Beverage Retailers Applaud Outcome in 21st Amendment Challenge in Rhode Island

BETHESDA, MD – American Beverage Licensees (ABL) welcomed the recent dismissal of a challenge to Rhode Island law that allows local retailers to deliver alcohol but prohibits out-of-state retailers from delivering wine directly to Rhode Island consumers.

Filed by wine consumers in 2019, the case, Anvar v. Dwyer, had previously been dismissed by the U.S. District Court for Rhode Island, was appealed to the First Circuit Court before being sent back down to the District Court where it was once again dismissed, though this time at the behest of the plaintiffs.

Unlike similar complaints in other jurisdictions, Anvar did not have an out-of-state retailer as a plaintiff, relying instead on Rhode Island consumers to advance the claim.  The District Court sought arguments as to whether these Plaintiffs had standing to challenge the constitutionality of Rhode Island’s laws restricting out-of-state retailers from delivering or shipping wine to a consumer in Rhode Island, and how their preferred outcome would effectively redress their concerns.  Faced with this request, the plaintiffs moved to dismiss the case as well as a similar complaint (Barham v. Dwyer).

“The dismissal of this case in Rhode Island represents yet another failed attack on states’ Constitutional rights to implement alcohol laws,” said ABL Executive Director John Bodnovich.

“Credit in this fight goes to the local beverage alcohol industry in Rhode Island, namely ABL affiliate the Rhode Island Liquor Operators Collaborative (RILOC).  RILOC Executive Nick Fede and members worked tirelessly with their industry partners – including the Rhode Island Responsible Beverage Alcohol Coalition – and the state to reaffirm the constitutionality of Rhode Island liquor laws.”

ABL shared its perspective on the matter by jointly filing an amicus curiae brief with the Wine & Spirits Wholesalers of America (WSWA) in 2023 with the First Circuit Court, supporting the state of Rhode Island and its three-tier system laws.

This Rhode Island case, which is in the First Circuit, now joins decisions in similar cases in the 2nd, 4th, 5th, 6th and 8th Circuit Courts that confirm the legitimacy of state alcohol laws designed to ensure public safety, revenue collection, fair competition and a vibrant marketplace for consumers.  ABL is hopeful that there will soon be additional favorable outcomes in the 3rd Circuit (New Jersey) and 9th Circuit (Arizona).

“Local beverage retailers have a long history of weighing-in on Constitutional challenges to state alcohol laws in jurisdictions covering nearly the entire United States,” said Bodnovich.  “While their legal advocacy has had a profound effect on preserving the Constitutionally-sound system under which alcohol is sold and regulated in the United States, they remain eager for vexatious litigation to stop so they can focus their energy and resources on serving their customers.”

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