Earlier this Summer, Governor Mills signed emergency legislation into law, which is aimed at supporting Maine’s hospitality industry and aside from one provision noted below is effective now. This legislation makes several changes to Title 28-A, otherwise known as Maine Liquor Laws, that amongst others impacts: agency liquor stores, off-premises and on-premises licensees, in-state wholesalers, venues (i.e., auditoriums, civic auditoriums, outdoor stadiums, and performing arts centers) restaurants, and hotels.
Agency liquor stores may now host unlimited taste testing events with a new “purveyor of spirits” license, if the agency liquor store stocks at least 1,500 spirit codes (i.e., lines of spirits, e.g., Tito’s 750ml and Tito’s 1 Liter are separate spirit codes) and generates at least 50% of its revenue from the sale of liquor. Further, agency liquor stores that are licensed as reselling agents are now permitted to sell fortified wine to licensed on-premises establishments.
On-premises and off-premises retailers licensed to sell malt liquor may now expand their product offerings as 28-A M.R.S.A § 13 now permits malt liquor licensees to sell low-alcohol spirits (e.g., Truly, High Noons, etc.). This change aligns with the existing permissions for retail wine licensees and offers an opportunity for malt liquor licensees to attract a broader customer base. And, in a similar vein, on-premises licensees are now permitted to serve spirits-based canned cocktails (e.g., White Claw, High Noon, Truly, etc.).
Restaurants and hotels can also now benefit from more flexible licensing arrangements. For instance, Class A restaurants are now permitted to sell alcohol for on-premises consumption without an accompanying meal so long as food is available during the hours of alcohol service. Restaurants can now apply for off-site catering permits and on-premises licensees (e.g., restaurants) can now host food vendors so long as specific conditions are met. Moreover, hotel guests can now transport alcoholic beverages from the consumption areas (i.e., on-site bar/restaurant) to their rooms.
Venues (i.e., auditoriums, civic auditoriums, outdoor stadiums, and performing arts centers) are also receiving some new opportunities as they are now permitted to offer bottle service in club suites, subject to several conditions. Venues can also enter into advertisement and sponsorship agreements with suppliers and wholesalers. However, these agreements are subject to strict criteria aimed at preventing influence over retail operations and ensuring fair access for all brands.
In-state liquor manufacturers are also benefitting from the recent legislation as licensees such as breweries, wineries, and distilleries are now able to obtain up to 3 or 6 retail licenses depending on the number of manufacturing licenses (i.e., 1 or 2, respectively) the in-state manufacturer holds. Additionally, in-state wholesalers can now rent or lease unlicensed venues for taste testing events.
Effective January 1, 2026, retail licensees will be able to accept up to $750 of things of value (excluding cash and gift cards) from each supplier and wholesaler annually. And, the retail licensee will be permitted to keep those things of value indefinitely regardless of the value received in future years. Previously the Maine Legislature imposed a $1,500 cap on the things of value that a retailer could hold at any particular time. It is important to take note however that retail licensees are not permitted to receive things of value in exchange for increasing orders with a particular supplier or wholesaler at the exclusion of a competitor (e.g., if A Co provides retail licensee with a thing of value like a merchandising display, retail licensee cannot increase its A Co order and decrease its B Co order).
While this update provides new opportunities for Maine’s alcohol industry, the law is nuanced and making business decisions based on these recent updates should be done with caution. For more information or assistance regarding the updates that are summarized above, please contact a Bennett Law Firm attorney.