TTB Publishes Final Rule Addressing Labeling and Advertising Regulations   Yesterday, TTB published a final rule that will implement Phase 2 of its rulemaking on modernization of the labeling and advertising regulations for alcohol beverages. In 2018, TTB proposed labeling and advertising amendments in Notice No. 176, Modernization of the Labeling and Advertising Regulations for Wine, Distilled Spirits, and Malt Beverages.  On April 2, 2020, TTB implemented “Phase 1” of the rulemaking, publishing a final rule, which adopted certain proposals from Notice No. 176.  On February 9, 2022, the TTB published the “Phase 2” final rule, which amends the labeling and advertising regulations for distilled spirits and malt beverages.  The final rule is effective 30 days from date of publication in the Federal Register, March 11, 2022. The changes in this final rule will not require industry members to make changes to labels or advertisements but will instead provide additional flexibility in the labeling and advertising of distilled spirits and malt beverages. TTB is currently working on “Phase 3” of the rulemaking, which will reorganize the wine labeling regulations, address the remaining labeling issues related to wine, and reorganize and finalize the regulations related to the advertising of wine, distilled spirits, and malt beverages. The “Phase 2” final rule finalizes, among other things, the following liberalizing changes to the distilled spirits regulations that were proposed in Notice No. 176: Brand Labels: The TTB has eliminated the requirement that certain mandatory information appear on the “brand label”. Previously, the term “brand label” was defined in current § 5.11…

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Please remember you are required to  update federal permits issued by the TTB and licenses and permits issued by state regulatory bodies after initial qualification and application approval in order to avoid federal or state regulatory enforcement action. Changes to TTB permits or state alcohol beverage licenses may include, but are not limited to, updating information about the business entity, such as changes in titled positions, the addition of investors, a change in the person or entity that owns or controls the majority of voting stock in a corporation or the majority membership interest in an LLC, a change in the person or entity who exercises managerial control over the operations of the business, changes to trade names, methods of operation, equipment, changes to phone numbers, email addresses, mailing addresses, or a change of location, whether or not the change is intrastate or interstate. If you are unsure as to whether any of the above mentioned changes, or any other changes need to be reported to the TTB or state regulatory bodies, please contact Malkin Law to ensure that your permits and licenses are up to date and that you are in compliance with state and federal reporting requirements. All permit and licensure changes should be reported prior to making the change.