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Judges uphold IATC’s issuance of alcohol dealer permits

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The Indiana Court of Appeals affirmed that an association comprised of retail package liquor stores isn’t entitled to injunctive relief preventing the state’s Alcohol and Tobacco Commission from issuing permits to stores in the same manner it has for the last 30 years.

In Indiana Association of Beverage Retailers, Inc. v. Indiana Alcohol and Tobacco Commission, et al., No.49A02-1002-PL-125, the Indiana Association of Beverage Retailers sued the Indiana Alcohol and Tobacco Commission, seeking to stop what it described as the unlawful practice of issuing excessive permits to dealers in violation of the quota system established by Title 7.1. The IABR claimed the issuance of beer dealer’s permits to holders of liquor dealer’s permits without counting the beer dealer’s permits against the quota limits established in Indiana Code Section 7.1-3-22-4 for those categories of permits violates Indiana law.

The trial court denied IABR’s motion for a temporary restraining order and preliminary injunction. It found there is no clear statutory guidance on the issue. The commission has followed its interpretation that the dealer statutes allow for permits to be issued which bundle together, in different formulations, the rights of different entities to sell different combinations of alcoholic beverages. The IATC has also counted those permits against different quotas in the same manner for many years. The court also found IABR won’t suffer irreparable harm and didn’t have a likelihood of success in a trial on the merits.

The Court of Appeals judges examined the various chapters and sections under Title 7.1 and found Article 3 to be ambiguous regarding the number of permits the commission may issue to dealers. They found reasonable the IATC’s interpretations of Article 3 allowing for three separate quotas to be applied to the various types of holders of dealer’s permits: a quota for those holding a package liquor store dealer’s permit, under which the holder may sell liquor and beer, which is counted only against the quota for package liquor store dealer’s permits; a quota for drug stores holding a liquor dealer’s permit, which is counted only against the quota for general liquor dealer’s permits under I. C. Section 7.1-3-22-4(b), even if they also hold a beer dealer’s permit issued pursuant to I. C. Section 7.1-3-10-6; and a quota for entities holding only a beer dealer’s permit issued pursuant to I. C. Section 7.1-3-22-4(a).  

IABR failed to show it had at least a reasonable likelihood of success on the merits at trial, wrote Judge Carr Darden. The IABR also failed to show that its members are likely to suffer irreparable harm if the injunction isn’t issued.

“Here, the IABR argues that without an injunction, its members’ ‘rights to fairly compete with other holders of lawfully obtained beer dealer’s permits will be harmed and diluted,’” he wrote. “We find no merit in this argument as we have found that the Commission’s interpretation of Section 4 to be reasonable, and therefore its issuance of permits, is lawful. Also, the IABR has presented no evidence that any of its members have been denied permits due to the Commission’s interpretation.”

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  1. From his recent appearance on WRTV to this story here, Frank is everywhere. Couldn't happen to a nicer guy, although he should stop using Eric Schnauffer for his 7th Circuit briefs. They're not THAT hard.

  2. They learn our language prior to coming here. My grandparents who came over on the boat, had to learn English and become familiarize with Americas customs and culture. They are in our land now, speak ENGLISH!!

  3. @ Rebecca D Fell, I am very sorry for your loss. I think it gives the family solace and a bit of closure to go to a road side memorial. Those that oppose them probably did not experience the loss of a child or a loved one.

  4. If it were your child that died maybe you'd be more understanding. Most of us don't have graves to visit. My son was killed on a state road and I will be putting up a memorial where he died. It gives us a sense of peace to be at the location he took his last breath. Some people should be more understanding of that.

  5. Can we please take notice of the connection between the declining state of families across the United States and the RISE OF CPS INVOLVEMENT??? They call themselves "advocates" for "children's rights", however, statistics show those children whom are taken from, even NEGLIGENT homes are LESS likely to become successful, independent adults!!! Not to mention the undeniable lack of respect and lack of responsibility of the children being raised today vs the way we were raised 20 years ago, when families still existed. I was born in 1981 and I didn't even ever hear the term "CPS", in fact, I didn't even know they existed until about ten years ago... Now our children have disagreements between friends and they actually THREATEN EACH OTHER WITH, "I'll call CPS" or "I'll have [my parent] (usually singular) call CPS"!!!! And the truth is, no parent is perfect and we all have flaws and make mistakes, but it is RIGHTFULLY OURS - BY THE CONSTITUTION OF THIS GREAT NATION - to be imperfect. Let's take a good look at what kind of parenting those that are stealing our children are doing, what kind of adults are they producing? WHAT ACTUALLY HAPPENS TO THE CHILDREN THAT HAVE BEEN RIPPED FROM THEIR FAMILY AND THAT CHILD'S SUCCESS - or otherwise - AS AN ADULT.....

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