Farris v. Shoppers Village Liquors, Inc.

• Decision Date: 10 May 1984
• Citation: 669 S.W.2d 213
• Parties: Edward FARRIS and John Crimmins, Members of the Alcoholic Beverage Board of Kentucky, and the Department of Alcoholic Beverage Control, Movants/Appellants, v. SHOPPERS VILLAGE LIQUORS, INC., et al., Respondents/Appellees.
• Court: United States State Supreme Court — District of Kentucky

Page 213

669 S.W.2d 213

Edward FARRIS and John Crimmins, Members of the Alcoholic

Beverage Board of Kentucky, and the Department of

Alcoholic Beverage Control, Movants/Appellants, v. SHOPPERS VILLAGE LIQUORS, INC., et al.,

Respondents/Appellees.

Supreme Court of Kentucky.

May 10, 1984.

Catherine Staib, General Counsel, Alcoholic Beverage Control Board, Frankfort, for movants/appellants.

Robert Miller, Miller, Griffin & Marks, P.S.C., Lexington, Joseph J. Leary, Frankfort, for respondents/appellees.

AKER, Justice.

The 1982 session of the General Assembly passed House Bill 571, Chapter 390, 1982 Acts of the General Assembly, which was titled "An Act Relating to Revenue and Taxation." The bill created an alcoholic beverage tax at the wholesale distribution level of 9% and repealed the retail sales tax on alcoholic beverages sold for off premises consumption.

Section 12 of House Bill 571, which was added as the result of a Senate amendment, now codified as KRS 243.892, reads as follows:

(1) A wholesaler, his agents or employees, shall sell or contract to sell distilled spirits and wine only by a written invoice made concurrently with the sale of delivery, showing price, name, license number and designated premises of licensed retailer. Sales and deliveries shall only be made to the designated premises of retail licensee shown on written invoice and each retail licensee shall constitute a separate purchasing entity for the premises of a multi-licensee shall constitute a separate purchasing entity.

(2) No wholesaler shall make, directly or indirectly, through any agent or employee, and no retailer shall receive any payment of any allowance, rebate, refund, concession or discount, whether in the form of money or otherwise, that does not conform with the prices and conditions of sales shown on the invoice.

Appellees brought an action in Franklin Circuit Court for a declaratory judgment as to the constitutionality of KRS 243.892. The court ruled the statute to be in violation of Sections 47 and 51 of the Kentucky Constitution and issued an injunction permanently enjoining the appellants from enforcing the statute. Appellants filed a notice of appeal, and a joint motion for transfer was granted by this court. We affirm the unconstitutionality of KRS 243.892, but we dissolve the permanent injunction.

Section 51 of the Constitution of Kentucky provides that no law enacted by the General Assembly shall relate to more than one subject, and that subject...