Shipping Laws on Wine within Canada

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Written by Mark Hicken Mark Hicken

Category: Shipping, Border, Import, Export Laws Shipping, Border, Import, Export Laws

Published: 09 August 2004 09 August 2004

IF YOU ARE A MANUFACTURER OR VENDOR: You may wish to access more comprehensive information on this topic by subscribing to the Essential InterProvincial Shipping Compliance Subscription which is available now on our related web site, Alca Intelligence (consulting and information services for the liquor industry). The subscription provides detailed compliance information on this subject including a discussion of recent federal changes, a summary of all relevant provincial laws and policies (including links), sample "terms of use" clauses for vendors as well as 12 months of updates and notification of significant changes. 

This article summarizes the laws that apply when wine is shipped between Canadian provinces for personal consumption. Please note that other articles apply for the following situations:

Bringing Wine Back Between Provinces After a Trip

Bringing Wine Back to Canada After an International Trip

This article provides a summary of the shipping laws regarding wine (and other liquor) within Canada. This article is updated frequently and was current as of October 2019. However, the laws in this area are changing rapidly. Please contact a lawyer in order to ensure that you have the latest information. 

The shipping of any alcohol from one province into another province was previously prohibited by a federal law (which stems from the prohibition era) called the Importation of Intoxicating Liquors Act (Canada). However, in June 2019, the federal government repealed this prohibition entirely in respect of the interprovincial transport or shipment of alcohol. Nevertheless, the various provinces have not embraced the spirit of this reform and have created various provincial laws and barriers to interprovincial "direct to consumer" shipments.

The Supreme Court of Canada decision in R. v. Comeau was released in April 2018. Generally, the court upheld provincial legal restrictions on the inter-provincial purchase/import of alcohol as long as they are connected to a legitimate provincial objective other than restricting trade. This decision directly affects the issues discussed on this page. Legal advice may be required on the implications of this decision.

The following chart summarizes my views on the ability of consumers to receive "direct to consumer" interprovincial shipments of wine under the laws in the various provinces.

	DTC from Winery?	DTC from Retailer?	Quantity Limits	...	Comments
BRITISH COLUMBIA
	Yes	No	Amount for personal consumption if 100% Cdn wine from winery.		DTC sales and shipment is permitted only for 100% Canadian wine purchased directly from a winery. BC has also eliminated the limits on alcohol importations from other provinces but only in respect of "in-person" importations (no shipment).
ALBERTA
	Unclear	Unclear	Amount for personal consumption.		Alberta law says that adults may "import" liquor from other provinces (and other countries) in amounts determined by regulation. The regulation (s.89) makes importation from other provinces "subject to the policies of the Board". The Board's policies are set out in section 3.27 of this manual and which restrict importation to amounts that are personally transported (i.e. not shipped). It is not clear whether this "policy statement" has a valid basis in Alberta law since it may not be consistent with the language in the Act and Regulation.
SASKATCHEWAN
	Yes (from BC only)	No	9 liters.		Saskatchewan is open for DTC shipments of wine and spirits from BC only (not other provinces). An authorization (for the customer) is required from the SLGA which is valid for one year. Maximum quantity per shipment is 9 litres (one case) but multiple shipments are allowed. The customer is required to submit markup to the SLGA upon receipt of the shipment. The markup for wine is $5.25 per 750 ml bottle. See details here: Direct Shipment to Saskatchewan.
MANITOBA
	Yes	Yes	Amount for personal consumption.		Section 71 of Manitoba's new law governing both alcohol and cannabis refers to the fact that it is permissible to possess and consume liquor that has been "lawfully imported" into Manitoba. Manitoba's liquor web site indicates that DTC is permissible.
ONTARIO
	No	No			Ontario has recently amended its laws to prohibit the possession of alcohol that has been imported from other provinces unless the alcohol was imported by or under the authority of the LCBO.
QUEBEC
	No	No	9 liters		Provincial law restricts transport of wine not purchased from liquor board within Quebec. Regulations have been issued which allow the importation of alcohol from other provinces but they only permit 9 liters of wine per person and only if it has been personally transported (no direct to consumer shipment).
PEI
	Yes	Yes	9 liters.		It is my view that the only reasonable interpretation of the word "import" in the amended legislation includes both in person transport and direct shipment. The PEI liquor board is stating that it is not open for shipment, only for "in-person transport". In my view, this is not a reasonable interpretation of PEI law.
NEW BRUNSWICK
	No	No			The recent decision in R. v. Comeau upheld New Brunswick's provincial laws that restrict its residents from purchasing and importing wine from outside the province beyond a "single bottle".
NOVA SCOTIA
	Yes	No			OK for Canadian wine purchased from a winery. Nova Scotia announced it is open for DTC wine shipments on June 25, 2015.
NEWFOUNDLAND
	No	No	None		NL only permits "in person" importations from out of province as described in the accompanying article. Note that the NL liquor board charged FedEx with shipping BC wine from a winery to a customer in Newfoundland. The case did not proceed after the defence lawyer made an argument that NL laws could not reach a federally regulated courier such as FedEx.

Read more: Shipping Laws on Wine within Canada

BC LCLB Warns on Internet Marketing

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Written by Mark Hicken Mark Hicken

Category: Retail and Distribution Laws Retail and Distribution Laws

Published: 05 December 2011 05 December 2011

Wineries and other licensees should be aware that the BC LCLB issued a statement on internet marketing in the October 2011 issue of their “Liquor Line” newsletter which is available on the LCLB website here. The statement warns licensees that the sale or advertising of any liquor product without a license is not legal in BC. It then continues by saying “[t]herefore companies like Groupon or ethicalDeal.com cannot legally include liquor as part of a promotion. Given this, it is not permitted for licensees to enter into and offer these sorts of promotions. (emphasis added)” This wording could be interpreted as prohibiting many third-party marketing companies from including liquor as part of their marketing services or promotions when they are working with a licensee such as a winery or retailer.

The question then arises: is it legal for third party marketing companies to work with licensees at all and, if so, what can they do? It is my view that it is legal for third party marketing companies to work with licensees so long as all parties pay careful attention to structuring their relationships correctly.  The issues are basically the same as those faced by the California ABC which recently issued a detailed advisory on these issues (Third Party Providers - PDF) which was created after extensive industry consultation and legal advice. It’s my opinion that the analysis in the California advisory is well done and should also be applicable to British Columbia.

I have confirmed with the BC LCLB that their statement was based on an analysis of the ‘default’ method of Groupon promotion under which the marketing company processes and is an integral part of the sale. However, there are, in fact, many other methods of structuring internet promotions (some of which may be legal and some of which may not) and the LCLB has also confirmed that “each case must be considered on its own merits”. However, the LCLB has not confirmed that they will follow the same principles as have been established in California and there may well now be confusion within the BC industry as to what is permissible and what is not (as there was in California prior to the ABC issuing its ruling). In the interim, licensees should be cautious about internet marking and should obtain legal advice if they are entering into these types of marketing arrangements.

Okanagan Water Law for Wineries

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Written by Mark Hicken Mark Hicken

Category: Environmental Laws Environmental Laws

Published: 19 November 2008 19 November 2008

It's already a major issue for wineries in California. I know that faculty at UC Davis are now considering water needs and ability to survive drought as an important factor when selecting rootstocks for new vineyard plantings. Here in water-abundant Canada, this has historically not been a major concern. But an article in Wine Business Monthly Online shines a light on similar Canadian concerns in its review of the Okanagan Sustainable Water Strategy and the implications for wineries in the region. The article points out that winery use of water is a tiny percentage of overall usage and that conversion to drip irrigation is making industry use of the resource even more efficient.

The legal implications of water usage are still generally a backburner issue. However, occasionally, as the article points out, the Province can use its powers under environmental laws to cut off water supplies to users as happened for some Okanagan wineries in 2003 during a drought. In addition, water concerns can block development, whether residential or otherwise (including wineries), if the development threatens to change water usage or conservation patterns.

CA Winery Settles Host Liability Case for $3 Million

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Written by Mark Hicken Mark Hicken

Category: Liability Issues Liability Issues

Published: 11 December 2009 11 December 2009

I spoke about the issues surrounding "host liability" for wineries at the recent wine law conference that was held in November here in Vancouver. Those of you that were there will have heard my warnings regarding a winery's potential legal liability if an individual who has been served alcohol at the winery is in an accident later that injures either himself or another person.

While I am unaware of any B.C. wineries being in this situation recently, a news story from California illustrates the expensive consequences of a failure to live up to the applicable legal standards. In this case, the Sonoma County winery had hosted a wedding event and served numerous beers to a guest who was, in fact, under age. That guest ended up in a car accident later in the night in which his passenger was seriously injured. The passenger sued the winery, 7-Eleven (who later had sold some additional alcohol to the pair), and the driver. The eventual settlement ended up with the winery shouldering the bulk of the costs.