NFIB/NY earlier this month sent a letter to the New York State Liquor Authority expressing concern about agency overreach with respect to out of state wine sales and shipments to states that have restrictions against or prohibit such sales and shipments. The State Liquor Authority fined and threatened to revoke or cancel the license of Empire Wine & Spirits for “improper conduct,” despite the fact that New York State Alcohol Beverage Control laws, rules and regulations do not list or warn that out of state shipments can be considered “improper conduct.”
Empire Wine & Spirits has filed suit against the agency, arguing that the clause is unconstitutionally vague and that the federal government not individual states has the authority to enforce interstate trade.
NFIB/NY State Director Mike Durant warned in a letter to State Liquor Authority Chairman Dennis Rosen, ” Overregulation
and agency overreach threaten not only the wine and spirits industry but also
many other industries across the state. NFIB members consistently
rank overregulation as among their top concerns and for good reason.
Small business owners in New York spend countless hours on compliance,
including the administration and implementation of rules and regulations, which
easily computes to billions of dollars in lost productivity annually. If
agencies make it regular practice to interpret and enforce vague laws, small
business owners will face an even greater burden, and such course of action
will threaten to dampen business growth in our state.” Read the full text of the letter
Similarly, the Empire Center for Public Policy stated in an Albany Times Union commentary, “The implications of this case go well beyond a single business, industry or product: regulatory overreach by overzealous bureaucrats can do as much damage to the state’s business climates as high taxes. Allowing a state agency like SLA to drive a law-abiding employer out of business—on the pretext, incredibly, of enforcing the laws of other states— will have a chilling effect on anyone considering starting or expanding any type of business in New York.”
