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Brett Hudson Hillyer, State Representative, 51st House District — House Commerce and Labor Committee

Summary

This is sponsor testimony on House Bill 306 from Brett Hudson Hillyer, State Representative, 51st House District, to the House Commerce and Labor Committee. It states that the bill aims to modernize Ohio's Alcohol Franchise Law and that there are over 400 craft brewers in Ohio. It states that House Bill 306 enables craft breweries producing fewer than 250,000 barrels annually to engage in contracts with distributors that meet their individual needs. It also states that current franchise law for the brewing industry, enacted almost half a century ago, binds craft brewers to their distributor in perpetuity, even if both parties wish to get out of the agreement.

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“Brett Hudson Hillyer, State Representative, 51st House District — House Commerce and Labor Committee.” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2023-11-14-commerce-labor-testimony-testimony-8198-0f73504a29/, SHA-256 4255777e962190b2584b3b6d24f82cfe6221046b2277ed3938e88881043a0449.

Full text

                                     Brett Hudson Hillyer
                             State Representative, 51st House District

Chairman Johnson, Vice Chair Manchester, Ranking Members McNally, and members of the
House Commerce and Labor Committee, I appreciate the opportunity to present sponsor
testimony on House Bill 306.

This bill aims to modernize Ohio’s Alcohol Franchise Law, acknowledging the evolving
landscape of the brewing industry. House Bill 306 supports small businesses while also fostering
the growth of a promising and emerging sector within our state.

With over 400 craft brewers in Ohio today, these businesses are economic catalysts in both rural
and urban areas, playing a vital role in contributing to job creation and community development.

House Bill 306 enables craft breweries, producing fewer than 250,000 barrels annually, to
engage in contracts with distributors that meet their individual needs. This is a freedom that most
small businesses in Ohio already have.
Current franchise law for the brewing industry, enacted almost half a century ago, binds craft
brewers to their distributor in perpetuity, even if both parties wish to get out of the agreement.
While sensible at the time, existing law does not align with today’s diverse market. This
legislation addresses this burden, preventing prolonged legal battles and ensuring a level playing
field for contract negotiations without compromising distributors’ business interests.
Chairman Johnson and committee members, thank you for the opportunity to present sponsor
testimony on House Bill 306. I am available to address any questions you may have at this time.


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