Licensing and Regulatory Affairs
Media Contact: LARA Communications 517-335-LARA (5272)
November 8, 2019 - The Michigan Liquor Control Commission (MLCC) has called on one of the principal authorized distribution agents (ADA), NWS Michigan LLC, doing business as Republic National Distributing Company (RNDC), to implement a corrective plan of action that will immediately address liquor licensee complaints regarding delivery issues, stock shortages, and lack of customer service that are negatively impacting their businesses. RNDC, one of State’s three ADAs, is responsible for the warehousing and delivery of spirit products on behalf of MLCC to its licensees.
“We are holding RNDC accountable on how they plan to fix this situation for our licensees,” said MLCC Chair Pat Gagliardi. “It’s our priority to ensure our licensees have their shelves stocked for the public, especially in advance of the holiday season.”
At MLCC’s business meeting held earlier this week, stakeholders and licensees voiced their complaints. RNDC representatives cited chronic software issues at their new facility. MLCC called on the Attorney General’s Office (also in attendance) to analyze the situation and determine any potential solutions, which may include monetary penalties and/or violations for authorized distribution agents that would hold them accountable for failure to supply licensees with the products they ordered.
Retailer licensees who are having difficulties receiving spirit orders timely or not at all from ADAs, can submit their complaint directly to MLCC at: https://tinyurl.com/mlcc-ada-order-complaints. Licensees who use this online complaint form are providing MLCC with important information needed to identify and correct issues with spirit orders through the ADA. Licensees are advised however, that they will not receive a response from MLCC but should know that their complaints are very important to the Commission. Also, MLCC will be posting updated delivery schedules from RNDC as they are received on the Online Spirits Ordering (OLO) page at: https://tinyurl.com/mlcc-rndc-schedule.
Any downturn in retail spirit sales due to unstocked shelves also impacts the State’s bottom line as the sole wholesaler of spirits. Last year, distilled spirit sales in Michigan reached almost $1.5 billion; MLCC expended $70 million toward the distribution fees paid to the ADAs, with RNDC receiving approximately two thirds of that total amount.