Hard, Hazy and Maybe Healthy—With a Chance of Liability and Litigation
Forecast for craft beer industry increasingly focused on innovation via infusions also includes pitfalls to consider and manage amid state and federal regulatory uncertainty.
February 16, 2020 at 04:23 PM
7 minute read
A few different trends have emerged over the past year or so in the field of craft beer, and in related industries. Indeed, the alcoholic beverage landscape looks much different as we enter 2020 than it did at the beginning of last decade. Hazy IPAs have surged in popularity, as have hard seltzers. Breweries have begun adding hemp and cannabis to beverages, as these substances have increased their footholds on legality. Aside from adding things to beer, market demand for more health-conscious beverages has led to a separate trend, in breweries taking things—namely, alcohol and calories—out of beer.
As alcoholic—and nonalcoholic—beverage makers strive to keep up with customer demand, they must also make sure to stay within the bounds of the law. The new decade should offer both opportunities and challenges for the craft beverage industry.
Haze Bombs
The now-ubiquitous New England-style IPA, known for its opacity, creamy mouthfeel and fruity aromas, has taken on many forms. Breweries across the country have pushed culinary boundaries by adding generous amounts of fruit, lactose, herbs or spices, and other ingredients to their beer recipes, and selling liquid, alcoholic desserts to an enthusiastic following. Part of these beers' appeal is their uniqueness, but loading beer with fermentable sugar (e.g., fruit and lactose) just before bottling or canning can create unwanted uncertainty and push literal boundaries. First, it may be difficult to calculate the final alcohol content (ABV) of a beer that continues to ferment after canning. Therefore, breweries may have to undergo expensive testing to ensure that the ABV published on their label is accurate.
For beers distributed across state lines, the Alcohol and Tobacco Tax and Trade Bureau (TTB) requires ABV to be included on beer labels, and to be accurate within 0.3%. States have differing requirements for ABV publication, but even when strict accuracy is not required, breweries should be careful not to make false claims in their labeling or advertising. Selling a beer that is much weaker—or stronger—than advertised, or than consumers have come to expect from a particular brewery, may give rise to civil claims.
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