BMGT 380 Lecture 3: 380-3 class 2.docx

• School: University of Maryland
• Department: Business and Management
• Course: BMGT 380
• Professor: Reyna

Document Summary

21st amendment: section 1: repeal prohibition, section 2: individual states can regulate alcohol distribution. Retailers can only sell to consumers: exception: for in state wineries can ship directly to consumers. Out of state wineries must go through tiers. To protect in state wineries, but impedes interstate commerce. Incidental effects on interstate commerce: strict form of scrutiny. Purpose can"t be adequately served by reasonable nondiscriminatory alternatives: local benefits exceed the burden they place on interstate commerce. Reasons: stop underage drinking; problem with wine over internet. No proof that kids were buying wine off internet did own research and said was false aka no legitimate interest. There are other ways to prevent this taxes or permits. If law expressly discriminates - use strict scrutiny. Implied discrimination - use legitimate rational basis scrutiny. Purpose can"t be adequately served by reasonable nondiscriminatory alternatives. Local benefits exceed the burden they place on interstate commerce.