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Alcohol retailers challenge Arkansas' permits that allow wine to be sold in grocery stores

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Thursday, November 21, 2024

Alcohol retailers challenge Arkansas' permits that allow wine to be sold in grocery stores

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LITTLE ROCK, Ark. (Legal Newsline) – Controlled beverages retailers in Arkansas are challenging permits that allow grocery stores in the state to sell an expanded selection of wine.

107 Liquor Inc.; AB Liquor LLC, doing business as Legacy Wine & Spirits, Deborah W. Goolsby, doing business as Crossroads Wine & Spirits; and Bulloch Smith Holdings LLC, doing business as Longhills Wine & Spirits, filed a complaint on Oct. 23 in the Pulaski County Circuit Court against Director of Alcohol Beverage Control Board Mary Robin Casteel, et al. citing Arkansas code.

According to the complaint, the Arkansas General Assembly passed Act 508 in 2017 that alleges the Alcoholic Beverage Control Board to issue permits to dispense vinous in grocery stories. The plaintiffs allege that this Act conflicts with the criteria mandated by a previous code.

The plaintiffs allege that they will be irreparably harmed and will suffer loss of profits if grocery store permits are to be issued by the defendants to sell vinous drinks that are not classified as small farm wine. 

The plaintiffs seek judgment against defendants, enjoin defendants from issuing grocery store wine permits, an order finding that the codes require that grocery store wine permits are only available to applicants who operate a single physical establishment, and all other relief to which plaintiffs may be entitled. 

They are represented by Paul J. James of James, Carter & Priebe LLP in Little Rock, Arkansas, and Deborah T. Riordan of Riordan Law Firm in Little Rock.

The defendants removed the case to the U.S. District Court for the Eastern District of Arkansas on Oct. 30.

U.S. District Court for the Eastern District of Arkansas case number 4:17-cv-00710

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