On August 28, 2003, the U.S. Sixth Circuit Court of Appeals struck down a Michigan State law regulating the sale and distribution of wine as unconstitutional. In the case of Heald v. Engler, several wine distributors including those that sell online, successfully raised a constitutional challenge to Michigan's alcohol distribution system claiming that state provisions differentiating between in-state and out-of-state wineries violate the Commerce Clause of the U.S. Constitution. The regulations at issue were those that prohibit the direct shipment of alcoholic beverages from out-of-state wineries, while allowing in-state wineries to ship directly to consumers, provided that the in-state wineries comply with certain minimal regulatory requirements.
The District Court found that the law discriminated against out-of-state wineries; however, it did not find that the law was unconstitutional. This decision was reversed by the Sixth Circuit Court of Appeal, which held that the state law in question was unconstitutional since it discriminated against out-of-state wineries and there was no adequate evidence justifying the violation.
For summaries of recent related decisions by other U.S. Appeal Courts, please read the July 10, 2003 issue of Law of .Com.
For a copy of the decision, visit:
laws.findlaw.com/6th/03a0308p.html
For a copy of Lawsof.com July 10th, 2003 issue, visit: