Stateways Summer 2023 | Page 6

BY JAMIE STAFFORD

RECAPPING THE 2023 NABCA LEGAL SYMPOSIUM

Every March , the National Alcohol Beverage Control Association ( NABCA ) hosts a symposium on beverage alcohol legal and regulatory issues . The event offers perspectives from key government officials , attorneys and regulators regarding current issues facing all segments of the beverage alcohol regulatory and legal communities .

This year , the symposium returned to Arlington , VA , and highlighted topical industry issues with two days of panels . Monday , March 13 ( technically the second day of the symposium ) kicked off with a retrospective on the executive order on Promoting Competition in the American Economy . Other morning panels included “ CMBA Import Changes ,” which addressed the reduced federal excise tax rates for domestic and imported beverage alcohol products , and “ Tech & Tied House ,” which addressed the rise of ecommerce and online third parties , as well as the risk of potential trade practice violations , such as native ads or data sharing .
Technology was again a dominant theme for this year ’ s symposium . The conference offered attendees in-depth discussions on topics ranging from automated and virtual waitstaff to Bitcoin and NFTs . Currently trending across all industries is the question of privacy and data security . The panel “ Data Privacy & Cybersecurity ” addressed this concern for the beverage alcohol industry . Moderated by Ruth Jordan , director and senior counsel for Diageo North America , the panel featured speakers Marc Zwillinger , attorney and founder of ZwillGen PLLC ; Stacey Brandenburg , shareholder at ZwillGen PLLC ; and Holly Brady , counsel at Hunton Andrews Kurth . One salient point all speakers were sure to touch on was why companies needed to be proactive about cybersecurity . “ Companies need to be worried about this , because there is no unified system ; every state that has data privacy regulations are different ,” commented Zwillinger .
One question raised by the audience was , since there is no standardized system in place for data compliance , how should national companies go about ensuring they were compliant in all states , without necessitating multiple systems ? “ Go by the strictest regulations , but be aware that different states are more or less restrictive in specific areas ,” advised Brady . “ There is no one state that is the “ most stringent ” across the board when it comes to consumer data .”
PHOTO CREDIT : JENIFER MORRIS PHOTOGRAPHY
Another panel , “ Metaverse , NFTs , & Crypto revisited ” showed the opportunities that technology offers to the industry . Speakers Elizabeth DeConti , shareholder at GrayRobinson P . A .; Mayme Donohue , partner at Hunton Andrews Kurth ; and Teresa Goody Guillen , partner at BakerHostetler , discussed positive business growth that could arise from investing in virtual real estate , as well as the possible legal pitfalls of these new ventures .
“ The metaverse is not a fifth tier ,” stressed Guillen , “ but it has been suggested that it is . The digital marketplace can act as a chute to a real-world sale .” However , the digital space is dominated by the young , so companies are under increasing pressure to monitor their audience . Age restrictions are notoriously easy to bypass for an enterprising youth , which puts companies in a difficult position of uncertainty when it comes to advertisements and sponsorships within the Metaverse .
Advertising to minors is one major concern in the industry . Delivering to minors is another , including through direct to consumer ( DTC ) shipping . One federal body focused on solving this problem is the Uniform Law Commission ( ULC ), which entered the fray in 2020 ; at the same time , state legislatures have been creating their own systems to tackle the issues that DTC brings for years . Covid has only accelerated this process . Speakers Buddy Buckner , associate general counsel for NABCA ; Steve Gross , vice president of state relations at the Wine Institute ; Dave Albo , partner at Williams Mullen ; and Jake Hegemen , assistant general counsel for WSWA , came together to discuss the impact of the ULC and the state of legislation when it comes to direct shipping .
Other topics covered at this year ’ s legal symposium included employee wellness , interstate commerce and marijuana , regulating low and no-alcohol beverages , and the legal ramifications of a sustainable business practice . Next year , the symposium returns to Arlington , VA , March 10-12 . •
6 StateWays | www . stateways . com | Summer 2023