Thursday, December 22, 2005

Costco wins rulings over state's beer, wine laws

The Seattle Post-Intelligencer reports:
The way beer and wine is sold in Washington is going to change -- though it isn't known how just yet -- after a federal judge said in two separate rulings Wednesday that Washington's system for distributing beer and wine violates the Constitution and the Sherman Act.

Costco Wholesale Corp. won a battle against the Washington State Liquor Control Board, when U.S. District Judge Marsha Pechman ruled Washington's three-tier system for distributing beer and wine breaks federal antitrust law.

Among other things, Pechman said, Washington state law improperly requires that producers and distributors of beer and wine mark up prices at least 10 percent above cost.
Those who aren't for state rights are certainly in a bind on this one.