[NOTE: THE LAWSUIT REFERRED TO IN THIS ARTICLE HAS BEEN DROPPED due to legislation passed in 2006 – Thanks to MD wine lovers' support. No action is currently needed.]

The Maryland Wineries were notified by the Comptroller's Office that as of May 31, 2006, they will no longer be permitted to sell and deliver wines to retail stores and restaurants in the State. Losing this ability will cause great harm to the wineries, the industry and the prospects for new growth in this vibrant new agriculture.

The Problem
Maryland has been sued by a Pennsylvania winery in Federal District Court. The suit alleges that Maryland law unconstitutionally gives advantages to Maryland wineries that are not available to out of state wineries. If this proven true, this is a violation of the Commerce Clause of the United States Constitution and could result in the Federal Court imposing a ruling on Maryland Law.

The Peril
Based on the mere allegations in the suit, the Comptroller is ordering the suspension of parts of Maryland law that are essential to starting and a operating a winery in Maryland. Those laws allow wineries to sell their wine directly to restaurants and retailers. This becomes effective May 31, 2006

The Effect
No winery in Maryland can be started or grow without the ability to sell directly to restaurants, retailers, and consumers who come to the winery. Of Maryland’s 22 wineries, only four distribute their product through wholesalers – due to economics, as well as marketability. Seventeen rely solely upon their ability to sell directly to retailers, restaurants and consumers who come to the winery in order to start their business and make it grow.

The Possible Solution
Legislation is to be introduced in both the House of Delegates and the State Senate which will modify Maryland Law in a way that is least disruptive to the current “three tier system” (manufacturer to wholesaler to retailer). This legislation will allow out-of-state wineries as well as in-state wineries to deliver their product directly themselves or by their employees to restaurants and retailers. This ability, if allowed equally to both in-state and out-of-state wineries, would end any alleged discriminatory effect of Maryland’s laws about wineries.

How You Can Help

LEGISLATORS:
Please co-sponsor this legislation sponsored by Senator Thomas “Mac” Middleton (SB812) of Charles County and Delegate Virginia Clagett (HB1122)of Anne Arundel County. This legislation is essential to seeing that Maryland wineries grow and thrive.

FRIENDS OF MARYLAND WINE:
Please call, e-mail or fax your legislators your local legislators TODAY and ask them to co-sponsor the legislation that will keep Maryland wineries growing.