Bell’s Brewery, Inc. has filed a petition in Richmond Circuit Court appealing the Virginia Alcoholic Beverage Control Authority’s ruling that it doesn’t have the authority to order arbitration in the craft brewery’s distribution dispute with Virginia-based wholesaler Loveland Distributing, according to Richmond Biz Sense.
The Michigan-based brewery ceased shipments to Virginia in February after attempting to terminate its contract with Loveland, which was acquired in October by Reyes Beer Division (a division of Reyes Holdings) subsidiary Premium Distributors of Virginia.
In May, the ABC ordered that the two sides go to arbitration, which Bell’s and Loveland’s contract calls for in the event of termination. However, the ABC reversed course in July, claiming only a Virginia circuit or district court could compel arbitration.
According to Richmond Biz Sense, Bell’s is requesting “the Court reverse and set aside the remand order” and reinstate its initial decision.