Cars, Beer – Is Ag Equipment Next? Kentucky Law Bans Self-Distribution

The governor of Kentucky signed a law in mid-March that bans breweries from distributing their own products, the St. Louis Post-Dispatch reported. The measure is aimed at forcing St. Louis-based Anheuser-Busch to sell or close its two distributorships in the state.

In a statement issued this month, Kentucky Gov. Steve Beshear said House Bill 168 “protects the integrity of the three-tier system for alcohol sales in Kentucky,” which establishes that the brewer makes the beer, the distributor stores and delivers beer to retailers, and the retailer sells it.

Damon Williams, director of sales and marketing at distributorship A-B of Louisville, anticipates the law having a chilling effect on efforts to attract new companies to Kentucky. He said A-B considers the law a violation of rights under U.S. and Kentucky constitutions. A-B is reviewing all its legal options.

Electric car maker Tesla recently scored another distribution victory against the traditional auto industry: it can sell its electric cars in New Jersey after a nearly year-long ban in the Garden State.

New Jersey Gov. Chris Christie signed a bill earlier this month reauthorizing the auto maker to open a maximum of four direct-sale stores with at least one service center. New Jersey last April capitulated to lobbying demands from the New Jersey Coalition of Automotive Retailers by passing a regulation that halted Tesla’s ability to sell its electric cars direct to consumers instead of through independent dealerships.

As with brewers, laws on the distribution of automobiles vary by state. S