Indiana: Are happy hour drink specials legal?
Indiana has allowed happy hours since July 2024, capped at 4 hours a day and 15 a week, never 9 p.m. to 3 a.m.
Indiana banned happy hours from 1985 until a 2024 law (HEA 1086) legalized them as of July 1, 2024. The limits apply only to a discount for part of the day; a price cut that runs all day is not limited. Separate rules still ban charging one price for two or more required drinks and selling unlimited drinks for a fixed price. Some Indiana excise police guidance online still lists happy hour pricing as illegal; it predates the 2024 change.
Conditions
- No more than 4 hours a day and 15 hours a week
- No discounts from 9 p.m. to 3 a.m.
- No single price for two or more required drinks
- No unlimited drinks for a fixed price
What the law says
It is lawful for a permit holder to sell alcoholic beverages during a portion of the day at a price that is reduced from the usual, customary, or established price that the permit holder charges during the remainder of the day, subject to the following: (1) A price reduction: (A) may not exceed: (i) four (4) hours in one (1) day ... (ii) fifteen (15) hours in one (1) week ... (2) A price reduction may not be made from 9 p.m. prevailing local time until 3 a.m. prevailing local time, the following day.
Sources
- IC 7.1-5-10-20.5 (FindLaw) Mirror of official text · codes.findlaw.com
- IC 7.1-5-10-20 (FindLaw) Mirror of official text · codes.findlaw.com
- Sturgill Turner: New Indiana law will end ban on happy hour (2024) Secondary · skofirm.com
Confirm with the state
- Agency
- Indiana Alcohol and Tobacco Commission
- Phone
- (317) 232-2430
- Website
- in.gov
How bordering states compare
- Illinois Allowed with limitsIllinois allows happy hours, but only up to 4 hours a day and 15 a week, and not after 10 p.m.
- Kentucky Allowed with limitsKentucky has no happy hour ban, but retailers can't offer coupons on alcohol, give drinks away, or sell below cost.
- Michigan Allowed with limitsMichigan allows happy hours but limits unlimited-drink deals and bans selling one person 3 or more identical drinks for one price.
- Ohio Allowed with limitsOhio allows happy hours before 9 p.m. but bans late-night discounts, two-for-one deals, and unlimited drinks for a fixed price.