'ABC'

On Monday, May 9, the Assembly Oversight, Reform, and Federal Relations Committee heard testimony from key stakeholders of the New Jersey alcoholic beverage industry on the current state of the industry and discussed ways to improve the manufacturing, distribution, and retail sectors along with its impact on the competition with neighboring states and within the hospitality and tourism economies. The New Jersey Restaurant and Hospitality Association, New Jersey Liquor Store Alliance, and the Wine and Spirits Wholesalers Association, were among those who testified. 

On February 5, 2021, Governor Murphy signed P.L. 2021, c.15, requiring the Division of Alcoholic Beverage Control (the “ABC”)to establish a permit that would allow the holder of certain alcoholic beverage manufacturing licenses to sell their products at seasonal farm markets.

The new law allows permit holders to sell any of their products in sealed, original containers at a seasonal farm market for off-premises consumption, transport their products in sealed, original containers to and from a seasonal farm market, and offer samples to be consumed by persons of the legal age to consume alcoholic beverages in areas in the immediate vicinity of the alcoholic beverage vendor.

Yesterday, the Division of Alcoholic Beverage Control (Division) issued guidance to the industry and law enforcement agencies clarifying acceptable operations during the Governor’s order.  The order outlines that:

• Licensed establishments, bars, and restaurants, may stay open during normal business hours, but may only sell food and alcoholic beverage in original sealed containers from barrooms. For deliveries, they must get a transit insignia from the Division. No hard liquor or spirits can be sold after 10:00 p.m.
• No retail consumption licensee may sell, serve or deliver alcoholic beverages for on-premise consumption.
• All private and public social clubs must be closed to the public.
• State concessionaire permits (or annual State permits) (“14 licensees”) must request permission to sell alcoholic beverages in original sealed containers for off-premises consumption. Requests for relief will be liberally construed during the duration of the public health emergency and will be granted on an expedited basis. A transit insignia from the Division or use an otherwise licensed entity authorized to transport alcoholic beverage must be obtained if such sales are permitted.
• Holders of limited brewery licenses (“11”), restricted brewery licenses (“08”), plenary (“21”) and farm winery (“22”) licenses, craft distillery licenses ("07"), and cidery and meadery licenses ("02") are permitted to sell alcoholic beverages in original sealed containers from their tasting rooms for customer pick up during their posted normal business hours. Pickups should be arranged outside or adjacent to the premises. A transit insignia from the Division for use by an otherwise licensed entity authorized to transport alcoholic beverages must be obtained if such sales are permitted. Licensees must adhere to the quantity limitations set forth in N.J.S.A. 33:1-10 for off-premises distribution. No on-premise consumption is permitted.
• Growlers and crowlers, for the purposes of the Governor’s Executive Order, will be considered original sealed containers, which may be sold for off-premises consumption by retail consumption licensees or breweries.
• The Division has issued a Special Ruling Granting Relaxation of Schedule A, Paragraph 2Q) of the May 2019 Special Ruling, which authorizes Limited Breweries to make home deliveries of their products as provided therein.
• Liquor stores acting as liquor stores are designated as essential retail businesses and may remain open during their normal business hours. Licensees must adhere to federal and state social distancing and disease prevention guidelines. Wherever practicable, licensees must provide pick up services outside or adjacent to their stores for goods ordered online or by phone. For deliveries, they must get a transit insignia from the Division.

In the event that State or local law enforcement orders the closure of licensed premises operating in violation of Executive Order No. 107, a police report of such closure must be forwarded to the ABC Enforcement Bureau for regulatory enforcement review.