices
Trade associations across the American alcohol industry are asking the U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB) to extend the opportunity for public comment regarding the agency’s proposed review and possible amendment of trade practice regulations related to the Federal Alcohol Administration Act's exclusive outlet, tied house, commercial bribery, and consignment sales prohibitions. In a joint letter dated December 19, 2022, eight alcohol industry trade associations requested that TTB authorize a 90-day extension to the Notice & Comment period associated with the agency’s Notice 216 – “Consideration of Updates to Trade Practice Regulations.”
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National Beer Wholesalers Association Releases New Toolkit for Enhancing Efficiency and Sustainability
The National Beer Wholesalers Association (NBWA) has partnered with sustainable logistics specialists Double Green to create a toolkit that will help beer and beverage distribution companies save money and continue to reduce their carbon footprints through greater efficiency and enhanced sustainability efforts. Particularly as distributors move through the busy summer season with energy prices escalating, the ability to conserve resources and create greater efficiencies is a priority for commercial survival.
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TTB Announces Proposed Rule to Create Special Classification for American Single Malt Whisky
The Alcohol and Tobacco Tax and Trade Bureau (TTB), under the U.S. Department of Treasury, just published a long-awaited notice of proposed rulemaking to establish American Single Malt Whisky as a type of whisky that is a distinctive product of the U.S. If adopted, this proposed rule would create a new standard of identity defining what can be labeled as an “American Single Malt Whiskey.”
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Uniform Law Commission Adopts Proposed Model Act Governing DTC Shipments of Alcohol Beverages
Judges, lawyers, lawmakers, and legal academics from across America met this summer in Philadelphia for the 131st Annual Meeting of the Uniform Law Commission (ULC), held from July 8, 2022, through July 14, 2022.
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TTB Proposes Two Options for Substantial Changes to Standards of Fill for Wine and Distilled Spirits
Notice No. 210, Standards of Fill for Wine and Distilled Spirits, was published in the Federal Register on Wednesday, May 25, 2022. In this document, the Alcohol and Tobacco Tax and Trade Bureau (TTB) proposes two options for amending the regulations governing wine and distilled spirits containers.
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Philadelphia, PA Reinstates Indoor Mask Mandates
The health department in the city of Philadelphia (the "City") announced on Monday, April 11, 2022 that the City will require masks in indoor public spaces beginning Monday, April 18, 2022. The health department based its decision on an increase in reported COVID-19 cases in the community.
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Saying No to War: Boycotting Russian Alcohol Products
As the Russian Federation’s invasion of neighboring Ukraine continues, United States opposition is taking many forms. In addition to providing the Ukrainians with military and humanitarian aid, Washington D.C. has imposed massive economic sanctions nationally against Russia, as well as personally against Russian President Vladimir Putin and the so-called "Russian Oligarchs" who are his closest political and economic allies.
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Treasury Report Takes On Alcohol Industry Competitiveness
The U.S. Treasury Department recently released its 63-page report on competition in the alcohol beverage industry, citing concerns about consolidation in the $250 billion annual U.S. alcohol market.
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TTB’S Continuing Modernization of Federal Alcohol Beverage Labeling and Advertising Regulations
The U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB) just published a final
rule that will implement Phase 2 of its rulemaking to modernize the federal labeling
and advertising regulations for the alcohol beverage industry. The Phase 2 final rule,
which addresses regulations governing the distilled spirits and malt beverages
segments of America’s alcohol beverage industry, will become effective 30 days from
date of publication in the Federal Register, i.e., on Friday, March 11, 2022.
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Beverage Lines Continue to Blur: Non-Alcohol Brands Go Alcohol, and Vice Versa
Atlanta-based beverage giant The Coca Cola Company announced today that it has authorized the alcohol beverage supplier Constellation Brands to manufacture, market and sell FRESCA™ MIXED, a new line of ready-to-drink cocktails made with distilled spirits. Under an intellectual property licensing agreement that allows Constellation to utilize the Fresca® brand trademark, the new RTD beverages are expected to launch later this year.
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Florida Division of Alcoholic Beverages and Tobacco Declaratory Statement Regarding Spirits Tastings
On December 2, 2021, the Florida Division of Alcoholic Beverages and Tobacco (DABT) issued Declaratory Statement #2021-45 relating to spirits tastings, clarifying the agency’s position on which levels of the three-tier alcohol beverage system can "conduct" spirits tastings at a retailer’s (bar, restaurant, nightclub, liquor store, etc.) licensed premises.
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GrayRobinson’s Valerie Haber Breaks Down SB 924: Proposed Changes to 4COP SFS License Requirements
On November 16th, Florida Senator Bradley filed Senate Bill 924, which if enacted would materially change the qualification requirements for a type 4COP SFS Florida liquor license. As a quick refresher, the Florida Division of Alcoholic Beverages ("ABT") has various retail liquor license options for restaurants and bars that want to sell alcoholic beverages for on-premise consumption (meaning that the patron would consume the beverage at the establishment, like in restaurants, bars, nightclubs, etc.).
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Most Distilleries That Registered to Produce Hand Sanitizer After January 27, 2020 Will Be Exempt from FDA Fees
The US Food and Drug Administration (FDA) published an announcement in the Federal Register on March 26, 2021, that exempts distilleries from an Over-the-Counter Monograph Drug User Fee Assessment (OMUFA) if they registered to produce hand sanitizer after January 27, 2020.
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Kombucha (Kuhm·boo·chuh) is on the Rise
Kombucha is on the rise, and why shouldn’t it be? The low alcohol by volume, fermentation bubbles of a good brew, and added fruit juice of a flavored seltzer leave more than just Supreme Court Justice Brett Kavanaugh saying, "I like beer." Along with millennials popularization of quinoa, boba, kratom, and açaí, we induct another contender into our repertoire of words we all struggle to pronounce the first time around.
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TTB Expands the List of Acceptable "Standards of Fill"
On December 29, 2020, the U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB) published a final rule in the Federal Register that amended the agency's regulations governing the size of wine and distilled spirits containers by adding seven new standards of fill for wine and distilled spirits. In adding the new sizes, TTB elected not to remove any existing standards of fill.
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SB142: What Would Its Passage Mean for Florida’s Alcohol Beverage Industry?
Legislators have begun filing alcohol beverage related bills for the 2021 Session. One of the bills that has been filed is Senate Bill 142 by Senator Jeff Brandes. This bill, if passed, will change the current state policies related to wine and cider size limitations, wine-to-go at restaurants, and Florida craft distilleries.
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Governor DeSantis Extends State of Emergency Declared in Executive Order 20-52
While COVID-19 refuses to loosen its grasp on the hospitality industry, there is refuge for some of Florida’s service industry members. As of November 3, 2020 Florida Governor Ron DeSantis has extended the state of emergency declared in Executive Order 20-52 for an additional 60 days.
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Adios, Cigarros Cubanos Adios, Cigarros Cubanos (And Alcohol Too, Mi Amigos and Amigas)!
Politics continues to interfere in the orderly market for alcohol beverages, this time stepping into the barely relaxed market for rum, cigars and similar products from Cuba.
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Florida is the Latest State to Consider Making Cocktails-To-Go Permanent
Florida Governor Ron DeSantis has made clear he wants to make permanent a COVID-19 inspired change to Florida’s Beverage Laws that has allowed restaurants and similar on-premises retailers to sell carry-out alcohol beverages during the coronavirus pandemic.
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The USMCA and America’s Alcohol Industry
On July 1, 2020, the U.S. - Mexico - Canada Agreement (USMCA) entered into force, replacing the North American Free Trade Agreement (NAFTA). The new USMCA is designed to improve trade opportunities for North American workers, farmers, ranchers, and businesses.
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Phased Re-Opening of Hospitality In Florida
COVID-19 has already proven to be calamitous for America’s hospitality industry generally and on the on-premises segment of the industry in particular. This month we look at some of the issues moving forward.
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TTB Clarifies Trade Practice Enforcement for COVID-19-Related Activities
The Federal Alcohol and Tobacco Tax and Trade Bureau ("TTB") published a May 8, 2020 Industry Circular #2020-3 titled, "Trade Practice Enforcement During COVID-19 Pandemic", which provides helpful insight into the agency’s current stance on various trade practice issues during the COVID-19 pandemic.
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COVID-19: CDC Issues Reopening Guidance for Restaurants and Bars
The Centers for Disease Control and Prevention ("CDC") recently released guidelines to help restaurants and bars safely reopen during the COVID-19 pandemic. The one-page decision tree maps out different courses of action and outcomes based on the food service establishment’s ability to meet certain safeguards.
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COVID-19: Florida Restaurants Extending Outdoor Areas to Increase Sales for Phase 1 Reopening
In response to on-going Covid-19 safety measures, Florida alcohol beverage license holders can temporarily or permanently extend their licensed premises outdoors to include sidewalks and other areas contiguous to their licensed premises to serve more consumers.
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FDA and TTB Temporarily Lift Regulations Governing Hand Sanitizer in Light of COVID-19, Allowing Distilleries and Unlicensed Manufacturers to Produce Alcohol-Based Hand Sanitizers
The Coronavirus Disease 2019 ("COVID-19") pandemic has catalyzed a demand for alcohol-based hand sanitizers. As a result, the Food and Drug Administration ("FDA") and the Alcohol and Tobacco Tax and Trade Bureau ("TTB") have recently released guidance regarding the production of hand sanitizers to meet the demand during the pandemic. As discussed below, these agencies have loosened restrictions on the production of hand sanitizers which allow manufacturers, including alcohol beverage manufacturers, to produce these products during this time of need.
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COVID-19 (Coronavirus) Mandates and Precautions for Alcohol Industry Licensees
COVID-19 (coronavirus) continues to invade nations, societies and industries at an alarming rate. As the pandemic spreads, lawmakers and business leaders are working to address the disease’s consequences – quarantined populations, disrupted supply chains and a consumer population under increasing pressure to conform to "social distancing" and stay home.
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Toasts, Not Tariffs
The wine and spirits industries are caught in the middle of a trade dispute between the U.S. and the EU over airline subsidies.
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The Increasing Frequency of Grocery and Restaurant Bankruptcies: Canaries In America’s Economic Coal Mine?
The retail food retail industry comprises foods and beverages sold at food retailers such as grocery stores, mass merchandisers, drug stores, convenience stores and foodservice facilities. Total retail and food service sales in the United States amounted to about 5.75 trillion U.S. dollars in 2017. By the end of 2019, grocery stores and supermarkets alone accounted for revenues of $678 billion dollars. Restaurants in the U.S. were projected to exceed $863 billion in revenues by the end of 2019.
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St. Augustine Distillery Founder Philip McDaniel Receives Prestigious DISCUS Award
On February 18, 2020, more than 350 alcohol beverage industry leaders from across America gathered to attend the first ever Inaugural Spirits Industry Conference convened by the Distilled Spirits Council of the United States (DISCUS).
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Tobacco 21: The Impact on the Tobacco and Alcohol Marketplace
On December 20, 2019, President Donald Trump signed into law legislation raising the federal legal age for purchasing tobacco from 18 to 21 as part of a $1.4 trillion appropriations bill. The specific provision, commonly referred to as "Tobacco 21," prohibits the sale or distribution of traditional tobacco products such as cigarettes, cigars, and chewing tobacco as well as the increasingly popular e-cigarettes and vaping cartridges to anyone under the age of 21 in the United States. The law additionally requires age verification for individuals purchasing tobacco who appear to be under the age of 30, an increase from the previous guideline requiring age verification for individuals who appeared to be under the age of 27. Failure to comply with this new federal law may put Florida licensed alcohol beverage retailers at risk.
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TTB Issues New Priorities for FY 2020
The Federal Government’s Unified Agenda of Regulatory and Deregulatory Actions reports on the actions that administrative agencies of the Executive Branch plan to issue in the near and long term. The Unified Agenda is released by the Office of Information and Regulatory Affairs, part of the federal government’s Office of management and Budget.
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Is Your Liquor License Creeping Up On Neighbors? Alcohol Beverage Distance Separation Requirements
If you have tried getting a liquor license for your bar, nightclub, restaurant, liquor store, or other alcohol beverage establishment, you likely confronted the dreaded "alcohol distance separation requirements." Before you commit to a location for your business, it is prudent to confirm that the location that will be covered by a liquor license isn’t creeping into prohibited territory.
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THE SUPREME COURT SPEAKS: Tennessee Wine and Spirits Retailers Assn. v. Thomas
PETITIONERS WIN: Justice Samuel Alito wrote the 7-2 majority decision, joined by Chief Justice John Roberts and Justices Ruth Bader Ginsburg, Stephen Breyer, Sonia Sotomayor, Elena Kagan and Brett Kavanaugh. AS Justice Alito wrote: [T]he Commerce Clause by its own force restricts state protectionism, . . . without the dormant Commerce Clause, we would be left with a constitutional scheme that those who framed and ratified the Constitution would surely find surprising. . . §2 [of the 21st Amendment]was meant to "constitutionaliz[e]" the basic understanding of the extent of the States' power to regulate alcohol that prevailed before Prohibition. And as recognized during that period, the Commerce Clause did not permit the States to impose protectionist measures clothed as police power regulations. . . We have examined whether state alcohol laws that burden interstate commerce serve a State's legitimate §2 interests. And protectionism, we have stressed, is not such an interest. . . the predominant effect of the [Tennessee] 2-year residency requirement is simply to protect the Association's members from out-of-state competition."
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THE SUPREME COURT SPEAKS: Iancu v. Brunetti
In 2017, the U.S. Supreme Court and the Court of Appeals for the Federal Circuit both invoked the First Amendment in separate cases to strike down certain federal trademark registration restrictions barring "scandalous and immoral" language. Those cases raised questions about whether similar federal alcohol laws barring such language from beverage labeling likewise violate the First Amendment.
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Where Does the Law Stand on Producing Foods and Beverages Containing Cannabidiol (CBD)?
In his April 2, 2019 press release, then-FDA Commissioner Scott Gottlieb, M.D., confirmed the agency’s position that passage of the Agriculture Improvement Act of 2018 (the 2018 Farm Bill) and its removal of "hemp" from Schedule 1 of the Controlled Substances Act did not disturb the FDA’s current authority to regulate products containing cannabis or cannabis-derived compounds under the Federal Food, Drug, and Cosmetic Act (FD&C Act) and section 351 of the Public Health Service Act. In essence, the FDA retains authority to regulate foods, beverages and health products containing cannabis or derivative products such as cannabidiol (CBD).
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In Memoriam: John Manfreda
John J. Manfreda passed away on May 25, 2019, at his home outside Washington D.C.
A native of the District of Columbia, Mr. Manfreda received his law degree from the American University School of Law in Washington, D.C., in 1970, and was a member of the bar in the District of Columbia and for the Court of Appeals for the District of Columbia. Mr. Manfreda also earned a master's degree in tax law at the Georgetown University Law School in 1974. In addition, he majored in business finance and economics as an undergraduate at the University of Maryland.
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2019 Florida Booze Bills To Watch
It feels like just yesterday that I wrote about the 2018 Florida legislative actions affecting the alcohol beverage industry. Yet here we are, a few days away from the March 5, 2019 start of the Florida legislative session, again considering some pretty significant alcohol-related bills. Here are the highlights:
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TTB Announces Proposed Amendments to Regulations Governing the Labeling and Advertising of Alcohol Beverage Products
Today, the Alcohol and Tobacco Tax and Trade Bureau (TTB) published a proposed amendment to the regulations governing the labeling and advertising of wine, distilled spirits and malt beverages. The proposed rule seeks to reorganize and recodify these and incorporate guidance documents and current policy.
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Strategies for Serving Responsibly
If you operate an on-premise establishment, responsible serving should be a key element of the business philosophy. The phrase "responsible serving" is generally defined as an employee’s ability to recognize signs of a patron’s excessive drinking while serving alcohol in a professional and reason¬able manner and providing utmost customer service.
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Promotional Items in the Alcohol Beverage Industry
I like free stuff. Who doesn’t? (Just think of all of those reusable shopping bags and stress balls you continue to stash away in your cupboards.) And, I will admit the promotional items I have received gratis may lead me to think kindly of the company willing to gift me a "highly-prized" widget. This favorable impression is exactly the aim of companies providing these nominal valued promotional items.
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Top Questions to Ask Before You Sign a Lease for Your Florida Restaurant or Bar
I field frantic calls from potential clients on a daily basis -- folks who have signed a lease, are knee-deep in construction permitting, and then realize that they will have a hard time getting a liquor license. I hear things like: "The landlord told me I wouldn’t have an issue getting a liquor license, but now the City is saying the space isn’t zoned for a restaurant" or "I don’t understand! The person who sold me the business said the liquor license was included! Why won’t the City approve it"
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TTB Clarifies its Position on Cannabis/Marijuana as an Ingredient in Alcohol Beverages
The U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB) recently published new information that clarifies the agency’s position on the use of controlled substances, including marijuana, in alcohol beverages.
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Alcohol Advertising in the Digital Age
Suppliers and retailers of alcoholic beverages advertise their respective products and offerings in a wide variety of digital outlets. Questions arise as to how the complex legal landscape of alcohol regulation applies in these digital spaces. Advertising media include social network services (e.g., Facebook), video sharing sites (e.g., YouTube), blogs, and smartphone applications. In addition to these types of media which engage consumers directly on their televisions and personal devices, other types of media target consumers in retail places. These media include digital screens which are physically present in store, as well as seemingly invisible technology which targets the consumer in store on his or her smartphone.
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As State Legislatures Conclude Their Work, Florida Weighs in with New Alcohol Laws
As Spring finally arrives, many state legislatures are concluding this year’s session of lawmaking. In some jurisdictions, the changes to state alcohol laws have been minimal. For example, despite calls from legislative leaders to reform Massachusetts’ controversial beer franchise laws, a state legislative committee failed to advance a trio of competing reform bills offered by brewers and wholesalers by the February 7th deadline.
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GrayRobinson Stays on Top of Liquor Law, Rule and Non-Rule Policy Changes for Clients
The Florida Division of Alcoholic Beverages and Tobacco typically does not have a legislative package proposing new or amended state policies for our Legislature and Governor’s approval. 2017 was an exception. The Division, after studying temporary license fee receipts for transfer, change of location, and change of license series or type of license, concluded that the $100.00 temporary fee should be eliminated in section 561.331, FL Stat. This adjustment was proposed as a 2017 Department of Business and Professional Regulation bill for the Florida Legislature to consider.
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New Law Opens Door for Orlando Restaurant Liquor Licenses
With the passage of House Bill 1447 on March 8th, the Florida Legislature paved the way for smaller Orlando restaurants to obtain full liquor licenses. Approved by a Senate vote of 38-0, the bill reduces the square footage and seating requirements for restaurants in the Orlando "Downtown Restaurant Area" to qualify for a type "4COP SFS" full liquor license. The "Downtown Restaurant Area consists of an area bounded by Ferncreek Avenue to the east, Westmoreland Drive to the west, Colonial Drive to the north, and Gore Street to the south.
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Aluminum Tariffs and Trade Wars: Impact on the Beer Industry, and Perhaps Much More
The current administration in Washington D.C. has promised to impose new tariffs on imported steel and aluminum. Current reports suggest a twenty-five percent (25%) tariff will be imposed on imported steel, with a ten percent (10%) tariff added to the cost of imported aluminum. Enterprising pundits are atwitter over the prospect of a devastating impact that an aluminum tariff could have on one of America’s favorite beverages – beer!
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New York Governor's Executive Budget Includes Benefits for State Alcohol Industry
New York Governor Andrew Cuomo has proposed language in his FY2019 Executive Budget. Buried in the budget is a provision that amends the definition of a Hotel under the New York State Alcoholic Beverage Control ("ABC") Law Section 3(14). Governor Cuomo released his new budget for 2018-19 on January 16th. The Legislature will now hold budget hearings and react with their own spending priorities
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Alcohol and Marijuana: California ABC Issues New Guidance on the Interplay Between the Alcohol and Cannabis Industries
On January 18, 2018, the California Department of Alcoholic Beverage Control released an advisory that outlines the agency’s policies about legalized cannabis and marijuana relative to licensees that sell alcohol beverages. The advisory, titled "Cannabis and Alcoholic Beverages", uses a FAQ format to answer questions about what is permissible for alcohol licensees under California’s new cannabis law, the Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), which became effective on January 1, 2018.
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2018 Starts Strong with New Alcohol Legal Developments
2018 has arrived, and the new year is starting off strong for the alcohol industry and those who regulate it. In preparation for what’s ahead, here’s a brief look at what’s already here!
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TTB Starts 2018 with Guidance on How to Pay FET Using New Alcohol Tax Rates
2018 has arrived, and the new year is starting off strong for the alcohol industry and those who regulate it. First up – learning how to implement the new Federal Excise Tax rates implemented under the Tax Cuts and Jobs Act of 2017 (Public Law No. 115-97).
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UPDATE: The Tax Cut Bill Signed Into Law
This morning, President Donald Trump signed the tax cut bill into law. The bill, along with all the provisions detailed below, will take effect January 1, 2018.
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City of Miami Commission Paves the Way Toward Alcohol Beverage Law Cleanup
On October 26th, the City of Miami Commission voted on first reading to approve significant changes to City alcohol beverage laws. The Commission must now approve the proposed ordinance at a second reading in November. The City of Miami’s alcohol beverage laws are set forth in the chapter 4 of the City of Miami Code of Ordinances ("Chapter 4"), and are currently confusing, ambiguous, and difficult to maneuver. Over the past few years, Valerie Haber of GrayRobinson P.A., alongside other industry stakeholders, worked with City staff and Commissioners to re-draft the laws, in an effort to make the process of obtaining a Miami liquor license, beer and wine license, or brewery license more straightforward.
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Brewery Recycling: New Process Converts Spent Brewery Grains Into Beer Yeast
As the business of craft brewing becomes more and more competitive, economics are taking an equal priority to artistry. More than success, mere survival in today’s malt beverage marketplace requires a business model that reduces every conceivable cost so that craft brewing ventures can continue to create both brands and profits.
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Update 2017 Unified Agenda of Federal Regulatory and Deregulatory Actions: Identifies Two Rule-Making Priorities for TTB
The Office of Information and Regulatory Affairs, a part of the federal government’s Office of management and Budget, recently published the Updated 2017 Unified Agenda of Federal Regulatory and Deregulatory Actions. The Unified Agenda provides an updated report on the administrative rulemaking actions that federal agencies plan to undertake in the near and long term. "Long-Term Actions" are items under development but for which the agency does not expect to have a regulatory action within the 12 months after publication of the Unified Agenda.
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The California ABC Wins one for the Gipper's State-Tied House Laws
Alcohol regulators across America battle constantly with industry members over trade practices generally, and "tied-house evil" restrictions in particular. At both the federal and state levels, alcohol suppliers and wholesalers generally are prohibited from furnishing funds or items of material value to alcohol beverage retailers, even as they must compete vigorously for the attention and purchasing orders of those retailers. The expanding role of third-party marketers complicates enforcement, as regulators must determine whether upper-tier industry members are doing indirectly what they are prohibited from doing directly.
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DEA’s Final Rule Listing Marijuana Derivatives As Schedule I Drugs May Prohibit Hemp-Infused Beverages
On February 6, 2017, the Oregon Liquor Control Commission (OLCC) released guidance for Oregon alcohol beverage producers that prohibits the production of cannabis-infused beverages. While marijuana-infused alcohol beverages remain prohibited by the state agency, the same guidance outlines an exception for using industrial hemp in hemp-infused alcohol beverages if certain conditions are met.
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GrayRobinson Ends Florida 2017 Legislative Session with Major Alcohol Accomplishments
TALLAHASSEE, FL - May 31, 2017 - As the gavel went down on the 2017 Florida Legislative Session, GrayRobinson’s Government Relations Team tallied up a significant list of accomplishments related to the laws that govern the alcohol industry.
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What Real Estate Brokers Need to Know About Alcohol-Related Issues
MIAMI, FL - March 2, 2017 - We get a lot of questions from commercial real estate brokers about Miami liquor licenses and whether alcohol establishments can be located at particular properties. When brokers are faced with a proposed use that will require a liquor or beer and wine license (restaurants, bars, nightclubs, breweries, brewpubs, lounges, liquor package stores, convenience stores selling beer and wine, or any other type of business selling or serving beer, wine or spirits), it is advisable to conduct some in-depth due diligence to be sure that the alcohol use is allowed.
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Cruise Ship Industry News
TALLAHASSEE, FL – March 1, 2017 – Florida issued a new rule regarding alcohol and tobacco excise tax reporting for sales made within Florida boundaries by cruise ships. If you operate cruise ships coming to ports in Florida, or other states and have questions regarding tax reporting, licensing, or compliance with alcohol, food, and/or tobacco regulations, GrayRobinson has one of the largest groups of attorneys and professional consultants in Florida and the United States specializing in these regulations and helping clients with answers.
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2017 Sees Creation of The Craft Beverage Lawyers Guild
As the number of domestic craft breweries, cideries, distilleries and wineries continues to grow, so to do the regulatory compliance challenges facing these producers. The founding members of the Craft Beverage Lawyers Guild, which includes both attorneys from private law firms as well as in-house counsel from the alcohol industry, believe it’s time to help increase the overall knowledge and professionalism of attorneys representing craft producers. So, the CBLG was formed in 2017.
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Liquor Licenses as an Asset: How to Administer an Estate when the Decedent is a Licensee?
A client comes into your office seeking advice for his estate plan. He is the sole owner of a company that operates a popular bar in town, known for its margaritas. During your meeting, he specifies that he wants to devise his vintage car to his son, house to his daughter, art collection to his grandchildren, and the remainder equally to his children.
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Recent Legal Changes Make it Easier to Qualify for a Miami Restaurant Liquor License
Recent law, and a related policy shift by the Florida Division of Alcoholic Beverages and Tobacco ("DABT"), makes it easier for Miami-Dade County restaurants to qualify for a full liquor license.
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China's Wine Imports Grow Dramatically, Without U.S.
China imported US$ 1.77 billion worth of wines during the first nine months of 2016, representing a 19.1% year-on-year increase. China’s total volume of wine imports also jumped 14.42% to over 464 million liters from January to September, according to the China Association for Imports and Export of Wines and Spirits, the nation’s official trade association. China’s bottled wine imports totaled about US$ 1.66 billion, a year-on-year increase of 20.64%, and accounted for 93.4% of all imported wines. In volume terms, the country imported more than 354 million liters of wines, a 19.06% increase compared with the same period last year.
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TTB Cracks Down on Pay-To-Play, With Historic $750,000 Offer In Compromise
The Federal Alcohol and Tobacco Tax and Trade Bureau ("TTB") announced yesterday that it accepted an offer in compromise in the amount of $750,000 from the Craft Beer Guild, LLC. According to the TTB’s press release, this is the largest monetary offer in compromise that TTB has collected from a single industry member for trade practice violations. The Craft Beer Guild is a licensed wholesaler owned by Sheehan Family Companies, a multi-state beer distribution company operating in 13 states.
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FDA’s Deeming Rule Extends the Agency’s Authority over Tobacco Products
On May 05, 2016, the U.S. Food and Drug Administration (FDA) finalized the long awaited and slightly contentious rule: "Deeming Tobacco Products To Be Subject to the Federal Food, Drug, and Cosmetic Act" (the "Deeming Rule"). The Deeming Rule extends the FDA's authority to regulate tobacco products to include electronic nicotine delivery systems (such as e-cigarettes and vape pens), all cigars, hookah (waterpipe) tobacco, pipe tobacco, and nicotine gels.
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FDA's New Federal Regulations for Food Shippers and Transporters Excludes Packaged Alcohol Beverages
On April 5, 2016, the U.S. Food and Drug Administration (FDA) announced final promulgation and issuance of a new food safety rule under the FDA Food Safety Modernization Act (FSMA) that governs transportation of food. The new rule on Sanitary Transportation of Human and Animal Food, which goes into effect either one or two years following official publication depending on the size of the regulated business, will require those involved in transporting human and animal food by motor or rail vehicle to follow recognized best practices for sanitary transportation, such as properly refrigerating food, adequately cleaning vehicles between loads and properly protecting food during transportation.
Most noteworthy to the alcohol beverage industry, the new rule does NOT apply to the transportation of food fully enclosed by a container that does not require temperature control to prevent it from becoming unsafe. According to the FDA, this provision essentially excludes packaged alcohol beverage products from coverage under the new food transportation rule.
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South Florida Alcohol and Liquor Licensing - A Snapshot
Many clients come to GrayRobinson’s Alcohol Law Group with the misconception that getting a beer and wine license, or liquor license in South Florida, (including the City of Miami, Miami Beach, Fort Lauderdale, Broward County or Palm Beach County,) will be a straightforward process. Before reaching out to us, these clients often find themselves stuck in a holding pattern with state or local agencies, which oftentimes have convoluted and burdensome requirements that must be met before a state alcohol license can be issued. Complicating matters further, local municipal requirements vary greatly. For example, the City of Miami Beach, which includes South Beach, requires that you obtain a Certificate of Use and Business Tax Receipt before you can apply for your state alcohol beverage license. The City of Miami, which includes downtown Miami, the Design District, Wynwood, Coconut Grove, and the Calle Ocho area, requires that multiple local inspections be performed before their zoning department will sign off on a state alcohol beverage application. Navigating these complexities can be tough, but completely manageable once you understand important aspects of the licensing process.
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New Federal Law Defining and Taxing Hard Cider on Track For Implementation in 2017
On December 18, 2015, President Obama signed into law the Protecting Americans from Tax Hikes Act of 2015 Act. The PATH Act included Congress’ Cider Investment and Development through Excise Tax Reduction Act (commonly referred to as the "CIDER Act"), which updated federal tax law to make it easier for cider makers to put new, value-added products on the market. The new cider law goes into effect as of December 31, 2016.
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FDA Extends Public Comment Period for New Regulation on Labeling "Gluten-Free" Foods and Beverages
The US Food and Drug Administration (FDA) recently announced that it has extend the period for public comments on a proposed rule to establish requirements for fermented and hydrolyzed foods, or foods that contain fermented or hydrolyzed ingredients, and bear a "gluten-free" claim. FDA is extending the comment period for the proposed rule on gluten-free labeling for fermented or hydrolyzed foods by 60 days.
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Federal Government Renews Call for Nationwide 0.05 BAC Limit
The federal government renewed its call for states to lower the legal alcohol limit for driving to 0.05. In its 2016 Most Wanted List of Transportation Safety Improvements, published on January 13, 2016,1 The National Transportation Safety Board again called on states to lower blood alcohol concentration or "BAC" limits from 0.08 to 0.05.2 NTSB first called on states to establish BAC limits of 0.05 or lower in 2013. At the time, that call to action was largely was declaimed by the industry, and ignored by the public and the states. - See more at:
Federal Government Renews Call for Nationwide 0.05 BAC Limit
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CDC Issues Guidance Advising Women Ages 15-44 to Not Consume Alcohol Unless Using Birth Control
On February 2, 2016, the Centers for Disease Control issued a new pronouncement through its published CDC Vital Signs advising women of child-rearing age to avoid any consumption of alcohol unless they are on birth control. The CDC addressed its guidance to all women between the ages of 15 and 44, with a focus on the 3.3 million women that the agency estimates are at risk of exposing a developing baby to alcohol because they are drinking, sexually active, and not using birth control to prevent pregnancy.
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Congress Delays FDA's Implementation of Final Restaurant Menu and Vending Machine Labeling Requirements for Chains with 20+ Locations
Through the passage of its bi-partisan omnibus tax bill, the Consolidated Appropriations Act of 2016 (the "Act"), Congress has substantially extended the timeline for the U.S. Food and Drug Administration’s enforcement of the agency’s new rules on standard restaurant menu labeling. At this point, there is no date certain as to when compliance will be required. The FDA announced last year that it would give chain restaurants until December 1, 2016, to comply with its final regulation requiring chain restaurants to post calorie counts for the foods they sell.
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TRUST BUT VERIFY? - Whether A Drunk Driving Exception to the Fourth Amendment’s Prohibition Against Unreasonable Searches and Seizures Exists for Warrantless Vehicle Stops by Law Enforcement Based on Uncorroborated Anonymous Tips
One of the primary concerns of law enforcement generally, and state alcohol regulators in particular, is the war on drunk driving. Many law-related initiatives have been adopted over the years to fight the scourge of drunk driving.
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Another Step Closer to Full Taxation of Online Sales
The U.S. Supreme Court yesterday refused to accept certiorari and review a dispute over New York state’s efforts to tax online sales by e-tailers who do not have a physical brick-and-mortar presence in the Empire State. The High Court’s failure to act leaves standing a New York Court of Appeals decision upholding the expansive New York tax law. Although the Supreme Court does not have to explain why it declines to hear cases, it may have been swayed by New York Attorney General Eric Schneiderman, who argued in defense of the law that recent developments favored delaying consideration of the issue. He cited the possibility of congressional action and pending challenges to other state laws as reasons why it would be better to wait.
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Message to TTB Regulated Industry Members
Message to TTB Regulated Industry Members - The federal government has reopened and that means the Alcohol and Tobacco Tax and Trade Bureau (TTB) is back to work! We understand that the shutdown imposed hardships on many of you, the industry members we regulate, and on the public we serve. We want to assure you that TTB is committed to reducing the impact of the shutdown in as many ways as possible, and as quickly as possible, to lessen the effects on your business operations.
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When Modern Fish Farming Intersects With Sustainable Brewing
Sustainable seafood advocate Paul Greenberg, the author of bestselling book Four Fish, recently wrote in the The New York Times: "Don't Discount (Smart) Farming" when it comes to the future of fish as a protein source for the world’s growing population. Greenberg notes that despite the fact that half of the world's seafood is now raised on farms, many American consumers are concerned about eating farmed fish.
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Brewers Association Declare Craft Beer Is Now A $10 Billion Category
According to a report recently released by the Brewers Association (BA), a trade group representing small and independent brewers, the craft beer niche of the beer segment has grown into a $10 billion category. As part of its annual report on the state of the U.S. craft beer industry, BA indicated that U.S. craft beer volumes reached an all-time high in 2012.
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