Groupon Suspends Discount Drink Policy

Conflict with Massachusetts liquor law forces Groupon to modify its statewide food and drink offers to food only.

March 22, 2011

BOSTON - Daily-deal website Groupon has suspended its policy of allowing discounted food and alcohol beverages at Massachusetts restaurants, the Boston Globe reports.

Groupon deals at Massachusetts??s restaurants will continue but will only cover food, not alcohol. The move comes after state officials notified Groupon last month that its offers failed to comply with state liquor laws, which restrict discounts on alcoholic beverages. Groupon notified state subscribers last week of the change.

Previously, consumers would pay $20 for a certificate to purchase $40 worth of food and drink at a participating restaurant.

Now, such certificates exclude alcoholic beverages from discounts. Customers dissatisfied with the change are invited to apply for a refund on already purchased certificates that they have not yet redeemed.

Meanwhile, discussions between Group and Massachusetts officials are ongoing. "We are working with Massachusetts officials to ensure that we are in compliance with state laws, and those discussions are ongoing," said Groupon spokesperson Julie Mossler.

Groupon restaurant deals introduce new customers to restaurants, and the hope (for the restaurant) is that a positive experience will result in customer loyalty.

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