The Beer Store issues response to class action lawsuit filed today
Toronto, ON – The Beer Store today issued a response by spokespersona Jeff Newton to a lawsuit filed today:
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The Beer Store is reviewing the statement of claim in detail, but the facts in this matter are clear and we believe the claim has no merit.
The plaintiffs’ statement of claim contains factual errors which demonstrate they lack an understanding of howOntario’s beer retail system works. In particular, the plaintiff’s claim that the Beer Store sets prices is false (paragraph 21). The Beer Store doesn’t set the price of beer in Ontario. Not only does each brewer that sells in the Beer Store independently set its own prices, these prices are approved by the LCBO on a weekly basis.
In June 2000, the Beer Store and the Liquor Control Board of Ontario entered into the Framework Agreement, which was intended to benefit Ontario beer consumers. The efficiencies of the Beer Store system allow for great brand selection and for brewers to independently set beer prices, which are the lowest average beer prices in Canada.
The agreement was common knowledge. It was negotiated with the LCBO pursuant to its powers under the Liquor Control Act. The Government of Ontario directed and participated in these negotiations. Any other suggestion is misleading.
The Beer Store has always operated according to the rules established by the Government of Ontario for regulation, sale and distribution of beer in this province. The plaintiffs acknowledge this in their claim, when they attempt to argue that aspects of Ontario’s regulatory scheme is itself illegal and the federal government’s Importation of Intoxicating Liquor Act is unconstitutional.
SOURCE The Beer Store
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