Tipsheet: Wine-shipping limits overturned by Supreme Court
FOR IMMEDIATE RELEASE
MONDAY, MAY 16, 2005
EDITORS: The U.S. Supreme Court today (May 16) rejected limits on wine-shipping, overturning laws in Michigan and New York that restricted out-of-state winemakers from shipping directly to customers. J. Alexander Tanford, a professor of law at the Indiana University School of Law-Bloomington, served as counsel of record in Granholm v. Heald, one of two direct shipment cases decided by the court. The 5-4 decision could have implications for the other 24 states, including Indiana, that impose similar restrictions on interstate wine shipment.
Tanford said, "We're very pleased. The Supreme Court recognized that states may not discriminate against out-of-state wineries by denying them access to the consumer market. Now consumers throughout the country will finally be able to obtain the same wine enjoyed by Miles and Jack in the movie Sideways."
Tanford, a leading authority on trial practice and procedure, argued that smaller wineries cannot compete with the leading winemakers in the $21.6 billion U.S. wine market unless they are able to sell directly to customers over the Internet or allow visitors to ship bottles home. Many states have restricted out-of-state wineries from selling directly to consumers, while simultaneously authorizing direct shipment by in-state wineries. Direct sales have grown in recent years because smaller wineries often cannot produce enough wine and don't have sufficient consumer demand for wholesalers to carry their products.
Indianapolis-based attorney Robert D. Epstein, a 1970 graduate of the IU law school, served as Tanford's co-counsel.
Tanford can be reached at 812-855-4846 or tanford@indiana.edu.
