News Oregon Settles Lawsuit – Allows Out-of-State Breweries to Self-Distribute and Ship DTC

The state of Oregon and the Oregon Liquor & Cannabis Commission has quickly settled a lawsuit brought by Washington breweries. The settlement will allow out-of-state breweries to self-distribute and ship beer directly to consumers in Oregon, a big win for adjoining Washington craft brewers.

Washington plaintiffs Garden Path Fermentation, Fortside Brewing and Mirage Beer alleged that Oregon’s regulation that allowed only in-state breweries to ship beer directly to consumers and distribute beer to licensed retails violated the Commerce Clause of the United States Constitution by discriminating against interstate commerce and shielding local businesses from competition.

This is a landmark case that could spill over to other states. Many states allow in-state breweries to self-distribute and to ship directly to consumers, but most of those states prohibit out-of-state breweries the same privilege unless they hold a beer manufacturers license in the state. This settlement is one step forward in ultimately allowing breweries to ship direct into other states, which is currently allowed for wine in most states but not for beer.

More on the story here.

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