US Chamber of Commerce urges Ontario not to break Beer Store contract

TORONTO—The US Chamber of Commerce says Ontario’s move to break a contract with the Beer Store sends a negative signal to American businesses and investors.

It is urging the province not to rip up the 10-year deal in an attempt to put beer and wine in corner stores.

The Progressive Conservatives recently introduced legislation to end the contract signed by the previous Liberal government that permitted beer and wine to be sold in hundreds of grocery stores.

Finance Minister Vic Fedeli has said the agreement is a bad deal for businesses and stifles competition.

The Beer Store and its union have warned that cancelling the deal could trigger financial penalties.

The U.S. Chamber of Commerce says the government’s approach could undermine Ford’s message that Ontario is open for business.