Friday, September 29, 2006

ARIZONA’S WINE LAW TO BE CHALLENGED IN COURT

An out-of-state winery is challenging Arizona’s new law in a federal court that allows small wineries to ship directly to consumers who order wine via the internet, phone or by mail.

Attorney James Tanford, the Indiana lawyer who has sued a number of states on behalf of wineries, said Arizona's new measure is still discriminatory and he intends to challenge it.

The key provision of the law is that it allows any winery, in-state or out-of-state, that produces fewer than 20,000 gallons a year to ship directly to customers and retailers in Arizona. Tanford says reducing the numbers of gallons from 75,000 to 20,000 and including out-of-state wineries doesn't change intent of the law. "Not by coincidence, every Arizona winery but one produces fewer than 20,000 gallons," Tanford said. He will ask U.S. District Court Judge Mary Murguia to look beyond the new statute's wording and examine its practical effects.

Consumers can still have wine shipped from larger wineries, but it must be shipped to a wholesaler and not directly to their homes.