On May 28, 2019, the Division of Alcoholic Beverage Control (“ABC”) issued a new Special Ruling for New Jersey craft brewery licenses with changes that address concerns raised by the industry. The previous Special Ruling, which was quickly suspended six months ago after strong criticism, is now officially rescinded.

The ABC drafted the new Special Ruling after consulting with some industry leaders and other interested parties. Like the previous ruling, it aims to restrict NJ limited breweries from competing with bars and restaurants who hold licenses allowing full retail privileges. The changes in the new ruling, however, reflect key issues raised by breweries about their ability to promote and build their businesses.

Continue Reading NJ Continues to Restrict Craft Breweries – Limits on Special Events, Food, & More

Your company’s recipes, methodologies and customer base are what distinguish it from the competition. If this information is disclosed to third parties, it could detrimentally hurt your business because a competitor could seemingly replicate the same or similar beverage. It is important that you protect your company’s trade secrets, customer relationship and other confidential information from employees, especially the brew master or distiller, in the event the employment relationship ends.
Continue Reading Protecting Your Brewery, Brew Pub or Distillery’s Trade Secrets, Confidential Information and Customers From Former Employees

If you are considering venturing into the distillery business, in New Jersey, Pennsylvania, or any other state, it is important to know what the Federal Government’s rules, regulated through the Alcohol and Tobacco Tax and Trade Bureau (“TTB”), provide for the location, use of plants and production of distilled spirits. The following article highlight’s the TTB’s rules and regulations:
Continue Reading Federal Government’s Restrictions on Production, Location, and Use of Plants for the Production of Distilled Spirits

A new bill in New Jersey was introduced last week which would amend the 2012 law that established microbreweries in the state and governs their operations and restrictions.

This is the first attempt so far to legislatively address the craft brewing industry after a special ruling was issued by the New Jersey Division of Alcoholic Beverage Control (ABC) which implemented restrictions on events and other brewery operations. The ruling was suspended indefinitely only a week later after significant public backlash from both brewers and state government officials.

Continue Reading New NJ Bill Aims to End Craft Brewery Tours & Add Food Vendors

On September 24, 2018, a special ruling issued by New Jersey Division of Alcohol Beverage Control (ABC) limited the type of activities that New Jersey craft breweries were allowed to conduct. Only a week later, the ruling has been indefinitely suspended due to public outcry.

The ruling affected the 88 limited breweries already in existence as well as 23 operations that have applications pending. However, the ruling was met with significant criticism and backlash from brewers as well as state government officials, and just a week later the ABC announced that it would be suspending the ruling. The suspension will remain in effect until ABC meets with craft breweries, alcoholic beverage license holders, and lawmakers to iron out new regulations, whether they come through the division itself or new legislation.

Continue Reading Special Ruling Aimed at Restricting NJ Craft Breweries Indefinitely Suspended

Travelers at the Newark Liberty International Airport may soon be able to imbibe in adult beverages after hours. Legislation expanding the hours the airport is allowed to serve alcohol was unanimously approved by an Assembly panel. Bill A-2419 would allow bars and restaurants operating within an international airport to sell alcoholic beverages between the hours of 8 am and 4 am.

Usually, local municipalities establish by ordinance the hours when alcoholic beverages may be sold for consumption on the premises.
Continue Reading Newark Airport Bars May Soon Be Open After Hours

Attorney General Christopher S. Porrino and the Division of Alcoholic Beverage Control announced a settlement with a Hunterdon county craft beer wholesaler, resulting in a record $2 million fine for alleged trade practice violations.

The Division alleged that Hunterdon Brewing Company LLC sold draft beer tap systems below fair market prices and mislabeled the charges as “miscellaneous” on invoices to conceal them. The Division alleged that the company also ignored credit regulations for at least 700 retail customers. In addition to reviewing thousands of documents, the Division compiled sworn statements from more than two dozen retail licensees.

Continue Reading Craft Beer Wholesaler to Pay $2 M Fine to Settle Trade Practice Violations

The Brewers Association, the trade association representing small and independent American craft brewers, recently released 2016 data on U.S. craft brewing. Small and independent craft brewers represent 12.3 percent market share by volume of the overall beer industry, with more than 5,300 breweries operating during the year.

In 2016, craft brewers produced 24.6 million barrels. Retail dollar value was estimated at $23.5 billion, representing 21.9 percent market share. By adding 1.4 million barrels, craft brewer growth outpaced the 1.2 million barrels lost from the craft segment due to acquisitions by large brewing companies. Small and independent brewers continue to show steady growth. Microbreweries and brewpubs delivered 90 percent of the craft brewer growth.

Continue Reading Small and Independent Brewers Saw Growth in 2016

Legislation geared towards establishing a loan program for vineyard and winery capital expenses was released by the Assembly Commerce and Economic Development last month. The bill (A-4274) would direct the New Jersey Economic Development Authority (“EDA”), in consultation with the Department of Agriculture (“Department”), to create a loan program and application process for the purpose of supplying loans to certain eligible vineyards or wineries to pay for qualified capital expenses.

Continue Reading Legislation to Expand Lending for NJ Vineyards and Wineries