Distribution and Franchise Laws Challenged in NC

A lawsuit has been filed in North Carolina challenging the constitutionality of two state laws that are, according to the filing, “artificially suppressing…economic growth…” In the preamble of the filing, Craft Freedom, LLC, The Olde Mecklenburg Brewery and Noda Brewing Company state that “North Carolina’s “Distribution Cap” punishes craft breweries for their own success by forcing them to hand over the rights to distribute their own beer to private distributors if they sell more than 25,000 barrels—a cap that is arbitrary and ensnares small but successful craft breweries. Second, North Carolina’s “Franchise Law” forces craft breweries to enter into oppressive, one-sided contracts with distributors that literally last forever, and which require the breweries to turn over control of their product—including pricing—to the distributors.”

Links

  1. Craft Freedom, LLC

Pete Johnson serves as the State & Regulatory Affairs Manager for the Brewers Association. He joined the BA at its inception in 2005, having previously worked as Programs Director for the Brewers Association of America. Before coming to the small brewing industry in 2001, Pete worked for 14 years with both state and federal elected officials in Pennsylvania and Washington, D.C.

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