On Friday, August 26, Illinois Governor Bruce Rauner signed into law SB 2989. Read our blog
detailing the effects of this bill.
This new law, which will come into effect on January 1, 2017, requires wineries applying for a DtC license to register all of the Third Party Providers (TPP) that the winery will use to store and fulfill DtC shipments to Illinois residents. These TPPs will then be required to submit to the Illinois Liquor Control Commission an annual report detailing their shipments to IL residents. The ILCC will also have power now to reject the registration of TPPs with a history of non-compliance with IL rules.
This is part of a broader policy in Illinois to crackdown on bad actors in the DtC market, including out-of-state retailers and unlicensed parties selling to Illinois residents.
SB 2989 also raises the cost of most licenses issued by the ILCC.