23 U.S. Code § 158 - National Minimum Drinking Age Law
Overview
23 U.S. Code § 158, known as the National Minimum Drinking Age Law, was enacted in 1984 to encourage states to prohibit the purchase or public possession of alcoholic beverages by individuals under 21 years of age. While it does not make it illegal nationwide for those under 21 to drink, it conditions federal highway funding on state adoption of a minimum drinking age of 21. This has implications for online businesses that sell or advertise alcohol, especially in terms of verifying the age of users and customers.
Regulation Summary
Timeline
- July 17, 1984 – National Minimum Drinking Age Act enacted.
- October 1, 1986 – Enforcement begins through reduction of federal highway funds to noncompliant states.
- 1988 – All 50 states and D.C. have adopted laws raising the minimum drinking age to 21.
What Businesses Are Affected
- Businesses that sell or advertise alcoholic beverages, especially through online platforms.
- E-commerce platforms or websites offering direct-to-consumer alcohol sales.
- Advertising networks, publishers, and affiliate marketers promoting alcoholic products.
- Third-party age verification providers serving alcohol-related websites.
Exemptions
The law itself applies to states, not directly to businesses, but it influences state legislation. Exemptions often appear at the state level and may include:
- Religious purposes (e.g., wine at religious ceremonies).
- Private consumption in the home.
- Educational or employment-related use (e.g., culinary programs).
Responsibilities for Businesses
- Ensure that individuals under 21 cannot purchase alcohol through their platform.
- Avoid public promotion of alcoholic products to underage users.
- Use accurate age verification methods for alcohol purchases and promotional content.
- Follow applicable state laws implementing the 21-year minimum age.
Specific Responsibilities for Website Owners
- Implement age verification mechanisms before allowing access to online alcohol sales.
- Clearly label alcohol-related content or products with age-related restrictions.
- Avoid marketing alcoholic products to underage audiences, including through targeted ads.
- Make sure terms of service and privacy policies reflect age restrictions.
Additional Requirements
Websites selling alcohol must:
- Comply with the alcohol laws in each state they ship to, which are shaped by 23 U.S. Code § 158.
- Include prominent disclaimers about age restrictions.
- Use tools or services to detect and prevent underage transactions.
- Understand that violating age restrictions can result in penalties under state law, even if the federal law does not directly penalize businesses.
Individual Rights
There are no specific rights granted under 23 U.S. Code § 158, as it is not a privacy law. However:
- Users may be subject to state-level protections regarding data collection during age verification.
- Best practice is to avoid storing identifying data collected during age checks unless necessary.
Enforcement
- Federal enforcement is indirect: The U.S. Department of Transportation (DOT) enforces this provision by directing the Federal Highway Administration to withhold 8% of a state's federal highway funds under 23 U.S. Code § 104 if the state does not comply.
- Businesses face enforcement at the state level, where state alcohol control boards or liquor licensing agencies may take action.
- Penalties for businesses under state law can include:
- Fines, often ranging from $500 to $5,000 per violation, depending on the state.
- Suspension or revocation of a business license to sell or distribute alcohol.
- Civil or criminal liability, including lawsuits or citations for unlawful sales to minors.
There is no private right of action under this federal law, but state laws may authorize lawsuits or administrative complaints for violations
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