No good deed goes unpunished: US distilleries who made hand sanitizer to help out, hit with retroactive fees

31 December 2020

I saw this morning that Jacob Grier on reason posted a story on US distilleries getting hit with unexpected fees from the FDA for making hand sanitizer.

Back near the start of the Covid-19 crisis in the US, many distilleries stepped up and started making hand sanitizer as there was a severe shortage and distilleries already have all the kit necessary.

https://twitter.com/catoctincreek/status/1242764014226157569?s=20

Many distilleries across the US made hand sanitizer with a lot of it going to the authorities first before releases to the public.

https://twitter.com/catoctincreek/status/1244677073538625536?s=20

It seems this good deed is now being punished with retroactive fees from the FDA, with the fees starting at $14,000. At a time when many companies are facing hard times with business locked down and customers struggling, it seems very harsh to be introducing unexpected, retroactive, fees for companies who took action to help out at a time of national strife.

I’ve referenced Catoctin Creek Distillery and their Twitter account in this post, as it was their feed on which I first saw this news.

A number of distilleries associations are aware and are in discussions with the US authorities looking for ways to stop this issue.

I’ve not heard of similar action from the UK authorities here in the UK, and hope that I don’t, but my sympathies are with the US distilleries now facing this late unexpected bill. Hopefully, this can be resolved with the FDA rescinding the fees. Not only to save the distilleries now facing the fee, but also for any national emergency in the future where companies may be disinclined to help out due to fear of being hit with fees.

Full details of this story can be read on reason.