WineBoard
GOOD NEWS FROM INDIANA - Printable Version

+- WineBoard (https://www.wines.com/wineboard)
+-- Forum: RESOURCES AND OTHER STUFF (https://www.wines.com/wineboard/forum-300.html)
+--- Forum: Wine and Politics (https://www.wines.com/wineboard/forum-7.html)
+--- Thread: GOOD NEWS FROM INDIANA (/thread-2873.html)



- Jerry D Mead - 12-11-1999

The attached is borrowed from Sat. Dec. 11th South Bend Tribune which has to get credit for breaking this story of major national interest:



Out-of-state liquor sales law ruled
as unconstitutional

By MARTI GOODLAD HELINE
Tribune Staff Writer

SOUTH BEND--U.S. District Judge Allen Sharp on Friday
declared unconstitutional an Indiana law that makes it illegal
for Indiana residents to buy alcoholic beverages from out-of
state sources and have the products shipped to their home.

The law, which became effective in August 1998, was
challenged under the commerce clause of the U.S.
Constitution in a lawsuit filed by a group of 13 people who
described themselves as "wine collectors."

The group sued Indiana Attorney General Jeffrey Modisett and the director of the Indiana
Alcoholic Beverage Commission, now Glenn Lawrence. Gov. Frank O'Bannon was
dismissed from the case in April.

The plaintiffs said that before the law took effect they purchased wines from out-of state
wineries, wine clubs and other sources and were able to have them shipped directly to their
homes.

This makes it unlawful for a seller in another state or country to ship alcohol directly to an
Indiana resident who does not hold a wholesaler permit.

The wine lovers said they have been hampered in their collecting since many of the wines they
seek to buy are not available in Indiana stores.

Also, the plaintiffs said the law prevents them from purchasing wines while traveling and having
the goods shipped home.

Among the plaintiffs are Garfield cartoonist Jim Davis of Muncie and wine critic and writer
Russ Bridenbaugh of Indianapolis. Bridenbaugh said the law even prevents him from receiving
wine samples to review.

The direct shipping law also applies to the ordering and selling of alcohol via the Internet. Sale
of alcohol via the Internet has become increasingly popular in recent years with collectors.

But in-state distributors and retailers are bypassed with orders via Internet to out-of-state
sellers. The Wine & Spirit Wholesalers of Indiana intervened as a defendant in the suit.

Sharp made his ruling after hearing oral arguments Monday on summary judgment motions
from each side.

"This court now, and has always been, greatly reluctant to wield the Federal Constitution
against state legislation," stated Sharp. "But here, the result is inescapable because these
statues on their face discriminate against out-of-state commerce."

Sharp found the direct shipping law not only violates the commerce clause of the Constitution
but goes beyond other laws permitting state control of alcoholic beverage distribution.

Sharp rejected the argument of the attorney general's office which maintains an Indiana permit
is required for direct shipping. But Sharp said the flaw in the argument is that permits are not
granted to out-of-state distributors so there is interference with interstate commerce.

The judge stated this is a case where the state gave preferred treatment to its residents over
nonresidents involved in distributing alcohol.

The defendants have the option of filing an appeal to the 7th U.S. Circuit Court of Appeals in
Chicago.


- Bucko - 12-11-1999

This is really great news that may have a far-reaching impact.

Bucko