|October 22, 2018
For Immediate Release
|Office of Congressional and Public Affairs
TTB Press Release
TTB Trade Practice Investigation Results in Permit Suspension
Washington, D.C. — On October 19, 2018, James Johnson Vineyards, a wholesaler in Napa, California, served a one day suspension of its basic permit. This is the second stipulated suspension of a Federal Alcohol Administration Act (FAA) basic permit to develop out of the joint operation that TTB conducted with the California Department of Alcoholic Beverage Control in March 2018.
Specifically, between October 2016 and February 2018, James Johnson Vineyards, engaged in consignment sales of wine to a trade buyer that was not obligated to pay for the wine until after it had been sold to retailers. Consignment sales arrangements, like other unlawful trade practices, are used to gain an unfair advantage over law-abiding industry members and ultimately limit consumer choice.
Additionally, the investigation revealed that James Johnson Vineyards had changed premises address in 2012 without applying for an amended basic permit, despite having notified TTB of prior address changes in 2003 and 2005.
Relevant documents related to this suspension can be found on our Field Operations Administrative Cases page.
TTB is committed to putting an end to anti-competitive practices that hurt law-abiding businesses and prevent consumers from enjoying a wide selection of products. With that goal in mind, TTB will continue to assess ways that enforcement actions can encourage voluntary compliance and discourage noncompliant industry members from treating those enforcement actions as a simple cost of doing business.