Supreme Court to Rule on Wine Shipments Across State Lines

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The Supreme Court today agreed to decide whether states can ban direct shipments of wine to consumers from out-of-state wineries. Acting on cases from Michigan and New York, the justices will try to resolve conflicting appeals court rulings on state bans on such shipments. In one case, a U.S. appeals court struck down Michigan's direct shipment ban. But a different appeals court upheld New York's ban. Thirty-six states had asked the Supreme Court to settle the issue, the Associated Press reported. At issue is the system of alcohol distribution under which out-of-state wine producers may sell only to wholesalers, who distribute to retailers, who in turn sell to consumers. About half of the states prohibit direct shipments to consumers. States argue that the 21st Amendment, which repealed Prohibition, gave states the power to regulate the sale and distribution of alcoholic beverages.
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