It is being reported that a compromise has been reached between the NJ Governor’s Office and the State Legislature that will allow for the passage of a long-anticipated liquor reform bill before the current legislative session ends on January 8th. The final version of the bill is not yet available but various sources are reporting that the following issues will be addressed:

Permits

Permit breweries and certain other manufacturers to hold unlimited special events and private parties on-premise and up to 25 special events off-premise. These manufacturers will also be permitted to coordinate with third-party food vendors.

Farm Brewery License

Create a “Farm Brewery License†which will allow a brewery that produces hops and/or other products used in the production process to brew and sell up to 2,500 barrels per year at retail.

Pocket/Inactive Licenses

Changes to the administration of pocket/inactive licenses that will limit the length of time a licensee can hold such license without activating same.

Allows a municipality to transfer a pocket/inactive license to a neighboring/contiguous municipality under certain circumstances.

Special Licenses

Authorize municipalities to issue “Special Licenses†for use in shopping malls with a minimum of 750,000 square feet. These Special Licenses will not be subject to the population cap but can only be used for on-premise consumption. Municipalities may issue up to two (2) Special Licenses to shopping malls with 750,000 square feet to 1,500,000 square feet and up to four (4) Special Licenses to shopping malls with over 1,500,000 square feet.

We will update as more information becomes available. Please feel free to contact our office if you have any questions.

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