Massachusetts Food Ass'n v. Sullivan

184 F.R.D. 217, 1999 U.S. Dist. LEXIS 339, 1999 WL 21308
CourtDistrict Court, D. Massachusetts
DecidedJanuary 6, 1999
DocketNo. Civ.A. 98-11175-DPW
StatusPublished
Cited by7 cases

This text of 184 F.R.D. 217 (Massachusetts Food Ass'n v. Sullivan) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Massachusetts Food Ass'n v. Sullivan, 184 F.R.D. 217, 1999 U.S. Dist. LEXIS 339, 1999 WL 21308 (D. Mass. 1999).

Opinion

MEMORANDUM AND ORDER

WOODLOCK, District Judge.

The Massachusetts Food Association and several retail chains have brought this suit against the members of the Massachusetts Alcoholic Beverages Control Commission challenging the legality and constitutionality of a portion of Mass.Gen.Laws ch. 138, § 15. The plaintiffs assert that section 15’s directive restricting to three the number of retail liquor licenses that any one individual or entity can possess in Massachusetts violates the federal Sherman Antitrust Act and therefore is invalid under the Supremacy Clause of the United States Constitution. The defendants have moved to dismiss for failure to state a claim upon which relief can be granted, principally because § 15 represents unilateral state action beyond the reach of the federal antitrust laws. Meanwhile, the Wine & Spirit Wholesalers of Massachusetts, Inc., Massachusetts Wholesalers of Malt Beverages, Inc., and Massachusetts Package Stores Association have all moved to inter[219]*219vene in the case as defendants. The intervenors seek to press a broader range of issues at the motion to dismiss stage. I will deny the motions to intervene, but will grant the defendants’ motion to dismiss.

I. THE LITIGANTS

A. The Plaintiffs

The Massachusetts Food Association is a private trade association whose membership includes multi-outlet food retailers operating in Massachusetts. The remaining plaintiffs are corporations owning chains of retail stores in Massachusetts. Each corporation owns more than three stores in the Commonwealth but is restricted to only three liquor licenses. Roche Bros. Supermarkets, Inc., a Massachusetts corporation, operates 13 supermarkets in Massachusetts. The Edwin R. Sage Company, Inc., a Massachusetts corporation, operates six retail outlets in Massachusetts. The Stop & Shop Supermarket Company, a Delaware corporation, and its wholly-owned subsidiary, Packaging Center, Inc., a Massachusetts corporation, operate 93 supermarkets in Massachusetts. BJ’s Wholesale Club, Inc., a Delaware corporation, and its wholly-owned subsidiary, Mormax Corporation, a Massachusetts corporation, operate 13 retail outlets in Massachusetts. Trader Joe’s Co., a California corporation, and its wholly-owned subsidiary, Trader Joe’s East, Inc., a Massachusetts corporation, operate six retail outlets in Massachusetts. For the latter three sets of plaintiffs, the parent company and subsidiary are. restricted to a combined total of three retail liquor licenses in Massachusetts..

B. The Defendants

The defendants are the individual members of the Massachusetts Alcoholic Beverages Control Commission (hereinafter “the Commission”), sued only in their representative and official capacities.1 The Commission, a state agency created by Mass.Gen. Laws ch. 6, § 43, supervises “the conduct of the business of manufacturing, importing, exporting, storing, transporting and selling alcoholic beverages.” Mass.Gen.Laws ch. 6, § 44. The Commission submits each year “recommendations for such legislation as it deems necessary or desirable for the better regulation and control of such traffic [of alcoholic beverages] and for the promotion of temperance in use of such beverages.” Id.

C. The Proposed Intervenors

Two separate groups have moved to intervene as defendants in this action. The first group, Massachusetts Package Stores Association (hereinafter “MassPack”), is a trade association composed primarily of individual retail package stores. MassPack represents these retail stores “on legislative and regulatory matters, especially those relating to control of the sale of' alcohol and the maintenance of public welfare and safety.” (Mem. of Law in Supp. of Mass. Package Stores Ass’n’s Mot. to Intervene as of Right at 2.) One retail liquor store actually owned by plaintiff The Stop & Shop Companies, Inc. is a member of the putative defendant intervenor, MassPack.

The second group consists of Wine & Spirits Wholesalers of Massachusetts, Inc. and Massachusetts Wholesalers of Malt Beverages, Inc. (hereinafter, collectively “the Wholesalers”). These two organizations are trade associations for wholesalers of alcoholic beverages operating in the Commonwealth. Wholesalers must be licensed by the state under Mass.Gen.Laws ch. 138, § 18. Retailers licensed under § 15 may only buy alcohol from wholesalers licensed under § 18. Mass. Gen.Laws ch. 138, § 18.

II. THE MOTIONS TO INTERVENE

At the outset, I must address the roles of MassPack and the Wholesalers in this litigation. MassPack and the Wholesalers have each moved to intervene as of right under Fed.R.Civ.P. 24(a)(2). In the alternative, should I decide they are not entitled to intervene as of right, they request permissive intervention under Fed.R.Civ.P. 24(b)(2).

A. Intervention as of Right

Rule 24(a) provides that:

[220]*220Upon timely application anyone shall be permitted to intervene in an action ... (2) when the applicant claims an interest relating to the property or transaction which is the subject of the action and the applicant is so situated that the disposition of the action may as a practical matter impair or impede the applicant’s ability to protect that interest, unless the applicant’s interest is ádequately represented by existing parties.

The First Circuit has set out a four-part test for intervention as of right under Fed. R.Civ.P 24(a)(2): (a) the application must be timely; (b) the applicant must have an interest relating to the property or transaction which is the basis of the action; (c) the applicant must be so situated that the disposition of the action may set up a practical impediment to its ability to protect that interest; (d) the applicant must show that existing parties do not adequately represent its interests. Public Serv. Co. of New Hampshire v. Patch, 136 F.3d 197, 204 (1st Cir.1998); Travelers Indem. Co. v. Dingwell, 884 F.2d 629, 637 (1st Cir.1989).

In this case, the plaintiffs, who object to the applicants’ motions to intervene, do not dispute the timeliness of the applications, nor do they present any serious opposition to the proposition that the applicants’ own ability to-protect any interests they may have will likely be impaired by this action. As a result, I will focus on whether the proposed intervenors have sufficient interests in the ease to justify intervention and whether any such interests are adequately represented by the existing defendants.

1. Interests

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Cite This Page — Counsel Stack

Bluebook (online)
184 F.R.D. 217, 1999 U.S. Dist. LEXIS 339, 1999 WL 21308, Counsel Stack Legal Research, https://law.counselstack.com/opinion/massachusetts-food-assn-v-sullivan-mad-1999.