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4. DISTRIBUTION AGREEMENT RECEIVABLE AND DEFERRED REVENUE
9 Months Ended
Sep. 30, 2016
Deferred Revenue Disclosure [Abstract]  
NOTE 4. DISTRIBUTION AGREEMENT RECEIVABLE AND DEFERRED REVENUE

Effective September 1, 2011, the Company entered into an agreement with Young’s Market Company for distribution of Company-produced wines in Oregon and Washington. The terms of this contract include exclusive rights to distribute Willamette Valley Vineyard’s wines in Oregon and Washington for seven years. In an effort to facilitate the transition, with as little disruption as possible, Young’s Market Company agreed to compensate Willamette Valley Vineyards for ongoing Oregon sales and branding efforts. The total amount of $1,000,000 received by the Company, related to this agreement, is being recognized as revenue on a straight line basis over the seven year life of the agreement. For the three months ended September 30, 2016 and 2015, the Company has recognized revenue related to this agreement in the amount of $35,715 and $35,715, respectively, recorded to other income. For the nine months ended September 30, 2016 and 2015, the Company has recognized revenue related to this agreement in the amount of $107,145 and $107,145, respectively, recorded to other income.