Tied House” (Federal and State Laws)
1 © 2015 Wendel, Rosen, Black & Dean LLP 2 © 2015 Wendel, Rosen, Black & Dean LLP From lovewallpaperphotos.blogspot.com 3 © 2015 Wendel, Rosen, Black & Dean LLP Alcohol Regulation • Taxation of Alcohol • Control of Alcohol - Prohibition (18th Amendment) - Prohibit the “tied house” (Federal and State laws) 4 © 2015 Wendel, Rosen, Black & Dean LLP Alcohol Regulation - Taxation • The Whiskey Excise Tax (1791)and Whiskey Rebellion • Alcohol, beer, distilled spirits were considered safer than drinking water • In 1830, average American over age 15 years drank the equivalent of 88 bottles of whiskey a year (3x as much as today) 5 © 2015 Wendel, Rosen, Black & Dean LLP Events Leading to Prohibition • Temperance Movement: 1830s-1850s - Maine in 1851 was first state to prohibit sale and consumption of alcohol - Several other states had some form of prohibition • Target: the saloon, particularly, the “tied house” • Civil War 1861-1865 • Beer excise tax to pay for war 6 © 2015 Wendel, Rosen, Black & Dean LLP What is a “Tied House” • Ownership of saloons and bars (retailers) by the alcohol beverage maker (usually breweries) • Trade Practices • England and US • Problems - Alcoholism - Disorderly conduct - Domestic strife - Loss of wages and workers 7 © 2015 Wendel, Rosen, Black & Dean LLP Temperance Movement: Late 19th and Early 20 Century • Grew in last half of the 19th century, part of “progressive” political ideas including women’s suffrage, and antitrust laws. • Women’s Christian Temperance Union (1874) and Anti-Saloon League (1893) • Sixteenth Amendment Carrie Nation - authorized federal income tax - passed Congress 1909, ratified 1913 8 © 2015 Wendel, Rosen, Black & Dean LLP The Eighteenth Amendment • Eighteenth Amendment - Section 1.
[Show full text]