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<law><site_title>Virginia Decoded</site_title><site_url>https://vacode.org</site_url><law_id>84856</law_id><section_number>4.1-509.1</section_number><catch_line>Board proceedings; contemplated actions by brewery or wholesaler</catch_line><edition url="https://vacode.org/2025/" slug="2025" current="TRUE" last_updated="">2025</edition><structure><unit label="title" level="1" order_by="1" identifier="4.1">Alcoholic Beverage and Cannabis Control</unit><unit label="subtitle" level="2" order_by="1" identifier="I">Alcoholic Beverage Control Act</unit><unit label="chapter" level="3" order_by="1" identifier="5">Beer Franchise Act</unit></structure><text>
						<section id="A"><p><span class="prefix-number">A.</span> For purposes of this section, &#x201C;<span class="dictionary">contemplated action</span>&#x201D; means an action proposed by a <span class="dictionary">brewery</span> or wholesaler that (i) if carried out would violate any provision of this chapter or clause (v) of subdivision A 1 b of &#xA7; <a class="law" title="Grounds for which Board may suspend or revoke licenses; exception" href="/4.1-225/">4.1-225</a> and (ii) is demonstrated by a specific written statement authored by a <span class="dictionary">brewery</span> or an employee of a wholesaler who is specifically authorized by virtue of job title and responsibility to make such statement and such other <span class="dictionary">evidence</span> as may be required by the <span class="dictionary">Board</span> pursuant to the <span class="dictionary">facts</span> of any given circumstance. <a id="paragraph-304001" class="section-permalink" href="https://vacode.org/4.1-509.1/#A"><i class="fa fa-link"/></a></p></section>
						<section id="B"><p><span class="prefix-number">B.</span> Subsequent to compliance with subsection D, any wholesaler may file a <span class="dictionary">petition</span> against a <span class="dictionary">brewery</span>, and any <span class="dictionary">brewery</span> may file a <span class="dictionary">petition</span> against a wholesaler, in which the petitioner alleges that the respondent named in the <span class="dictionary">petition</span> as a matter of past or present <span class="dictionary">fact</span> has <span class="dictionary">contemplated action</span> that if carried out would violate any provision of this chapter or clause (v) of subdivision A 1 b of &#xA7; <a class="law" title="Grounds for which Board may suspend or revoke licenses; exception" href="/4.1-225/">4.1-225</a>. Any such <span class="dictionary">petition</span> filed shall identify with specificity the alleged <span class="dictionary">contemplated action</span>, the document in which such <span class="dictionary">contemplated action</span> is described or authorized, and specify the provision of <span class="dictionary">law</span> or regulation that the <span class="dictionary">contemplated action</span> would violate if carried out. The <span class="dictionary">petition</span> shall include a statement that a controversy as to the lawfulness of the <span class="dictionary">contemplated action</span> exists. The statement shall be supported by <span class="dictionary">evidence</span> of the petitioner&#x2019;s good faith effort to resolve the controversy in accordance with subsection D. The petitioner shall have the burden of establishing that the <span class="dictionary">contemplated actions</span> identified in the <span class="dictionary">petition</span>, if carried out, would violate any provision of <span class="dictionary">law</span> or regulation enumerated in this subsection. The <span class="dictionary">Board</span> may, if it finds that a <span class="dictionary">brewery</span> or wholesaler has frivolously maintained a <span class="dictionary">petition</span> or defense to a proceeding pursuant to this chapter, award reasonable costs and attorney fees to the prevailing <span class="dictionary">party</span>. <a id="paragraph-304002" class="section-permalink" href="https://vacode.org/4.1-509.1/#B"><i class="fa fa-link"/></a></p></section>
						<section id="C"><p><span class="prefix-number">C.</span> Any <span class="dictionary">petition</span> filed by a <span class="dictionary">brewery</span> or wholesaler pursuant to this section shall be delivered to the Secretary of the <span class="dictionary">Board</span>. The <span class="dictionary">Board</span> shall promptly <span class="dictionary">issue</span> a written determination as to whether a violation or attempted violation as alleged in the <span class="dictionary">petition</span> has occurred. In addition, the <span class="dictionary">Board</span> shall promptly <span class="dictionary">issue</span> a written determination as to whether a violation alleged in the <span class="dictionary">petition</span> would occur if the <span class="dictionary">contemplated action</span> identified in the <span class="dictionary">petition</span> were to be carried out. <a id="paragraph-304003" class="section-permalink" href="https://vacode.org/4.1-509.1/#C"><i class="fa fa-link"/></a></p></section>
						<section id="D"><p><span class="prefix-number">D.</span> Prior to filing a <span class="dictionary">petition</span>, a <span class="dictionary">party</span> shall communicate with the <span class="dictionary">party</span> alleged to be considering a <span class="dictionary">contemplated action</span> and initiate a good faith attempt to resolve the <span class="dictionary">issue</span> in question. If within 21 days of initiating the communication required by this subsection, or such longer period of time if mutually agreed upon, there is no resolution, either <span class="dictionary">party</span> may proceed to file a <span class="dictionary">petition</span> in accordance with subsection B. <a id="paragraph-304004" class="section-permalink" href="https://vacode.org/4.1-509.1/#D"><i class="fa fa-link"/></a></p></section></text><history>2013, c. 3; 2023, c. 774.</history><metadata></metadata></law>
