Illinois eases rules around brewer-wholesaler contract terminations
Illinois Governor Pat Quinn signed the Beer Industry Compensation Act into law [in late August]. The Act, also known as SB 3399, was the only piece of substantial beverage industry related legislation to pass both the Illinois House and Illinois Senate during a relatively slow spring legislative session.
According to bill’s synopsis it lowers the threshold for compensation when a brewer and distributor break up.
“Amends the Beer Industry Fair Dealing Act (BIFDA). Provides that certain compensation requirements applicable to the termination of an agreement between a brewer and a wholesaler apply if the total annual volume of beer products supplied by the brewer to the wholesaler represents 10% or less (instead of 15% or less), of the wholesaler’s business for all beer products supplied by all brewers.”
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