Oklahoma Supreme Court finds Oklahoma’s distribution system illegal: Are the ramifications big or are they isolated?

In a narrow 5-4 ruling the Oklahoma Supreme Court found as unconstitutional a law requiring the top 25 brands of wine and spirits be sold to every Oklahoma distributor.

The overturned law essentially deemed null and void a 2016 constitutional amendment approved by voters which allowed manufacturers to choose a single wholesaler. (This amendment also allowed the sale of wine and strong beer in grocery and convenience stores and the sale of cold and strong beer in liquor stores).

The interesting point of this case is how it affects the overall big picture. Are laws that mandate who a supplier can pick as its wholesaler unconstitutional? In other words, will there be a trend towards overturning distribution franchise laws (which mandate by law exclusivity between a supplier and distributor or require a supplier choose a certain distributor)? Or is this an isolated case where the legislature overstepped its power and tried to override a constitutional amendment.

More to come on this case.

https://www.newsobserver.com/news/business/article239530918.html

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