New 2014 Tennessee liquor laws dramatically changed the liquor business in Tennessee. Wine in Grocery Stores (which we affectionately call "WIGS") not only legalized the sale of wine in Kroger, WIGS gave retail liquor stores the right to sell beer and a host of other goods beginning July 1, 2014. The WIGS compromise requires the voters of each city or county to petition to have a local referendum election to approve of WIGS in the city or county. If WIGS is approved by local option election, grocery stores cannot begin selling wine until July 1, 2016.

WIGS was a true compromise that disappointed all industry members. As a hard-negotiated compromise, WIGS is full of provisions that make little sense from a business perspective.

Related legislation modernized the definition of beer to allow higher proof beers to be sold alongside Yazoo Dos Perros and Miller Lite beginning January 1, 2017. Current Tennessee law limits the alcoholic content of beer to 5% by weight.

2014 laws also legalized wineries to open a second retail store and have a restaurant. This allows wineries like Arrington Vineyards to open a restaurant at the winery and sell Arrington wines by the glass, as well as other alcoholic beverages. The new law enables City Winery in Nashville to make wine and have a restaurant concert venue, like the company does in New York and Chicago.

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