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New York Craft Act Receives WSJ Coverage – Malkin Law Weighs In

by | Dec 15, 2014 | alcohol beverage law

The New York Craft Act continues to receive great support and press. For instance, today the Wall Street Journal ran a story discussing the benefits of the Act for New York alcohol beverage producers.

One of the privileges extended to New York distillers, brewers, cideries, and wineries is the ability to offer samples of other New York State labeled products in a tasting room.

New York Alcoholic Beverage Control Law Section 3(20), notes that a liquor or wine
can be designated as a “New York state labelled” if 75%, by volume, of the fruits,
vegetables, grain and grain products, honey, maple sap, etc., or grapes or other fruit in the case of wine, are grown or produced in New York state.

Meanwhile, for beer, at least 20% (by weight) of the hops, and at least 20% (by weight) of all other ingredients excluding water, used to make the beer must be grown in New York. For cider, it must be made exclusively from apples of other pome fruits grown in New York State.

In the Wall Street Journal story, I am quoted as saying, “Spirits produced outside of New York state, for example, can’t be served without a special license. And vermouth is off limits in these settings as well.”

To provide additional context, the new Craft Act provides tasting privileges for New York State labeled products. Whether it’s a California wine (which vermouth is classified as), a Kentucky bourbon or a Michigan beer, these privileges won’t apply. If you want to serve out of state products, a “special license” — in this case an on-premise license — is required. The Craft Act notes that you may “apply to the authority” for a license to sell other alcoholic beverages “for consumption on the premises at such establishment.”

For the full story please visit: http://www.wsj.com/articles/craft-new-york-act-unleashes-craft-distillers-1418608074

For additional information about the Craft Act or the differences between New York licenses, a great resource is: http://www.esd.ny.gov/NYSBeverageBiz.html

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The foregoing was prepared as general information. It is not meant to provide legal advice granting any specific matter and should not be acted upon without professional counsel. If you have questions or require additional information regarding these or other related matters, please contact Malkin Law, P.A. This material may be considered attorney advertising under certain rules of professional conduct.