May 3, 2021
Does Walmart Stand a Chance in Fight to Sell Spirits?

Last week Walmart filed to voluntarily dismiss its lawsuit against the Texas Alcoholic Beverage Commission (TABC) as part of its attempt to sell spirits in the state [see WSD 04-16-2021]. But they're not ready to give up on the issue just yet. 

QUICK RECAP. Walmart can sell beer and wine in Texas, but is prohibited from owning a package store permit, and therefore from selling spirits. The retailer filed a lawsuit against the TABC in 2015, challenging sections of the TABC code that prevent it from obtaining a permit, claiming it is irrationally banned for being a public company. 

Walmart scored a win in 2018 when a US district judge sided with the retailer [see WSD 03-21-2018]. But then an appeals court sided with the TABC, reversing the district court's ruling [see WSD 12-11-2019]. Walmart tried its luck with the US Supreme Court, but in November, the SC denied to hear its case [see WSD 11-23-2020], which brings us to the latest update in which Walmart voluntarily dismissed the case. 

"SIMPLY A PROCEDURAL STEP." In a statement to WSD, the retailer said: "This is simply a procedural step allowing Walmart to move forward in state court. We intend to continue pursuing our rights under the Texas Constitution to challenge the unfair, unconstitutional and protectionist Texas law that bans public corporations from holding permits and offering the products consumers want."

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