The alcohol laws of New Jersey are some of the most complex in the United States of America, and contain many peculiarities not found in other states. New Jersey law gives municipalities substantial discretion in creating alcohol laws, such that there are towns in New Jersey which are dry and towns where alcohol may be sold 24 hours per day. Likewise, there is great deal of variance between municipalities regarding the number of liquor licenses available and whether juveniles may consume alcohol while on private property.
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On-premises consumption licenses are allocated to towns based on population with one consumption license per 3,000 people, and one package goods license per 7,500 residents.[1] However, the actual number of licenses in a municipality may be more or less depending on whether the municipality's existing licenses were grandfathered in, or if the town decides to allocate fewer licenses. Because of the flexibility of the law, there are a handful of towns in New Jersey that completely prohibit the sale of alcoholic beverage, and other municipalities have a substantially higher ratio of licenses.[2][3] In addition to the on-premise consumption license and package goods license, there are an unlimited number of liquor licenses for golf courses, private clubs with at least 60 members, hotels with at least one-hundred rooms, and theatres with at least 1000 seats.[4]
Because of the limited number of licenses per town, liquor licenses usually have to be purchased from other license holders, and liquor licenses may be quite expensive to obtain in certain municipalities.[5] Additionally, any person or corporation can hold only two package goods licenses, and thus, supermarkets, convenience stores, and gas stations in New Jersey rarely sell alcoholic beverages.[6] The other effect of New Jersey's licensing system is a prevalence of BYOB restaurants, wherein diners can bring their own beer or wine to a restaurant without a liquor license, insofar as there is no municipal prohibition against it.[7][8] A restaurant in New Jersey without a liquor license can sell wine from a New Jersey winery with the permission of the winery and municipality.
The hours of sale for on-premises consumption are regulated by local ordinance, and closing times vary by town.[9] Atlantic City does not have closing hours, and alcohol can be purchased at its casinos and local bars 24 hours per day.[10] However, state law provides that except in Newark and Jersey City, no hard liquor package goods may be sold before 9 am and after 10 pm any day of the week, and this can be restricted further through local ordinance. However, liquor stores are specifically given the right to sell package beer and wine at any time on-premises sales are allowed.
New Jersey regulations for liquor stores and bars are fairly strict. Besides prohibiting nudity and gambling in an establishment with liquor license, it is illegal to give away free drinks, sell liquor below cost, sell liquor at a drive-through window[11], or have a 'ladies' night' or any pricing which is discriminatory.[12] Bars and restaurants are considered strictly liable for their patrons behavior, and liquor licenses can be suspended or revoked if a customer engages in illegal activity (e.g., fighting, public urination) after drinking. New Jersey law recognizes both dramshop liability and social host liability, wherein the server of alcohol is responsible for injuries resulting from subsequent drunk driving or alcohol-related injuries. Although most alcohol-related lawsuits involve parties injured by drunk drivers, there have been cases in New Jersey where drunk drivers were able to successfully sue the established that served them.[13]
New Jersey currently has 37 wineries,[14] 23 breweries and brewpubs,[15] and 1 distillery.[16] Historically, New Jersey law restricted the number of wineries to one per million people in the state. In 1981, the New Jersey Farm Winery Act exempted low-volume family-owned wineries from the population restrictions, and allowed wineries to create outlet stores.[17] Likewise, New Jersey has a limited brewery license for microbreweries and a restricted brewery license for brewpubs.[18] Legislation has been proposed to allow for craft distilleries to be established in New Jersey.[19]
New Jersey prohibits the shipment of alcoholic beverages from wineries, breweries, or distilleries directly to customers.[20] Until 2004, New Jersey permitted in-state liquor shipments, but this was declared unconstitutional by the United States Supreme Court because it violated the interstate commerce clause.[21] In 2011, the state stopped issuing licenses to new wineries because of similar litigation stating that it unconstitutional for the state to allow outlet stores for New Jersey wineries, but prohibit them for out-of-state wineries.[22]
A person must be 21 years of age in New Jersey to purchase alcoholic beverages, or consume alcoholic beverages in an establishment with a liquor license, or in an area of public accommodation (e.g., restaurant, campground).[23] A person can sell alcoholic beverages at age 18 if they work in a restaurant, bar, or liquor store.[24] There is no state law prohibiting consumption of alcohol by minors while on private property, but many municipalities prohibit underage consumption unless parents or adult relatives are present.[25]
Violation of the state underage drinking statute is a disorderly persons offense (misdemeanor), which can be punished by up to 6 months in jail (never actually imposed), up to a $1000 fine, and suspension of a driver's license. Violation of a municipal underage drinking statutes is a non-criminal offense, which can be punished by fines up to $2000 and suspension of a driver's license, but usually results in just a fine without a court appearance being required.[26] There is a good samaritan defense to an underage drinking charge where if an underage drinker calls for medical help for another underage drinker who is ill, neither may be prosecuted.[27] It is common for a state underage drinking charge to be downgraded to a municipal charge in order for the defendant to avoid a criminal record and a suspended license.
It is illegal in New Jersey to have an open container of alcohol in the passenger portion of an automobile, but open bottles of alcohol may be transported in the trunk of a car, and consumption of alcohol on a bus, limousine, or boat is permitted.[28] There is no state law against public consumption of alcohol, but most municipalities have open container laws prohibiting or restricting public consumption. Public intoxication without accompanying disorderly behavior is not a crime, and New Jersey law prohibits municipalities from making ordinances against public intoxication.[29]
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