Austin American-Statesman

Buying hard liquor at Walmart? Possibly

Federal judge rules against some state statutes on ‘package stores.’

- By Gary Dinges gdinges@statesman.com Walmart

It could soon be possible to pick up some vodka or rum on your Walmart run.

In a 50-page ruling, a federal judge in Austin found that some of the state statutes that have kept the discount chain from selling hard liquor in Texas are unconstitu­tional.

U.S. District Judge Robert Pitman issued his ruling this week following a trial that took place last year. Pitman found that the state’s ban on public corporatio­ns owning so-called “package stores” and limits on the number of liquor stores certain entities can own were inconsiste­nt with the U.S. Constituti­on’s Commerce Clause and Equal Protection Clause.

Pitman’s order is stayed for a minimum of 60 days to accommodat­e the likelihood of an appeal, meaning Walmart won’t be stocking hard liquor any time soon. The Texas Package Stores Associatio­n, which joined the lawsuit against the Texas Alcoholic Beverage Commission as an intervenor, said it will likely appeal the ruling.

“We applaud Judge Pitman’s order striking down Texas laws that have prevented us from fully serving our customers,” Walmart said in a written statement. “Walmart filed suit because these laws are unfair and hurt our customers. We are grateful for Judge Pitman’s thoughtful opinion, finding that these laws violate the U.S. Constituti­on.”

Walmart, which has 5,000 stores nationwide, says Texas is the only U.S. state that issues package store permits to privately held businesses but won’t give them to publicly held firms.

The chain currently sells beer and wine in its stores in 47 states, according to court records, including 668 locations in Texas. In 31 states, Walmart also sells hard liquor.

If Walmart does eventually get its way, it has said it would like to build package stores adjacent to many of its Texas locations. Hard liquor would only be sold in the package stores, not inside of existing Walmart stores.

Lance Lively, executive director of the Texas Package Stores Associatio­n, said his group “is disappoint­ed in the trial court’s decision to overturn decades of Texas law regulating the sale of liquor in Texas.”

“The Texas Legislatur­e put a system in place to ensure safe access to alcoholic beverages in Texas, and that system has worked for over 80 years,” Lively said. “We will appeal the trial court’s decision and continue to fight for fam-

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