Distributors

News & Analysis as of

Anheuser-Busch Loses Key Battle in Kentucky

Since Prohibition, Kentucky brewers have not been allowed to own their own distributors. Like many states throughout the United States, Kentucky implemented a three-tier system that separates the alcohol industry into...more

What Is Coding and How Does It Work?

Most modern direct selling plans offer enroller coding bonuses. Historically, a sponsor enrolled a new distributor frontline and was deemed the sponsor. Commissions flowed from this relationship. However, as sponsors became...more

How Will The Commercial Use of Drones Impact Manufacturers/Distributors?

The Federal Aviation Administration (FAA) has issued a series of proposals for the use and regulation of drones (i.e., Unmanned Aircrafy Systems (UAS)) for commercial purposes.  In conjuction with these proposals, the White...more

What Exactly Do You Mean By “Reseller” Agreement?

I was recently reminded that the term “reseller” agreement can often mean different things to different people.  Misunderstandings about these types of relationships creates the potential for miscommunication and wasted time...more

Drug Disposal Ordinance: Supreme Court Writ Filed

On December 29, 2014, the Pharmaceutical Research and Manufacturers of America (“PhRMA”), the Biotechnology Industry Organization (“BIO”), and the Generic Pharmaceutical Association (“GPhA”) jointly filed a Petition for a...more

Franchise and Distribution News - January 2015

TAKE ACTION NOW TO AVOID UNEXPECTED STATE TAX LIABILITIES - Traditionally, nexus for state income tax liability has required some type of physical presence or continuous contacts by the franchisor/distributor with a...more

Five 2015 Corporate Compliance / Litigation Issues Manufacturers Need To Keep An Eye On

It is our annual tradition at the beginning of each year to report on significant issues that face manufacturers/distributors in the year ahead.  Two weeks ago, Matt reported on significant issues in the labor/employment...more

Are Taprooms on the Horizon in Georgia?

The State of Georgia is one of just four states left that adhere to dated laws prohibiting the sale of craft beer on-site. In Georgia, a craft brewery must sell its product to a distributor and that distributor must sell the...more

New Proposed Proposition 65 Warning Requirements: What You Need To Know

On January 12, 2015, California’s Office of Environmental Health and Hazard Assessment (“OEHHA”) released the long anticipated Notice of Proposed Rulemaking that proposes changes to the warning requirements under Proposition...more

Florida Liquor Stores & Beer Distributors Challenge Tasting Rooms

Liquor stores in Florida and beer distributors are joining forces to challenge the way Florida is issuing licenses that let breweries sell their products in tasting rooms. The Florida Retail Federation is suing the Department...more

Carving Out Small

States have been vested with the responsibility to regulate the manufacture, distribution, and sale of alcoholic beverages since the repeal of Prohibition. In carrying out this authority, many states have implemented a three...more

Competition and Regulation Update: A Win For High Quality Brands And Distributors

In December 2014, The Australian Competition And Consumer Commission (ACCC) Authorised Tooltechnic To Fix The Minimum Price At Which Its Dealers Could Sell Festool Tools To Consumers - That Is, To Engage In Resale Price...more

The Crimes of Others: Adam Lanza, Sandy Hook, and Protection Against Tort Liability for Selling Firearms

The families of the victims of the Newtown, Connecticut shooting, in which Adam Lanza attacked the Sandy Hook Elementary School, have filed a lawsuit against the seller of the AR-15 rifle that Lanza used in the crime, and...more

Data Privacy: A Bill in Congress Every Manufacturer Should Be Aware of

One of the issues that manufacturers/distributors are paying more attention to is their document retention policies. Things get complicated, however, when a corporation has operations outside of the United States. It is not...more

Damages in “Aggravated Breach” Cases

We have written before about the “aggravated breach of contract” theory under N.C. Gen. Stat. § 75-1.1. This theory can make a breach of contract a springboard to treble damages....more

Supplier Beware of California’s Equipment Dealers Act Before Deciding on Termination of Dealers

Modern antitrust law has made it increasingly difficult for unilateral terminations of vertical relationships between suppliers and distributors or dealers to be attacked through the use of federal and state antitrust...more

Berkeley's Measure D: What Distributors, Restaurants and Retailers need to know about the Berkeley "Sugar Tax"

According to its backers, the Berkeley “Sugar Tax” is the future of sugar in America. Berkeley’s Measure “D,” which garnered an overwhelming 75% “yes” vote, imposes a general excise tax of $0.01 per ounce on the distribution...more

Consent Decree Ends EEOC Race Discrimination Lawsuit Against Battaglia Distributing

Grocery Wholesaler Allegedly Tolerated Harassment on Ashland Avenue Docks - CHICAGO - A federal district judge has entered a $735,000 consent decree resolving a race harassment lawsuit brought by the U.S. Equal...more

Comparing Franchise Relationships and Beer Distribution Relationships

Beer distribution laws differ from traditional franchise laws in many ways, but they do share some commonalities. As a matter of fact, many states now regulate the relationship between those who brew or import beer into a...more

A “Good” Deed Goes Unpunished

Alabama Supreme Court Rejects “Good Samaritan” Liability in Gray Market Case - Last month, I wrote about the “Good Samaritan” rule, codified in Restatement (Second) of Torts, section 324A, “Liability to Third Persons...more

GPhA Issues Statement Regarding Proposed IP Provisions of Trans-Pacific Partnership Agreement

The Generic Pharmaceutical Association (GPhA) issued a statement today regarding ongoing talks between major Pacific Rim countries (including the U.S.) related to the proposed Trans-Pacific Partnership Agreement. This trade...more

Upstream Assessment of Downstream Export Issues

Your company is a midsize manufacturer of computer network hardware and software, some of which is really cutting-edge technology. A significant portion of your products is exported overseas, either by you directly or by your...more

Recent NJ Appellate Court Decision Indicative of Continuing Uncertainty Regarding Personal Jurisdiction Over Foreign Manufacturers...

The past few years have seen the United States Supreme Court issue a number of important decisions on the subject of personal jurisdiction. For example, the Court’s decisions in Daimler AG v. Bauman, 134 S. Ct. 746 (2014) and...more

Local Wholesaler-Retailer Dispute Has Federal Implications

On August 14, the U.S. District Court for the Southern District of Mississippi issued an opinion finding that state regulations bolstered one antitrust claim and hindered another in an ongoing dispute between a northern...more

Dealing With Shipping Companies: A Consistent Challenge for Manufacturers/Distributors

One of the most important things for a manufacturer/distributor is ensuring that its products are shipped in a reliable fashion so they arrive on time and in good condition. Similarly, manufacturers rely heavily on shipping...more

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