New Shipping Lawsuit Filed in California

A new lawsuit was filed in California by the same law firm that has brought pending challenges in Illinois and Michigan.  Their Missouri challenge was dismissed just last week.

The California lawsuit was filed in federal court in the Eastern District of California. The Complaint on behalf of Orion Wine Imports and an owner of the company claims California laws that prohibit out of state importers and wholesalers from serving California retailers while California importers and wholesalers  are permitted violates the Constitution’s dormant Commerce Clause and the Privileges and Immunities Clause.

Similar lawsuits have not been successful to date as the courts have noted that the United States Supreme Court’s 2005  Granholm decision  was limited to supplier based discrimination, not disparities in states laws regulating the retailer and wholesaler tiers.

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