Articles by: Bahaneh Hobel

Southern Glazer’s Class Action Settlement a Reminder to Comply with Maximum Late Payment Penalties on Retailers

A recent $5.5 million settlement payment from one of the country’s largest alcoholic beverage wholesalers serves as a good reminder that California law restricts the amount of late fees and interest that can be charged in connection with the purchase and sale of alcoholic beverages to retailers. Cal. Bus. & Prof. Code § 25509 provides […]

Compliance With Bottle Bill Just One Month Away for Wine and Spirits

COMPLIANCE WITH BOTTLE BILL JUST ONE MONTH AWAY FOR WINE AND SPIRITS On January 1, 2024, California’s container recycling deposit system (referred to often as the “Bottle Bill”) will expand to include wine, spirits, and wine and spirits coolers (regardless of ABV). Below is a brief overview of what wineries, distilleries, importers and wholesalers of […]

Updates to Products Subject To California’s Bottle Bill

On October 13, 2023, Governor Gavin Newsom signed California Senate Bill 353, which made a significant change to products that will be subject to the California Beverage Container Recycling and Litter Reduction Act (known as the Bottle Bill). Now, only products filled and labeled after January 1, 2024 will be subject to the CRV labeling […]

Effective January 1, 2024, CA Wineries and Distilleries Will Have Reporting and Payment Obligations to CalRecycle Under the Bottle Bill

With the passage of  Senate Bill No. 1013, beginning on January 1, 2024, wine and spirits will be included in California’s state container deposit system established by the California Beverage Container Recycling and Litter Reduction Act (known as the “Bottle Bill”).  As such, wineries and distilleries will now be required to comply with the Bottle […]

End in Sight for Temporary Covid Relief Measures from CA ABC

The California Department of Alcoholic Beverage Control announced today end dates for the temporary relief measures announced in 2020 in response to the Covid-19 pandemic.  Depending on the specific regulatory relief in question, the relief granted by ABC, and the expanded privileges granted to many licensees during Covid, will come to an end on either […]

TTB Adds New Standards of Fill for Wine and Distilled Spirits

On December 29, 2020, the U.S. Tax and Trade Bureau (TTB) published a final rule in the Federal Register that, among other things, expands the number of available standards of fill (or container/bottle sizes) for wine and distilled spirits, effective immediately. Under the final rule, wine may now use the following new standards of fill: […]

IMPACT OF CALIFORNIA’S NEW MARKETPLACE FACILITATOR ACT ON ALCOHOL BEVERAGE LICENSEES

During all the chaos that has been 2020, alcohol beverage licensees and third party providers may have missed the enactment of a new law that actually went into effect near the end of 2019. The Marketplace Facilitator Act (the “Act”) has changed the rules and regulations regarding which businesses must collect and remit sales tax […]

TTB Increases Flexibility for Calorie Labeling and Advertising in Wine, Spirits, and Malt Beverages

On September 28, 2020, the U.S. Tax and Trade Bureau (TTB) issued TTB Ruling 2020-1 and TTB Procedure 2020-1 expanding the tolerance range for voluntary calorie statements in labeling and advertising alcohol beverages – making the TTB’s rules more consistent with the food labeling requirements of the US Food and Drug Administration (FDA). The TTB […]

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CA ABC and TTB Provide Guidance to Wineries on Virtual Tastings

In light of the wide-spread shut-downs and disruptions resulting from the Covid-19 pandemic, both the California Department of Alcoholic Beverage Control and the Alcohol and Tobacco Tax and Trade Bureau have recently provided guidance to wineries that are now venturing into the new world of “virtual” wine tastings that occur online. ABC’s latest Notice of […]

CA ABC Provides Additional Coronavirus Regulatory Relief; CA ABC and TTB Postpone Due Dates for Certain Payments and Filings

Over the past forty-eight hours, the California Department of Alcoholic Beverage Control (“CA ABC”) has provided additional regulatory relief to licensees, including information relevant to industry members engaged in fundraising in connection with Coronavirus-related charities.  In addition, CA ABC and the Alcohol Tobacco Tax and Trade Bureau (”TTB”) announced that industry members will be permitted […]

CA ABC Loosens Regulations for Alcohol Beverage Retailers and Delivery

The California Department of Alcoholic Beverage Control issued a notice on March 19, 2020 temporarily loosening certain regulations during the current state of affairs.  While primarily focused on retailers, there are some potentially helpful provisions that impact alcohol beverage producers, too. A few things to keep in mind.  First, local regulations and restrictions may also […]

Additional Guidance For Wineries in Light of Recent Government Actions

Since the Governor’s announcement on Sunday recommending the temporary suspension of on-premise alcoholic beverage businesses, including winery tasting rooms, certain cities and counties have instituted “Shelter-in-Place” ordinances, and both the California ABC and the California Wine Institute have issued additional guidance on the operation of alcohol beverage licensed premises, including wineries. Given the various orders […]

TTB Allows Returns of Products Purchased for Events Cancelled due to CORONAVIRUS

Today, TTB announced that it would permit returns of alcoholic beverages that were originally purchased for events that have been canceled due to Coronavirus. As TTB stated:  “Given the unexpected and widespread nature of the concerns involving COVID-19, TTB will not consider returns of alcohol beverage products purchased to sell during such cancelled events to […]

Governor Issues Guidance / Directive on Closure of CA Bars, Clubs, Winery Tasting Rooms, On-Premise Retailers

On Sunday, March 15, 2020, Governor Gavin Newsom announced that due to efforts to reduce the potential spread of the novel coronavirus, he was directing the closure of “all bars, nightclubs, wineries, brewpubs, and the like.”  Restaurants, however, are not directed to close at this time, but are subject to reduction of occupancy and social […]

Making Sure Your Wine, Beer or Spirits Club Complies with State and Federal Law

The California Department of Alcoholic Beverage Control (“ABC”) recently issued a new Industry Advisory regarding subscription services. In the alcohol beverage industry, we often see subscription services in the form of automatic renewal wine clubs, beer-of-the-month clubs, and/or spirits clubs, where customers sign up to receive future shipments of a licensee’s offering of wine, beer, […]

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Supreme Court Decision is a Victory for Alcohol Beverage Retailers

Alcohol beverage retailers won a significant victory before the U.S. Supreme Court this morning.  The Court held in Tennessee Wine & Spirits Retailers Association v. Thomas that Tennessee’s two-year durational-residency requirement applicable to retail liquor store license applicants violates the Commerce Clause and is not saved by the Twenty-First Amendment.  In doing so, the Court […]

Key Takeaways from Joint Senate & Assembly Hearing on California’s Wine Industry

The California Senate Select Committee on California’s Wine Industry and Committee on Governmental Organization and the California Assembly’s Select Committee on Wine and Committee on Governmental Organization held a joint hearing in San Diego on Thursday, November 29, 2018.  Jacob Appelsmith, the Director of the California Department of Alcohol & Beverage Control (“ABC”), and other […]

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U.S. Supreme Court Decision May Open the Door (Or Slam it Shut!) On Direct to Consumer Shipping by Retailers

The Supreme Court of the United States has agreed to hear the appeal in a case that could drastically change the landscape for direct to consumer wine shipments by retailers in the United States. On Thursday September 27, 2018, the Supreme Court granted the appeal in Tennessee Wine & Spirits Retailers Association v. Byrd. Specifically, the […]

Deadline Approaching for New Liquor License Applications in California

The California Department of Alcoholic Beverage Control recently announced authorization for the issuance of new on-sale general and off-sale general licenses in various counties throughout California, as well as authorization for the inter-county transfer of on-sale general and off-sale general licenses.  Such general licenses allow the service of beer, wine and spirits for on and/or […]

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TTB Extends Alternate Procedure For Excise Taxes Credits through 2019

Today TTB announced in Industry Circular 2018-1A that it is extending until December 31, 2019 the ”Alternate Procedure” under which wine producers can tax pay wine stored at bonded tax wine cellars (“BWC”) without having to physically transfer their wine back from the BWC in bond.  This update to TTB’s prior procedure is a welcome […]

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