Southern Glazer Wine & Spirits Target of Class Action Lawsuit
A class action lawsuit was filed against SGWS in US District Court in California alleging fraud, unfair competition and numerous violations of federal and state alcohol distribution laws. The suit was filed on behalf of a former San Jose licensee. It alleges that Southern provided account and liquor license numbers of customers to third parties, who then used the information to illegally purchase alcohol. It also alleges that SGWS permitted its employees to purchase liquor on customers’ accounts in order to meet sales quotas and also falsified sales documentation to avoid scrutiny. Much like the experience of some licensees here in New York, the plaintiff claims that Southern clients were charged for liquor they never purchased and that SGWS was aware of the practice. The New York litigation is ongoing but is not a class action case at this time. Anyone who has experienced this should contact the State Association office so we can connect you with the other licensees in a similar situation.