An Act relative to successor supplier laws and the termination of sales to wholesalers of alcoholic beverages

194th Legislature (2025-2026) Introduced by John Mahoney and 2 co-sponsors

Defines 'successor supplier' for brand-name alcohol, and requires attribution of pre-succession sales to the successor for six-month sales tests under §25E.

Read; and referred to the committee on Senate Ways and Means

Overview

H.4764, introduced on November 18, 2025, and substituted for House Bill 4281, proposes a new provision within Chapter 138 of the General Laws to clarify the concept of a “successor supplier” and how sales history is attributed when brand-name alcohol items are transferred to a new supplier. The bill has been read and referred to the Senate Ways and Means Committee as of November 19, 2025.

Purpose and intent

The bill aims to define who constitutes a “successor supplier” in the Massachusetts alcohol distribution framework and to ensure that sales history is properly attributed when ownership or obligations to sell a brand-name item are transferred to a new supplier. This is intended to affect regulatory calculations related to six months of regular sales under existing law (section 25E).

Key provisions

New section addition: Section 25E 7/8 is inserted after section 25E¾.

Definition of “successor supplier”:

A “successor supplier” means any person or entity who directly or indirectly acquires the right or obligation to sell a brand-name item to a wholesaler licensed in Massachusetts.

Governing constraints:

A successor supplier must acquire such rights or obligations subject to section 25E.

Attribution of prior sales:

All sales of a brand-name item made to a licensed wholesaler prior to succession shall be attributed to the successor supplier for the purposes of determining whether six months of regular sales exist under section 25E.

Who is affected

Brand-name item suppliers and entities that acquire the right or obligation to sell to wholesalers in Massachusetts.

Wholesalers licensed in the Commonwealth.

The change affects how sales histories are counted after a transfer of rights/obligations, which can influence regulatory determinations tied to section 25E.

Procedural and timeline aspects

Status: Read and referred to the Senate Ways and Means Committee (as of 11/19/2025).

Legislative actions show substitution of the House version for H.4281 and engrossment actions on 11/18/2025.

The bill is a House-originated measure that modifies Chapter 138 with a new subsection targeting successor-supplier dynamics and sales attribution.

Potential impact

Provides a clear framework for determining which entity’s sales history counts when a brand-name item’s distribution rights transfer to a new supplier.

Ensures consistency in applying the six-month regular-sales test under section 25E by attributing pre-succession sales to the successor.

Could influence licensing decisions, termination provisions, and market dynamics by clarifying successor responsibilities and measurement of sales activity.

Bill