Around 20 companies continue to sell alcohol online in Iceland despite a district court ruling that such retail sales breach the state’s alcohol retail monopoly. This highlights growing uncertainty over enforcement while the case remains under appeal.
The rapid expansion of online alcohol retailers since 2020 has challenged the long-standing exclusive right of the Icelandic State Alcohol and Tobacco Company (ÁTVR) to sell alcohol directly to consumers. Many retailers now offer home delivery, with some advertising delivery times of around 30 minutes.
What’s the story?
Original source: Vísir
- Around 20 companies continue to sell alcohol online despite a district court ruling against one retailer.
- Police say enforcement is possible but would require extensive intervention.
- The government has no current plans to amend Iceland’s alcohol retail laws.
Police await clarity
In April, Reykjanes District Court ruled that the online retailer Smáríkið had been engaged in unlawful retail alcohol sales. While examining the case, the authorities found out that its business model infringed ÁTVR’s exclusive retail rights.
The ruling has been passed on to the Court of Appeal, while other cases involving online alcohol retailers have also been referred to the police.
Assistant National Commissioner Hildur Sunna Pálmadóttir said the police were considering how to respond in light of the judgment. She said authorities could intervene by seizing stock and effectively shutting down operations, but described such action as a major undertaking given the industry’s scale.
Finance and Economic Affairs Minister Daði Már Kristófersson said the law was clear that online alcohol retailing was not permitted and confirmed that the government had not discussed changing the legislation.