South Carolina · Legislation Insight

SC H4248: The Shrimp Labeling Rule Restaurants Need to Know

A new South Carolina law buried in H4248 creates a direct compliance obligation for any restaurant serving foreign shrimp—with real financial penalties for non-compliance.

Most South Carolina restaurant owners have no idea that a food labeling bill passed by the state legislature contains a provision that directly affects their daily operations and bottom line. H4248 includes a requirement that every food service establishment serving imported shrimp must post and maintain specific disclaimer signage—or face escalating fines.

What the Law Requires

Under Section 39-25-175(C) of H4248, any food service establishment—including restaurants, cafeterias, food stands, and food trucks—that serves foreign imported shrimp must post a disclaimer at two locations: at the main entrance of the establishment and on the menu itself.

The law defines "food service establishment" broadly, so this applies whether you operate a fine-dining restaurant, a casual café, a catering operation, or a mobile food unit. If you serve shrimp sourced from outside the United States, you are subject to this requirement.

The Penalty Structure

Compliance is not optional. The law establishes a two-tier enforcement system:

First offense: A warning.

Subsequent offenses: Civil fines of $100 to $5,000 per day of non-compliance.

This is a recurring daily penalty, not a one-time fine. A single week of non-compliance could result in fines ranging from $700 to $35,000. For small restaurants operating on tight margins, this creates significant financial exposure and makes ongoing compliance essential.

When This Takes Effect

The law becomes effective 120 days after the Governor's approval, as stated in Section 2 of the bill. Restaurants should monitor the official effective date and prepare compliance materials well in advance of that deadline.

What You Should Do Now

If your restaurant serves imported shrimp, take these steps:

1. Verify your shrimp sourcing. Confirm with your seafood suppliers whether your shrimp is domestically sourced or imported. If you use multiple suppliers or change sources seasonally, document this.

2. Design compliant signage. Prepare a disclaimer sign suitable for your main entrance. The law does not specify exact wording, but the sign must clearly communicate that imported shrimp is served. Consult with your local health department or a legal advisor if you need guidance on language.

3. Update your menu. Add the required disclaimer to your printed menu, digital menu, or both, depending on how you present menu items to customers.

4. Plan for the effective date. Mark the 120-day window on your calendar and ensure signage and menu updates are ready before that date arrives.

5. Document compliance. Keep records of when you posted signage and updated menus. This protects you if a compliance question arises.

H4248 is now law, and this provision is real and enforceable. The good news: compliance is straightforward and inexpensive compared to the cost of fines. The key is acting before the effective date and maintaining compliance consistently.

For the full text of H4248 and Section 39-25-175(C), consult the South Carolina General Assembly website or speak with your state restaurant association.

Source: H4248 · Section 39-25-175(C), Bill Text Page 1 · Effective 120 days after Governor's approval (per Section 2) · Legislative data via LegiScan (CC BY 4.0), read and summarized by RESignal. Awareness, not legal advice — verify at the source.
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