How a Depression-era law could be used to make your booze cheaper
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Federal regulators are planning to use a rarely enforced law from the Great Depression to allege America’s largest alcohol distributor is unfairly pricing wine and spirits, a person familiar with the matter told CNN.
A looming Federal Trade Commission lawsuit against Southern Glazer’s Wine and Spirits would be aimed at lowering costs for consumers — in this case on alcohol — and ensuring mom-and-pop shops have a level playing field against big chains, the source said.
The thinking is that if a major alcohol distributor is offering deeper discounts to, say, Walmart or Target, that’s unfair to smaller stores and their shoppers. And if those stores don’t exist, consumers are harmed from the lack of access and from the fact that the larger chains now face less competition on price.
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