TBA Law Blog

Posted by: Stacey Shrader Joslin on Mar 31, 2014

Diageo Americas Supply Inc., owner of the George Dickel whiskey brand, has filed suit against Tennessee over a decades-old law governing the storage of spirits, the Tennesean reports. Since 1937, Tennessee has required distillers to store their spirits in the county in which they were produced. In 2013, the law was amended to allow distillers to also store spirits in adjoining counties. The George Dickel Distillery in Tullahoma has been in operation for more than 130 years, and though it stores most of its liquor on site, it has transported some of its spirits to Louisville, Ky. On March 20, the Tennessee Alcoholic Beverage Commission advised the company it was in violation of the law. Diageo is challenging the law saying it violates the U.S. Constitution’s interstate commerce clause. Diageo is also at odds with Jack Daniel's over the definition of Tennessee whiskey. A bill that would have modified the current definition was tabled this session.