How One Wine Importer Fought Tariffs at the Supreme Court — and Won

For nearly 40 years, Victor Owen Schwartz, founder of New York-based VOS Selections — an importer and distributor of wine, spirits, sake, and non-alcoholic beverages — has set his portfolio apart by sourcing products that aren’t easily found at the wine store down the street.

“We have a broad range of wines, including domestics — we have to — but we’ve always been on the cutting edge of products you can’t find anywhere else, and we’re proud of that,” says Schwartz, a Vistage member since 2015. “You have to distinguish yourself, otherwise you’re a commodity.”

The company’s portfolio features products from 16 countries and 5 continents, ranging from Familia Schroeder in Patagonia, South America, to El Bajio in Central Mexico, to Jean-Paul Picard in Sancerre, the Loire Valley of France, and beyond. Importing wines, spirits and sakes meant that VOS Selections fell within the sweeping tariffs implemented by the federal government on April 2, 2025.

Since the tariffs went into effect, Schwartz estimates his company has paid at least 6 figures in tariffs. Some have been as high as $10,000 to $15,000 per container, on top of customs fees and duties in a highly regulated industry.

“These new taxes, imposed without Congressional approval, jeopardized not only our business, but the livelihoods of the family farmers we represent and the access American consumers have to diverse, authentic products,” Schwartz wrote on his blog.

The sweeping tariffs coincided with a weak alcohol market — one that has lost $830 billion over the last four years due to several factors, including changing consumer habits.

While Schwartz says the tariffs weren’t 100% surprising, noting that they were first promised in 2019, Schwartz decided to get involved with a legal case to overturn them. Here he shares how he got involved, what it was like to see the U.S. Supreme Court rule on the case (and win in his favor), and his advice to other small business owners who, like him, are navigating tariff pressures.

This May, Vistage celebrates National Small Business Month in partnership with the U.S. Chamber of Commerce. Here from members, experts, and thought leaders on what it takes to lead with confidence. 

Q: What were the immediate impacts of the tariffs on your business?

VOS: We could not just offset the tariffs with an across-the-board 15% price increase. We partially absorbed the costs that contributed to a loss last year, and we chose not to raise prices on items already in stock, which depleted existing inventory. I stopped buying wines from South Africa because of the 30% tariff on those products. The constant shift in countries and tariff amounts made pricing and inventory a guessing game. We had to go through our entire book at least four times last year to re-price all of our products.

Q: After the tariffs went into effect, you became the face of the case filed by the Liberty Justice Center to overturn them. How did that come about?

VOS: A family member suggested I contact Ilya Somin, a professor of law at George Mason University and co-counsel at the Liberty Justice Center, a public-interest law firm, because they were going to challenge the use of the International Emergency Economic Powers Act (IEEPA). I shared how the tariffs were impacting my business and industry, and he and co-counsel Jeff Schwab thought it was very relevant to the case they were bringing forward.

I didn’t know the IEEPA statute from my elbow, but I knew one thing: no taxation without representation. Every child in America learns this, and that is what this case was about. It was a fascinating intellectual exercise in justice in America, and I loved it. There were several important issues in the case, but we only had to win on one.

Q: What was it like attending the trial?

VOS: It was very interesting. I went to the Court of International Trade, which was a trip. Nobody knows about this Court, which handles only about 50 highly technical cases a year. The Justices were peppering each side’s lawyers with questions. I learned so much about precedent, the IEEPA statute and where it came from, which dates back to Nixon taking America off the Gold standard.

Q: Ultimately, the Supreme Court agreed and ruled in favor of you and the other plaintiffs in the case. What was that like?

VOS: We won at the Court of International Trade, then we won at the Federal Appeals Court, and then we won at the Supreme Court with a historic 6-3 victory. On the day we won at the Supreme Court, the administration immediately imposed tariffs under another statute, Tariff 122, a 10% tariff with a limited scope that will end in July 2026, at which point they can apply for an extension. I believe that if they go to Congress, they will face significant pushback because of our work and because nobody wants the tariffs. As of last week, the Court of International Trade knocked down 122 tariffs.

Businesses crave a stable environment. That’s why foreigners liked doing business in the past with the United States, because we’re a stable environment, but lately we’ve shown ourselves to be very unstable, and that’s another tariff-related problem.

Q: It’s been almost a year since the tariffs went into effect. How do you feel about the business climate now?

VOS: This year has been a little bit better for us as a company, and I’d like to believe that the market is opening up a little bit. Last year, people were freaking out, but we feel a little more confident and more prepared. But that doesn’t mean there can’t be another shock. The oil shock has impacted us because now containers are arriving 3 weeks late, and the domino effect is negative for cash flow because the payment clock starts ticking as soon as you pick up goods from the winery in France, Italy, or Spain. So, there are still headwinds.

Q: What advice do you offer to other small business owners navigating the tariff uncertainty?

VOS: The relationships we have with our suppliers and vendors are key. We just have to have the fortitude to keep going and do our best since we’re all in the same boat. Communicate and communicate a lot. You cannot overcommunicate. Talk to your suppliers and be honest with them, let them know where you’re coming from and that you don’t have the cash flow to squeeze that money out, that you may have to pay in two weeks or pay in portions. Inventory management is also so important.

One year later

As a result of the court ruling, the U.S. Customs and Border Protection opened a refund portal for tariffs imposed under the International Emergency Economic Powers Act in April 2026. To apply for the refund, which totals at least $166 billion for all affected businesses, you must sign in to the portal.

The Liberty Justice Center has created a Tariff Equity and Refund Resource for America that explains the IEEPA refund process and provides updates.

Schwartz applied for a refund on day one. “It was an easy and clear process,” he says. “Now we wait. The government says it will take 60 to 90 days.”

0 views