Yes we can send Email alerts From SharePoint 2010 To Distribution Lists.
How ?
The answer is First you need to convert the DL into a security group for the DL to get resolved in Sharepoint . As Sharepoint doesnt recognise DL`s
After that is done .
1. Log in to your SharePoint site and navigate to Site Actions > Site Permissions
2. Add this distribution list to the site as a member of an existing SharePoint permission
2. Add this distribution list to the site as a member of an existing SharePoint permission
group . you can give Read permissions no Higher permissions needed .
3. Navigate to Settings > Group Settings and make sure that the following is true
4. Navigate to the library or list and click Library (List) > Tools > Set alert on this library (list)
5. Add the distribution list in the field Send alerts to
The alerts now will be sent to the members of this distribution list.